Bill > HB2148

This bill modifies Texas law regarding construction manager-at-risk and design-build project contracts for public works, introducing several key changes to how governmental entities can manage and structure these contracts. The bill requires that in one-step and two-step procurement processes, entities must now request not just general fee proposals, but also specific pricing and methods for preventing and managing the risk of trade contractor or subcontractor default. Additionally, the bill clarifies that these risk prevention costs are allowable expenses that can be included in calculating the overall contract fee. The legislation also provides new provisions allowing construction managers and design-build firms to potentially perform portions of construction work themselves, provided they publicly advertise for bids, receive competitive proposals, and can demonstrate they offer the best value to the governmental entity. If a design-build firm or construction manager submits their own bid, they would be compensated in the same manner as other competing trade contractors, with specific provisions for stipulated sum (fixed price) contracts. Importantly, the bill specifies that any contract provisions conflicting with these new requirements will be considered invalid, and these changes will only apply to new requests for qualifications or proposals advertised after the bill's effective date of September 1, 2025.

Government Affairs

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB2148