Relating to severance pay for certain political subdivision employees.

SB 2237 (Local Government Code §180.011) limits severance pay for executive employees of Texas local governments (including city managers, department heads, and school superintendents). It caps severance pay from tax revenue at 20 weeks' salary (excluding PTO/vacation) and prohibits severance if an employee is terminated for misconduct (including criminal conduct). All severance agreements must be posted online by the local government, and new agreements or disputes after September 1, 2025, must comply. This bill directly affects executive-level employees in cities, counties, school districts, and charter schools.