82R1068 EAH-D
By: Lucio S.B. No. 868
A BILL TO BE ENTITLED
AN ACT
relating to severance payments to superintendents of independent
school districts.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 11.201(c), Education Code, is amended to
read as follows:
(c) For purposes of this subsection, "severance payment"
means any amount paid by the board of trustees of an independent
school district to or in behalf of a superintendent on early
termination of the superintendent's contract that exceeds the
amount earned by the superintendent under the contract as of the
date of termination, including any amount that exceeds the amount
of earned standard salary and benefits that is paid as a condition
of early termination of the contract. The board of trustees that
makes a severance payment to a superintendent shall report the
terms of the severance payment to the commissioner. The
commissioner shall reduce the district's Foundation School Program
funds by an amount equal to the severance payment made by the board
of trustees to the superintendent [any amount that the amount of the
severance payment to the superintendent exceeds an amount equal to
one year's salary and benefits under the superintendent's
terminated contract]. The commissioner may adopt rules as necessary
to administer this subsection.
SECTION 2. Section 11.201(c), Education Code, as amended
by this Act, applies only to a severance payment made by the board
of trustees of an independent school district to a superintendent
under an agreement entered into on or after the effective date of
this Act. A severance payment made by the board of trustees to a
superintendent under an agreement entered into before the effective
date of this Act is governed by the law in effect at the time the
agreement was made, and that law is continued in effect for that
purpose.
SECTION 3. This Act takes effect September 1, 2011.