The bill, H.B. No. 3184, amends the Labor Code to authorize counties and municipalities in Texas to establish local minimum wage rates that exceed the state minimum wage. Specifically, it allows municipalities to adopt a higher minimum wage for services performed within their jurisdiction and permits counties to do the same for unincorporated areas, including those within a municipality's extraterritorial jurisdiction. The bill also clarifies that private entities entering contracts with governmental entities must comply with the agreed-upon minimum wage, which can be higher than the state minimum wage.

Additionally, the bill modifies existing language regarding the applicability of minimum wage laws, stating that the local minimum wage provisions will not supersede wages established in contracts or agreements between governmental entities and private entities. It also specifies that the provisions of the bill do not apply to individuals covered by the Fair Labor Standards Act. The changes will take effect on September 1, 2025.

Statutes affected:
Introduced: Labor Code 62.0515, Labor Code 62.151 (Labor Code 62)