By:  Berlanga                                         H.B. No. 1074
       73R2502 MI-D
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the authority of navigation districts and port
    1-3  authorities to establish financial criteria for surety companies
    1-4  that provide performance or payment bonds.
    1-5        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-6        SECTION 1.  Sections 60.411(a) and (d), Water Code, are
    1-7  amended to read as follows:
    1-8        (a)  If a contract is for the construction of public works or
    1-9  a contract amount exceeds $50,000, the bid specifications or
   1-10  request for proposal may require the bidder to furnish a good and
   1-11  sufficient bid bond in the amount of five percent of the total
   1-12  contract price.  A district or port authority may require that the
   1-13  bond be executed with a surety company:
   1-14              (1)  authorized to do business in this state; and
   1-15              (2)  listed on the United States Department of Treasury
   1-16  List of Approved Sureties.
   1-17        (d)  Bidders or proposal offerers for contracts subject to
   1-18  Article 5160, Revised Statutes, are required to furnish a bond as
   1-19  provided by that article, except that a district or port authority
   1-20  may require that the bond be executed with a surety company listed
   1-21  on the United States Department of Treasury List of Approved
   1-22  Sureties.
   1-23        SECTION 2.  The changes in law made by this Act apply only to
   1-24  contracts made on or after the effective date of this Act.
    2-1        SECTION 3.  This Act takes effect September 1, 1993.
    2-2        SECTION 4.  The importance of this legislation and the
    2-3  crowded condition of the calendars in both houses create an
    2-4  emergency   and   an   imperative   public   necessity   that   the
    2-5  constitutional rule requiring bills to be read on three several
    2-6  days in each house be suspended, and this rule is hereby suspended.