By Eckels                                             H.B. No. 1651
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to competitive bidding requirements of certain
    1-3  governmental entities.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Sections 21.901(a), (b), and (g), Education Code,
    1-6  are amended to read as follows:
    1-7        (a)  Except as provided in this section, all contracts
    1-8  proposed to be made by any Texas public school board for the
    1-9  purchase of any personal property, except produce or vehicle fuel,
   1-10  shall be submitted to competitive bidding for each 12-month period
   1-11  when said property is valued at $25,000 <$10,000> or more in the
   1-12  aggregate for each 12-month period.
   1-13        (b)  Except as provided in Subsection (e) of this section,
   1-14  all contracts proposed to be made by any Texas public school board
   1-15  for the construction, maintenance, repair or renovation of any
   1-16  building <or for materials used in said construction, maintenance,
   1-17  repair or renovation,> shall be submitted to competitive bidding
   1-18  when said contracts are valued at more than $15,000 <$10,000 or
   1-19  more>.  In this section, maintenance includes supervision of
   1-20  custodial, plant operations, maintenance, and ground services
   1-21  personnel.
   1-22        (g)(1)  The board of trustees of a school district may
   1-23  purchase without competitive bidding an item that is available from
   1-24  only one source, including:
    2-1                    (A)  an item for which competition is precluded
    2-2  because of the existence of a patent, copyright, secret process, or
    2-3  monopoly;
    2-4                    (B)  a film, manuscript, or book;
    2-5                    (C)  a utility service, including electricity,
    2-6  gas, or water; and
    2-7                    (D)  a captive replacement part or component for
    2-8  equipment.
    2-9              (2)  The exceptions provided by this subsection shall
   2-10  not apply to mainframe data-processing equipment and peripheral
   2-11  attachments with a single-item purchase price in excess of $15,000
   2-12  <$10,000>.
   2-13        SECTION 2.  Section 402.028, Health and Safety Code, is
   2-14  amended to read as follows:
   2-15        Sec. 402.028.  Contracts Over $15,000 <$5,000>.  (a)  If the
   2-16  estimated amount of a proposed contract for the purchase of
   2-17  materials, machinery, equipment, or supplies is more than $15,000
   2-18  <$5,000>, the board shall ask for competitive bids as provided by
   2-19  Subchapter B, Chapter 271, Local Government Code.
   2-20        (b)  This section does not apply to purchases of property
   2-21  from public agencies or to contracts for personal or professional
   2-22  services.
   2-23        SECTION 3.  Section 402.184, Health and Safety Code, is
   2-24  amended to read as follows:
   2-25        Sec. 402.184.  Construction Contract Bids.  The authority may
   2-26  enter into a construction contract requiring an expenditure of more
   2-27  than $15,000 <$5,000> only after competitive bidding as provided by
    3-1  Subchapter B, Chapter 271, Local Government Code.
    3-2        SECTION 4.  Section 776.074(a), Health and Safety Code, is
    3-3  amended to read as follows:
    3-4        (a)  The board must submit to competitive bids an expenditure
    3-5  of more than $15,000 <$10,000> for the purchase or lease of:
    3-6              (1)  one item or service; or
    3-7              (2)  more than one of the same or a similar type of
    3-8  items or services in a fiscal year.
    3-9        SECTION 5.  Section 794.074(a), Health and Safety Code, is
   3-10  amended to read as follows:
   3-11        (a)  Except as provided by Subsection (i), the board must
   3-12  submit to competitive bids an expenditure of more than $15,000
   3-13  <$10,000> for:
   3-14              (1)  one item or service; or
   3-15              (2)  more than one of the same or a similar type of
   3-16  items or services in a fiscal year.
   3-17        SECTION 6.  Section 252.041(a), Local Government Code, is
   3-18  amended to read as follows:
   3-19        (a)  If the competitive sealed bidding requirement applies to
   3-20  the contract, notice of the time and place at which the bids will
   3-21  be publicly opened and read aloud <contract will be let> must be
   3-22  published at least once a week for two consecutive weeks in a
   3-23  newspaper published in the municipality.  The date of the first
   3-24  publication must be before the 14th day before the date set to
   3-25  publicly open the bids and read them aloud <let the contract>.  If
   3-26  no newspaper is published in the municipality, the notice must be
   3-27  posted at the city hall for 14 days before the date set to publicly
    4-1  open the bids and read them aloud <let the contract>.
    4-2        SECTION 7.  Section 252.002, Local Government Code, is
    4-3  amended to read as follows:
    4-4        Sec. 252.002.  Municipal Charter Controls in Case of
    4-5  Conflict.  Any provision in the charter of a home-rule municipality
    4-6  that relates to the notice of contracts, advertisement of the
    4-7  notice, requirements for the taking of sealed bids based on
    4-8  specifications for public improvements or purchases, <or> the
    4-9  manner of publicly opening bids or reading them aloud, or the
   4-10  manner of letting contracts and that is in conflict with this
   4-11  chapter controls over this chapter unless the governing body of the
   4-12  municipality elects to have this chapter supersede the charter.
   4-13        SECTION 8.  Sections 271.055(a) and (b), Local Government
   4-14  Code, are amended to read as follows:
   4-15        (a)  An issuer must give notice of the time, date, and place
   4-16  at which the issuer will publicly open the bids on <let> a contract
   4-17  for which competitive bidding is required by this subchapter and
   4-18  read the bids aloud.  The notice must be given in accordance with
   4-19  Subsection (b) or in accordance with:
   4-20              (1)  Chapter 252, if the issuer is a municipality;
   4-21              (2)  the municipal charter of the issuer, if the issuer
   4-22  is a home-rule municipality; or
   4-23              (3)  the County Purchasing Act (Subchapter C, Chapter
   4-24  262), if the issuer is a county.
   4-25        (b)  If an issuer gives notice under this subsection, the
   4-26  notice must:
   4-27              (1)  be published once a week for two consecutive weeks
    5-1  in a newspaper, as defined by Chapter 84, Acts of the 43rd
    5-2  Legislature, 1st Called Session, 1933 (Article 28a, Vernon's Texas
    5-3  Civil Statutes), that is of general circulation in the area of the
    5-4  issuer, with the date of the first publication to be before the
    5-5  14th day before the date set for the public opening of the bids and
    5-6  the reading of the bids aloud <receipt of bids>; and
    5-7              (2)  state that plans and specifications for the work
    5-8  to be done or specifications for the machinery, supplies,
    5-9  equipment, or materials to be purchased are on file with a
   5-10  designated official of the issuer and may be examined without
   5-11  charge.
   5-12        SECTION 9.  Section 252.022(a), Local Government Code, is
   5-13  amended to read as follows:
   5-14        (a)  This chapter does not apply to an expenditure for:
   5-15              (1)  a procurement made because of a public calamity
   5-16  that requires the immediate appropriation of money to relieve the
   5-17  necessity of the municipality's residents or to preserve the
   5-18  property of the municipality;
   5-19              (2)  a procurement necessary to preserve or protect the
   5-20  public health or safety of the municipality's residents;
   5-21              (3)  a procurement necessary because of unforeseen
   5-22  damage to public machinery, equipment, or other property;
   5-23              (4)  a procurement for personal or professional
   5-24  services;
   5-25              (5)  a procurement for work that is performed and paid
   5-26  for by the day as the work progresses;
   5-27              (6)  a purchase of land or a right-of-way;
    6-1              (7)  a procurement of items that are available from
    6-2  only one source, including:
    6-3                    (A)  items that are available from only one
    6-4  source because of patents, copyrights, secret processes, or natural
    6-5  monopolies;
    6-6                    (B)  films, manuscripts, or books;
    6-7                    (C)  electricity, gas, water, and other utility
    6-8  services;
    6-9                    (D)  captive replacement parts or components for
   6-10  equipment;
   6-11                    (E)  books, papers, and other library materials
   6-12  for a public library that are available only from the persons
   6-13  holding exclusive distribution rights to the materials; and
   6-14                    (F)  management services provided by a nonprofit
   6-15  organization to a municipal museum, park, zoo, or other facility to
   6-16  which the organization has provided significant financial or other
   6-17  benefits;
   6-18              (8)  a purchase of rare books, papers, and other
   6-19  library materials for a public library;
   6-20              (9)  paving drainage, street widening, and other public
   6-21  improvements, or related matters, if at least one-third of the cost
   6-22  is to be paid by or through special assessments levied on property
   6-23  that will benefit from the improvements;
   6-24              (10)  a public improvement project, authorized by the
   6-25  voters of the municipality, for which there is a deficiency of
   6-26  funds for completing the project in accordance with the plans and
   6-27  purposes authorized by the voters;
    7-1              (11)  a payment under a contract by which a developer
    7-2  participates in the construction of a public improvement as
    7-3  provided by Subchapter C, Chapter 212;  <and>
    7-4              (12)  personal property sold:
    7-5                    (A)  at an auction by a state licensed
    7-6  auctioneer;
    7-7                    (B)  at a going out of business sale held in
    7-8  compliance with Subchapter F, Chapter 17, Business & Commerce Code;
    7-9  or
   7-10                    (C)  by a political subdivision of this state, a
   7-11  state agency of this state, or an entity of the federal government;
   7-12  and
   7-13              (13)  services performed by blind or severely disabled
   7-14  persons.
   7-15        SECTION 10.  The change in law made by this Act to Sections
   7-16  252.021 and 271.024, Local Government Code, relating to the
   7-17  contractual amount that requires a municipality to solicit
   7-18  competitive bids or proposals, applies only to a contract for which
   7-19  the notice soliciting bids or proposals is first published or
   7-20  posted on or after September 1, 1993.  A contract for which the
   7-21  notice is first published or posted before September 1, 1993, is
   7-22  subject to the law as it existed at the time the notice was first
   7-23  published or posted, and the former law is continued in effect for
   7-24  that purpose.
   7-25        SECTION 11.  Section 252.021, Local Government Code, is
   7-26  amended to read as follows:
   7-27        Sec. 252.021.  Competitive Bidding and Competitive Proposal
    8-1  Requirements.  (a)  Before a municipality <with 50,000 or more
    8-2  inhabitants> may enter into a contract that requires an expenditure
    8-3  of more than $15,000 <$10,000> from one or more municipal funds,
    8-4  the municipality must comply with the procedure prescribed by this
    8-5  chapter for competitive sealed bidding or competitive sealed
    8-6  proposals.
    8-7        (b)  <Before a municipality with fewer than 50,000
    8-8  inhabitants may enter into a contract that requires an expenditure
    8-9  of more than $5,000, the municipality must comply with the
   8-10  procedure prescribed by this chapter for competitive sealed bidding
   8-11  or competitive sealed proposals.>
   8-12        <(c)>  A municipality may use the competitive sealed proposal
   8-13  procedure only for high technology procurements.
   8-14        SECTION 12.  Section 262.003(a), Local Government Code, is
   8-15  amended to read as follows:
   8-16        (a)  Any law that requires a county to follow a competitive
   8-17  bidding procedure in making a purchase requiring the expenditure of
   8-18  $15,000 <$5,000> or less does not apply to the purchase of an item
   8-19  available for purchase from only one supplier.
   8-20        SECTION 13.  Section 262.023(a), Local Government Code, is
   8-21  amended to read as follows:
   8-22        (a)  Before <Except as provided by Subsection (d), before> a
   8-23  county may purchase one or more items under a contract that will
   8-24  require an expenditure exceeding $15,000 <$10,000>, the
   8-25  commissioners court of the county must comply with the competitive
   8-26  bidding or competitive proposal procedures prescribed by this
   8-27  subchapter.  All bids or proposals must be sealed.
    9-1        SECTION 14.  Section 271.024, Local Government Code, is
    9-2  amended to read as follows:
    9-3        Sec. 271.024.  Competitive Bidding Procedure Applicable to
    9-4  Contract.  If a governmental entity is required by statute to award
    9-5  a contract for the construction, repair, or renovation of a
    9-6  structure, road, highway, or other improvement or addition to real
    9-7  property on the basis of competitive bids, and if the contract
    9-8  requires the expenditure of more than $15,000 <$10,000> from the
    9-9  funds of the entity, the bidding on the contract must be
   9-10  accomplished in the manner provided by this subchapter.
   9-11        SECTION 15.  Section 271.054, Local Government Code, is
   9-12  amended to read as follows:
   9-13        Sec. 271.054.  Competitive Bidding Requirement.  Before the
   9-14  governing body of an issuer may enter into a contract requiring an
   9-15  expenditure by or imposing an obligation or liability on the
   9-16  issuer, or on a subdivision of the issuer if the issuer is a
   9-17  county, of more than $15,000 <$5,000>, the governing body must
   9-18  submit the proposed contract to competitive bidding.
   9-19        SECTION 16.  Section 325.039, Local Government Code, is
   9-20  amended to read as follows:
   9-21        Sec. 325.039.  Bids on Contracts for Construction.
   9-22  Construction contracts requiring an expenditure of more than
   9-23  $15,000 <$5,000> may be made only after competitive bidding as
   9-24  provided by Subchapter B, Chapter 271, Local Government Code.
   9-25        SECTION 17.  Section 325.046(a), Local Government Code, is
   9-26  amended to read as follows:
   9-27        (a)  If the estimated amount of a proposed contract for the
   10-1  purchase of vehicles, equipment, or supplies is more than $15,000
   10-2  <$5,000>, the board shall ask for competitive bids in accordance
   10-3  with the bidding procedures provided by the County Purchasing Act
   10-4  (Subchapter C, Chapter 262, Local Government Code)  except that the
   10-5  bids shall be presented to the board and the board shall award the
   10-6  contract.
   10-7        SECTION 18.  Section 351.137(b), Local Government Code, is
   10-8  amended to read as follows:
   10-9        (b)  Construction contracts requiring an expenditure of more
  10-10  than $15,000 <$5,000> may be made only after competitive bidding as
  10-11  provided by Subchapter B, Chapter 271.
  10-12        SECTION 19.  Section 351.144(a), Local Government Code, is
  10-13  amended to read as follows:
  10-14        (a)  If the estimated amount of a proposed contract for the
  10-15  purchase of vehicles, equipment, or supplies is more than $15,000
  10-16  <$5,000>, the board shall ask for competitive bids in accordance
  10-17  with the bidding procedures provided by the County Purchasing Act
  10-18  (Subchapter C, Chapter 262) except that the bids shall be presented
  10-19  to the board and the board shall award the contract.
  10-20        SECTION 20.  Section 375.221, Local Government Code, is
  10-21  amended to read as follows:
  10-22        Sec. 375.221.  Competitive Bidding on Certain Public Works
  10-23  Contracts.  (a)  A contract, other than a contract for services,
  10-24  for more than $15,000 <$10,000> for the construction of
  10-25  improvements or the purchase of material, machinery, equipment,
  10-26  supplies, and other property, except real property, may be entered
  10-27  into only after competitive bids.  Notice of the contract for the
   11-1  purpose of soliciting bids shall be published once a week for two
   11-2  consecutive weeks in a newspaper with general circulation in the
   11-3  area in which the district is located.  The first publication of
   11-4  notice must be not later than the 15th day before the date set for
   11-5  receiving bids.  The board may adopt rules governing receipt of
   11-6  bids and the award of the contract and providing for the waiver of
   11-7  the competitive bid requirement if:
   11-8              (1)  there is an emergency;
   11-9              (2)  the needed materials are available from only one
  11-10  source;
  11-11              (3)  in a procurement requiring design by the supplier
  11-12  competitive bidding would not be appropriate and competitive
  11-13  negotiation, with proposals solicited from an adequate number of
  11-14  qualified sources, would permit reasonable competition consistent
  11-15  with the nature and requirements of the procurement; or
  11-16              (4)  after solicitation, it is ascertained that there
  11-17  will be only one bidder.
  11-18        (b)  If <the estimated amount of> a proposed contract for
  11-19  works, plant improvements, facilities other than land, or the
  11-20  purchase of equipment, appliances, materials, or supplies is for an
  11-21  estimated amount of more than $15,000 <$5,000> but less than
  11-22  $25,000 or for a duration of more than two years, competitive bids
  11-23  shall be asked from at least three persons.
  11-24        SECTION 21.  Section 6.11(a), Tax Code, is amended to read as
  11-25  follows:
  11-26        (a)  The board of directors of an appraisal district may not
  11-27  make a contract requiring an expenditure of more than $15,000
   12-1  <$5,000> unless the proposed contract is submitted to competitive
   12-2  bidding.
   12-3        SECTION 22.  Section 60.404(a), Water Code, is amended to
   12-4  read as follows:
   12-5        (a)  If the materials, supplies, machinery, equipment, or
   12-6  other items to be purchased or contracted for exceed $15,000
   12-7  <$10,000>, notice shall be published as provided by this section.
   12-8        SECTION 23.  Section 60.406(a), Water Code, is amended to
   12-9  read as follows:
  12-10        (a)  Before a district or port authority may purchase one or
  12-11  more items under a contract that will require an expenditure of
  12-12  more than $15,000 <$10,000>, the port commission of that district
  12-13  or port authority must comply with the competitive bidding
  12-14  requirements or proposal procedures provided by Sections 60.404 and
  12-15  60.405 of this code.  All bids must be sealed.
  12-16        SECTION 24.  Section 63.168(a), Water Code, is amended to
  12-17  read as follows:
  12-18        (a)  Before the commission enters into a contract requiring
  12-19  the expenditure of more than $15,000 <$5,000 or more>, it shall
  12-20  submit the proposed contract for competitive bids.
  12-21        SECTION 25.  Section 66.213(a), Water Code, is amended to
  12-22  read as follows:
  12-23        (a)  If the estimated amount of a proposed contract for the
  12-24  purchase of vehicles, equipment, or supplies is more than $15,000
  12-25  <$10,000>, the board shall ask for competitive bids as provided by
  12-26  Subchapter B, Chapter 271, Local Government Code <Section 66.206 of
  12-27  this code>.
   13-1        SECTION 26.  Section 5(b), Chapter 852, Acts of the 69th
   13-2  Legislature, Regular Session, 1985 (Article 969a-2, Vernon's Texas
   13-3  Civil Statutes), is amended to read as follows:
   13-4        (b)  If the management and control of the island property is
   13-5  placed in the hands of a board of trustees, the board of trustees
   13-6  constitutes a body politic and corporate and may:
   13-7              (1)  manage, control, maintain, and operate the island
   13-8  property;
   13-9              (2)  employ a general manager and other officers,
  13-10  employees, and representatives that the board considers appropriate
  13-11  and fix their duties and compensation;
  13-12              (3)  prepare and adopt budgets, fix charges for
  13-13  services and facilities, authorize expenditures, and manage and
  13-14  control the income and revenue of the island property;
  13-15              (4)  determine policies and establish rules and
  13-16  procedures for the operation of the island property;
  13-17              (5)  acquire property and interests in property to
  13-18  carry out the purposes of this Act and construct improvements and
  13-19  facilities on the property;
  13-20              (6)  contract in its own name, but not in the name of
  13-21  the municipality; contracts involving the expenditure of more than
  13-22  $15,000 <$5,000> may be awarded only pursuant to competitive bids,
  13-23  except that competitive bids are not required for contracts for
  13-24  personal or professional services, real estate transactions,
  13-25  operation of facilities or improvements under specific agreements
  13-26  for a limited term, or insurance, or contracts for which the board
  13-27  of trustees determines that the time delay required by the
   14-1  competitive bidding process would prevent or substantially impair
   14-2  the operation of the island property;
   14-3              (7)  issue in the name of the board, with the consent
   14-4  of the governing body of the municipality, revenue bonds or other
   14-5  obligations payable from revenues in the manner provided by this
   14-6  Act and refund previously issued obligations;
   14-7              (8)  issue in the name of the board, with the consent
   14-8  of the governing body of the municipality, current expense notes
   14-9  drawn against all or part of the current revenues of the board to
  14-10  pay expenses during the fiscal year in which the notes are issued,
  14-11  except that the aggregate amount of the notes outstanding may not
  14-12  exceed 50 percent of an amount equal to the revenues budgeted for
  14-13  that fiscal year less principal and interest on obligations other
  14-14  than current expense notes to be paid from the revenues during that
  14-15  fiscal year;
  14-16              (9)  evidence contractual obligations to pay money by
  14-17  issuing in the name of the board, with the consent of the governing
  14-18  body of the municipality, certificates of participation in the
  14-19  contractual obligations;
  14-20              (10)  sue and be sued in its own name;
  14-21              (11)  adopt, use, and alter a corporate seal; and
  14-22              (12)  establish a security force and commission as
  14-23  peace officers one or more employees of the force who are certified
  14-24  as qualified to be peace officers by the Commission on Law
  14-25  Enforcement Officer Standards and Education; peace officers
  14-26  commissioned under this Act have the rights, privileges,
  14-27  obligations, and duties of other peace officers in this state while
   15-1  they are on the property under the control of the board of trustees
   15-2  or in the actual course and scope of their employment.
   15-3        SECTION 27.  Sections 14(a) and (b), Chapter 141, Acts of the
   15-4  63rd Legislature, Regular Session, 1973 (Article 1118x, Vernon's
   15-5  Texas Civil Statutes), are amended to read as follows:
   15-6        (a)  Contracts for more than $15,000 <$10,000> for the
   15-7  construction of improvements or the purchase of material,
   15-8  machinery, equipment supplies and all other property except real
   15-9  property, shall be let on competitive bids after notice published
  15-10  once a week for two consecutive weeks, the first publication to be
  15-11  at least 15 days before the date fixed for receiving bids, in a
  15-12  newspaper of general circulation in the area in which the authority
  15-13  is located.  The board may adopt rules governing the taking of bids
  15-14  and the awarding of such contracts and providing for the waiver of
  15-15  this requirement in the event of emergency, in the event the needed
  15-16  materials are available from only one source, in the event that,
  15-17  except for construction of improvements on real property, in a
  15-18  procurement requiring design by the supplier competitive bidding
  15-19  would not be appropriate and competitive negotiation, with
  15-20  proposals solicited from an adequate number of qualified sources,
  15-21  would permit reasonable competition consistent with the nature and
  15-22  requirements of the procurement, or in the event that, except for
  15-23  construction of improvements on real property, after solicitation
  15-24  it is ascertained that there will be only one bidder.  This
  15-25  subsection does not apply to personal and professional services or
  15-26  to the acquisition of existing transit systems.
  15-27        (b)  The board of an authority may not let a contract (1)
   16-1  that is not subject to competitive bidding requirements, (2) that
   16-2  is for more than $15,000 <$10,000> and (3) that is for the purchase
   16-3  of real property or for consulting or professional services, unless
   16-4  an announcement that a contract is being considered is posted in a
   16-5  prominent place in the principal office of the authority for at
   16-6  least two weeks before the contract is awarded.  This subsection
   16-7  does not apply to the acquisition of existing transit systems.
   16-8        SECTION 28.  Section 20(a), Chapter 683, Acts of the 66th
   16-9  Legislature, Regular Session, 1979 (Article 1118y, Vernon's Texas
  16-10  Civil Statutes), is amended to read as follows:
  16-11        (a)  Except as otherwise provided by this section, all
  16-12  contracts for construction, services, and property, other than real
  16-13  property, shall be awarded after full and open competition based on
  16-14  solicitations for competitive sealed bids or competitive sealed
  16-15  proposals.  All solicitations for competitive sealed bids or
  16-16  proposals shall describe all evaluation factors for source
  16-17  selection and the relative importance of each factor.  The
  16-18  executive committee may authorize the negotiation of contracts
  16-19  without competitive sealed bids or proposals if:
  16-20              (1)  the aggregate amount involved in the contract is
  16-21  <less than $10,000 for property or services or> $15,000 or less
  16-22  <for construction>;
  16-23              (2)  the contract is for construction for which not
  16-24  more than one bid or proposal is received;
  16-25              (3)  the contract is for services or property for which
  16-26  there is only one source or for which it is otherwise impracticable
  16-27  to obtain competition;
   17-1              (4)  the contract is to respond to an emergency
   17-2  condition for which the public exigency will not permit the delay
   17-3  incident to competition;
   17-4              (5)  the contract is for personal or professional
   17-5  services or services for which competitive bidding is precluded by
   17-6  law; or
   17-7              (6)  the contract, whether in the form of bonds, notes,
   17-8  other obligations, loan agreements, or otherwise, is for the
   17-9  purpose of borrowing money or is a part of a transaction relating
  17-10  to the borrowing of money, including credit support agreements,
  17-11  such as lines or letters of credit or other debt guaranties, bond,
  17-12  note, debt sale or purchase, trustee, paying agent, remarketing
  17-13  agent, indexing agent, or similar agreements, agreements with
  17-14  securities dealers, brokers, or underwriters, and any other
  17-15  contracts or agreements considered by the executive committee to be
  17-16  appropriate or necessary in support of the authority's financing
  17-17  activities.
  17-18        SECTION 29.  Section 3(b), Chapter 341, Acts of the 57th
  17-19  Legislature, Regular Session, 1961 (Article 1187f, Vernon's Texas
  17-20  Civil Statutes), is amended to read as follows:
  17-21        (b)  If the management and control of the improvements and
  17-22  facilities is placed in the hands of a board of trustees by
  17-23  ordinance or Charter under Subsection (a) of this section, the
  17-24  board of trustees constitutes a body politic and corporate for the
  17-25  purpose of issuing bonds or other obligations and shall have and
  17-26  exercise, in addition to the powers enumerated in the ordinance or
  17-27  Charter, the following powers and authority:
   18-1              (1)  to exercise full management, control, maintenance,
   18-2  and operation of the improvements and facilities constituting the
   18-3  ports and harbors of the city;
   18-4              (2)  to employ a general manager and other officers,
   18-5  employees, and representatives as the board may consider
   18-6  appropriate and to fix their duties and compensation;
   18-7              (3)  notwithstanding the provisions or restrictions of
   18-8  any general or special law or Charter to the contrary, to prepare
   18-9  and adopt budgets for the operation of the ports and harbors of the
  18-10  city, fix charges for services and facilities, authorize
  18-11  expenditures, and manage and control the income and revenue of the
  18-12  city's ports and harbors;
  18-13              (4)  to determine policies and establish rules and
  18-14  procedures for the operation of the ports and harbors of the city;
  18-15              (5)  to acquire property and interest in property for
  18-16  the purposes set forth in Section 1 of this Act in the manner
  18-17  provided by this Act and to construct improvements and facilities
  18-18  on the property;
  18-19              (6)  to contract in its own name, but not in the name
  18-20  of the city.  Except as otherwise provided by this Act, all such
  18-21  contracts involving the expenditure of more than $15,000 <$10,000>
  18-22  shall be awarded only pursuant to competitive bids.  However,
  18-23  competitive bids are not required for contracts for personal or
  18-24  professional services, real estate transactions, operation of port
  18-25  facilities or improvements under specific agreements for a limited
  18-26  term, or insurance, or if the board of trustees determines that the
  18-27  time delay posed by the competitive bidding process would prevent
   19-1  or substantially impair the conduct of port operation;
   19-2              (7)  to issue in the name of the board, with the
   19-3  consent of the governing body of the city, revenue bonds or other
   19-4  obligations payable from revenues in the manner set out in this Act
   19-5  for the purpose of providing funds for any of the improvements and
   19-6  facilities provided by Section 1 of this Act or to refund any
   19-7  previously issued bonds or other obligations;
   19-8              (8)  to issue in the name of the board, with the
   19-9  consent of the governing body of the city, current expense warrants
  19-10  drawn against all or any part of the current revenues of the board
  19-11  to pay current expenses during the current fiscal year of the board
  19-12  or any part of the current fiscal year.  However, in no event shall
  19-13  the aggregate amount of the warrants that are outstanding at any
  19-14  time during any fiscal year exceed 50 percent of the revenues
  19-15  budgeted for that fiscal year after subtracting from the budgeted
  19-16  revenues all principal and interest on bonds or obligations other
  19-17  than current expense warrants to be paid from the revenues during
  19-18  the fiscal year;
  19-19              (9)  to evidence contractual obligations to pay money
  19-20  by issuing in the name of the board, with the consent of the
  19-21  governing body of the city, certificates of participation in the
  19-22  contractual obligations;
  19-23              (10)  to sue and be sued in its own name;
  19-24              (11)  to adopt, use, and alter a corporate seal; and
  19-25              (12)  to establish a port security force, to employ one
  19-26  or more public security officers licensed by the Commission on Law
  19-27  Enforcement Officer Standards and Education, and to commission one
   20-1  or more employees of the force as peace officers if they are
   20-2  certified as qualified to be peace officers by the Commission on
   20-3  Law Enforcement Officer Standards and Education, which peace
   20-4  officers commissioned under this Act are vested with all the
   20-5  rights, privileges, obligations, and duties of any other peace
   20-6  officer in this state while they are on the property under the
   20-7  control of the board of trustees, or in the actual course and scope
   20-8  of their employment.
   20-9        SECTION 30.  Section 5.06(a), Crime Control and Prevention
  20-10  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
  20-11  amended to read as follows:
  20-12        (a)  A board may prescribe the method of making purchases and
  20-13  expenditures by and for the district; however, the board may enter
  20-14  purchasing contracts that involve spending more than $15,000
  20-15  <$5,000> only after competitive bidding as provided by Subchapter
  20-16  C, Chapter 262, Local Government Code, to the extent those
  20-17  provisions can be made applicable to the board.
  20-18        SECTION 31.  Section 4.07, Chapter 670, Acts of the 72nd
  20-19  Legislature, Regular Session, 1991 (Article 4477-7j, Vernon's Texas
  20-20  Civil Statutes), is amended to read as follows:
  20-21        Sec. 4.07.  Bids on contracts.  Contracts entered into under
  20-22  Section 4.06 of this Act requiring an expenditure of more than
  20-23  $15,000 <$10,000> may be made only after competitive bidding as
  20-24  provided by Subchapter B, Chapter 271, Local Government Code.
  20-25        SECTION 32.  Section 4.13, Chapter 670, Acts of the 72nd
  20-26  Legislature, Regular Session, 1991 (Article 4477-7j, Vernon's Texas
  20-27  Civil Statutes), is amended to read as follows:
   21-1        Sec. 4.13.  Contracts for purchase of vehicles, equipment,
   21-2  and supplies over $15,000 <$10,000>.  (a)  If the estimated amount
   21-3  of a proposed contract for the purchase of vehicles, equipment, or
   21-4  supplies is more than $15,000 <$10,000>, the board shall ask for
   21-5  competitive bids as provided by Section 4.07 of this Act.
   21-6        (b)  This section does not apply to purchase of property from
   21-7  public agencies or to contracts for personal or professional
   21-8  services.
   21-9        SECTION 33.  Section 4.07, Chapter 734, Acts of the 72nd
  21-10  Legislature, Regular Session, 1991 (Article 4477-7k, Vernon's Texas
  21-11  Civil Statutes), is amended to read as follows:
  21-12        Sec. 4.07.  Bids on contracts.  Contracts entered into under
  21-13  Section 4.06 of this Act requiring an expenditure of more than
  21-14  $15,000 <$10,000> may be made only after competitive bidding as
  21-15  provided by Subchapter B, Chapter 271, Local Government Code.
  21-16        SECTION 34.  Section 4.13, Chapter 734, Acts of the 72nd
  21-17  Legislature, Regular Session, 1991 (Article 4477-7k, Vernon's Texas
  21-18  Civil Statutes), is amended to read as follows:
  21-19        Sec. 4.13.  Contracts for purchase of vehicles, equipment,
  21-20  and supplies over $15,000 <$10,000>.  (a)  If the estimated amount
  21-21  of a proposed contract for the purchase of vehicles, equipment, or
  21-22  supplies is more than $15,000 <$10,000>, the board shall ask for
  21-23  competitive bids as provided by Section 4.07 of this Act.
  21-24        (b)  This section does not apply to purchase of property from
  21-25  public agencies or to contracts for personal or professional
  21-26  services.
  21-27        SECTION 35.  Section 7, Chapter 623, Acts of the 67th
   22-1  Legislature, Regular Session, 1981 (Article 6550c, Vernon's Texas
   22-2  Civil Statutes), is amended to read as follows:
   22-3        Sec. 7.  Competitive Bids.  A contract in the amount of more
   22-4  than $15,000 <$10,000> for the construction of improvements or the
   22-5  purchase of material, machinery, equipment, supplies, or any other
   22-6  property except real property may only be let on competitive bids
   22-7  after notice published, at least 15 days before the date set for
   22-8  receiving bids, in a newspaper of general circulation in the
   22-9  district.  A board may adopt rules governing the taking of bids and
  22-10  the awarding of contracts.  This section does not apply to personal
  22-11  or professional services or the acquisition of existing rail
  22-12  transportation systems.
  22-13        SECTION 36.  Section 35, Chapter 13, Acts of the 68th
  22-14  Legislature, 2nd Called Session, 1984 (Article 6674r-1, Vernon's
  22-15  Texas Civil Statutes), is amended to read as follows:
  22-16        Sec. 35.  Construction Bids.  Construction or improvement
  22-17  contracts requiring an expenditure of more than $15,000 <$5,000>
  22-18  may be made only after competitive bidding as provided by
  22-19  Subchapter B, Chapter 271, Local Government Code <Chapter 770, Acts
  22-20  of the 66th Legislature, Regular Session, 1979 (Article 2368a.3,
  22-21  Vernon's Texas Civil Statutes)>.
  22-22        SECTION 37.  Section 3.211, County Road and Bridge Act
  22-23  (Article 6702-1, Vernon's Texas Civil Statutes), is amended to read
  22-24  as follows:
  22-25        Sec. 3.211.  Competitive Bidding.  All equipment, materials,
  22-26  and supplies for the construction and maintenance of county roads
  22-27  and for the county road department shall be purchased by the
   23-1  commissioners court on competitive bids in conformity with
   23-2  estimates and specifications prepared by the county road engineer.
   23-3  However, on recommendation of the county road engineer and when in
   23-4  the judgment of the commissioners court it is considered in the
   23-5  best interest of the county, purchases in an amount not to exceed
   23-6  $15,000 <$10,000> may be made through negotiation by the
   23-7  commissioners court or the commissioners court's authorized
   23-8  representative on requisition to be approved by the commissioners
   23-9  court or the county auditor without advertising for competitive
  23-10  bids.  Before any claim covering the purchase of the equipment,
  23-11  materials, and supplies and for any services contracted for by the
  23-12  commissioners court may be ordered paid by the commissioners court,
  23-13  the county road engineer must certify in writing the correctness of
  23-14  the claim and must certify that the respective equipment,
  23-15  materials, and supplies covered by the claim conform to
  23-16  specifications approved by him, that the equipment, materials, and
  23-17  supplies were delivered in good condition, and that any road
  23-18  department services contracted for by the commissioners court have
  23-19  been satisfactorily performed.  This section does not permit the
  23-20  division or reduction of purchases for the purpose of avoiding the
  23-21  requirement of taking formal bids on purchases that would otherwise
  23-22  exceed $15,000 <$10,000>.
  23-23        SECTION 38.  Section 262.023(d), Local Government Code, is
  23-24  repealed.
  23-25        SECTION 39.  This Act takes effect September 1, 1993.
  23-26        SECTION 40.  The importance of this legislation and the
  23-27  crowded condition of the calendars in both houses create an
   24-1  emergency and an imperative public necessity that the
   24-2  constitutional rule requiring bills to be read on three several
   24-3  days in each house be suspended, and this rule is hereby suspended.