1-1                                   AN ACT
 1-2     relating to competitive bidding by mass transit authorities.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1.  Section 451.110(c), Transportation Code, is
 1-5     amended to read as follows:
 1-6           (c)  Subsection (a)  does not apply to a contract for:
 1-7                 (1)  $25,000 or less [by an authority created before
 1-8     1980 in which the principal municipality has a population of less
 1-9     than 1.2 million;]
1-10                 [(2)  $15,000 or less by an authority not described by
1-11     Subdivision (1)];
1-12                 (2) [(3)]  the purchase of real property;
1-13                 (3) [(4)]  personal or professional services; or
1-14                 (4) [(5)]  the acquisition of an existing transit
1-15     system.
1-16           SECTION 2.  Section 451.111(a), Transportation Code, is
1-17     amended to read as follows:
1-18           (a)  Unless the posting requirement in Subsection (b) is
1-19     satisfied, a board may not let a contract that is:
1-20                 (1)  for more than[:]
1-21                       [(A)]  $25,000 [by an authority created before
1-22     1980 in which the principal municipality has a population of less
1-23     than 1.2 million; or]
1-24                       [(B)  $15,000 by an authority not described by
 2-1     Paragraph (A)]; and
 2-2                 (2)  for:
 2-3                       (A)  the purchase of real property; or
 2-4                       (B)  consulting or professional services.
 2-5           SECTION 3.  Section 452.107(c), Transportation Code, is
 2-6     amended to read as follows:
 2-7           (c)  The executive committee may authorize the negotiation of
 2-8     a contract without competitive sealed bids or proposals if:
 2-9                 (1)  the aggregate amount involved in the contract is
2-10     $25,000 [$15,000] or less;
2-11                 (2)  the contract is for construction for which not
2-12     more than one bid or proposal is received;
2-13                 (3)  the contract is for services or property for which
2-14     there is only one source or for which it is otherwise impracticable
2-15     to obtain competition;
2-16                 (4)  the contract is to respond to an emergency for
2-17     which the public exigency does not permit the delay incident to the
2-18     competitive process;
2-19                 (5)  the contract is for personal or professional
2-20     services or services for which competitive bidding is precluded by
2-21     law; or
2-22                 (6)  the contract, without regard to form and which may
2-23     include bonds, notes, loan agreements, or other obligations, is for
2-24     the purpose of borrowing money or is a part of a transaction
2-25     relating to the borrowing of money, including:
2-26                       (A)  a credit support agreement, such as a line
2-27     or letter of credit or other debt guaranty;
 3-1                       (B)  a bond, note, debt sale or purchase,
 3-2     trustee, paying agent, remarketing agent, indexing agent, or
 3-3     similar agreement;
 3-4                       (C)  an agreement with a securities dealer,
 3-5     broker, or underwriter; and
 3-6                       (D)  any other contract or agreement considered
 3-7     by the executive committee to be appropriate or necessary in
 3-8     support of the authority's financing activities.
 3-9           SECTION 4.  The importance of this legislation and the
3-10     crowded condition of the calendars in both houses create an
3-11     emergency and an imperative public necessity that the
3-12     constitutional rule requiring bills to be read on three several
3-13     days in each house be suspended, and this rule is hereby suspended,
3-14     and that this Act take effect and be in force from and after its
3-15     passage, and it is so enacted.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 3543 was passed by the House on April
         30, 1999, by the following vote:  Yeas 138, Nays 0, 2 present, not
         voting; and that the House concurred in Senate amendments to H.B.
         No. 3543 on May 27, 1999, by the following vote:  Yeas 141, Nays 0,
         2 present, not voting.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 3543 was passed by the Senate, with
         amendments, on May 25, 1999, by the following vote:  Yeas 30, Nays
         0.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  _____________________
                            Date
                    _____________________
                          Governor