1. (a) Definitions. The following words and terms, when used in this section, shall have the following meanings, unless the context clearly indicates otherwise.

   1. (1) Comptroller--The comptroller of public accounts for the State of Texas.
   2. (2) Credit union--A state credit union, an out-of-state credit union, a foreign credit union, or a federal credit union.
   3. (3) Electronic funds transfer--A payment made electronically instead of by warrant or check. The term includes a payment made through an automated clearinghouse, by bank wire, or by federal wire.
   4. (4) Employer--A state agency that employs one or more state employees.
   5. (5) Federal credit union--A credit union organized under the Federal Credit Union Act.
   6. (6) Foreign credit union--A credit union that is not organized under the laws of the this state or the United States if the credit union is authorized under the Texas Credit Union Act to do business in this state.
   7. (7) Holiday--A state or national holiday as specified by the General Appropriations Act or Texas Government Code, §§662.001-662.010.
   8. (8) Include--A term of enlargement and not of limitation or exclusive enumeration. The use of the term does not create a presumption that components not expressed are excluded.
   9. (9) Institution of higher education--Has the meaning assigned by the Education Code, §61.003.
   10. (10) May not--A prohibition. The term does not mean "might not" or its equivalents.
   11. (11) Out-of-state credit union--A credit union organized under the laws of a state other than Texas if the credit union is authorized under the Texas Credit Union Act to do business in this state.
   12. (12) Participating credit union--A credit union that the comptroller has certified according to this section.
   13. (13) Payee identification number--The 14-digit number that the comptroller assigns to each direct recipient of a payment made by the comptroller for the State of Texas.
   14. (14) Salary or wages--Base salary or wages, longevity pay, or hazardous duty pay.
   15. (15) State agency--A department, commission, board, office, or other agency of any branch of Texas state government, including an institution of higher education.

   16. (16) State credit union--A voluntary, cooperative, nonprofit financial institution that is authorized under the Texas Credit Union Act to do business in this state for the purposes of:

       1. (A) encouraging thrift among its members;
       2. (B) creating a source of credit at fair and reasonable rates of interest;
       3. (C) providing an opportunity for its members to use and control their own money to improve their economic and social condition; and
       4. (D) conducting any other business, engaging in any other activity, and providing any other service that may be of benefit to its members subject to the Texas Credit Union Act and rules adopted under that law.
   17. (17) State employee--An employee of a state agency. The term includes an elected or appointed official, a part-time employee, an hourly employee, a temporary employee, an employee who is not covered by the Position Classification Act, and a combination of the preceding. The term excludes an independent contractor and an employee of an independent contractor.
   18. (18) USPS--The uniform statewide payroll/personnel system.
   19. (19) Workday--A calendar day other than Saturday, Sunday, or a holiday.

2. (b) Deductions.

   1. (1) References in this section. A reference in this section to a deduction without further qualification or explanation is a reference only to a deduction from a state employee's salary or wages to make a payment to a participating credit union.

   2. (2) Authorization of deductions.

      1. (A) A state employee may authorize not more than three monthly deductions from the employee's salary or wages. However, a state employee may not authorize more than one monthly deduction to any particular participating credit union.

      2. (B) A state employee may authorize a deduction only if the employee:

         1. (i) properly completes an authorization form; and
         2. (ii) submits the form to the participating credit union to which the deducted amounts will be paid.
      3. (C) Neither the comptroller nor a state agency is liable or responsible for any damages or other consequences resulting from a state employee authorizing an incorrect amount of a deduction.
      4. (D) An authorization form is not properly completed for purposes of subparagraph (B)(i) of this paragraph unless the form states the amount of administrative fees the employee completing the form must pay under this section. The amount must be stated on the form before the employee signs it.

   3. (3) Change in the amount of a deduction.

      1. (A) At any time, a state employee may authorize a change in the amount to be deducted from the employee's salary or wages.

      2. (B) A state employee may authorize a change in the amount of a deduction only if the employee:

         1. (i) properly completes an authorization form; and
         2. (ii) submits the form to the affected participating credit union.
      3. (C) Neither the comptroller nor a state agency is liable or responsible for any damages or other consequences resulting from a state employee changing the amount of a deduction.
      4. (D) An authorization form is not properly completed for purposes of subparagraph (B)(i) of this paragraph unless the form states the amount of administrative fees the employee completing the form must pay under this section. The amount must be stated on the form before the employee signs it.

   4. (4) Sufficiency of salary or wages to support a deduction.

      1. (A) A state employee is solely responsible for ensuring that the employee's salary or wages are sufficient to support a deduction.
      2. (B) If a state employee's salary or wages are sufficient to support only part of a deduction, then no part of the deduction may be made. If a state employee has authorized more than one deduction and the employee's salary or wages are insufficient to support all the deductions, then none of the deductions may be made.
      3. (C) The amount that could not be deducted from a state employee's salary or wages because of subparagraph (B) of this paragraph may not be made up by deducting the amount from subsequent payments of salary or wages to the employee.

   5. (5) Timing of deductions.

      1. (A) Except as provided in subparagraph (B) of this paragraph, a deduction must be made from the salary or wages that are paid on the first working day of a month.
      2. (B) If a state employee does not receive a payment of salary or wages on the first working day of a month, then the employer of the employee may designate the payment of salary or wages from which a deduction will be made. A deduction may be made only once each month.

   6. (6) Cancellation of deductions.

      1. (A) A state employee may cancel a deduction at any time. A cancellation is effective only if the employee properly completes an authorization form and submits the form to the affected participating credit union or the employee's employer.

      2. (B) This subparagraph applies only if a state employee cancels a deduction by submitting an authorization form to the employee's employer and if the employer submits monthly detail reports directly to participating credit unions.

         1. (i) Except as provided in clause (ii) of this subparagraph, the employer shall include a copy of the form with the next monthly detail report that the employer sends to the affected participating credit union.
         2. (ii) If the next monthly detail report will not be sent before the tenth workday after the day on which the form becomes effective, then the employer shall mail or hand deliver the copy of the form to the credit union not later than that workday.
      3. (C) This subparagraph applies only if a state employee cancels a deduction by submitting an authorization form to the employee's employer and if the comptroller submits monthly detail reports to participating credit unions on the employer's behalf. The employer shall mail or hand deliver a copy of the form to the credit union not later than the tenth workday after the day on which the form becomes effective.
      4. (D) Neither the comptroller nor a state agency is liable or responsible for any damages or other consequences resulting from a state employee canceling a deduction.
   7. (7) Interagency transfers of state employees. A state employee who transfers from one state agency to a second state agency may be treated by the second state agency as if the employee has not yet authorized any deductions.

3. (c) Effective dates of authorization forms.

   1. (1) Effective date of authorization forms that request new deductions. This paragraph applies only to a state employee's authorization form that requests a new deduction. The employer of the employee may decide when the first deduction from the employee's salary or wages will occur. However, the deduction must begin not later than with the employee's salary or wages that are paid on the first workday of the second month following the month in which the employer receives the form.
   2. (2) Effective date of authorization forms that request changes in deductions. This paragraph applies only to a state employee's authorization form that requests a change to a deduction. The employer of the employee may decide when the change will take effect. However, the change must take effect not later than with the employee's salary or wages that are paid on the first workday of the second month following the month in which the employer receives the form.
   3. (3) Effective date of authorization forms that request cancellations of deductions. This paragraph applies only to a state employee's authorization form that requests the cancellation of a deduction. The employer of the employee may decide when the cancellation will take effect. However, the cancellation must take effect not later than with the employee's salary or wages that are paid on the first workday of the second month following the month in which the employer receives the form.

   4. (4) Copies of authorization forms.

      1. (A) A participating credit union is solely responsible for making a copy of an authorization form before the credit union submits the form to a state agency.
      2. (B) A state employee is solely responsible for making a copy of an authorization form before the employee submits the form to a participating credit union or state agency.

4. (d) Return of authorization forms.

   1. (1) Mandatory return. A state agency shall return an authorization form to the participating credit union or state employee that submitted the form if it:

      1. (A) is incomplete, contains erroneous data, or is otherwise insufficient and the insufficiency makes it impossible for the agency to cancel, establish, or change the deduction according to the form; or
      2. (B) is for an individual who is not employed by the agency.
   2. (2) Discretionary return. A state agency may return an authorization form to the participating credit union or state employee that submitted the form if the form is a copy or facsimile.

5. (e) Requirements for the content and format of authorization forms.

   1. (1) Prohibition against distributing or providing authorization forms. A participating credit union may not distribute or provide an authorization form to a state employee until the credit union has received the comptroller's written approval of the form.
   2. (2) Requirement to produce authorization forms. As a condition for retaining its certification, a participating credit union must produce an authorization form that complies with the comptroller's requirements and this section. The credit union must produce the form within a reasonable time after receiving its certification from the comptroller.
   3. (3) Using previously approved authorization forms. A participating credit union may use an authorization form that the comptroller has approved for use by another participating credit union if the form is modified so that the first credit union's name appears at the top of the form.

   4. (4) Restrictions on approval of authorization forms by the comptroller. The comptroller may not approve the authorization form of a participating credit union unless:

      1. (A) the form is at least 8 1/2 inches wide;
      2. (B) the form is at least 11 inches long;
      3. (C) the form has a blank space for insertion of the amount of administrative fees the employee completing the form must pay under this section;
      4. (D) the name of the credit union appears at the top of the form; and
      5. (E) the form complies with the comptroller's other requirements for format and substance.
   5. (5) Revisions of authorization forms. A participating credit union shall revise an authorization form upon request from the comptroller. The credit union may not distribute or otherwise make available a revised form to a state employee until the credit union has received the comptroller's written approval of the form.

6. (f) Requirements for certifying and decertifying credit unions.

   1. (1) Request for certification. The comptroller may not certify a credit union unless the comptroller receives a written request for certification from an individual who is authorized by the credit union to make the request.

   2. (2) Requirements for requests for certification. The comptroller may not certify a credit union unless its request for certification includes:

      1. (A) the credit union's complete name;
      2. (B) the street address of the credit union's main branch;
      3. (C) the mailing address of the credit union's main branch, if different from the street address;
      4. (D) the full name, title, telephone number, facsimile telephone number, and mailing address of the credit union's primary contact;
      5. (E) the credit union's payee identification number; and
      6. (F) the other information that the comptroller deems necessary.

   3. (3) Electronic funds transfers. The comptroller may not certify a credit union unless:

      1. (A) it submits to the comptroller a request for deducted amounts to be paid by the comptroller through electronic funds transfers under rules and procedures adopted by the comptroller;
      2. (B) it submits to each institution of higher education that will be paying deducted amounts directly to the credit union a request for those amounts to be paid through electronic funds transfers; and
      3. (C) all those requests are approved.

   4. (4) Notifications.

      1. (A) The comptroller shall mail a notice to a credit union about the comptroller's approval or disapproval of the credit union's request for certification. The notice must be mailed not later than the 30th calendar day after the comptroller receives the request if the request is complete in all respects. If the 30th calendar day is not a workday, then the first workday following the 30th calendar day is the deadline.
      2. (B) The comptroller shall maintain a list of participating credit unions. The comptroller shall periodically circulate the list to all state agencies and furnish a copy of the list to a state agency upon request.
   5. (5) Effective date of certification. The first deduction to a participating credit union may be made from salary or wages paid on the first workday of the second month following the month in which the comptroller certifies the credit union.

   6. (6) Termination of certification.

      1. (A) A participating credit union may terminate its participation in the deduction program authorized by this section only by terminating its certification.
      2. (B) A participating credit union may terminate its certification by providing written notice of termination to the comptroller. However, the credit union may not provide that notice before the credit union has provided written notice of termination to each state employee from whose salary or wages a deduction to the credit union is occurring.
      3. (C) A participating credit union's termination of its certification is effective beginning with the salary or wages paid on the first workday of the third month following the month in which the comptroller receives the credit union's proper notice of termination.

7. (g) Payments of deducted amounts.

   1. (1) Payments by the comptroller through electronic funds transfers.

      1. (A) If feasible, the comptroller shall pay deducted amounts to a participating credit union by electronic funds transfer.

      2. (B) If the comptroller pays deducted amounts to a participating credit union by electronic funds transfer, then the comptroller may:

         1. (i) make one transfer to the credit union and require it to distribute the transferred funds to state employees' accounts according to subsection (h) of this section; or
         2. (ii) make one transfer to the credit union account of each state employee.

   2. (2) Payments through warrants issued by the comptroller.

      1. (A) If it is infeasible for the comptroller to pay deducted amounts to a participating credit union by electronic funds transfer, then the comptroller shall:

         1. (i) pay the amounts by warrant;
         2. (ii) make the warrant payable to the credit union;
         3. (iii) require the credit union to distribute the deducted amounts to state employees' accounts according to subsection (h) of this section; and
         4. (iv) make the warrant available for pick up by the state agency whose employees' deducted amounts are being paid by the warrant.

      2. (B) A state agency shall hand deliver or use an overnight delivery service to deliver a warrant picked up under subparagraph (A) of this paragraph to the payee of the warrant.

         1. (i) If the warrant relates to salary or wages that are paid on the first workday of a month, then the agency shall:

            1. (I) release the warrant to an overnight delivery service not later than the second workday of the month for delivery to the payee of the warrant; or
            2. (II) hand deliver the warrant to the payee of the warrant not later than the third workday of the month.

         2. (ii) If the warrant relates to salary or wages that are paid on a day other than the first workday of a month, then the agency shall:

            1. (I) release the warrant to an overnight delivery service not later than the second workday after the agency receives the warrant for delivery to the payee of the warrant; or
            2. (II) hand deliver the warrant to the payee of the warrant not later than the third workday after the agency receives the warrant.

   3. (3) Payments by institutions of higher education.

      1. (A) This paragraph applies only to deductions from salaries or wages that the comptroller does not pay directly to state employees of institutions of higher education.
      2. (B) If feasible, an institution of higher education shall pay deducted amounts to a participating credit union by electronic funds transfer.

      3. (C) If an institution of higher education pays deducted amounts to a participating credit union by electronic funds transfer, then the institution may:

         1. (i) make one transfer to the credit union and require it to distribute the transferred funds to state employees' accounts according to subsection (h) of this section; or
         2. (ii) make one transfer to the credit union account of each state employee.

      4. (D) If it is infeasible for an institution of higher education to pay deducted amounts to a participating credit union by electronic funds transfer, then the institution shall:

         1. (i) pay the amounts by check;
         2. (ii) make the check payable to the credit union; and
         3. (iii) require the credit union to distribute the deducted amounts to state employees' accounts according to subsection (h) of this section.

      5. (E) An institution of higher education shall hand deliver or use an overnight delivery service to deliver a check issued under subparagraph (D) of this paragraph to the payee of the check.

         1. (i) If the check relates to salary or wages that are paid on the first workday of a month, then the institution shall:

            1. (I) release the check to an overnight delivery service not later than the second workday of the month for delivery to the payee of the check; or
            2. (II) hand deliver the check to the payee of the check not later than the third workday of the month.

         2. (ii) If the check relates to salary or wages that are paid on a day other than the first workday of a month, then the institution shall:

            1. (I) release the check to an overnight delivery service not later than the second workday after the date printed on the check for delivery to the payee of the check; or
            2. (II) hand deliver the check to the payee of the check not later than the third workday after the date printed on the check.

8. (h) Distributions of deducted amounts.

   1. (1) Applicability of this subsection. This subsection applies to deducted amounts only if they are paid to a participating credit union under subsection (g)(1)(B)(i), (g)(2), (g)(3)(C)(i), or (g)(3)(D) of this section.
   2. (2) Requirement. A participating credit union shall distribute the amount deducted from a state employee's salary or wages to the proper account of the employee at the credit union.

   3. (3) Deadline for distributions.

      1. (A) This subparagraph applies only if a participating credit union receives a payment of deducted amounts through an electronic funds transfer. The credit union shall distribute them according to paragraph (2) of this subsection not later than the first workday after the credit union receives the detail report for the deducted amounts.
      2. (B) This subparagraph applies only if a participating credit union receives a payment of deducted amounts through a warrant or check. The credit union shall distribute them according to paragraph (2) of this subsection not later than the first workday after the credit union receives the warrant or check.
   4. (4) Distribution of interest earned. This paragraph applies only to the interest that accrues while an employee's deducted amounts are in a credit union account awaiting distribution to the employee's account at the credit union. The interest shall be paid to the employee's account unless the credit union determines the payment would violate federal or state law or an agreement between the credit union and the employee.

9. (i) Charging administrative fees to cover costs incurred to make deductions.

   1. (1) Requirement.

      1. (A) This subparagraph applies to a state employee whose salary or wages are paid through a warrant issued or an electronic funds transfer initiated by the comptroller. The comptroller may not charge the employee an administrative fee to cover the cost of making the deduction.
      2. (B) If a state employee's salary or wages are paid through a check issued or an electronic funds transfer initiated by an institution of higher education and the institution's payroll costs are reimbursed from the state treasury, then the institution may determine whether the employee must pay an administrative fee to cover the cost of making the deduction. The fee, if charged, shall be paid through payroll deduction.

   2. (2) Determination by an institution of higher education of the amount of the fee.

      1. (A) An institution of higher education shall determine the amount of the administrative fee, if any, to be paid by a state employee covered by paragraph (1)(B) of this subsection.
      2. (B) The institution shall periodically recalculate the fee to ensure that the amount of the fee equals the cost of making the deduction. Except as otherwise provided in this subparagraph, the institution shall notify each participating credit union and employee of the institution whenever the institution calculates or recalculates the fee. The institution is not required to notify an employee who has not authorized a deduction or a participating credit union to which no employee of the institution has authorized a currently-effective deduction.
   3. (3) Payment of the administrative fees. The total amount of administrative fees that an institution of higher education deducts from its state employees' salary and wages shall be paid to the institution.

10. (j) Canceled payments of salary or wages; refunding deducted amounts to employers.

    1. (1) Canceled payments of salary or wages.

       1. (A) A state agency shall notify a participating credit union about the agency's cancellation of a payment of salary or wages to a state employee. The notification must be by facsimile and must be provided not later than the day the agency processes the cancellation. This subparagraph applies only if:

          1. (i) the payment is canceled after the agency has hand delivered to the credit union or released to an overnight delivery service a monthly or an additional detail report; and
          2. (ii) the deductions covered by the report include deductions from the canceled payment of salary or wages.
       2. (B) If a state agency notifies a credit union that the agency has canceled a payment of salary or wages to a state employee and if the credit union receives the notice before it distributes deducted amounts to the employee's account, then the credit union may not make the distribution.
       3. (C) If a credit union's distribution of deducted amounts is prohibited by subparagraph (B) of this paragraph, then the state agency that paid them to the credit union shall obtain a refund of them according to paragraph (3)(A) or (B) of this subsection.

       4. (D) If a state agency notifies a credit union that the agency has canceled a payment of salary or wages to a state employee and if the credit union receives the notice after it distributes deducted amounts to the employee's account, then the credit union shall withdraw the amounts from the account unless:

          1. (i) the credit union determines the withdrawal would violate federal or state law; or
          2. (ii) the amount of funds in the account is insufficient for withdrawal of the full amount.
       5. (E) A credit union that receives notification under subparagraph (A) of this paragraph that a state agency has canceled a payment of salary or wages to a state employee shall promptly notify the agency about whether the employee's deducted amounts have been distributed to the employee's account. If the distribution has occurred, the credit union shall also notify the agency about whether the amounts have been withdrawn from the employee's account under subparagraph (D) of this paragraph. The credit union's notification to the agency must be by facsimile.

    2. (2) Authorization of refunds. The payment of a state employee's deducted amounts to a participating credit union shall be refunded to the employee's employer only if:

       1. (A) they exceed the amount that should have been paid to the credit union, and they have not been distributed to the employee's account at the credit union; or
       2. (B) they have been withdrawn from the employee's account at the credit union according to paragraph (1)(D) of this subsection.

    3. (3) Method for accomplishing refunds. If a refund from a participating credit union is required by paragraph (1)(C) or (2) of this subsection, then the refund shall be accomplished by:

       1. (A) the employer of the state employee whose deducted amounts are being refunded subtracting the amount of the refund from a subsequent payment of deducted amounts to the credit union; or
       2. (B) the credit union issuing a check to the employer in the amount of the refund, if authorized by paragraph (4) of this subsection.
    4. (4) Paying refunds by check. A participating credit union may issue a check to an employer only if it submits to the credit union a written request for the refund to be made by check.
    5. (5) Deadline for paying refunds by check. If a participating credit union is authorized by paragraph (4) of this subsection to make a refund to an employer by check, then the credit union shall ensure that the employer receives the check not later than the 30th calendar day after the date on which the credit union receives the agency's written request for the refund. If the 30th calendar day is not a workday, then the first workday following the 30th calendar day is the deadline.

11. (k) Responsibilities of participating credit unions.

    1. (1) Notification to the comptroller. A participating credit union shall notify the comptroller in writing immediately after a change occurs to:

       1. (A) the credit union's name;
       2. (B) the street address of the credit union's main branch;
       3. (C) the mailing address of the credit union's main branch, if different from the street address;
       4. (D) the full name, title, telephone number, facsimile telephone number, or mailing address of the credit union's primary contact; or
       5. (E) the credit union's routing number or bank account number.

    2. (2) Primary contact. The individual that a credit union designates as its primary contact must represent the credit union for the purposes of:

       1. (A) communicating with the comptroller, including receiving and responding to correspondence from the comptroller;
       2. (B) disseminating information, including information about the requirements of this section, to representatives of the credit union; and
       3. (C) communicating with state agencies about payment reconciliation and refunds.

    3. (3) Payment reconciliation and discrepancies.

       1. (A) A participating credit union shall reconcile the detail report provided by a state agency under subsection (l) of this section with the deducted amounts paid to the credit union on behalf of or by the agency under subsection (g) of this section.
       2. (B) A participating credit union shall report all discrepancies between a detail report provided by a state agency and the actual amount of deductions received from or on behalf of the agency. The credit union shall provide its report to the state agency that submitted or on whose behalf the comptroller submitted the detail report. The credit union must ensure that its report is received not later than the 60th calendar day after the day on which the detail report was mailed, hand delivered, or released, whichever applies. If the 60th calendar day is not a workday, then the first workday following the 60th calendar day is the deadline.
    4. (4) Return of magnetic tapes and cartridges. A participating credit union shall return a magnetic tape or cartridge to a state agency not later than the 30th calendar day after the credit union received the tape or cartridge from the agency. If the 30th calendar day is not a workday, then the first workday following the 30th calendar day is the deadline.
    5. (5) Submission of detail reports. A participating credit union that wants a monthly or additional detail report to be submitted to an entity other than the credit union must notify the comptroller in writing. A state agency is not required to submit the report to the entity before the agency has received notification from the comptroller that the report must be submitted to the entity.

12. (l) Responsibilities of state agencies.

    1. (1) Authorization forms. A state agency:

       1. (A) may accept an authorization form only if it complies with this section; and
       2. (B) is not required to accept an authorization form that contains an obvious alteration without the state employee's written consent to the alteration.

    2. (2) Monthly detail reports to participating credit unions.

       1. (A) A state agency shall submit a monthly detail report to each participating credit union that received or should have received a payment of amounts deducted from the salary or wages of at least one of the agency's state employees. If the participating credit union has notified the comptroller in writing that the monthly detail reports should be submitted to an entity other than the credit union, then the reports shall be submitted to that entity.
       2. (B) If a state agency uses USPS and submits its monthly detail reports electronically, then the comptroller shall submit those reports on behalf of the agency. The requirements of this subsection that apply to the submission of those reports by state agencies also apply to the comptroller's submission of the reports.
       3. (C) A monthly detail report may cover only the deductions from salary or wages that are paid on the first workday of the month. Deducted amounts that were paid by electronic funds transfer directly to the credit union accounts of state employees may not be included in the report.

       4. (D) A state agency shall submit a monthly detail report by facsimile, by hand delivery, or through an overnight delivery service.

          1. (i) If the agency submits the report by facsimile, then the agency shall ensure that the report is received not later than the third workday of the month.
          2. (ii) If the agency hand delivers the report, then the agency shall ensure that the report is received not later than the third workday of the month.
          3. (iii) If the agency uses an overnight delivery service, then the agency shall release the report to the service not later than the second workday of the month.

       5. (E) A monthly detail report to a participating credit union for a particular month must include:

          1. (i) the name and social security number of each state employee from whose salary or wages deducted amounts were paid to the credit union for the month; and
          2. (ii) the amount of deductions from each state employee's salary or wages that were paid to the credit union for the month.
       6. (F) A state agency shall submit its monthly detail reports in the format required by the comptroller.

    3. (3) Additional detail reports to participating credit unions.

       1. (A) A state agency shall submit an additional detail report to each participating credit union that received or should have received a payment of amounts deducted from the salary or wages of at least one of the agency's state employees. If the participating credit union has notified the comptroller in writing that the additional detail reports should be submitted to an entity other than the credit union, then the reports shall be submitted to that entity.
       2. (B) If a state agency uses USPS and submits its additional detail reports electronically, then the comptroller shall submit those reports on behalf of the agency. The requirements of this subsection that apply to the submission of those reports by state agencies also apply to the comptroller's submission of the reports.
       3. (C) An additional detail report may cover only the deductions from salary or wages that are paid on a day other than the first workday of the month. Deducted amounts that were paid by electronic funds transfer directly to the credit union accounts of state employees may not be included in the report.

       4. (D) This subparagraph applies only to an additional detail report that covers deducted amounts which are paid by electronic funds transfer to a participating credit union. A state agency shall submit an additional detail report by facsimile, by hand delivery, or through an overnight delivery service.

          1. (i) If an agency submits the report by facsimile, then the agency shall ensure that the report is received not later than the third workday after the deducted amounts are paid to the credit union.
          2. (ii) If the agency hand delivers the report, then the agency shall ensure that the report is received not later than the third workday after the deducted amounts are paid to the credit union.
          3. (iii) If the agency uses an overnight delivery service, then the agency shall release the report to the service not later than the second workday after the deducted amounts are paid to the credit union.
       5. (E) This subparagraph applies only to an additional detail report that covers deducted amounts which are paid by warrant or check to a participating credit union. The report shall accompany the warrant or check when it is mailed or otherwise delivered to the credit union.

       6. (F) An additional detail report to a participating credit union for a particular month must include:

          1. (i) the name and social security number of each state employee from whose salary or wages deducted amounts were paid to the credit union for the month; and
          2. (ii) the amount of deductions from each state employee's salary or wages that were paid to the credit union for the month.
       7. (G) A state agency shall submit its additional detail reports in the format required by the comptroller.
    4. (4) Payment discrepancies. A state agency that receives a report of discrepancies from a participating credit union shall investigate them and notify the credit union of the action to be taken to eliminate them. The agency shall provide the notification not later than the 30th calendar day after the agency receives the report. If the 30th calendar day is not a workday, then the first workday following the 30th calendar day is the deadline.
13. (m) Responsibilities of the comptroller. The comptroller shall notify all state agencies whenever the comptroller receives written notification from a participating credit union that monthly or additional detail reports should be submitted to an entity other than the credit union.

Source Note:The provisions of this §5.47 adopted to be effective May 22, 1995, 20 TexReg 3468; amended to be effective November 19, 1996, 21 TexReg 10989.