IMF H.B. 625 75(R)BILL ANALYSIS


STATE AFFAIRS
H.B. 625
By: Hernandez
5-2-97
Committee Report (Unamended)



BACKGROUND 

Currently, applicants for certification as an historically 
underutilized or disadvantaged business 
(HUB) must submit all of their financial information.  This 
information is currently subject to 
public information provisions.

Other small businesses do not have to make this information 
public and may receive a 
competitive advantage over those companies who do have to make 
their information public.

PURPOSE

As proposed, H.B. 625 would exempt information, submitted in an 
application for certification as 
an historically underutilized or disadvantaged business, from 
disclosure and public information 
laws.

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 Subchapter C, Chapter 552 of the Government 
Code by adding Section 
552.127 to read as follows:

Section 552.127 (a) exempts from public information 
provisions, information submitted 
by a vendor or potential vendor applying for certification 
as an historically underutilized 
or disadvantaged business under a local, state, or federal 
program.

Section 552.127 (b) states that the information submitted by 
a vendor or potential vendor 
in application for certification as an historically 
underutilized or disadvantaged business 
may be disclosed only to a state or local governmental 
entity when verifying an 
applicant's status as an historically underutilized or 
disadvantaged business studying an 
underutilized business program, or with the written 
permission of the applicant.

Section 552.127 (c) provides that all businesses, including 
HUB's, are subject to the same 
disclosure laws.

SECTION 2.  Makes this Act prospective.