By:  Lucio                                                        S.B. No. 1305
	(In the Senate - Filed March 12, 2003; March 19, 2003, read 
first time and referred to Committee on State Affairs; 
May 12, 2003, reported adversely, with favorable Committee 
Substitute by the following vote:  Yeas 5, Nays 0; May 12, 2003, 
sent to printer.)


COMMITTEE SUBSTITUTE FOR S.B. No. 1305                                   By:  Armbrister


A BILL TO BE ENTITLED

AN ACT


relating to the application of the Charitable Immunity and 
Liability Act of 1987 to private primary or secondary schools, 
alumni associations, and on-campus organizations.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Subdivision (1), Section 84.003, Civil Practice 
and Remedies Code, is amended to read as follows:
		(1)  "Charitable organization" means:                                         
			(A)  any organization exempt from federal income 
tax under Section 501(a) of the Internal Revenue Code of 1986 by 
being listed as an exempt organization in Section 501(c)(3) or 
501(c)(4) of the code, if it is a nonprofit corporation, 
foundation, community chest, or fund organized and operated 
exclusively for charitable, religious, prevention of cruelty to 
children or animals, youth sports and youth recreational, 
neighborhood crime prevention or patrol, fire protection or 
prevention, emergency medical or hazardous material response 
services, or educational purposes, including [excluding] private 
primary or secondary schools accredited by a member association of 
the Texas Private School Accreditation Commission but excluding 
fraternities, sororities, and secret societies, [alumni 
associations and related on-campus organizations,] or is organized 
and operated exclusively for the promotion of social welfare by 
being primarily engaged in promoting the common good and general 
welfare of the people in a community;
			(B)  any bona fide charitable, religious, 
prevention of cruelty to children or animals, youth sports and 
youth recreational, neighborhood crime prevention or patrol, or 
educational organization, excluding fraternities, sororities, and 
secret societies [alumni associations and related on-campus 
organizations], or other organization organized and operated 
exclusively for the promotion of social welfare by being primarily 
engaged in promoting the common good and general welfare of the 
people in a community, and that:
				(i)  is organized and operated exclusively 
for one or more of the above purposes;
				(ii)  does not engage in activities which in 
themselves are not in furtherance of the purpose or purposes;
				(iii)  does not directly or indirectly 
participate or intervene in any political campaign on behalf of or 
in opposition to any candidate for public office;
				(iv)  dedicates its assets to achieving the 
stated purpose or purposes of the organization;
				(v)  does not allow any part of its net 
assets on dissolution of the organization to inure to the benefit of 
any group, shareholder, or individual; and
				(vi)  normally receives more than one-third 
of its support in any year from private or public gifts, grants, 
contributions, or membership fees;
			(C)  a homeowners association as defined by 
Section 528(c) of the Internal Revenue Code of 1986 or which is 
exempt from federal income tax under Section 501(a) of the Internal 
Revenue Code of 1986 by being listed as an exempt organization in 
Section 501(c)(4) of the code; or
			(D)  a volunteer center, as that term is defined 
by Section 411.126, Government Code.
	SECTION 2.  This Act takes effect September 1, 2003, and 
applies only to a cause of action that accrues on or after that 
date.  A cause of action that accrued before the effective date of 
this Act is governed by the law applicable to the action immediately 
before the effective date of this Act, and that law is continued in 
effect for that purpose.



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