H.B. No. 2032
1-1 AN ACT
1-2 relating to purchases by and programs for employees of public
1-3 institutions of higher education.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Subchapter Z, Chapter 51, Education Code, is
1-6 amended by adding Sections 51.932 and 51.933 to read as follows:
1-7 Sec. 51.932. RETIREMENT INCENTIVES. (a) A medical and
1-8 dental unit may offer a retirement incentive to an employee of the
1-9 unit who is eligible to retire under Subtitle C, Title 8,
1-10 Government Code.
1-11 (b) A medical and dental unit offering a retirement
1-12 incentive plan shall file the plan with the Legislative Budget
1-13 Board not later than the 61st day before the date the plan is
1-14 implemented and shall provide the board with any information
1-15 concerning the plan required by the board.
1-16 (c) A medical and dental unit may not rehire an employee
1-17 receiving a retirement incentive under this section without the
1-18 specific approval of the president of the unit. The president may
1-19 not delegate this responsibility to any other employee of the unit.
1-20 (d) A retirement incentive offered to an employee by a
1-21 medical and dental unit under this section must be paid from
1-22 institutional funds or hospital or clinic fees.
1-23 (e) A retirement incentive paid by a medical and dental unit
1-24 to an employee is not subject to any provision of state law that
2-1 entitles the employee to benefits based on salary or compensation,
2-2 including contributions under Subtitle C, Title 8, Government Code.
2-3 (f) In this section:
2-4 (1) "Institutional funds" has the meaning assigned by
2-5 Section 51.009(b).
2-6 (2) "Medical and dental unit" has the meaning assigned
2-7 by Section 61.003 and includes a school of veterinary medicine and
2-8 a health care facility operated by a medical and dental unit,
2-9 except that the term does not include The University of Texas M. D.
2-10 Anderson Cancer Center.
2-11 Sec. 51.933. ACQUISITION OF GOODS AND SERVICES. (a) A
2-12 medical and dental unit may acquire goods or services by the method
2-13 that provides the best value to the unit, including:
2-14 (1) competitive bidding;
2-15 (2) competitive sealed proposals;
2-16 (3) a catalogue purchase;
2-17 (4) a group purchasing program; or
2-18 (5) an open market contract.
2-19 (b) In determining what is the best value to a medical and
2-20 dental unit, the unit shall consider:
2-21 (1) the purchase price;
2-22 (2) the reputation of the vendor and of the vendor's
2-23 goods or services;
2-24 (3) the quality of the vendor's goods or services;
2-25 (4) the extent to which the goods or services meet the
2-26 unit's needs;
2-27 (5) the vendor's past relationship with the unit;
3-1 (6) the impact on the ability of the unit to comply
3-2 with laws and rules relating to historically underutilized
3-3 businesses;
3-4 (7) the total long-term cost to the unit of acquiring
3-5 the vendor's goods or services; and
3-6 (8) any other relevant factor that a private business
3-7 entity would consider in selecting a vendor.
3-8 (c) The state auditor may audit purchases of goods or
3-9 services by a medical and dental unit.
3-10 (d) To the extent of any conflict, this section prevails
3-11 over any other law except a law or rule relating to contracting
3-12 with historically underutilized businesses.
3-13 (e) In this section, "medical and dental unit" has the
3-14 meaning assigned by Section 61.003 and includes a school of
3-15 veterinary medicine and a health care facility operated by a
3-16 medical and dental unit, except that the term does not include The
3-17 University of Texas M. D. Anderson Cancer Center.
3-18 (f) This section expires September 1, 1999.
3-19 SECTION 2. Section 830.201, Government Code, is amended by
3-20 adding Subsections (d), (e), and (f) to read as follows:
3-21 (d) For a person who first became a participant in the
3-22 optional retirement program beginning after August 31, 1996, the
3-23 compensation limitation of Section 401(a)(17), Internal Revenue
3-24 Code of 1986 (26 U.S.C. Section 401), applies.
3-25 (e) For a person who first became a participant in the
3-26 optional retirement program before September 1, 1996, the
3-27 compensation limitation under Section 401(a)(17), Internal Revenue
4-1 Code (26 U.S.C. Section 401), does not apply. For these persons,
4-2 the amount of compensation allowed to be taken into account under
4-3 the plan shall be the amount allowed to be taken into account as of
4-4 July 1, 1993.
4-5 (f) Subsection (e) of this section does not apply to a
4-6 person whose compensation in excess of the compensation limitation
4-7 of Section 401(a)(17), Internal Revenue Code (26 U.S.C. Section
4-8 401), or whose state retirement contribution under this subchapter,
4-9 is paid from general revenue funds or any student tuition or fee
4-10 assessed under Chapters 54 or 55, Education Code.
4-11 SECTION 3. Not later than February 1, 1999, the Legislative
4-12 Audit Committee may report to the 76th Legislature on the
4-13 purchasing operations of a medical and dental unit as defined by
4-14 Section 61.003. The committee may hire an independent firm to
4-15 prepare the report. The medical and dental unit shall cooperate
4-16 with the firm and shall bear the costs of the study as determined
4-17 by the committee.
4-18 SECTION 4. The importance of this legislation and the
4-19 crowded condition of the calendars in both houses create an
4-20 emergency and an imperative public necessity that the
4-21 constitutional rule requiring bills to be read on three several
4-22 days in each house be suspended, and this rule is hereby suspended,
4-23 and that this Act take effect and be in force from and after its
4-24 passage, and it is so enacted.