By Romo                                               H.B. No. 1957
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to authorizing the General Services Commission and certain
    1-3  other agencies to negotiate with a surety or insurer to provide the
    1-4  bonds or insurance that a contractor or subcontractor is required
    1-5  to execute or carry on a state construction contract.
    1-6        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-7        SECTION 1.  Article 5, State Purchasing and General Services
    1-8  Act (Article 601b, Vernon's Texas Civil Statutes), is amended by
    1-9  adding Section 5.265 to read as follows:
   1-10        Sec. 5.265.  COMMON SURETY OR INSURER.  If it is advantageous
   1-11  to the state, the commission, or an agency that is exempt from all
   1-12  or part of this article under Section 5.13 of this article, may
   1-13  negotiate an arrangement with a surety or an insurer, as
   1-14  appropriate, authorized to do business in this state to furnish
   1-15  some or all of the bonds, insurance, or both that a contractor or
   1-16  subcontractor is required to execute or carry to receive a contract
   1-17  or subcontract on a project administered by the commission.
   1-18  Notwithstanding Section 1, Chapter 87, Acts of the 56th
   1-19  Legislature, Regular Session, 1959 (Article 7.19-1, Vernon's Texas
   1-20  Insurance Code), the commission may require a contractor or
   1-21  subcontractor to meet part or all of the bonding or insurance
   1-22  requirements for the project under the arrangement negotiated by
   1-23  the commission.
    2-1        SECTION 2.  The importance of this legislation and the
    2-2  crowded condition of the calendars in both houses create an
    2-3  emergency and an imperative public necessity that the
    2-4  constitutional rule requiring bills to be read on three several
    2-5  days in each house be suspended, and this rule is hereby suspended,
    2-6  and that this Act take effect and be in force from and after its
    2-7  passage, and it is so enacted.