1-1                                   AN ACT
 1-2     relating to local governments that may consider the location of a
 1-3     bidder's principal place of business in awarding contracts.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1. Section 271.905(a), Local Government Code, is
 1-6     amended to read as follows:
 1-7           (a)  In this section, "local government" means a municipality
 1-8     with a population of 200,000 [100,000] or less, a county with a
 1-9     population of 400,000 [300,000] or less, or another political
1-10     subdivision authorized under this title to purchase real property
1-11     or personal property that is not affixed to real property.  The
1-12     term does not include a school district.
1-13           SECTION 2. The change in law made by this Act affects only a
1-14     contract that is awarded on or after the effective date of this
1-15     Act.
1-16           SECTION 3. This Act takes effect immediately if it receives a
1-17     vote of two-thirds of all the members elected to each house, as
1-18     provided by Section 39, Article III, Texas Constitution.  If this
1-19     Act does not receive the vote necessary for immediate effect, this
1-20     Act takes effect September 1, 2001.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 969 was passed by the House on March
         13, 2001, by a non-record vote.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 969 was passed by the Senate on May
         17, 2001, by the following vote:  Yeas 30, Nays 0, 1 present, not
         voting.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  __________________________
                              Date
                    __________________________
                            Governor