HB 718

relating to prohibiting a public institution of higher education
from partnering with certain private entities for the construction
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Subchapter Z, Chapter 51, Education Code, is
amended by adding Section 51.9273 to read as follows:
Sec. 51.9273.  CERTAIN PARTNERSHIPS TO CONSTRUCT STUDENT
HOUSING FACILITIES PROHIBITED.  (a)  In this section, "institution
of higher education" has the meaning assigned by Section 61.003.
(b)  An institution of higher education may not enter into a
contract to partner with a private entity to construct a student
housing facility if the entity has a pending action or lien against
the entity or entity's property relating to a claim for nonpayment
of a contractor, subcontractor, or vendor.
SECTION 2.  Section 51.9273, Education Code, as added by
this Act, applies only to a contract 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
SECTION 3.  This Act takes effect September 1, 2025.