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                                                                  H.B. No. 211




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.



______________________________                ______________________________
 
   President of the Senate                               Speaker of the House      

	I certify that H.B. No. 211 was passed by the House on March 
28, 2003, by the following vote:  Yeas 146, Nays 0, 2 present, not 
voting.

                                                  ______________________________
                                                     Chief Clerk of the House   

	I certify that H.B. No. 211 was passed by the Senate on May 
20, 2003, by the following vote:  Yeas 31, Nays 0.

                                                  ______________________________
                                                     Secretary of the Senate    



APPROVED:  _____________________                                            
 
                   Date                                                      




 
          _____________________                                          
 
                 Governor