82R6557 JSC-F
 
  By: Walle H.B. No. 1739
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to required workers' compensation insurance coverage for
  building and construction contractors.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  The heading to Section 406.096, Labor Code, is
  amended to read as follows:
         Sec. 406.096.  REQUIRED COVERAGE FOR [CERTAIN] BUILDING OR
  CONSTRUCTION CONTRACTORS.
         SECTION 2.  Section 406.096, Labor Code, is amended by
  amending Subsections (a), (b), and (c) and adding Subsection (a-1)
  to read as follows:
         (a)  A contractor shall provide workers' compensation
  insurance coverage for each employee of the contractor. A
  subcontractor shall provide workers' compensation insurance
  coverage for each employee of the subcontractor.
         (a-1)  A governmental entity that enters into a building or
  construction contract shall require the contractor to certify in
  writing that the contractor provides workers' compensation
  insurance coverage for each employee of the contractor employed on
  the public project.
         (b)  Each subcontractor on a [the] public project shall
  provide [such] a certificate relating to coverage of the
  subcontractor's employees to the general contractor, who shall
  provide the subcontractor's certificate to the governmental
  entity.
         (c)  A contractor may provide [who has a contract that
  requires] workers' compensation insurance coverage [may provide
  the coverage] through a group plan or other method. If the
  contractor enters into a contract with a governmental entity for a
  public project, the coverage must be satisfactory to the governing
  body of the governmental entity.
         SECTION 3.  The change in law made by this Act applies only
  to a contract for building or construction that is entered into on
  or after the effective date of this Act. A contract entered into
  before the effective date of this Act is governed by the law in
  effect on the date the contract was entered into, and the former law
  is continued in effect for that purpose.
         SECTION 4.  This Act takes effect September 1, 2011.