Relating to an account for construction retainage.

HB 2484 requires contractors to place retainage - money withheld from payments under construction contracts - into a dedicated escrow account. This ensures subcontractors can access withheld funds within three months of completing work, or face a 3% late payment penalty. The bill applies only to new contracts entered into on or after September 1, 2025, and does not affect existing agreements. It directly affects contractors, subcontractors, and construction projects in Texas by creating a clear mechanism for timely payment of retainage. The law aims to reduce payment disputes by mandating escrow accounts and setting specific deadlines.