SB 1615
holding trust funds over another contract’s dispute is misapplication
Died in committee
Verdict: No flags
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 application of funds under construction contracts.
Caption from analyzed text · version I.
Summary
Construction trustees can’t divert money over an unrelated fight.
The bill says a construction trustee, such as a contractor holding money paid for a project, misapplies trust funds if it holds back or diverts that money because of a dispute on a different construction contract. It touches contractors, subcontractors and suppliers who handle or are owed construction trust funds under the Property Code. On the ground, a payer can no longer withhold money owed on one job to settle a fight over another job, and doing so counts as misapplication under the existing trust-fund law, starting with contracts signed on or after September 1, 2025.
Labels
Labels: QUICK READ: 139 WORDS. The bill as filed runs 139 words, counting the existing law it amends and the text it strikes. The median 89R bill as filed runs 441 words (derived, 8,702 graded bills, snapshot Oct 19, 2026).NEVER GOT A HEARING. Filed Feb 25, 2025 and referred to the Senate Business & Commerce committee. No public hearing. The bill died.
Receipt
The receipt
89R-SB1615 · 2025-02-25
SOLD BY
ITEM
relating to the application of funds under construction contracts.
WHAT IT DOES
Construction trustees can’t divert money over an unrelated fight.
The bill says a construction trustee, such as a contractor holding money paid for a project, misapplies trust funds if it holds back or diverts that money because of a dispute on a different construction contract. It touches contractors, subcontractors and suppliers who handle or are owed construction trust funds under the Property Code. On the ground, a payer can no longer withhold money owed on one job to settle a fight over another job, and doing so counts as misapplication under the existing trust-fund law, starting with contracts signed on or after September 1, 2025.
CHARGES
[ ] NONE FOUND
TOTAL
No fiscal note in the loaded record.
HISTORY
- Received by the Secretary of the Senate
- Filed
- Read first time
- Referred to Business & Commerce
FILED UNDER
No verified beat found.
THANK YOU FOR CHECKING THE RECEIPT
CAMPAIGN PAID FOR BY
CAMPAIGN PAID FOR BY
Donors
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 · Jul 1, 2024 to Oct 24, 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.
Texas Sands PAC$129,500.00
Texas Sands PAC
$129,500.00
- Cash
- $129,500.00
- Paid by others
- $0.00
- Total
- $129,500.00
Also funds 121 other sitting lawmakers.
Derived recipient stock · Jul 3, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.
TEC account match.
TeamSources
Derived itemized flow · Nov 27, 2024 to May 12, 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: 100990378, 101033698, 101040111, 101052272.
Missing data does not establish zero giving. Display amounts are rounded.
Texas Sands PAC
$129,500.00
- Cash
- $129,500.00
- Paid by others
- $0.00
- Total
- $129,500.00
Also funds 121 other sitting lawmakers.
Derived recipient stock · Jul 3, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.
TEC account match.
TeamSources
Derived itemized flow · Nov 27, 2024 to May 12, 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: 100990378, 101033698, 101040111, 101052272.
Votes
No floor vote loaded for this bill.
Fiscal
No fiscal note in the loaded record.
How this was graded
Analysis of text version I by claude-opus-5-5, Oct 20, 2026, against the published rubric.
Sources
Texas Senate · Filed Feb 25, 2025
03/10/2025 S Referred to Business & Commerce
Texas Legislature Online · Introduced
Data snapshot Oct 26, 2026 at 4:20 AM CDT. Grades, charges, quotes and corrections follow the published record.
Senate committee · Business & Commerce · Final status: Died in committee
Companion
HB 3288 by Bell, Keith (identical)
Subjects
Business & Commerce--General
Property Interests--General
Property Interests--Trusts
BUILDING CONSTRUCTION
Text
The text as introduced · 139 words
89R7916 PRL-F By: Johnson S.B. No. 1615 A BILL TO BE ENTITLED AN ACT relating to the application of funds under construction contracts. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 162.031, Property Code, is amended by adding Subsection (a-1) to read as follows: (a-1) A trustee who retains or otherwise diverts trust funds due to a dispute, including an alleged default, arising under a construction contract other than the contract in connection with which the trust funds were received by or placed under the control or direction of the trustee has misapplied the trust funds. SECTION 2. The changes in law made by this Act apply only to a contract that is entered into on or after the effective date of this Act. SECTION 3. This Act takes effect September 1, 2025.