By Thompson                                     H.B. No. 1513

      75R5659 MLS-F                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the recovery by state agencies of certain indirect

 1-3     costs.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Section 2106.005, Government Code, is amended to

 1-6     read as follows:

 1-7           Sec. 2106.005. AGENCY RECOVERY OF INDIRECT COSTS. (a)  A

 1-8     state agency shall implement its indirect cost recovery plan by:

 1-9                 (1)  applying for reimbursement for federally

1-10     reimbursable indirect costs;  and

1-11                 (2)  when permitted by law, setting fees and billing

1-12     rates at amounts sufficient to recover the indirect costs of the

1-13     agency.

1-14           (b)  A contract between a state agency and a local government

1-15     regarding funding costs related to a construction project may not

1-16     require the local government to contribute to the state agency's

1-17     recovery of the agency's indirect costs.

1-18           SECTION 2.  This Act applies only to a contract entered into

1-19     on or after the effective date of this Act.  A contract entered

1-20     into before the effective date of this Act is governed by the law

1-21     as it existed immediately before the effective date of this Act,

1-22     and that law is continued in effect for that purpose.

1-23           SECTION 3.  The importance of this legislation and the

1-24     crowded condition of the calendars in both houses create an

 2-1     emergency and an imperative public necessity that the

 2-2     constitutional rule requiring bills to be read on three several

 2-3     days in each house be suspended, and this rule is hereby suspended,

 2-4     and that this Act take effect and be in force from and after its

 2-5     passage, and it is so enacted.