BILL ANALYSIS



H.B. 2989
By: Sadler
4-5-95
Committee Report (Unamended)


BACKGROUND

Often counties will post a notice calling for bids for county
projects and receive no response, especially in rural counties. 
Under current statute, a county must abide by the competitive
bidding and competitive proposal procedures whether or not the
county receives bids for the project or service in question.  In
many cases, counties do without vital services and items for a
unnecessarily prolonged amount of time because of the rigid
competitive bidding and competitive proposal procedures.

PURPOSE

As proposed, H.B. 2989 permits counties to purchase items without
following competitive bidding or competitive proposal procedures.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly
grant any additional rulemaking authority to a state officer,
department, agency or institution.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 262.024 (a), Local Government Code, as
           follows:

           (a) Adds items purchased under Section 262.0301 to the
           list of items exempt from the requirements established
           by Section 262.023 if the commissioners court by order
           grants an exemption.

SECTION 2. Amends Subchapter C, Chapter 262, Local Government Code,
           by adding Section 262.0301 as follows:

               Section 262.0301. PURCHASE WITHOUT FOLLOWING
               STATUTORY COMPETITIVE PROCEDURES. (a) Permits a
               county to contract to purchase an item without
               following the competitive bidding or competitive
               proposal procedures prescribed by this subchapter
               if the county attempted at least three times to
               make a purchase and failed each time because all
               bids or proposals were rejected or no bids or
               proposals were received.

               (b) Requires the commissioners court to establish
               the procedures by which a purchase can be made
               under this section.

SECTION 3. Emergency Clause.


SUMMARY OF COMMITTEE ACTION

HB 2989 was considered by the County Affairs Committee in a public
hearing on 4/5/95.
Representative Sadler opened and closed. HB 2989 was reported
favorably with the recommendation that it do pass and be printed
and be placed on the Local and Consent Calendar by a record vote of
7 ayes, 0 nays, 0 pnv, 2 absent.