82R13518 TJB-F By: Wentworth S.B. No. 1597 A BILL TO BE ENTITLED AN ACT relating to competitive bid requirements for public utility agencies that award construction contracts. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 572.059, Local Government Code, is amended by amending Subsection (a) and adding Subsection (c) to read as follows: (a) A public utility agency may award a contract for construction of an improvement that involves the expenditure of more than $50,000 [$20,000] only on the basis of competitive bids. (c) This section does not apply to a contract necessary because of unforeseen damage to property, including to public machinery or to other equipment. SECTION 2. Section 572.059, as amended by this Act, applies only to a solicitation of bids or proposals or similar expression of interest published on or after the effective date of this Act. A solicitation of bids or proposals or similar expression of interest published before the effective date of this Act is governed by the law in effect on the date the public utility agency first publishes the solicitation of bids or proposals or similar expression of interest, and the former law is continued in effect for that purpose. SECTION 3. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2011.