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Texas House Bill HB15

Texas 2021 - 87th Regular

Texas House Bill HB15 Compare Versions

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1-By: Thompson of Harris, et al. H.B. No. 15
2- (Senate Sponsor - Kolkhorst, Alvarado, Gutierrez)
3- (In the Senate - Received from the House April 28, 2021;
4- May 10, 2021, read first time and referred to Committee on Health &
5- Human Services; May 22, 2021, reported adversely, with favorable
6- Committee Substitute by the following vote: Yeas 8, Nays 0;
7- May 22, 2021, sent to printer.)
8-Click here to see the committee vote
9- COMMITTEE SUBSTITUTE FOR H.B. No. 15 By: Blanco
1+By: Thompson of Harris, Bonnen, Goldman, H.B. No. 15
2+ Coleman, Meyer, et al.
103
114
125 A BILL TO BE ENTITLED
136 AN ACT
14- relating to the creation of the Texas brain university research
15- initiative.
7+ relating to the creation of the Brain Institute of Texas; granting
8+ authority to issue bonds.
169 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
17- SECTION 1. Chapter 61, Education Code, is amended by adding
18- Subchapter OO to read as follows:
19- SUBCHAPTER OO. TEXAS BRAIN UNIVERSITY RESEARCH INITIATIVE
20- Sec. 61.9971. DEFINITIONS. In this subchapter:
21- (1) "Advisory board" means the Texas brain university
22- research initiative advisory board.
23- (2) "Distinguished researcher" means a researcher who
24- is an expert in:
25- (A) the causes of and prevention, treatment,
26- rehabilitation, and cures for brain-related diseases, syndromes,
27- disorders, dysfunction, injuries, developmental issues,
10+ SECTION 1. Subtitle H, Title 3, Education Code, is amended
11+ by adding Chapter 157 to read as follows:
12+ CHAPTER 157. BRAIN INSTITUTE OF TEXAS
13+ SUBCHAPTER A. GENERAL PROVISIONS
14+ Sec. 157.001. DEFINITIONS. In this chapter:
15+ (1) "Higher education advisory committee" means the
16+ Brain Institute of Texas Higher Education Advisory Committee.
17+ (2) "Institute" means the Brain Institute of Texas.
18+ (3) "Oversight committee" means the Brain Institute of
19+ Texas Oversight Committee.
20+ (4) "Peer review committee" means the Brain Institute
21+ of Texas Peer Review Committee.
22+ (5) “Program integration committee” means the Brain
23+ Institute of Texas Program Integration Committee.
24+ (6) "Research plan" means the Texas Brain Health and
25+ Research Plan developed by the institute.
26+ Sec. 157.002. PURPOSES. The Brain Institute of Texas is
27+ established to:
28+ (1) create and expedite innovation in brain research
29+ to improve the health of residents of this state, enhance the
30+ potential for a medical or scientific breakthrough in brain-related
31+ sciences and biomedical research, and enhance the brain research
32+ superiority of this state;
33+ (2) attract, create, or expand research capabilities
34+ of eligible institutions of higher education by awarding grants to
35+ the institutions to promote a substantial increase in brain
36+ research, strategies for prevention of brain-related diseases,
37+ brain health initiatives, and the creation of jobs in this state;
38+ and
39+ (3) develop and implement a research plan to foster
40+ synergistic collaboration and investigation into brain health and
41+ research by eligible institutions of higher education and their
42+ partners.
43+ Sec. 157.003. SUNSET PROVISION. The Brain Institute of
44+ Texas is subject to Chapter 325, Government Code (Texas Sunset
45+ Act). Unless continued in existence as provided by that chapter,
46+ the institute is abolished and this chapter expires September 1,
47+ 2032.
48+ SUBCHAPTER B. POWERS AND DUTIES OF INSTITUTE
49+ Sec. 157.051. POWERS AND DUTIES. (a) The institute:
50+ (1) may make grants to further the purposes of this
51+ chapter, including:
52+ (A) implementing the research plan;
53+ (B) researching:
54+ (i) the causes of and prevention,
55+ treatment, rehabilitation, and cures for brain-related diseases,
56+ syndromes, disorders, dysfunction, injuries, developmental issues,
2857 neurological health issues, mental and behavioral health issues,
29- and substance abuse disorders and other addictions; or
30- (B) any other area impacting the brain, including
31- an area that directly or indirectly impacts or is impacted by the
32- brain or brain health, such as the gut microbiome, nutrition, and
33- the spinal cord or nervous system.
34- (3) "Eligible institution" means a general academic
35- teaching institution or health-related institution.
36- (4) "Fund" means the Texas brain university research
37- initiative fund established under this subchapter.
38- (5) "Health-related institution" means a medical and
39- dental unit and any other public health science center, public
40- medical school, or public dental school established by statute or
41- in accordance with this chapter.
42- Sec. 61.9972. ADMINISTRATION OF INITIATIVE. (a) The Texas
43- brain university research initiative is administered by the board.
44- (b) From the Texas brain university research initiative
45- fund, the board shall award matching grants to assist eligible
46- institutions in recruiting distinguished researchers.
47- (c) The board may adopt any rules the board considers
48- necessary to administer this subchapter.
49- Sec. 61.9973. MATCHING GRANTS. (a) An eligible
50- institution may apply to the board for a matching grant from the
51- fund. Before approval or disapproval of a grant application, the
52- board shall consider the recommendation of the advisory board
53- regarding the grant proposal. If the board approves a grant
54- application, the board shall award to the applicant institution a
55- grant amount equal to the amount committed by the institution for
56- the recruitment of a distinguished researcher, except as provided
57- by Subsection (c)(2).
58- (b) A grant application must identify the source and amount
59- of the eligible institution's matching funds and must demonstrate
60- that the proposed use of the grant has the support of the
61- institution's president and of the institution's governing board,
62- the chair of the institution's governing board, or the chancellor
63- of the university system, if the institution is a component of a
64- university system. An applicant eligible institution may commit
65- for matching purposes any funds of the institution available for
66- that purpose other than appropriated general revenue.
67- (c) The board may set a deadline for grant applications for
68- each state fiscal year. After fully funding approved grant
69- applications received during an application period for a state
70- fiscal year, the board may reopen applications for that year and:
71- (1) award the full amount of matching funds from the
72- fund for new applications; or
73- (2) approve previously disapproved applications
74- submitted before the original application deadline for receipt of a
75- reduced grant amount.
76- (d) A matching grant received by an eligible institution
77- under this subchapter may not be considered as a basis to reduce,
78- directly or indirectly, the amount of money otherwise appropriated
79- to the institution.
80- (e) A matching grant may not be used by an eligible
81- institution to recruit a distinguished researcher or other employee
82- from:
83- (1) another eligible institution; or
84- (2) a private or independent institution of higher
85- education.
86- (f) The board shall require an application and all
87- supporting documentation to be submitted to the board
88- electronically in the manner prescribed by the board.
89- Sec. 61.9974. GRANT AWARD CRITERIA; PRIORITIES. (a) In
90- awarding grants, the board shall give priority to proposals that:
91- (1) involve the recruitment of distinguished
92- researchers, including researchers who study mental and behavioral
93- health issues arising from the COVID-19 pandemic; or
94- (2) demonstrate a reasonable likelihood of
95- contributing substantially to this state's national and global
96- economic competitiveness.
97- (b) A grant proposal should identify a specific
98- distinguished researcher being recruited.
99- Sec. 61.9975. TEXAS BRAIN UNIVERSITY RESEARCH INITIATIVE
100- FUND. (a) The Texas brain university research initiative fund is a
101- dedicated account in the general revenue fund.
102- (b) The fund consists of:
103- (1) amounts appropriated or otherwise allocated or
104- transferred by law to the fund; and
105- (2) gifts, grants, and other donations received for
106- the fund.
107- (c) The fund may be used by the board only for the purposes
108- of this subchapter, including for necessary expenses incurred in
109- the administration of the fund and this subchapter.
110- Sec. 61.9976. CONFIDENTIALITY. Information collected or
111- obtained by the board or the advisory board concerning the identity
112- of a particular distinguished researcher who is the subject of a
113- grant proposal under this subchapter is confidential unless the
114- researcher and the applicant eligible institution consent to
115- disclosure of the information. The information remains
116- confidential until the date, if any, on which the researcher enters
117- into an employment relationship with the recruiting institution as
118- contemplated in the grant proposal.
119- Sec. 61.9977. ADVISORY BOARD. (a) The Texas brain
120- university research initiative advisory board is established to
121- assist the board with the review and evaluation of applications for
122- funding of grant proposals under this subchapter. The advisory
123- board shall make recommendations to the board for approval or
124- disapproval of those applications.
125- (b) The advisory board must be composed of at least nine
126- members appointed by the governor. Of the members of the board:
127- (1) one-third of the members, as nearly as possible,
128- must have a background in finance;
129- (2) one-third of the members, as nearly as possible,
130- must have an academic background in science, medicine, or brain
131- health; and
132- (3) one-third of the members, as nearly as possible,
133- must be public members.
134- (c) Chapter 2110, Government Code, does not apply to the
135- size, composition, or duration of the advisory board.
136- (d) A member of the advisory board who is or has been
137- employed by, is or has been a party to a contract for any purpose
138- with, or is a student or former student of an applicant eligible
139- institution may not be involved in the review, evaluation, or
140- recommendation of a grant proposal made by that institution.
141- (e) An advisory board member is not required to be a
142- resident of this state.
143- (f) Appointments to the advisory board shall be made without
144- regard to the race, color, disability, sex, religion, age, or
145- national origin of the appointees.
146- (g) Members of the advisory board serve without
147- compensation but are entitled to reimbursement for actual and
148- necessary expenses in attending meetings of the advisory board or
149- performing other official duties authorized by the board.
150- SECTION 2. This Act takes effect immediately if it receives
151- a vote of two-thirds of all the members elected to each house, as
152- provided by Section 39, Article III, Texas Constitution. If this
153- Act does not receive the vote necessary for immediate effect, this
154- Act takes effect September 1, 2021.
155- * * * * *
58+ and substance abuse disorders and other addictions; and
59+ (ii) any other area impacting the brain,
60+ including an area that directly or indirectly impacts or is
61+ impacted by the brain or brain health, such as the gut microbiome,
62+ nutrition, and the spinal cord or nervous system, that the peer
63+ review committee and the oversight committee approve;
64+ (C) providing money for facilities, equipment,
65+ supplies, salaries, benefits, and other costs related to brain
66+ research; and
67+ (D) establishing prevention programs and
68+ strategies to mitigate the incidence of detrimental health impacts
69+ on the brain;
70+ (2) shall collaborate with relevant state agencies,
71+ coordinating councils, and consortiums to enhance brain-related
72+ health care and research;
73+ (3) may establish appropriate standards and oversight
74+ bodies to ensure money authorized under this chapter is properly
75+ used for the purposes of this chapter;
76+ (4) may employ necessary staff to provide
77+ administrative support to the institute;
78+ (5) shall monitor grant contracts and agreements
79+ authorized under this chapter to ensure each grant recipient
80+ complies with the terms and conditions of the contract or
81+ agreement;
82+ (6) shall ensure that all grant proposals comply with
83+ this chapter and rules adopted under this chapter before the
84+ proposals are submitted to the oversight committee for approval;
85+ (7) shall establish procedures to document that the
86+ institute, its employees, and any committee members appointed under
87+ this chapter comply with all rules governing conflicts of interest
88+ and the peer review process developed under Section 157.252; and
89+ (8) shall create a statewide research and clinical
90+ data registry for brain research.
91+ (b) The institute shall establish a program integration
92+ committee composed of:
93+ (1) the institute's chief executive officer;
94+ (2) three senior-level institute employees
95+ responsible for program policy and oversight appointed by the chief
96+ executive officer, with the approval of a simple majority of the
97+ members of the oversight committee; and
98+ (3) the executive commissioner of the Health and Human
99+ Services Commission or the executive commissioner’s designee.
100+ (c) The institute's chief executive officer shall serve as
101+ the presiding officer of the program integration committee.
102+ (d) The program integration committee has the duties
103+ assigned under this chapter.
104+ (e) The institute shall implement and monitor the research
105+ plan and revise the plan as necessary.
106+ Sec. 157.052. CHIEF EXECUTIVE OFFICER; CHIEF COMPLIANCE
107+ OFFICER; ADDITIONAL OFFICERS. (a) The oversight committee shall
108+ hire a chief executive officer. The chief executive officer shall
109+ perform the duties required under this chapter or designated by the
110+ oversight committee. The chief executive officer must have a
111+ demonstrated ability to lead and develop academic, commercial, and
112+ governmental partnerships and coalitions.
113+ (b) The institute shall employ a chief compliance officer to
114+ monitor compliance with this chapter and rules adopted under this
115+ chapter and report incidents of noncompliance to the oversight
116+ committee. The chief compliance officer shall:
117+ (1) ensure that all grant proposals comply with this
118+ chapter and rules adopted under this chapter before the proposals
119+ are submitted to the oversight committee for consideration and
120+ approval; and
121+ (2) attend and observe peer review committee meetings
122+ to ensure compliance with this chapter and rules adopted under this
123+ chapter.
124+ (c) The chief compliance officer may appoint as the
125+ officer's designee another institute employee to attend and observe
126+ one or more peer review committee meetings to ensure compliance
127+ with this chapter and rules adopted under this chapter if the chief
128+ compliance officer is unable to attend the meeting.
129+ (d) The chief executive officer may hire any other officer
130+ position the chief executive officer determines necessary for
131+ efficient operation of the institute.
132+ Sec. 157.053. ANNUAL REPORT; INTERNET POSTING. Not later
133+ than January 31 of each year, the institute shall prepare and submit
134+ to the governor, the lieutenant governor, the speaker of the house
135+ of representatives, and each standing committee of the legislature
136+ having primary jurisdiction over institute matters and post on the
137+ institute's Internet website a written report that outlines:
138+ (1) the institute's activities under this chapter;
139+ (2) a list of grant recipients during the preceding
140+ state fiscal year, including the grant amount awarded to each
141+ recipient;
142+ (3) any research accomplishments made during the
143+ preceding state fiscal year by a grant recipient or the recipient's
144+ partners;
145+ (4) an overview summary of the institute's financial
146+ records and strategies;
147+ (5) an assessment of the relationship between the
148+ institute's grants and the strategy of its research program;
149+ (6) a statement of the institute's strategic research
150+ plans;
151+ (7) an estimate of the amount of money brain disease
152+ has cost this state during the most recent state fiscal year for
153+ which data is available, including the amounts spent by this state
154+ relating to brain disease by the Medicaid program, the Teacher
155+ Retirement System of Texas, and the Employees Retirement System of
156+ Texas;
157+ (8) a statement of the institute's compliance program
158+ activities, including any proposed legislation or other
159+ recommendations identified through the activities;
160+ (9) for the preceding state fiscal year:
161+ (A) a list of any conflicts of interest under
162+ this chapter or rules adopted under this chapter;
163+ (B) any conflicts of interest that require
164+ recusal under Section 157.107;
165+ (C) any unreported conflicts of interest
166+ confirmed by an investigation conducted under Section 157.109,
167+ including any actions taken by the institute regarding an
168+ unreported conflict of interest and subsequent investigation; and
169+ (D) any waivers granted through the process
170+ established under Section 157.108; and
171+ (10) the institute's future direction.
172+ Sec. 157.054. INDEPENDENT FINANCIAL AUDIT FOR REVIEW BY
173+ COMPTROLLER. (a) The institute shall annually commission an
174+ independent financial audit of its activities from a certified
175+ public accounting firm. The institute shall provide the audit to
176+ the comptroller.
177+ (b) The comptroller shall review and evaluate the audit and
178+ annually issue a public report of that review.
179+ (c) The oversight committee shall review the annual
180+ financial audit, the comptroller's report and evaluation of that
181+ audit, and the financial practices of the institute.
182+ Sec. 157.055. GRANT RECORDS. (a) The institute shall
183+ maintain complete records of:
184+ (1) the review of each grant application submitted to
185+ the institute, including the score assigned to each grant
186+ application reviewed by the peer review committee in accordance
187+ with rules adopted under Section 157.253, regardless of whether the
188+ grant application is not funded by the institute or is withdrawn
189+ after submission to the institute;
190+ (2) each grant recipient's financial reports;
191+ (3) each grant recipient's progress reports; and
192+ (4) the institute's review of the grant recipient's
193+ financial and progress reports.
194+ (b) The institute shall keep the records described by
195+ Subsection (a) for at least 15 years.
196+ Sec. 157.056. GIFTS AND GRANTS. The institute may solicit
197+ and accept gifts and grants from any source for the purposes of this
198+ chapter.
199+ Sec. 157.057. PROHIBITED OFFICE LOCATION. An institute
200+ employee may not have an office located in a facility owned by an
201+ entity receiving or applying to receive money from the institute.
202+ SUBCHAPTER C. OVERSIGHT COMMITTEE
203+ Sec. 157.101. COMPOSITION OF OVERSIGHT COMMITTEE. (a) The
204+ oversight committee is the governing body of the institute.
205+ (b) The oversight committee is composed of the following
206+ nine members:
207+ (1) three members appointed by the governor;
208+ (2) three members appointed by the lieutenant
209+ governor; and
210+ (3) three members appointed by the speaker of the
211+ house of representatives.
212+ (c) A person may not be a member of the oversight committee
213+ if the person or the person's spouse:
214+ (1) is employed by or participates in the management
215+ of an entity or collaborative partner receiving money from the
216+ institute;
217+ (2) owns or controls, directly or indirectly, an
218+ interest in an entity or collaborative partner receiving money from
219+ the institute; or
220+ (3) uses or receives a substantial amount of tangible
221+ goods, services, or money from the institute, other than
222+ reimbursement authorized by this chapter for oversight committee
223+ membership, attendance, or expenses.
224+ Sec. 157.102. REMOVAL. (a) It is a ground for removal from
225+ the oversight committee that a member:
226+ (1) is ineligible for membership under Section
227+ 157.101(c);
228+ (2) cannot, because of illness or disability,
229+ discharge the member's duties for a substantial part of the member's
230+ term; or
231+ (3) is absent from more than half of the regularly
232+ scheduled oversight committee meetings that the member is eligible
233+ to attend during a calendar year without an excuse approved by a
234+ majority vote of the committee.
235+ (b) The validity of an action of the oversight committee is
236+ not affected by the fact that it is taken when a ground for removal
237+ of a committee member exists.
238+ (c) If the institute's chief executive officer has
239+ knowledge that a potential ground for removal exists, the chief
240+ executive officer shall notify the presiding officer of the
241+ oversight committee of the potential ground. The presiding officer
242+ shall then notify the appointing authority and the attorney general
243+ that a potential ground for removal exists. If the potential ground
244+ for removal involves the presiding officer, the chief executive
245+ officer shall notify the next highest ranking officer of the
246+ oversight committee, who shall then notify the appointing authority
247+ and the attorney general that a potential ground for removal
248+ exists.
249+ Sec. 157.103. TERMS; VACANCY. (a) Oversight committee
250+ members serve at the pleasure of the appointing authority for
251+ staggered six-year terms, with the terms of three members expiring
252+ January 31 of each even-numbered year.
253+ (b) If a vacancy occurs on the oversight committee, the
254+ appropriate appointing authority shall appoint a successor in the
255+ same manner as the original appointment to serve for the remainder
256+ of the unexpired term. The appropriate appointing authority shall
257+ appoint the successor not later than the 30th day after the date the
258+ vacancy occurs.
259+ Sec. 157.104. OFFICERS. (a) The oversight committee shall
260+ elect a presiding officer and assistant presiding officer from
261+ among its members every two years. The oversight committee may
262+ elect additional officers from among its members.
263+ (b) The presiding officer and assistant presiding officer
264+ may not serve in the position to which the officer was elected for
265+ consecutive terms.
266+ (c) The oversight committee shall:
267+ (1) establish and approve duties and responsibilities
268+ for officers of the committee; and
269+ (2) develop and implement policies that distinguish
270+ the responsibilities of the oversight committee and the committee's
271+ officers from the responsibilities of the chief executive officer
272+ and institute employees.
273+ Sec. 157.105. EXPENSES. A member of the oversight
274+ committee is not entitled to compensation but is entitled to
275+ reimbursement for actual and necessary expenses incurred in
276+ attending meetings of the committee or performing other official
277+ duties authorized by the presiding officer.
278+ Sec. 157.106. CONFLICT OF INTEREST. (a) The oversight
279+ committee shall adopt conflict-of-interest rules, based on
280+ standards adopted by the National Institutes of Health, to govern
281+ members of the oversight committee, the program integration
282+ committee, the peer review committee, and institute employees.
283+ (b) An institute employee, oversight committee member,
284+ program integration committee member, or peer review committee
285+ member shall recuse himself or herself, as provided by Section
286+ 157.107(a), (b), or (c), as applicable, if the employee or member,
287+ or a person who is related to the employee or member within the
288+ second degree of affinity or consanguinity, has a professional or
289+ financial interest in an entity receiving or applying to receive
290+ money from the institute.
291+ (c) A person has a professional interest in an entity
292+ receiving or applying to receive money from the institute if the
293+ person:
294+ (1) is a member of the board of directors, another
295+ governing board, or any committee of the entity, or of a foundation
296+ or similar organization affiliated with the entity, during the same
297+ grant cycle;
298+ (2) serves as an elected or appointed officer of the
299+ entity;
300+ (3) is an employee of or is negotiating future
301+ employment with the entity;
302+ (4) represents the entity;
303+ (5) is a professional associate of a primary member of
304+ the entity's project team;
305+ (6) is, or within the preceding six years has been, a
306+ student, postdoctoral associate, or part of a laboratory research
307+ group for a primary member of the entity's project team; or
308+ (7) is engaged or is actively planning to be engaged in
309+ collaboration with a primary member of the entity's project team.
310+ (d) A person has a financial interest in an entity receiving
311+ or applying to receive money from the institute if the person:
312+ (1) owns or controls, directly or indirectly, an
313+ ownership interest, including sharing in profits, proceeds, or
314+ capital gains, in an entity receiving or applying to receive money
315+ from the institute; or
316+ (2) could reasonably foresee that an action taken by
317+ the institute, the peer review committee, the program integration
318+ committee, or the oversight committee could result in a financial
319+ benefit to the person.
320+ (e) Nothing in this chapter limits the authority of the
321+ oversight committee to adopt additional conflict-of-interest
322+ standards.
323+ Sec. 157.107. DISCLOSURE OF CONFLICT OF INTEREST; RECUSAL.
324+ (a) If an oversight committee member or program integration
325+ committee member has a conflict of interest as described by Section
326+ 157.106 regarding an application that comes before the member for
327+ review or other action, the member shall:
328+ (1) provide written notice to the chief executive
329+ officer and the presiding officer of the oversight committee or the
330+ next ranking member of the committee if the presiding officer has
331+ the conflict of interest;
332+ (2) disclose the conflict of interest in an open
333+ meeting of the oversight committee; and
334+ (3) recuse himself or herself from participating in
335+ the review, discussion, deliberation, and vote on the application
336+ and from accessing information regarding the matter to be decided.
337+ (b) If an institute employee has a conflict of interest
338+ described by Section 157.106 regarding an application that comes
339+ before the employee for review or other action, the employee shall:
340+ (1) provide written notice to the chief executive
341+ officer of the conflict of interest; and
342+ (2) recuse himself or herself from participating in
343+ the review of the application and be prevented from accessing
344+ information regarding the matter to be decided.
345+ (c) If a peer review committee member has a conflict of
346+ interest described by Section 157.106 regarding an application that
347+ comes before the member's committee for review or other action, the
348+ member shall:
349+ (1) provide written notice to the chief executive
350+ officer of the conflict of interest; and
351+ (2) recuse himself or herself from participating in
352+ the review, discussion, deliberation, and vote on the application
353+ and from accessing information regarding the matter to be decided.
354+ (d) An oversight committee member, program integration
355+ committee member, peer review committee member, or institute
356+ employee with a conflict of interest may seek a waiver as provided
357+ by Section 157.108.
358+ (e) An oversight committee member, program integration
359+ committee member, peer review committee member, or institute
360+ employee who reports a potential conflict of interest or another
361+ impropriety or self-dealing of the member or employee and who fully
362+ complies with the recommendations of the general counsel and
363+ recusal requirements is considered in compliance with the
364+ conflict-of-interest provisions of this chapter. The member or
365+ employee is subject to other applicable laws, rules, requirements,
366+ and prohibitions.
367+ (f) An oversight committee member, program integration
368+ committee member, peer review committee member, or institute
369+ employee who intentionally violates this section is subject to
370+ removal from further participation in the institute's grant review
371+ process.
372+ Sec. 157.108. EXCEPTIONAL CIRCUMSTANCES REQUIRING
373+ PARTICIPATION. The oversight committee shall adopt rules governing
374+ the waiver of the conflict-of-interest requirements of this chapter
375+ under exceptional circumstances for an oversight committee member,
376+ program integration committee member, peer review committee
377+ member, or institute employee. The rules must:
378+ (1) authorize the chief executive officer or an
379+ oversight committee member to propose the granting of a waiver by
380+ submitting to the presiding officer of the oversight committee a
381+ written statement about the conflict of interest, the exceptional
382+ circumstance requiring the waiver, and any proposed limitations to
383+ the waiver;
384+ (2) require a proposed waiver to be publicly reported
385+ at a meeting of the oversight committee;
386+ (3) require a majority vote of the oversight committee
387+ members present and voting to grant a waiver;
388+ (4) require any waiver granted to be reported annually
389+ to the lieutenant governor, the speaker of the house of
390+ representatives, the governor, and the standing committee of each
391+ house of the legislature with primary jurisdiction over institute
392+ matters; and
393+ (5) require the institute to retain documentation of
394+ each waiver granted.
395+ Sec. 157.109. INVESTIGATION OF UNREPORTED CONFLICTS OF
396+ INTEREST. (a) An oversight committee member, a program
397+ integration committee member, a peer review committee member, or an
398+ institute employee who becomes aware of a potential conflict of
399+ interest described by Section 157.106 that has not been reported
400+ shall immediately notify the chief executive officer of the
401+ potential conflict of interest. On notification, the chief
402+ executive officer shall notify the presiding officer of the
403+ oversight committee and the general counsel, who shall determine
404+ the nature and extent of any unreported conflict.
405+ (b) A grant applicant seeking an investigation regarding
406+ whether a prohibited conflict of interest was not reported shall
407+ file a written request with the institute's chief executive
408+ officer. The applicant must:
409+ (1) include in the request all facts regarding the
410+ alleged conflict of interest; and
411+ (2) submit the request not later than the 30th day
412+ after the date the chief executive officer presents final funding
413+ recommendations for the affected grant cycle to the oversight
414+ committee.
415+ (c) On notification of an alleged conflict of interest under
416+ Subsection (a) or (b), the institute's general counsel shall:
417+ (1) investigate the matter; and
418+ (2) provide to the chief executive officer and
419+ presiding officer of the oversight committee an opinion that
420+ includes:
421+ (A) a statement of facts;
422+ (B) a determination of whether a conflict of
423+ interest or another impropriety or self-dealing exists; and
424+ (C) if the opinion provides that a conflict of
425+ interest or another impropriety or self-dealing exists,
426+ recommendations for an appropriate course of action.
427+ (d) If the conflict of interest, impropriety, or
428+ self-dealing involves the presiding officer of the oversight
429+ committee, the institute's general counsel shall provide the
430+ opinion to the next ranking oversight committee member who is not
431+ involved with the conflict of interest, impropriety, or
432+ self-dealing.
433+ (e) After receiving the opinion and consulting with the
434+ presiding officer of the oversight committee, the chief executive
435+ officer shall take action regarding the recusal of the individual
436+ from any discussion of or access to information related to the
437+ conflict of interest or other recommended action related to the
438+ impropriety or self-dealing. If the alleged conflict of interest,
439+ impropriety, or self-dealing is held by, or is an act of, the chief
440+ executive officer, the presiding officer of the oversight committee
441+ shall take actions regarding the recusal or other action.
442+ Sec. 157.110. FINAL DETERMINATION OF UNREPORTED CONFLICT OF
443+ INTEREST. (a) The chief executive officer or, if applicable, the
444+ presiding officer of the oversight committee shall make a
445+ determination regarding the existence of an unreported conflict of
446+ interest described by Section 157.109 or other impropriety or
447+ self-dealing. The determination must specify any actions to be
448+ taken to address the conflict of interest, impropriety, or
449+ self-dealing, including:
450+ (1) reconsideration of the application; or
451+ (2) referral of the application to another peer review
452+ committee for review.
453+ (b) The determination made under Subsection (a) is
454+ considered final unless three or more oversight committee members
455+ request that the issue be added to the agenda of the oversight
456+ committee.
457+ (c) The chief executive officer or, if applicable, the
458+ presiding officer of the oversight committee, shall provide written
459+ notice of the final determination, including any further actions to
460+ be taken, to the grant applicant requesting the investigation.
461+ (d) Unless specifically determined by the chief executive
462+ officer, if applicable, the presiding officer of the oversight
463+ committee, or the oversight committee, the validity of an action
464+ taken on a grant application is not affected by the fact that an
465+ individual who failed to report a conflict of interest participated
466+ in the action.
467+ Sec. 157.111. RULEMAKING AUTHORITY. The oversight
468+ committee may adopt rules to administer this chapter.
469+ Sec. 157.112. POWERS AND DUTIES. The oversight committee
470+ shall:
471+ (1) hire a chief executive officer;
472+ (2) annually set priorities as prescribed by the
473+ legislature for each grant project that receives money under this
474+ chapter; and
475+ (3) consider the priorities set under Subdivision (2)
476+ in awarding grants under this chapter.
477+ Sec. 157.113. CODE OF CONDUCT. The oversight committee
478+ shall adopt a code of conduct applicable to each member of the
479+ oversight committee, the program integration committee, and the
480+ peer review committee and each institute employee.
481+ Sec. 157.114. FINANCIAL STATEMENT REQUIRED. Each member of
482+ the oversight committee shall file with the chief compliance
483+ officer a verified financial statement complying with Sections
484+ 572.022 through 572.0252, Government Code, as required of a state
485+ officer by Section 572.021, Government Code.
486+ SUBCHAPTER D. OTHER INSTITUTE COMMITTEES
487+ Sec. 157.151. PEER REVIEW COMMITTEE. (a) The oversight
488+ committee shall establish the peer review committee. The chief
489+ executive officer, with approval by a simple majority of the
490+ members of the oversight committee, shall appoint as members of the
491+ peer review committee experts in fields related to the brain,
492+ including research, health care, disease treatment and prevention,
493+ and other study areas.
494+ (b) The oversight committee shall adopt a written policy on
495+ in-state or out-of-state residency requirements for peer review
496+ committee members.
497+ (c) A peer review committee member may receive an
498+ honorarium. Subchapter B, Chapter 2254, Government Code, does not
499+ apply to an honorarium the member receives under this chapter.
500+ (d) The chief executive officer, in consultation with the
501+ oversight committee, shall adopt a policy regarding honoraria and
502+ document any change in the amount of honoraria paid to a member of
503+ the peer review committee, including information explaining the
504+ basis for that change.
505+ (e) A member of the peer review committee appointed under
506+ this chapter may not serve on the board of directors or other
507+ governing board of an entity or the entity’s collaborator receiving
508+ a grant from the institute.
509+ (f) Members of the peer review committee serve for terms as
510+ determined by the chief executive officer.
511+ Sec. 157.152. HIGHER EDUCATION ADVISORY COMMITTEE. (a)
512+ The higher education advisory committee is composed of the
513+ following members:
514+ (1) one member appointed by the president of Baylor
515+ College of Medicine;
516+ (2) one member appointed by the president of Texas A&M
517+ University Health Science Center;
518+ (3) one member appointed by the president of Texas
519+ Tech University Health Sciences Center;
520+ (4) one member appointed by the president of Texas
521+ Tech University Health Sciences Center at El Paso;
522+ (5) one member appointed by the president of The
523+ University of Texas Southwestern Medical Center;
524+ (6) one member appointed by the president of The
525+ University of Texas Medical Branch at Galveston;
526+ (7) one member appointed by the president of The
527+ University of Texas Health Science Center at Houston;
528+ (8) one member appointed by the president of The
529+ University of Texas Health Science Center at San Antonio;
530+ (9) one member appointed by the president of The
531+ University of Texas Health Science Center at Tyler;
532+ (10) one member appointed by the dean of Dell Medical
533+ School at The University of Texas at Austin;
534+ (11) one member appointed by the president of The
535+ University of Texas M. D. Anderson Cancer Center;
536+ (12) one member appointed by the dean of The
537+ University of Texas Rio Grande Valley School of Medicine;
538+ (13) one member appointed by the president of
539+ University of North Texas Health Science Center at Fort Worth;
540+ (14) one member appointed by the dean of University of
541+ Houston College of Medicine; and
542+ (15) one member appointed by the dean of Sam Houston
543+ State University College of Osteopathic Medicine.
544+ (b) The higher education advisory committee shall advise
545+ the oversight committee, the program integration committee, and the
546+ peer review committee on issues, opportunities, the role of higher
547+ education, and other subjects involving brain research.
548+ Sec. 157.153. AD HOC ADVISORY COMMITTEE. (a) The oversight
549+ committee, as necessary, may create additional ad hoc advisory
550+ committees of experts to advise the oversight committee and the
551+ peer review committee on issues relating to brain research, brain
552+ health, brain-related diseases, spinal cord injuries, traumatic
553+ brain injuries, mental and behavioral health issues, including
554+ substance abuse disorders and other addictions, or other brain- or
555+ neurological-related issues.
556+ (b) Ad hoc committee members shall serve for the terms
557+ determined by the oversight committee.
558+ SUBCHAPTER E. FUNDING
559+ Sec. 157.201. BRAIN INSTITUTE OF TEXAS RESEARCH FUND. (a)
560+ The Brain Institute of Texas research fund is a dedicated account in
561+ the general revenue fund.
562+ (b) The Brain Institute of Texas research fund consists of:
563+ (1) appropriations of money to the fund by the
564+ legislature, except that the appropriated money does not include
565+ the proceeds from the issuance of bonds authorized by Section 68,
566+ Article III, Texas Constitution;
567+ (2) gifts and grants, including grants from the
568+ federal government, and other donations received for the fund; and
569+ (3) interest earned on the investment of money in the
570+ fund.
571+ (c) The fund may only be used for:
572+ (1) the award of grants authorized under this chapter,
573+ including grants for brain research and for research facilities in
574+ this state to conduct brain research;
575+ (2) the purchase, subject to approval by the oversight
576+ committee, of research facilities by or for a grant recipient;
577+ (3) the operation of the institute;
578+ (4) debt service on bonds issued as authorized by
579+ Section 68, Article III, Texas Constitution; and
580+ (5) the payment of the costs of issuing the bonds and
581+ related bond administration costs of the Texas Public Finance
582+ Authority.
583+ Sec. 157.202. ISSUANCE OF GENERAL OBLIGATION BONDS. (a)
584+ The institute may request the Texas Public Finance Authority to
585+ issue and sell general obligation bonds of the state as authorized
586+ by Section 68, Article III, Texas Constitution.
587+ (b) The Texas Public Finance Authority may not issue and
588+ sell general obligation bonds authorized by this section before
589+ January 1, 2022, and may not issue and sell more than $300 million
590+ in general obligation bonds authorized by this section in a state
591+ fiscal year.
592+ (c) The institute shall determine, and include in its
593+ request for issuing bonds, the amount, exclusive of costs of
594+ issuance, of the bonds to be issued and the preferred time for
595+ issuing the bonds.
596+ (d) The Texas Public Finance Authority shall issue the bonds
597+ in accordance with and subject to Chapter 1232, Government Code,
598+ and Texas Public Finance Authority rules. The bonds may be issued in
599+ installments.
600+ (e) Proceeds of the bonds issued under this section shall be
601+ deposited to the credit of the Brain Institute of Texas research
602+ fund and used only for the purposes authorized under Section
603+ 157.201.
604+ Sec. 157.203. AUTHORIZED USE OF GRANT MONEY. (a) A grant
605+ recipient awarded money from the Brain Institute of Texas research
606+ fund established under Section 157.201 may use the money for
607+ research consistent with the purposes of this chapter and in
608+ accordance with a contract between the grant recipient and the
609+ institute.
610+ (b) Money awarded under this chapter may be used for
611+ authorized expenses, including honoraria, salaries and benefits,
612+ travel, conference fees and expenses, consumable supplies, other
613+ operating expenses, contracted research and development, capital
614+ equipment, and construction or renovation of state or private
615+ facilities.
616+ (c) Not more than five percent of the money awarded under
617+ this subchapter in a state fiscal year may be used for facility
618+ purchase, construction, remodel, or renovation purposes during
619+ that year. Expenditures of money awarded under this subchapter for
620+ facility purchase, construction, remodel, or renovation projects
621+ must benefit brain research.
622+ (d) Not more than 10 percent of the money appropriated by
623+ the legislature for grants in a state fiscal year may be used for
624+ prevention projects and strategies to mitigate the incidence of
625+ detrimental health impacts on the brain during that year.
626+ Sec. 157.204. PREFERENCE FOR TEXAS BUSINESSES. If the
627+ Texas Public Finance Authority contracts with a private entity to
628+ issue bonds under this subchapter, the Texas Public Finance
629+ Authority shall consider:
630+ (1) contracting with an entity that has its principal
631+ place of business in this state; and
632+ (2) using a historically underutilized business as
633+ defined by Section 2161.001, Government Code.
634+ SUBCHAPTER F. PROCEDURE FOR AWARDING GRANTS
635+ Sec. 157.251. ELIGIBLE GRANT RECIPIENTS. (a) A public or
636+ private institution of higher education in this state, including
637+ any institution of higher education under Section 61.003, is
638+ eligible for a grant award under this chapter.
639+ (b) A grant recipient may use the money received from a
640+ grant awarded under this chapter for purposes of this chapter and in
641+ a collaborative partnership with:
642+ (1) another eligible institution in this state,
643+ including a historically black college or university;
644+ (2) a nonprofit or for-profit organization in this
645+ state;
646+ (3) a health care organization in this state;
647+ (4) a branch of the United States armed forces for a
648+ project based in this state;
649+ (5) a private company in this state;
650+ (6) a federal, state, or local government for a
651+ project based in this state; or
652+ (7) another relevant person or organization in this
653+ state.
654+ Sec. 157.252. AWARD REVIEW PROCESS. The institute shall
655+ use a peer review process to evaluate and recommend all grants
656+ awarded by the oversight committee under this chapter.
657+ Sec. 157.253. GRANT AWARD RULES AND PROCEDURES. (a) The
658+ oversight committee shall adopt rules establishing procedures for
659+ awarding grants under Subchapter E. The rules must require:
660+ (1) the peer review committee to score grant
661+ applications and make recommendations to the program integration
662+ committee and the oversight committee regarding the award of
663+ grants, including the creation of a prioritized list that:
664+ (A) ranks the grant applications in the order the
665+ peer review committee determines applications should be funded; and
666+ (B) includes information explaining the reasons
667+ each grant application on the list meets the peer review
668+ committee's standards for recommendation; and
669+ (2) the program integration committee to submit to the
670+ oversight committee a list of grant applications the program
671+ integration committee by majority vote approved for recommendation
672+ that:
673+ (A) includes documentation on the factors the
674+ program integration committee considered in making the grant
675+ recommendations;
676+ (B) is substantially based on the list submitted
677+ by the peer review committee under Subdivision (1); and
678+ (C) to the extent possible, gives priority to
679+ proposals that:
680+ (i) align with the research plan;
681+ (ii) align with state priorities and needs,
682+ including priorities and needs outlined in other state agency
683+ strategic plans, or address federal or other major research
684+ sponsors' priorities in scientific or technological fields in the
685+ area of brain research;
686+ (iii) enhance the research superiority at
687+ eligible institutions of higher education by creating new research
688+ superiority, attracting existing research superiority, or
689+ enhancing existing research superiority;
690+ (iv) benefit the residents of this state,
691+ including a demonstrable economic or job creation benefit to this
692+ state; and
693+ (v) if applicable, are interdisciplinary or
694+ interinstitutional, or have collaborators or partnerships.
695+ (b) A member of a peer review committee may not attempt to
696+ use the committee member's official position to influence a
697+ decision to approve or award a grant or contract to the committee
698+ member's employer.
699+ (c) The chief executive officer shall submit a written
700+ affidavit for each grant application recommendation included on the
701+ list submitted to the oversight committee under Subsection (a)(2).
702+ The affidavit must contain all relevant information on:
703+ (1) the peer review process for the grant application;
704+ and
705+ (2) the application's peer review score assigned by
706+ the peer review committee.
707+ (d) A member of the program integration committee may not
708+ discuss a grant applicant recommendation with a member of the
709+ oversight committee unless the chief executive officer and the
710+ program integration committee have fulfilled the requirements of
711+ Subsections (a)(2) and (c), as applicable.
712+ (e) Two-thirds of the members of the oversight committee
713+ present and voting must vote to approve each funding recommendation
714+ made by the program integration committee. If the oversight
715+ committee does not approve a funding recommendation made by the
716+ program integration committee, a statement explaining the reasons
717+ the funding recommendation was not followed must be included in the
718+ minutes of the meeting.
719+ (f) The oversight committee may not award more than $300
720+ million in grants under this chapter in a state fiscal year.
721+ (g) The institute may not award a grant to an applicant who
722+ has made a gift or grant with a value that exceeds $50 to the
723+ institute, an oversight committee member, or an institute employee
724+ on or after January 1, 2022. The oversight committee may waive this
725+ exclusion under rules adopted under Section 157.108.
726+ Sec. 157.254. MULTIYEAR PROJECTS. (a) The oversight
727+ committee may award grant money for a multiyear project.
728+ (b) If the oversight committee awards grant money to fund
729+ the multiyear project, the committee must specify the total amount
730+ of that money awarded in the state fiscal year that the project is
731+ approved. The institute shall distribute only the amount of grant
732+ money that the grant recipient will spend during that fiscal year.
733+ The institute shall distribute the remaining grant money as the
734+ grant recipient needs in each subsequent state fiscal year.
735+ Sec. 157.255. CONTRACT TERMS. (a) Before awarding a grant
736+ under this chapter, the institute shall enter into a written
737+ contract with the grant recipient. The contract may specify that:
738+ (1) except for awards to state agencies or public
739+ institutions of higher education, if all or any portion of the
740+ amount of the grant is used to build a capital improvement:
741+ (A) the state retains a lien or other interest in
742+ the capital improvement in proportion to the percentage of the
743+ grant amount used to pay for the capital improvement; and
744+ (B) the grant recipient shall, if the capital
745+ improvement is sold:
746+ (i) repay to the state the grant money used
747+ to pay for the capital improvement, with interest at the rate and
748+ according to the other terms provided by the contract; and
749+ (ii) share with the state a proportionate
750+ amount of any profit realized from the sale;
751+ (2) if the grant recipient does not use grant money
752+ awarded under Subchapter E for the purposes approved by the
753+ oversight committee, the recipient shall repay to this state that
754+ amount and any related interest applicable under the grant contract
755+ at the agreed rate and on the agreed terms; and
756+ (3) if the grant recipient fails to meet the terms and
757+ conditions of the contract, the institute may terminate the
758+ contract using the written process prescribed in the contract and
759+ require the recipient to repay to this state the grant money awarded
760+ under Subchapter E and any related interest applicable under the
761+ contract at the agreed rate and on the agreed terms.
762+ (b) The oversight committee shall adopt rules to administer
763+ this section.
764+ Sec. 157.256. PATENT ROYALTIES AND LICENSE REVENUES. (a)
765+ The oversight committee shall establish standards requiring all
766+ grant awards to be subject to an intellectual property agreement
767+ that allows this state to collect royalties, income, and other
768+ benefits, including interest or proceeds resulting from securities
769+ and equity ownership, realized as a result of projects undertaken
770+ with money awarded under Subchapter E. The oversight committee may
771+ exempt state agencies and public institutions of higher education
772+ from the standards.
773+ (b) In determining this state's interest in any
774+ intellectual property rights and revenue sharing, the oversight
775+ committee shall balance the opportunity of this state to benefit
776+ from the patents, royalties, licenses, and other benefits that
777+ result from basic research, therapy development, and clinical
778+ trials with the need to ensure that essential medical research is
779+ not unreasonably hindered by the intellectual property agreement
780+ and that the agreement does not unreasonably remove the incentive
781+ on the part of the individual researcher, research team, or
782+ institution.
783+ (c) The oversight committee may transfer its management and
784+ disposition authority over this state's interest in securities,
785+ equities, royalties, income, and other benefits realized as a
786+ result of projects undertaken with money awarded under Subchapter E
787+ to the Texas Treasury Safekeeping Trust Company. If the oversight
788+ committee transfers management and disposition authority to the
789+ trust company, the company has all powers necessary to accomplish
790+ the purposes of this section.
791+ (d) In managing the assets described by Subsection (c),
792+ subject to restrictions that the Texas Treasury Safekeeping Trust
793+ Company considers appropriate, the trust company may acquire,
794+ exchange, sell, supervise, manage, or retain any kind of investment
795+ that a prudent investor, exercising reasonable care, skill, and
796+ caution, would acquire, exchange, sell, or retain in light of the
797+ purposes, terms, distribution requirements, and other
798+ circumstances then prevailing pertinent to each investment,
799+ including the requirements prescribed by Subsection (b) and the
800+ purposes described by Section 157.002. The trust company may
801+ charge a fee to recover the reasonable and necessary costs incurred
802+ in managing assets under this section.
803+ Sec. 157.257. PREFERENCE FOR TEXAS SUPPLIERS. In a good
804+ faith effort to achieve a goal of more than 50 percent of purchases
805+ from suppliers in this state, the oversight committee shall
806+ establish standards to ensure that grant recipients purchase goods
807+ and services from suppliers in this state to the extent reasonably
808+ possible.
809+ Sec. 157.258. HISTORICALLY UNDERUTILIZED BUSINESSES. The
810+ oversight committee shall establish standards to ensure that grant
811+ recipients purchase goods and services from historically
812+ underutilized businesses as defined by Section 2161.001,
813+ Government Code, and any other applicable state law.
814+ Sec. 157.259. GRANT COMPLIANCE AND PROGRESS EVALUATION.
815+ (a) The oversight committee shall require as a condition of a grant
816+ awarded under this chapter that the grant recipient submit to
817+ regular reviews of the grant project by institute staff to ensure
818+ compliance with the terms of the grant and to ensure ongoing
819+ progress, including the scientific merit of the research.
820+ (b) The institute shall establish and implement a grant
821+ compliance and progress review process under this section that
822+ includes reporting requirements to ensure each grant recipient
823+ complies with the terms and conditions of a grant contract. The
824+ chief executive officer may terminate grants that do not meet
825+ contractual obligations.
826+ (c) The chief executive officer shall report at least
827+ annually to the oversight committee on the progress and continued
828+ merit of the projects awarded grants by the institute.
829+ (d) The institute shall implement a system to:
830+ (1) track the dates grant recipient reports are due
831+ and are received by the institute; and
832+ (2) monitor the status of any required report not
833+ timely submitted to the institute by a grant recipient.
834+ (e) The chief compliance officer shall monitor compliance
835+ with this section and shall inquire into and monitor the status of
836+ any required report not timely submitted to the institute by a grant
837+ recipient. The chief compliance officer shall notify the general
838+ counsel for the institute and the oversight committee of a grant
839+ recipient that has not complied with the reporting requirements or
840+ provisions of the grant contract to allow the institute to begin
841+ suspension or termination of the grant contract. This subsection
842+ does not limit other remedies available under the grant contract.
843+ Sec. 157.260. MEDICAL AND RESEARCH ETHICS. Any project
844+ that is awarded a grant under this chapter must comply with all
845+ applicable federal and state laws regarding the conduct of the
846+ research or prevention project.
847+ Sec. 157.261. PUBLIC INFORMATION. (a) The following
848+ information is public information and may be disclosed under
849+ Chapter 552, Government Code:
850+ (1) the applicant's name and address;
851+ (2) the amount requested in the applicant's grant
852+ proposal;
853+ (3) the type of brain research to be addressed under
854+ the proposal; and
855+ (4) any other information the institute designates
856+ with the consent of the grant applicant.
857+ (b) To protect the actual or potential value of information
858+ submitted to the institute by an applicant for or recipient of an
859+ institute grant, the following information submitted by the
860+ applicant or recipient is confidential and is not subject to
861+ disclosure under Chapter 552, Government Code, or any other law:
862+ (1) all information, other than the information
863+ required under Subsection (a) that is contained in a grant award
864+ application, peer review evaluation, award contract, or progress
865+ report relating to a product, device, or process, the application
866+ or use of the product, device, or process, and all technological and
867+ scientific information, including computer programs, developed
868+ wholly or partly by a grant applicant or recipient, regardless of
869+ whether patentable or capable of being registered under copyright
870+ or trademark laws, that has a potential for being sold, traded, or
871+ licensed for a fee; and
872+ (2) the plans, specifications, blueprints, and
873+ designs, including related proprietary information, of a
874+ scientific research and development facility.
875+ (c) The institute shall post on the institute's Internet
876+ website records that pertain specifically to any gift, grant, or
877+ other consideration provided to the institute, an institute
878+ employee, or a member of the oversight committee, in the employee's
879+ or oversight committee member's official capacity. The posted
880+ information must include each donor's name and the amount and date
881+ of the donation.
882+ Sec. 157.262. COMPLIANCE PROGRAM; CONFIDENTIAL
883+ INFORMATION. (a) In this section, "compliance program" means a
884+ process to assess and ensure compliance by the institute's
885+ committee members and employees with applicable laws, rules, and
886+ policies, including matters of:
887+ (1) ethics and standards of conduct;
888+ (2) financial reporting;
889+ (3) internal accounting controls; and
890+ (4) auditing.
891+ (b) The institute shall establish a compliance program that
892+ operates under the direction of the institute's chief compliance
893+ officer. The institute may establish procedures, including a
894+ telephone hotline, to allow private access to the compliance
895+ program office and to preserve the confidentiality of
896+ communications and the anonymity of a person making a compliance
897+ report or participating in a compliance investigation.
898+ (c) The following information is confidential and not
899+ subject to disclosure under Chapter 552, Government Code:
900+ (1) information that directly or indirectly reveals
901+ the identity of an individual who made a report to the institute's
902+ compliance program office, sought guidance from the office, or
903+ participated in an investigation conducted under the compliance
904+ program;
905+ (2) information that directly or indirectly reveals
906+ the identity of an individual who is alleged to have or may have
907+ planned, initiated, or participated in activities that are the
908+ subject of a report made to the office if, after completing an
909+ investigation, the office determines the report to be
910+ unsubstantiated or without merit; and
911+ (3) other information that is collected or produced in
912+ a compliance program investigation if releasing the information
913+ would interfere with an ongoing compliance investigation.
914+ (d) Subsection (c) does not apply to information related to
915+ an individual who consents to disclosure of the information.
916+ (e) Information made confidential or excepted from public
917+ disclosure by this section may be made available to the following on
918+ request in compliance with applicable laws and procedures:
919+ (1) a law enforcement agency or prosecutor;
920+ (2) a governmental agency responsible for
921+ investigating a matter that is the subject of a compliance report,
922+ including the Texas Workforce Commission civil rights division or
923+ the federal Equal Employment Opportunity Commission; or
924+ (3) a committee member or institute employee who is
925+ responsible under institutional policy for a compliance program
926+ investigation or for a review of a compliance program
927+ investigation.
928+ (f) A disclosure under Subsection (e) is not a voluntary
929+ disclosure for purposes of Section 552.007, Government Code.
930+ Sec. 157.263. CLOSED MEETING. The oversight committee may
931+ conduct a closed meeting under Chapter 551, Government Code, to
932+ discuss an ongoing compliance investigation into issues related to
933+ fraud, waste, or abuse of state resources.
934+ Sec. 157.264. APPROPRIATION CONTINGENCY. The institute is
935+ required to implement a provision of this chapter only if the
936+ legislature appropriates money specifically for that purpose. If
937+ the legislature does not appropriate money specifically for that
938+ purpose, the institute may, but is not required to, implement the
939+ provision using other money available to the institute for that
940+ purpose.
941+ SECTION 2. Section 51.955(c), Education Code, is amended to
942+ read as follows:
943+ (c) Subsection (b)(1) does not apply to a research contract
944+ between an institution of higher education and the Cancer
945+ Prevention and Research Institute of Texas or Brain Institute of
946+ Texas.
947+ SECTION 3. Section 61.003(6), Education Code, is amended to
948+ read as follows:
949+ (6) "Other agency of higher education" means The
950+ University of Texas System, System Administration; The University
951+ of Texas at El Paso Museum; The Texas A&M University System,
952+ Administrative and General Offices; Texas A&M AgriLife Research;
953+ Texas A&M AgriLife Extension Service; Rodent and Predatory Animal
954+ Control Service (a part of the Texas A&M AgriLife Extension
955+ Service); Texas A&M Engineering Experiment Station (including the
956+ Texas A&M Transportation Institute); Texas A&M Engineering
957+ Extension Service; Texas A&M Forest Service; Texas Division of
958+ Emergency Management; Texas Tech University Museum; Texas State
959+ University System, System Administration; Sam Houston Memorial
960+ Museum; Panhandle-Plains Historical Museum; Cotton Research
961+ Committee of Texas; Texas Water Resources Institute; Texas A&M
962+ Veterinary Medical Diagnostic Laboratory; Brain Institute of
963+ Texas; and any other unit, division, institution, or agency which
964+ shall be so designated by statute or which may be established to
965+ operate as a component part of any public senior college or
966+ university, or which may be so classified as provided in this
967+ chapter.
968+ SECTION 4. (a) Not later than December 1, 2022, the
969+ appropriate appointing authority shall appoint the members to the
970+ Brain Institute of Texas Oversight Committee as required by Section
971+ 157.101, Education Code, as added by this Act. The oversight
972+ committee may not take action until a majority of the appointed
973+ members have taken office.
974+ (b) Notwithstanding Section 157.101, Education Code, as
975+ added by this Act, in making the initial appointments under that
976+ section, the governor, lieutenant governor, and speaker of the
977+ house of representatives shall, as applicable, designate one member
978+ of the Brain Institute of Texas appointed by that person to serve a
979+ term expiring January 31, 2024, one member appointed by that person
980+ to serve a term expiring January 31, 2026, and one member appointed
981+ by that person to serve a term expiring January 31, 2028.
982+ SECTION 5. If the constitutional amendment proposed by the
983+ 87th Legislature, Regular Session, 2021, authorizing the issuance
984+ of general obligation bonds and the dedication of bond proceeds to
985+ the Brain Institute of Texas established to fund brain research is
986+ approved by the voters, the Brain Institute of Texas established by
987+ Chapter 157, Education Code, as added by this Act, is eligible to
988+ receive funding through the proceeds deposited under the authority
989+ of Section 68, Article III, Texas Constitution, for any activities
990+ conducted by the institute that serve the purposes of that
991+ constitutional provision.
992+ SECTION 6. This Act takes effect January 1, 2022, but only
993+ if the constitutional amendment proposed by the 87th Legislature,
994+ Regular Session, 2021, authorizing the issuance of general
995+ obligation bonds and the dedication of bond proceeds to the Brain
996+ Institute of Texas established to fund brain research in this state
997+ is approved by the voters. If that amendment is not approved by the
998+ voters, this Act has no effect.