By Brown                                         S.B. No. 804

      75R1001 DRH-D                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to allowing municipalities to purchase goods for retail

 1-3     sale without following competitive bidding procedures.

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

 1-5           SECTION 1.  Section 252.022(a), Local Government Code, is

 1-6     amended to read as follows:

 1-7           (a)  This chapter does not apply to an expenditure for:

 1-8                 (1)  a procurement made because of a public calamity

 1-9     that requires the immediate appropriation of money to relieve the

1-10     necessity of the municipality's residents or to preserve the

1-11     property of the municipality;

1-12                 (2)  a procurement necessary to preserve or protect the

1-13     public health or safety of the municipality's residents;

1-14                 (3)  a procurement necessary because of unforeseen

1-15     damage to public machinery, equipment, or other property;

1-16                 (4)  a procurement for personal, professional, or

1-17     planning services;

1-18                 (5)  a procurement for work that is performed and paid

1-19     for by the day as the work progresses;

1-20                 (6)  a purchase of land or a right-of-way;

1-21                 (7)  a procurement of items that are available from

1-22     only one source, including:

1-23                       (A)  items that are available from only one

1-24     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

2-26     provided by Subchapter C, Chapter 212;

2-27                 (12)  personal property sold:

 3-1                       (A)  at an auction by a state licensed

 3-2     auctioneer;

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

 3-4     compliance with Subchapter F, Chapter 17, Business & Commerce Code;

 3-5                       (C)  by a political subdivision of this state, a

 3-6     state agency of this state, or an entity of the federal government;

 3-7     or

 3-8                       (D)  under an interlocal contract for cooperative

 3-9     purchasing administered by a regional planning commission

3-10     established under Chapter 391; [or]

3-11                 (13)  services performed by blind or severely disabled

3-12     persons; or

3-13                 (14)  goods purchased by a municipality for subsequent

3-14     retail sale by the municipality.

3-15           SECTION 2.  The importance of this legislation and the

3-16     crowded condition of the calendars in both houses create an

3-17     emergency and an imperative public necessity that the

3-18     constitutional rule requiring bills to be read on three several

3-19     days in each house be suspended, and this rule is hereby suspended,

3-20     and that this Act take effect and be in force from and after its

3-21     passage, and it is so enacted.