By:  Ogden                                             S.B. No. 515
         Line and page numbers may not match official copy.
         Bill not drafted by TLC or Senate E&E.
                                A BILL TO BE ENTITLED
                                       AN ACT
 1-1     relating to state highway improvement contracts for which a
 1-2     performance bond is required.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Section 223.006, Transportation Code, is amended
 1-5     to read as follows:
 1-6           Sec. 223.006.  CONTRACTOR'S BOND.  A successful bidder under
 1-7     this subchapter shall post a bond [in an amount provided by law]
 1-8     conditioned on the faithful compliance with the bidder's bid and
 1-9     performance of the contract and made payable to the department for
1-10     the use and benefit of the state highway fund.  The provisions of
1-11     Chapter 2253, Government Code, apply to a bond required by this
1-12     section except that the department shall require a successful
1-13     bidder to post a performance bond if the contract is in excess of
1-14     $25,000.
1-15           SECTION 2.  This Act takes effect September 1, 1999, and
1-16     applies only to a contract entered into on or after that date.  A
1-17     contract entered into before the effective date of this Act is
1-18     governed by the law in effect when the contract was entered into,
1-19     and the former law is continued in effect for that purpose.
1-20           SECTION 3.  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
 2-1     constitutional rule requiring bills to be read on three several
 2-2     days in each house be suspended, and this rule is hereby suspended.