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A BILL TO BE ENTITLED
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AN ACT
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relating to the minimum dollar amount for certain requirements to |
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apply to certain public contracts. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 2253.021(a), Government Code, is amended |
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by adding Section 24.575 to read as follows: |
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(a) A governmental entity that makes a public work contract |
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with a prime contractor shall require the contractor, before |
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beginning the work, to execute to the governmental entity: |
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(1) a performance bond if the contract is in excess of |
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$100,000; and |
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(2) a payment bond if: |
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(A) the contract is in excess of $25,000, and the |
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governmental entity is not a municipality, or a joint board created |
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under Chapter 22, Transportation Code; or |
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(B) the contract is in excess of $50,000 and the |
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governmental entity is a municipality, or a joint board created |
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under Chapter 22, Transportation Code. |
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SECTION 2. Section 252.048(c), Local Government Code, is |
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amended to read as follows; |
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(c) If a change order involves a decrease or an increase of |
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$50,000 [$25,000] or less, the governing body may grant general |
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authority to an administrative official of the municipality to |
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approve the change orders. |
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SECTION 3. The change in law made by this Act to Section |
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2253.021(a), Government Code, applies only to a contract entered |
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into on or after the effective date of this Act, and the change in |
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law made by this Act to Section 252.048(c), Local Government Code, |
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applies only to a change order approved on or after the effective |
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date of this Act. A contract entered into or change order approved |
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before the effective date of this Act is governed by the law in |
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effect when the contract was entered into or the change order was |
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approved, and the former law is continued in effect for that |
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purpose. |
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SECTION 4. This Act takes effect September 1, 2009. |