Amends TCA Title 8, Chapter 19 and Title 13, Chapter 26, Part 1.

This bill revises the bond requirements under the Human Resource Agency Act, as described below.<br /> <br /> Under present law, a board member, policy council member, employee, officer, or any authorized person of a human resource agency who receives public funds, has authority to make expenditures from public funds, or has access to any public funds must give bond to be made payable to this state with sureties as set out in present law. Under present law, the minimum amount of such bond is determined from the amount of revenues handled by the respective human resource agency as reported in the last audit approved by the comptroller of the treasury. The minimum amount of the bond is based on revenues as follows: 4 percent of the revenues up to $3 million; and 2 percent of the excess over $3 million must be added. <br /> <br /> This bill removes the above-described references to the minimum amount of the bond and authorizes a human resource agency to obtain, in lieu of a surety bond, a policy of insurance issued by an insurance company authorized to do business in this state or an agreement with a pool established by two or more governmental entities pursuant to present law or any entity established pursuant to the risk pooling provisions of present law for administration of such agreement. The policy or agreement must provide government crime coverage, employee dishonesty insurance coverage, or equivalent coverage that insures the lawful performance by officials and their employees of their fiduciary duties and responsibilities. The following also apply under this bill:<br /> <br /> (1) Any such policy or agreement maintained must have limits of not less than $400,000 per occurrence;<br /> <br /> (2) The policy or agreement will be deemed to be a blanket official bond for each official or office identified in the policy or agreement for all purposes under the Act; <br /> <br /> (3) The officials who may be covered under the policy or agreement include board members, policy council members, employees, officers, and other authorized persons of a human resource agency who handle public funds; and<br /> <br /> (4) A copy of the policy or agreement evidencing the persons covered, the amount of coverage maintained, and the type of coverage provided must be filed in the register's office for the county in which the human resource agency is located.<br />