HB3700 - Relating to the prevention, detection, and investigation of fraud, waste, and abuse in programs administered by the Texas Workforce Commission or by the commission's contractors or grantees.

      H.B. No. 3700         AN ACT   relating to the prevention, detection, and investigation of fraud,   waste, and abuse in programs administered by the Texas Workforce   Commission or by the commission's contractors or grantees.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Chapter 301, Labor Code, is amended by adding   Subchapter L to read as follows:   SUBCHAPTER L.   PREVENTION, DETECTION, AND INVESTIGATION OF FRAUD,   WASTE, AND ABUSE IN COMMISSION PROGRAMS           Sec.   301.201.     PREVENTION, DETECTION, AND INVESTIGATION OF   FRAUD, WASTE, AND ABUSE.   (a)   The commission shall develop:                 (1)     procedures to prevent, detect, and investigate   fraud, waste, and abuse in programs administered:                       (A)  by the commission;                       (B)  under contract with the commission; or                       (C)     by a person awarded a grant by the   commission;                 (2)     systems to detect fraud, waste, and abuse in the   administration, provision, and delivery of programs described by   Subdivision (1); and                 (3)     methods for a person to report to the commission   fraud, waste, or abuse in the delivery of programs described by   Subdivision (1), including an option for:                       (A)     reporting through the commission's publicly   available Internet website; and                         (B)     anonymous reporting by an employee of the   commission.             (b)     The commission may obtain any information or technology   necessary to enable the commission to meet its responsibilities   under this subchapter or other law in regard to the prevention,   detection, and investigation of fraud, waste, and abuse in   commission programs.           (c)     Not later than September 1 of each year, the commission   shall submit to the legislature a written report that includes for   each report of fraud, waste, or abuse in a program described by   Subsection (a)(1) received by the commission under this section in   the most recent calendar year:                 (1)  a copy of the report;                 (2)     any findings made by the commission in   investigating the report; and                   (3)     if fraud, waste, or abuse was found in   investigating the report, any actions taken by the commission to   resolve the matter.           (d)     The commission may not terminate or otherwise retaliate   against an employee who in good faith reports to the commission   under this section fraud, waste, or abuse in the delivery of   programs described by Subsection (a)(1).            SECTION 2.  The Texas Workforce Commission shall submit the   initial report required by Section 301.201(c), Labor Code, as added   by this Act, not later than September 1, 2026.          SECTION 3.  This Act takes effect September 1, 2025.       ______________________________ ______________________________      President of the Senate Speaker of the House                   I certify that H.B. No. 3700 was passed by the House on April   23, 2025, by the following vote:  Yeas 147, Nays 0, 2 present, not   voting.     ______________________________   Chief Clerk of the House                 I certify that H.B. No. 3700 was passed by the Senate on May   19, 2025, by the following vote:  Yeas 31, Nays 0.     ______________________________   Secretary of the Senate       APPROVED:  _____________________                      Date                           _____________________                    Governor