H.B. No. 1542
AN ACT
relating to changes made by certain design-build contractors to the
design-build team for transportation projects.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter F, Chapter 223, Transportation Code,
is amended by adding Section 223.2475 to read as follows:
Sec. 223.2475. CHANGES TO DESIGN-BUILD TEAM. (a) A
design-build contractor selected for a contract may not make
changes to companies or entities identified as part of the
design-build team in a response to a request for proposals unless an
identified company or entity:
(1) is no longer in business, is unable to fulfill its
legal, financial, or business obligations, or can no longer meet
the terms of the teaming agreement proposed for the project with the
design-build contractor;
(2) voluntarily removes itself from the team;
(3) fails to provide a sufficient number of qualified
personnel to fulfill the duties identified during the proposal
stage; or
(4) fails to negotiate in good faith in a timely manner
in accordance with provisions established in the teaming agreement
proposed for the project.
(b) If the design-build contractor makes design-build team
changes in violation of Subsection (a), any cost savings resulting
from the changes accrue to the department and not to the
design-build contractor.
SECTION 2. Subchapter K, Chapter 370, Transportation Code,
is amended by adding Section 370.4075 to read as follows:
Sec. 370.4075. CHANGES TO DESIGN-BUILD TEAM. (a) A
design-build contractor selected for a contract may not make
changes to companies or entities identified as part of the
design-build team in a response to a request for proposals unless an
identified company or entity:
(1) is no longer in business, is unable to fulfill its
legal, financial, or business obligations, or can no longer meet
the terms of the teaming agreement proposed for the project with the
design-build contractor;
(2) voluntarily removes itself from the team;
(3) fails to provide a sufficient number of qualified
personnel to fulfill the duties identified during the proposal
stage; or
(4) fails to negotiate in good faith in a timely manner
in accordance with provisions established in the teaming agreement
proposed for the project.
(b) If the design-build contractor makes design-build team
changes in violation of Subsection (a), any cost savings resulting
from the changes accrue to the authority and not to the design-build
contractor.
SECTION 3. The changes in law made by this Act apply only to
a contract, highway project, or transportation project for which
the Texas Department of Transportation or an authority under
Chapter 370, Transportation Code, first advertises or otherwise
requests proposals or qualifications on or after the effective date
of this Act.
SECTION 4. This Act takes effect September 1, 2019.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 1542 was passed by the House on April
30, 2019, by the following vote: Yeas 140, Nays 6, 2 present, not
voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 1542 was passed by the Senate on May
21, 2019, by the following vote: Yeas 31, Nays 0.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor