By Romo                                               H.B. No. 2884
       74R5161 MJW-D
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to increasing the interest rate on late payments regarding
    1-3  state and local purchasing.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Section 2251.025(b), Government Code, is amended
    1-6  to read as follows:
    1-7        (b)  An overdue payment bears interest at the rate applicable
    1-8  to judgments under Section 2, Article 1.05, Title 79, Revised
    1-9  Statutes (Article 5069-1.05, Vernon's Texas Civil Statutes), that
   1-10  is in effect on the date on which the payment becomes overdue <of
   1-11  one percent each month>.
   1-12        SECTION 2.  This Act takes effect September 1, 1995, and
   1-13  applies only to the accrual of interest on a payment that becomes
   1-14  overdue under Chapter 2251, Government Code, on or after that date.
   1-15  Interest on a payment that becomes overdue before the effective
   1-16  date of this Act accrues at the rate established by the law in
   1-17  effect before the effective date of this Act, and the former law is
   1-18  continued in effect for that purpose.
   1-19        SECTION 3.  The importance of this legislation and the
   1-20  crowded condition of the calendars in both houses create an
   1-21  emergency and an imperative public necessity that the
   1-22  constitutional rule requiring bills to be read on three several
   1-23  days in each house be suspended, and this rule is hereby suspended.