By:  Armbrister                                       S.B. No. 1127
                                A BILL TO BE ENTITLED
                                       AN ACT
 1-1     relating to the purchase of goods and services by the state.
 1-2           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-3           SECTION 1.  Section 2155.078, Government Code, is amended by
 1-4     amending the section heading and Subsections (a) and (m) to read as
 1-5     follows:
 1-6           Sec. 2155.078.  TRAINING AND CERTIFICATION OF STATE AGENCY
 1-7     PURCHASING PERSONNEL AND VENDORS.  (a)  The commission shall
 1-8     establish and administer a system of training, continuing
 1-9     education, and certification for state agency purchasing personnel.
1-10     The commission may establish and offer appropriate training to
1-11     vendors on a cost recovery basis.  The commission may adopt rules
1-12     to administer this section, including rules relating to monitoring
1-13     a certified purchaser's compliance with the continuing education
1-14     requirements of this section.
1-15           (m)  The commission's prerequisites for receiving a
1-16     level-three purchaser certification must include completion of the
1-17     second training level, passage of a written [and an oral]
1-18     examination, and a minimum of three years of purchasing experience.
1-19           SECTION 2.  Subsection (d), Section 2155.262, Government
1-20     Code, is amended to read as follows:
1-21           (d)  A state agency shall submit to the commission each
1-22     uniform registration form that it receives.  [The commission shall
1-23     send to the comptroller a copy of each uniform registration form.]
1-24           SECTION 3.  Subsection (a), Section 2155.263, Government
 2-1     Code, is amended to read as follows:
 2-2           (a)  The commission shall maintain a centralized master
 2-3     bidders list and [annually] register on the list the name and
 2-4     address of each vendor that applies for registration under rules
 2-5     adopted under this subchapter.  The commission may include other
 2-6     relevant vendor information on the list.
 2-7           SECTION 4.  Subsection (a), Section 2155.266, Government
 2-8     Code, is amended to read as follows:
 2-9           (a)  The commission may charge a person applying for
2-10     registration on the master bidders list a registration fee and may
2-11     charge a registrant a biennial [an annual] renewal fee in an amount
2-12     designed to recover the commission's costs in:
2-13                 (1)  making and maintaining the master bidders list;
2-14     and
2-15                 (2)  soliciting bids or proposals under this
2-16     subchapter.
2-17           SECTION 5.  Section 2155.384, Government Code, is amended to
2-18     read as follows:
2-19           Sec. 2155.384.  AUTHORITY TO PAY CHARGES.  The commission,
2-20     [or] a state agency, or an entity authorized under Chapter 271,
2-21     Local Government Code, or Section 2155.202 to purchase from a
2-22     contract entered into under the authority of the commission may pay
2-23     a restocking charge, cancellation fee, or other similar charge if
2-24     the commission, state agency, or other entity determines that the
2-25     charge is justifiable.
2-26           SECTION 6.  Section 2155.445, Government Code, is amended to
 3-1     read as follows:
 3-2           Sec. 2155.445.  PREFERENCE FOR RECYCLED, REMANUFACTURED, OR
 3-3     ENVIRONMENTALLY SENSITIVE PRODUCTS.  (a)  The commission and state
 3-4     agencies shall give preference to [a product made of] recycled,
 3-5     remanufactured, or environmentally sensitive products, as those
 3-6     terms are defined by rule of the commission, [materials] in
 3-7     purchases made under this subtitle if the product meets state
 3-8     specifications regarding quantity and quality.
 3-9           (b)  The commission regularly shall review and revise its
3-10     procurement procedures and specifications for the purchase of goods
3-11     to:
3-12                 (1)  eliminate procedures and specifications that
3-13     explicitly discriminate against [products made of] recycled,
3-14     remanufactured, or environmentally sensitive products, as those
3-15     terms are defined by rule of the commission, [materials]; and
3-16                 (2)  encourage the use of [products made of] recycled,
3-17     remanufactured, or environmentally sensitive products [materials].
3-18           (c)  In developing new procedures and specifications, the
3-19     commission shall encourage the use of recycled products and
3-20     products that may be recycled or reused or that are remanufactured
3-21     or environmentally sensitive.
3-22           SECTION 7.  Section 2155.448, Government Code, is amended to
3-23     read as follows:
3-24           Sec. 2155.448.  EXPENDITURES FOR RECYCLED, REMANUFACTURED, OR
3-25     ENVIRONMENTALLY SENSITIVE COMMODITIES OR SERVICES [MATERIALS].
3-26     (a)  Each state fiscal year, the commission, in coordination with
 4-1     the Recycling Market Development Board, by rule may identify
 4-2     recycled, remanufactured, or environmentally sensitive commodities
 4-3     or services, as those terms are defined by rule of the commission,
 4-4     and designate purchasing goals for the procurement of those
 4-5     commodities and services by state agencies for that fiscal year [A
 4-6     state agency shall spend not less than eight percent of its
 4-7     consumable procurement budget for each fiscal year for goods that
 4-8     have recycled material content or that are remanufactured or
 4-9     environmentally sensitive, as those terms are defined by the
4-10     commission].
4-11           (b)  A state agency that intends to purchase a commodity or
4-12     service that accomplishes the same purpose as a commodity or
4-13     service identified under Subsection (a) that does not meet the
4-14     definition of a recycled product or that is not remanufactured or
4-15     environmentally sensitive, as those terms are defined by rule of
4-16     the commission, shall include with the procurement file a written
4-17     justification signed by the executive head of the agency stating
4-18     the reasons for the determination that the commodity or service
4-19     identified by the commission will not meet the requirements of the
4-20     agency [Not later than January 1 of each year, a state agency shall
4-21     deliver a report of the total expenditures in the areas subject to
4-22     Subsection (a) and the amount spent in each category for the
4-23     previous fiscal year to the Legislative Budget Board].
4-24           (c)  A state agency shall report in its annual financial
4-25     report, and in an annual report to the commission at a date and in
4-26     a manner and form prescribed by the commission, the expenditures
 5-1     made during the preceding state fiscal year for each of the
 5-2     commodities or services identified under Subsection (a).  The
 5-3     report must at a minimum identify the total amount spent on those
 5-4     commodities and services and the total amount spent for commodities
 5-5     and services purchased that accomplish the same purpose.
 5-6     Additionally, state agencies shall report the amount spent for all
 5-7     other recycled, remanufactured, and environmentally sensitive
 5-8     commodities and services by type of commodity and service as
 5-9     prescribed by the commission.
5-10           SECTION 8.  Section 2156.121, Government Code, is amended by
5-11     adding Subsection (c) to read as follows:
5-12           (c)  The commission shall determine whether to delegate sole
5-13     oversight of the acquisition to a state agency or to retain
5-14     oversight of the procurement.
5-15           SECTION 9.  Chapter 2156, Government Code, is amended by
5-16     adding Subchapter D to read as follows:
5-17                SUBCHAPTER D.  INTERSTATE COMPACTS PROCEDURE
5-18           Sec. 2156.181.  INTERSTATE COMPACTS AND COOPERATIVE
5-19     AGREEMENTS FOR PROCUREMENTS.  (a)  The commission may enter into
5-20     one or more compacts, interagency agreements, or cooperative
5-21     purchasing agreements with one or more state governments, agencies
5-22     of other states, or other governmental entities for the purchase of
5-23     goods or services if the commission determines that entering into
5-24     an agreement would be in the best interest of the state.
5-25           (b)  The commission may adopt rules to implement this
5-26     section.
 6-1           SECTION 10.  Subdivision (1), Section 2157.001, Government
 6-2     Code, is amended to read as follows:
 6-3                 (1)  "Automated information system" includes:
 6-4                       (A)  the computers and computer devices on which
 6-5     an [the] information system is automated, including computers and
 6-6     computer devices that the commission identifies in guidelines
 6-7     developed by the commission in consultation with the Department of
 6-8     Information Resources and in accordance with Chapter 2054 and rules
 6-9     adopted under that chapter;
6-10                       (B)  a service related to the automation of an
6-11     information [the] system, including computer software[,] or [the]
6-12     computers;
6-13                       (C)  a telecommunications apparatus or device
6-14     that serves as a component of a voice, data, or video
6-15     communications network for transmitting, switching, routing,
6-16     multiplexing, modulating, amplifying, or receiving signals on the
6-17     network, and services related to telecommunications that are not
6-18     covered under Paragraph (D); and
6-19                       (D)  for the General Services Commission, as
6-20     telecommunications provider for the state [State], the term
6-21     includes any service provided by a telecommunications provider, as
6-22     that term is defined by Section 51.002, Utilities Code [in the
6-23     Public Utility Regulatory Act of 1995 (Article 1446c-0, Vernon's
6-24     Texas Civil Statutes)].
6-25           SECTION 11.  Subsections (a) and (b), Section 2157.005,
6-26     Government Code, are amended to read as follows:
 7-1           (a)  The commission and the Department of Information
 7-2     Resources, in consultation with other state agencies and after
 7-3     public comment, shall develop a technology access clause to be
 7-4     included in all contracts entered into by the state or state
 7-5     agencies that involve the acquisition of an automated information
 7-6     system.
 7-7           (b)  State [The clause shall clearly state, as a condition
 7-8     for the expenditure of state] funds may not be expended in the
 7-9     purchase of an automated information system unless the contract
7-10     contains the technology access clause.  The clause must read as
7-11     follows[, that the technology]:
7-12           "The vendor expressly acknowledges that state funds may not
7-13     be expended in connection with the purchase of an automated
7-14     information system unless that system meets certain statutory
7-15     requirements relating to accessibility by persons with visual
7-16     impairments.  Accordingly, the vendor represents and warrants to
7-17     (name of state agency) that the technology provided to (name of
7-18     state agency) for purchase is capable, either by virtue of features
7-19     included within the technology or because it is readily adaptable
7-20     by use with other technology, of:
7-21                 (1)  providing [will provide] equivalent access for
7-22     effective use by both visual and nonvisual means;
7-23                 (2)  presenting [will present] information, including
7-24     prompts used for interactive communications, in formats intended
7-25     for both visual and nonvisual use; and
7-26                 (3)  being [can be] integrated into networks for
 8-1     obtaining, retrieving, and disseminating information used by
 8-2     individuals who are not blind or visually impaired.
 8-3           "For purposes of this clause, the phrase "equivalent access"
 8-4     means a substantially similar ability to communicate with or make
 8-5     use of the technology, either directly by features incorporated
 8-6     within the technology or by other reasonable means such as
 8-7     assistive devices or services that would constitute reasonable
 8-8     accommodations under the federal Americans with Disabilities Act or
 8-9     similar state or federal laws.  Examples of methods by which
8-10     equivalent access may be provided include, but are not limited to,
8-11     keyboard alternatives to mouse commands and other means of
8-12     navigating graphical displays, and customizable display
8-13     appearance."
8-14           SECTION 12.  Section 2157.0611, Government Code, is amended
8-15     to read as follows:
8-16           Sec. 2157.0611.  REQUIREMENT TO EVALUATE THREE PROPOSALS WHEN
8-17     POSSIBLE.  A catalogue purchase or lease that exceeds $2,000 or a
8-18     greater amount prescribed by commission rule shall, when possible,
8-19     be based on an evaluation of at least three catalogue proposals
8-20     made to the commission or other state agency by qualified
8-21     information systems vendors.  If at least three catalogue proposals
8-22     are not evaluated by the commission or other state agency before a
8-23     [the] purchase or lease that exceeds the threshhold amount is made,
8-24     the commission or other agency shall document the reasons for that
8-25     fact before making the purchase or lease under Section 2157.063.
8-26           SECTION 13.  Subsection (a), Section 2157.063, Government
 9-1     Code, is amended to read as follows:
 9-2           (a)  If a purchase or lease is the best value available and
 9-3     is in the state's best interest, a state agency may under this
 9-4     subchapter purchase or lease an automated information system
 9-5     directly from a qualified information systems vendor and may
 9-6     negotiate price and additional terms and conditions to be included
 9-7     in a contract relating to the purchase or lease.
 9-8           SECTION 14.  Section 2157.066, Government Code, is amended by
 9-9     amending Subsections (b) and (c) and adding Subsection (f) to read
9-10     as follows:
9-11           (b)  The vendor shall revise the catalogue as necessary [to
9-12     include price changes or the availability of goods or services and
9-13     shall make the revisions available] in the manner required by the
9-14     commission.
9-15           (c)  The commission shall make the catalogue information
9-16     available on the world wide web, or on a suitable successor to the
9-17     world wide web if the technological developments involving the
9-18     Internet make it advisable to do so.  The commission shall require
9-19     each qualified information systems vendor to maintain its approved
9-20     catalogue [a home page] on the web, or an analogous feature on a
9-21     suitable successor, through which the vendor makes the vendor's
9-22     current catalogue information publicly available.  The commission
9-23     shall maintain the necessary databases and indexing functions
9-24     through which a state agency or the public may efficiently search
9-25     for and find each qualified information systems vendor's catalogue
9-26     information on the web or on a suitable successor.
 10-1          (f)  The commission may audit a qualified information systems
 10-2    vendor's approved catalogue for compliance with Subsection (c).
 10-3          SECTION 15.  Section 2158.241, Government Code, is amended to
 10-4    read as follows:
 10-5          Sec. 2158.241.  INTERSTATE COMPACTS AND COOPERATIVE
 10-6    AGREEMENTS FOR PROCURING RECYCLED PRODUCTS.  The commission may
 10-7    [shall] enter into compacts and cooperative agreements with other
 10-8    states and government entities for procuring products made of
 10-9    recycled materials when the commission determines it is in the best
10-10    interest of the state.
10-11          SECTION 16.  Subsection (a), Section 2254.040, Government
10-12    Code, is amended to read as follows:
10-13          (a)  The General Services Commission may [shall], on request
10-14    of a state agency, procure for the agency consulting services that
10-15    are covered by this subchapter.
10-16          SECTION 17.  Subsection (d), Section 2155.268, Government
10-17    Code, is repealed.
10-18          SECTION 18.  The change in law made by this Act to Subsection
10-19    (b), Section 2157.005, Government Code, applies only to a contract
10-20    that is entered into or renewed on or after the effective date of
10-21    this Act.  A contract entered into before that date is governed by
10-22    the law in effect at the time the contract was entered into, and
10-23    that law is continued in effect for that purpose.
10-24          SECTION 19.  The importance of this legislation and the
10-25    crowded condition of the calendars in both houses create an
10-26    emergency and an imperative public necessity that the
 11-1    constitutional rule requiring bills to be read on three several
 11-2    days in each house be suspended, and this rule is hereby suspended,
 11-3    and that this Act take effect and be in force from and after its
 11-4    passage, and it is so enacted.
 11-5                         COMMITTEE AMENDMENT NO. 1
 11-6          Amend S B. No. 1127 by adding an appropriately numbered
 11-7    section to read as follows:
 11-8          SECTION ____.  (a)  The state auditor shall contract with The
 11-9    University of Texas System to conduct a review of the processes and
11-10    procedures of the General Services Commission for the purpose of
11-11    making recommendations to improve the efficiency and effectiveness
11-12    of the commission in carrying out its statutory duties and to
11-13    assist the commission in implementing those recommendations. The
11-14    auditor shall provide any necessary support and assistance to the
11-15    system in conducting the review and may contract with other
11-16    entities to assist in the review.  The contract shall require the
11-17    system and any other contractor to present a report to the auditor
11-18    not later than December 1, 2000.  The report may include
11-19    recommendations for legislation.  The auditor shall transmit all of
11-20    the recommendations, together with any additional recommendations
11-21    of the auditor, to the General Services Commission and the
11-22    legislature.
11-23          (b)  The General Services Commission shall cooperate with the
11-24    auditor, the system, and any other contractors in carrying out the
11-25    review.
11-26          (c)  The lieutenant governor shall appoint two senators, and
 12-1    the speaker of the house shall appoint two members of the house, to
 12-2    an interim legislative oversight committee to oversee the review
 12-3    conducted under this section and to advise the auditor and the
 12-4    legislative audit committee in regard to the review. The chair of
 12-5    the legislative audit committee shall designate one member of the
 12-6    oversight committee to serve as chair of the oversight committee.
 12-7    The committee shall evaluate the effectiveness of the review
 12-8    conducted under this section and make recommendations to the
 12-9    legislative audit committee concerning this review and the
12-10    possibility of future similar reviews.  Those recommendations shall
12-11    be included in the auditor's report to the legislature under
12-12    Subsection (a).
12-13    76R12382 SRC-D                                               Brimer