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TXANS
TXANS Association of Responsible Nonsubscribers

807 Brazos Street,
Suite 802
Austin, TX 78701
Ph: 512-477-7357
Fax: 512-477-3943

TXANS's News/Press Releases

03/22/2005

TXANS TESTIFIES ON LEGISLATION TO ALLOW NONSUBSCRIBERS TO BID ON STATE CONTRACTS

State Representative Fred Brown has introduced legislation that, if enacted, would allow Texas nonsubscribers to compete for state contracts if they provide a pre-determined level of occupational injury benefits. Representative Brown laid out the bill before the House Committee on Business and Industry and explained how thousands of small businesses, including many minority and women-owned businesses cannot compete for state contracts because of the preclusion against nonsubscribers. House Bill 153 would not only create opportunities for these businesses, it would also increase competition and reduce costs for Texas taxpayers.

At least two committee members stated strong opposition to HB 153 because they believe it would create new incentives for businesses to become nonsubscribers and provide reduced levels of occupational injury benefits. State Representative Bill Zedler of Arlington disagreed. Representative Zedler stated his experience with nonsubscription showed that many of the programs offered by TXANS' members do a better job of providing benefits than the workers' compensation system.

A TXANS member representative also testified in favor of the bill as did TXANS' Executive Director, Steve Bent. Opponents to the bill included the Texas Trial Lawyers Association, Texas AFL-CIO, an association for the insurance industry and others. House Bill 153 is pending in committee.

The bill's status along with the status of other nonsubscriber-related legislation will be reviewed during the Opening Session of TXANS' 2005 Annual Nonsubscriber Conference & Exhibition.



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