Governor Abbott Vetoes HB 1477 (87R)
Pursuant to Article IV, Section 14, of the Texas Constitution, I, Greg Abbott, Governor of Texas, do hereby disapprove of and veto House Bill No. 1477 as passed by the Eighty-Seventh Texas Legislature, Regular Session, because of the following objections:
Whenever a government entity leases public property to a non-governmental entity, and the latter decides to enter into a contract for work performed on the property, House Bill 1477 would make the government entity responsible for the prime contractor obtaining a bond to protect subcontractors. If no bond is obtained and the prime contractor does not pay subcontractors, the government entity would be responsible for payment because the bill waives the government entity’s sovereign immunity in this situation. Because the government entity may not know who the prime contractor is—or even that there is a contract between the non-governmental entity and a prime contractor—House Bill 1477 could leave the government entity, and taxpayers, on the hook for damages not caused by the government entity.
Since the Eighty-Seventh Texas Legislature, Regular Session, by its adjournment has prevented the return of this bill, I am filing these objections in the office of the Secretary of State and giving notice thereof by this public proclamation according to the aforementioned constitutional provision.
IN TESTIMONY WHEREOF, I have signed my name officially and caused the Seal of the State to be affixed hereto at Austin, this 18th day of June, 2021.
Governor of Texas