By Keffer                                             H.B. No. 1029
         76R2839 DRH-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the purchase of insurance by a municipality with a
 1-3     population of 50,000 or less.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Sections 252.021(a) and (b), Local Government
 1-6     Code, are amended to read as follows:
 1-7           (a)  Before a municipality may enter into a contract that
 1-8     requires an expenditure of more than $15,000 from one or more
 1-9     municipal funds, the municipality must comply with the procedure
1-10     prescribed by this chapter for competitive sealed bidding or
1-11     competitive sealed proposals. This subsection does not apply to the
1-12     purchase of insurance by a municipality with a population of 50,000
1-13     or less.
1-14           (b)  Before a municipality with a population of less than
1-15     100,000 but more than  50,000 may enter into a contract for
1-16     insurance that  requires an expenditure of more than $5,000 from
1-17     one or more municipal funds, the municipality must comply with the
1-18     procedure prescribed by this chapter for competitive sealed
1-19     bidding.
1-20           SECTION 2.  The importance of this legislation and the
1-21     crowded condition of the calendars in both houses create an
1-22     emergency and an imperative public necessity that the
1-23     constitutional rule requiring bills to be read on three several
1-24     days in each house be suspended, and this rule is hereby suspended,
 2-1     and that this Act take effect and be in force from and after its
 2-2     passage, and it is so enacted.