1-1 AN ACT 1-2 relating to the consideration of the location of a bidder's 1-3 principal place of business in the award of contracts by certain 1-4 local governments. 1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-6 SECTION 1. Subchapter Z, Chapter 271, Local Government Code, 1-7 is amended by adding Section 271.905 to read as follows: 1-8 Sec. 271.905. CONSIDERATION OF LOCATION OF BIDDER'S 1-9 PRINCIPAL PLACE OF BUSINESS. (a) In this section, "local 1-10 government" means a municipality with a population of 100,000 or 1-11 less, a county with a population of 300,000 or less, or another 1-12 political subdivision authorized under this title to purchase real 1-13 property or personal property that is not affixed to real property. 1-14 The term does not include a school district. 1-15 (b) In purchasing under this title any real property or 1-16 personal property that is not affixed to real property, if a local 1-17 government receives one or more bids from a bidder whose principal 1-18 place of business is in the local government and whose bid is 1-19 within three percent of the lowest bid price received by the local 1-20 government from a bidder who is not a resident of the local 1-21 government, the local government may enter into a contract with: 1-22 (1) the lowest bidder; or 1-23 (2) the bidder whose principal place of business is in 1-24 the local government if the governing body of the local government 2-1 determines, in writing, that the local bidder offers the local 2-2 government the best combination of contract price and additional 2-3 economic development opportunities for the local government created 2-4 by the contract award, including the employment of residents of the 2-5 local government and increased tax revenues to the local 2-6 government. 2-7 (c) This section does not prohibit a local government from 2-8 rejecting all bids. 2-9 SECTION 2. This Act applies only to a contract that is 2-10 awarded on or after the effective date of this Act. 2-11 SECTION 3. The importance of this legislation and the 2-12 crowded condition of the calendars in both houses create an 2-13 emergency and an imperative public necessity that the 2-14 constitutional rule requiring bills to be read on three several 2-15 days in each house be suspended, and this rule is hereby suspended, 2-16 and that this Act take effect and be in force from and after its 2-17 passage, and it is so enacted. _______________________________ _______________________________ President of the Senate Speaker of the House I certify that H.B. No. 2787 was passed by the House on May 8, 1999, by the following vote: Yeas 143, Nays 0, 2 present, not voting; and that the House concurred in Senate amendments to H.B. No. 2787 on May 26, 1999, by a non-record vote. _______________________________ Chief Clerk of the House I certify that H.B. No. 2787 was passed by the Senate, with amendments, on May 24, 1999, by the following vote: Yeas 30, Nays 0. _______________________________ Secretary of the Senate APPROVED: _____________________ Date _____________________ Governor