SRC-JJJ S.B. 507 76(R)BILL ANALYSIS Senate Research CenterS.B. 507 By: Duncan Intergovernmental Relations 7/26/1999 Enrolled DIGEST Currently, cities with a population of less than 100,000 wishing to enter into a contract for insurance must comply with the procedures prescribed for competitive sealed bidding. S.B. 507 will establish requirements relating to purchases by municipalities through a competitive bidding procedure. PURPOSE As enrolled, S.B. 507 sets forth to purchases by municipalities through a competitive procedure. RULEMAKING AUTHORITY This bill does not grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Sections 252.021(b) and (c), Local Government Code, to provide that before a municipality with a population of less than 75,000, rather than 100,000 may enter into a contract for insurance that requires an expenditure of more than $5,000 from one or more municipal funds the municipality must comply with a certain bidding process. Makes conforming changes. SECTION 2. Makes application of this Act prospective. SECTION 3. Emergency clause. Effective date: upon passage.