Monitoring the Session

HB 5404

Talarico Bill Strikes Mandatory Comp Time For State Workers

Died in committee

Verdict: No flags

No flagsInitial review
Rep. James TalaricoDHouse 50

Initial review · graded Oct 20, 2026 · Headline, summary and grade are analysis of the bill text, not a finding about any person · How we grade

Caption

relating to overtime compensation for certain state employees.

Caption from analyzed text · version I.

Summary

Over 40 hours? Time and a half, as cash or as comp time the agency allows.

This bill changes how Texas state agencies handle overtime for hourly state workers covered by federal overtime law. It strikes the language that lets an agency require comp time and the language that lets an agency pay cash for overtime only at its discretion when comp time is impractical. Covered workers who put in more than 40 hours a week get overtime at time and a half either as comp time the agency allows or as cash pay, starting September 1, 2025.

Labels

Labels: NEVER GOT A HEARING. Filed Mar 14, 2025 and referred to the House Delivery of Government Efficiency committee. No public hearing. The bill died.

Receipt

The receipt

89R-HB5404 · 2025-03-14

SOLD BY

ITEM

relating to overtime compensation for certain state employees.

WHAT IT DOES

Over 40 hours? Time and a half, as cash or as comp time the agency allows.

This bill changes how Texas state agencies handle overtime for hourly state workers covered by federal overtime law. It strikes the language that lets an agency require comp time and the language that lets an agency pay cash for overtime only at its discretion when comp time is impractical. Covered workers who put in more than 40 hours a week get overtime at time and a half either as comp time the agency allows or as cash pay, starting September 1, 2025.

CHARGES

[ ] NONE FOUND

TOTAL

No fiscal note in the loaded record.

HISTORY

  1. Filed
  2. Read first time
  3. Referred to Delivery of Government Efficiency
FILED UNDER

GOVERNMENT GROWTH UNDER A CONSERVATIVE BANNER

THE TEXT

…“the employee receiving pay for the overtime at the rate equal to 1-1/2 times the employee's regular rate of pay”

Bill text, introduced version (I)

The bill removes the agency's discretion over cash overtime and opens the cash route to state employees, which changes how state workers are paid.

No flags

THANK YOU FOR CHECKING THE RECEIPT

CAMPAIGN PAID FOR BY

CAMPAIGN PAID FOR BY

Donors

Peter McCarthy$20,000Bailey Mccarthy$10,000Walter Horton$8,500

Not tied to this bill.

Sources

The author's campaign account only. Own money and internal transfers are separate on the member page.

Derived itemized flow · Jul 1, 2024 to Jun 9, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Peter McCarthy$20,000.00
Bailey Mccarthy$10,000.00
Walter Horton$8,500.00
Money

Missing data does not establish zero giving. Display amounts are rounded.

Votes

No floor vote loaded for this bill.

Fiscal

No fiscal note in the loaded record.

How this was graded

Analysis of text version I by claude-opus-5-5, Oct 20, 2026, against the published rubric.

Sources

Texas House · Filed Mar 14, 2025

04/07/2025 H Referred to Delivery of Government Efficiency: Apr 7 2025 5:28PM

Texas Legislature Online · Introduced

Data snapshot Oct 26, 2026 at 4:19 AM CDT. Grades, charges, quotes and corrections follow the published record.

House committee · Delivery of Government Efficiency · Final status: Died in committee

Subjects

Labor--Wages

State Employees

COMPENSATORY TIME

Text

The text as introduced · 267 words

By: Talarico
H.B. No. 5404

A BILL TO BE ENTITLED

AN ACT

relating to overtime compensation for certain state employees.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Subchapter A, Chapter 659, Education Code, is

amended by amending Section 659.015 to read as follows:

Sec. 659.015. OVERTIME COMPENSATION FOR EMPLOYEES SUBJECT

TO FAIR LABOR STANDARDS ACT. (a) This section applies only to a

state employee who is subject to the overtime provisions of the

federal Fair Labor Standards Act of 1938 (29 U.S.C. Section 201 et

seq.) and who is not an employee of the legislature, including an

employee of the lieutenant governor, or of a legislative agency.

(b) The employee is entitled to compensation for overtime as

provided by federal law and this section. To the extent that this

section and federal law prescribe a different rule for the same

circumstance, federal law controls without regard to whether this

section or federal law prescribes a stricter rule.

(c) An employee who is required to work hours in excess of 40

hours in a workweek is entitled to compensation for the excess hours

either by:

(1) the agency allowing [ or requiring ] the employee to take

compensatory time off at the rate of 1-1/2 hours off for each hour

of overtime; or

(2) [ at the discretion of the employing agency, in cases in

which granting compensatory time off is impractical, ] the employee

receiving pay for the overtime at the rate equal to 1-1/2 times the

employee's regular rate of pay.

SECTION 2. This Act takes effect September 1, 2025.