By:  Brown                                             S.B. No. 804

                                A BILL TO BE ENTITLED

                                       AN ACT

 1-1     relating to allowing municipalities to purchase goods for retail

 1-2     sale without following competitive bidding procedures.

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

 1-4           SECTION 1.  Subsection (a), Section 252.022, Local Government

 1-5     Code, is amended to read as follows:

 1-6           (a)  This chapter does not apply to an expenditure for:

 1-7                 (1)  a procurement made because of a public calamity

 1-8     that requires the immediate appropriation of money to relieve the

 1-9     necessity of the municipality's residents or to preserve the

1-10     property of the municipality;

1-11                 (2)  a procurement necessary to preserve or protect the

1-12     public health or safety of the municipality's residents;

1-13                 (3)  a procurement necessary because of unforeseen

1-14     damage to public machinery, equipment, or other property;

1-15                 (4)  a procurement for personal, professional, or

1-16     planning services;

1-17                 (5)  a procurement for work that is performed and paid

1-18     for by the day as the work progresses;

1-19                 (6)  a purchase of land or a right-of-way;

1-20                 (7)  a procurement of items that are available from

1-21     only one source, including:

1-22                       (A)  items that are available from only one

1-23     source because of patents, copyrights, secret processes, or natural

 2-1     monopolies;

 2-2                       (B)  films, manuscripts, or books;

 2-3                       (C)  electricity, gas, water, and other utility

 2-4     services;

 2-5                       (D)  captive replacement parts or components for

 2-6     equipment;

 2-7                       (E)  books, papers, and other library materials

 2-8     for a public library that are available only from the persons

 2-9     holding exclusive distribution rights to the materials; and

2-10                       (F)  management services provided by a nonprofit

2-11     organization to a municipal museum, park, zoo, or other facility to

2-12     which the organization has provided significant financial or other

2-13     benefits;

2-14                 (8)  a purchase of rare books, papers, and other

2-15     library materials for a public library;

2-16                 (9)  paving drainage, street widening, and other public

2-17     improvements, or related matters, if at least one-third of the cost

2-18     is to be paid by or through special assessments levied on property

2-19     that will benefit from the improvements;

2-20                 (10)  a public improvement project, authorized by the

2-21     voters of the municipality, for which there is a deficiency of

2-22     funds for completing the project in accordance with the plans and

2-23     purposes authorized by the voters;

2-24                 (11)  a payment under a contract by which a developer

2-25     participates in the construction of a public improvement as

 3-1     provided by Subchapter C, Chapter 212;

 3-2                 (12)  personal property sold:

 3-3                       (A)  at an auction by a state licensed

 3-4     auctioneer;

 3-5                       (B)  at a going out of business sale held in

 3-6     compliance with Subchapter F, Chapter 17, Business & Commerce Code;

 3-7                       (C)  by a political subdivision of this state, a

 3-8     state agency of this state, or an entity of the federal government;

 3-9     or

3-10                       (D)  under an interlocal contract for cooperative

3-11     purchasing administered by a regional planning commission

3-12     established under Chapter 391; [or]

3-13                 (13)  services performed by blind or severely disabled

3-14     persons; or

3-15                 (14)  goods purchased by a municipality for subsequent

3-16     retail sale by the municipality.

3-17           SECTION 2.  The importance of this legislation and the

3-18     crowded condition of the calendars in both houses create an

3-19     emergency and an imperative public necessity that the

3-20     constitutional rule requiring bills to be read on three several

3-21     days in each house be suspended, and this rule is hereby suspended,

3-22     and that this Act take effect and be in force from and after its

3-23     passage, and it is so enacted.