88R2563 SCP-F By: Meza H.B. No. 495 A BILL TO BE ENTITLED AN ACT relating to rest breaks for employees of certain contractors with a governmental entity; providing an administrative penalty. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter Z, Chapter 2252, Government Code, is amended by adding Section 2252.909 to read as follows: Sec. 2252.909. REST BREAKS REQUIRED FOR EMPLOYEES PERFORMING CONSTRUCTION WORK UNDER CONTRACTS WITH GOVERNMENTAL ENTITIES. (a) In this section: (1) "Construction contract" means a contract or agreement for the performance of general construction. (2) "Contractor" means a person, firm, or corporation contracting with a governmental entity for general construction. (3) "Employee" means an individual paid by a contractor or subcontractor to perform general construction work or services. (4) "General construction" means: (A) erecting or preparing to erect a structure, including a building, bridge, roadway, public utility facility, or related structure; (B) remodeling, extending, repairing, or demolishing a structure; or (C) otherwise improving real property or a structure related to real property. (5) "Governmental entity" means: (A) a board, commission, department, office, or other agency in the executive branch of state government; or (B) a political subdivision of this state, including a municipality, county, public school district, or special-purpose district or authority. (6) "Rest break" means a break from work during work hours. The term does not include a regular meal break period provided to an employee by a contractor or subcontractor. (b) A governmental entity contracting with a contractor shall require the contractor and any subcontractor to provide at least a 10-minute paid rest break within every four-hour period of work to each employee performing work under the contract. (c) Each construction contract with a governmental entity must include terms that: (1) authorize an employee of a contractor or subcontractor required to work without a rest break in violation of Subsection (b) to make a verbal or written complaint to the governmental entity contracting with the contractor; (2) explain that, on confirmation of a violation of Subsection (b) that is the subject of a complaint, the governmental entity shall provide to the contractor written notice of the violation by hand delivery or certified mail; (3) inform a contractor that the governmental entity may impose an administrative penalty if the contractor fails to comply with Subsection (b) after the date on which the contractor receives notice under Subdivision (2); and (4) explain that a penalty amount may be withheld from a payment otherwise owed to a contractor under the contract. (d) In accordance with a construction contract governed by this section, the governmental entity may impose an administrative penalty in an amount of not less than $100 and not more than $500 per day if any employee is required to work without a rest break in violation of Subsection (b). A proceeding under this section to impose an administrative penalty is a contested case under Chapter 2001. (e) Each governmental entity shall develop procedures for the administration of this section. (f) This section does not preempt a local ordinance, rule, or other measure adopted by a political subdivision of this state requiring rest breaks in accordance with a construction contract that is compatible with and equal to or more stringent than the provisions of this section. SECTION 2. Section 2252.909, Government Code, as added by this Act, applies only to a contract for which the solicitation of qualifications, proposals, or other similar expressions of interest is published on or after September 1, 2023. SECTION 3. This Act takes effect September 1, 2023.