LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 79TH LEGISLATIVE REGULAR SESSION

March 4, 2005

TO:	Honorable Todd Staples, Chair, Senate Committee on Transportation & Homeland Security
FROM:	John S. O'Brien, Deputy Director, Legislative Budget Board
IN RE:	SB573 by Brimer (Relating to the award of certain highway maintenance contracts by the Texas Department of Transportation.), As Introduced

No significant fiscal implication to the State is anticipated.

The bill would allow the Texas Transportation Commission to award a maintenance contract of less than $300,000 to the second lowest bidder, if the lowest bidder withdraws its bid prior to contract award or fails to execute the contract.  The second lowest bidder has to agree to perform the work at the lowest bidder's prices.  The current statute applies to maintenance contracts of less than $100,000.

Based on the analysis of the Texas Department of Transportation, the provisions of the bill would not have a significant fiscal impact to the state.

The bill would take effect on September 1, 2005.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

601 Department of Transportation

LBB Staff:

JOB, SR, MW, TG