89R23102 DNC-D     By: Bell of Montgomery H.B. No. 4317     Substitute the following for H.B. No. 4317:     By:  Bell of Montgomery C.S.H.B. No. 4317       A BILL TO BE ENTITLED   AN ACT   relating to severance pay for political subdivision employees and   independent contractors.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Chapter 180, Local Government Code, is amended   by adding Section 180.011 to read as follows:          Sec. 180.011.  LIMITATION ON SEVERANCE PAY FOR EMPLOYEES AND   INDEPENDENT CONTRACTORS. (a) In this section:                (1)  "Misconduct" means an act or omission by an   employee or contractor of a political subdivision in the   performance of the employee's or contractor's duties that the   governing body of the political subdivision determines to be   misconduct. The term includes any finding of criminal conduct.                (2)  "Severance pay" means dismissal or separation   income paid on termination of:                      (A)  the employment of an employee that is in   addition to the employee's usual earnings from the employer at the   time of termination; or                      (B)  the contract of an independent contractor of   a political subdivision that is in addition to the contractor's   usual earnings from the political subdivision as prescribed by the   contract.          (b)  A political subdivision that enters into an employment   agreement or contract, or renewal or renegotiation of an existing   employment agreement or contract, that contains a provision for   severance pay must include:                (1)  a requirement that severance pay that is paid from   public funds may not exceed the amount of compensation, at the rate   at the termination of employment or of the contract, the employee or   independent contractor would have been paid for 12 weeks, excluding   paid time off or accrued vacation leave; and                (2)  a prohibition of the provision of severance pay   when the employee or independent contractor is terminated for   misconduct.          (c)  A political subdivision shall post each severance   agreement in a prominent place on the political subdivision's   Internet website.          (d)  This subsection applies to an action brought against a   political subdivision by an employee or independent contractor of   the political subdivision arising from the termination of the   person's employment or contract.  A court may not issue a writ of   execution or mandamus in connection with a judgment in the action if   the judgment does not comply with this section.          SECTION 2.  Section 180.011, Local Government Code, as added   by this Act, applies only to an employment agreement or contract   entered into or an action filed on or after the effective date of   this Act.          SECTION 3.  This Act takes effect September 1, 2025.