| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
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 180.008 to read as follows: |
|
|
Sec. 180.008. 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 180.008, 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, 2021. |