reglab/statecodes huggingface dataset:
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter A. General Provisions › Section 2253.001. Definitions

Sec. 2253.001.  DEFINITIONS.  In this chapter:
(1)  "Governmental entity" means a governmental or quasi-governmental authority authorized by state law to make a public work contract, including:
(A)  the state, a county, or a municipality;
(B)  a department, board, or agency of the state, a county, or a municipality;  and
(C)  a school district or a subdivision of a school district.
(2)  "Payment bond beneficiary" means a person for whose protection and use this chapter requires a payment bond.
(3)  "Prime contractor" means a person, firm, or corporation that makes a public work contract with a governmental entity.
(4)  "Public work contract" means a contract for constructing, altering, or repairing a public building or carrying out or completing any public work.
(5)  "Public work labor" means labor used directly to carry out a public work.
(6)  "Public work material" means:
(A)  material used, or ordered and delivered for use, directly to carry out a public work;
(B)  specially fabricated material;
(C)  reasonable rental and actual running repair costs for construction equipment used, or reasonably required and delivered for use, directly to carry out work at the project site;  or
(D)  power, water, fuel, and lubricants used, or ordered and delivered for use, directly to carry out a public work.
(7)  "Retainage" means the part of the payments under a public work contract that are not required to be paid within the month after the month in which the public work labor is performed or public work material is delivered under the contract.
(8)  "Specially fabricated material" means material ordered by a prime contractor or subcontractor that is:
(A)  specially fabricated for use in a public work;  and
(B)  reasonably unsuitable for another use.
(9)  "Subcontractor" means a person, firm, or corporation that provides public work labor or material to fulfill an obligation to a prime contractor or to a subcontractor for the performance and installation of any of the work required by a public work contract.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 1999, 76th Leg., ch. 62, Sec. 8.20, eff. Sept. 1, 1999.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter A. General Provisions › Section 2253.002. Exemption

Sec. 2253.002.  EXEMPTION.  This chapter does not apply to a public work contract entered into by a state agency relating to an action taken under Subchapter F  or I, Chapter 361, Health and Safety Code, or Subchapter I, Chapter 26, Water Code.
Added by Acts 1997, 75th Leg., ch. 793, Sec. 18, eff. Sept. 1, 1997.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter B. General Requirements; Liability › Section 2253.022. Performance and Payment Bonds; Insured Loss

Sec. 2253.022.  PERFORMANCE AND PAYMENT BONDS;  INSURED LOSS.  (a)  A governmental entity shall ensure that an insurance company that is fulfilling its obligation under a contract of insurance by arranging for the replacement of a loss, rather than by making a cash payment directly to the governmental entity, furnishes or has furnished by a contractor, in accordance with this chapter:
(1)  a performance bond as described by Section 2253.021(b) for the benefit of the governmental entity;  and
(2)  a payment bond as described in Section 2253.021(c) for the benefit of the beneficiaries described by that subsection.
(b)  The bonds required to be furnished under Subsection (a) must be furnished before the contractor begins work.
(c)  It is an implied obligation under a contract of insurance for the insurance company to furnish the bonds required by this section.
(d)  To recover in a suit with respect to which the insurance company has furnished or caused to be furnished a payment bond, the only notice required of a payment bond beneficiary is the notice given to the surety in accordance with Subchapter C.
(e)  This section does not apply to a governmental entity when a surety company is complying with an obligation under a bond that had been issued for the benefit of the governmental entity.
(f)  If the payment bond required by Subsection (a) is not furnished, the governmental entity is subject to the same liability that a surety would have if the surety had issued the payment bond and the governmental entity had required the bond to be provided.  To recover in a suit under this subsection, the only notice required of a payment bond beneficiary is a notice given to the governmental entity, as if the governmental entity were the surety, in accordance with Subchapter C.
Added by Acts 1997, 75th Leg., ch. 1132, Sec. 3, eff. Sept. 1, 1997.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter B. General Requirements; Liability › Section 2253.023. Attempted Compliance

Sec. 2253.023.  ATTEMPTED COMPLIANCE.  (a)  A bond furnished by a prime contractor in an attempt to comply with this chapter shall be construed to comply with this chapter regarding the rights created, limitations on those rights, and remedies provided.
(b)  A provision in a bond furnished by a prime contractor in an attempt to comply with this chapter that expands or restricts a right or liability under this chapter shall be disregarded, and this chapter shall apply to that bond.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter B. General Requirements; Liability › Section 2253.024. Information From Contractor or Subcontractor

Sec. 2253.024.  INFORMATION FROM CONTRACTOR OR SUBCONTRACTOR.  (a)  A prime contractor, on the written request of a person who provides public work labor or material and when required by Subsection (c), shall provide to the person:
(1)  the name and last known address of the governmental entity with whom the prime contractor contracted for the public work;
(2)  a copy of the payment and performance bonds for the public work, including bonds furnished by or to the prime contractor; and
(3)  the name of the surety issuing the payment bond and the performance bond and the toll-free telephone number maintained by the Texas Department of Insurance under Subchapter B, Chapter 521, Insurance Code, for obtaining information concerning licensed insurance companies.
(b)  A subcontractor, on the written request of a governmental entity, the prime contractor, a surety on a bond that covers the public work contract, or a person providing work under the subcontract and when required by Subsection (c), shall provide to the person requesting the information:
(1)  the name and last known address of each person from whom the subcontractor purchased public work labor or material, other than public work material from the subcontractor's inventory;
(2)  the name and last known address of each person to whom the subcontractor provided public work labor or material;
(3)  a statement of whether the subcontractor furnished a bond for the benefit of its subcontractors and materialmen;
(4)  the name and last known address of the surety on the bond the subcontractor furnished;  and
(5)  a copy of that bond.
(c)  Information requested shall be provided within a reasonable time but not later than the 10th day after the receipt of the written request for the information.
(d)  A person from whom information is requested may require payment of the actual cost, not to exceed $25, for providing the requested information if the person does not have a direct contractual relationship with the person requesting information that relates to the public work.
(e)  A person who fails to provide information required by this section is liable to the requesting person for that person's reasonable and necessary costs incurred in getting the requested information.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 2001, 77th Leg., ch. 380, Sec. 2, eff. Sept. 1, 2001.
Amended by:
Acts 2005, 79th Leg., Ch. 728 (H.B. 2018), Sec. 11.123, eff. September 1, 2005.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter B. General Requirements; Liability › Section 2253.025. Information From Payment Bond Beneficiary

Sec. 2253.025.  INFORMATION FROM PAYMENT BOND BENEFICIARY.  (a)  A payment bond beneficiary, not later than the 30th day after the date the beneficiary receives a written request from the prime contractor or a surety on a bond on which a claim is made, shall provide to the contractor or surety:
(1)  a copy of any applicable written agreement or purchase order;  and
(2)  any statement or payment request of the beneficiary that shows the amount claimed and the work performed by the beneficiary for which the claim is made.
(b)  If requested, the payment bond beneficiary shall provide the estimated amount due for each calendar month in which the beneficiary performed public work labor or provided public work material.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter B. General Requirements; Liability › Section 2253.026. Copy of Payment Bond and Contract

Sec. 2253.026.  COPY OF PAYMENT BOND AND CONTRACT.  (a)  A governmental entity shall furnish the information required by Subsection (d) to any person who applies for the information and who submits an affidavit that the person:
(1)  has supplied public work labor or material for which the person has not been paid;
(2)  has contracted for specially fabricated material for which the person has not been paid;  or
(3)  is being sued on a payment bond.
(b)  The copy of the payment bond or public work contract is prima facie evidence of the content, execution, and delivery of the original.
(c)  An applicant under this section shall pay any reasonable fee set by the governmental entity for the actual cost of preparation of the copies.
(d)  A governmental entity shall furnish the following information to a person who makes a request under Subsection (a):
(1)  a certified copy of a payment bond and any attachment to the bond;
(2)  the public work contract for which the bond was given; and
(3)  the toll-free telephone number maintained by the Texas Department of Insurance under Subchapter B, Chapter 521, Insurance Code, for obtaining information concerning licensed insurance companies.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 2001, 77th Leg., ch. 380, Sec. 3, eff. Sept. 1, 2001.
Amended by:
Acts 2005, 79th Leg., Ch. 728 (H.B. 2018), Sec. 11.124, eff. September 1, 2005.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter B. General Requirements; Liability › Section 2253.027. Liability of Governmental Entity

Sec. 2253.027.  LIABILITY OF GOVERNMENTAL ENTITY.  (a)  If a governmental entity fails to obtain from a prime contractor a payment bond as required by Section 2253.021 or fails to include in a lease the lease terms required by Section 2252.909:
(1)  the entity is subject to the same liability that a surety would have if the surety had issued a payment bond and if the entity had obtained the bond; and
(2)  a payment bond beneficiary is entitled to a lien on money due to the prime contractor in the same manner and to the same extent as if the public work contract were subject to Subchapter J, Chapter 53, Property Code.
(b)  To recover in a suit under Subsection (a), the only notice a payment bond beneficiary is required to provide to the governmental entity is a notice provided in the same manner as described by Subchapter C. The notice must be provided as if the governmental entity were a surety.
(c)  A governmental entity is not liable as a surety under Subsection (a)(1) if a person leasing property from the entity fails to submit to the entity the notice of commencement required by Section 2252.909.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 2003, 78th Leg., ch. 515, Sec. 1, eff. Sept. 1, 2003.
Amended by:
Acts 2023, 88th Leg., R.S., Ch. 1008 (H.B. 2518), Sec. 2, eff. September 1, 2023.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter C. Notice Requirements › Section 2253.041. Notice Required for Claim for Payment for Labor or Material

Sec. 2253.041.  NOTICE REQUIRED FOR CLAIM FOR PAYMENT FOR LABOR OR MATERIAL.  (a)  To recover in a suit under Section 2253.073 on a payment bond for a claim for payment for public work labor performed or public work material delivered, a payment bond beneficiary must mail to the prime contractor and the surety written notice of the claim.
(b)  The notice must be mailed on or before the 15th day of the third month after each month in which any of the claimed labor was performed or any of the claimed material was delivered.
(c)  The notice must be accompanied by a sworn statement of account that states in substance:
(1)  the amount claimed is just and correct;  and
(2)  all just and lawful offsets, payments, and credits known to the affiant have been allowed.
(d)  The statement of account shall include the amount of any retainage applicable to the account that has not become due under the terms of the public work contract between the payment bond beneficiary and the prime contractor or between the payment bond beneficiary and a subcontractor.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter C. Notice Requirements › Section 2253.042. Copy of Agreement as Notice of Claim for Unpaid Labor or Material

Sec. 2253.042.  COPY OF AGREEMENT AS NOTICE OF CLAIM FOR UNPAID LABOR OR MATERIAL.  A payment bond beneficiary has the option to enclose with the sworn statement of account, as the notice for a claim under a written agreement for payment for public work labor performed or public work material delivered, a copy of the written agreement and a statement of the completion or the value of partial completion of the agreement.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter C. Notice Requirements › Section 2253.043. Notice of Claim for Unpaid Labor or Material When Written Agreement Does Not Exist

Sec. 2253.043.  NOTICE OF CLAIM FOR UNPAID LABOR OR MATERIAL WHEN WRITTEN AGREEMENT DOES NOT EXIST.  (a)  Except as provided by Section 2253.044, if a written agreement does not exist between the payment bond beneficiary and the prime contractor or between the payment bond beneficiary and the subcontractor, the notice for a claim for unpaid bills must contain:
(1)  the name of the party for whom the public work labor was performed or to whom the public work material was delivered;
(2)  the approximate date of performance or delivery;
(3)  a description of the public work labor or material for reasonable identification;  and
(4)  the amount due.
(b)  The payment bond beneficiary must generally itemize the claim and include with it copies of documents, invoices, or orders that reasonably identify:
(1)  the public work labor performed or public work material delivered for which the claim is made;
(2)  the job;  and
(3)  the destination of delivery.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter C. Notice Requirements › Section 2253.044. Notice of Claim for Multiple Items of Labor or Material

Sec. 2253.044.  NOTICE OF CLAIM FOR MULTIPLE ITEMS OF LABOR OR MATERIAL.  The notice for a claim for lump-sum payment for multiple items of public work labor or material must:
(1)  describe the labor or material in a manner that reasonably identifies the labor or material;
(2)  state the name of the party for whom the labor was performed or to whom the material was delivered;
(3)  state the approximate date of performance or delivery;
(4)  state whether the contract is written or oral;
(5)  state the amount of the contract;  and
(6)  state the amount claimed.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter C. Notice Requirements › Section 2253.045. Notice of Claim for Unpaid Labor or Material Under Written Unit Price Agreement

Sec. 2253.045.  NOTICE OF CLAIM FOR UNPAID LABOR OR MATERIAL UNDER WRITTEN UNIT PRICE AGREEMENT.  The notice for a claim for public work labor performed or public work material delivered by a payment bond beneficiary who is a subcontractor or materialman to the prime contractor or to a subcontractor and who has a written unit price agreement that is wholly or partially completed is sufficient if the beneficiary attaches to the sworn statement of account:
(1)  a list of units and unit prices set by the contract;  and
(2)  a statement of those completed and partially completed units.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter C. Notice Requirements › Section 2253.046. Notice Required for Claim for Payment of Retainage

Sec. 2253.046.  NOTICE REQUIRED FOR CLAIM FOR PAYMENT OF RETAINAGE.  (a)  To recover in a suit under Section 2253.073 on a payment bond for a claim for payment of retainage, a payment bond beneficiary whose contract with a prime contractor or subcontractor provides for retainage must mail written notice of the claim to the prime contractor and the surety on or before the 90th day after the date of final completion of the public work contract.
(b)  The notice shall consist of a statement of:
(1)  the amount of the contract;
(2)  any amount paid;  and
(3)  the outstanding balance.
(c)  Notice of a claim for payment of retainage is not required if the amount claimed is part of a prior claim made under this subchapter.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter C. Notice Requirements › Section 2253.047. Additional Notice Required for Payment Bond Beneficiary Without Direct Contractual Relationship With Prime Contractor

Sec. 2253.047.  ADDITIONAL NOTICE REQUIRED FOR PAYMENT BOND BENEFICIARY WITHOUT DIRECT CONTRACTUAL RELATIONSHIP WITH PRIME CONTRACTOR.  (a)  To recover in a suit under Section 2253.073 on a payment bond, a payment bond beneficiary who does not have a direct contractual relationship with the prime contractor for public work labor or material must mail notice as required by this section.
(b)  A payment bond beneficiary who contracts with a subcontractor for retainage must mail, on or before the 15th day of the second month after the date of the beginning of the delivery of public work material or the performance of public work labor, written notice to the prime contractor that:
(1)  the contract provides for retainage;  and
(2)  generally indicates the nature of the retainage.
(c)  The payment bond beneficiary must mail to the prime contractor written notice of a claim for any unpaid public work labor performed or public work material delivered.  The notice must be mailed on or before the 15th day of the second month after each month in which the labor was performed or the material was delivered.  A copy of the statement sent to a subcontractor is sufficient as notice under this subsection.
(d)  The payment bond beneficiary must mail to the prime contractor, on or before the 15th day of the second month after the receipt and acceptance of an order for specially fabricated material, written notice that the order has been received and accepted.
(e)  This section applies only to a payment bond beneficiary who is not an individual mechanic or laborer and who makes a claim for wages.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter C. Notice Requirements › Section 2253.048. Mailing Notice

Sec. 2253.048.  MAILING NOTICE.  (a)  A notice required by this subchapter to be mailed must be sent by certified or registered mail.
(b)  A notice required by this subchapter to be mailed to a prime contractor must be addressed to the prime contractor at the contractor's residence or last known business address.
(c)  A person satisfies the requirements of this subchapter relating to providing notice to the surety if the person mails the notice by certified or registered mail to the surety:
(1)  at the address stated on the bond or on an attachment to the bond;
(2)  at the address on file with the Texas Department of Insurance;  or
(3)  at any other address allowed by law.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 2001, 77th Leg., ch. 380, Sec. 4, eff. Sept. 1, 2001.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter D. Claims on Bonds; Enforcement › Section 2253.071. Termination or Abandonment of Contract; Proceeds of Contract

Sec. 2253.071.  TERMINATION OR ABANDONMENT OF CONTRACT;  PROCEEDS OF CONTRACT.  (a)  The proceeds of a public work contract are not payable, until all costs of completion of the contract work are paid by the contractor or the contractor's surety, to a contractor who furnishes a bond required by this chapter if:
(1)  the contractor abandons performance of the contract;  or
(2)  the contractor's right to proceed with performance of the contract is lawfully terminated by the awarding governmental entity because of the contractor's default.
(b)  The balance of the public work contract proceeds remaining after the costs of completion are paid shall be paid according to the contractor's and the surety's interests as may be established by agreement or by judgment of a court.
(c)  A surety that completes a public work contract or incurs a loss under a performance bond required under this chapter has a claim to the proceeds of the contract prior to all other creditors of the prime contractor to the full extent of the surety's loss.  That priority does not excuse the surety from paying an obligation under a payment bond.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter D. Claims on Bonds; Enforcement › Section 2253.072. State Not Liable for Costs

Sec. 2253.072.  STATE NOT LIABLE FOR COSTS.  The state is not liable for payment of a cost or expense of a suit brought by any party on a payment bond furnished under this chapter.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter D. Claims on Bonds; Enforcement › Section 2253.073. Suit on Payment Bond

Sec. 2253.073.  SUIT ON PAYMENT BOND.  (a)  A payment bond beneficiary who has provided public work labor or material under a public work contract for which a payment bond is furnished under this chapter may sue the principal or surety, jointly or severally, on the payment bond if the claim is not paid before the 61st day after the date the notice for the claim is mailed.
(b)  Suit may be brought under Subsection (a) for:
(1)  the unpaid balance of the beneficiary's claim at the time the claim was mailed or the suit is brought;  and
(2)  reasonable attorney fees.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter D. Claims on Bonds; Enforcement › Section 2253.074. Costs and Attorney Fees

Sec. 2253.074.  COSTS AND ATTORNEY FEES.  A court may award costs and reasonable attorney fees that are equitable in a proceeding to enforce a claim on a payment bond or to declare that any part of a claim is invalid.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter D. Claims on Bonds; Enforcement › Section 2253.075. Assignment of Claim

Sec. 2253.075.  ASSIGNMENT OF CLAIM.  A third party to whom a claim is assigned is in the same position as a payment bond beneficiary if notice is given as required by this chapter.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter D. Claims on Bonds; Enforcement › Section 2253.076. Limitations on Certain Claims; Maximum Retainage

Sec. 2253.076.  LIMITATIONS ON CERTAIN CLAIMS;  MAXIMUM RETAINAGE.  (a)  The amount of a subcontractor's claim, including previous payments, may not exceed the proportion of the subcontract price that the work done bears to the total of the work covered by the subcontract.
(b)  A claim for specially fabricated material that has not been delivered or incorporated into the public work is limited to material that conforms to and complies with the plans, specifications, and contract documents for the material.  The amount of the claim may not exceed the reasonable cost, less the fair salvage value, of the specially fabricated material.
(c)  A claim for retainage in a notice under this subchapter is not valid for an amount greater than the amount of retainage specified in the public work contract between the payment bond beneficiary and the prime contractor or between the payment bond beneficiary and the subcontractor.  A claim for retainage is never valid for an amount greater than 10 percent of the amount of that contract.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter D. Claims on Bonds; Enforcement › Section 2253.077. Venue

Sec. 2253.077.  VENUE.  A suit under this chapter shall be brought in a court in a county in which any part of the public work is located.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter D. Claims on Bonds; Enforcement › Section 2253.078. Statute of Limitations

Sec. 2253.078.  STATUTE OF LIMITATIONS.  (a)  A suit on a performance bond may not be brought after the first anniversary of the date of final completion, abandonment, or termination of the public work contract.
(b)  A suit on a payment bond may not be brought by a payment bond beneficiary after the first anniversary of the date notice for a claim is mailed under this chapter.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2253 - Public Work Performance and Payment Bonds › Subchapter D. Claims on Bonds; Enforcement › Section 2253.079. Criminal Offense for False and Fraudulent Claim

Sec. 2253.079.  CRIMINAL OFFENSE FOR FALSE AND FRAUDULENT CLAIM.  (a)  A person commits an offense if the person wilfully files a false and fraudulent claim under this chapter.
(b)  An offense under this section is subject to the penalty for false swearing.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter A. Professional Services › Section 2254.001. Short Title

Sec. 2254.001.  SHORT TITLE.  This subchapter may be cited as the Professional Services Procurement Act.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter A. Professional Services › Section 2254.002. Definitions

Sec. 2254.002.  DEFINITIONS.  In this subchapter:
(1)  "Governmental entity" means:
(A)  a state agency or department;
(B)  a district, authority, county, municipality, or other political subdivision of the state;
(C)  a local government corporation or another entity created by or acting on behalf of a political subdivision in the planning and design of a construction project;  or
(D)  a publicly owned utility.
(2)  "Professional services" means services:
(A)  within the scope of the practice, as defined by state law, of:
(i)  accounting;
(ii)  architecture;
(iii)  landscape architecture;
(iv)  land surveying;
(v)  medicine;
(vi)  optometry;
(vii)  professional engineering;
(viii)  real estate appraising;
(ix)  professional nursing; or
(x)  forensic science;
(B)  provided in connection with the professional employment or practice of a person who is licensed or registered as:
(i)  a certified public accountant;
(ii)  an architect;
(iii)  a landscape architect;
(iv)  a land surveyor;
(v)  a physician, including a surgeon;
(vi)  an optometrist;
(vii)  a professional engineer;
(viii)  a state certified or state licensed real estate appraiser;
(ix)  a registered nurse; or
(x)  a forensic analyst or forensic science expert; or
(C)  provided by a person lawfully engaged in interior design, regardless of whether the person is registered as an interior designer under Chapter 1053, Occupations Code.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 1997, 75th Leg., ch. 244, Sec. 1, eff. Sept. 1, 1997;  Acts 1999, 76th Leg., ch. 1542, Sec. 1, eff. Sept. 1, 1999;  Acts 2001, 77th Leg., ch. 1409, Sec. 8, eff. Sept. 1, 2001.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 487 (H.B. 2868), Sec. 1, eff. September 1, 2019.
Acts 2021, 87th Leg., R.S., Ch. 934 (H.B. 3774), Sec. 10.07, eff. September 1, 2021.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter A. Professional Services › Section 2254.003. Selection of Provider; Fees

Sec. 2254.003.  SELECTION OF PROVIDER;  FEES.  (a)  A governmental entity may not select a provider of professional services or a group or association of providers or award a contract for the services on the basis of competitive bids submitted for the contract or for the services, but shall make the selection and award:
(1)  on the basis of demonstrated competence and qualifications to perform the services;  and
(2)  for a fair and reasonable price.
(b)  The professional fees under the contract  may not exceed any maximum provided by law.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 1213 (H.B. 1886), Sec. 14, eff. September 1, 2007.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter A. Professional Services › Section 2254.0031. Indemnification

Sec. 2254.0031.  INDEMNIFICATION. (a) A state governmental entity may require a contractor selected under this subchapter to indemnify or hold harmless the state from claims and liabilities resulting from the negligent acts or omissions of the contractor or persons employed by the contractor.  A state governmental entity may not require a contractor to indemnify, hold harmless, or defend the state for claims or liabilities resulting from the negligent acts or omissions of the state governmental entity or its employees.
(b)  Notwithstanding any other provision of law, Sections 271.904(a)-(e) and (g), Local Government Code, apply to a contract for architectural or engineering services between an architect or engineer selected under this subchapter and a state agency as defined by Section 2052.101.
Added by Acts 1999, 76th Leg., ch. 1499, Sec. 1.37, eff. Sept. 1, 1999.
Amended by:
Acts 2017, 85th Leg., R.S., Ch. 879 (H.B. 3021), Sec. 1, eff. September 1, 2017.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter A. Professional Services › Section 2254.004. Contract for Professional Services of Architect, Engineer, or Surveyor

Sec. 2254.004.  CONTRACT FOR PROFESSIONAL SERVICES OF ARCHITECT, ENGINEER, OR SURVEYOR.  (a)  In procuring architectural, engineering, or land surveying services, a governmental entity shall:
(1)  first select the most highly qualified provider of those services on the basis of demonstrated competence and qualifications;  and
(2)  then attempt to negotiate with that provider a contract at a fair and reasonable price.
(b)  If a satisfactory contract cannot be negotiated with the most highly qualified provider of architectural, engineering, or land surveying services, the entity shall:
(1)  formally end negotiations with that provider;
(2)  select the next most highly qualified provider;  and
(3)  attempt to negotiate a contract with that provider at a fair and reasonable price.
(c)  The entity shall continue the process described in Subsection (b) to select and negotiate with providers until a contract is entered into.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 1997, 75th Leg., ch. 119, Sec. 1, eff. Sept. 1, 1997.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter A. Professional Services › Section 2254.005. Void Contract

Sec. 2254.005.  VOID CONTRACT.  A contract entered into or an arrangement made in violation of this subchapter is void as against public policy.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter A. Professional Services › Section 2254.006. Contract Notification

Sec. 2254.006.  CONTRACT NOTIFICATION.  A state agency, including an institution of higher education as defined by Section 61.003, Education Code, shall provide written notice to the Legislative Budget Board of a contract for professional services, other than a contract for physician or optometric services, if the amount of the contract, including an amendment, modification, renewal, or extension of the contract, exceeds $50,000.  The notice must be on a form prescribed by the Legislative Budget Board and filed not later than the 30th day after the date the agency enters into the contract.
Added by Acts 1999, 76th Leg., ch. 281, Sec. 13, eff. Sept. 1, 1999.
Amended by:
Acts 2021, 87th Leg., R.S., Ch. 855 (S.B. 799), Sec. 13, eff. September 1, 2021.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter A. Professional Services › Section 2254.007. Declaratory or Injunctive Relief

Sec. 2254.007.  DECLARATORY OR INJUNCTIVE RELIEF.  (a)  This subchapter may be enforced through an action for declaratory or injunctive relief filed not later than the 10th day after the date a contract is awarded.
(b)  This section does not apply to the enforcement of a contract entered into by a state agency as that term is defined by Section 2151.002.  In this subsection, "state agency" includes the Texas Facilities Commission and the comptroller.
Added by Acts 2007, 80th Leg., R.S., Ch. 1213 (H.B. 1886), Sec. 13, eff. September 1, 2007.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 1071 (H.B. 1524), Sec. 118, eff. September 1, 2019.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter A. Professional Services › Section 2254.008. Contract for Professional Services of Physicians, Optometrists, and Registered Nurses

Sec. 2254.008.  CONTRACT FOR PROFESSIONAL SERVICES OF PHYSICIANS, OPTOMETRISTS, AND REGISTERED NURSES.  (a)  Notwithstanding Section 2254.003, if a governmental entity is procuring services provided in connection with the professional employment or practice of a professional described by Section 2254.002(2)(B)(v), (vi), or (ix) and the number of contracts to be awarded under this section is not otherwise limited, the governmental entity may make the selection and award on the basis of:
(1)  the provider's agreement to payment of a set fee, as a range or lump-sum amount; and
(2)  the provider's affirmation and the governmental entity's verification that the provider has the necessary occupational licenses and experience.
(b)  Notwithstanding Sections 2155.083 and 2261.051, a contract awarded under this section is not subject to competitive advertising and proposal evaluation requirements.
Added by Acts 2021, 87th Leg., R.S., Ch. 855 (S.B. 799), Sec. 14, eff. September 1, 2021.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter B. Consulting Services › Section 2254.021. Definitions

Sec. 2254.021.  DEFINITIONS.  In this subchapter:
(1)  "Consulting service" means the service of studying or advising a state agency under a contract that does not involve the traditional relationship of employer and employee.
(2)  "Major consulting services contract" means a consulting services contract for which it is reasonably foreseeable that the value of the contract will exceed $15,000, or $25,000 for an institution of higher education other than a public junior college.
(3)  "Consultant" means a person that provides or proposes to provide a consulting service.  The term includes a political subdivision but does not include the federal government, a state agency, or a state governmental entity.
(4)  "Political subdivision" means:
(A)  a county;
(B)  an incorporated or unincorporated municipality;
(C)  a public junior college;
(D)  a public school district or other educational or rehabilitative district;
(E)  a metropolitan or regional transit authority;
(F)  an airport authority;
(G)  a river authority or compact;
(H)  a regional planning commission, a council of governments, or a similar regional planning agency created under Chapter 391, Local Government Code;
(I)  the Edwards Aquifer Authority or a district governed by Title 4, Water Code;
(J)  a soil and water conservation district;
(K)  a county or municipal improvement district;
(L)  a county road or road utility district;
(M)  a county housing authority;
(N)  an emergency services or communications district;
(O)  a fire prevention district;
(P)  a public health or hospital authority or district;
(Q)  a mosquito control district;
(R)  a special waste district;
(S)  a rural rail transportation district;  or
(T)  any other local government or special district of this state.
(5)  "State agency" has the meaning assigned by Section 2151.002.
(6)  "State governmental entity" means a state department, commission, board, office, institution, facility, or other agency the jurisdiction of which is not limited to a geographical portion of the state.  The term includes a university system and an institution of higher education, other than a public junior college, as defined by Section 61.003, Education Code.  The term does not include a political subdivision.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 1995, 74th Leg., ch. 76, Sec. 5.44(a), eff. Sept. 1, 1995;  Acts 1997, 75th Leg., ch. 165, Sec. 17.19(11), eff. Sept. 1, 1997;  Acts 1997, 75th Leg., ch. 1035, Sec. 3, eff. June 19, 1997;  Acts 2003, 78th Leg., ch. 1266, Sec. 1.02, eff. June 20, 2003.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter B. Consulting Services › Section 2254.022. Interpretation of Subchapter

Sec. 2254.022.  INTERPRETATION OF SUBCHAPTER.  (a)  This subchapter shall be interpreted to ensure:
(1)  the greatest and fairest competition in the selection by state agencies of consultants;  and
(2)  the giving of notice to all potential consultants of the need for and opportunity to provide consulting services.
(b)  This subchapter does not:
(1)  discourage state agencies from using consultants if the agencies reasonably foresee that the use of consultants will produce a more efficient and less costly operation or project;
(2)  prohibit the making of a sole-source contract for consulting services if a proposal is not received from a competent, knowledgeable, and qualified consultant at a reasonable fee, after compliance with this subchapter;  or
(3)  require or prohibit the use of competitive bidding procedures to purchase consulting services.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 1997, 75th Leg., ch. 1035, Sec. 4, eff. June 19, 1997.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter B. Consulting Services › Section 2254.023. Applicability of Subchapter

Sec. 2254.023.  APPLICABILITY OF SUBCHAPTER.  This subchapter applies to consulting services that a state agency acquires with money:
(1)  appropriated by the legislature;
(2)  derived from the exercise of the statutory duties of a state agency;  or
(3)  received from the federal government, unless a federal law or regulation conflicts with the application of this subchapter.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter B. Consulting Services › Section 2254.024. Exemptions

Sec. 2254.024.  EXEMPTIONS.  (a)  This subchapter does not apply to or discourage the use of consulting services provided by:
(1)  practitioners of professional services described in Subchapter A;
(2)  private legal counsel;
(3)  investment counselors;
(4)  actuaries;
(5)  medical or dental services providers; or
(6)  other consultants whose services are determined by the governing board of a retirement system trust fund to be necessary for the governing board to perform its constitutional fiduciary duties.
(b)  If the governor and comptroller consider it more advantageous to the state to procure a particular consulting service under the procedures of Chapters 2155-2158, instead of under this subchapter, they may make a memorandum of understanding to that effect and each adopt the memorandum by rule.  Procurement of a consulting service described in a memorandum of understanding under this subsection is subject only to Chapters 2155-2158.
(c)  The comptroller by rule may define circumstances in which a state agency may procure, without complying with this subchapter, certain consulting services that will cost less than a minimum amount established by the comptroller.  The comptroller must determine that noncompliance in those circumstances is more cost-effective for the state.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 1997, 75th Leg., ch. 165, Sec. 17.19(1), eff. Sept. 1, 1997.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 937 (H.B. 3560), Sec. 3.14, eff. September 1, 2007.
Acts 2019, 86th Leg., R.S., Ch. 953 (S.B. 65), Sec. 18, eff. September 1, 2019.
2023 Texas Statutes › Government Code › Title 10 - General Government › Subtitle F - State and Local Contracts and Fund Management › Chapter 2254 - Professional and Consulting Services › Subchapter B. Consulting Services › Section 2254.025. Emergency Waiver

Sec. 2254.025.  EMERGENCY WAIVER.  (a)  The governor, after receipt of a request complying with this section, may grant a limited waiver of the provisions of this subchapter for a state agency that requires consulting services before compliance with this subchapter can be completed because of an unforeseen emergency.
(b)  A state agency's request for a waiver must include information required by the governor, including:
(1)  information about the nature of the emergency;
(2)  the reason that the state agency did not foresee the emergency;
(3)  the name of the consultant with whom the agency intends to contract;  and
(4)  the amount of the intended contract.
(c)  As soon as possible after the governor grants a limited waiver, a state agency shall comply with this subchapter to the extent that the requirements of this subchapter are not superfluous or ineffective because of the waiver.  The agency shall include with information filed with the secretary of state for publication in the Texas Register a detailed description of the emergency on which the request for waiver was predicated.
(d)  The governor shall adopt rules to administer this section.
(e)  In this section, "unforeseen emergency" means a situation that suddenly and unexpectedly causes a state agency to need the services of a consultant.  The term includes the issuance of a court order, an actual or imminent natural disaster, and new state or federal legislation.  An emergency is not unforeseen if a state agency was negligent in foreseeing the occurrence of the emergency.
(f)  This section applies to all consulting services contracts and renewals, amendments, and extensions of consulting services contracts.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 1997, 75th Leg., ch. 1035, Sec. 5, eff. June 19, 1997.