HBA-ATS H.B. 2151 76(R)BILL ANALYSIS Office of House Bill AnalysisH.B. 2151 By: Bosse Civil Practices 6/4/1999 Enrolled BACKGROUND AND PURPOSE Under the Public Facility Corporation Act, a city, county, school district, housing authority, or special district (sponsor) is authorized to create a public facility corporation (corporation) and use it to provide for the acquisition, construction, rehabilitation, renovation, repair, equipping, furnishing, and placement in service of public facilities. The corporation may issue bonds to purchase obligations of its sponsor, to finance public facilities on behalf of its sponsor, or to loan the proceeds of the obligations to other entities to accomplish the purposes of the sponsor. Prior to the 76th Legislature, the members of a corporation's board of directors did not have immunity from liability for their actions; unlike members of the governing body of a sponsor. H.B. 2151 grants to a member of the board of directors of a public facility corporation the same immunity from liability that is granted to a member of the governing body of the sponsor of the corporation if the director was acting in good faith and in the course and scope of the duties or functions within the corporation. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 3.028, Article 717s, V.T.C.S. (Public Facility Corporation Act), by adding Subsection (g), to grant to a member of the board of directors of a public facility corporation (corporation) the same immunity from liability that is granted to a member of the governing body of the sponsor of the corporation if the director was acting in good faith and in the course and scope of the duties or functions within the corporation. SECTION 2.Effective date: September 1, 1999. Makes application of this Act prospective. SECTION 3.Emergency clause.