LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION May 15, 2015 TO: Honorable Kevin Eltife, Chair, Senate Committee on Business & Commerce FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB2049 by Darby (Relating to indemnification and duties of engineers and architects under certain governmental contracts.), Committee Report 2nd House, Substituted No significant fiscal implication to the State is anticipated. The bill would amend the Local Government Code to specify a covenant in connection with a contract for certain services, which a governmental agency is a party, is void if the covenant provides that a licensed individual must defend a party over certain claims. The bill would permit certain governmental contracts for architectural or engineering services to include reimbursement of a governmental agency's attorney's fees and include the governmental entity as an additional insured under the engineer's or architect's liability insurance policy. The bill would require a contract for certain services with a governmental entity to require a license engineer or registered architect to perform certain services. The Office of Court Administration reported no significant fiscal impact to the state court system is anticipated. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies:212 Office of Court Administration, Texas Judicial Council LBB Staff: UP, CL, SD, EK
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION
May 15, 2015
TO: Honorable Kevin Eltife, Chair, Senate Committee on Business & Commerce FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB2049 by Darby (Relating to indemnification and duties of engineers and architects under certain governmental contracts.), Committee Report 2nd House, Substituted
TO: Honorable Kevin Eltife, Chair, Senate Committee on Business & Commerce
FROM: Ursula Parks, Director, Legislative Budget Board
IN RE: HB2049 by Darby (Relating to indemnification and duties of engineers and architects under certain governmental contracts.), Committee Report 2nd House, Substituted
Honorable Kevin Eltife, Chair, Senate Committee on Business & Commerce
Honorable Kevin Eltife, Chair, Senate Committee on Business & Commerce
Ursula Parks, Director, Legislative Budget Board
Ursula Parks, Director, Legislative Budget Board
HB2049 by Darby (Relating to indemnification and duties of engineers and architects under certain governmental contracts.), Committee Report 2nd House, Substituted
HB2049 by Darby (Relating to indemnification and duties of engineers and architects under certain governmental contracts.), Committee Report 2nd House, Substituted
No significant fiscal implication to the State is anticipated.
No significant fiscal implication to the State is anticipated.
The bill would amend the Local Government Code to specify a covenant in connection with a contract for certain services, which a governmental agency is a party, is void if the covenant provides that a licensed individual must defend a party over certain claims. The bill would permit certain governmental contracts for architectural or engineering services to include reimbursement of a governmental agency's attorney's fees and include the governmental entity as an additional insured under the engineer's or architect's liability insurance policy. The bill would require a contract for certain services with a governmental entity to require a license engineer or registered architect to perform certain services. The Office of Court Administration reported no significant fiscal impact to the state court system is anticipated.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies: 212 Office of Court Administration, Texas Judicial Council
212 Office of Court Administration, Texas Judicial Council
LBB Staff: UP, CL, SD, EK
UP, CL, SD, EK