BILL ANALYSIS

 

 

 

S.B. 1575

By: Alvarado

Judiciary & Civil Jurisprudence

Committee Report (Unamended)

 

 

 

BACKGROUND AND PURPOSE

 

It has been noted that municipalities often receive federal relief funds to aid in recovery efforts following a disaster, typically in the form of a grant. There are concerns that, while state and federal governmental entities have certain immunity from claims relating to the administration of grants, municipalities are not afforded such protections. It has been suggested that the administration of these grants presents a financial risk for the municipalities. S.B. 1575 seeks to address this issue by granting these municipalities immunity from liability for certain contracts following a disaster declaration.

 

CRIMINAL JUSTICE IMPACT

 

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

 

RULEMAKING AUTHORITY

 

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

 

ANALYSIS

 

S.B. 1575 amends the Civil Practice and Remedies Code to grant governmental immunity to suit and liability for a cause of action arising from a municipality entering into a contract for a purpose related to disaster recovery after a gubernatorial disaster declaration or taking an action under that contract.

 

S.B. 1575 amends the Local Government Code to exempt from provisions governing the adjudication of claims arising under written contracts with certain local governmental entities a contract with such an entity that arises from a gubernatorial disaster declaration and that primarily spends state or federal funds on goods and services that:

·         benefit private citizens or private property located in the entity in recovering from the disaster; and

·         do not benefit the entity.

 

EFFECTIVE DATE

 

On passage, or, if the bill does not receive the necessary vote, September 1, 2019.