Enrolled Bill Summary

            Senate Bill 407 amends the Government Code to authorize governmental units that contract to provide emergency or fire services, to determine by contract which entity is responsible for any civil liability that arises from furnishing those services. In the absence of a contract that addresses the liability, the bill provides that the governmental unit that requests and obtains the services is responsible for any civil liability that arises from furnishing those services.

            Reason Given for Veto: "Senate Bill No. 407 attempts to encourage cities with fire departments and emergency services to make those services available to neighboring local government entities that do not have them. Unfortunately, the bill would have the exact opposite effect.

                "Current law provides that when two governmental units contract to furnish or obtain fire services, the city furnishing the services cannot be sued for injuries or property damage that might be caused by the services.

                "The city receiving the services 'is responsible for any civil liability that arises from the furnishing of those services.' This

is more than merely an indemnity between the two governmental entities; it means that a plaintiff can only recover damages from the entity which receives the services.

                "The bill replaces this statutory ban on lawsuits with a provision that inadvertently allows the city providing the services to be sued.

                "The only protection the city would have under the bill is an indemnity agreement with the entity which receives the services. That means the city providing the services can be sued; once it pays a judgment, it must try to recover the amount it pays plaintiff by suing the entity which received the services.

                "Further, in the event that the city provides fire or emergency services to another local governmental entity without a contract, the bill gives the city which provides the services the same shield from lawsuits that current law gives to a city which provides fire services under a contract.

                "However, the wording of this provision makes the governmental unit which receives the services without a contract liable for any civil liability. School districts or hospital districts within the same city as the fire department would be liable for any damages that occur anytime the fire or emergency services departments respond to an alarm at their facilities."