Monitoring the Session

HB 3290

Bell’s bill on how long owners hold construction retainage

Did not pass

Verdict: No flags

No flagsInitial review
Rep. Keith BellRHouse 4

Initial review · graded Oct 20, 2026 · Headline, summary and grade are analysis of the bill text, not a finding about any person · How we grade

Caption

relating to the time period for which certain funds payable under a construction contract must be reserved for the benefit of mechanic's lien claimants.

Caption from analyzed text · version I.

Summary

Changes the holding period for the 10 percent reserved for lien claimants.

The bill changes how long a property owner must hold back 10 percent of a construction contract's price to protect unpaid workers and suppliers who can file a mechanic's lien. Instead of a flat 30 days after the work is finished, the owner must hold the money until the earlier of the 31st day after the work is finished or the 61st day after a certificate of occupancy is issued or the building is first used for its intended purpose. This applies only to construction contracts signed on or after September 1, 2025, so owners, contractors, subcontractors and suppliers on new jobs face a slightly different hold-back clock.

Labels

Labels: ACROSS THE AISLE. Joint authors: 4 Republicans, 1 Democrat. Party as the Legislative Reference Library lists it for the 89th Legislature.STALLED AFTER COMMITTEE. Voted out of the House Trade, Workforce & Economic Development committee 9-0 on Apr 25, 2025. Placed on the General State Calendar on May 15, 2025. The bill died.

Receipt

The receipt

89R-HB3290 · 2025-02-25

SOLD BY

Rep. Keith BellRHouse 4 Rep. Pat CurryRHouse 56 Rep. Mark DorazioRHouse 122

+ 2 more authors

ITEM

relating to the time period for which certain funds payable under a construction contract must be reserved for the benefit of mechanic's lien claimants.

WHAT IT DOES

Changes the holding period for the 10 percent reserved for lien claimants.

The bill changes how long a property owner must hold back 10 percent of a construction contract's price to protect unpaid workers and suppliers who can file a mechanic's lien. Instead of a flat 30 days after the work is finished, the owner must hold the money until the earlier of the 31st day after the work is finished or the 61st day after a certificate of occupancy is issued or the building is first used for its intended purpose. This applies only to construction contracts signed on or after September 1, 2025, so owners, contractors, subcontractors and suppliers on new jobs face a slightly different hold-back clock.

CHARGES

[ ] NONE FOUND

TOTAL

No significant fiscal implication to the State is anticipated.

LBB estimate · fiscal note version H · source

Sources

Fiscal note · version H · April 26, 2025

No first-year general revenue figure available here.

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

HISTORY

  1. Filed
  2. Read first time
  3. Referred to Trade, Workforce & Economic Development
  4. Scheduled for public hearing on . . .
  5. Considered in public hearing
  6. Committee substitute considered in committee
  7. Testimony taken/registration(s) recorded in committee
  8. Left pending in committee
  9. Considered in formal meeting
  10. Committee substitute considered in committee
  11. Reported favorably as substituted
  12. Comte report filed with Committee Coordinator
  13. Committee report distributed
  14. Committee report sent to Calendars
  15. Considered in Calendars
  16. Placed on General State Calendar
FILED UNDER

No verified beat found.

No flags

THANK YOU FOR CHECKING THE RECEIPT

CAMPAIGN PAID FOR BY

CAMPAIGN PAID FOR BY

Keith Bell

Donors

Josh Stevens$50,000Carla Enna$50,000Texans for Lawsuit Reform PAC$35K

Not tied to this bill.

Sources

The author's campaign account only. Own money and internal transfers are separate on the member page.

Derived itemized flow · Oct 31, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Josh Stevens$50,000.00
Carla Enna$50,000.00
Texans for Lawsuit Reform PAC$35,000.00

Texans for Lawsuit Reform PAC

$35,000.00

Cash
$35,000.00
Paid by others
$0.00
Total
$35,000.00

Also funds 124 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Jun 30, 2025 to Sep 4, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101007782, 101027129, 101068150.

Money

Missing data does not establish zero giving. Display amounts are rounded.

×

Texans for Lawsuit Reform PAC

$35,000.00

Cash
$35,000.00
Paid by others
$0.00
Total
$35,000.00

Also funds 124 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Jun 30, 2025 to Sep 4, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101007782, 101027129, 101068150.

Votes

No floor vote loaded for this bill.

Witnesses13
For
10
Against
3
On
0
Names

For

  • Indepemdent Electrical Contractors of Texas1 registration
  • PHCC1 registration
  • Self; Central Texas Subcontractors Association1 registration
  • Self; Precast Concrete Manufacturers Association (PCMA)1 registration
  • Self; Prism Electric, Inc1 registration
  • Self; Texas Construction Association1 registration
  • Self; Texas State Association of Electrical Workers1 registration
  • Texas Construction Association1 registration
  • Texas Crane Owners Association; Precast Concrete Manufacturers Association of Texas1 registration
  • Texas Water Infrastructure Network (TXWIN)1 registration

Against

  • Houston real estate council1 registration
  • Self; Houston Real Estate Council1 registration
  • Texas BOMA1 registration
Sources

13 parsed registrations across the loaded witness lists.

Derived stock of witness registrations. Repeated appearances count separately. Organizations and self-representation appear as printed.

House witness list. Source snapshot 2026-10-20, Central time.

Fiscal

No significant fiscal implication to the State is anticipated.

LBB estimate · fiscal note version H · source

Sources

Fiscal note · version H · April 26, 2025

No first-year general revenue figure available here.

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

How this was graded

Analysis of text version I by claude-opus-5-5, Oct 20, 2026, against the published rubric.

Sources

Texas House · Filed Feb 25, 2025

05/15/2025 H Placed on General State Calendar

Texas Legislature Online · Introduced · House Committee Report

Data snapshot Oct 26, 2026 at 4:20 AM CDT. Grades, charges, quotes and corrections follow the published record.

House committee · Trade, Workforce & Economic Development · Committee vote 9 aye, 0 nay, 2 absent · Out of committee

Companion

SB 1530 by Hinojosa, Juan "Chuy" (identical)

Subjects

Property Interests--Mortgages & Liens

Property Interests--Real Property

BUILDING CONSTRUCTION

CONTRACTORS' LIENS

MECHANICS' LIENS

Text

The text as introduced · 320 words

89R11482 SCR-F

By: Bell of Kaufman
H.B. No. 3290

A BILL TO BE ENTITLED

AN ACT

relating to the time period for which certain funds payable under a

construction contract must be reserved for the benefit of

mechanic's lien claimants.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 53.101, Property Code, is amended by

amending Subsection (a) and adding Subsection (a-1) to read as

follows:

(a) During the progress of work under an original contract

for which a mechanic's lien may be claimed and for the period

described by Subsection (a-1) [ 30 days after the work under the

contract is completed ], the owner shall reserve:

(1) 10 percent of the contract price of the work to the

owner; or

(2) 10 percent of the value of the work, measured by

the proportion that the work done bears to the work to be done,

using the contract price or, if there is no contract price, using

the reasonable value of the completed work.

(a-1) After the completion of work under an original

contract for which a mechanic's lien may be claimed, the owner shall

reserve the funds described by Subsection (a) for a period ending

the earlier of:

(1) the 31st day after the date the work under the

contract is completed; or

(2) the 61st day after the date:

(A) a certificate of occupancy is issued for the

improvement; or

(B) the improvement is first used for its

intended purpose.

SECTION 2. The changes in law made by this Act apply 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 as it existed immediately before the effective

date of this Act, and that law is continued in effect for that

purpose.

SECTION 3. This Act takes effect September 1, 2025.