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Texas Government Code - GOV'T § 2252.909. Voidable Contract Provision: Experience Modifier

Current as of January 01, 2024 | Updated by Findlaw Staff

<Text of § 2252.909 as added by Acts 2023, 88th Leg., ch. 389 (H.B. 679), § 1. See, also, § 2252.909 as added by Acts 2023, 88th Leg., ch. 1008 (H.B. 2518), § 1.>

(a) In this section:

(1) “Contract” means a contract awarded by a governmental entity that is:

(A) a construction contract, as defined by Section 272.0001, Business & Commerce Code; or

(B) a contract for constructing, altering, or repairing a public building or carrying out or completing any public work.

(2) Contract solicitation” means a request for bids, proposals, qualifications, offers, or other responses from potential contractors under a contract.

(3) “Experience modifier” means a factor expressed as a value that:

(A) is assigned to an employer seeking to purchase a workers' compensation insurance policy in this state;

(B) affects the premium amount for the policy; and

(C) is based on the employer's past loss experience.

(4) “Governmental entity” means:

(A) a department, commission, board, office, or other agency in the executive branch of state government created by the state constitution or a state statute, including an institution of higher education as defined by Section 61.003, Education Code; or

(B) a political subdivision of this state, including a municipality, county, or special purpose district.

(b) With respect to a contract:

(1) an offer to contract may not contain a term requiring a person to have a specified experience modifier in order to accept the offer; and

(2) a contract solicitation may not require a person to have a specified experience modifier in order to submit a response to the contract solicitation.

(c) A contract or an agreement collateral to or affecting a contract may not require the contractor to have a specified experience modifier.

(d) A contract solicitation, an offer, a contract, or an agreement collateral to or affecting a contract that violates Subsection (b) or (c) is voidable as against public policy.

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Cite this article: FindLaw.com - Texas Government Code - GOV'T § 2252.909. Voidable Contract Provision: Experience Modifier - last updated January 01, 2024 | https://codes.findlaw.com/tx/government-code/gov-t-sect-2252-909-nr2/

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