| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to workers' compensation insurance coverage and bid |
|
|
bonding requirements for small municipal construction projects. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Subchapter Z, Chapter 271, Local Government |
|
|
Code, is amended by adding Section 271.909 to read as follows: |
|
|
Sec. 271.909. WORKERS' COMPENSATION AND BID BONDING |
|
|
REQUIREMENTS FOR SMALL MUNICIPAL CONSTRUCTION PROJECTS. (a) In |
|
|
this section, "project" includes all work to be completed on a |
|
|
construction project for a municipality at one location within 12 |
|
|
months of the date the work begins. |
|
|
(b) Notwithstanding any other law, for a construction |
|
|
project contracted for an amount that is less than one percent of |
|
|
the total amount of a municipality's most recently adopted budget, |
|
|
the municipality is not required to: |
|
|
(1) ensure that the contractor is covered by workers' |
|
|
compensation insurance coverage; or |
|
|
(2) require the contractor to obtain a performance |
|
|
bond. |
|
|
(c) For the purpose of determining the contracted amount of |
|
|
a construction project under Subsection (b), a municipality may not |
|
|
aggregate work from more than one project. |
|
|
SECTION 2. The change in law made by this Act applies only |
|
|
to a contract entered into on or after the effective date of this |
|
|
Act. |
|
|
SECTION 3. This Act takes effect September 1, 2025. |