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78R1329 SMJ-F


By:  Brown of Brazos                                              H.B. No. 211


A BILL TO BE ENTITLED
AN ACT
relating to the purchase of insurance by certain municipalities through competitive bidding and proposal procedures. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Sections 252.021(b) and (c), Local Government Code, are amended to read as follows: (b) Before a municipality with a population of less than 25,000 [75,000] may enter into a contract for insurance that requires an expenditure of more than $5,000 from one or more municipal funds, the municipality must comply with the procedure prescribed by this chapter for competitive sealed bidding. (c) A municipality may use the competitive sealed proposal procedure for high technology procurements and, in a municipality with a population of 25,000 [75,000] or more, for the purchase of insurance. SECTION 2. The change in law made by this Act applies only to a contract for which requests for bids or requests for proposals are first published or distributed on or after the effective date of this Act. SECTION 3. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2003.