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SB995

Regular Session

Relating to the approval of a surety bond for a contract authorizing an oversize or overweight vehicle to cross a road or highway.

Low
Low Cost
Effective:2025-09-01
SB995
Low
Relating to the approval of a surety bond for a contract authorizing an oversize or overweight vehicle to cross a road or highway.
Low Compliance Urgency
Requires routine attention
Cost Impact
Low
Effective
2025-09-01
Enforcing Agencies
Texas Department of Transportation
Primary Author: Sen. Robert Nichols
89th Texas Legislature
jdkey.com
01

Compliance Analysis

Key implementation requirements and action items for compliance with this legislation

Implementation Timeline

  • Effective Date: September 1, 2025
  • Compliance Deadline: September 1, 2025 (Applies to all new bond submissions filed on or after this date).
  • Agency Rulemaking: TxDOT is expected to update 43 TAC and issue revised bond forms by Summer 2025 to remove obsolete signature blocks.

Immediate Action Plan

  • Notify Surety Brokers: Inform your bonding agents immediately that Texas OS/OW bond forms must be updated to reflect single-agency approval by September 1.
  • Update SOPs: Revise internal routing protocols to prevent accidental submissions to the AG or Comptroller, which will result in processing delays.
  • Buffer Q4 Submissions: Submit bond packages for late 2025 projects 15 days earlier than usual to account for TxDOT internal workflow adjustments.
  • Monitor Forms: Assign a compliance officer to watch the TxDOT website for the release of the simplified bond template.

Operational Changes Required

Contracts

Ensure your surety providers update their standard bond forms for Texas OS/OW crossings. Forms must be revised to remove signature lines for the Comptroller and Attorney General. Using legacy forms after September 1 may result in administrative rejection by TxDOT.

Hiring/Training

Retrain permitting and compliance staff to cease routing bond drafts to the Attorney General or Comptroller. Update internal Standard Operating Procedures (SOPs) to reflect a direct-to-TxDOT submission workflow.

Reporting & Record-Keeping

You no longer need to retain evidence of multi-agency approval for audit purposes. The singular approval notification from TxDOT will serve as the sole required compliance artifact for the validity of the bond.

Fees & Costs

There are no changes to statutory fees or bond calculation methods. Administrative costs should decrease due to the elimination of multi-agency coordination.

Strategic Ambiguities & Considerations

The statute removes external legal review (Attorney General), placing the burden of determining "legal sufficiency" entirely on TxDOT’s internal counsel. This creates a potential bottleneck in Q4 2025 if TxDOT is not adequately staffed to handle the increased legal review volume. Furthermore, the law does not specify if TxDOT will accept legacy forms with "N/A" marked in obsolete signature blocks or if they will require strictly updated forms immediately upon the effective date.

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Information presented is for general knowledge only and is provided without warranty, express or implied. Consult qualified government affairs professionals and legal counsel before making compliance decisions.

02

Legislative Timeline

This bill's path through the Texas Legislature

Filed
Jan 29, 2025
Passed Senate
Mar 26, 2025
Passed House
May 22, 2025
Signed
Jun 20, 2025
TopicsHighwaysVehicles & TrafficVehicles & Traffic--generalBondsTransportation, Texas Department ofVehicle Weight Limits & EnforcementVehicles & Traffic--rules of Road
03

Senate Authors

Sen. Robert NicholsRepublican · Primary Author
Coauthors (1)

House Sponsor

Rep. Dennis PaulRepublican · Primary Sponsor

Bill Text(with markup)

View bill text in multiple formats on Texas Legislature website

Fiscal NoteView Original

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More from Sen. Robert Nichols

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Quick Reference

Frequently Asked Questions

Common questions about SB995

Q

What does Texas SB995 do?

SB995 streamlines the permitting process for oversize/overweight (OS/OW) vehicle crossing contracts by removing the Comptroller and Attorney General from the surety bond approval loop. Effective September 1, 2025, the Texas Department of Transportation (TxDOT) assumes sole authority for approving these bonds, reducing administrative lead times for heavy civil, energy, and logistics operators. Implementation Timeline Effective Date: September 1, 2025 Compliance Deadline: September 1, 2025 (Applies to all new bond submissions filed on or after this date).

Q

Who authored SB995?

SB995 was authored by Texas Senator Robert Nichols during the Regular Session.

Q

When was SB995 signed into law?

SB995 was signed into law by Governor Greg Abbott on June 20, 2025.

Q

Which agencies enforce SB995?

SB995 is enforced by Texas Department of Transportation (TxDOT).

Q

How urgent is compliance with SB995?

The compliance urgency for SB995 is rated as "low". Businesses and organizations should review the requirements and timeline to ensure timely compliance.

Q

What is the cost impact of SB995?

The cost impact of SB995 is estimated as "low". This may vary based on industry and implementation requirements.

Q

What topics does SB995 address?

SB995 addresses topics including highways, vehicles & traffic, vehicles & traffic--general, bonds and transportation, texas department of.

Legislative data provided by LegiScanLast updated: November 25, 2025

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