Texas SB1890 exempts small municipal construction projects from workers' compensation and bid bonding requirements.

Texas SB1890 amends the Local Government Code to exempt small municipal construction projects from certain insurance and bonding requirements. Specifically, for projects contracted for less than one percent of a municipality's most recent adopted budget, the municipality is not required to ensure the contractor has workers' compensation insurance or obtain a performance bond. The definition of "project" includes all work completed at one location within 12 months. The change applies to contracts entered into after the act's effective date of September 1, 2025.

Texas SB1890 exempts small municipal construction projects from workers' compensation and bid bonding requirements.

Texas SB1890 amends the Local Government Code to exempt small municipal construction projects from certain insurance and bonding requirements. Specifically, for projects contracted for less than one percent of a municipality's most recent adopted budget, the municipality is not required to ensure the contractor has workers' compensation insurance or obtain a performance bond. The definition of "project" includes all work completed at one location within 12 months. The change applies to contracts entered into after the act's effective date of September 1, 2025.