1-1 AN ACT
1-2 relating to uniform competitive bidding requirements for
1-3 municipalities.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 271.021(2), Local Government Code, is
1-6 amended to read as follows:
1-7 (2) "Governmental entity" means:
1-8 (A) a county;
1-9 (B) [a municipality;]
1-10 [(C)] a common or independent school district;
1-11 (C) [(D)] a hospital district or authority;
1-12 (D) [(E)] a housing authority; or
1-13 (E) [(F)] an agency or instrumentality of the
1-14 governmental entities described by Paragraphs (A) through (D)
1-15 [(E)].
1-16 SECTION 2. Section 271.023, Local Government Code, is
1-17 repealed.
1-18 SECTION 3. Section 252.022(a), Local Government Code, is
1-19 amended to read as follows:
1-20 (a) This chapter does not apply to an expenditure for:
1-21 (1) a procurement made because of a public calamity
1-22 that requires the immediate appropriation of money to relieve the
1-23 necessity of the municipality's residents or to preserve the
1-24 property of the municipality;
2-1 (2) a procurement necessary to preserve or protect the
2-2 public health or safety of the municipality's residents;
2-3 (3) a procurement necessary because of unforeseen
2-4 damage to public machinery, equipment, or other property;
2-5 (4) a procurement for personal, professional, or
2-6 planning services;
2-7 (5) a procurement for work that is performed and paid
2-8 for by the day as the work progresses;
2-9 (6) a purchase of land or a right-of-way;
2-10 (7) a procurement of items that are available from
2-11 only one source, including:
2-12 (A) items that are available from only one
2-13 source because of patents, copyrights, secret processes, or natural
2-14 monopolies;
2-15 (B) films, manuscripts, or books;
2-16 (C) electricity, gas, water, and other utility
2-17 services;
2-18 (D) captive replacement parts or components for
2-19 equipment;
2-20 (E) books, papers, and other library materials
2-21 for a public library that are available only from the persons
2-22 holding exclusive distribution rights to the materials; and
2-23 (F) management services provided by a nonprofit
2-24 organization to a municipal museum, park, zoo, or other facility to
2-25 which the organization has provided significant financial or other
2-26 benefits;
2-27 (8) a purchase of rare books, papers, and other
3-1 library materials for a public library;
3-2 (9) paving drainage, street widening, and other public
3-3 improvements, or related matters, if at least one-third of the cost
3-4 is to be paid by or through special assessments levied on property
3-5 that will benefit from the improvements;
3-6 (10) a public improvement project, already in
3-7 progress, authorized by the voters of the municipality, for which
3-8 there is a deficiency of funds for completing the project in
3-9 accordance with the plans and purposes authorized by the voters;
3-10 (11) a payment under a contract by which a developer
3-11 participates in the construction of a public improvement as
3-12 provided by Subchapter C, Chapter 212;
3-13 (12) personal property sold:
3-14 (A) at an auction by a state licensed
3-15 auctioneer;
3-16 (B) at a going out of business sale held in
3-17 compliance with Subchapter F, Chapter 17, Business & Commerce Code;
3-18 (C) by a political subdivision of this state, a
3-19 state agency of this state, or an entity of the federal government;
3-20 or
3-21 (D) under an interlocal contract for cooperative
3-22 purchasing administered by a regional planning commission
3-23 established under Chapter 391; or
3-24 (13) services performed by blind or severely disabled
3-25 persons.
3-26 SECTION 4. Section 252.043(a), Local Government Code, is
3-27 amended to read as follows:
4-1 (a) If the competitive sealed bidding requirement applies to
4-2 the contract, the contract must be awarded to the lowest
4-3 responsible bidder. The governing body may reject any and all
4-4 bids. A bid that has been opened may not be changed for the
4-5 purpose of correcting an error in the bid price. This chapter does
4-6 not change the common law right of a bidder to withdraw a bid due
4-7 to a material mistake in the bid.
4-8 SECTION 5. This Act takes effect September 1, 1997, and
4-9 applies only to a contract for which a municipality first solicits
4-10 bids or proposals on or after that date.
4-11 SECTION 6. The importance of this legislation and the
4-12 crowded condition of the calendars in both houses create an
4-13 emergency and an imperative public necessity that the
4-14 constitutional rule requiring bills to be read on three several
4-15 days in each house be suspended, and this rule is hereby suspended.
_______________________________ _______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 1161 was passed by the House on May
5, 1997, by a non-record vote; and that the House concurred in
Senate amendments to H.B. No. 1161 on May 29, 1997, by a non-record
vote.
_______________________________
Chief Clerk of the House
I certify that H.B. No. 1161 was passed by the Senate, with
amendments, on May 26, 1997, by the following vote: Yeas 31, Nays
0.
_______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor