By Eiland, Gray H.B. No. 2787 76R8657 CAG-D A BILL TO BE ENTITLED 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, county, or other political 1-11 subdivision authorized to purchase property under this title. 1-12 (b) If a local government receives one or more bids from a 1-13 bidder whose principal place of business is in the local government 1-14 and whose bid is within three percent of the lowest bid price 1-15 received by the local government from a bidder who is not a 1-16 resident of the local government, the local government may enter 1-17 into a contract with: 1-18 (1) the lowest bidder; or 1-19 (2) the bidder whose principal place of business is in 1-20 the local government if the governing body of the local government 1-21 determines, in writing, that the local bidder offers the local 1-22 government the best combination of contract price and additional 1-23 economic development opportunities for the local government created 1-24 by the contract award, including the employment of residents of the 2-1 local government and increased tax revenues to the local 2-2 government. 2-3 (c) This section does not prohibit a local government from 2-4 rejecting all bids. 2-5 SECTION 2. This Act applies only to a contract that is 2-6 awarded on or after the effective date of this Act. 2-7 SECTION 3. The importance of this legislation and the 2-8 crowded condition of the calendars in both houses create an 2-9 emergency and an imperative public necessity that the 2-10 constitutional rule requiring bills to be read on three several 2-11 days in each house be suspended, and this rule is hereby suspended, 2-12 and that this Act take effect and be in force from and after its 2-13 passage, and it is so enacted.