85R8346 KKR-F     By: Walle H.B. No. 1477       A BILL TO BE ENTITLED   AN ACT   relating to required workers' compensation insurance coverage for   building and construction contractors.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  The heading to Section 406.096, Labor Code, is   amended to read as follows:          Sec. 406.096.  REQUIRED COVERAGE FOR [CERTAIN] BUILDING OR   CONSTRUCTION CONTRACTORS.          SECTION 2.  Section 406.096, Labor Code, is amended by   amending Subsections (a), (b), and (c) and adding Subsection (a-1)   to read as follows:          (a)  A contractor shall provide workers' compensation   insurance coverage for each employee of the contractor. A   subcontractor shall provide workers' compensation insurance   coverage for each employee of the subcontractor.          (a-1)  A governmental entity that enters into a building or   construction contract shall require the contractor to:                (1)  certify in writing that the contractor provides   workers' compensation insurance coverage for each employee of the   contractor employed on the public project; and                (2)  if the contractor uses a subcontractor on the   public project, provide a written certification, submitted by each   subcontractor, that the subcontractor provides workers'    compensation insurance coverage for each employee of the   subcontractor employed on the public project.          (b)  Each subcontractor on a [the] public project shall   provide the [such a] certificate described by Subsection (a-1)(2)    [relating to coverage of the subcontractor's employees] to the   general contractor, who shall provide the subcontractor's   certificate to the governmental entity.          (c)  A contractor or subcontractor may provide [who has a   contract that requires] workers' compensation insurance coverage   [may provide the coverage] through a group plan or other method.  If   the contractor enters into a contract with a governmental entity   for a public project, the coverage provided by the contractor and,   if applicable, by each subcontractor must be satisfactory to the   governing body of the governmental entity.          SECTION 3.  The change in law made by this Act applies only   to a contract for building or construction that is entered into on   or after the effective date of this Act. A contract entered into   before the effective date of this Act is governed by the law in   effect on the date the contract was entered into, and the former law   is continued in effect for that purpose.          SECTION 4.  This Act takes effect September 1, 2017.