SB 123

relating to the verification of the accuracy of an application for a
license to practice medicine in this state.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Subchapter B, Chapter 152, Occupations Code, is
amended by adding Section 152.060 to read as follows:
Sec. 152.060.  CIVIL LIABILITY OF EXECUTIVE DIRECTOR FOR
FAILURE TO VERIFY APPLICATION INFORMATION.  (a)  The executive
director is liable to a claimant, including a decedent's estate,
who has been harmed by a physician who holds a license to practice
(1)  the executive director failed to verify that the
physician was eligible for the license as required by Section
(2)  verifying the eligibility of the physician would
have revealed that the physician was ineligible for the license for
a reason described by Section 155.003(e);
(3)  the conduct that caused the harm by the physician
(A)  constitutes grounds for a health care
liability claim under Chapter 74, Civil Practice and Remedies Code;
(B)  involved the same type of conduct for which
the physician was ineligible for the license;
(4)  the failure to verify demonstrated gross
negligence or intentional misconduct; and
(5)  as a result of the failure to verify, the physician
(b)  A claimant may recover economic damages as defined by
Section 41.001, Civil Practice and Remedies Code, and court costs
in an action brought under this section.
(c)  The executive director may not assert official immunity
or other forms of immunity as a defense in an action described by
SECTION 2.  Section 155.007, Occupations Code, is amended by
adding Subsection (a-1) to read as follows:
(a-1)  The executive director shall, before making a
determination of eligibility for purposes of Subsection (a),
verify that the applicant is not ineligible for the license by:
(1)  reviewing the report by the National Practitioner
Data Bank or Healthcare Integrity and Protection Data Bank
regarding the disciplinary history of the applicant;
(2)  for an applicant who holds or previously held a
medical license in another state, obtaining verification from the
licensing authority in that state that the applicant has not been
subject to an investigation or proceeding described by Section
155.003(e)(2), restriction, suspension, revocation, or other
disciplinary action by the licensing authority; and
(3)  taking any other actions necessary to verify the
accuracy of the information contained in the application.
SECTION 3.  (a)  Section 152.060, Occupations Code, as added
by this Act, applies only to a cause of action that accrues on or
after the effective date of this Act.
(b)  Section 155.007(a-1), Occupations Code, as added by
this Act, applies only to an application for a license under
Subtitle B, Title 3, Occupations Code, that is submitted on or after
the effective date of this Act.
SECTION 4.  This Act takes effect September 1, 2025.