Reynolds Whistleblower Bill’s Penalty Section Points To An Existing Offense

The text as introduced · 811 words

By: Reynolds
H.B. No. 3893

A BILL TO BE ENTITLED

AN ACT

Relating to the protection of whistleblowers, accountability in

public and private sectors, and penalties for retaliatory actions.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. SHORT TITLE.

This Act may be cited as the "Whistleblower Protection and

Accountability Act of Texas."

SECTION 2. PURPOSE.

The purpose of this Act is to:

1. Strengthen protections for whistleblowers who

report fraud, corruption, unlawful activities, or violations of

public trust;

2. Deter retaliation against whistleblowers through

civil and criminal penalties;

3. Promote transparency and accountability in

government entities, law enforcement, and private-sector

organizations.

SECTION 3. DEFINITIONS.

For the purposes of this Act, the following definitions

apply:

1. Whistleblower - An employee, contractor, or

volunteer who reports misconduct, fraud, corruption, safety

violations, or unlawful activities in good faith.

2. Retaliation - Any adverse employment action,

including termination, demotion, suspension, harassment,

blacklisting, pay reduction, or other forms of discrimination.

3. Protected Disclosure - A good faith communication

regarding misconduct reported to a supervisor, compliance officer,

oversight body, law enforcement, or an elected official.

SECTION 4. SCOPE OF COVERAGE.

This Act applies to:

1. Public Sector Employees - State, county, municipal,

and law enforcement personnel.

2. Private Sector Employees - Employees of businesses

and nonprofit organizations operating in Texas.

3. Contractors and Volunteers - Individuals

performing services for an employer under contract or as unpaid

personnel.

SECTION 5. PROHIBITED RETALIATION.

(a) No employer, agency, or organization may engage in

retaliation against a whistleblower.

(b) Retaliation includes, but is not limited to:

1. Termination, suspension, or demotion;

2. Pay reduction or denial of benefits;

3. Workplace harassment or the creation of a hostile

work environment;

4. Blacklisting or any act that harms future

employment opportunities.

(c) Employers violating this provision may be subject to

criminal liability under Texas Penal Code § 39.06 (Misuse of

Official Information) and civil liability under Chapter 554, Texas

Government Code (Whistleblower Protection Act).

SECTION 6. WHISTLEBLOWER PROTECTIONS.

(a) Confidentiality: Whistleblower identities shall remain

confidential unless disclosure is required by law.

(b) Remedies for Retaliation:

1. Reinstatement to the same or equivalent position;

2. Compensation for lost wages, benefits, and

emotional distress;

3. Punitive damages and reimbursement of legal fees.

SECTION 7. MANDATORY REPORTING REQUIREMENTS.

(a) All employers in Texas shall establish:

1. Internal procedures for whistleblower disclosures;

2. Mandatory notification of employee rights under

this Act;

3. Supervisor and HR personnel training on handling

whistleblower complaints.

SECTION 8. TEXAS WHISTLEBLOWER OVERSIGHT COMMISSION

(TWOC).

(a) The Texas Whistleblower Oversight Commission (TWOC) is

hereby established as an independent body to:

1. Receive, investigate, and mediate whistleblower

complaints;

2. Recommend penalties for retaliatory actions;

3. Require annual reports from organizations

detailing whistleblower disclosures and remedial actions taken.

SECTION 9. TRANSPARENCY IN PUBLIC ENTITIES.

All Texas government agencies, including constables'

offices, shall:

(a) Submit quarterly budget reports disclosing funding

allocations for specialized units;

(b) Include whistleblower reports and resolutions for

public review under the Texas Public Information Act (Chapter 552,

Texas Government Code).

SECTION 10. LAW ENFORCEMENT ACCOUNTABILITY.

(a) No law enforcement agency, including constables'

precincts, may hire an officer previously dismissed for:

1. Official misconduct under Texas Penal Code § 39.02

(Abuse of Official Capacity);

2. Civil rights violations under Texas Penal Code §

39.03 (Official Oppression).

(b) Agencies must conduct thorough background checks and

periodic personnel reviews of all officers.

SECTION 11. LEGAL RECOURSE FOR WHISTLEBLOWERS.

(a) Whistleblowers may file civil lawsuits against

employers within three (3) years of retaliatory actions.

(b) Lawsuits may include:

1. Compensation for economic and emotional damages;

2. Recovery of legal fees and punitive damages;

3. Injunctive relief restoring employment or

benefits.

SECTION 12. AMENDMENTS TO TEXAS WHISTLEBLOWER ACT.

(a) Expansion of Protections:

1. Extends whistleblower protections to

private-sector employees;

2. Includes explicit safeguards for reporting

constitutional and civil rights violations;

3. Aligns Texas laws with federal whistleblower

protections under the Whistleblower Protection Enhancement Act

(WPEA).

SECTION 13. PENALTIES FOR RETALIATION.

(a) Civil Penalties: Employers guilty of retaliation may

face:

1. Fines up to $500,000 per violation;

2. Compensatory damages for affected whistleblowers.

(b) Criminal Penalties:

3. Any employer obstructing a whistleblower

disclosure may be charged under Texas Penal Code § 36.06

(Obstruction or Retaliation) and face imprisonment.

SECTION 14. ESTABLISHMENT OF WHISTLEBLOWER SUPPORT FUND.

(a) A state-funded program shall provide:

1. Financial assistance for whistleblowers facing

legal proceedings;

2. Counseling services for whistleblowers and their

families.

SECTION 15. ENFORCEMENT.

(a) The Texas Attorney General's Office shall oversee

enforcement of this Act;

(b) The Texas Whistleblower Oversight Commission (TWOC)

shall monitor compliance and publish an annual report to the Texas

Legislature.

SECTION 16. EFFECTIVE DATE.

This Act shall take effect on January 1, 2025.

SECTION 17. SEVERABILITY.

If any provision of this Act is held invalid, the remainder of

the Act shall not be affected and shall continue in full force and

effect.