1-1     By:  Duncan                                            S.B. No. 507
 1-2           (In the Senate - Filed February 15, 1999; February 16, 1999,
 1-3     read first time and referred to Committee on Intergovernmental
 1-4     Relations; April 6, 1999, reported adversely, with favorable
 1-5     Committee Substitute by the following vote:  Yeas 5, Nays 0;
 1-6     April 6, 1999, sent to printer.)
 1-7     COMMITTEE SUBSTITUTE FOR S.B. No. 507                    By:  Nixon
 1-8                            A BILL TO BE ENTITLED
 1-9                                   AN ACT
1-10     relating to the requirements for competitive bidding and proposal
1-11     procedures in certain municipalities.
1-12           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13           SECTION 1.  Subsections (b) and (c), Section 252.021, Local
1-14     Government Code, are amended to read as follows:
1-15           (b)  Before a municipality with a population of less than
1-16     75,000 [100,000] may enter into a contract for insurance that
1-17     requires an expenditure of more than $5,000 from one or more
1-18     municipal funds, the municipality must comply with the procedure
1-19     prescribed by this chapter for competitive sealed bidding.
1-20           (c)  A municipality may use the competitive sealed proposal
1-21     procedure only for high technology procurements or, in a
1-22     municipality with a population of 75,000 or more [in excess of
1-23     100,000], the purchase of insurance.
1-24           SECTION 2.  The change in law made by this Act applies only
1-25     to a purchase for which the notice required by Section 252.041,
1-26     Local Government Code, is first published on or after the effective
1-27     date of this Act.  A purchase for which the notice is first
1-28     published before the effective date of this Act is governed by the
1-29     law applicable to the purchase immediately before the effective
1-30     date of this Act, and that law is continued in effect for that
1-31     purpose.
1-32           SECTION 3.  The importance of this legislation and the
1-33     crowded condition of the calendars in both houses create an
1-34     emergency and an imperative public necessity that the
1-35     constitutional rule requiring bills to be read on three several
1-36     days in each house be suspended, and this rule is hereby suspended,
1-37     and that this Act take effect and be in force from and after its
1-38     passage, and it is so enacted.
1-39                                  * * * * *