Key implementation requirements and action items for compliance with this legislation
Implementation Timeline
Effective Date:June 20, 2025 (Legislative history confirms a 2/3 vote, triggering immediate effect, overriding the September 1 text date).
Compliance Deadline:June 20, 2025. Agencies must have an "Agency Telework Plan" published *before* authorizing or renewing any telework arrangements.
Agency Rulemaking: Individual agencies must draft and publish their own Telework Plans immediately. A "regulatory gray zone" exists between June 20 and the publication of these plans, during which existing telework arrangements may be technically non-compliant.
Immediate Action Plan
1.State Agencies: Draft and publish the "Agency Telework Plan" immediately to validate current remote arrangements before June 20.
2.HR Departments: Audit all current remote employees; prepare to "re-paper" every file with a compliant, annually renewable Telework Agreement by Q3 2025.
3.GovTech/Vendors: Review current MSAs regarding liability for data breaches on remote endpoints; expect agencies to push stricter cybersecurity indemnification based on this statute.
4.Compliance Officers: Issue a directive prohibiting meetings with state officials at private residences to avoid aiding in a statutory violation.
Operational Changes Required
Contracts
State Employment Contracts: Offer letters and employment agreements must not list telework as a "condition of employment." Clauses guaranteeing permanent remote status are now voidable.
Vendor/Staffing MSAs: Master Services Agreements for staff augmentation must be amended to acknowledge that contract workers placed at state agencies are subject to the agency’s specific Telework Plan, including productivity monitoring and revocation without notice.
Hiring/Training
Management Training: Supervisors must be trained on the statutory ban on in-person meetings at home offices. All face-to-face interactions must occur at official agency sites or neutral locations.
Recruitment: HR must revise job postings to remove guarantees of permanent remote work, as the agency retains statutory authority to revoke telework privileges at any time.
Reporting & Record-Keeping
Public Disclosure: Agencies must publish their "Agency Telework Plan" on their publicly accessible website.
Internal Documentation: A written Telework Agreement must be executed for every remote employee.
Frequency: Must be renewed annually.
Content: Must cite specific justification (lack of office space or mission effectiveness) and confirm security protocols.
Fees & Costs
Budget Impact: Low direct fiscal impact.
Operational Costs: Agencies and integrated vendors should anticipate costs for implementing required "productivity monitoring" software and upgrading endpoint security to meet new statutory "appropriate security" standards.
Strategic Ambiguities & Considerations
"Productivity Monitoring": The statute mandates monitoring but fails to define the technical standard. Agencies may implement invasive surveillance tools (keystroke logging, screen capture). Vendors with staff integrated into state networks must clarify if their proprietary data or employee privacy is compromised by these tools.
"Condition of Employment" vs. Out-of-State Hires: The prohibition on making telework a condition of employment creates legal risk for agencies hiring out-of-state talent. It is unclear if an agency can legally hire a remote specialist in another state if they cannot contractually guarantee the role will remain remote.
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The bill author has informed the committee that since 2020, the workplace has evolved to address several critical needs within the state's workforce management, allowing expanded telework opportunities for state employees, but that the state has not had a formal, statewide telework policy in statute. Recently, Governor Abbott issued a directive to end telework policies, requiring employees to return to offices, but the bill author has further informed the committee that allowing some employees to continue their teleworking with certain parameters in place will allow agencies more flexibility with a lack of physical office space and associated costs. C.S.H.B. 5196 seeks to establish a clear framework for telework arrangements, ensuring that both employees and agency heads understand the associated conditions and expectations.
CRIMINAL JUSTICE IMPACT
It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.
RULEMAKING AUTHORITY
It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS
C.S.H.B. 5196 amends the Government Code to authorize the administrative head of an applicable state agency in the executive or judicial branch to enter into an agreement with an employee authorizing telework in order to address a lack of available office space for the agency or provide reasonable flexibility that enhances the agency's ability to achieve its mission. The bill defines "telework," for purposes of provisions relating to state officer and employee hours of labor, including the bill's provisions, as a work arrangement that allows an employee of a state agency to conduct on a regular basis all or some agency business at a place other than the employee's regular or assigned temporary place of employment during all or a portion of the employee's established work hours. The bill does the following with regard to such a telework agreement:
·requires the agreement to meet the following conditions:
obe in writing;
oinclude the reasons telework is being authorized;
ostate the terms under which the agreement may be revoked; and
obe renewed at least once each year after the employee begins telework;
·authorizes the agreement to be revoked by the state agency at any time and without notice;
·prohibits a state agency from offering telework as a condition of employment by the agency; and
·expressly establishes that an agreement does not prohibit the employing state agency from requiring an employee to report to the employee's regular or assigned temporary place of employment or another work location on a day on which the agreement otherwise authorizes telework for a meeting, special event, or other engagement for which the agency determines in-person interaction is necessary.
C.S.H.B. 5196 requires a state agency that authorizes telework under the bill's provisions to develop a plan that addresses the agency's telework policies and procedures. An agency telework plan must:
·establish the following:
ocriteria for evaluating the ability of an employee to satisfactorily perform the employee's job duties while teleworking;
operformance standards that ensure a teleworking employee maintains satisfactory performance;
oa system for monitoring the productivity of a teleworking employee that ensures that the employee's work remains satisfactory and that the employee's duties remain suitable for telework; and
oappropriate physical and information security controls at teleworking sites;
·ensure that a teleworking employee is subject to the same rules and disciplinary actions as any other agency employee; and
·prohibit a teleworking employee from conducting in-person business at the employee's personal residence.
The bill requires a state agency that develops an agency telework plan under these provisions to publish the agency's telework plan on the agency's publicly accessible website.
C.S.H.B. 5196 revises statutory provisions regarding the places where applicable state agency employees may perform work by changing one of the circumstances triggering an exception to the requirement for an employee, during normal office hours, to conduct agency business only at their regular or assigned temporary place of employment from the employee having received prior written authorization from the appropriate administrative head to perform work elsewhere to the employee having received authorization to telework under the bill's provisions.
EFFECTIVE DATE
September 1, 2025.
COMPARISON OF INTRODUCED AND SUBSTITUTE
While C.S.H.B. 5196 may differ from the introduced in minor or nonsubstantive ways, the following summarizes the substantial differences between the introduced and committee substitute versions of the bill.
The substitute replaces the introduced version's authorization for the administrative head of an applicable state agency to award telework to an employee for certain purposes with an authorization for the administrative head of an applicable state agency to enter into an agreement with an employee authorizing telework for such purposes. The substitute version's provisions regarding those telework agreements are substantially similar to the introduced version's provisions regarding the award of telework, except that the substitute includes a provision that was not in the introduced establishing that an agreement does not prohibit the employing state agency from requiring an employee to report to the employee's regular or assigned temporary place of employment or another work location on a day on which the agreement otherwise authorizes telework for a meeting, special event, or other engagement for which the agency determines in-person interaction is necessary.
Additionally, whereas the introduced subjected the introduced version's authorization to award telework to statutory provisions regarding the place where applicable state agency employees may perform work, the substitute revises those statutory provisions to change one of the circumstances triggering an exception to the requirement for an employee, during normal office hours, to conduct agency business only at their regular or assigned temporary place of employment from the employee having received prior written authorization from the appropriate administrative head to perform work elsewhere to the employee having received authorization to telework under the substitute version's provisions.
The substitute includes provisions, absent from the introduced, that do the following:
·require a state agency that authorizes telework under the substitute version's provisions to develop a plan that addresses the agency's telework policies and procedures;
·establish certain requirements and criteria for such an agency telework plan; and
·require a state agency that develops an agency telework plan to publish the plan on the agency's publicly accessible website.
Honorable Giovanni Capriglione, Chair, House Committee on Delivery of Government Efficiency
FROM:
Jerry McGinty, Director, Legislative Budget Board
IN RE:
HB5196 by Capriglione (Relating to telework for state employees.), As Introduced
No significant fiscal implication to the State is anticipated.
The bill would grant agency heads the authority to approve telework in order to address a lack of office space or to enhance agency mission effectiveness. The bill would require written documentation of telework terms, among other provisions.
This analysis assumes that any costs associated with the bill could be absorbed using existing resources.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies: b > td >
242 State Commission on Judicial Conduct, 304 Comptroller of Public Accounts, 320 Texas Workforce Commission, 352 Bond Review Board, 452 Department of Licensing and Regulation, 503 Texas Medical Board, 529 Health and Human Services Commission, 582 Commission on Environmental Quality, 601 Department of Transportation, 701 Texas Education Agency, 710 Texas A&M University System Administrative and General Offices, 717 Texas Southern University, 719 Texas State Technical College System Administration, 720 The University of Texas System Administration, 758 Texas State University System, 768 Texas Tech University System Administration, 769 University of North Texas System Administration, 781 Higher Education Coordinating Board, 783 University of Houston System Administration
LBB Staff: b > td >
JMc, RStu, THO, KTw
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HB5196 codifies and restricts telework for all Texas state agencies, moving remote work from a managerial perk to a regulated statutory process effective immediately upon signature. While directly binding on state entities, this law forces government contractors and vendors to align with new security protocols, productivity monitoring, and strict prohibitions on conducting state business at personal residences. Implementation Timeline Effective Date: June 20, 2025 (Legislative history confirms a 2/3 vote, triggering immediate effect, overriding the September 1 text date).
Q
Who authored HB5196?
HB5196 was authored by Texas Representative Giovanni Capriglione during the Regular Session.
Q
When was HB5196 signed into law?
HB5196 was signed into law by Governor Greg Abbott on June 20, 2025.
Q
Which agencies enforce HB5196?
HB5196 is enforced by Individual State Agency Heads.
Q
How urgent is compliance with HB5196?
The compliance urgency for HB5196 is rated as "moderate". Businesses and organizations should review the requirements and timeline to ensure timely compliance.
Q
What is the cost impact of HB5196?
The cost impact of HB5196 is estimated as "low". This may vary based on industry and implementation requirements.
Q
What topics does HB5196 address?
HB5196 addresses topics including state agencies, boards & commissions, state employees and telecommuting.
Legislative data provided by LegiScanLast updated: November 25, 2025
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