HBA-DMD H.B. 3560 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3560 By: Luna, Vilma State Affairs 4/6/1999 Introduced BACKGROUND AND PURPOSE The Texas Natural Resource Conservation Commission has found that agencies of other states and of the federal government have resources which are available for purchase on a cost-reimbursement basis. Many of these agencies do not routinely submit bids or proposals and cannot be considered in the competitive procurement process. Current procurement requirements do not differentiate between a purchase from a commercial entity and another governmental unit unless that unit is a Texas agency or a local government. H.B. 3560 authorizes a state agency to contract with a state or federal agency for the provision of necessary and authorized services and resources. This bill sets forth that a written contract is not required between agencies of this state in certain situations. It requires an agency of this state, that receives services or resources from an agency of another state or the federal government, to reimburse each agency that provided the services or resources. 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 771.002, Government Code, by adding Subdivision (4), to define "state or federal agency." SECTION 2. Amends Sections 771.003, 771.004, 771.006, 771.007, 771.008, and 771.010, Government Code, as follows: Sec. 771.003. AUTHORITY TO CONTRACT; EXCEPTIONS. (a) Authorizes a state agency to contract with, rather than to agree or contract with, a state or federal agency, rather than another state agency, for the provision of necessary and authorized services and resources. Makes conforming and nonsubstantive changes. (b) Makes conforming and nonsubstantive changes. (c) Makes conforming and nonsubstantive changes. Sec. 771.004. CONTRACT REQUIREMENTS; EXCEPTIONS. (a) Deletes the provision that a state agency must have entered into an agreement approved by the administrator of each agency that is a party to the agreement, before a state agency may provide or receive a service or resource. Makes conforming and nonsubstantive changes. (b) Makes a conforming change. (c) Sets forth that a written contract, rather than a written agreement or contract, is not required between agencies of this state in certain situations. (d) Makes a conforming change. Sec. 771.006. PURCHASES AND SUBCONTRACTS OF SERVICES AND RESOURCES. Makes a conforming change. Sec. 771.007. REIMBURSEMENT AND ADVANCEMENT OF COSTS. Makes conforming changes. Sec. 771.008. REIMBURSEMENT PROCEDURES. (a) Makes conforming changes. (b) Makes a conforming change. (c) Makes no change. (d) Requires an agency of this state that receives services or resources from an agency of another state or the federal government to reimburse each agency that provided the services or resources as provided by the terms of the contract. Sec. 771.010. EXCEEDING AUTHORITY PROHIBITED. Makes conforming changes. SECTION 3.Effective date: September 1, 1999. SECTION 4.Emergency clause.