By Barrientos                                    S.B. No. 179

      75R1596 CAG-D                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the indemnification of certain employees of certain

 1-3     institutions of higher education for admissions activities.

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

 1-5           SECTION 1.  Chapter 104, Civil Practice and Remedies Code, is

 1-6     amended by adding Section 104.009 to read as follows:

 1-7           Sec. 104.009.  INDEMNIFICATION OF CERTAIN HIGHER EDUCATION

 1-8     EMPLOYEES.  (a)  In a cause of action against an employee of a

 1-9     general academic teaching institution or a medical and dental unit

1-10     based on conduct of the employee in making a decision on admission

1-11     of an individual to the institution, the state shall indemnify the

1-12     employee for actual damages, court costs, and attorney's fees

1-13     adjudged against the employee.

1-14           (b)  The state is liable for indemnification under this

1-15     section only if the damages are based on an action that the

1-16     employee performed:

1-17                 (1)  in the course and scope of the employee's job; and

1-18                 (2)  in good faith and in accordance with a written

1-19     policy of the general academic teaching institution or medical and

1-20     dental unit.

1-21           (c)  An amount paid by the state under this section shall be

1-22     paid from the indemnity account created by Section 54.546,

1-23     Education Code.

1-24           (d)  In this section, "general academic teaching institution"

 2-1     and "medical and dental unit" have the meanings assigned by Section

 2-2     61.003, Education Code.

 2-3           SECTION 2.  Subchapter E, Chapter 54, Education Code, is

 2-4     amended by adding Section 54.546 to read as follows:

 2-5           Sec. 54.546.  INDEMNIFICATION FEE.  (a)  A general academic

 2-6     teaching institution or a medical and dental unit shall collect a

 2-7     fee of $1 per term or semester from each student enrolled in the

 2-8     institution or unit.  The fee shall be sent to the comptroller to

 2-9     the credit of the indemnity account.

2-10           (b)  The money in the indemnity account may be used only to

2-11     pay an amount under Section 104.009, Civil Practice and Remedies

2-12     Code.

2-13           (c)  In this section, "general academic teaching institution"

2-14     and "medical and dental unit" have the meanings assigned by Section

2-15     61.003.

2-16           SECTION 3.  This Act takes effect September 1, 1997, and

2-17     applies only to an action filed with a court on or after the

2-18     effective date of this Act.  An action filed with a court before

2-19     the effective date of this Act is governed by the applicable law in

2-20     effect before the effective date of this Act, and that law is

2-21     continued in effect for that purpose.

2-22           SECTION 4.  The importance of this legislation and the

2-23     crowded condition of the calendars in both houses create an

2-24     emergency and an imperative public necessity that the

2-25     constitutional rule requiring bills to be read on three several

2-26     days in each house be suspended, and this rule is hereby suspended.