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.
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