TexasSB 223789th Legislature Regular SessionSenateWALLET

Relating to severance pay for certain political subdivision employees.

Sponsored By: Cecil Bell Jr., Paul Bettencourt (Republican)

Signed by Governor

City Government--Employees/OfficersCounty Government--Employees/OfficersPolitical Subdivisions

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Bill Overview

Analyzed Economic Effects

2 provisions identified: 1 benefits, 1 costs, 0 mixed.

New severance limits for local government executives

For employment agreements entered into on or after September 1, 2025, Texas local governments must include severance limits during contract or renewal negotiations. Covered executives include local government chief executives, agency and department heads, school superintendents, and open-enrollment charter school chief executives. Severance means extra income paid when employment ends, beyond usual earnings. Tax-funded severance cannot exceed 20 weeks of compensation at the employee’s pay rate when employment ends, excluding paid time off and accrued vacation leave. Agreements must also bar severance for executives fired for misconduct, whether or not tax money funds the payment. Misconduct means acts or failures to act while performing job duties that the governing body determines are misconduct, including criminal conduct findings. For termination-related lawsuits filed on or after September 1, 2025, courts cannot issue writs of execution or mandamus to enforce judgments that violate these rules.

Public access to local executive severance agreements

Beginning September 1, 2025, Texas local governments must post each covered severance agreement prominently on their websites. The law applies to employment agreements entered into on or after that date. Residents can review these agreements online.

Sponsors & Cosponsors

Sponsors

  • Cecil Bell Jr.

    House

  • Paul Bettencourt

    Republican • Senate

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 257 • No: 33

House vote • 5/23/2025

Record vote

Yes: 117 • No: 20

House vote • 5/22/2025

Record vote

Yes: 124 • No: 13

Senate vote • 4/16/2025

Record vote

Yes: 0 • No: 0

Senate vote • 4/16/2025

Record vote

Yes: 0 • No: 0

House vote • Unknown

Committee vote: Intergovernmental Affairs

Yes: 10 • No: 0

Senate vote • Unknown

Committee vote: Local Government

Yes: 6 • No: 0

Actions Timeline

  1. Effective on 9/1/25

    6/20/2025House
  2. Signed by the Governor

    6/20/2025House
  3. Sent to the Governor

    5/27/2025House
  4. Signed in the House

    5/26/2025House
  5. Signed in the Senate

    5/26/2025Senate
  6. Reported enrolled

    5/23/2025Senate
  7. House passage reported

    5/23/2025Senate
  8. Statement(s) of vote recorded in Journal

    5/23/2025House
  9. Record vote (RV#3330)

    5/23/2025House
  10. Passed

    5/23/2025House
  11. Read 3rd time

    5/23/2025House
  12. Statement(s) of vote recorded in Journal

    5/22/2025House
  13. Record vote (RV#3250)

    5/22/2025House
  14. Passed to 3rd reading

    5/22/2025House
  15. Read 2nd time

    5/22/2025House
  16. Placed on General State Calendar

    5/21/2025House
  17. Considered in Calendars

    5/19/2025House
  18. Committee report sent to Calendars

    5/10/2025House
  19. Committee report distributed

    5/9/2025House
  20. Comte report filed with Committee Coordinator

    5/9/2025House
  21. Reported favorably w/o amendment(s)

    4/28/2025House
  22. Considered in formal meeting

    4/28/2025House
  23. Referred to Intergovernmental Affairs

    4/22/2025House
  24. Read first time

    4/22/2025House
  25. Received from the Senate

    4/17/2025House

Bill Text

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