1-1  By:  Uher (Senate Sponsor - Armbrister)               H.B. No. 2032
    1-2        (In the Senate - Received from the House May 15, 1995;
    1-3  May 16, 1995, read first time and referred to Committee on State
    1-4  Affairs; May 22, 1995, reported favorably by the following vote:
    1-5  Yeas 11, Nays 0; May 22, 1995, sent to printer.)
    1-6                         A BILL TO BE ENTITLED
    1-7                                AN ACT
    1-8  relating to the administration of medical and dental units of
    1-9  public institutions of higher education.
   1-10        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-11        SECTION 1.  Subchapter Z, Chapter 51, Education Code, is
   1-12  amended by adding Sections 51.932 and 51.933 to read as follows:
   1-13        Sec. 51.932.  RETIREMENT INCENTIVES.  (a)  A medical and
   1-14  dental unit may offer a retirement incentive to an employee of the
   1-15  unit who is eligible to retire under Subtitle C, Title 8,
   1-16  Government Code.
   1-17        (b)  A medical and dental unit offering a retirement
   1-18  incentive plan shall file the plan with the Legislative Budget
   1-19  Board not later than the 61st day before the date the plan is
   1-20  implemented and shall provide the board with any information
   1-21  concerning the plan required by the board.
   1-22        (c)  A medical and dental unit may not rehire an employee
   1-23  receiving a retirement incentive under this section without the
   1-24  specific approval of the president of the unit.  The president may
   1-25  not delegate this responsibility to any other employee of the unit.
   1-26        (d)  A retirement incentive offered to an employee by a
   1-27  medical and dental unit under this section must be paid from
   1-28  institutional funds or hospital or clinic fees.
   1-29        (e)  A retirement incentive paid by a medical and dental unit
   1-30  to an employee is not subject to any provision of state law that
   1-31  entitles the employee to benefits based on salary or compensation,
   1-32  including contributions under Subtitle C, Title 8, Government Code.
   1-33        (f)  In this section:
   1-34              (1)  "Institutional funds" has the meaning assigned by
   1-35  Section 51.009(b).
   1-36              (2)  "Medical and dental unit" has the meaning assigned
   1-37  by Section 61.003 and includes a school of veterinary medicine and
   1-38  a health care facility operated by a medical and dental unit,
   1-39  except that the term does not include The University of Texas M. D.
   1-40  Anderson Cancer Center.
   1-41        Sec. 51.933.  ACQUISITION OF GOODS AND SERVICES.  (a)  A
   1-42  medical and dental unit may acquire goods or services by the method
   1-43  that provides the best value to the unit, including:
   1-44              (1)  competitive bidding;
   1-45              (2)  competitive sealed proposals;
   1-46              (3)  a catalogue purchase;
   1-47              (4)  a group purchasing program; or
   1-48              (5)  an open market contract.
   1-49        (b)  In determining what is the best value to a medical and
   1-50  dental unit, the unit shall consider:
   1-51              (1)  the purchase price;
   1-52              (2)  the reputation of the vendor and of the vendor's
   1-53  goods or services;
   1-54              (3)  the quality of the vendor's goods or services;
   1-55              (4)  the extent to which the goods or services meet the
   1-56  unit's needs;
   1-57              (5)  the vendor's past relationship with the unit;
   1-58              (6)  the impact on the ability of the unit to comply
   1-59  with laws and rules relating to historically underutilized
   1-60  businesses;
   1-61              (7)  the total long-term cost to the unit of acquiring
   1-62  the vendor's goods or services; and
   1-63              (8)  any other relevant factor that a private business
   1-64  entity would consider in selecting a vendor.
   1-65        (c)  The state auditor may audit purchases of goods or
   1-66  services by a medical and dental unit.
   1-67        (d)  To the extent of any conflict, this section prevails
   1-68  over any other law except a law or rule relating to contracting
    2-1  with historically underutilized businesses.
    2-2        (e)  In this section, "medical and dental unit" has the
    2-3  meaning assigned by Section 61.003 and includes a school of
    2-4  veterinary medicine and a health care facility operated by a
    2-5  medical and dental unit, except that the term does not include The
    2-6  University of Texas M. D. Anderson Cancer Center.
    2-7        (f)  This section expires September 1, 1999.
    2-8        SECTION 2.  Not later than February 1, 1999, the Legislative
    2-9  Audit Committee may report to the 76th Legislature on the
   2-10  purchasing operations of a medical and dental unit as defined by
   2-11  Section 61.003.  The committee may hire an independent firm to
   2-12  prepare the report.  The medical and dental unit shall cooperate
   2-13  with the firm and shall bear the costs of the study as determined
   2-14  by the committee.
   2-15        SECTION 3.  The importance of this legislation and the
   2-16  crowded condition of the calendars in both houses create an
   2-17  emergency and an imperative public necessity that the
   2-18  constitutional rule requiring bills to be read on three several
   2-19  days in each house be suspended, and this rule is hereby suspended,
   2-20  and that this Act take effect and be in force from and after its
   2-21  passage, and it is so enacted.
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