By Martin                                             H.B. No. 1194
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the establishment of a Council on Competitive
    1-3  Government, and repealing existing provisions concerning the
    1-4  competitive cost review program.
    1-5        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-6        SECTION 1.  Article 13, State Purchasing and General Services
    1-7  Act, (Art. 601b, Vernon's Texas Civil Statutes), is repealed.
    1-8        SECTION 2.  The State Purchasing and General Services Act,
    1-9  (Art. 601b, Vernon's Texas Civil Statutes), is amended by adding
   1-10  Article 15 to read as follows:
   1-11        Article 15.  Council on Competitive Government.
   1-12        Section 15.01.  Definitions.  In this article:
   1-13        (1)  "Commercial activity" means an activity that provides a
   1-14  product or service that is commonly available from a private
   1-15  source.
   1-16        (2)  "Commission" has the meaning established by Section
   1-17  1.02(1) of this Act.
   1-18        (3)  "Council" means the State Council on Competitive
   1-19  Government.
   1-20        (4)  "Identified state service" means a service provided by
   1-21  the state that the council has identified as a commercially
   1-22  available service and brought under study by the council to
   1-23  determine whether the service may better be provided through
    2-1  competition with private commercial sources.
    2-2        (5)  "State agency" has the meaning established by Section
    2-3  1.02(2) of this Act.
    2-4              Section 15.02.  State Council on Competitive
    2-5  Government.  The State Council on Competitive Government is
    2-6  established.
    2-7              Section 15.03.  Membership.  The council shall consist
    2-8  of:
    2-9              (1)  the Governor;
   2-10              (2)  the Lieutenant Governor;
   2-11              (3)  the Comptroller of Public Accounts;
   2-12              (4)  the Speaker of the House of Representatives, in an
   2-13  ex officio capacity; and
   2-14              (5)  the commission's presiding officer, as appointed
   2-15  under Section 2.04(a) of this Act.
   2-16        Section 15.04.  Meetings.  The council shall meet as often as
   2-17  necessary to perform its duties.
   2-18        Section 15.05.  Duties.  The council shall identify
   2-19  commercially available state services, and, if the council
   2-20  determines that these services may better be provided through
   2-21  competition with private commercial sources, require a state agency
   2-22  to engage in any process, including competitive bidding, developed
   2-23  by the council to provide the service in competition with private
   2-24  commercial sources.
   2-25        Section 15.06.  Powers.  In performing its duties under this
    3-1  article, the council may:
    3-2        (1)  adopt rules governing any aspect of the council's duties
    3-3  or responsibilities;
    3-4        (2)  hold public hearings or conduct studies;
    3-5        (3)  consult with private commercial sources;
    3-6        (4)  require a state agency to conduct an agency in-house
    3-7  cost estimate, a management study, or any other hearing, study,
    3-8  review, or cost estimate concerning any aspect of an identified
    3-9  state service;
   3-10        (5)  develop and require for use by state agencies methods to
   3-11  accurately and fairly estimate and account for the cost of
   3-12  providing an identified state service;
   3-13        (6)  require that an identified state service be submitted to
   3-14  competitive bidding or other process designed to create competition
   3-15  with private commercial sources;
   3-16        (7)  determine, in consultation with affected state agencies,
   3-17  the specifications and conditions of purchase procedures that must
   3-18  be followed by the commission and a state agency or a private
   3-19  commercial source engaged in competitive bidding to provide an
   3-20  identified state service;
   3-21        (8)  award a contract to a state agency currently providing
   3-22  the service, a state agency other than an agency currently
   3-23  providing the service, or a private commercial source;
   3-24        (9)  determine the terms and conditions of a contract for
   3-25  service or interagency contract to provide an identified state
    4-1  service or other commercially available service.
    4-2        Section 15.07.  Duties of Affected State Agencies.  A state
    4-3  agency shall perform any activities required by the council in the
    4-4  performance of its duties or exercise of its powers under this
    4-5  article.
    4-6        Section 15.08.  Assistance to Affected State Employees.  (a)
    4-7  The council may adopt rules or develop procedures that provide
    4-8  out-placement services, guarantee a position in another state
    4-9  agency, or otherwise help state employees who are displaced by a
   4-10  contract awarded to a private commercial source or another state
   4-11  agency.
   4-12              (b)  The council may provide for bid specifications
   4-13  that require the bidder to guarantee the following to state
   4-14  employees displaced by a contract awarded to a private commercial
   4-15  source or another state agency:
   4-16                    (1)  the right of first refusal for positions
   4-17  with the private commercial source;
   4-18                    (2)  specified working conditions;
   4-19                    (3)  maintenance of retirement, health insurance,
   4-20  sick leave, vacation, and other benefits at the level these
   4-21  benefits were provided on the date the contract is awarded.
   4-22        Section 15.09.  Exemptions.  Decisions regarding whether an
   4-23  agency shall engage in competitive bidding and concerning the award
   4-24  of contracts made by the council are exempt from all state laws
   4-25  regulating or limiting state purchasing and purchasing decisions.
    5-1        SECTION 3.  This Act takes effect September 1, 1993.
    5-2        SECTION 4.  The importance of this legislation and the
    5-3  crowded condition of the calendars in both houses create an
    5-4  emergency and an imperative public necessity that the
    5-5  constitutional rule requiring bills to be read on three several
    5-6  days in each house be suspended, and this rule is hereby suspended.