76R12885 E                           
         By Keffer, Christian, Berman                          H.B. No. 1029
         Substitute the following for H.B. No. 1029:
         By Clark                                          C.S.H.B. No. 1029
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the requirements for competitive bidding and proposal
 1-3     procedures in certain municipalities.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 252.021(b), Local Government Code, is
 1-6     amended to read as follows:
 1-7           (b)  Before a municipality with a population of less than
 1-8     100,000 may enter into a contract for insurance that requires an
 1-9     expenditure of more than $5,000 from one or more municipal funds,
1-10     the municipality must comply with the procedure prescribed by this
1-11     chapter for competitive sealed bidding, or with the following
1-12     procedure:
1-13                 (1)  negotiate for the contract for insurance with at
1-14     least two insurance insurance agents and one intergovernmental risk
1-15     pool;
1-16                 (2)  select the contract for insurance that is lowest
1-17     and best; and
1-18                 (3)  as soon as practicable after making the selection,
1-19     publish in a newspaper of general circulation in the municipality
1-20     the name and contract amount of the selected insurance carrier or
1-21     risk pool and the names of the other entities making a proposal.
1-22           SECTION 2.  The change in law made by this Act applies only
1-23     to a purchase for which the notice required by Section 252.041,
1-24     Local Government Code, is first published on or after the effective
 2-1     date of this Act.  A purchase for which the notice is first
 2-2     published before the effective date of this Act is governed by the
 2-3     law applicable to the purchase immediately before the effective
 2-4     date of this Act, and that law is continued in effect for that
 2-5     purpose.
 2-6           SECTION 3.  The importance of this legislation and the
 2-7     crowded condition of the calendars in both houses create an
 2-8     emergency and an imperative public necessity that the
 2-9     constitutional rule requiring bills to be read on three several
2-10     days in each house be suspended, and this rule is hereby suspended,
2-11     and that this Act take effect and be in force from and after its
2-12     passage, and it is so enacted.