By: Perry  S.B. No. 1558
         (In the Senate - Filed February 21, 2025; March 6, 2025,
  read first time and referred to Committee on Health & Human
  Services; April 14, 2025, reported adversely, with favorable
  Committee Substitute by the following vote:  Yeas 9, Nays 0;
  April 14, 2025, sent to printer.)
Click here to see the committee vote
 
  COMMITTEE SUBSTITUTE FOR S.B. No. 1558 By:  Perry
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to the liability of nonprofit entities contracted with the
  Department of Family and Protective Services or with a single
  source continuum contractor to provide community-based care or
  child welfare services.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Chapter 84, Civil Practice and Remedies Code, is
  amended by adding Section 84.0068 to read as follows:
         Sec. 84.0068.  LIABILITY OF SINGLE SOURCE CONTINUUM
  CONTRACTORS OR CERTAIN NONPROFIT ENTITIES PROVIDING
  COMMUNITY-BASED CARE OR CHILD WELFARE SERVICES. (a) This section
  applies only to an entity described by Section 264.170(a), Family
  Code.
         (b)  Subject to Subsection (c) and except as provided by
  Subsection (d), an entity may not be held liable for damages
  resulting from the negligence of a person who is an employee or
  volunteer of the entity or a caregiver providing services on behalf
  of the entity if, for each person, the entity has:
               (1)  conducted timely criminal background checks as
  required by law;
               (2)  before hiring, contracting with, or otherwise
  enlisting the services of the person and then at least once every
  five years, confirmed the person is not listed in a state registry
  or database that indicates the person is ineligible to supervise or
  treat children;
               (3)  reported any known allegation of misconduct by the
  person as required by law;
               (4)  taken timely and proportionate administrative or
  personnel action in response to deficiency in the performance of
  duties by the person; and
               (5)  required the person to complete training for:
                     (A)  child sexual abuse prevention at least once
  every five years; and
                     (B)  the reporting of child abuse and neglect.
         (c)  An entity may be held vicariously liable by a claimant
  on the basis of services received from the entity for the act or
  omission of a person who is an employee or volunteer of the entity
  or a caregiver providing services on behalf of the entity only if
  the claimant shows:
               (1)  the entity was not in substantial compliance with
  a requirement described by Subsection (b);
               (2)  the requirement was designed to prevent the
  specific type of harm alleged to have occurred; and
               (3)  the entity's failure to be in substantial
  compliance with the requirement was a contributing factor in
  bringing about the harm.
         (d)  Subsection (b) does not affect the liability of an
  entity for damages resulting from the gross negligence of a person
  who is an employee or volunteer of the entity or a caregiver
  providing services on behalf of the entity.
         (e)  This section may not be construed to limit:
               (1)  the liability of an entity for a claim otherwise
  authorized by state or federal law; or
               (2)  the ability of a governmental entity to take
  administrative, regulatory, or prosecutorial action against an
  entity described by Section 264.170(a), Family Code.
         SECTION 2.  Section 264.170, Family Code, is amended to read
  as follows:
         Sec. 264.170.  LIMITED LIABILITY FOR SINGLE SOURCE CONTINUUM
  CONTRACTOR OR NONPROFIT ENTITY CONTRACTED TO PROVIDE
  COMMUNITY-BASED CARE OR CHILD WELFARE SERVICES AND RELATED
  PERSONNEL. (a) A nonprofit entity that contracts with the
  department to provide services as a single source continuum
  contractor under this subchapter or a nonprofit entity that
  contracts with the department or with a single source continuum
  contractor to provide community-based care or child welfare
  services is considered to be a charitable organization for the
  purposes of Chapter 84, Civil Practice and Remedies Code, with
  respect to the provision of those services, and that chapter
  applies to the entity and any person who is:
               (1)  an employee or volunteer of the entity; or
               (2)  a caregiver providing services on behalf of the
  entity.
         (b)  The limitations on liability provided by this section
  apply:
               (1)  only to an act or omission by the entity or person,
  as applicable, that occurs:
                     (A)  while the entity or person is acting within
  the course and scope of the entity's contract with the department or
  with a single source continuum contractor; or
                     (B)  while the person is acting within the course
  and scope of [and] the person's duties for the entity; and
               (2)  only if insurance coverage in the minimum amounts
  required by Chapter 84, Civil Practice and Remedies Code, is in
  force and effect at the time a cause of action for personal injury,
  death, or property damage accrues.
         SECTION 3.  Section 84.0068, Civil Practice and Remedies
  Code, as added by this Act, and Section 264.170, Family Code, as
  amended by this Act, apply only to a cause of action that accrues on
  or after the effective date of this Act. A cause of action that
  accrued before the effective date of this Act is governed by the law
  as it existed immediately before the effective date of this Act, and
  that law is continued in effect for that purpose.
         SECTION 4.  This Act takes effect September 1, 2025.
 
  * * * * *