BILL ANALYSIS

H.B. 4229

By: Sanford

Urban Affairs

Committee Report (Unamended)

BACKGROUND AND PURPOSE

More than 15 years ago the state legislature authorized municipalities to use the competitive sealed proposal procedure of procurement for construction projects, commonly referred to as "horizontal projects," that were valued at $1.5 million or less. These are necessary infrastructure projects such as bridges, roads, and water plants. Interested parties have observed that the rising costs of construction since has resulted in fewer projects being eligible for procurement using this procedure. H.B. 4229 seeks to address this issue by increasing the maximum expenditure under an applicable construction contract that may be awarded using the competitive sealed proposal procedure to $5 million.  

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 4229 amends the Local Government Code to increase from $1.5 million to $5 million the maximum required expenditure by a municipality for a contract that may be awarded using the competitive sealed proposal procedure for construction of one of the following:

·         highways, roads, streets, bridges, utilities, water supply projects, water plants, wastewater plants, water and wastewater distribution or conveyance facilities, wharves, docks, airport runways and taxiways, drainage projects, or related types of projects associated with civil engineering construction; or

·         buildings or structures that are incidental to projects that are primarily civil engineering construction projects.

EFFECTIVE DATE

September 1, 2021.