ADOPTED RULES
An agency may take final action on a section 30 days after a proposal has been 
published in the Texas Register. The section becomes effective 20 days after the 
agency files the correct document with the Texas Register, unless a later date 
is specified or unless a federal statute or regulation requires implementation 
of the action on shorter notice.
If an agency adopts the section without any changes to the proposed text, only 
the preamble of the notice and statement of legal authority will be published. 
If an agency adopts the section with changes to the proposed text, the proposal 
will be republished with the changes.

TITLE 1. ADMINISTRATION
PART XIII. Texas Incentive and Productivity Commission 
CHAPTER 273.State Employee Incentive Program
1 TAC sec.sec.273.1, 273.3, sec.273.7, sec.273.9, 273.19, 273.23, 273.25, 273.27
The Texas Incentive and Productivity Commission adopts amendments to 
sec.sec.273.1, 273.3, sec.273.7, sec.273.9, 273.19, 273.23, 273.25, and 273.27. 
Sections sec.273.7 and sec.273.9 are adopted with changes to the proposed text 
as published in the April 22, 1997, issue of the Texas Register (22 TexReg 
3645). Sections 273.1, 273.3, 273.19, 273.23, 273.25 and 273.27 are adopted 
without changes and will not be republished. 
Section 273.1 amends seven definitions and deletes one redundant definition to 
more accurately define terms used in the administration of the program. As 
proposed sec.273.3(a) includes a non-substantive change to make the terms more 
consistent. Section 273.7(f) includes a non-substantive change to make terms 
used more consistent. As proposed the term "first-year" is inserted in 
sec.sec.273.1, 273.7(e) and (g) and sec.273.27(a), (c), and (d) in place of the 
term "annual" or added to the term "net savings/revenue."
The Commission finds the term "net annual," as written in the Government Code, 
sec.2108.023 (2) (c), to be unclear. In the absence of a statutory definition of 
"annual," the Commission has specified that the time period and basis for 
calculating savings/revenue for purposes of paying a cash award is "first-year 
net." The Commission began this practice when the program was initially 
implemented and has used the term "first-year net" on program forms and 
education and promotional materials, and it has also been used in the accounting 
policy statement published by the Comptroller. The use of this term is 
consistent with similar practices throughout suggestion systems in both the 
private and public sectors. Although the term "first-year net" has been applied 
in practice and has been included in part of the Commission's existing rules, 
the term has not been consistently used throughout the rules. The proposed 
changes provide such consistency.
Section 273.7(h), which deals with an agency's calculation of savings/revenue, 
addresses situations where the implementation year (upon which the "first-year 
net savings/revenue" calculation is based) occurred too many years ago for the 
agency to access the funds and make the transfers. According to the Office of 
the Comptroller's statute of limitations on funds availability, funds remain 
active in an agency's appropriation authority until two years after the fiscal 
year that the funds were first available. On rare occasions, an agency will have 
failed to pay an award during the year from which the savings occurred. This 
amendment will allow agencies, in those situations, to pay an award from the 
earliest possible year from which funds are available. This amendment derives 
its authority from the Government Code, sec.2108.023. The Commission made a non-
substantive change to this subsection to delete a redundant phrase and make the 
subsection more clear. Section 273.9 (c) (5) and (d) (1) and (2) make technical 
corrections in referencing the rules. Section 273.9 (e) (1) and (e)(1)(C) 
clarifies that the award eligibility period applies to all suggestions, not just 
to those with potential cash awards. The same section subsection (e) (2) (B) is 
amended to clarify that the award eligibility period applies to all suggestions, 
not just to those with potential cash awards. The award eligibility period 
refers to the time during which a suggester has "equity" in the suggestion. A 
suggestion that is determined to not be eligible when received by the Commission 
could be approved and awarded if that determination is reversed during the award 
eligibility period. After the timeframe expires, the employee must resubmit the 
suggestion.
This amendment derives its authority from the Government Code, sec.2108.004(b), 
which allows the Commission to adopt rules to carry out this chapter and from 
the Government Code, sec.2108.030, which describe the procedure for the adoption 
or rejection of the suggestion. After the proposed rule changes were published, 
the Commission made a non substantive change by inserting the word "initial" in 
subsection (e) (2) (B) to further clarify the award eligibility period first 
assigned to a suggestion versus any extensions granted. As proposed 
sec.273.19(c) includes non-substantive changes to make the terms more 
consistent. 
As proposed sec.273.23 (a) (1) and (2) and sec.273.25(a) (1) and (2) are amended 
to clarify the conditions that enable a suggester to request an agency level 
appeal. The Government Code, sec.2108.032 of the statute allows employees to 
request a re-evaluation if a suggestion is "rejected" but not for appealing 
determinations that the suggestion is accepted without a cash award. The term 
"decline" is used as a substitution for "reject" when referring to the 
disposition of a suggestion. These terms are interchangeable and considered non-
substantive.
As proposed sec.273.27 contains a non-substantive change in subsection (f) to 
make the terms more consistent. 
Adoption of these rules will facilitate administration of the State Employee 
Incentive Program. 
No comments were received regarding adoption of the amendments.
These amendments are adopted under the authority of the Texas Government Code, 
Chapter 2108, sec.2108.004(b), which states the Commission may adopt rules to 
carry out this chapter. 

sec.273.7.Agency's Role.
(a)-(d) (No change.) 
(e) Establishment of SEIP Savings Measurement Account (SSMA). Upon 
implementation of an approved employee suggestion, an agency shall establish a 
SEIP Savings Measurement Account (SSMA) and transfer into this account the share 
of the projected first-year net savings/revenue attributable to the suggestion 
during that fiscal year. Savings/revenue attributable to implementation of 
subsequent approved employee suggestions may be transferred into the agency's 
initial SEIP Savings Measurement Account or may be transferred into a newly 
established SEIP Savings Measurement Account. If a new fiscal year begins prior 
to the agency's certification of savings, at the beginning of the fiscal year 
the agency shall transfer into the SEIP Savings Measurement Account(s) the share 
of the projected net savings/revenue attributable to the suggestion(s) during 
the prior fiscal year. In the event that the certified savings/revenue amount 
differs from the balance in a SEIP Savings Measurement Account, the agency shall 
use the procedures outlined in the General Appropriations Act and Comptroller's 
Accounting Policy Statement #22. 
(f) Calculation and certification of first-year net savings/revenue. Upon 
implementation of an approved suggestion, an agency shall track savings/revenue 
for one year in preparation for making the certification and funds transfers 
described in the Government Code, sec.2108.037. The Commission may certify a 
savings/revenue amount prior to the completion of a full implementation year if 
the suggestion involves a one-time savings/revenue or if the Commission finds 
the agency's projected savings/revenue to be based on a reasonable and reliable 
method.
(g) Allocation and transfer of first-year net savings/revenue. First-year 
savings/revenue realized from employee suggestions adopted by a state agency 
must be allocated and transferred by the state agency as provided in the 
Government Code, sec.2108.037, the General Appropriations Act, and Comptroller's 
Accounting Policy Statement #22. Necessary amounts for withholding of employee 
income and Social Security taxes will be deducted from the cash award and the 
originating agency will pay the employer share of the Social Security taxes. 
(h) Alternate certification period. If savings/revenue occur in a year for which 
funds cannot be transferred due to limitations imposed by or on the Comptroller, 
an agency may certify savings based on the first year for which funds can be 
allocated and transferred by the agency, if the Commission believes 
circumstances warrant. 

sec.273.9.Eligibility.
(a)-(b) (No change.) 
(c) Suggestion eligibility. A suggestion is ineligible for consideration under 
this Program if it: 
(1) does not describe a method to achieve the desired savings or benefit; 
(2) proposes ideas under consideration for implementation (in and outside of the 
Program) on the date that the suggestion is submitted to the agency; 
(3) relates only to personnel matters or grievances, including employee 
classification or compensation; 
(4) proposes a correction for a condition that resulted because applicable 
established procedures were not properly followed; 
(5) proposes implementation of a policy or procedure that has already been 
adopted by the employee's agency, except as described in subsection (d) of this 
section; or 
(6) violates the intent of the Program. 
(d) Agency implementation prior to submission of suggestion to the program. If 
an agency adopts a policy or procedure as a result of an employee suggestion 
before the suggestion is submitted to the agency coordinator, the Commission may 
grant a bonus or issue a certificate of appreciation to the employee or 
employees who made the suggestion if the agency coordinator confirms that: 
(1) the employee or employees who receive the award are eligible as described in 
subsection (a) and (b) of this section; 
(2) the suggestion is otherwise eligible under subsection (c) of this section; 
(3) the employee or employees proposed a reasonable method of implementation and 
described the type of benefits or savings foreseen to the agency before agency 
implementation; and 
(4) the agency adopted the policy or procedure as a result of the suggestion. 
(e) Award eligibility period 
(1) A suggestion is eligible for an award if the following actions occur within 
two years of the date the Commission receives the suggestion:
(A) the Commission approves the suggestion; 
(B) a target agency implements the suggestion; and 
(C) the target agency transfers applicable savings/revenue resulting from the 
suggestion. 
(2) The following exceptions apply to the award eligibility period: 
(A) If a suggestion requires legislative change, then the period shall be four 
years. 
(B) The Commission may extend by two years the award eligibility period for a 
suggestion that has been approved if the employee makes such a request in 
writing before the initial award eligibility period expires.
(C) A suggestion is not eligible for an award if it duplicates a suggestion that 
was previously received by the Commission and that has not been closed. 
(f) (No change.) 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on June 20, 1997.
TRD-9708146
M. Elaine Powell
Executive Director
Texas Incentive and Productivity Commission
Effective date: July 14, 1997
Proposal publication date: April 22, 1997
For further information, please call: (512) 475-2393

TITLE 43. TRANSPORTATION
PART III. Automobile Theft Prevention Authority
CHAPTER 57.Automobile Theft Prevention Authority
43 TAC sec.sec.57.2, 57.7, 57.14 
The Automobile Theft Prevention Authority (the Authority) adopts new 
sec.sec.57.2, 57.7, 57.14, relating to the review and approval of grant 
projects, with changes to the proposed text as published in the May 20, 1997, 
issue of the Texas Register (22 TexReg 4354). (These rules are actually 
amendments to existing rules, 1 TAC sec.sec.4.2, 4.7, and 4.14. The adoption 
under Chapter 57 is required by the Texas Register. In future rulemakings, all 
of the Authority's rules will be transferred to Title 43, Chapter 57 of the 
Texas Administrative Code. Until the transfer is made, Chapter 57 will prevail 
over Chapter 4 of Title 1 to the extent any conflict arises between Title 1, 
Chapter 4 and Title 43, Chapter 57.) The Authority has discretionary authority 
to provide funding for grant projects which implement and promote the statutory 
purposes of the Authority relating to the reduction in auto theft in Texas. Rule 
sec.57.2 sets out the five program categories making up the Authority's grant 
assistance program. These program categories were developed as part of the Plan 
of Operation for the Authority which was mandated by Texas Civil Statutes, 
Article 4413(37), sec.7. Section 7 requires a plan of operation providing 
financial support to reduce motor vehicle theft in Texas. The five categories in 
rule 57.2 provide a method of organizing financial assistance to qualified 
entities for projects aimed at reducing auto theft. The five categories reflect 
current activities or programs currently in place to combat auto theft. 
Categories (1) and (2) represent the full spectrum of police and judicial 
activities relating to combating auto theft. Prosecution and conviction of 
automobile thieves is an effective deterrent in the reduction of motor vehicle 
theft and the elimination of the economic incentives for motor vehicle theft; 
categories (3) and (5) recognize that public involvement is an integral part of 
any anti theft program. Public awareness campaigns funded by the Authority will 
be aimed at educating the public on the automobile theft problem in Texas and 
building consumer awareness of how they can assist in reducing automobile theft; 
and category 4 focuses on eliminating the markets for stolen goods and will 
support programs which reduce the ability to find markets for stolen vehicles 
and vehicle parts thus deterring the economic profit from the sale of stolen 
vehicles and vehicle parts. The rule also deletes the reference to the 
Authority's fund in 1 TAC sec.4.2 which under House Bill 1387, Acts 1997, 75th 
Regular Session, is abolished. Section 57.7 outlines the grant review process by 
the Authority, including review by staff before consideration by the Authority. 
The rule deletes subsection (c) of 1 TAC sec.4.7 which provides review by the 
executive director and a review committee composed of seven members of the 
Authority, or their designees. The subsection is not necessary in order for the 
executive director or the Authority members to review grant applications; 
further, by law, the seven members may not delegate their individual 
responsibilities to others. Section 57.7 also clarifies subsections (d) and (e) 
of 1 TAC sec.4.7 that recommendations on grant applications are made to the 
Authority by the Authority's staff, which would include the executive director. 
Section 57.14, relating to approval of grant projects, provides the criteria and 
basis on which grant applications will be considered. The rule (1) further 
clarifies previous language that funding of projects is subject to continuation 
and availability of state funds; (2) specifies that grants are eligible for 
consideration only if they are designed to support the five program categories 
of the Authority, as provided in the proposed sec.57.2(b); and (3) sets out five 
criteria that the Authority will consider in evaluating a project for funding, 
which are listed in the proposed subsection (c). The five criteria were 
developed as a tool to evaluate and select projects for funding. The Authority 
has limited funds to support qualified anti-theft programs. In providing 
financial assistance, the Authority may not be able to fund every project; it is 
incumbent on the Authority to evaluate grant applications for feasibility, 
success, and effectiveness.
The criteria evaluates projects by looking at various factors that impact on 
automobile theft. Subsection (c)(1) looks at the auto theft rate of the program 
area per number of registered vehicles and how it impacts the statewide auto 
theft rate. The auto theft rate reflects an objective measure of where the 
problem lies within the state. The proposed rule used population as the basis 
for determining the theft rate. The rule as adopted calculates the auto theft 
rate using the number of registered vehicles to coincide with the definitions of 
auto theft rate as defined by Texas Civil Statutes, Article 4413(37), sec.11; 
subsections (c)(2), (3) evaluate the performance measures identified by the 
grantee and how they will impact on reducing the statewide auto theft rate. A 
grantee's performance on previous grants will aid in evaluating the grantee's 
potential for success in future grants; subsection (c)(4) evaluates the problem 
of auto theft in the program area, the strategies identified to attack the 
problem, and how the program will be measured to evaluate its success; and 
subsection (c)(5) allows for the allocation of limited appropriated funds within 
the five program categories to grant projects which will be the most productive 
in reaching the Authority's goals. Lastly, language in subsection (d) of 1 TAC 
sec.4.7 relating to decisions of the Authority being final has been moved to 
sec.57.14 as subsection (d). This provision has been further amended to explain 
that decisions to fund or not fund a project are not subject to judicial review.
No comments were received regarding adoption of the new sections.
The new sections are adopted under Texas Civil Statutes, Article 4413(37), 
sec.sec.6(a), 7, 8. The Authority interprets sec.6(a) as authorizing it to adopt 
rules implementing its statutory powers and duties. Sections 7 and sec.8 require 
the Authority to develop a plan of operation and to use monies appropriated to 
it for the express purposes of the Authority as set out in sec.8. 
Texas Civil Statutes, Article 4413(37), sec.sec.6(a), 7, and 8 are affected by 
these rules. 

sec.57.2.Applicability.
(a) These rules shall apply only to applications and grants awarded to local 
general purpose units of government, state agencies, independent school 
districts, nonprofit, and for profit organizations under the Automobile Theft 
Prevention Authority Assistance Program. 
(b) The Automobile Theft Prevention Authority Assistance Program is divided into 
five program categories which reflect the statutory purposes of the Authority as 
follows: 
(1) Law Enforcement, Detection and Apprehension; 
(2) Prosecution, Adjudication and Conviction; 
(3) Prevention, Anti-Theft Devices and Automobile Registration; 
(4) Reduction of the Sale of Stolen Vehicles or Parts; and 
(5) Public Awareness and Crime Prevention. 

sec.57.7.Review of Grant Applications.
(a) The Automobile Theft Prevention Authority (the Authority) will review only 
those grant applications that are submitted in compliance with the applicable 
documents and forms adopted by reference under Title 1, sec.4.3 (relating to 
Compliance; Adoption by Reference). 
(b) The Authority staff will review grant applications for compliance with the 
Authority's guidelines. 
(c) The Authority staff may recommend award of a grant, award of a grant with 
modification, or rejection of a grant application. 
(d) The Authority staff recommendations shall be based on applicable statutory 
requirements, rules, guidelines, fiscal constraints, and administrative 
policies. 

sec.57.14.Approval of Grant Projects.
(a) The Automobile Theft Prevention Authority (the Authority) will approve 
funding for projects on an annual basis, subject to continuation of funding 
through state appropriations and availability of funds. 
(b) To be eligible for consideration for funding, a project must be designed to 
support one of the following Authority program categories:
(1) Law Enforcement, Detection and Apprehension; 
(2) Prosecution, Adjudication and Conviction; 
(3) Prevention, Anti-Theft Devices and Automobile Registration;
(4) Reduction of the Sale of Stolen Vehicles or Parts; and 
(5) Public Awareness and Crime Prevention. 
(c) In evaluating a project for funding, the Authority will consider: 
(1) components of auto theft, including the auto theft rate (ratio of automobile 
thefts to the number of registered vehicles), of the grantee's program area and 
its impact on the statewide auto theft rate; 
(2) performance measures and the likelihood of success of the project. An 
application for a continuation grant will be evaluated on past performance as 
reflected in the project's success to date in meeting its goals, objectives, and 
performance measures; 
(3) the performance of an applicant on other projects funded by the Authority; 
(4) recommendations by the Authority staff on funding allocations for the grant 
year and on individual grant applications. Staff recommendations on individual 
grant applications will be based on staff's review and ranking of each grant 
application as reflected in the Authority Application Review Instrument for each 
application; and 
(5) the total number of grant applications submitted for the grant year and by 
program category, in relation to the total grant money available and its 
allocation among the five program categories, as determined by the Authority. 
(d) Grant award decisions by the Authority are final and not subject to judicial 
review. 
This agency hereby certifies that the adoption has been reviewed by legal 
counsel and found to be a valid exercise of the agency's legal authority. 
Issued in Austin, Texas, on June 20, 1997.
TRD-9708086
Agustin De La Rosa
Acting Executive Director
Automobile Theft Prevention Authority
Effective date: July 10, 1997
Proposal publication date: May 20, 1997
For further information, please call: (512) 416-4600