HB 1134

83(R) - 2013
Transportation & Infrastructure

Vote Recommendation

  • Neutral
  • Neutral
  • Neutral
  • Positive
  • Neutral


Drew Darby

Bill Caption

Relating to performance and payment security for certain comprehensive development agreements.

Fiscal Notes

No fiscal implication to the State is anticipated. No fiscal implication to units of local government is anticipated.

Bill Analysis

Summary of Legislation This legislation specifies performance and payment bond requirements for certain development agreements through Texas Department of Transportation (TxDOT), or another authority authorized to issue bonds for projects. This bill requires that the amount of payment security required for the job must not be less than the amount of the performance security and that the bonds must remain separate. If an authority authorizes payment security to be supplied by means other than bonds issued by a corporate surety, then the contract must include notice specifying how a claimant may submit a claim and how the claim process will be administered. 

Notes: This is a bill to clean up technical issues with existing law. Due to poor wording in the existing law, TxDOT and other authorities financing through private entities might not have secured enough funds to secure the completion of a project. This bill strengthens contract agreements and transparency.  Additionally it ensures that taxpayer funded projects actually get completed, and contractors get paid for work that they do.