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.