TX HB 1134 passes House to add new surety requirement

TX

On  May 3, 2013, the TX House of Representatives passed HB 1134, pushing the legislation to improve performance and payment security for certain development agreements into the Senate. It has since been assigned to the Transportation Committee for review and revision.

The proposed bill seeks to:

“(1) ensure the proper performance of the agreement; and

(2) protect:

(A) the department; and

(B) contractors, subcontractors, and suppliers…”

The current version of the proposed bill dictates a required surety bond equaling the cost of a project’s construction (up to $250 million), as detailed in sections 1b and 1c.

Click here to read Texas HB 1134 in its entirety.

For more information on surety bonds in Texas or any other state, contact SuretyBonds.com online 24/7 or by phone at 1 (800) 308-4358 Monday through Friday from 8 a.m. to 7 p.m. CST.