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A BILL TO BE ENTITLED
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AN ACT
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relating to a prohibition on the provision of state money to |
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entities that promote certain ideological programs and the |
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establishment of a division in the Legislative Budget Board to |
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ensure such entities do not receive state money; authorizing the |
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imposition of a civil penalty. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subtitle F, Title 10, Government Code, is |
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amended by adding Chapter 2279 to read as follows: |
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CHAPTER 2279. PROHIBITION ON AWARD OF STATE MONEY TO ORGANIZATIONS |
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SUPPORTING RESTRICTED IDEOLOGICAL PROGRAMS |
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Sec. 2279.001. DEFINITIONS. In this chapter: |
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(1) "Organization" means any entity, including a |
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public or private institution, nonprofit organization, |
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corporation, or association, that directly or indirectly receives |
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state money. |
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(2) "Restricted ideological program" means a program |
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that supports, promotes, or is aligned with: |
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(A) initiatives, theories, or policies that seek |
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to alter social institutions through identity-based conflict; |
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(B) advocacy that prioritizes the redistribution |
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of resources based on perceived societal inequalities; |
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(C) an equity initiative that seeks equal |
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outcomes rather than equal opportunities based on demographic |
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factors; |
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(D) advocacy for a nonbiological definition of |
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gender and policies supporting gender transition; |
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(E) a doctrine asserting that gender identity is |
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independent of biological sex; |
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(F) a theory that assigns privilege, oppression, |
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or identity based primarily on racial categorization; or |
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(G) an institutional policy that prioritizes |
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demographic representation over merit-based evaluation. |
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(3) "State money" means money appropriated by the |
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legislature through the General Appropriations Act or other state |
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law and includes money awarded by a state agency under a grant |
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program. |
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Sec. 2279.002. PROHIBITION ON AWARD OF STATE MONEY TO |
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ORGANIZATIONS SUPPORTING RESTRICTED IDEOLOGICAL PROGRAMS. A state |
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agency or organization may not provide state money to an entity that |
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promotes, teaches, advocates for, or is ideologically aligned with |
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a restricted ideological program. |
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Sec. 2279.003. CIVIL PENALTY. (a) An entity that knowingly |
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misrepresents the entity's activities to receive state money in |
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violation of Section 2279.002 is liable for a civil penalty not to |
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exceed the amount of state money that the entity has received in |
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violation of that section. |
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(b) The attorney general may sue to collect a civil penalty |
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under this section. |
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SECTION 2. Chapter 322, Government Code, is amended by |
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adding Section 322.025 to read as follows: |
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Sec. 322.025. STATE FUNDING INTEGRITY REVIEW DIVISION. (a) |
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In this section: |
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(1) "Division" refers to the state funding integrity |
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review division of the board. |
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(2) "Organization" and "restricted ideological |
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program" have the meanings assigned by Section 2279.001. |
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(b) The board shall establish the state funding integrity |
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review division as a division of the board. |
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(c) The division shall: |
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(1) conduct an initial and ongoing review of all |
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state-funded grants, contracts, and other awards to identify |
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organizations engaged in restricted ideological programs in |
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violation of Section 2279.002; |
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(2) develop a vetting process for entities applying |
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for or organizations receiving state money to ensure compliance |
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with Section 2279.002; |
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(3) provide an annual report to the governor, the |
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lieutenant governor, and the speaker of the house of |
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representatives detailing the division's findings during the |
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preceding year and any recommendations or referrals made under |
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Subsection (d), (e), or (f) during that period; and |
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(4) recommend corrective actions and funding |
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reallocations for organizations receiving state money in violation |
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of Section 2279.002. |
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(d) If the division determines that a state agency spent |
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money in violation of Section 2279.002, the division shall |
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recommend to: |
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(1) the legislature that the agency be subject to |
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budgetary restrictions during the next state fiscal biennium; and |
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(2) the agency that disciplinary action be taken |
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against personnel responsible for oversight of the allocation of |
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state money, including removal from that oversight role. |
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(e) If the division determines that an organization has |
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received state money in violation of Section 2279.002: |
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(1) the division shall promptly notify the comptroller |
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of that determination; and |
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(2) on receipt of notice under Subdivision (1), the |
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comptroller may not issue warrants to the organization until the |
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fifth anniversary of the date of the determination. |
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(f) The division shall refer each instance of an entity |
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knowingly misrepresenting the entity's activities to receive state |
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money in violation of Section 2279.002 to the attorney general for |
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appropriate action under Chapter 2279. |
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SECTION 3. The changes in law made by this Act apply only to |
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a contract entered into or renewed on or after the effective date of |
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this Act. A contract entered into or renewed before the effective |
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date of this Act is governed by the law in effect when the contract |
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was entered into or renewed, and the former law is continued in |
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effect for that purpose. |
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SECTION 4. Not later than the 90th day after the effective |
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date of this Act, a state agency shall terminate a grant or other |
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award of state money made to a person in violation of Section |
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2279.002, Government Code, as added by this Act. |
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SECTION 5. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2025. |