SRC-JEC S.B. 622 77(R)   BILL ANALYSIS


Senate Research Center   S.B. 622
77R2297 MI-DBy: Barrientos
Intergovernmental Relations
2/13/2001
As Filed


DIGEST AND PURPOSE 

Currently, some counties use an Owner Controlled Insurance Program (OCIP)
to procure insurance for contractors on a job site.  However, this cost is
not payable by voter approved bond funds.  As proposed, S.B. 622 authorizes
counties to fund the costs of OCIP from bond proceeds. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a
state officer, institution, or agency.  

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Title 9D, Government Code, to add Chapter 1303, as
follows: 

CHAPTER 1303.  OTHER USE OF COUNTY BOND PROCEEDS

Sec. 1303.001.  USE OF BOND PROCEEDS FOR OWNER-CONTROLLED INSURANCE
PROGRAM.  Authorizes a county to use the proceeds of bonds or certificates
of obligation issued to pay for a county construction project to pay for an
owner-controlled insurance program under which the county establishes and
administers a consolidated insurance program for the project if the
county's order authorizing the issuance of the bonds or other certificates
of obligation authorizes the establishment of the program. 

SECTION 2.  Effective date: September 1, 2001.