By:  Lucio                                             S.B. No. 524
                                 A BILL TO BE ENTITLED
                                        AN ACT
    1-1  relating to the civil liability of certain primary and secondary
    1-2  military schools.
    1-3        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-4        SECTION 1.  Subdivision (1), Section 84.003, Civil Practice
    1-5  and Remedies Code, is amended to read as follows:
    1-6              (1)  "Charitable organization" means:
    1-7                    (A)  any organization exempt from federal income
    1-8  tax under Section 501(a) of the Internal Revenue Code of 1986  by
    1-9  being listed as an exempt organization in Section 501(c)(3) or
   1-10  501(c)(4) of the code, if it is a nonprofit corporation,
   1-11  foundation, community chest, or fund organized and operated
   1-12  exclusively for charitable, religious, prevention of cruelty to
   1-13  children or animals, youth sports and youth recreational, or
   1-14  educational purposes, excluding private primary or secondary
   1-15  schools other than schools described by Paragraph (D), alumni
   1-16  associations and related on-campus organizations, or is organized
   1-17  and operated exclusively for the promotion of social welfare by
   1-18  being primarily engaged in promoting the common good and general
   1-19  welfare of the people in a community;
   1-20                    (B)  any bona fide charitable, religious,
   1-21  prevention of cruelty to children or animals, youth sports and
   1-22  youth recreational, or educational organization, excluding alumni
   1-23  associations and related on-campus organizations, or other
   1-24  organization organized and operated exclusively for the promotion
    2-1  of social welfare by being primarily engaged in promoting the
    2-2  common good and general welfare of the people in a community, and
    2-3  that:
    2-4                          (i)  is organized and operated exclusively
    2-5  for one or more of the above purposes;
    2-6                          (ii)  does not engage in activities which
    2-7  in themselves are not in furtherance of the purpose or purposes;
    2-8                          (iii)  does not directly or indirectly
    2-9  participate or intervene in any political campaign on behalf of or
   2-10  in opposition to any candidate for public office;
   2-11                          (iv)  dedicates its assets to achieving the
   2-12  stated purpose or purposes of the organization;
   2-13                          (v)  does not allow any part of its net
   2-14  assets on dissolution of the organization to inure to the benefit
   2-15  of any group, shareholder, or individual; and
   2-16                          (vi)  normally receives more than one-third
   2-17  of its support in any year from private or public gifts, grants,
   2-18  contributions, or membership fees; <or>
   2-19                    (C)  a homeowners association as defined by
   2-20  Section 528(c) of the Internal Revenue Code of 1986; or
   2-21                    (D)  a primary or secondary school if the school:
   2-22                          (i)  is exempt from federal income tax
   2-23  under Section 501(a) of the Internal Revenue Code of 1986 by being
   2-24  listed as an exempt organization in Section 501(c)(3) of the code;
   2-25                          (ii)  operates as a boarding school only
   2-26  and does not provide educational services to students other than
   2-27  boarding students; and
    3-1                          (iii)  offers a curriculum in conjunction
    3-2  with the United States Marine Corps Junior Reserve Officer Training
    3-3  Corps.
    3-4        SECTION 2.  This Act takes effect September 1, 1995, and
    3-5  applies only to a cause of action that accrues on or after that
    3-6  date.  An action that accrued before the effective date of this Act
    3-7  is governed by the law as it existed immediately before the
    3-8  effective date of this Act, and that law is continued in effect for
    3-9  that purpose.
   3-10        SECTION 3.  The importance of this legislation and the
   3-11  crowded condition of the calendars in both houses create an
   3-12  emergency and an imperative public necessity that the
   3-13  constitutional rule requiring bills to be read on three several
   3-14  days in each house be suspended, and this rule is hereby suspended.