1-1  By:  Lucio                                             S.B. No. 524
    1-2        (In the Senate - Filed February 10, 1995; February 14, 1995,
    1-3  read first time and referred to Committee on Economic Development;
    1-4  March 7, 1995, reported favorably by the following vote:  Yeas 10,
    1-5  Nays 0; March 7, 1995, sent to printer.)
    1-6                         A BILL TO BE ENTITLED
    1-7                                AN ACT
    1-8  relating to the civil liability of certain primary and secondary
    1-9  military schools.
   1-10        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-11        SECTION 1.  Subdivision (1), Section 84.003, Civil Practice
   1-12  and Remedies Code, is amended to read as follows:
   1-13              (1)  "Charitable organization" means:
   1-14                    (A)  any organization exempt from federal income
   1-15  tax under Section 501(a) of the Internal Revenue Code of 1986  by
   1-16  being listed as an exempt organization in Section 501(c)(3) or
   1-17  501(c)(4) of the code, if it is a nonprofit corporation,
   1-18  foundation, community chest, or fund organized and operated
   1-19  exclusively for charitable, religious, prevention of cruelty to
   1-20  children or animals, youth sports and youth recreational, or
   1-21  educational purposes, excluding private primary or secondary
   1-22  schools other than schools described by Paragraph (D), alumni
   1-23  associations and related on-campus organizations, or is organized
   1-24  and operated exclusively for the promotion of social welfare by
   1-25  being primarily engaged in promoting the common good and general
   1-26  welfare of the people in a community;
   1-27                    (B)  any bona fide charitable, religious,
   1-28  prevention of cruelty to children or animals, youth sports and
   1-29  youth recreational, or educational organization, excluding alumni
   1-30  associations and related on-campus organizations, or other
   1-31  organization organized and operated exclusively for the promotion
   1-32  of social welfare by being primarily engaged in promoting the
   1-33  common good and general welfare of the people in a community, and
   1-34  that:
   1-35                          (i)  is organized and operated exclusively
   1-36  for one or more of the above purposes;
   1-37                          (ii)  does not engage in activities which
   1-38  in themselves are not in furtherance of the purpose or purposes;
   1-39                          (iii)  does not directly or indirectly
   1-40  participate or intervene in any political campaign on behalf of or
   1-41  in opposition to any candidate for public office;
   1-42                          (iv)  dedicates its assets to achieving the
   1-43  stated purpose or purposes of the organization;
   1-44                          (v)  does not allow any part of its net
   1-45  assets on dissolution of the organization to inure to the benefit
   1-46  of any group, shareholder, or individual; and
   1-47                          (vi)  normally receives more than one-third
   1-48  of its support in any year from private or public gifts, grants,
   1-49  contributions, or membership fees; <or>
   1-50                    (C)  a homeowners association as defined by
   1-51  Section 528(c) of the Internal Revenue Code of 1986; or
   1-52                    (D)  a primary or secondary school if the school:
   1-53                          (i)  is exempt from federal income tax
   1-54  under Section 501(a) of the Internal Revenue Code of 1986 by being
   1-55  listed as an exempt organization in Section 501(c)(3) of the code;
   1-56                          (ii)  operates as a boarding school only
   1-57  and does not provide educational services to students other than
   1-58  boarding students; and
   1-59                          (iii)  offers a curriculum in conjunction
   1-60  with the United States Marine Corps Junior Reserve Officer Training
   1-61  Corps.
   1-62        SECTION 2.  This Act takes effect September 1, 1995, and
   1-63  applies only to a cause of action that accrues on or after that
   1-64  date.  An action that accrued before the effective date of this Act
   1-65  is governed by the law as it existed immediately before the
   1-66  effective date of this Act, and that law is continued in effect for
   1-67  that purpose.
   1-68        SECTION 3.  The importance of this legislation and the
    2-1  crowded condition of the calendars in both houses create an
    2-2  emergency and an imperative public necessity that the
    2-3  constitutional rule requiring bills to be read on three several
    2-4  days in each house be suspended, and this rule is hereby suspended.
    2-5                               * * * * *