77R11218 DAK-F                           
         By Bosse                                              H.B. No. 2312
         Substitute the following for H.B. No. 2312:
         By Clark                                          C.S.H.B. No. 2312
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the resolution of certain contract claims against the
 1-3     state.
 1-5           SECTION 1. Section 2260.002, Government Code, is amended to
 1-6     read as follows:
 1-7           Sec. 2260.002.  APPLICABILITY. This chapter does not apply
 1-8     to:
 1-9                 (1)  a claim for personal injury or wrongful death
1-10     arising from the breach of a contract;
1-11                 (2)  a contract executed or awarded on or before August
1-12     30, 1999; or
1-13                 (3)  a contract that does not include the contract
1-14     provision required by Section 2260.004.
1-15           SECTION 2. Section 2260.003(a), Government Code, is amended
1-16     to read as follows:
1-17           (a)  The total amount of money recoverable on a claim for
1-18     breach of contract under this chapter may not, after deducting the
1-19     amount specified in Subsection (b), exceed an amount equal to the
1-20     sum of:
1-21                 (1)  the balance due and owing on the contract price;
1-22     and
1-23                 (2)  the amount or fair market value of orders or
1-24     requests [, including orders] for additional work made by a unit of
 2-1     state government to the extent that the orders or requests for
 2-2     additional work were actually performed.
 2-3           SECTION 3. Section 2260.004(a), Government Code, is amended
 2-4     to read as follows:
 2-5           (a)  Each unit of state government that enters into a
 2-6     contract [to which this chapter applies] shall include as a term of
 2-7     the contract a provision stating that the dispute resolution
 2-8     process used by the unit of state government under this chapter
 2-9     must be used to attempt to resolve a dispute arising under the
2-10     contract.
2-11           SECTION 4. Section 2260.005, Government Code, is amended to
2-12     read as follows:
2-13           Sec. 2260.005.  EXCLUSIVE PROCEDURE. Subject to Section
2-14     2260.007, the [The] procedures contained in this chapter are
2-15     exclusive and required prerequisites to suit in accordance with
2-16     Chapter 107, Civil Practice and Remedies Code.
2-17           SECTION 5. Subchapter A, Chapter 2260, Government Code, is
2-18     amended by adding Section 2260.007 to read as follows:
2-19           Sec. 2260.007.  LEGISLATIVE PERMISSION TO SUE. (a)
2-20     Notwithstanding Section 2260.005, the legislature retains the
2-21     authority to deny or grant a waiver of immunity to suit against a
2-22     unit of state government by statute, resolution, or any other means
2-23     the legislature may determine appropriate.
2-24           (b)  This chapter does not and may not be interpreted to:
2-25                 (1)  divest the legislature of the authority to grant
2-26     permission to sue a unit of state government on the terms,
2-27     conditions, and procedures that the legislature may specify in the
 3-1     measure granting the permission;
 3-2                 (2)  require that the legislature, in granting or
 3-3     denying permission to sue a unit of state government, comply with
 3-4     this chapter; or
 3-5                 (3)  limit in any way the effect of a legislative grant
 3-6     of permission to sue a unit of state government unless the grant
 3-7     itself provides that this chapter may have that effect.
 3-8           SECTION 6.  (a)  This Act takes effect immediately if it
 3-9     receives a vote of two-thirds of all the members elected to each
3-10     house, as provided by Section 39, Article III, Texas Constitution.
3-11     If this Act does not receive the vote necessary for immediate
3-12     effect, this Act takes effect September 1, 2001.
3-13           (b)  Except for Section 2260.002(2), Government Code, as
3-14     amended by this Act, which applies according to its own terms, this
3-15     Act applies only to a contract executed on or after the effective
3-16     date of this Act.  A contract executed before the effective date of
3-17     this Act is governed by the law applicable to the contract
3-18     immediately before the effective date of this Act, and that law is
3-19     continued in effect for that purpose.