BILL ANALYSIS



S.B. 524
By: Lucio (Oliveira)
April 17, 1995
Committee Report (Unamended)


BACKGROUND

The Marine Military Academy educates students from the eighth
through twelfth grades.  It is a non-profit organization operated
by the United States Marine Corps.  Although the school is a not
for profit organization, unlike other non-profit organizations, it
is not given limited liability under current Texas law. Current
Texas law defining charitable organizations excludes private
primary or secondary schools.

PURPOSE

The purpose of this bill is to limit the liability of private
primary or secondary educational facilities which are non-profit,
exempt from federal income tax, and offers curriculum in
conjunction with the United States Marine Corp.

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 84.003(1)(A), Civil Practice and
Remedies Code, by changing the definition of a charitable
organization to include certain schools as defined in new Paragraph
(D). 
     (D) Defines a charitable organization as a private primary and
secondary school if it:

     (i) is an exempt organizations under the Internal Revenue
     Code;

     (ii) provides educational services only to students it boards
     if it is a boarding school; and

     (iii) maintains a curriculum set by the United States Marine
     Corps Junior Reserve Officer Training Corps.

SECTION 2.  Effective date - September 1, 1995.

SECTION 3.  Emergency Clause. 


RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly
grant any additional rulemaking authority to a state officer,
department, agency or institution.


SUMMARY OF COMMITTEE ACTION

S.B. 524 was considered by the Committee on Civil Practices in a
public hearing on April 12, 1995. The bill was reported favorably
without amendment, with the recommendation that it do pass and be
printed and be sent to the Committee on Local and Consent
Calendars, by a record vote of five ayes, zero nays, zero pnv, four
absent.