By:  Chisum                                            H.B. No. 296
       73R107 SRC-D
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to consent decrees, agreed judgments, and settlements of
    1-3  legal disputes involving the state.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Title 2, Civil Practice and Remedies Code, is
    1-6  amended by adding Chapter 11 to read as follows:
    1-7     CHAPTER 11.  SETTLEMENT OF LEGAL DISPUTES INVOLVING THE STATE
    1-8        Sec. 11.001.  DEFINITIONS.  In this chapter:
    1-9              (1)  "Settlement" means any agreement involving a legal
   1-10  dispute and includes a consent decree and an agreed judgment.
   1-11              (2)  "State attorney" means a person representing the
   1-12  state as an attorney in a civil suit.
   1-13        Sec. 11.002.  APPLICABILITY.  This chapter applies to a civil
   1-14  action in state or federal court in which the state is a party.
   1-15        Sec. 11.003.  APPROVAL REQUIRED.  A state attorney may not
   1-16  agree to a settlement that imposes a financial obligation on the
   1-17  state unless the attorney has obtained the approval of the
   1-18  governor, the lieutenant governor, and the attorney general.
   1-19        Sec. 11.004.  REQUEST FOR APPROVAL.  (a)  A state attorney
   1-20  requesting approvals of a settlement under this chapter shall
   1-21  submit requests to the governor, the lieutenant governor, and the
   1-22  attorney general in person or by registered mail or certified mail,
   1-23  return receipt requested.
   1-24        (b)  The requests shall be submitted on the same day.
    2-1        (c)  The requests must be accompanied by all available
    2-2  documentation concerning the settlement offer.
    2-3        (d)  The state attorney shall provide any additional
    2-4  documentation requested by the governor, the lieutenant governor,
    2-5  or the attorney general.
    2-6        Sec. 11.005.  APPROVAL OR REJECTION.  (a)  A settlement offer
    2-7  is approved only if the governor, the lieutenant governor, and the
    2-8  attorney general each approve.
    2-9        (b)  A settlement offer is rejected if the governor, the
   2-10  lieutenant governor, or the attorney general refuses to approve the
   2-11  settlement.
   2-12        Sec. 11.006.  PROCEDURE.  (a)  The governor, the lieutenant
   2-13  governor, and the attorney general must approve or reject a
   2-14  settlement offer in writing.
   2-15        (b)  The governor, the lieutenant governor, and the attorney
   2-16  general shall deliver the approval or rejection of a settlement
   2-17  offer to each other, to the state attorney, and to the court.
   2-18        Sec. 11.007.  TIME LIMIT FOR APPROVALS.  (a)  If the
   2-19  approvals required by this chapter are not obtained by the state
   2-20  attorney before the 91st day after the date on which the state
   2-21  attorney submitted the requests for approval, the settlement is
   2-22  rejected.
   2-23        (b)  If the time limit provided by Subsection (a) expires,
   2-24  the state attorney must immediately advise the governor, the
   2-25  lieutenant governor, the attorney general, and the court of the
   2-26  rejection.
   2-27        Sec. 11.008.  DUTY OF THE COURT.  A settlement may not be
    3-1  accepted or enforced by a court unless it has been approved as
    3-2  provided by this chapter.
    3-3        SECTION 2.  This Act takes effect September 1, 1993.  Section
    3-4  1 of this Act applies to the settlement, whether by consent decree,
    3-5  agreed judgment, or otherwise, of any case in which a final
    3-6  judgment has not been rendered before that date.
    3-7        SECTION 3.  The importance of this legislation and the
    3-8  crowded condition of the calendars in both houses create an
    3-9  emergency   and   an   imperative   public   necessity   that   the
   3-10  constitutional rule requiring bills to be read on three several
   3-11  days in each house be suspended, and this rule is hereby suspended.