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This is an imperfect solution to a government created problem. By interfering in the free market in the first place, the government set up the present situation that puts subcontractors in an economically disadvantaged position in the event of a general contractor's bankruptcy. HB 1966 would further interfere with free-market interactions by increasing government regulations to fix the problem it created in the first place.
On the other hand, this legislation does have some property rights benefits for the subcontractors in the event that their general contractor does suffer bankruptcy.
Balancing the free market infringement against the property rights benefits to subcontractors, we are neutral on this legislation.