HBA-MPM S.B. 192 76(R)    BILL ANALYSIS


Office of House Bill AnalysisS.B. 192
By: Ogden
Higher Education
3/29/1999
Engrossed



BACKGROUND AND PURPOSE 

Currently, the Texas Constitution prohibits the granting of extra
compensation to a state employee after service has been rendered.  Some
institutions of higher education have granted administrators long-term
contracts which permit or require large cash settlements when the
administrator resigns or leaves.  Additionally, some administrators have
been granted tenure without the same scrutiny given to other faculty or
have been given salaries substantially higher than their peers.  H.B. 192
provides restrictions on contracts between administrators and institutions
of higher education with respect to these issues. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Subchapter Z, Chapter 51, Education Code, by adding
Section 51.946, as follows: 

Sec. 51.946.  RESTRICTIONS ON CONTRACTS WITH ADMINISTRATORS. (a) Authorizes
the governing board (board) of an institution of higher education to enter
into an employment contract with an administrator that is to be paid in
whole or part from appropriated funds only if, before the date the contract
is executed, the board determines that the contract is in the institution's
best interest. 

(b)  Prohibits a contract under this section from providing employment for
more than three years, allowing for certain payment after termination of
the contract, allow for certain developmental leave, or award tenure in a
manner differing from the institution's tenure policy. 

(c) Prohibits an institution of higher education from paying a salary to a
person who is reassigned from an administrative position to a faculty or
other position at the institution that exceeds the salary of other persons
with similar qualifications performing similar duties. 

(d)  Provides that an institution of higher education is mandated to
require an administrator receiving development leave to return to work at
the institution for a certain amount of time and to repay the institution
for all costs of the leave. 

(e)  Provides that a record pertaining to a contract, including terms
relating to the extension of any monetary or other consideration to an
administrator in connection with the settlement, compromise, or other
resolution of difference between the board and a current or former
administrator is public information.  Prohibits this information from being
withheld from public disclosure. 

(f)  Authorizes the board to grant development leave at a faculty member's
regular salary for one year to a faculty member who has held an
administrative position at the institution  for more than four years,
notwithstanding Subsection (b). 

(g)  Defines for the purpose of this section the following terms:
"administrator," "governing board," "institution of higher education," and
"contract." 

SECTION 2.  Effective date:  September 1, 1999.
Makes application of this Act prospective.

SECTION 3.  Emergency clause.