86R6371 SCL-D
By: Cole H.B. No. 964
A BILL TO BE ENTITLED
AN ACT
relating to certain claims against the administrator of employment
benefits for the employees of a political subdivision.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 180, Local Government Code, is amended
by adding Section 180.008 to read as follows:
Sec. 180.008. LIABILITY FOR CERTAIN EMPLOYMENT BENEFIT
CLAIMS. (a) In this section, "program administrator" means a
person who manages or administers a plan or program of employee
benefits, including a self-funded or insured health benefit plan.
The term includes an administrator, as that term is defined by
Section 4151.001, Insurance Code.
(b) Notwithstanding any other law, a program administrator
that contracts with a political subdivision to manage or administer
a plan or program of employee benefits for the political
subdivision's employees is liable for a claim against the
administrator, regardless of whether the political subdivision has
governmental immunity, if:
(1) the claim arises from a duty of the administrator
under the contract; and
(2) the administrator would otherwise be liable to the
claimant under law.
(c) A program administrator may not assert a defense of
governmental immunity to suit or liability for a claim against the
administrator described by this section. This section does not
waive the governmental immunity to suit or liability of a political
subdivision.
SECTION 2. The heading to Chapter 180, Local Government
Code, is amended to read as follows:
CHAPTER 180. MISCELLANEOUS PROVISIONS AFFECTING OFFICERS AND
EMPLOYEES OF MUNICIPALITIES, COUNTIES, AND [CERTAIN] OTHER LOCAL
GOVERNMENTS
SECTION 3. Section 180.008, Local Government Code, as added
by this Act, applies only to an action that commences on or after
the effective date of this Act. An action that commences before the
effective date of this Act is governed by the law applicable to the
action immediately before the effective date of this Act, and that
law is continued in effect for that purpose.
SECTION 4. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2019.