By Longoria                                             H.B. No. 70

      75R569 DLF-D                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to remedies for certain violations of the Texas

 1-3     Constitution.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Title 5, Civil Practice and Remedies Code, is

 1-6     amended by adding Chapter 111 to read as follows:

 1-7             CHAPTER 111.  VIOLATIONS OF THE TEXAS CONSTITUTION

 1-8                      SUBCHAPTER A.  GENERAL PROVISIONS

 1-9           Sec. 111.001.  DEFINITIONS.  In this chapter:

1-10                 (1)  "Employee" has the meaning assigned by Section

1-11     101.001.

1-12                 (2)  "Exemplary damages" has the meaning assigned by

1-13     Section 41.001.

1-14                 (3)  "Governmental unit" has the meaning assigned by

1-15     Section 101.001, except that the term does not include a volunteer

1-16     fire department.

1-17              (Sections 111.002-111.020 reserved for expansion

1-18               SUBCHAPTER B.  LIABILITY OF GOVERNMENTAL UNITS

1-19           Sec. 111.021.  GOVERNMENTAL LIABILITY.  (a)  A governmental

1-20     unit is liable for compensatory damages if:

1-21                 (1)  the governmental unit or an employee of the

1-22     governmental unit in the employee's official capacity acts or fails

1-23     to act in a manner that violates the rights of a person under

1-24     Article I of the Texas Constitution, the Bill of Rights;

 2-1                 (2)  the employee or other individual responsible for

 2-2     the act or failure to act knew or should have known that the act or

 2-3     failure to act violated the Bill of Rights; and

 2-4                 (3)  the violation resulted in property damage,

 2-5     personal injury, or death.

 2-6           (b)  An action under this section must be brought by or on

 2-7     behalf of:

 2-8                 (1)  the person who suffered the property damage or

 2-9     personal injury; or

2-10                 (2)  in the case of a violation resulting in death, a

2-11     person who may bring an action under Subchapter A or B, Chapter 71.

2-12           Sec. 111.022.  EXEMPLARY DAMAGES.  This chapter does not

2-13     authorize exemplary damages.

2-14           Sec. 111.023.  WAIVER OF GOVERNMENTAL IMMUNITY; PERMISSION TO

2-15     SUE.  (a)  Sovereign immunity to suit is waived and abolished to

2-16     the extent of the liability created by this chapter.

2-17           (b)  A person having a claim under this chapter may sue a

2-18     governmental unit for damages allowed by this chapter.

2-19           Sec. 111.024.  INDIVIDUAL LIABILITY NOT CREATED.  This

2-20     chapter does not create liability with respect to an employee of a

2-21     governmental unit or another individual.

2-22           Sec. 111.025.  LIABILITY INSURANCE.  (a)  Each governmental

2-23     unit may purchase insurance policies protecting the unit  against

2-24     claims under this chapter.

2-25           (b)  The policies may relinquish to the insurer the right to

2-26     investigate, defend, compromise, and settle any claim under this

2-27     chapter to which the insurance coverage extends.

 3-1           (c)  This state or a political subdivision of this state may

 3-2     not require an employee to purchase liability insurance as a

 3-3     condition of employment if the state or the political subdivision

 3-4     is insured by a liability insurance policy.

 3-5              (Sections 111.026-111.050 reserved for expansion

 3-6                          SUBCHAPTER C.  EXCLUSIONS

 3-7           Sec. 111.051.  LEGISLATIVE.  This chapter does not apply to a

 3-8     claim based on an action of the legislature or a member of the

 3-9     legislature acting in the member's official capacity or to the

3-10     legislative functions of a governmental unit.

3-11           Sec. 111.052.  JUDICIAL.  (a)  This chapter does not apply to

3-12     a claim based on an act of a court of this state or any member of a

3-13     court of this state acting in the member's official capacity or to

3-14     a judicial function of a governmental unit.  "Official capacity"

3-15     means all duties of office and includes administrative decisions or

3-16     actions.

3-17           (b)  This chapter does not apply to a claim based on an act

3-18     or omission of an employee in the execution of a lawful order of

3-19     any court.

3-20              (Sections 111.053-111.100 reserved for expansion

3-21                          SUBCHAPTER D.  PROCEDURES

3-22           Sec. 111.101.  NOTICE.  (a) A governmental unit is entitled

3-23     to receive notice of a claim against it under this chapter not

3-24     later than six months after the day that the incident giving rise

3-25     to the claim occurred.  The notice must reasonably describe:

3-26                 (1)  the damage or injury claimed;

3-27                 (2)  the time and place of the incident; and

 4-1                 (3)  the incident.

 4-2           (b)  A city's charter and ordinance provisions requiring

 4-3     notice within a charter period permitted by law are ratified and

 4-4     approved.

 4-5           Sec. 111.102.  COMMENCEMENT OF SUIT.  (a) A suit under this

 4-6     chapter shall be brought in state court in the county in which the

 4-7     cause of action or a part of the cause of action arises.

 4-8           (b)  The pleadings of the suit must name as defendant the

 4-9     governmental unit against which liability is to be established.

4-10           (c)  In a suit against the state, citation must be served on

4-11     the secretary of state.  In other suits, citation must be served as

4-12     in other civil cases unless no method of service is provided by

4-13     law, in which case service may be on the administrative head of the

4-14     governmental unit being sued.  If the administrative head of the

4-15     governmental unit is not available, the court in which the suit is

4-16     pending may authorize service in any manner that affords the

4-17     governmental unit a fair opportunity to answer and defend the suit.

4-18           Sec. 111.103.  LEGAL REPRESENTATION.  (a) The attorney

4-19     general shall defend each action brought under this chapter against

4-20     a governmental unit that has authority and jurisdiction coextensive

4-21     with the geographical limits of this state.  The attorney general

4-22     may be fully assisted by counsel provided by an insurance carrier.

4-23           (b)  A governmental unit having an area of jurisdiction

4-24     smaller than the entire state shall employ its own counsel

4-25     according to the organic act under which the unit operates, unless

4-26     the governmental unit has relinquished to an insurance carrier the

4-27     right to defend against the claim.

 5-1           Sec. 111.104.  EVIDENCE OF INSURANCE COVERAGE.  (a) Neither

 5-2     the existence nor the amount of insurance held by a governmental

 5-3     unit is admissible in the trial of a suit under this chapter.

 5-4           (b)  Neither the existence nor the amount of the insurance is

 5-5     subject to discovery.

 5-6           Sec. 111.105.  SETTLEMENT.  (a) A cause of action under this

 5-7     chapter may be settled and compromised by the governmental unit if:

 5-8                 (1)  in a case involving the state, the governor

 5-9     determines that the compromise is in the best interests of the

5-10     governmental unit; or

5-11                 (2)  in other cases, the governing body of the

5-12     governmental unit determines that the compromise is in the best

5-13     interests of the governmental unit.

5-14           (b)  Approval is not required if the governmental unit has

5-15     acquired insurance under this chapter.

5-16           Sec. 111.106.  PAYMENT AND COLLECTION OF JUDGMENT.  (a)  A

5-17     judgment in a suit under this chapter may be enforced only in the

5-18     same manner and to the same extent as other judgments against the

5-19     governmental unit are enforceable as provided by law, unless the

5-20     governmental unit has liability or indemnity insurance protection,

5-21     in which case the holder of the judgment may collect the judgment,

5-22     to the extent of the insurer's liability, as provided in the

5-23     insurance or indemnity contract or policy or as otherwise provided

5-24     by law.

5-25           (b)  A judgment or a portion of a judgment that is not

5-26     payable by an insurer need not be paid by a governmental unit until

5-27     the first fiscal year following the fiscal year in which the

 6-1     judgment becomes final.

 6-2           (c)  If in a fiscal year the aggregate amount of judgments

 6-3     under this chapter against a governmental unit that become final,

 6-4     excluding the amount payable by an insurer, exceeds one percent of

 6-5     the unit's budgeted tax funds for the fiscal year, excluding

 6-6     general obligation debt service requirements, the governmental unit

 6-7     may pay the judgments in equal annual installments for a period of

 6-8     not more than five years.  If payments are extended under this

 6-9     subsection, the governmental unit shall pay interest on the unpaid

6-10     balance at the rate provided by law.

6-11           Sec. 111.107.  AD VALOREM TAXES FOR PAYMENT OF JUDGMENT.  (a)

6-12     A governmental unit not fully covered by liability insurance may

6-13     levy an ad valorem tax for the payment of any final judgment under

6-14     this chapter.

6-15           (b)  If necessary to pay the amount of a judgment, the ad

6-16     valorem tax rate may exceed any legal tax rate limit applicable to

6-17     the governmental unit except a limit imposed by the Texas

6-18     Constitution.

6-19           SECTION 2.  This Act applies only to a cause of action that

6-20     accrues on or after the effective date of this Act.  A cause of

6-21     action that accrues  before the effective date of this Act is

6-22     governed by the law applicable to the cause of action immediately

6-23     before the effective date of this Act and that law is continued in

6-24     effect for that purpose.

6-25           SECTION 3.  The importance of this legislation and the

6-26     crowded condition of the calendars in both houses create an

6-27     emergency and an imperative public necessity that the

 7-1     constitutional rule requiring bills to be read on three several

 7-2     days in each house be suspended, and this rule is hereby suspended,

 7-3     and that this Act take effect and be in force from and after its

 7-4     passage, and it is so enacted.