HBA-NLM H.B. 1735 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 1735 By: Turner, Sylvester County Affairs 3/2/1999 Introduced BACKGROUND AND PURPOSE Current law does not extend to nonprofit organizations the ability to form consortiums with, or make purchases for, local and state governmental entities. However, cooperative purchasing has become common practice among other organizations and associations. H.B. 1735 allows nonprofit organizations to make purchases for local governments under a cooperative purchasing program and exempts these organizations from the statutory requirement to seek competitive bids for the purchase of goods or services. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 271.102, Local Government Code, by adding Subsection (d), to exempt from state law requiring local governments to seek competitive bids for the purchase of goods or services, a nonprofit organization that: _functions as a local cooperative organization; _makes purchases for local governments under a cooperative purchasing program; and _serves as an educational resource for local governments on procurement and development of technology. SECTION 2. Emergency clause. Effective date: 90 days after adjournment.