74R11360 JRD-D
By Romo H.B. No. 2769
Substitute the following for H.B. No. 2769:
By Jones of Lubbock C.S.H.B. No. 2769
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the purchase of goods and services by the state and to
1-3 purchasing services provided by the state to local governments.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 1.02(5), State Purchasing and General
1-6 Services Act (Article 601b, Vernon's Texas Civil Statutes), is
1-7 amended to read as follows:
1-8 (5) "Best value" for purposes of Section 3.081 of this
1-9 Act means lowest overall cost of information systems based on the
1-10 following factors, including, but not limited to:
1-11 (A) purchase price;
1-12 (B) compatibility to facilitate exchange of
1-13 existing data;
1-14 (C) capacity for expansion and upgrading to more
1-15 advanced levels of technology;
1-16 (D) quantitative reliability factors;
1-17 (E) the level of training required to bring
1-18 end-users to a stated level of proficiency;
1-19 (F) the technical support requirements for
1-20 maintenance of data across a network platform and management of the
1-21 network's hardware and software; and
1-22 (G) compliance with applicable statewide
1-23 standards adopted by the Department of Information Resources or a
1-24 subsequent entity as validated by criteria established by the
2-1 department or a subsequent entity in administrative rule.
2-2 SECTION 2. Article 3, State Purchasing and General Services
2-3 Act (Article 601b, Vernon's Texas Civil Statutes), is amended by
2-4 adding Section 3.011 to read as follows:
2-5 Sec. 3.011. PROVIDING CERTAIN PURCHASING SERVICES ON
2-6 FEE-FOR-SERVICE BASIS. (a) The commission may provide open market
2-7 purchasing services on a fee-for-service basis for state agency
2-8 purchases that are delegated to an agency under Section 3.06 or
2-9 3.08 of this Act. The commission shall set the fees in an amount
2-10 that recovers the commission's costs in providing the services.
2-11 (b) The commission shall publish a schedule of its fees for
2-12 services that are subject to this section. The schedule must
2-13 include the commission's fees for:
2-14 (1) reviewing bid and contract documents for clarity,
2-15 completeness, and compliance with laws and rules;
2-16 (2) developing and transmitting invitations to bid;
2-17 (3) receiving and tabulating bids;
2-18 (4) determining which bidder offers the best value to
2-19 the state and awarding the contract to that bidder; and
2-20 (5) creating and transmitting purchase orders.
2-21 SECTION 3. Section 3.022, State Purchasing and General
2-22 Services Act (Article 601b, Vernon's Texas Civil Statutes), is
2-23 amended to read as follows:
2-24 Sec. 3.022. COMPETITIVE SEALED PROPOSALS. (a) The
2-25 commission may acquire supplies, materials, services, or equipment
2-26 <telecommunications devices, systems, or services or any automated
2-27 information systems, the computers on which they are automated, or
3-1 a service related to the automation of information systems or the
3-2 computers on which they are automated, including computer
3-3 software,> by following a procedure using competitive sealed
3-4 proposals <if the commission determines by rule that competitive
3-5 sealed bidding or informal competitive bidding is not practical or
3-6 is disadvantageous to the state. Items to be purchased from higher
3-7 education research funds may be acquired by following a procedure
3-8 using competitive sealed proposals>. The commission, or a state
3-9 agency or <an> institution of higher education if the agency or
3-10 institution is making the acquisition <if research purchasing
3-11 authority has been delegated to that institution> under Section
3-12 3.06 or 3.08 of this article, must first determine that competitive
3-13 sealed bidding or informal competitive bidding is not practical or
3-14 is disadvantageous to the state. If the competitive sealed
3-15 proposal procedure is to be handled by the state agency or
3-16 institution of higher education, the agency or institution shall
3-17 follow the procedures outlined by this section for the commission.
3-18 (b) The commission shall consult with appropriate personnel
3-19 of a requisitioning agency to develop specifications for a request
3-20 for competitive sealed proposals under this section.
3-21 (c) The commission shall solicit proposals by a request for
3-22 proposals. The commission shall give public notice of a request
3-23 for proposals in the manner provided for requests for bids under
3-24 Section 3.12 of this article.
3-25 (d) <(c)> The commission shall open each proposal in a
3-26 manner that does not disclose the contents of the proposal during
3-27 the process of negotiating with competing offerors. The commission
4-1 shall file each proposal in a register of proposals, which shall be
4-2 open for public inspection after a contract is awarded unless the
4-3 register contains information that is excepted from disclosure <as
4-4 an open record> under Subchapter C, Chapter 552, Government Code
4-5 <Section 3, Chapter 424, Acts of the 63rd Legislature, Regular
4-6 Session, 1973 (Article 6252-17a, Vernon's Texas Civil Statutes)>.
4-7 (e) <(d)> As provided in a request for proposals and under
4-8 the rules adopted by the commission, the commission may discuss
4-9 acceptable or potentially acceptable proposals with offerors in
4-10 order to assess an offeror's ability to meet the solicitation
4-11 requirements. After the submission of a proposal but before making
4-12 an award, the commission may permit the offeror to revise the
4-13 proposal in order to obtain the best final offer. The commission
4-14 may not disclose any information derived from proposals submitted
4-15 from competing offerors in conducting discussions under this
4-16 subsection. The commission shall provide each offeror with an
4-17 equal opportunity for discussion and revision of proposals.
4-18 (f) <(e)> The commission shall invite a requisitioning
4-19 agency to participate in discussions conducted under Subsection (e)
4-20 <(d)> of this section.
4-21 (g) <(f)> The commission shall make a written award of a
4-22 purchase or lease to the offeror whose proposal offers <is> the
4-23 best value <most advantageous> to the state, considering price,
4-24 past vendor performance, vendor reputation, and the evaluation
4-25 factors in the request for proposals, except that if the commission
4-26 finds that none of the offers is acceptable, it shall refuse all
4-27 offers. In determining which proposal offers the best value <is
5-1 most advantageous> to the state, the commission shall, subject to
5-2 Section 3.104 of this article, consider the factors listed in this
5-3 subsection and in Section 3.103 of this article or, when
5-4 applicable, the factors listed in this subsection and in Section
5-5 1.02(5) of this Act. <such as installation costs, the overall life
5-6 of the system or equipment, the cost of acquisition, operation, and
5-7 maintenance of hardware included with, associated with, or required
5-8 for the system or equipment during the state's ownership or lease,
5-9 the cost of acquisition, operation, and maintenance of software
5-10 included with, associated with, or required for the system or
5-11 equipment during the state's ownership or lease, the estimated cost
5-12 of supplies, the estimated costs of employee training, the
5-13 estimated cost of additional long-term staff needed, and the
5-14 estimated increase in employee productivity. The contract file
5-15 must state in writing the basis on which the award is made.>
5-16 (h) <(g)> The commission shall adopt rules necessary or
5-17 convenient to perform its responsibilities under this section and
5-18 shall request assistance from other state agencies as needed.
5-19 <(h) A medical or dental unit as that term is defined in
5-20 Section 61.003, Education Code, may purchase the following types of
5-21 medical equipment by the use of competitive sealed proposals if it
5-22 follows commission rules and procedures provided by this section
5-23 regarding the use of competitive sealed proposals and submits to
5-24 the commission a written finding that competitive sealed bidding or
5-25 informal competitive bidding is not practical or is disadvantageous
5-26 to the state for the proposed acquisition:>
5-27 <(1) prototypical medical equipment not yet available
6-1 on the market;>
6-2 <(2) medical equipment so new to the market that its
6-3 benefits are not fully known; or>
6-4 <(3) major medical equipment that is so technically
6-5 complex that development of specifications for competitive bidding
6-6 is not feasible.>
6-7 SECTION 4. Article 3, State Purchasing and General Services
6-8 Act (Article 601b, Vernon's Texas Civil Statutes), is amended by
6-9 adding Section 3.045 to read as follows:
6-10 Sec. 3.045. COOPERATION WITH FEDERAL GOVERNMENT PURCHASING.
6-11 (a) In accordance with procedures prescribed by rules of the
6-12 commission, agencies of the federal government may purchase goods
6-13 and services through commission contracts that are established
6-14 under Section 3.11 of this Act.
6-15 (b) To the extent permitted by federal law, the commission
6-16 and other state agencies that are subject to this Act and local
6-17 governments that are eligible to participate in the commission's
6-18 purchasing program under Subchapter D, Chapter 271, Local
6-19 Government Code, may purchase goods and services through federal
6-20 government contracts that are established through competitive
6-21 bidding.
6-22 SECTION 5. Section 3.061(b), State Purchasing and General
6-23 Services Act (Article 601b, Vernon's Texas Civil Statutes), is
6-24 amended to read as follows:
6-25 (b) The commission shall promulgate rules allowing purchases
6-26 through group purchasing programs unless the commission determines
6-27 within a reasonable period of time after receiving notification of
7-1 a particular purchase that a better value <lower price> is
7-2 available through the commission.
7-3 SECTION 6. Article 3, State Purchasing and General Services
7-4 Act (Article 601b, Vernon's Texas Civil Statutes), is amended by
7-5 adding Sections 3.062-3.064 to read as follows:
7-6 Sec. 3.062. TRAINING AND CERTIFICATION OF STATE AGENCY
7-7 PURCHASING PERSONNEL. (a) The commission shall establish and
7-8 administer a system of training, continuing education, and
7-9 certification for state agency purchasing personnel. The
7-10 commission may adopt rules to administer this section, including
7-11 rules relating to monitoring certified purchasers' compliance with
7-12 the continuing education requirements of this section.
7-13 (b) All state agency purchasing personnel must receive the
7-14 training and continuing education to the extent required by
7-15 commission rule. A state agency employee who is required by
7-16 commission rule to receive the training or continuing education may
7-17 participate in purchasing activities in accordance with the level
7-18 of training the employee has achieved.
7-19 (c) The commission shall set and collect a fee from state
7-20 agencies that employ purchasing personnel who are trained,
7-21 educated, or certified under this section. The commission shall
7-22 set the fee in an amount that recovers the commission's costs under
7-23 this section.
7-24 (d) The commission may provide training, continuing
7-25 education, and certification under this section to purchasing
7-26 personnel employed by a political subdivision or other public
7-27 entity of the state. Political subdivision purchasing personnel
8-1 may receive, but are not required to receive, the training,
8-2 continuing education, or certification provided under this section.
8-3 The commission shall collect the fee described by Subsection (c)
8-4 for training, education, or certification under this subsection.
8-5 (e) The commission may provide training and continuing
8-6 education under this section using its own personnel and through
8-7 contracts with private or public entities.
8-8 (f) The commission shall provide at least three levels of
8-9 training under this section.
8-10 (g) The basic training level must include an introduction to
8-11 contract purchasing methods and processes and informal bidding
8-12 processes, practical instruction in the use of automated
8-13 information tools used in the purchasing process, instruction in
8-14 receipting and payment processes and requirements, an introduction
8-15 to historically underutilized business programs and issues,
8-16 instruction in documenting a purchasing file, an introduction to
8-17 relevant ethical issues that includes an introduction to relevant
8-18 provisions of Chapter 572, Government Code, and Chapters 36 and 39,
8-19 Penal Code, and instruction in any other processes and issues that
8-20 the commission considers appropriate for introductory purchasing
8-21 training.
8-22 (h) The second training level must include advanced
8-23 instruction in formal and informal bidding methods, an introduction
8-24 to negotiation methods and to when negotiation is allowed,
8-25 instruction in writing specifications, instruction in the criteria
8-26 for determining which product or service offers the best value for
8-27 the state, more advanced instruction in documenting a purchasing
9-1 file, instruction in the use of electronic bulletin boards in
9-2 public purchasing, an introduction to evaluating vendors, more
9-3 advanced instruction in historically underutilized business
9-4 programs and issues, a review and more advanced instruction in
9-5 relevant ethical issues, and instruction in any other processes and
9-6 issues that the commission considers appropriate for the second
9-7 level of purchasing training.
9-8 (i) The third training level must include instruction in
9-9 complex negotiations, instruction in purchasing through the use of
9-10 requests for proposals, and instruction in any other processes and
9-11 issues that the commission considers appropriate for advanced
9-12 purchasing training.
9-13 (j) The commission may prescribe the circumstances under
9-14 which a state agency may delegate authority to approve purchases.
9-15 (k) The commission shall provide at least two levels of
9-16 certification under this section.
9-17 (l) The commission shall require 24 hours of continuing
9-18 education each year to maintain a certification level. The
9-19 commission may allow attendance at training classes offered under
9-20 this section to count toward the continuing education requirement.
9-21 (m) The commission's prerequisites for receiving a level one
9-22 purchaser certification must include completion of the second
9-23 training level, passage of a written examination, and a minimum
9-24 number of years of purchasing experience prescribed by the
9-25 commission. Level one certified purchasers must be able to:
9-26 (1) manage formal and informal bidding procedures;
9-27 (2) prepare complex specifications that include the
10-1 criteria the agency will use to determine the best value for the
10-2 state;
10-3 (3) negotiate, when negotiation is allowed, price,
10-4 delivery terms, and service or maintenance requirements for all
10-5 types of products, including automated information systems
10-6 purchased through the catalogue purchasing procedure; and
10-7 (4) establish contracts.
10-8 (n) The commission's prerequisites for receiving a level two
10-9 purchaser certification must include completion of the third
10-10 training level, passage of a written and an oral examination, and a
10-11 minimum of three years of purchasing experience.
10-12 Sec. 3.063. PURCHASING PARTNERSHIPS BETWEEN AGENCIES. (a)
10-13 The commission shall manage a program that provides for
10-14 establishing purchasing partnerships between state agencies under
10-15 which one agency will make certain purchases for another agency.
10-16 An agency is not required to enter into a purchasing partnership
10-17 under this section.
10-18 (b) The commission shall identify agencies that are willing
10-19 to enter into purchasing partnerships with another agency and
10-20 attempt to appropriately match agencies for a purchasing
10-21 partnership based on factors such as whether an agency employs a
10-22 certified purchaser, the number and expertise of an agency's
10-23 certified purchasers, the strategic mission of an agency, the
10-24 existence or nature of an agency's automated purchasing tools, and
10-25 the types of goods and services typically purchased by an agency.
10-26 Sec. 3.064. BUYING UNDER CONTRACT ESTABLISHED BY AGENCY
10-27 OTHER THAN COMMISSION. (a) The commission shall adopt rules
11-1 specifying the circumstances under which it is advantageous for the
11-2 state to allow an agency to purchase goods or services under a
11-3 contract made by another agency other than the commission.
11-4 (b) A state agency that is a party to a contract with a
11-5 vendor who is able to supply goods or services to other agencies
11-6 under the contract shall, if commission rules allow other agencies
11-7 to make purchases under the contract:
11-8 (1) inform the commission of the terms of the contract
11-9 and the capabilities of the vendor; and
11-10 (2) post notice of the existence and terms of the
11-11 contract on the procurement marketplace.
11-12 SECTION 7. Section 3.08, State Purchasing and General
11-13 Services Act (Article 601b, Vernon's Texas Civil Statutes), is
11-14 amended to read as follows:
11-15 Sec. 3.08. PURCHASES LESS THAN A SPECIFIED MONETARY AMOUNT.
11-16 (a) State agencies are delegated the authority to purchase
11-17 supplies, materials, and equipment if the purchase does not exceed
11-18 $25,000 <$5,000, although an agency may continue to use the
11-19 commission's services for those purchases>. The commission by rule
11-20 shall prescribe procedures for these purchases.
11-21 (b) The commission<, and> by rule may delegate to state
11-22 agencies the authority to purchase supplies, materials, or
11-23 equipment if the purchase exceeds $25,000 <$5,000>. In delegating
11-24 purchasing authority under this subsection or Section 3.06(b) of
11-25 this article, the commission shall consider factors relevant to a
11-26 state agency's ability to perform purchasing functions, including:
11-27 (1) the capabilities of the agency's purchasing staff;
12-1 (2) the certification levels held by the agency's
12-2 purchasing personnel;
12-3 (3) the existence of recent satisfactory audits of the
12-4 agency's purchasing practices; and
12-5 (4) the agency's compliance with the state's
12-6 purchasing programs for historically underutilized businesses and
12-7 the agency's good faith efforts to meet the state's purchasing
12-8 goals for historically underutilized businesses.
12-9 (c) The commission shall monitor the purchasing practices of
12-10 state agencies that are making delegated purchases under Subsection
12-11 (b) of this section or Section 3.06(b) of this article to ensure
12-12 that the certification levels of the agency's purchasing personnel
12-13 and the quality of the agency's purchasing practices continue to
12-14 warrant the extent to which the commission has delegated purchasing
12-15 authority to the agency. The commission may revoke for cause all
12-16 or part of the purchasing authority that the commission delegated
12-17 to a state agency. The commission shall adopt rules to administer
12-18 this subsection.
12-19 (d) <(b)> The commission by rule may delegate to the
12-20 comptroller the commission's authority under Section 3.15 to audit
12-21 purchases and purchase data when the purchases do not exceed $500
12-22 or a greater amount prescribed by the commission.
12-23 (e) <(c)> Competitive bidding, whether formal or informal,
12-24 is not required for a purchase by a state agency if the purchase
12-25 does not exceed $2,500 <$1,000>, or a greater amount prescribed by
12-26 rule of the commission.
12-27 (f) <(d)> Supplies or materials purchased under this section
13-1 may not include:
13-2 (1) items for which contracts have been awarded under
13-3 the contract purchase procedure, unless the quantity purchased is
13-4 less than the minimum quantity specified in the contract;
13-5 (2) any item required by statute to be purchased from
13-6 a particular source; or
13-7 (3) scheduled items that have been designated for
13-8 purchase by the commission.
13-9 (g) <(e)> Large purchases may not be divided into small lot
13-10 purchases in order to meet the specified dollar limits. The
13-11 commission may not require that unrelated purchases be combined
13-12 into one purchase order in order to exceed the specified dollar
13-13 limits.
13-14 (h) <(f)> Agencies making purchases under this section for
13-15 which competitive bidding is required must attempt to obtain at
13-16 least three competitive bids from sources which normally offer for
13-17 sale the merchandise being purchased and must comply with Section
13-18 3.101 of this article.
13-19 SECTION 8. Section 3.101, State Purchasing and General
13-20 Services Act (Article 601b, Vernon's Texas Civil Statutes), is
13-21 amended by adding Subsections (k) and (l) to read as follows:
13-22 (k) The commission shall require information about an
13-23 applicant's past history as a vendor with the state in the
13-24 commission's uniform registration form, including information about
13-25 the persons who own or control the applicant and information about
13-26 any vendor history the applicant or the persons who own or control
13-27 the applicant may have from doing business with the state under
14-1 other names.
14-2 (l) The commission shall include in the commission's uniform
14-3 registration form a statement about the applicability of relevant
14-4 criminal law, including Section 37.10, Penal Code, to entering
14-5 information on the form and to presenting documentation in
14-6 connection with the form. The commission shall refer any suspected
14-7 violations of relevant criminal law, including Section 37.10, Penal
14-8 Code, related to entering information on the form or presenting
14-9 documentation in connection with the form to the appropriate legal
14-10 authorities for investigation or prosecution.
14-11 SECTION 9. Article 3, State Purchasing and General Services
14-12 Act (Article 601b, Vernon's Texas Civil Statutes), is amended by
14-13 adding Sections 3.103-3.106 to read as follows:
14-14 Sec. 3.103. BEST VALUE STANDARD FOR PURCHASE OF GOODS OR
14-15 SERVICES. (a) Each state agency, including the commission, shall
14-16 purchase goods and services that provide the best value for the
14-17 state.
14-18 (b) In determining the best value for the state, the
14-19 commission or other state agency making a purchase is not
14-20 restricted to considering the purchase price alone, but subject to
14-21 Section 3.104 of this Act may also consider any other factor
14-22 relevant to evaluating the value to the state of a good or service,
14-23 including:
14-24 (1) installation costs;
14-25 (2) life-cycle costs;
14-26 (3) the quality, availability, adaptability, and
14-27 reliability of the good or service;
15-1 (4) the delivery terms;
15-2 (5) indicators of probable vendor performance under
15-3 the contract such as past vendor performance, the vendor's
15-4 financial resources, skill, and ability to perform, the vendor's
15-5 experience, responsibility, and reputation, the vendor's previous
15-6 and existing compliance with laws that relate to providing the good
15-7 or service, and the vendor's ability to provide reliable
15-8 maintenance and support;
15-9 (6) the number and scope of conditions attached to a
15-10 vendor's bid or proposal;
15-11 (7) the cost of any employee training associated with
15-12 a purchase;
15-13 (8) the effect of a purchase on agency productivity;
15-14 and
15-15 (9) factors relevant to determining the best value for
15-16 the state in the context of a particular purchase.
15-17 Sec. 3.104. REQUIREMENT TO SPECIFY VALUE FACTORS IN REQUEST
15-18 FOR BIDS OR PROPOSALS. (a) For a purchase made through
15-19 competitive bidding, the commission or other state agency making
15-20 the purchase must specify in the request for bids the factors other
15-21 than price, past vendor performance, or vendor reputation that the
15-22 commission or agency will consider in determining which bid offers
15-23 the best value for the state.
15-24 (b) For a purchase made through competitive sealed
15-25 proposals, the commission or other state agency making the
15-26 purchase:
15-27 (1) must specify in the request for proposals the
16-1 known factors other than price, past vendor performance, or vendor
16-2 reputation that the commission or agency will consider in
16-3 determining which proposal offers the best value for the state; and
16-4 (2) may concurrently inform each vendor that made a
16-5 proposal on the contract of any additional factors the commission
16-6 or agency will consider in determining which proposal offers the
16-7 best value for the state if the commission or other agency
16-8 determines after opening the proposals that additional factors not
16-9 covered under Subdivision (1) of this subsection are relevant in
16-10 determining which proposal offers the best value for the state.
16-11 Sec. 3.105. PROTEST PROCEDURES. (a) The commission shall
16-12 develop and adopt by rule protest procedures for resolving vendor
16-13 protests relating to purchases made by the commission. The rules
16-14 must include standards for maintaining necessary documentation for
16-15 a purchase so that purchasing decisions can be supported in the
16-16 event of a protest.
16-17 (b) Each state agency by rule shall adopt protest procedures
16-18 for resolving vendor protests relating to purchases made by the
16-19 agency. The procedures must be consistent with the commission's
16-20 protest procedures. Agencies that are not subject to the
16-21 administrative procedure law, Chapter 2001, Government Code, shall
16-22 provide public notice of the text of the proposed and adopted rules
16-23 and provide a procedure for meaningful public comment on the
16-24 proposed rules.
16-25 Sec. 3.106. BARRING VENDOR FROM PARTICIPATION IN STATE
16-26 CONTRACTS. (a) The commission may bar a vendor from participating
16-27 in state contracts that are subject to this Act, including
17-1 contracts for which purchasing authority is delegated to a state
17-2 agency under this Act, for:
17-3 (1) substandard performance under a contract with the
17-4 state or a state agency that is significantly detrimental to the
17-5 interests of the state;
17-6 (2) material misrepresentations in a bid or proposal
17-7 for the state or a state agency or during the course of performing
17-8 a contract with the state or a state agency;
17-9 (3) fraud; or
17-10 (4) breaching a contract with the state or a state
17-11 agency in a manner that is significantly detrimental to the
17-12 interests of the state.
17-13 (b) The commission shall bar a vendor from participating in
17-14 state and state agency contracts under this section for a period
17-15 that is commensurate with the seriousness of the vendor's action
17-16 and the extent to which the state's interests were damaged.
17-17 (c) The commission shall adopt rules to administer this
17-18 section, including rules that:
17-19 (1) state generally the reasons for which a vendor may
17-20 be barred from participating in state and state agency contracts
17-21 under this section and the periods for which the vendor may be
17-22 barred; and
17-23 (2) prescribe the procedures under which the
17-24 commission will determine whether and for how long a vendor is
17-25 barred from participating in state and state agency contracts under
17-26 this section.
17-27 SECTION 10. Sections 3.11(b) and (d)-(h), State Purchasing
18-1 and General Services Act (Article 601b, Vernon's Texas Civil
18-2 Statutes), are amended to read as follows:
18-3 (b) Centralized Master Bidders List. The commission shall
18-4 maintain a centralized master bidders list and shall add or delete
18-5 names from the list in accordance with Section 3.101 of this Act
18-6 <by the application and utilization of applicable standards set
18-7 forth in Subsection (e) of this section>. Bid invitations under
18-8 this section shall be sent only to those who have expressed a
18-9 desire to bid on the particular types of items which are the
18-10 subject of the bid invitation. Use of the centralized master
18-11 bidders list shall not be confined to contract purchases but it may
18-12 be used by the commission in making any purchase.
18-13 (d) Bid Opening Procedure. Bids shall be submitted to the
18-14 commission, sealed, and identified as bids on the envelope, except
18-15 that when the commission considers that the electronic information
18-16 capabilities of the state and of the vendor community are
18-17 sufficient, the commission may also allow facsimile or on-line
18-18 transmission of bids. Bids shall be opened at the time and place
18-19 stated in the public notices and the invitation to bid. The state
18-20 auditor or a member of his staff may be present at any bid opening.
18-21 A tabulation of all bids received shall be available for public
18-22 inspection under regulations to be established by the commission.
18-23 (e) Award of Contract. The commission shall award contracts
18-24 to the bidder offering the best value for the state while
18-25 <submitting the lowest and best bid> conforming to the
18-26 specifications required. Complying with the specified time limit
18-27 for submission of written data, samples, or models on or before bid
19-1 opening time is essential to the materiality of a bid, provided,
19-2 however, that the commission shall have the authority to waive this
19-3 provision if the failure to comply is beyond control of the bidder.
19-4 In determining which <who is the lowest and best> bidder offers the
19-5 best value for the state, the commission may take into account the
19-6 safety record of the bidder, or the firm, corporation, partnership,
19-7 or institution represented by the bidder, or anyone acting for such
19-8 firm, corporation, partnership, or institution, provided, however,
19-9 that the commission has adopted a written definition and criteria
19-10 for accurately determining the safety record of a bidder and has
19-11 given notice to prospective bidders, in the bid specifications,
19-12 that the safety record of a bidder may be considered in determining
19-13 the <lowest and best> bidder offering the best value for the state
19-14 and, provided further, that such determinations are not arbitrary
19-15 and capricious. The <In determining who is the lowest and best
19-16 bidder, in addition to price, the> commission shall determine which
19-17 bidder offers the best value for the state in accordance with
19-18 Sections 3.103 and 3.104 of this Act. <consider:>
19-19 <(1) the quality, availability, and adaptability of
19-20 the supplies, materials, equipment, or contractual services, to the
19-21 particular use required;>
19-22 <(2) the number and scope of conditions attached to
19-23 the bid;>
19-24 <(3) the ability, capacity, and skill of the bidder to
19-25 perform the contract or provide the service required;>
19-26 <(4) whether the bidder can perform the contract or
19-27 provide the service promptly, or within the time required, without
20-1 delay or interference;>
20-2 <(5) the character, responsibility, integrity,
20-3 reputation, and experience of the bidder;>
20-4 <(6) the quality of performance of previous contracts
20-5 or services;>
20-6 <(7) the previous and existing compliance by the
20-7 bidder with laws relating to the contract or service;>
20-8 <(8) any previous or existing noncompliance by the
20-9 bidder with specification requirements relating to time of
20-10 submission of specified data such as samples, models, drawings,
20-11 certificates, or other information;>
20-12 <(9) the sufficiency of the financial resources and
20-13 ability of the bidder to perform the contract or provide the
20-14 service; and>
20-15 <(10) the ability of the bidder to provide future
20-16 maintenance, repair parts, and service for the use of the subject
20-17 of the contract.>
20-18 (f) Rejection of Bids. If a bid is submitted in which there
20-19 is a material failure to comply with the specification
20-20 requirements, such bid shall be rejected and the contract awarded
20-21 to the bidder offering the best value for the state and <submitting
20-22 the lowest and best bid> conforming to the specifications,
20-23 provided, however, the commission shall in any event have the
20-24 authority to reject all bids or parts of bids when the interest of
20-25 the state will be served thereby.
20-26 (g) Bid Record. When an award is made, a statement of the
20-27 basis for placing the order with the successful bidder and the
21-1 factors considered in determining which bidder offered the best
21-2 value for the state <the lowest and best bid> shall be prepared by
21-3 the purchasing division and filed with other papers relating to the
21-4 transaction.
21-5 (h) Tie Bids. In case of tie bids, the value to the state
21-6 <quality and service> being equal, the contract shall be awarded
21-7 under rules and regulations to be adopted by the commission.
21-8 SECTION 11. Sections 3.12(b), (c), (e), and (f), State
21-9 Purchasing and General Services Act (Article 601b, Vernon's Texas
21-10 Civil Statutes), are amended to read as follows:
21-11 (b) Minimum Number of Bids. All open market purchases
21-12 shall, whenever possible, be based on at least three competitive
21-13 bids, and shall be awarded to the <lowest and best> bidder offering
21-14 the best value for the state in accordance with the standards set
21-15 forth under this article.
21-16 (c) Notice Inviting Bids. The commission shall solicit bids
21-17 by:
21-18 (1) direct mail request to prospective vendors; <or>
21-19 (2) telephone or telegraph;
21-20 (3) facsimile transmission;
21-21 (4) on-line electronic transmission; or
21-22 (5) posting on an electronic bulletin board.
21-23 (e) Agency Review. If a state agency requests that it be
21-24 allowed to review the bids on a purchase request, the commission
21-25 shall forward copies of the bids received or make the same
21-26 available to the requesting agency along with the commission's
21-27 recommended award. If, after review of the bids and evaluation of
22-1 the quality of products offered in the bids, the state agency
22-2 determines that the bid selected by the commission does <is> not in
22-3 its opinion offer the best value for the state <the lowest and best
22-4 bid>, it may file with the commission a written recommendation,
22-5 complete with justification, that the award be made to the bidder
22-6 determined to offer the best value for the state <be the lowest and
22-7 best bid>. The commission shall give consideration to, but is not
22-8 bound by, the agency recommendation in making the award.
22-9 (f) Statement of Award. A statement of the basis for
22-10 placing the order with the successful bidder and the factors
22-11 considered in determining the <lowest and best> bid offering the
22-12 best value for the state shall be prepared by the purchasing
22-13 division and filed with other papers relating to the transaction.
22-14 SECTION 12. Section 3.16, State Purchasing and General
22-15 Services Act (Article 601b, Vernon's Texas Civil Statutes), is
22-16 amended by amending Subsection (a) and adding Subsections (c) and
22-17 (d) to read as follows:
22-18 (a) After the comptroller and the commission have approved
22-19 financial data and purchase data, when such advance approval is
22-20 required by the rules of the commission, the comptroller shall draw
22-21 a warrant upon the state treasury for the amount due on the invoice
22-22 or for so much thereof as has been allowed. The comptroller may
22-23 distribute the warrant directly to the vendor. The comptroller,
22-24 when appropriate, may combine into a single warrant payments that
22-25 the state owes to a vendor under more than one invoice, including
22-26 payments to the vendor made on behalf of more than one state
22-27 agency.
23-1 (c) The comptroller may allow a state agency to schedule
23-2 payments that the comptroller will make to a vendor. The
23-3 comptroller shall prescribe the circumstances under which advance
23-4 scheduling of payments is appropriate.
23-5 (d) The comptroller may require vendors to provide payment
23-6 addresses, vendor identification numbers, social security numbers
23-7 to the extent allowed by federal law, federal employer
23-8 identification numbers, and other account information directly to
23-9 the comptroller.
23-10 SECTION 13. Section 3.17(a), State Purchasing and General
23-11 Services Act (Article 601b, Vernon's Texas Civil Statutes), is
23-12 amended to read as follows:
23-13 (a) The commission shall have the authority to establish and
23-14 maintain a specifications and standards program to coordinate the
23-15 establishment and maintenance of uniform standards and
23-16 specifications for materials, supplies, and equipment purchased by
23-17 the commission. The commission shall enlist the cooperation of
23-18 other state agencies, the advisory committee on procurement, and
23-19 the vendor advisory committee in the establishment, maintenance,
23-20 and revision of uniform standards and specifications and shall
23-21 encourage and foster the use of standard specifications in order
23-22 that the most efficient purchase of materials, supplies, and
23-23 equipment may be continuously accomplished.
23-24 SECTION 14. Section 3.20, State Purchasing and General
23-25 Services Act (Article 601b, Vernon's Texas Civil Statutes), is
23-26 amended to read as follows:
23-27 Sec. 3.20. PREFERENCE FOR PRODUCTS OF RETARDED OR
24-1 HANDICAPPED PERSONS. The products of workshops, organizations, or
24-2 corporations whose primary purpose is training and employing
24-3 mentally retarded or physically handicapped persons shall be given
24-4 preference if they meet state specifications as to quantity,
24-5 quality, delivery, and price. The commission shall test the
24-6 products in accordance with Section 3.17 of this Act to the extent
24-7 necessary to ensure quality. The commission shall consider product
24-8 quality and delivery performance in agreeing to the price for
24-9 products purchased under this section.
24-10 SECTION 15. Section 3.22, State Purchasing and General
24-11 Services Act (Article 601b, Vernon's Texas Civil Statutes), is
24-12 amended to read as follows:
24-13 Sec. 3.22. EXEMPTION OF GOODS OR SERVICES OF BLIND PERSONS.
24-14 The provisions of this article with respect to competitive bids are
24-15 not applicable to state purchases of blind-made goods or services
24-16 offered for sale to state agencies as a result of efforts made by
24-17 the Texas Committee on Purchases of Blind-Made Goods and Services
24-18 acting in accordance with legislation applicable to the committee
24-19 if the goods or services meet state specifications as to delivery,
24-20 quantity, and quality and the cost is not in excess of the fair
24-21 market price of like items. The commission shall test the goods or
24-22 services in accordance with Section 3.17 of this Act to the extent
24-23 necessary to ensure quality. The commission shall consider product
24-24 or service quality and delivery performance in agreeing to the
24-25 price for goods or services purchased under this section.
24-26 SECTION 16. Section 3.23, State Purchasing and General
24-27 Services Act (Article 601b, Vernon's Texas Civil Statutes), is
25-1 amended to read as follows:
25-2 Sec. 3.23. CONTRACTS WITH DEPARTMENT OF CRIMINAL JUSTICE.
25-3 The commission is authorized to make contracts with the Texas
25-4 Department of Criminal Justice for the purchase of supplies,
25-5 equipment, services, and materials for use by other state agencies.
25-6 The commission shall test the supplies, equipment, services, and
25-7 materials in accordance with Section 3.17 of this Act to the extent
25-8 necessary to ensure quality. The commission shall consider product
25-9 or service quality and delivery performance in agreeing to the
25-10 price for supplies, equipment, services, and materials purchased
25-11 under this section.
25-12 SECTION 17. Article 3, State Purchasing and General Services
25-13 Act (Article 601b, Vernon's Texas Civil Statutes), is amended by
25-14 adding Sections 3.34 and 3.35 to read as follows:
25-15 Sec. 3.34. ADVISORY COMMITTEE ON PROCUREMENT. (a) The
25-16 commission shall establish an advisory committee on procurement.
25-17 The purpose of the committee is to represent before the commission
25-18 the state agency purchasing community and the political
25-19 subdivisions that use the commission's purchasing services.
25-20 (b) The committee is composed of officers or employees of
25-21 state agencies, including institutions of higher education, and
25-22 political subdivisions who are invited by the commission to serve
25-23 on the committee. The commission shall invite officers and
25-24 employees who are experienced in public purchasing or in public
25-25 finance or who possess other appropriate expertise to serve on the
25-26 committee. Service on the committee is an additional duty of the
25-27 member's public office or employment. A member's employer shall
26-1 pay the member's travel expenses incurred because of the member's
26-2 service on the committee. Article 6252-33, Revised Statutes, does
26-3 not apply to the size or composition of the committee. The
26-4 commission shall set staggered terms for the members of the
26-5 committee.
26-6 (c) The committee may establish its own rules of operation.
26-7 (d) The committee shall recommend to the commission
26-8 improvements in commission or state agency purchasing practices.
26-9 The committee shall review and comment on findings and
26-10 recommendations related to purchasing that are made by state agency
26-11 internal auditors or by the state auditor.
26-12 Sec. 3.35. VENDOR ADVISORY COMMITTEE. (a) The commission
26-13 shall establish a vendor advisory committee. The purpose of the
26-14 committee is to represent before the commission the vendor
26-15 community, to provide information to vendors, and to obtain vendor
26-16 input on state procurement practices.
26-17 (b) The committee is composed of vendors who have done
26-18 business with the state who are invited by the commission to serve
26-19 on the committee. The commission shall invite a cross-section of
26-20 the vendor community to serve on the committee, inviting both large
26-21 and small businesses, both historically underutilized businesses
26-22 and businesses that are not historically underutilized businesses,
26-23 and vendors who provide a variety of different goods and services
26-24 to the state. Article 6252-33, Revised Statutes, does not apply to
26-25 the size or composition of the committee. The commission shall set
26-26 staggered terms for the members of the committee.
26-27 (c) The committee may establish its own rules of operation,
27-1 but shall post notice of and hold its meetings in accordance with
27-2 the open meetings law, Chapter 551, Government Code.
27-3 SECTION 18. Article 11, State Purchasing and General
27-4 Services Act (Article 601b, Vernon's Texas Civil Statutes), is
27-5 amended by adding Sections 11.08-11.11 to read as follows:
27-6 Sec. 11.08. ELECTRONIC BULLETIN BOARD POSTING OF NOTICE FOR
27-7 PROCUREMENTS EXCEEDING $25,000. (a) This section applies to each
27-8 state agency making a procurement that will exceed $25,000 in
27-9 value:
27-10 (1) without regard to the source of funds the agency
27-11 will use for the procurement; and
27-12 (2) including a procurement that:
27-13 (A) is a procurement by a state agency but is
27-14 otherwise exempt from the commission's purchasing authority or the
27-15 application of this Act;
27-16 (B) is made under delegated purchasing
27-17 authority;
27-18 (C) is related to a construction project; or
27-19 (D) is a procurement of professional or
27-20 consulting services.
27-21 (b) The commission shall send to the comptroller for posting
27-22 on the comptroller's Windows on State Government electronic
27-23 bulletin board information as prescribed by this section about
27-24 commission or other state agency procurements that will exceed
27-25 $25,000 in value. The commission may also send to the comptroller
27-26 for posting on the electronic bulletin board other information
27-27 relating to the business activity of the state that the commission
28-1 considers to be of interest to the public. The commission shall
28-2 send the information in a format agreed to by the comptroller.
28-3 (c) The commission shall include in the information sent to
28-4 the comptroller, to the extent it is feasible and cost-effective,
28-5 the following information for each procurement that the commission
28-6 or another state agency will make that is estimated to exceed
28-7 $25,000 in value:
28-8 (1) a description of the goods or services to be
28-9 procured;
28-10 (2) the estimated quantity of goods or services to be
28-11 procured;
28-12 (3) the bid or proposal opening date; and
28-13 (4) the name, business mailing address, and business
28-14 telephone number of the commission employee or other state agency
28-15 employee a person can contact to obtain all necessary information
28-16 related to making a bid or proposal or other applicable expression
28-17 of interest for the procurement contract.
28-18 (d) Each state agency that will award a procurement contract
28-19 estimated to exceed $25,000 in value shall send to the commission:
28-20 (1) the information the commission requires for
28-21 posting on the comptroller's electronic bulletin board under this
28-22 section; and
28-23 (2) a notice when the procurement contract has been
28-24 awarded.
28-25 (e) The commission may adopt rules, prescribe forms, and
28-26 require information to administer this section. The commission's
28-27 rules, forms, and requirements must be consistent with the
29-1 comptroller's requirements relating to the comptroller's electronic
29-2 bulletin board.
29-3 (f) The requirements of this section are in addition to the
29-4 requirements of other law relating to the solicitation of bids,
29-5 proposals, or expressions of interest for a procurement by the
29-6 commission or another state agency. This section does not affect
29-7 whether the commission or other state agency is required to award a
29-8 procurement contract through competitive bidding, competitive
29-9 sealed proposals, or another method.
29-10 Sec. 11.09. ELECTRONIC PROCUREMENT DATABASE. (a) The
29-11 commission shall establish and manage an electronic procurement
29-12 database. The commission may enter into contracts with private or
29-13 public entities to establish or maintain all or part of the
29-14 database. The commission shall base its decision to enter into a
29-15 contract under this subsection on an analysis that uses the State
29-16 Council on Competitive Government's cost methodology.
29-17 (b) The commission may maintain in the database information
29-18 related to state procurement that the commission considers to be
29-19 useful. The database must contain:
29-20 (1) information about vendors, including information
29-21 from the centralized master bidders list and vendor performance
29-22 information;
29-23 (2) information about products, including product
29-24 testing results; and
29-25 (3) information that relates to commission and other
29-26 state agency purchasing contracts and that can be entered into the
29-27 database electronically without the need for duplicate data entry.
30-1 (c) The commission may require information from a state
30-2 agency for inclusion in the database.
30-3 (d) The commission shall make the database available to
30-4 state agencies and political subdivisions through the procurement
30-5 marketplace.
30-6 Sec. 11.10. ELECTRONIC PROCUREMENT MARKETPLACE. (a) The
30-7 commission shall establish and manage an electronic procurement
30-8 marketplace through which the commission and state agencies may:
30-9 (1) communicate information relevant to the state's
30-10 procurement of goods and services; and
30-11 (2) conduct elements of purchasing transactions within
30-12 state government electronically to the extent that it is feasible
30-13 and cost-effective to do so.
30-14 (b) The commission shall design the procurement marketplace
30-15 as an interactive gateway between all state databases that relate
30-16 to procurement, including databases that contain information about
30-17 the availability of surplus property. The commission shall define
30-18 standards, including keyword and product code standards, for the
30-19 procurement marketplace.
30-20 (c) The commission may adopt rules relating to the design
30-21 and use of the procurement marketplace, including rules that
30-22 require state agencies to provide information for or receive
30-23 information from the procurement marketplace.
30-24 (d) The commission shall make state procurement information
30-25 available to political subdivisions through the procurement
30-26 marketplace on a fee-for-service basis. The commission shall set
30-27 the fees in an amount that recovers the state's costs in providing
31-1 the access to a political subdivision.
31-2 Sec. 11.11. ELECTRONIC COMMERCE NETWORK USING ELECTRONIC
31-3 DATA INTERCHANGE. (a) The commission shall establish and manage
31-4 an electronic commerce network under which the state's purchasing
31-5 transactions with vendors can be accomplished electronically by
31-6 means of facsimile transmissions and on-line transmission of
31-7 necessary information. The commission shall base the network on
31-8 the standard data protocol developed by the American National
31-9 Standards Institute known as electronic data interchange. The
31-10 commission is the electronic data interchange coordinator for state
31-11 government.
31-12 (b) The commission may enter into contracts with one or more
31-13 public or private entities to establish or support various elements
31-14 of the network. The commission may provide for a gateway between
31-15 the procurement marketplace and the electronic commerce network so
31-16 that the elements of a procurement transaction that are within
31-17 state government and the elements of a procurement transaction that
31-18 involve communication with a vendor may all be accomplished
31-19 electronically.
31-20 (c) Each state agency that is capable of participating in
31-21 the electronic commerce network must participate in the network and
31-22 participate in contracts entered into by the commission for the
31-23 establishment or support of the network. The commission shall
31-24 charge an agency a fee for network services provided to the agency
31-25 by the commission and require an agency to pay a fee to a
31-26 contractor for network services provided to the agency by the
31-27 contractor, so that the cost of providing network services to an
32-1 agency is paid by the agency.
32-2 (d) The commission may allow political subdivisions and
32-3 other public entities to participate in the electronic commerce
32-4 network. The commission shall provide that a participating
32-5 political subdivision is charged fees for network services provided
32-6 to the political subdivision in the same manner that participating
32-7 state agencies are charged fees under Subsection (c) of this
32-8 section.
32-9 (e) The commission may:
32-10 (1) adopt rules to administer this section;
32-11 (2) promote and enhance the use of electronic
32-12 commerce; and
32-13 (3) require participating state agencies, political
32-14 subdivisions, and other public entities to designate a network
32-15 coordinator.
32-16 SECTION 19. Article 15, State Purchasing and General
32-17 Services Act (Article 601b, Vernon's Texas Civil Statutes), is
32-18 amended by adding Section 15.11 to read as follows:
32-19 Sec. 15.11. CONSOLIDATING OR CONTRACTING FOR MATERIALS
32-20 MANAGEMENT FUNCTIONS. (a) The council shall study the materials
32-21 management functions of state agencies and examine opportunities to
32-22 consolidate materials management functions. When the council
32-23 determines a course of action that will more effectively or
32-24 efficiently accomplish an agency's materials management functions,
32-25 the council may:
32-26 (1) order two or more state agencies to consolidate
32-27 between them warehousing, inventory control, or other materials
33-1 management functions;
33-2 (2) order a state agency to obtain under a contract
33-3 with another state agency or a private commercial source the
33-4 agency's warehousing, inventory control, or other materials
33-5 management functions; or
33-6 (3) order one or more state agencies to take a
33-7 combination of actions described under Subdivisions (1) and (2) of
33-8 this subsection.
33-9 (b) State agencies shall consolidate or contract for
33-10 materials management functions, or both consolidate and contract
33-11 for materials management functions, in the manner directed by the
33-12 council.
33-13 SECTION 20. Section 321.013, Government Code, is amended by
33-14 adding Subsection (k) to read as follows:
33-15 (k) The State Auditor shall periodically conduct a
33-16 compliance audit and other appropriate audits of the purchasing
33-17 practices of each state agency, including each institution of
33-18 higher education. The audits must include an audit of the state
33-19 agency's compliance with applicable provisions of the state's
33-20 program to assist historically underutilized businesses to
33-21 participate in state contracting opportunities. In planning an
33-22 audit under this subsection, the State Auditor shall consider
33-23 issues raised by the General Services Commission or the comptroller
33-24 relating to the state agency's purchasing practices together with
33-25 the agency's response to the commission or the comptroller.
33-26 SECTION 21. Chapter 2102, Government Code, is amended by
33-27 adding Section 2102.013 to read as follows:
34-1 Sec. 2102.013. AUDITING OF AGENCY PURCHASING PRACTICES. (a)
34-2 The internal auditor shall frequently audit the purchasing
34-3 practices of the state agency. The audits must include an audit of
34-4 the state agency's compliance with applicable provisions of the
34-5 state's program to assist historically underutilized businesses to
34-6 participate in state contracting opportunities.
34-7 (b) The internal auditor shall investigate any exceptions or
34-8 issues raised by the General Services Commission or the comptroller
34-9 relating to the state agency's purchasing practices and, if
34-10 possible, report the findings of the investigation to the
34-11 administrator before the administrator responds to the commission
34-12 or the comptroller.
34-13 (c) The administrator shall report the results of the audits
34-14 and investigations performed by the internal auditor under this
34-15 section, together with the administrator's response to any
34-16 exceptions or issues raised by the General Services Commission or
34-17 the comptroller relating to the state agency's purchasing
34-18 practices, to the state auditor, the comptroller, and the General
34-19 Services Commission.
34-20 SECTION 22. (a) Section 2251.026, Government Code, is
34-21 amended to read as follows:
34-22 Sec. 2251.026. PAYMENT OF INTEREST BY STATE AGENCY. (a) If
34-23 the warrant for a payment the originating state agency owes is not
34-24 mailed or electronically transmitted before the payment is overdue,
34-25 the agency is liable for an interest payment that accrues under
34-26 this chapter.
34-27 (b) The comptroller shall compute interest imposed on the
35-1 state agency under this chapter.
35-2 (c) The comptroller shall pay the interest at the time
35-3 payment is made on the principal.
35-4 (d) The comptroller shall submit the interest payment with
35-5 the net amount due for goods and services.
35-6 (e) The comptroller and the state agency may not require a
35-7 vendor to petition, bill, or wait an additional day to receive the
35-8 interest due.
35-9 (f) The comptroller may require necessary and timely
35-10 information and adopt rules to administer this section.
35-11 (g) Any system changes that are necessary for the
35-12 comptroller's implementation of this section must be compatible
35-13 with the uniform statewide accounting system.
35-14 (b) This section takes effect September 1, 1997. The change
35-15 in law made by this section applies only to interest on a payment
35-16 by a state agency that becomes overdue under Chapter 2251,
35-17 Government Code, on or after that date. Interest on a payment by a
35-18 state agency that becomes overdue under Chapter 2251, Government
35-19 Code, before that date is governed by Section 2251.026, Government
35-20 Code, as it exists on the date the payment becomes overdue, and the
35-21 prior law is continued in effect for this purpose.
35-22 SECTION 23. Section 271.083(a), Local Government Code, is
35-23 amended to read as follows:
35-24 (a) A local government may participate in the purchasing
35-25 program of the commission by filing with the commission a
35-26 resolution adopted by the governing body of the local government
35-27 requesting that the local government be allowed to participate on a
36-1 voluntary basis, and to the extent the commission deems feasible,
36-2 and stating that the local government will:
36-3 (1) designate an official to act for the local
36-4 government in all matters relating to the program, including the
36-5 purchase of items from the vendor under any contract, and that the
36-6 governing body will direct the decisions of the representative;
36-7 (2) be responsible for:
36-8 (A) submitting requisitions to the commission
36-9 under any contract; or
36-10 (B) electronically sending purchase orders
36-11 directly to vendors and electronically sending to the commission
36-12 reports on actual purchases made under this paragraph that provide
36-13 the information and are sent at the times required by the
36-14 commission;
36-15 (3) be responsible <and> for making payment directly
36-16 to the vendor; and
36-17 (4) <(3)> be responsible for the vendor's compliance
36-18 with all conditions of delivery and quality of the purchased item.
36-19 SECTION 24. (a) The state auditor and the advisory
36-20 committee on procurement established by this Act shall study how
36-21 the classification levels of state agency purchasing personnel
36-22 should be revised to reflect the increased levels of responsibility
36-23 and accountability given to state agency purchasing personnel under
36-24 the changes in law made by this Act. The state auditor and the
36-25 committee should consider how best to provide purchasing personnel
36-26 with a pay scale and a career path, including goals, incentives,
36-27 and initiatives, commensurate with a purchaser's knowledge,
37-1 authority, and responsibility.
37-2 (b) The state auditor and the committee shall present their
37-3 written recommendations and the results of their study to the
37-4 legislature not later than January 1, 1997.
37-5 SECTION 25. The commission may conduct pilot studies of
37-6 regional contracts and no-stock contracts.
37-7 SECTION 26. The Legislative Budget Board and the division of
37-8 the governor's office that works with budget and planning issues
37-9 shall study and consider:
37-10 (1) ways to obtain information about planned state
37-11 procurements as part of the reporting and information gathering
37-12 functions of the state's appropriations process; and
37-13 (2) ways to use that information to increase the
37-14 state's buying power.
37-15 SECTION 27. The General Services Commission shall gradually
37-16 phase in, in the most cost-effective manner and in accordance with
37-17 available appropriations, the changes in law made by this Act that
37-18 require the establishment of electronic or automated marketplaces,
37-19 networks, or databases.
37-20 SECTION 28. (a) Sections 3.0221 and 3.09(d), State
37-21 Purchasing and General Services Act (Article 601b, Vernon's Texas
37-22 Civil Statutes), are repealed.
37-23 (b) Section 18A, Information Resources Management Act
37-24 (Article 4413(32j), Revised Statutes), as added by Section 1.26,
37-25 Chapter 906, Acts of the 73rd Legislature, Regular Session, 1993,
37-26 is repealed. The change in law made by this subsection prevails
37-27 over an Act passed by the 74th Legislature, Regular Session, 1995,
38-1 relating to nonsubstantive additions to and corrections in enacted
38-2 codes, including the nonsubstantive codification of various laws
38-3 omitted from enacted codes, and to conforming codifications enacted
38-4 by the 73rd Legislature to other Acts of that legislature.
38-5 SECTION 29. (a) Section 2251.041, Government Code, is
38-6 repealed.
38-7 (b) This section takes effect September 1, 1997. The change
38-8 in law made by this section applies only to interest on a payment
38-9 by a state agency that becomes overdue under Chapter 2251,
38-10 Government Code, on or after that date. Interest on a payment by a
38-11 state agency that becomes overdue under Chapter 2251, Government
38-12 Code, before that date is governed by Section 2251.041, Government
38-13 Code, as it exists on the date the payment becomes overdue, and the
38-14 prior law is continued in effect for this purpose.
38-15 SECTION 30. Except as otherwise provided by this Act, this
38-16 Act takes effect September 1, 1995.
38-17 SECTION 31. The importance of this legislation and the
38-18 crowded condition of the calendars in both houses create an
38-19 emergency and an imperative public necessity that the
38-20 constitutional rule requiring bills to be read on three several
38-21 days in each house be suspended, and this rule is hereby suspended.