1-1 By: Solomons, Callegari, et al. H.B. No. 197
1-2 (Senate Sponsor - Shapiro)
1-3 (In the Senate - Received from the House April 2, 2001;
1-4 April 3, 2001, read first time and referred to Committee on
1-5 Intergovernmental Relations; April 25, 2001, reported favorably by
1-6 the following vote: Yeas 6, Nays 0; April 25, 2001, sent to
1-7 printer.)
1-8 A BILL TO BE ENTITLED
1-9 AN ACT
1-10 relating to the threshold contract amount at which certain
1-11 political subdivisions are required to engage in a competitive
1-12 purchasing procedure.
1-13 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-14 SECTION 1. Section 252.021(a), Local Government Code, is
1-15 amended to read as follows:
1-16 (a) Before a municipality may enter into a contract that
1-17 requires an expenditure of more than $25,000 [$15,000] from one or
1-18 more municipal funds, the municipality must comply with the
1-19 procedure prescribed by this chapter for competitive sealed bidding
1-20 or competitive sealed proposals.
1-21 SECTION 2. Section 252.0215, Local Government Code, is
1-22 amended to read as follows:
1-23 Sec. 252.0215. COMPETITIVE BIDDING IN RELATION TO
1-24 HISTORICALLY UNDERUTILIZED BUSINESS. A municipality, in making an
1-25 expenditure of more than $3,000 but less than $25,000 [$15,000],
1-26 shall contact at least two historically underutilized businesses on
1-27 a rotating basis, based on information provided by the General
1-28 Services Commission pursuant to Chapter 2161, Government Code. If
1-29 the list fails to identify a historically underutilized business in
1-30 the county in which the municipality is situated, the municipality
1-31 is exempt from this section.
1-32 SECTION 3. Sections 252.312(b) and (c), Transportation Code,
1-33 are amended to read as follows:
1-34 (b) If the county road engineer so recommends and the
1-35 commissioners court considers it to be in the best interest of the
1-36 county, a purchase in an amount of $25,000 [$15,000] or less may be
1-37 made through negotiation by the commissioners court or the court's
1-38 authorized representative on requisition to be approved by the
1-39 commissioners court or the county auditor without advertising for
1-40 competitive bids.
1-41 (c) A purchase may not be divided or reduced to avoid the
1-42 competitive bidding requirement on a purchase that would otherwise
1-43 cost more than $25,000 [$15,000].
1-44 SECTION 4. Section 262.003(a), Local Government Code, is
1-45 amended to read as follows:
1-46 (a) Any law that requires a county to follow a competitive
1-47 bidding procedure in making a purchase requiring the expenditure of
1-48 $25,000 [$15,000] or less does not apply to the purchase of an item
1-49 available for purchase from only one supplier.
1-50 SECTION 5. Section 271.024, Local Government Code, is amended
1-51 to read as follows:
1-52 Sec. 271.024. Competitive Bidding Procedure Applicable to
1-53 Contract. If a governmental entity is required by statute to award
1-54 a contract for the construction, repair, or renovation of a
1-55 structure, road, highway, or other improvement or addition to real
1-56 property on the basis of competitive bids, and if the contract
1-57 requires the expenditure of more than $25,000 [$15,000] from the
1-58 funds of the entity, the bidding on the contract must be
1-59 accomplished in the manner provided by this subchapter.
1-60 SECTION 6. Section 363.156(b), Local Government Code, is
1-61 amended to read as follows:
1-62 (b) To the extent competitive bidding procedures in Title 8
1-63 apply, the board may not enter purchasing contracts that involve
1-64 spending more than $25,000 [$15,000] unless the board complies
2-1 with:
2-2 (1) Subchapter C, Chapter 262, if the district was
2-3 created by a county; or
2-4 (2) Chapter 252, if the district was created by a
2-5 municipality.
2-6 SECTION 7. This Act takes effect September 1, 2001.
2-7 * * * * *