BILL ANALYSIS

Senate Research Center	S.B. 2043
89R15132 KKR-D	By: Hughes
	State Affairs
	4/1/2025
	As Filed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

In 2022, while completing his surgical residency at Texas Children's Hospital, Dr. Ethan Haim discovered that the hospital continued to provide gender-transitioning treatments to minors despite publicly stating that such services had been paused�a violation of an opinion from Attorney General Paxton regarding the practice. Believing these practices to be unethical and unlawful, Dr. Haim collected data on the continued provision of gender-transitioning services and whistle-blew his findings to a reporter.

In June 2024, federal prosecutors indicted Dr. Haim. Throughout the legal proceedings, Dr. Haim maintained that he acted as a whistleblower and did not violate any laws. While public employees are protected by whistleblower laws in Texas, private employees are not. With some minor exceptions, private employees are not protected by a comprehensive statute, which is especially troubling for professionals in the medical field. Healthcare providers should have the ability to report on illegal or unethical behavior without fear of retaliation.

S.B. 2043 seeks to protect physicians and health care providers from retaliation when they report violations, unsafe medical practices, or misuse of funds related to health care services. The bill establishes legal safeguards for whistleblowers, prohibiting adverse actions against them and providing a civil remedy for those who suffer retaliation.

Specifically, the bill prohibits retaliation against health care providers for reporting violations of laws, regulations, or ethical guidelines; speaking out on treatment practices that could endanger patient health; exposing dangers to public health, gross mismanagement, abuse of authority, or misuse of funds; providing information to employers, state agencies or federal agencies; and engaging in legally protected speech, expression, or association, unless proven to have directly caused physical harm to a patient.

As proposed, S.B. 2043 amends current law relating to prohibited retaliation against a physician or health care provider for reporting certain violations or taking certain actions with respect to the provision of health care services and provides a civil remedy.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Subtitle H, Title 4, Health and Safety Code, by adding Chapter 332, as follows:

CHAPTER 332. PROHIBITED RETALIATION AGAINST HEALTH CARE PROVIDERS

Sec. 332.001. DEFINITIONS. Defines "health care facility," "health care provider," "health care service," and "physician."

Sec. 332.002. RETALIATION PROHIBITED. (a) Prohibits a person, including a health care facility, a political subdivision of this state, a public official of this state, the Texas Medical Board or another agency of this state, or a medical school or other institution that conducts education or training programs for health care providers from taking an adverse action against a physician or health care provider because the physician or provider:

(1) except as prohibited by law, testifies, assists, or participates in or is preparing to testify, assist, or participating in a proceeding to present certain information;

(2) provides, causes to be provided, or is preparing to provide or cause to be provided information described by Subdivision (1) to certain entities; or

(3) engages in speech, expression, or association that is protected from government interference, unless it is shown by clear and convincing evidence that the physician's or provider's speech, expression, or association was the direct cause of physical harm to an individual with whom the physician or provider had a practitioner-patient relationship during the three years immediately preceding the incident of physical harm.

(b) Provides that violations under this section include discrimination against or taking an adverse action with regard to licensure; certification; employment terms, benefits, seniority status, promotion, or transfer; denial of admission or participation in a program for which the physician or health care provider is otherwise eligible; imposition of a burden in the terms or conditions of employment; denial of aid, assistance, or benefits; conditional receipt of the aid, assistance, or benefits; or coercion or disqualification of the physician or provider receiving aid, assistance, or benefits.

Sec. 332.003. CIVIL REMEDIES. (a) Authorizes a physician or health care provider who is injured by a violation of this chapter to bring a civil action against another person, entity, or political subdivision of this state that violates this chapter. Authorizes a physician or provider who brings an action under this section to obtain injunctive relief, actual damages for certain injuries incurred by the physician or provider, or both injunctive relief and damages.

(b) Provides that governmental immunity is waived and abolished to the extent of liability under this section.

SECTION 2. Effective date: September 1, 2025.