81R9513 SGA-F
 
  By: Taylor H.B. No. 4651
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the sovereign immunity of certain local governmental
  entities regarding certain contracts.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 271.151(2), Local Government Code, is
  amended to read as follows:
               (2)  "Contract subject to this subchapter" means:
                     (A)  a written contract stating the essential
  terms of the agreement for providing goods or services to the local
  governmental entity that is properly executed on behalf of the
  local governmental entity; or
                     (B)  a written contract for the lease of public
  land located at a port improvement or facility managed and
  controlled by a board of trustees established under Section 54.051,
  Transportation Code, for a proprietary function, including the
  construction or operation of retail, office, hotel, restaurant,
  residential, or parking facilities, or other tourism-related
  improvements.
         SECTION 2.  Section 54.053, Transportation Code, is amended
  by amending Subsections (c) and (d) and adding Subsection (c-1) to
  read as follows:
         (c)  A board has the power to construct a port improvement or
  facility on land acquired by purchase, lease, or otherwise.
         (c-1)  A [, and a] board may convey by lease, sublease, or
  sale by installment or otherwise, on the terms the board determines
  to be advantageous, the land, interest in the land, or port
  improvement or facility. A contract for the lease of public land
  for the construction or operation of retail, office, hotel,
  restaurant, residential, or parking facilities, or other
  tourism-related improvements, is a proprietary function and not a
  public or governmental function.
         (d)  Except as provided by Subsection (c-1), each [Each]
  power provided by this section is a public and governmental
  function, is exercised for a public purpose, and is a matter of
  public necessity.
         SECTION 3.  Section 54.056, Transportation Code, is
  repealed.
         SECTION 4.  (a)  The changes in law made by this Act apply to
  a contract executed by a local governmental entity regardless of
  whether the contract was executed before, on, or after the
  effective date of this Act.
         (b)  The waiver of sovereign immunity created by this Act
  concedes no defense by any party in a pending lawsuit except that of
  sovereign immunity.
         SECTION 5.  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, 2009.