MINUTES
         
                    SENATE COMMITTEE ON ECONOMIC DEVELOPMENT
                           Tuesday, February 18, 1997
                                     9:00 am
                                 Senate Chamber
         
                                      *****
         
         Pursuant to a notice posted in accordance with Senate Rule 
         11.11, a public hearing of the Senate Committee on Economic 
         Development was held on Tuesday, February 18, 1997 in the 
         Senate Chamber at Austin, Texas.  
         
                                      *****
         
         MEMBERS PRESENT:                        MEMBERS ABSENT:
         Senator David Sibley, Chairman          None
         Senator David Cain, Vice Chairman
         Senator Robert Duncan
         Senator Rodney Ellis
         Senator Chris Harris
         Senator Tom Haywood
         Senator Eddie Lucio, Jr.
         Senator Frank Madla
         Senator Jerry Patterson
         Senator Florence Shapiro
         Senator Eliot Shapleigh
         
                                      *****
         
         The Chair called the meeting to order at 9:30 am.  There being 
         a quorum present, the following business was transacted.  
         
         Chairman Sibley announced that he would lay out all bills on 
         the agenda, and the Committee would then hear testimony from 
         the legal panel on the liability issue, SB 386.
         
         The Chair laid out Senate Bills 382 by Senator Madla, 383 by 
         Senator Cain, 384 by Senator Nelson, 385 by Senator Sibley, 
         386 by Senator Sibley, 387 by Senator Harris and 585 by 
         Senator Nelson.  Senator Harris sent up a committee substitute 
         on SB 387; without objection, it was so ordered.
         
         The Chair explained SB 386, and called the first panelist, Bob 
         Glasgow, representing the Texas Medical Association, 
         testifying in favor of SB 386.  The next panelist, James W. 
         Cannon, representing himself, spoke in opposition to the bill.  
         
         At 10:45 a.m., Senator Cain assumed the Chair, and at 10:50 
         a.m., Senator Sibley resumed the Chair.
         
         The Chair called the third panelist, Katherine Youngblood, 
         representing the Texas Coalition for Quality Healthcare, who 
         testified  in opposition to the bill.  The final panelist, Jim 
 
         





         Perdue, representing the Texas Trial Lawyers Association, 
         presented his testimony in favor of the bill.  Each of the 
         witnesses responded to members' questions.
         
         At 11:30 a.m., the Chair recessed the hearing until 20 minutes 
         after adjournment of the Senate.  Without objection, it was so 
         ordered.
         
         At 1:15, the Committee reconvened and panelist, Jim Perdue, 
         responded to members' questions.
         
         Upon completion of Mr. Perdue's testimony and members' 
         questions, the Chair advised that public testimony would be 
         heard and called the first two witnesses.
         
         The Chair then laid out SB 383 and recognized the author, 
         Senator Cain, to explain the bill.  The Chair laid out SB 384 
         and recognized the author, Senator Nelson, to explain the 
         bill.  The Chair laid out SB 382 and recognized the author, 
         Senator Madla, to explain the bill.
         
         At 2:25 p.m. Senator Cain assumed the Chair, laid out SB 385 
         and recognized the author, Senator Sibley to explain the bill.  
         At 2: 30 p.m. Senator Sibley resumed the Chair, laid out 585 
         and recognized the author, Senator Nelson to explain the bill.  
         Senator Madla sent up a committee substitute for SB 585; 
         without objection, it was so ordered.  The Chair laid out SB 
         387 and recognized the author, Senator Harris, who explained 
         the substitute previously sent up.
         
         Public testimony then continued, and witnesses responded to 
         members' questions.  All witnesses are shown on the attached 
         witness lists.
         
         Upon completion of the testimony, the Chair advised that the 
         bills would be left pending.
         
         There being no further business, at 6:15 pm Senator Sibley 
         moved that the Committee stand recessed subject to the call of 
         the Chair.  Without objection, it was so ordered.  
         
         
         
         
         __________________________                   
         Senator David Sibley, Chairman
         
         
         __________________________
         Barbara Henderson, Clerk