86R33658 CAE-D
By: Campbell, et al. S.B. No. 722
(Huberty)
Substitute the following for S.B. No. 722: No.
A BILL TO BE ENTITLED
AN ACT
relating to prohibiting a severance payment to a superintendent of
a school district in certain circumstances.
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 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 board
of trustees may not make any severance payment if the
superintendent's contract was terminated for cause under Section
21.211 or not renewed for cause or if the superintendent resigned in
lieu of termination or nonrenewal for cause. The commissioner may
adopt rules as necessary to administer this subsection.
SECTION 2. This Act takes effect September 1, 2019.