SRC-AXB H.B. 2787 76(R)   BILL ANALYSIS


Senate Research Center   H.B. 2787
76R8657  CAG-DBy: Eiland (Jackson)
Intergovernmental Relations
5/12/1999
Engrossed


DIGEST 

Currently, local governments are required to take a bidder's lowest bid
regardless of the bidder's place of business.  H.B. 2787 allows counties to
accept bids which are offered by a business whose principal place of
business is within the locality, whose bids are within three percent of the
lowest bid price. 

PURPOSE

As proposed, H.B. 2787 allows counties to accept bids which are offered by
a business whose principal place of business is within the locality, whose
bids are within three percent of the lowest bid price. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 271Z, Local Government Code, by adding Section
271.905, as follows: 

Sec.  271.905.  CONSIDERATION OF LOCATION OF BIDDER'S PRINCIPAL PLACE OF
BUSINESS.  Defines "local government."  Authorizes a local government to
enter into a contract with certain entities, if it receives one or more
bids from a certain bidder.  Provides that this section does not prohibit a
local government from rejecting all bids. 

SECTION 2.  Makes application of this Act prospective.

SECTION 3.  Emergency clause.
  Effective date:  upon passage.