Hinojosa Bill Makes Investigated Districts Clear Contracts With The Commissioner

The text as introduced · 536 words

89R881 TSS-D

By: Hinojosa of Hidalgo
S.B. No. 439

A BILL TO BE ENTITLED

AN ACT

relating to approval by the commissioner of education of certain

contracts entered into by a school district during the pendency of

certain special investigations.

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

SECTION 1. Subchapter A, Chapter 39, Education Code, is

amended by adding Section 39.0041 to read as follows:

Sec. 39.0041. COMMISSIONER APPROVAL OF CERTAIN SCHOOL

DISTRICT CONTRACTS DURING PENDENCY OF CERTAIN SPECIAL

INVESTIGATIONS. (a) In this section, "severance payment" means any

amount paid by a school district to or in behalf of a district

employee on early termination of the employee's employment contract

that exceeds the amount earned by the employee 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.

(b) This section applies to a special investigation

conducted under Section 39.003(a)(3), (6), or (17) in response to:

(1) a complaint, allegation, or suspicion of financial

or operational impropriety at a school district; or

(2) the violation of procurement policies by a member

of the board of trustees of a school district or a district

administrator.

(c) Notwithstanding Subchapter D, Chapter 11, or any other

law, during the period beginning on the date on which the

commissioner authorizes a special investigation to which this

section applies and continuing through the date on which the

investigation is concluded or, if applicable, the date on which an

appeal under this subchapter or Section 39A.301 relating to the

investigation is concluded, the board of trustees of the school

district that is the subject of the special investigation shall,

before entering into a contract or amending a contract, submit the

contract or contract amendment to the commissioner for approval if

the contract or amendment:

(1) will bind the district for more than one calendar

year; or

(2) entitles an employee of the district to a

severance payment.

(d) A court may not enjoin a requirement under this section

before the conclusion of a special investigation to which this

section applies or, if applicable, the conclusion of an appeal

under this subchapter or Section 39A.301 relating to the

investigation.

(e) If the commissioner makes a determination to appoint a

monitor, conservator, management team, or board of managers to a

school district as a result of a special investigation to which this

section applies, the commissioner may require the district to

submit a contract or contract amendment for approval as described

by Subsection (c) until the date of the appointment.

(f) Notwithstanding any other law, each contract or

contract amendment that is entered into by a school district during

the period described by Subsection (c) must include a provision

stating that the contract or amendment is voidable.

(g) A contract or contract amendment that is entered into by

a school district in violation of this section is void.

SECTION 2. The changes in law made by this Act apply only to

a contract or contract amendment entered into on or after the

effective date of this Act.

SECTION 3. This Act takes effect September 1, 2025.