AN ACT
 1-1     relating to repair and resale of certain data processing equipment.
 1-2           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-3           SECTION 1.  Subchapter A, Chapter 497, Government Code, is
 1-4     amended by adding Section 497.011 to read as follows:
 1-5           Sec. 497.011.  REPAIR AND RESALE OF SURPLUS DATA PROCESSING
 1-6     EQUIPMENT.  (a)  The department may receive surplus or salvage data
 1-7     processing equipment under Chapter 2175.
 1-8           (b)  If the department determines that it is economically
 1-9     feasible, the department shall repair or refurbish the surplus or
1-10     salvage data processing equipment.  The department shall sell the
1-11     repaired or refurbished data processing equipment to a school
1-12     district, a state agency, or a political subdivision of the state
1-13     in that relative order of preference.
1-14           (c)  If it is not economically feasible to repair or
1-15     refurbish the surplus or salvage data processing equipment, the
1-16     department shall disassemble the equipment and sell the components
1-17     or retain the components in the department's inventory for future
1-18     use.
1-19           (d)  The department shall attempt to realize the maximum
1-20     benefit to the state in selling repaired or refurbished data
1-21     processing equipment or the components.
1-22           (e)  The sales price of the components or the repaired or
1-23     refurbished data processing equipment must be sufficient to defray
1-24     the cost of repairing, refurbishing, or disassembling the data
 2-1     processing equipment.
 2-2           (f)  Proceeds from the sale of the components or the repaired
 2-3     or refurbished data processing equipment shall be deposited in the
 2-4     industrial revolving account.  The proceeds may  be used only to
 2-5     reduce the cost of repairing and refurbishing data processing
 2-6     equipment.
 2-7           (g)  The department may adopt rules to implement this
 2-8     section.
 2-9           (h)  The department shall ensure that all information stored
2-10     on the surplus or salvage data processing equipment received by the
2-11     department under this section is removed from the equipment before
2-12     any inmate is given access to the equipment.  This subsection does
2-13     not require the removal of any operating system or software program
2-14     stored on the data processing equipment.
2-15           SECTION 2.  Section 2175.001, Government Code, is amended by
2-16     adding Subdivision (5) to read as follows:
2-17                 (5)  "Data processing equipment" means equipment
2-18     described by Section 2054.003(3)(A).
2-19           SECTION 3.  Subchapter C, Chapter 2175, Government Code, is
2-20     amended by adding Section 2175.126 to read as follows:
2-21           Sec. 2175.126.  DISPOSITION OF DATA PROCESSING EQUIPMENT.
2-22     (a)  If a disposition of a state agency's surplus or salvage data
2-23     processing equipment is not made under this subchapter, the state
2-24     agency shall transfer the equipment to the Texas Department of
2-25     Criminal Justice.  The state agency may not collect a fee or other
2-26     reimbursement from the Texas Department of Criminal Justice for the
 3-1     surplus or salvage data processing equipment.
 3-2           (b)  If a disposition of the surplus or salvage data
 3-3     processing equipment of a state eleemosynary institution or an
 3-4     institution or agency of higher education is not made under other
 3-5     law, the institution or agency shall transfer the equipment to the
 3-6     Texas Department of Criminal Justice.  The institution or agency
 3-7     may not collect a fee or other reimbursement from the Texas
 3-8     Department of Criminal Justice for the surplus or salvage data
 3-9     processing equipment.
3-10           SECTION 4.  Section 2175.302, Government Code, is amended to
3-11     read as follows:
3-12           Sec. 2175.302.  EXCEPTION FOR ELEEMOSYNARY INSTITUTIONS AND
3-13     INSTITUTIONS AND AGENCIES OF HIGHER EDUCATION.  Except as provided
3-14     by Section 2175.126(b), this [This] chapter does not apply to the
3-15     disposition of surplus or salvage property by a state eleemosynary
3-16     institution or an institution or agency of higher education.
3-17           SECTION 5.  This Act takes effect September 1, 1999.
3-18           SECTION 6.  The importance of this legislation and the
3-19     crowded condition of the calendars in both houses create an
3-20     emergency and an imperative public necessity that the
3-21     constitutional rule requiring bills to be read on three several
3-22     days in each house be suspended, and this rule is hereby suspended.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I hereby certify that S.B. No. 1105 passed the Senate on
         April 19, 1999, by the following vote:  Yeas 30, Nays 0; and that
         the Senate concurred in House amendment on May 21, 1999, by the
         following vote:  Yeas 30, Nays 0.
                                             _______________________________
                                                 Secretary of the Senate
               I hereby certify that S.B. No. 1105 passed the House, with
         amendment, on May 13, 1999, by a non-record vote.
                                             _______________________________
                                                 Chief Clerk of the House
         Approved:
         _______________________________
                     Date
         _______________________________
                   Governor