AN ACT

 1-1     relating to the purchasing and contracting authority of certain

 1-2     local governments.

 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-4           SECTION 1.  Section 791.025, Government Code, is amended to

 1-5     read as follows:

 1-6           Sec. 791.025.  CONTRACTS FOR PURCHASES.  (a)  A local

 1-7     government, including a council of governments, may agree with

 1-8     another local government or with the state or a state agency,

 1-9     including the [State Purchasing and] General Services Commission,

1-10     to purchase goods and services.

1-11           (b)  A local government, including a council of governments,

1-12     may agree with another local government, including a nonprofit

1-13     corporation that is created and operated to provide one or more

1-14     governmental functions and services, or with the state or a state

1-15     agency, including the General Services Commission, to purchase

1-16     goods and any services reasonably required for the installation,

1-17     operation, or maintenance of the goods.  This subsection does not

1-18     apply to services provided by firefighters, police officers, or

1-19     emergency medical personnel.

1-20           (c)  A local government that purchases goods and services

1-21     under this section satisfies the requirement of the local

1-22     government to seek competitive bids for the purchase of the goods

1-23     and services.

 2-1           (d)  In this section, "council of governments" means a

 2-2     regional planning commission created under Chapter 391, Local

 2-3     Government Code.

 2-4           SECTION 2.  Chapter 271, Local Government Code, is amended by

 2-5     adding Subchapter G to read as follows:

 2-6      SUBCHAPTER G.  PURCHASES FROM FEDERAL SCHEDULE SOURCES OF SUPPLY

 2-7           Sec. 271.103.  FEDERAL SUPPLY SCHEDULE SOURCES.  (a)  A local

 2-8     government may purchase goods or services available under Federal

 2-9     supply schedules of the United States General Services

2-10     Administration to the extent permitted by federal law.

2-11           (b)  A local government that purchases goods or services

2-12     under this subchapter satisfies any state law requiring the local

2-13     government to seek competitive bids for the purchase of the goods

2-14     or services.

2-15           SECTION 3.  Section 381.003, Local Government Code, is

2-16     amended by amending Subsection (c) and adding Subsection (d) to

2-17     read as follows:

2-18           (c)  The commissioners court of a county may provide services

2-19     authorized by Chapter 2308, Government Code, if the commissioners

2-20     court enters into a contract with a local workforce development

2-21     board for the provision of services authorized by Chapter 2308,

2-22     Government Code.  The commissioners court may collect fees for the

2-23     services performed and for unreimbursed costs associated with the

2-24     provision of the services unless:

2-25                 (1)  state law prohibits the collection of the fee or

 3-1     unreimbursed cost; or

 3-2                 (2)  the service provided is a service described by

 3-3     Subsections (a) and (b), 29 U.S.C. Section 49f.

 3-4           (d)  This section does not authorize a commissioners court to

 3-5     exercise any ordinance-making authority not otherwise specifically

 3-6     granted by state law.

 3-7           SECTION 4.  The importance of this legislation and the

 3-8     crowded condition of the calendars in both houses create an

 3-9     emergency and an imperative public necessity that the

3-10     constitutional rule requiring bills to be read on three several

3-11     days in each house be suspended, and this rule is hereby suspended,

3-12     and that this Act take effect and be in force from and after its

3-13     passage, and it is so enacted.

         _______________________________     _______________________________

             President of the Senate              Speaker of the House

               I hereby certify that S.B. No. 395 passed the Senate on

         April 17, 1997, by the following vote:  Yeas 31, Nays 0; and that

         the Senate concurred in House amendments on May 22, 1997, by the

         following vote:  Yeas 31, Nays 0.

                                             _______________________________

                                                 Secretary of the Senate

               I hereby certify that S.B. No. 395 passed the House, with

         amendments, on May 21, 1997, by the following vote:  Yeas 145,

         Nays 0, two present not voting.

                                             _______________________________

                                                 Chief Clerk of the House

         Approved:

         _______________________________

                     Date

         _______________________________

                   Governor