Bill Text: TX HB1738 | 2023-2024 | 88th Legislature | Introduced
Bill Title: Relating to severance pay for political subdivision employees and independent contractors.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2023-04-12 - Left pending in committee [HB1738 Detail]
Download: Texas-2023-HB1738-Introduced.html
| 88R637 SCL-F | ||
| By: Leach | H.B. No. 1738 | |
|
|
||
|
|
||
| relating to severance pay for political subdivision employees and | ||
| independent contractors. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Chapter 180, Local Government Code, is amended | ||
| by adding Section 180.011 to read as follows: | ||
| Sec. 180.011. LIMITATION ON SEVERANCE PAY FOR EMPLOYEES AND | ||
| INDEPENDENT CONTRACTORS. (a) In this section, "misconduct" means | ||
| an act or omission by an employee or contractor of a political | ||
| subdivision in the performance of the employee's or contractor's | ||
| duties that the governing body of the political subdivision | ||
| determines to be misconduct. The term includes any finding of | ||
| criminal conduct. | ||
| (b) This section does not apply to a public or teaching | ||
| hospital. | ||
| (c) A political subdivision may not, as part of a severance | ||
| package or as part of any other agreement or settlement made in | ||
| relation to the termination of a person's employment or contract as | ||
| an independent contractor, make a payment to an employee or | ||
| independent contractor if: | ||
| (1) the payment would: | ||
| (A) be paid from tax revenue; and | ||
| (B) exceed the amount of compensation, at the | ||
| rate at the termination of employment or the contract, the employee | ||
| or independent contractor would have been paid for 20 weeks, | ||
| excluding paid time off or accrued vacation leave; or | ||
| (2) the employee or independent contractor was | ||
| terminated for misconduct. | ||
| (d) A political subdivision shall post each severance | ||
| agreement in a prominent place on the political subdivision's | ||
| Internet website. | ||
| SECTION 2. Section 180.011, Local Government Code, as added | ||
| by this Act, applies only to a contract entered into on or after the | ||
| effective date of this Act. | ||
| SECTION 3. This Act takes effect September 1, 2023. | ||
