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A BILL TO BE ENTITLED
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AN ACT
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relating to authorization for a county or municipality to establish |
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a local minimum wage. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 62.0515, Labor Code, is amended to read |
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as follows: |
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Sec. 62.0515. [APPLICATION OF] MINIMUM WAGE ESTABLISHED BY |
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[TO] CERTAIN GOVERNMENTAL ENTITIES; CERTAIN AGREEMENTS WITH |
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GOVERNMENTAL ENTITIES. (a) Notwithstanding Section 62.151: |
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(1) a municipality may adopt a minimum wage that is |
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greater than the minimum wage established by Section 62.051 to be |
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paid by an employer to each employee for services performed in the |
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municipality; and |
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(2) a county may adopt a minimum wage that is greater |
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than the minimum wage established by Section 62.051 to be paid by an |
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employer to each employee for services performed in the |
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unincorporated areas of the county, including areas located within |
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the extraterritorial jurisdiction of a municipality. [Except as |
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otherwise provided by this section, the minimum wage provided by |
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this chapter supersedes a wage established in an ordinance, order, |
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or charter provision governing wages in private employment, other |
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than wages under a public contract.] |
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(b) [This section does not apply to any state or federal job |
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training or workforce development program. |
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[(c) This section does not apply to a minimum wage |
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established by a governmental entity that applies to a contract or |
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agreement, including a non-annexation agreement, entered into by a |
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governmental entity and a private entity.] A private entity that |
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enters into a contract or agreement, including a non-annexation |
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agreement, with a governmental entity, under the terms of which the |
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private entity agrees to comply with a minimum wage that is greater |
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than the minimum wage established by Section 62.051 or, if |
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applicable, Subsection (a) of this section [the governmental |
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entity], is subject to the terms of that contract or agreement, and |
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those terms apply to and may be enforced against a general |
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contractor, subcontractor, developer, and other person with which |
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the private entity contracts in order to comply with the provisions |
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of the original contract or agreement. |
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[(d)] For purposes of this subsection [section], |
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"governmental entity" includes a municipality, a county, a special |
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district or authority, a junior college district, or another |
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political subdivision of this state. |
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SECTION 2. Section 62.151, Labor Code, is amended to read as |
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follows: |
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Sec. 62.151. PERSON COVERED BY FEDERAL ACT. This chapter |
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does [and a municipal ordinance or charter provision governing |
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wages in private employment, other than wages under a public |
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contract, do] not apply to a person covered by the Fair Labor |
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Standards Act of 1938 (29 U.S.C. Section 201 et seq.). |
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SECTION 3. This Act takes effect September 1, 2025. |