Bill Text: TX HB5 | 2025-2026 | 89th Legislature | Introduced
Bill Title: Relating to the creation of the Dementia Prevention and Research Institute of Texas.
Sponsorship: Bipartisan Bill
Status: (Introduced) 2025-03-10 - Left pending in committee [HB5 Detail]
Download: Texas-2025-HB5-Introduced.html
| By: Craddick | H.B. No. 5 | |
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| relating to the creation of the Dementia Prevention and Research | ||
| Institute of Texas. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Subtitle E, Title 2, Health and Safety Code, is | ||
| amended by adding Chapter 101A to read as follows: | ||
| CHAPTER 101A. DEMENTIA PREVENTION AND RESEARCH INSTITUTE OF TEXAS | ||
| SUBCHAPTER A. GENERAL PROVISIONS | ||
| Sec. 101A.001. DEFINITIONS. In this chapter: | ||
| (1) "Institute" means the Dementia Prevention and | ||
| Research Institute of Texas. | ||
| (2) "Oversight committee" means the Dementia | ||
| Prevention and Research Institute of Texas Oversight Committee. | ||
| (3) "Peer review committee" means the Dementia | ||
| Prevention and Research Institute of Texas Peer Review Committee. | ||
| (4) "Program integration committee" means the | ||
| Dementia Prevention and Research Institute of Texas Program | ||
| Integration Committee. | ||
| Sec. 101A.002. PURPOSES. The Dementia Prevention and | ||
| Research Institute of Texas is established to: | ||
| (1) create and expedite innovation in research on | ||
| dementia and related disorders to improve the health of residents | ||
| of this state, enhance the potential for a medical or scientific | ||
| breakthrough in research on dementia and related disorders, and | ||
| enhance the research superiority of this state regarding dementia | ||
| and related disorders; and | ||
| (2) attract, create, or expand research capabilities | ||
| of eligible institutions of higher education and other public or | ||
| private entities by awarding grants to promote a substantial | ||
| increase in research on dementia and related disorders, strategies | ||
| for prevention of dementia and related disorders, and the creation | ||
| of exceptional jobs in this state. | ||
| Sec. 101A.003. SUNSET PROVISION. The Dementia Prevention | ||
| and Research Institute of Texas is subject to Chapter 325, | ||
| Government Code (Texas Sunset Act). Unless continued in existence | ||
| as provided by that chapter, the institute is abolished and this | ||
| chapter expires September 1, 2035. | ||
| Sec. 101A.004. STATE AUDITOR. Nothing in this chapter | ||
| limits the authority of the state auditor under Chapter 321, | ||
| Government Code, or other law. | ||
| SUBCHAPTER B. POWERS AND DUTIES OF INSTITUTE | ||
| Sec. 101A.051. POWERS AND DUTIES. The institute: | ||
| (1) may award grants to institutions of learning, | ||
| advanced medical research facilities, public or private persons, | ||
| and collaboratives in this state to further the purposes of this | ||
| chapter and Section 68, Article III, Texas Constitution, including: | ||
| (A) research, including translational and | ||
| clinical research, into the causes of, means of prevention of, and | ||
| treatment and rehabilitation for dementia and related disorders; | ||
| (B) research, including translational research, | ||
| to develop therapies, protocols, medical pharmaceuticals, or | ||
| procedures for the substantial mitigation of the symptoms of | ||
| dementia and related disorders; | ||
| (C) facilities, equipment, and other costs | ||
| related to research on dementia and related disorders; and | ||
| (D) prevention programs and strategies to | ||
| mitigate the detrimental health impacts of dementia and related | ||
| disorders; | ||
| (2) may collaborate with relevant state agencies, | ||
| coordinating councils, and consortiums to enhance health care and | ||
| research for dementia and related disorders; | ||
| (3) shall establish the appropriate standards and | ||
| oversight bodies to ensure money authorized under this chapter is | ||
| properly used for the purposes of this chapter; | ||
| (4) may employ necessary staff to provide to the | ||
| institute administrative support; | ||
| (5) may contract with another state agency to share | ||
| the cost of administrative services, including grant accounting, | ||
| grant monitoring, technical and document management of the grant | ||
| application review process, legal services, and compliance | ||
| services; | ||
| (6) shall monitor grant contracts authorized by this | ||
| chapter and ensure each grant recipient complies with the terms and | ||
| conditions of the contract; | ||
| (7) shall ensure all grant proposals comply with this | ||
| chapter and rules adopted under this chapter before the proposals | ||
| are submitted to the oversight committee for approval; and | ||
| (8) shall establish procedures to document compliance | ||
| by the institute, institute employees, and institute committee | ||
| members with all laws and rules governing the peer review process | ||
| and conflicts of interest. | ||
| Sec. 101A.052. CHIEF EXECUTIVE OFFICER; CHIEF COMPLIANCE | ||
| OFFICER; ADDITIONAL OFFICERS. (a) The oversight committee shall | ||
| hire a chief executive officer. The chief executive officer shall | ||
| perform the duties required by this chapter and the duties | ||
| designated by the oversight committee. The chief executive officer | ||
| must have a demonstrated ability to lead and develop academic, | ||
| commercial, and governmental partnerships and coalitions. | ||
| (b) The institute shall employ a chief compliance officer to | ||
| monitor compliance with this chapter and rules adopted under this | ||
| chapter and to report to the oversight committee incidents of | ||
| noncompliance. | ||
| (c) The chief executive officer may hire any other officer | ||
| position the chief executive officer determines necessary for the | ||
| institute's efficient operation. | ||
| Sec. 101A.053. ANNUAL PUBLIC REPORT; INTERNET POSTING. Not | ||
| later than January 31 of each year, the institute shall prepare and | ||
| submit to the governor, lieutenant governor, speaker of the house | ||
| of representatives, and standing committee of each house of the | ||
| legislature with primary jurisdiction over institute matters and | ||
| post on the institute's Internet website a report on: | ||
| (1) the institute's activities under this chapter; | ||
| (2) a list of recipients of grants awarded during the | ||
| preceding state fiscal year and the grant amount awarded to each | ||
| recipient; | ||
| (3) any research accomplishments a grant recipient or | ||
| the recipient's partners achieved during the preceding state fiscal | ||
| year; | ||
| (4) an overview summary of the institute's most recent | ||
| audited financial statement; | ||
| (5) an assessment of the relationship between the | ||
| institute's grants and research program strategy; | ||
| (6) an estimate of the financial cost to this state of | ||
| dementia and related disorders during the most recent state fiscal | ||
| year for which data is available; | ||
| (7) a statement of the institute's compliance program | ||
| activities, including any proposed legislation or other | ||
| recommendations identified through the activities; | ||
| (8) for the preceding state fiscal year: | ||
| (A) a list of any conflict of interest requiring | ||
| recusal under this chapter or rules adopted under this chapter; | ||
| (B) any unreported conflict of interest | ||
| confirmed by an investigation conducted under Section 101A.254, | ||
| including any institute actions regarding an unreported conflict of | ||
| interest and subsequent investigation; and | ||
| (C) any waivers granted through the process | ||
| established under Section 101A.253; and | ||
| (9) the institute's future direction. | ||
| Sec. 101A.054. INDEPENDENT FINANCIAL AUDIT. (a) The | ||
| institute shall annually commission a certified public accounting | ||
| firm to perform an independent financial audit of its activities. | ||
| The institute shall provide the audit to the comptroller. | ||
| (b) The comptroller shall: | ||
| (1) review and evaluate the audit and annually issue a | ||
| public report of that review; and | ||
| (2) make recommendations concerning the institute's | ||
| financial practices and performance. | ||
| (c) The oversight committee shall review the annual | ||
| financial audit, the comptroller's public report and | ||
| recommendations, and the financial practices of the institute. | ||
| Sec. 101A.055. GRANT RECORDS; AUDIT OF ELECTRONIC GRANT | ||
| MANAGEMENT SYSTEM. (a) The institute shall maintain complete | ||
| records of: | ||
| (1) each grant application submitted to the institute, | ||
| including each application funded by the institute or withdrawn | ||
| after submission and the score the peer review committee assigns to | ||
| each reviewed application in accordance with rules adopted under | ||
| Section 101A.302; | ||
| (2) each grant recipient's financial reports, | ||
| including the amount of matching money dedicated to the research | ||
| specified for the grant award; | ||
| (3) each grant recipient's progress reports; | ||
| (4) the identity of each principal investor and owner | ||
| of each grant recipient as provided by institute rules to determine | ||
| any conflict of interest; and | ||
| (5) the institute's review of the grant recipient's | ||
| financial reports and progress reports. | ||
| (b) The institute shall keep each record described by | ||
| Subsection (a) until at least the 15th anniversary of the record's | ||
| date of issuance. | ||
| (c) The institute shall have prepared periodic audits of any | ||
| electronic grant management system used to maintain records of | ||
| grant applications and grant awards. The institute shall timely | ||
| address each weakness identified in an audit of the system. | ||
| Sec. 101A.056. GIFTS AND GRANTS. (a) The institute may | ||
| solicit and accept gifts and grants from any source for the purposes | ||
| of this chapter. | ||
| (b) The institute may not supplement the salary of any | ||
| institute employee or officer with a gift or grant the institute | ||
| receives. | ||
| Sec. 101A.057. PROHIBITED OFFICE LOCATION. An institute | ||
| employee may not have an office located in a facility owned by an | ||
| entity receiving or applying to receive money from the institute. | ||
| Sec. 101A.058. COMPLIANCE PROGRAM; INVESTIGATIONS. (a) | ||
| The institute shall establish a compliance program operating under | ||
| the direction of the institute's chief compliance officer to | ||
| monitor compliance with this chapter and rules adopted under this | ||
| chapter and for use in reporting incidents of noncompliance to the | ||
| oversight committee. | ||
| (b) The chief compliance officer or the officer's designee | ||
| shall attend and observe meetings of the peer review committee and | ||
| the program integration committee to ensure compliance with this | ||
| chapter and rules adopted under this chapter. | ||
| (c) The chief compliance officer shall submit a written | ||
| report to the oversight committee confirming each grant application | ||
| recommendation included on the list the program integration | ||
| committee submits under Section 101A.302(a)(2) complies with the | ||
| oversight committee's rules regarding grant award procedures. The | ||
| report must contain all relevant information on: | ||
| (1) the peer review process for the grant application; | ||
| (2) the score the peer review committee assigns to the | ||
| application; | ||
| (3) adherence to the conflict-of-interest | ||
| notification and recusal process; and | ||
| (4) confirmation that a recommended grant applicant | ||
| did not make any gift or grant prohibited by Section 101A.302(f). | ||
| (d) To ensure each grant recipient complies with reporting | ||
| requirements included in the grant contract and the rules adopted | ||
| under this chapter, the institute shall implement a system to: | ||
| (1) track the dates on which grant recipient reports | ||
| are due and are received by the institute; and | ||
| (2) monitor the status of any required report a grant | ||
| recipient does not timely submit to the institute. | ||
| (e) The chief compliance officer shall: | ||
| (1) monitor compliance with this section and the | ||
| status of any required report a grant recipient does not timely | ||
| submit to the institute; and | ||
| (2) notify the institute's general counsel and the | ||
| oversight committee of a grant recipient who has not complied with | ||
| the grant contract reporting requirements to allow the institute to | ||
| suspend or terminate the contract as the institute determines | ||
| appropriate. | ||
| (f) The chief compliance officer shall establish procedures | ||
| for investigating allegations against oversight committee members, | ||
| institute employees or contractors, grant applicants, or grant | ||
| recipients for fraud, waste, or abuse of state resources. The | ||
| procedures must include: | ||
| (1) private access to the compliance program office, | ||
| such as a telephone hotline; and | ||
| (2) to the extent possible, preservation of the | ||
| confidentiality of communications and the anonymity of a person who | ||
| submits a compliance report related to fraud, waste, or abuse or | ||
| participates in a compliance investigation. | ||
| SUBCHAPTER C. OVERSIGHT COMMITTEE | ||
| Sec. 101A.101. COMPOSITION OF OVERSIGHT COMMITTEE. (a) | ||
| The oversight committee is the institute's governing body. | ||
| (b) The oversight committee is composed of the following | ||
| nine members: | ||
| (1) three members appointed by the governor; | ||
| (2) three members appointed by the lieutenant | ||
| governor; and | ||
| (3) three members appointed by the speaker of the | ||
| house of representatives. | ||
| (c) The oversight committee members must represent this | ||
| state's geographic and cultural diversity. | ||
| (d) In making appointments to the oversight committee, the | ||
| governor, lieutenant governor, and speaker of the house of | ||
| representatives: | ||
| (1) must each appoint at least one person who is a | ||
| physician or a scientist with extensive experience working with | ||
| dementia or related disorders or in the field of public health; and | ||
| (2) should attempt to include persons affected by | ||
| dementia or related disorders or family members or caregivers of | ||
| patients with dementia or related disorders. | ||
| (e) A person may not be an oversight committee member if the | ||
| person or the person's spouse: | ||
| (1) is employed by or participates in the management | ||
| of an entity receiving money from the institute; | ||
| (2) owns or controls, directly or indirectly, an | ||
| interest in an entity receiving money from the institute; or | ||
| (3) uses or receives a substantial amount of tangible | ||
| goods, services, or money from the institute, other than | ||
| reimbursement authorized by this chapter for oversight committee | ||
| membership, attendance, or expenses. | ||
| Sec. 101A.102. REMOVAL. (a) It is a ground for removal | ||
| from the oversight committee that a member: | ||
| (1) is ineligible for membership under Section | ||
| 101A.101(e); | ||
| (2) cannot, because of illness or disability, | ||
| discharge the member's duties for a substantial part of the member's | ||
| term; or | ||
| (3) is absent from more than half of the regularly | ||
| scheduled oversight committee meetings the member is eligible to | ||
| attend during a calendar year without an excuse approved by a | ||
| majority vote of the committee. | ||
| (b) The validity of an oversight committee action is not | ||
| affected by the fact that the action is taken when a ground for | ||
| removal of a committee member exists. | ||
| (c) If the chief executive officer has knowledge that a | ||
| potential ground for removal of a committee member exists, the | ||
| chief executive officer shall notify the presiding officer of the | ||
| oversight committee of the potential ground. The presiding officer | ||
| shall then notify the appointing authority and the attorney general | ||
| that a potential ground for removal exists. If the potential ground | ||
| for removal involves the presiding officer, the chief executive | ||
| officer shall notify the next highest ranking officer of the | ||
| oversight committee, who shall then notify the appointing authority | ||
| and the attorney general that a potential ground for removal | ||
| exists. | ||
| Sec. 101A.103. TERMS; VACANCY. (a) Oversight committee | ||
| members appointed by the governor, lieutenant governor, and speaker | ||
| of the house serve at the pleasure of the appointing authority for | ||
| staggered six-year terms, with the terms of three members expiring | ||
| on January 31 of each odd-numbered year. | ||
| (b) If a vacancy occurs on the oversight committee, the | ||
| appropriate appointing authority shall appoint a successor in the | ||
| same manner as the original appointment to serve for the remainder | ||
| of the unexpired term. The appropriate appointing authority shall | ||
| appoint the successor not later than the 30th day after the date the | ||
| vacancy occurs. | ||
| Sec. 101A.104. OFFICERS. (a) The oversight committee | ||
| shall elect a presiding officer and assistant presiding officer | ||
| from among its members every two years. The oversight committee may | ||
| elect additional officers from among its members. | ||
| (b) The presiding officer and assistant presiding officer | ||
| may not serve in the position to which the officer was elected for | ||
| consecutive terms. | ||
| (c) The oversight committee shall: | ||
| (1) establish and approve duties and responsibilities | ||
| for committee officers; and | ||
| (2) develop and implement policies that distinguish | ||
| the responsibilities of the oversight committee and the committee's | ||
| officers from the responsibilities of the chief executive officer | ||
| and institute employees. | ||
| Sec. 101A.105. EXPENSES. An oversight committee member is | ||
| not entitled to compensation but is entitled to reimbursement for | ||
| actual and necessary expenses incurred in attending committee | ||
| meetings or performing other official duties authorized by the | ||
| presiding officer. | ||
| Sec. 101A.106. MEETINGS. (a) The oversight committee | ||
| shall hold at least one public meeting each quarter of the calendar | ||
| year, with appropriate notice and a formal public comment period. | ||
| (b) The oversight committee may conduct a closed meeting in | ||
| accordance with Subchapter E, Chapter 551, Government Code, to | ||
| discuss issues related to: | ||
| (1) managing, acquiring, or selling securities or | ||
| other revenue-sharing obligations realized under the standards | ||
| established as required by Section 101A.305; and | ||
| (2) an ongoing compliance investigation into issues | ||
| related to fraud, waste, or abuse of state resources. | ||
| Sec. 101A.107. POWERS AND DUTIES. (a) The oversight | ||
| committee shall: | ||
| (1) hire a chief executive officer; | ||
| (2) annually set priorities for each grant program | ||
| established under this chapter; and | ||
| (3) consider the priorities set under Subdivision (2) | ||
| in awarding grants under this chapter. | ||
| (b) The oversight committee shall adopt a code of conduct | ||
| applicable to each oversight committee member, program integration | ||
| committee member, peer review committee member, and institute | ||
| employee that includes provisions prohibiting the member, | ||
| employee, or member's or employee's spouse from: | ||
| (1) accepting or soliciting any gift, favor, or | ||
| service that could reasonably influence the member or employee in | ||
| the discharge of official duties or that the member, employee, or | ||
| spouse knows or should know is being offered with the intent to | ||
| influence the member's or employee's official conduct; | ||
| (2) accepting employment or engaging in any business | ||
| or professional activity that would reasonably require or induce | ||
| the member or employee to disclose confidential information | ||
| acquired in the member's or employee's official position; | ||
| (3) accepting other employment or compensation that | ||
| could reasonably impair the member's or employee's independent | ||
| judgment in the performance of official duties; | ||
| (4) holding a personal investment or financial | ||
| interest that could reasonably create a substantial conflict | ||
| between the private interests and official duties of the member or | ||
| employee; | ||
| (5) intentionally or knowingly soliciting, accepting, | ||
| or agreeing to accept any benefit for exercising the member's | ||
| official powers or performing the member's or employee's official | ||
| duties in favor of another; | ||
| (6) directly or indirectly leasing to an entity that | ||
| receives a grant from the institute any property, capital | ||
| equipment, employee, or service; | ||
| (7) submitting a grant application for funding by the | ||
| institute; | ||
| (8) serving on the board of directors of an | ||
| organization established with a grant from the institute; or | ||
| (9) serving on the board of directors of a grant | ||
| recipient. | ||
| Sec. 101A.108. RULEMAKING AUTHORITY. The oversight | ||
| committee may adopt rules to administer this chapter. | ||
| Sec. 101A.109. FINANCIAL STATEMENT REQUIRED. Each | ||
| oversight committee member shall file with the chief compliance | ||
| officer a verified financial statement complying with Sections | ||
| 572.022, 572.023, 572.024, 572.025, 572.0251, and 572.0252, | ||
| Government Code, as required of a state officer by Section 572.021 | ||
| of that code. | ||
| SUBCHAPTER D. OTHER INSTITUTE COMMITTEES | ||
| Sec. 101A.151. PEER REVIEW COMMITTEE. (a) The oversight | ||
| committee shall establish a peer review committee. The chief | ||
| executive officer, with approval by a simple majority of the | ||
| oversight committee members, shall appoint as members to the peer | ||
| review committee: | ||
| (1) experts in fields related to dementia or related | ||
| disorders, including research, health care, dementia treatment and | ||
| prevention, and other study areas; and | ||
| (2) trained patient advocates who meet the | ||
| qualifications adopted under Subsection (c). | ||
| (b) The oversight committee shall adopt a written policy on | ||
| in-state or out-of-state residency requirements for peer review | ||
| committee members. | ||
| (c) The oversight committee shall adopt rules regarding the | ||
| qualifications required of a trained patient advocate for | ||
| membership on the peer review committee. The rules must require the | ||
| trained patient advocate to successfully complete science-based | ||
| training. | ||
| (d) A peer review committee member may receive an | ||
| honorarium. Subchapter B, Chapter 2254, Government Code, does not | ||
| apply to an honorarium the member receives under this chapter. | ||
| (e) The chief executive officer, in consultation with the | ||
| oversight committee, shall adopt a policy regarding honoraria and | ||
| document any change in the amount of honoraria paid to a peer review | ||
| committee member, including information explaining the basis for | ||
| that change. | ||
| (f) A peer review committee member may not serve on the | ||
| board of directors or other governing board of an entity receiving a | ||
| grant from the institute. | ||
| (g) Peer review committee members serve for terms as | ||
| determined by the chief executive officer. | ||
| Sec. 101A.152. PROGRAM INTEGRATION COMMITTEE. (a) The | ||
| institute shall establish a program integration committee to carry | ||
| out the duties assigned under this chapter. | ||
| (b) The program integration committee is composed of: | ||
| (1) the chief executive officer, who serves as the | ||
| presiding officer of the program integration committee; | ||
| (2) three senior-level institute employees | ||
| responsible for program policy and oversight, appointed by the | ||
| chief executive officer with the approval of a majority of the | ||
| oversight committee members; and | ||
| (3) the executive commissioner or the executive | ||
| commissioner's designee. | ||
| Sec. 101A.153. HIGHER EDUCATION ADVISORY COMMITTEE. (a) | ||
| The higher education advisory committee is composed of the | ||
| following members: | ||
| (1) one member appointed by the chancellor of The | ||
| University of Texas System; | ||
| (2) one member appointed by the chancellor of The | ||
| Texas A&M University System; | ||
| (3) one member appointed by the chancellor of the | ||
| Texas Tech University System; | ||
| (4) one member appointed by the chancellor of the | ||
| University of Houston System; | ||
| (5) one member appointed by the chancellor of the | ||
| Texas State University System; | ||
| (6) one member appointed by the chancellor of the | ||
| University of North Texas System; | ||
| (7) one member appointed by the president of Baylor | ||
| College of Medicine; and | ||
| (8) one member appointed by the president of Rice | ||
| University. | ||
| (b) The higher education advisory committee shall advise | ||
| the oversight committee on issues, opportunities, the role of | ||
| higher education, and other subjects involving research on dementia | ||
| and related disorders. | ||
| Sec. 101A.154. AD HOC ADVISORY COMMITTEE. (a) The | ||
| oversight committee, as necessary, may create additional ad hoc | ||
| advisory committees composed of experts to advise the oversight | ||
| committee on issues relating to prevention of or research on | ||
| dementia and related disorders or other issues related to dementia | ||
| or related disorders. | ||
| (b) Ad hoc committee members serve for the terms the | ||
| oversight committee determines. | ||
| Sec. 101A.155. EXPENSES. Members of the higher education | ||
| advisory committee created under Section 101A.153 or an ad hoc | ||
| advisory committee created under Section 101A.154 serve without | ||
| compensation but are entitled to reimbursement for actual and | ||
| necessary expenses incurred in attending committee meetings or | ||
| performing other official duties authorized by the presiding | ||
| officer. | ||
| SUBCHAPTER E. DEMENTIA PREVENTION AND RESEARCH FUND | ||
| Sec. 101A.201. DEMENTIA PREVENTION AND RESEARCH FUND. (a) | ||
| In this subchapter, "fund" means the Dementia Prevention and | ||
| Research Fund established under Section 68, Article III, Texas | ||
| Constitution. The fund is a special fund in the treasury outside | ||
| the general revenue fund to be administered by the institute. The | ||
| institute may use money in the fund as authorized by this chapter | ||
| without further legislative appropriation. | ||
| (b) The fund consists of: | ||
| (1) money transferred to the fund under Section 68, | ||
| Article III, Texas Constitution; | ||
| (2) money the legislature appropriates, credits, or | ||
| transfers to the fund; | ||
| (3) gifts and grants, including grants from the | ||
| federal government, and other donations received for the fund; | ||
| (4) patent, royalty, and license fees and other income | ||
| received under a contract executed as provided by Section 101A.304; | ||
| and | ||
| (5) investment earnings and interest earned on amounts | ||
| credited to the fund. | ||
| (c) The fund may only be used for the purposes authorized | ||
| under Section 68, Article III, Texas Constitution, including: | ||
| (1) the award of grants for research on or prevention | ||
| of dementia and related disorders and research facilities in this | ||
| state to conduct that research; | ||
| (2) the purchase of, subject to the institute's | ||
| approval, research facilities by or for a state agency or grant | ||
| recipient; and | ||
| (3) the operation of the institute. | ||
| Sec. 101A.202. ROLE OF TEXAS TREASURY SAFEKEEPING TRUST | ||
| COMPANY. (a) In this section, "trust company" means the Texas | ||
| Treasury Safekeeping Trust Company. | ||
| (b) The trust company shall invest the fund in accordance | ||
| with this section. | ||
| (c) The trust company shall hold and invest the fund, and | ||
| any accounts established in the fund, for the institute taking into | ||
| consideration the authorized uses of money in the fund. The fund | ||
| may be invested with the state treasury pool and may be pooled with | ||
| other state assets for investment purposes. | ||
| (d) The overall objective for the investment of the fund is | ||
| to maintain sufficient liquidity to meet the needs of the fund while | ||
| striving to preserve the purchasing power of the fund over a full | ||
| economic cycle. | ||
| (e) The trust company has any power necessary to accomplish | ||
| the purposes of managing and investing the fund's assets. In | ||
| managing the fund's assets, through procedures and subject to | ||
| restrictions the trust company considers appropriate, the trust | ||
| company may acquire, exchange, sell, supervise, manage, or retain | ||
| any kind of investment that a prudent investor, exercising | ||
| reasonable care, skill, and caution, would acquire or retain in | ||
| light of the purposes, terms, distribution requirements, and other | ||
| circumstances of the fund then prevailing, taking into | ||
| consideration the investment of all the fund's assets rather than a | ||
| single investment. | ||
| (f) The expenses of managing the fund shall be paid from the | ||
| fund. | ||
| (g) The trust company annually shall provide to the | ||
| institute and the oversight committee a written report on the | ||
| investments of the fund. | ||
| (h) The trust company shall adopt an appropriate written | ||
| investment policy for the fund. The trust company shall present the | ||
| investment policy to the investment advisory board established | ||
| under Section 404.028, Government Code. The investment advisory | ||
| board shall submit to the trust company recommendations regarding | ||
| the policy. | ||
| (i) The institute annually shall provide to the trust | ||
| company a forecast of the cash flows into and out of the fund. The | ||
| institute shall provide updates to the forecasts as appropriate to | ||
| ensure the trust company is able to achieve the objective specified | ||
| by Subsection (d). | ||
| (j) The trust company shall disburse money from the fund as | ||
| the institute directs. The institute shall direct disbursements | ||
| from the fund on a semiannual schedule specified by the institute | ||
| and not more frequently than twice in any state fiscal year. | ||
| Sec. 101A.203. AUTHORIZED USE OF GRANT MONEY; LIMITATIONS. | ||
| (a) A grant recipient awarded money from the fund may use the money | ||
| for research consistent with the purposes of this chapter and in | ||
| accordance with a contract between the grant recipient and the | ||
| institute. | ||
| (b) Except as otherwise provided by this section, grant | ||
| money awarded under this chapter may be used for authorized | ||
| expenses, including: | ||
| (1) honoraria; | ||
| (2) travel; | ||
| (3) conference fees and expenses; | ||
| (4) consumable supplies; | ||
| (5) operating expenses; | ||
| (6) contracted research and development; | ||
| (7) capital equipment; and | ||
| (8) construction or renovation of state or private | ||
| facilities. | ||
| (c) A grant recipient awarded money under this chapter for | ||
| research on dementia or related disorders may not spend more than | ||
| five percent of the money for indirect costs. In this subsection, | ||
| "indirect costs" means business expenses not readily identified | ||
| with a particular grant, contract, project, function, or activity | ||
| that are necessary for the general operation of the organization or | ||
| the performance of the organization's activities. | ||
| (d) Not more than five percent of the total amount of grant | ||
| money awarded under this chapter in a state fiscal year may be used | ||
| during that year for facility purchase, construction, remodel, or | ||
| renovation purposes, and those expenditures must benefit research | ||
| on dementia or related disorders. | ||
| (e) Not more than 10 percent of the total amount of grant | ||
| money awarded under this chapter in a state fiscal year may be used | ||
| during that year for prevention projects and strategies to mitigate | ||
| the incidence of dementia or related disorders. | ||
| SUBCHAPTER F. CONFLICTS OF INTEREST: DISCLOSURE; RECUSAL | ||
| Sec. 101A.251. CONFLICT OF INTEREST. (a) The oversight | ||
| committee shall adopt conflict-of-interest rules, based on | ||
| standards applicable to members of scientific review committees of | ||
| the National Institutes of Health, to govern oversight committee | ||
| members, program integration committee members, peer review | ||
| committee members, and institute employees. | ||
| (b) An oversight committee member, program integration | ||
| committee member, peer review committee member, or institute | ||
| employee shall recuse the member or employee, as provided by | ||
| Section 101A.252(a), (b), or (c), as applicable, if the member or | ||
| employee, or a person who is related to the member or employee | ||
| within the second degree of affinity or consanguinity, has a | ||
| professional or financial interest in an entity awarded a grant or | ||
| applying for a grant from the institute. | ||
| (c) For purposes of Subsection (b), a person has a | ||
| professional interest in an entity awarded a grant or applying for a | ||
| grant from the institute if the person: | ||
| (1) is a member of the board of directors, another | ||
| governing board, or any committee of the entity, or of a foundation | ||
| or similar organization affiliated with the entity, during the same | ||
| grant cycle; | ||
| (2) serves as an elected or appointed officer of the | ||
| entity; | ||
| (3) is an employee of or is negotiating future | ||
| employment with the entity; | ||
| (4) represents the entity; | ||
| (5) is a professional associate of a primary member of | ||
| the entity's project team; | ||
| (6) is, or within the preceding six years has been, a | ||
| student, postdoctoral associate, or part of a laboratory research | ||
| group for a primary member of the entity's project team; | ||
| (7) is engaged or is actively planning to be engaged in | ||
| collaboration with a primary member of the entity's project team; | ||
| or | ||
| (8) has long-standing scientific differences or | ||
| disagreements with a primary member of the entity's project team, | ||
| and those differences or disagreements: | ||
| (A) are known to the professional community; and | ||
| (B) could be perceived as affecting objectivity. | ||
| (d) For purposes of Subsection (b), a person has a financial | ||
| interest in an entity awarded a grant or applying for a grant from | ||
| the institute if the person: | ||
| (1) directly or indirectly owns or controls an | ||
| ownership interest, including sharing in profits, proceeds, or | ||
| capital gains, in an entity awarded a grant or applying for a grant | ||
| from the institute; or | ||
| (2) could reasonably foresee that an action taken by | ||
| the oversight committee, the program integration committee, a peer | ||
| review committee, or the institute could result in a financial | ||
| benefit to the person. | ||
| (e) Nothing in this chapter limits the oversight | ||
| committee's authority to adopt additional conflict-of-interest | ||
| standards. | ||
| Sec. 101A.252. DISCLOSURE OF CONFLICT OF INTEREST; RECUSAL. | ||
| (a) If an oversight committee member or program integration | ||
| committee member has a conflict of interest described by Section | ||
| 101A.251 regarding an application before the member for review or | ||
| other action, the member: | ||
| (1) shall provide written notice to the chief | ||
| executive officer and the presiding officer of the oversight | ||
| committee or the next ranking member of the committee if the | ||
| presiding officer has the conflict of interest; | ||
| (2) shall disclose the conflict of interest in an open | ||
| meeting of the oversight committee; | ||
| (3) shall recuse themselves from participating in the | ||
| review, discussion, deliberation, and vote on the application; and | ||
| (4) may not access information regarding the matter to | ||
| be decided. | ||
| (b) If a peer review committee member has a conflict of | ||
| interest described by Section 101A.251 regarding an application | ||
| before the member's committee for review or other action, the | ||
| member: | ||
| (1) shall provide written notice to the chief | ||
| executive officer of the conflict of interest; | ||
| (2) shall recuse themselves from participating in the | ||
| review, discussion, deliberation, and vote on the application; and | ||
| (3) may not access information regarding the matter to | ||
| be decided. | ||
| (c) If an institute employee has a conflict of interest | ||
| described by Section 101A.251 regarding an application before the | ||
| employee for review or other action, the employee: | ||
| (1) shall provide written notice to the chief | ||
| executive officer of the conflict of interest; | ||
| (2) shall recuse themselves from participating in the | ||
| review of the application; and | ||
| (3) may not access information regarding the matter to | ||
| be decided. | ||
| (d) An oversight committee member, program integration | ||
| committee member, peer review committee member, or institute | ||
| employee with a conflict of interest may seek a waiver as provided | ||
| by Section 101A.253. | ||
| (e) An oversight committee member, program integration | ||
| committee member, peer review committee member, or institute | ||
| employee who reports a potential conflict of interest or another | ||
| impropriety or self-dealing of the member or employee and who fully | ||
| complies with the recommendations of the institute's general | ||
| counsel and recusal requirements is considered in compliance with | ||
| the conflict-of-interest provisions of this chapter. The member or | ||
| employee is subject to other applicable laws, rules, requirements, | ||
| and prohibitions. | ||
| (f) An oversight committee member, program integration | ||
| committee member, peer review committee member, or institute | ||
| employee who intentionally violates this section is subject to | ||
| removal from further participation in the institute's grant review | ||
| process. | ||
| Sec. 101A.253. EXCEPTIONAL CIRCUMSTANCES REQUIRING | ||
| PARTICIPATION. The oversight committee shall adopt rules governing | ||
| the waiver of the conflict-of-interest requirements of this chapter | ||
| under exceptional circumstances for an oversight committee member, | ||
| program integration committee member, peer review committee | ||
| member, or institute employee. The rules must: | ||
| (1) authorize the chief executive officer or an | ||
| oversight committee member to propose granting a waiver by | ||
| submitting to the oversight committee's presiding officer a written | ||
| statement about the conflict of interest, the exceptional | ||
| circumstance requiring the waiver, and any proposed limitations to | ||
| the waiver; | ||
| (2) require a proposed waiver to be publicly reported | ||
| at an oversight committee meeting; | ||
| (3) require a majority vote of the oversight committee | ||
| members present and voting to grant a waiver; | ||
| (4) require any waiver granted to be included in the | ||
| annual report required by Section 101A.053; and | ||
| (5) require the institute to retain documentation of | ||
| each waiver granted. | ||
| Sec. 101A.254. INVESTIGATION OF UNREPORTED CONFLICTS OF | ||
| INTEREST. (a) An oversight committee member, program integration | ||
| committee member, peer review committee member, or institute | ||
| employee who becomes aware of an unreported potential conflict of | ||
| interest described by Section 101A.251 shall immediately notify the | ||
| chief executive officer of the potential conflict of interest. On | ||
| receipt of the notification, the chief executive officer shall | ||
| notify the institute's general counsel and the oversight | ||
| committee's presiding officer, who shall determine the nature and | ||
| extent of any unreported conflict. | ||
| (b) A grant applicant seeking an investigation regarding | ||
| whether a prohibited conflict of interest was not reported shall | ||
| file a written request with the chief executive officer. The | ||
| applicant must: | ||
| (1) include in the request all facts regarding the | ||
| alleged conflict of interest; and | ||
| (2) submit the request not later than the 30th day | ||
| after the date the chief executive officer presents to the | ||
| oversight committee final funding recommendations for the affected | ||
| grant cycle. | ||
| (c) On receipt of notification of an alleged conflict of | ||
| interest under Subsection (a) or (b), the institute's general | ||
| counsel shall: | ||
| (1) investigate the matter; and | ||
| (2) provide to the chief executive officer and the | ||
| oversight committee's presiding officer an opinion that includes: | ||
| (A) a statement of facts; | ||
| (B) a determination of whether a conflict of | ||
| interest or another impropriety or self-dealing exists; and | ||
| (C) if the opinion provides that a conflict of | ||
| interest or another impropriety or self-dealing exists, | ||
| recommendations for an appropriate course of action. | ||
| (d) If the conflict of interest, impropriety, or | ||
| self-dealing involves the oversight committee's presiding officer, | ||
| the institute's general counsel shall provide the opinion to the | ||
| next ranking oversight committee member who is not involved with | ||
| the conflict of interest, impropriety, or self-dealing. | ||
| (e) After receiving the opinion and consulting with the | ||
| oversight committee's presiding officer, the chief executive | ||
| officer shall take action regarding the recusal of the individual | ||
| from any discussion of or access to information related to the | ||
| conflict of interest or other recommended action related to the | ||
| impropriety or self-dealing. If the alleged conflict of interest, | ||
| impropriety, or self-dealing is held by, or is an act of, the chief | ||
| executive officer, the presiding officer of the oversight committee | ||
| shall take actions regarding the recusal or other action. | ||
| Sec. 101A.255. FINAL DETERMINATION OF UNREPORTED CONFLICT | ||
| OF INTEREST. (a) The chief executive officer or, if applicable, | ||
| the oversight committee's presiding officer shall make a | ||
| determination regarding the existence of an unreported conflict of | ||
| interest described by Section 101A.251 or other impropriety or | ||
| self-dealing. The determination must specify any actions to be | ||
| taken to address the conflict of interest, impropriety, or | ||
| self-dealing, including: | ||
| (1) reconsideration of the application; or | ||
| (2) referral of the application to another peer review | ||
| committee for review. | ||
| (b) The determination made under Subsection (a) is | ||
| considered final unless three or more oversight committee members | ||
| request that the issue be added to the agenda of the oversight | ||
| committee. | ||
| (c) The chief executive officer or, if applicable, the | ||
| oversight committee's presiding officer, shall provide to the grant | ||
| applicant requesting the investigation written notice of the final | ||
| determination, including any further actions to be taken. | ||
| (d) Unless specifically determined by the chief executive | ||
| officer or, if applicable, the presiding officer of the oversight | ||
| committee, or the oversight committee, the validity of an action | ||
| taken on a grant application is not affected by the fact that an | ||
| individual who failed to report a conflict of interest participated | ||
| in the action. | ||
| SUBCHAPTER G. PROCEDURE FOR AWARDING GRANTS | ||
| Sec. 101A.301. PEER REVIEW PROCESS FOR GRANT AWARD. The | ||
| institute shall establish a peer review process to evaluate and | ||
| recommend all grants the oversight committee awards under this | ||
| chapter. | ||
| Sec. 101A.302. GRANT AWARD RULES AND PROCEDURES. (a) The | ||
| oversight committee shall adopt rules regarding the procedure for | ||
| awarding grants to an applicant under this chapter. The rules must | ||
| require: | ||
| (1) the peer review committee to score grant | ||
| applications and make recommendations to the program integration | ||
| committee and the oversight committee regarding the award of | ||
| grants, including providing a prioritized list that: | ||
| (A) ranks the grant applications in the order the | ||
| peer review committee determines applications should be funded; and | ||
| (B) includes information explaining each grant | ||
| applicant's qualification under the peer review committee's | ||
| standards for recommendation; and | ||
| (2) the program integration committee to submit to the | ||
| oversight committee a list of grant applications the program | ||
| integration committee by majority vote approved for recommendation | ||
| that: | ||
| (A) includes documentation on the factors the | ||
| program integration committee considered in making the | ||
| recommendations; | ||
| (B) is substantially based on the list submitted | ||
| by the peer review committee under Subdivision (1); and | ||
| (C) to the extent possible, gives priority to | ||
| applications with proposals that: | ||
| (i) may lead to immediate or long-term | ||
| medical and scientific breakthroughs in the areas of prevention or | ||
| treatment for dementia and related disorders; | ||
| (ii) strengthen and enhance fundamental | ||
| scientific research on dementia and related disorders; | ||
| (iii) ensure a comprehensive coordinated | ||
| approach to research on dementia and related disorders; | ||
| (iv) are interdisciplinary or | ||
| interinstitutional; | ||
| (v) align with state priorities and needs, | ||
| including priorities and needs outlined in other state agency | ||
| strategic plans, or that address federal or other major research | ||
| sponsors' priorities in scientific or technological research in the | ||
| fields of dementia and related disorders; | ||
| (vi) are matched with money provided by a | ||
| private or nonprofit entity or institution of higher education; | ||
| (vii) are collaborative between any | ||
| combination of private and nonprofit entities, public or private | ||
| agencies or institutions in this state, and public or private | ||
| institutions outside this state; | ||
| (viii) benefit the residents of this state, | ||
| including a demonstrable economic development benefit to this | ||
| state; | ||
| (ix) enhance research superiority at | ||
| institutions of higher education in this state by creating new | ||
| research superiority, attracting existing research superiority | ||
| from institutions outside this state and other research entities, | ||
| or attracting from outside this state additional researchers and | ||
| resources; and | ||
| (x) expedite innovation and product | ||
| development, attract private sector entities to stimulate a | ||
| substantial increase in high-quality jobs, and increase higher | ||
| education applied science or technology research capabilities. | ||
| (b) A peer review committee member may not attempt to use | ||
| the committee member's official position to influence a decision to | ||
| approve or award a grant or contract to the committee member's | ||
| employer. | ||
| (c) A program integration committee member may not discuss a | ||
| grant applicant recommendation with an oversight committee member | ||
| unless the program integration committee has submitted the list | ||
| required under Subsection (a)(2). | ||
| (d) Two-thirds of the oversight committee members present | ||
| and voting must vote to approve each grant award recommendation of | ||
| the program integration committee. If the oversight committee does | ||
| not approve a grant award recommendation of the program integration | ||
| committee, a statement explaining the reasons the recommendation | ||
| was not followed must be included in the minutes of the meeting. | ||
| (e) The oversight committee may not award more than $300 | ||
| million in grants under this chapter in a state fiscal year. | ||
| (f) The oversight committee may not award a grant to an | ||
| applicant who has made a gift or grant to the institute, an | ||
| oversight committee member, or an institute employee on or after | ||
| January 1, 2026. This section does not apply to gifts, fees, | ||
| honoraria, or other items also excepted under Section 36.10, Penal | ||
| Code. | ||
| Sec. 101A.303. MULTIYEAR PROJECTS. (a) The oversight | ||
| committee may approve the award of grant money for a multiyear | ||
| project. | ||
| (b) The oversight committee shall specify the total amount | ||
| of money approved to fund the multiyear project. For purposes of | ||
| this chapter, the total amount is considered to have been awarded in | ||
| the state fiscal year the peer review committee approved the | ||
| project. The institute shall disburse only the money to be spent | ||
| during that fiscal year. The institute shall disburse the | ||
| remaining grant money as the money is needed in each subsequent | ||
| state fiscal year. | ||
| Sec. 101A.304. CONTRACT TERMS. (a) Before disbursing | ||
| grant money awarded under this chapter, the institute shall execute | ||
| a written contract with the grant recipient. The contract shall: | ||
| (1) specify that except for awards to state agencies | ||
| or public institutions of higher education, if all or any part of | ||
| the grant amount is used to build a capital improvement: | ||
| (A) the state retains a lien or other interest in | ||
| the capital improvement in proportion to the percentage of the | ||
| grant amount used to pay for the capital improvement; and | ||
| (B) the grant recipient shall, if the capital | ||
| improvement is sold: | ||
| (i) repay to this state the grant money used | ||
| to pay for the capital improvement, with interest at the rate and | ||
| according to the other terms provided by the contract; and | ||
| (ii) share with this state a proportionate | ||
| amount of any profit realized from the sale; | ||
| (2) specify that if the grant recipient has not used | ||
| awarded grant money for the purposes for which the grant was | ||
| intended, the recipient shall repay that grant amount and any | ||
| related interest applicable under the contract to this state at the | ||
| agreed rate and on the agreed terms; | ||
| (3) specify that if the grant recipient fails to meet | ||
| the terms and conditions of the contract, the institute may | ||
| terminate the contract using the written process prescribed in the | ||
| contract and require the recipient to repay the awarded grant money | ||
| and any related interest applicable under the contract to this | ||
| state at the agreed rate and on the agreed terms; | ||
| (4) include terms relating to intellectual property | ||
| rights consistent with the standards developed by the oversight | ||
| committee under Section 101A.305; | ||
| (5) require, in accordance with Subsection (b), the | ||
| grant recipient to dedicate an amount of matching money equal to | ||
| one-half of the amount of the grant awarded and specify the amount | ||
| of matching money to be dedicated; | ||
| (6) specify the period in which the grant award must be | ||
| spent; and | ||
| (7) include the specific deliverables of the project | ||
| that is the subject of the grant proposal. | ||
| (b) Before the institute may disburse grant money, the grant | ||
| recipient must certify the recipient has available an unexpended | ||
| amount of money equal to one-half of the grant amount dedicated to | ||
| the research specified in the grant proposal. The institute shall | ||
| adopt rules specifying a grant recipient's obligations under this | ||
| chapter. At a minimum, the rules must: | ||
| (1) allow an institution of higher education or a | ||
| private or independent institution of higher education, as those | ||
| terms are defined by Section 61.003, Education Code, a research | ||
| institute or center affiliated with the institution, or a | ||
| not-for-profit hospital system, to credit toward the recipient's | ||
| matching money the dollar amount equivalent to the difference | ||
| between the indirect cost rate negotiated by the federal government | ||
| for research grants awarded to the recipient and the indirect cost | ||
| rate authorized by Section 101A.203(c); | ||
| (2) specify that: | ||
| (A) the recipient of more than one grant award | ||
| under this chapter may provide matching money certification at an | ||
| institutional level; | ||
| (B) the recipient of a multiyear grant award may | ||
| yearly certify matching money; and | ||
| (C) grant money may not be disbursed to the | ||
| recipient until the annual certification of the matching money has | ||
| been approved; | ||
| (3) specify that money for certification purposes may | ||
| include: | ||
| (A) federal money; | ||
| (B) the fair market value of drug development | ||
| support provided to the recipient by the National Institutes of | ||
| Health or other similar programs; | ||
| (C) this state's money; | ||
| (D) other states' money; and | ||
| (E) nongovernmental money, including money from | ||
| private sources, foundation grants, gifts, and donations; | ||
| (4) specify that the following items may not be used | ||
| for certification purposes: | ||
| (A) in-kind costs; | ||
| (B) volunteer services provided to the | ||
| recipient; | ||
| (C) noncash contributions; | ||
| (D) the recipient's preexisting real estate, | ||
| including buildings, facilities, and land; | ||
| (E) deferred giving, including a charitable | ||
| remainder annuity trust, charitable remainder unitrust, or pooled | ||
| income fund; or | ||
| (F) any other items the institute determines; | ||
| (5) require the recipient's certification to be | ||
| included in the grant award contract; | ||
| (6) specify that the recipient's failure to provide | ||
| certification serves as grounds for terminating the grant award | ||
| contract; | ||
| (7) require the recipient to maintain adequate | ||
| documentation supporting the source and use of the money required | ||
| by this subsection and to provide documentation to the institute on | ||
| request; and | ||
| (8) require the institute to establish a procedure to | ||
| annually review the documentation supporting the source and use of | ||
| money reported in the required certification. | ||
| (c) The institute shall establish a policy on advance | ||
| payments to grant recipients. | ||
| (d) The oversight committee shall adopt rules to administer | ||
| this section. | ||
| Sec. 101A.305. PATENT ROYALTIES AND LICENSE REVENUES PAID | ||
| TO STATE. (a) The oversight committee shall establish standards | ||
| requiring all grant awards to be subject to an intellectual | ||
| property agreement that allows this state to collect royalties, | ||
| income, and other benefits, including interest or proceeds | ||
| resulting from securities and equity ownership, realized as a | ||
| result of projects undertaken with grant money awarded under this | ||
| chapter. | ||
| (b) In determining this state's interest in any | ||
| intellectual property rights, the oversight committee shall | ||
| balance the opportunity of this state to benefit from the patents, | ||
| royalties, licenses, and other benefits that result from basic | ||
| research, therapy development, and clinical trials with the need to | ||
| ensure that essential medical research is not unreasonably hindered | ||
| by the intellectual property agreement and that the agreement does | ||
| not unreasonably remove the incentive of the individual researcher, | ||
| research team, or institution. | ||
| (c) The oversight committee may authorize the institute to | ||
| execute a contract with one or more qualified third parties for | ||
| assistance with the management, accounting, and disposition of this | ||
| state's interest in securities, equities, royalties, income, and | ||
| other benefits realized from grant money awarded under this | ||
| chapter. The institute shall implement practices and procedures | ||
| for the management, accounting, and disposition of securities, | ||
| equities, royalties, income, and other benefits the institute | ||
| determines are in this state's best interest. | ||
| Sec. 101A.306. PREFERENCE FOR TEXAS SUPPLIERS. In a good | ||
| faith effort to achieve a goal of more than 50 percent of purchases | ||
| from suppliers in this state, the oversight committee shall | ||
| establish standards to ensure grant recipients purchase goods and | ||
| services from suppliers in this state to the extent reasonably | ||
| possible. | ||
| Sec. 101A.307. HISTORICALLY UNDERUTILIZED BUSINESSES. The | ||
| oversight committee shall establish standards to ensure grant | ||
| recipients purchase goods and services from historically | ||
| underutilized businesses as defined by Section 2161.001, | ||
| Government Code, and any other applicable state law. | ||
| Sec. 101A.308. GRANT COMPLIANCE AND PROGRESS EVALUATION. | ||
| (a) The institute shall require as a condition of a grant awarded | ||
| under this chapter that the grant recipient submit to regular | ||
| inspection reviews of the grant project by institute employees to | ||
| ensure compliance with the terms of the grant contract and ongoing | ||
| progress, including the scientific merit of the research. | ||
| (b) The chief executive officer shall report at least | ||
| annually to the oversight committee on the progress and continued | ||
| merit of the projects awarded grants by the institute. | ||
| Sec. 101A.309. MEDICAL AND RESEARCH ETHICS. A project | ||
| awarded a grant under this chapter must comply with all applicable | ||
| federal and state laws regarding the conduct of the research or a | ||
| prevention project. | ||
| Sec. 101A.310. PUBLIC INFORMATION; CONFIDENTIAL | ||
| INFORMATION. (a) The following information is public information | ||
| and may be disclosed under Chapter 552, Government Code: | ||
| (1) a grant applicant's name and address; | ||
| (2) the amount of money requested in an applicant's | ||
| grant proposal; | ||
| (3) the type of research on dementia or related | ||
| disorders to be addressed under a grant proposal; and | ||
| (4) any other information the institute designates | ||
| with the consent of a grant applicant. | ||
| (b) To protect the actual or potential value of information | ||
| submitted to the institute by an applicant for or recipient of a | ||
| grant under this chapter, the following information submitted by | ||
| the applicant or recipient is confidential and is not subject to | ||
| disclosure under Chapter 552, Government Code, or any other law: | ||
| (1) all information, other than the information | ||
| described under Subsection (a), contained in a grant application, | ||
| peer review evaluation, award contract, or progress report relating | ||
| to a product, device, or process, the application or use of the | ||
| product, device, or process, and all technological and scientific | ||
| information, including computer programs, developed wholly or | ||
| partly by the applicant or recipient, regardless of whether | ||
| patentable or capable of being registered under copyright or | ||
| trademark laws, that has a potential for being sold, traded, or | ||
| licensed for a fee; and | ||
| (2) the plans, specifications, blueprints, and | ||
| designs, including related proprietary information, of a | ||
| scientific research and development facility. | ||
| (c) The following information is confidential and not | ||
| subject to disclosure under Chapter 552, Government Code: | ||
| (1) information that directly or indirectly reveals | ||
| the identity of an individual who reports fraud, waste, or abuse of | ||
| state resources to the institute's compliance program office, seeks | ||
| guidance from the office, or participates in an investigation | ||
| conducted under the compliance program; | ||
| (2) information that directly or indirectly reveals | ||
| the identity of an individual who is alleged to have or may have | ||
| planned, initiated, or participated in activities specified in a | ||
| report submitted to the office if, after completing an | ||
| investigation, the office determines the report to be | ||
| unsubstantiated or without merit; and | ||
| (3) other information collected or produced in a | ||
| compliance program investigation if releasing the information | ||
| would interfere with an ongoing compliance investigation. | ||
| (d) Subsection (c) does not apply to information related to | ||
| an individual who consents to the information's disclosure. | ||
| (e) Information made confidential or excepted from public | ||
| disclosure by this section may be made available, on request and in | ||
| compliance with applicable laws and procedures, to the following: | ||
| (1) a law enforcement agency or prosecutor; | ||
| (2) a governmental agency responsible for | ||
| investigating the matter specified in a compliance report, | ||
| including the Texas Workforce Commission civil rights division or | ||
| the Equal Employment Opportunity Commission; or | ||
| (3) a committee member or institute employee who is | ||
| responsible under institutional policy for a compliance program | ||
| investigation or for a review of a compliance program | ||
| investigation. | ||
| (f) A disclosure under Subsection (e) is not a voluntary | ||
| disclosure for purposes of Section 552.007, Government Code. | ||
| (g) The institute shall post on the institute's Internet | ||
| website records that pertain specifically to any gift, grant, or | ||
| other consideration provided to the institute, an institute | ||
| employee, or an oversight committee member, in the employee's or | ||
| member's official capacity. The posted information must include | ||
| each donor's name and the amount and date of the donor's donation. | ||
| SECTION 2. Section 51.955(c), Education Code, is amended to | ||
| read as follows: | ||
| (c) Subsection (b)(1) does not apply to a research contract | ||
| between an institution of higher education and the Cancer | ||
| Prevention and Research Institute of Texas or Dementia Prevention | ||
| and Research Institute of Texas. | ||
| SECTION 3. Section 61.003(6), Education Code, is amended to | ||
| read as follows: | ||
| (6) "Other agency of higher education" means The | ||
| University of Texas System, System Administration; The University | ||
| of Texas at El Paso Museum; Texas Epidemic Public Health Institute | ||
| at The University of Texas Health Science Center at Houston; The | ||
| Texas A&M University System, Administrative and General Offices; | ||
| Texas A&M AgriLife Research; Texas A&M AgriLife Extension Service; | ||
| Rodent and Predatory Animal Control Service (a part of the Texas A&M | ||
| AgriLife Extension Service); Texas A&M Engineering Experiment | ||
| Station (including the Texas A&M Transportation Institute); Texas | ||
| A&M Engineering Extension Service; Texas A&M Forest Service; Texas | ||
| Division of Emergency Management; Texas Tech University Museum; | ||
| Texas State University System, System Administration; Sam Houston | ||
| Memorial Museum; Panhandle-Plains Historical Museum; Cotton | ||
| Research Committee of Texas; Texas Water Resources Institute; Texas | ||
| A&M Veterinary Medical Diagnostic Laboratory; Dementia Prevention | ||
| and Research Institute of Texas; and any other unit, division, | ||
| institution, or agency which shall be so designated by statute or | ||
| which may be established to operate as a component part of any | ||
| public senior college or university, or which may be so classified | ||
| as provided in this chapter. | ||
| SECTION 4. Section 572.003(c), Government Code, is amended | ||
| to read as follows: | ||
| (c) The term means a member of: | ||
| (1) the Public Utility Commission of Texas; | ||
| (2) the Texas Commission on Environmental Quality; | ||
| (3) the Texas Alcoholic Beverage Commission; | ||
| (4) the Finance Commission of Texas; | ||
| (5) the Texas Facilities Commission; | ||
| (6) the Texas Board of Criminal Justice; | ||
| (7) the board of trustees of the Employees Retirement | ||
| System of Texas; | ||
| (8) the Texas Transportation Commission; | ||
| (9) the Texas Department of Insurance; | ||
| (10) the Parks and Wildlife Commission; | ||
| (11) the Public Safety Commission; | ||
| (12) the Texas Ethics Commission; | ||
| (13) the State Securities Board; | ||
| (14) the Texas Water Development Board; | ||
| (15) the governing board of a public senior college or | ||
| university as defined by Section 61.003, Education Code, or of The | ||
| University of Texas Southwestern Medical Center, The University of | ||
| Texas Medical Branch at Galveston, The University of Texas Health | ||
| Science Center at Houston, The University of Texas Health Science | ||
| Center at San Antonio, The University of Texas M. D. Anderson Cancer | ||
| Center, The University of Texas Health Science Center at Tyler, | ||
| University of North Texas Health Science Center at Fort Worth, | ||
| Texas Tech University Health Sciences Center, Texas State Technical | ||
| College--Harlingen, Texas State Technical College--Marshall, Texas | ||
| State Technical College--Sweetwater, or Texas State Technical | ||
| College--Waco; | ||
| (16) the Texas Higher Education Coordinating Board; | ||
| (17) the Texas Workforce Commission; | ||
| (18) the board of trustees of the Teacher Retirement | ||
| System of Texas; | ||
| (19) the Credit Union Commission; | ||
| (20) the School Land Board; | ||
| (21) the board of the Texas Department of Housing and | ||
| Community Affairs; | ||
| (22) the Texas Racing Commission; | ||
| (23) the State Board of Dental Examiners; | ||
| (24) the Texas Medical Board; | ||
| (25) the Board of Pardons and Paroles; | ||
| (26) the Texas State Board of Pharmacy; | ||
| (27) the Department of Information Resources | ||
| governing board; | ||
| (28) the board of the Texas Department of Motor | ||
| Vehicles; | ||
| (29) the Texas Real Estate Commission; | ||
| (30) the board of directors of the State Bar of Texas; | ||
| (31) the Bond Review Board; | ||
| (32) the Health and Human Services Commission; | ||
| (33) the Texas Funeral Service Commission; | ||
| (34) the board of directors of a river authority | ||
| created under the Texas Constitution or a statute of this state; | ||
| (35) the Texas Lottery Commission; [ |
||
| (36) the Cancer Prevention and Research Institute of | ||
| Texas; or | ||
| (37) the Dementia Prevention and Research Institute of | ||
| Texas. | ||
| SECTION 5. (a) Not later than December 31, 2025, the | ||
| appropriate appointing authority shall appoint the members to the | ||
| Dementia Prevention and Research Institute of Texas Oversight | ||
| Committee as required by Section 101A.101, Health and Safety Code, | ||
| as added by this Act. The oversight committee may not act until a | ||
| majority of the appointed members have taken office. | ||
| (b) Notwithstanding Section 101A.101, Health and Safety | ||
| Code, as added by this Act, in making the initial appointments under | ||
| that section, the governor, lieutenant governor, and speaker of the | ||
| house of representatives shall, as applicable, designate one member | ||
| of the Dementia Prevention and Research Institute of Texas | ||
| Oversight Committee appointed by that person to serve a term | ||
| expiring January 31, 2027, one member appointed by that person to | ||
| serve a term expiring January 31, 2029, and one member appointed by | ||
| that person to serve a term expiring January 31, 2031. | ||
| SECTION 6. If the voters approve the constitutional | ||
| amendment proposed by the 89th Legislature, Regular Session, 2025, | ||
| providing for the establishment of the Dementia Prevention and | ||
| Research Institute of Texas, establishing the Dementia Prevention | ||
| and Research Fund to provide money for research on and prevention | ||
| and treatment of dementia and related disorders in this state, and | ||
| transferring to that fund $3 billion from state general revenue, | ||
| the Dementia Prevention and Research Institute of Texas established | ||
| by Chapter 101A, Health and Safety Code, as added by this Act, is | ||
| eligible for funding to be deposited under the authority of Section | ||
| 68, Article III, Texas Constitution, for the institute to engage in | ||
| any activities serving the purposes of that constitutional | ||
| provision. | ||
| SECTION 7. This Act takes effect December 1, 2025, but only | ||
| if the constitutional amendment proposed by the 89th Legislature, | ||
| Regular Session, 2025, providing for the establishment of the | ||
| Dementia Prevention and Research Institute of Texas, establishing | ||
| the Dementia Prevention and Research Fund to provide money for | ||
| research on and prevention and treatment of dementia and related | ||
| disorders in this state, and transferring to that fund $3 billion | ||
| from state general revenue is approved by the voters. If that | ||
| amendment is not approved by the voters, this Act has no effect. | ||
