1-1 AN ACT
1-2 relating to the Texas Council on Purchasing from People with
1-3 Disabilities.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Sections 122.003(a) and (b), Human Resources Code,
1-6 are amended to read as follows:
1-7 (a) The Texas Council on Purchasing from People with
1-8 Disabilities is composed of nine [the following] members selected
1-9 from the following categories who are appointed by the governor
1-10 with the advice and consent of the senate:
1-11 (1) [three] private citizens conversant with the
1-12 employment needs of persons with disabilities, including blindness,
1-13 and with current experience in the pricing and marketing of goods
1-14 and services;
1-15 (2) [three] representatives of community
1-16 rehabilitation programs that represent different disability groups,
1-17 including persons with blindness, and that provide or seek to
1-18 provide products produced or services performed by persons with
1-19 disabilities; [and]
1-20 (3) [three] representatives of state agencies or
1-21 political subdivisions that purchase a significant amount of
1-22 products produced or services performed by persons with
1-23 disabilities; and
1-24 (4) persons with disabilities.
2-1 (b) The governor shall select at least one member from each
2-2 category prescribed by Subsection (a). To the extent possible,
2-3 the governor shall attempt to ensure each category is
2-4 proportionately represented on the council. Members of the council
2-5 serve staggered terms of six years with the terms of three members
2-6 expiring on January 31 of each odd-numbered year. Members may not
2-7 receive compensation for their service on the council, but they are
2-8 entitled to reimbursement for actual and necessary expenses
2-9 incurred in performing their duties as members.
2-10 SECTION 2. Chapter 122, Human Resources Code, is amended by
2-11 adding Section 122.0055 to read as follows:
2-12 Sec. 122.0055. COUNCIL STAFF. (a) The council may employ
2-13 staff as necessary to carry out the council's duties.
2-14 (b) The staff shall provide:
2-15 (1) management oversight for the administration of
2-16 this chapter; and
2-17 (2) policy guidance and administrative support to the
2-18 council.
2-19 SECTION 3. Chapter 122, Human Resources Code, is amended by
2-20 adding Section 122.0057 to read as follows:
2-21 Sec. 122.0057. ADVISORY COMMITTEE. (a) The council may
2-22 establish an advisory committee if the council considers the
2-23 committee necessary. The membership of the committee is determined
2-24 by the council.
2-25 (b) The council shall specify the purpose and duties of the
2-26 advisory committee, which must include:
2-27 (1) reviewing the effectiveness of the program
3-1 administered under this chapter; and
3-2 (2) recommending procedures to create higher skilled
3-3 and higher paying employment opportunities.
3-4 (c) Members of an advisory committee serve at the will of
3-5 the council. The council may dissolve an advisory committee when
3-6 appropriate.
3-7 (d) The council shall make reasonable attempts to have
3-8 balanced representation on all advisory committees, including
3-9 attempting to seek representation from:
3-10 (1) the Lighthouse for the Blind community
3-11 rehabilitation programs;
3-12 (2) the Goodwill community rehabilitation programs;
3-13 (3) the Texas Department of Mental Health and Mental
3-14 Retardation community rehabilitation program;
3-15 (4) other community rehabilitation programs;
3-16 (5) representatives from central nonprofit agencies;
3-17 (6) representatives of disability advocacy groups;
3-18 (7) government purchasing agents with knowledge of
3-19 this chapter;
3-20 (8) private industry representatives with knowledge of
3-21 this chapter; and
3-22 (9) private citizens who have a disability and have
3-23 knowledge of the sale of products and services.
3-24 SECTION 4. Chapter 122, Human Resources Code, is amended by
3-25 adding Section 122.0095 to read as follows:
3-26 Sec. 122.0095. AGENCY COMPLIANCE; NONPROGRAM PURCHASING
3-27 REPORT. (a) Each state agency that purchases products or services
4-1 through a program under this chapter shall:
4-2 (1) designate an agency employee to ensure that the
4-3 agency complies with this chapter; and
4-4 (2) report to the commission and the council the
4-5 purchase of products or services available from a central nonprofit
4-6 agency or community rehabilitation program under this chapter, but
4-7 purchased from another business that is not a central nonprofit
4-8 agency or community rehabilitation program under this chapter.
4-9 (b) A report under this section may be based on a sampling
4-10 of purchases by the agency in an audit conducted after the
4-11 purchases.
4-12 (c) Information in the report under this section shall be
4-13 included with the exception reports provided under Section 122.016.
4-14 (d) The commission shall post the reports required by
4-15 Subsection (a)(2) on the commission's website.
4-16 SECTION 5. Section 122.012, Human Resources Code, is amended
4-17 by amending Subsection (a) and adding Subsection (d) to read as
4-18 follows:
4-19 (a) The commission shall provide legal[, clerical,
4-20 administrative,] and other necessary support to the council in
4-21 accordance with legislative appropriation. The commission shall
4-22 assign an upper-level management employee to ensure that the
4-23 commission meets the requirements of this chapter.
4-24 (d) The commission shall include the programs administered
4-25 under this chapter in the commission's procurement policy manuals.
4-26 SECTION 6. Section 122.013, Human Resources Code, is amended
4-27 by amending Subsection (a) and adding Subsection (c) to read as
5-1 follows:
5-2 (a) The council shall [may] adopt rules for the
5-3 implementation, extension, administration, or improvement of the
5-4 program authorized by this chapter in accordance with Chapter 2001,
5-5 Government Code.
5-6 (c) The council shall adopt rules to:
5-7 (1) address possible conflicts of interest for central
5-8 nonprofit agencies and community rehabilitation programs;
5-9 (2) establish a process for the certification of
5-10 community rehabilitation programs;
5-11 (3) establish a minimum percentage of disabled labor
5-12 an organization must employ to be considered a community
5-13 rehabilitation program under this chapter; and
5-14 (4) define the terms "value-added" and "direct labor"
5-15 for products manufactured and services provided that are offered
5-16 for sale under this chapter.
5-17 SECTION 7. Section 122.019, Human Resources Code, is amended
5-18 by amending Subsections (a), (d), (e), and (f) and adding
5-19 Subsections (g), (h), and (i) to read as follows:
5-20 (a) The council may select and contract with one or more
5-21 central nonprofit agencies through a request for proposals for a
5-22 period not to exceed five years. Once the selection process is
5-23 completed, the council shall contract with a central nonprofit
5-24 agency to:
5-25 (1) recruit and assist community rehabilitation
5-26 programs in developing and submitting applications for the
5-27 selection of suitable products and services;
6-1 (2) facilitate the distribution of orders among
6-2 community rehabilitation programs;
6-3 (3) manage and coordinate the day-to-day operation of
6-4 the program, including the general administration of contracts with
6-5 community rehabilitation programs; [and]
6-6 (4) promote increased supported employment
6-7 opportunities for persons with disabilities; and
6-8 (5) recruit and assist qualified nonprofit
6-9 organizations that are managed by members of racial minorities,
6-10 women, or persons with disabilities and that are in the process of
6-11 qualifying as community rehabilitation programs.
6-12 (d) At least once during each five-year [two-year] period,
6-13 the council may [shall] review and renegotiate the contract with a
6-14 central nonprofit agency. Not later than the 60th day before the
6-15 date the council adopts or renews a contract, the council shall
6-16 publish notice of the proposed contract in the Texas Register.
6-17 (e) The maximum management fee rate charged by a central
6-18 nonprofit agency for its services must be computed as a percentage
6-19 of the selling price of the product or the contract price of a
6-20 service, must be included in the selling price or contract price,
6-21 and must be paid at the time of sale. The management fee rate must
6-22 be approved by the council and must be reviewed on an annual basis.
6-23 (f) A percentage of the management fee described by
6-24 Subsection (e) shall be paid to the council and is subject to
6-25 Section 122.023. The percentage shall be set by the council in the
6-26 amount necessary to reimburse the general revenue fund for direct
6-27 and reasonable costs incurred by the commission, the council, and
7-1 the council staff in administering the council's [its] duties under
7-2 this chapter.
7-3 (g) The council may terminate a contract with a central
7-4 nonprofit agency if:
7-5 (1) the council finds substantial evidence of the
7-6 central nonprofit agency's noncompliance with contractual
7-7 obligations; and
7-8 (2) the council has provided at least 30 days' notice
7-9 to the central nonprofit agency of the termination of the contract.
7-10 (h) The council may request an audit by the state auditor
7-11 of:
7-12 (1) the management fee set by a central nonprofit
7-13 agency; or
7-14 (2) the financial condition of a central nonprofit
7-15 agency.
7-16 (i) A person may not operate a community rehabilitation
7-17 program and at the same time contract with the council as a central
7-18 nonprofit agency.
7-19 SECTION 8. Chapter 122, Human Resources Code, is amended by
7-20 adding Section 122.0205 to read as follows:
7-21 Sec. 122.0205. ALTERNATIVE DISPUTE RESOLUTION. (a) A
7-22 dispute between the council and a central nonprofit agency or a
7-23 community rehabilitation program shall first be submitted to
7-24 alternative dispute resolution.
7-25 (b) This section does not constitute authorization to sue
7-26 and does not modify the remedies available under other law.
7-27 (c) This section does not limit the council's ability to
8-1 request opinions from the attorney general.
8-2 SECTION 9. Chapter 122, Human Resources Code, is amended by
8-3 adding Section 122.0215 to read as follows:
8-4 Sec. 122.0215. ACCESS TO INFORMATION AND RECORDS. (a) The
8-5 council and the council's staff may access financial or other
8-6 information and records from a central nonprofit agency or a
8-7 community rehabilitation program if the council determines the
8-8 information and records are necessary for the effective
8-9 administration of this chapter and rules adopted under this
8-10 chapter.
8-11 (b) Information and records must be obtained under
8-12 Subsection (a) in recognition of the privacy interest of persons
8-13 employed by central nonprofit agencies or community rehabilitation
8-14 programs. The information and records may not be released or made
8-15 public on subpoena or otherwise, except that release may be made:
8-16 (1) for statistical purposes, but only if a person is
8-17 not identified;
8-18 (2) with the consent of each person identified in the
8-19 information released; or
8-20 (3) regarding a compensation package of any central
8-21 nonprofit agency employee or subcontractor if determined by the
8-22 council to be relevant to the administration of this chapter.
8-23 (c) The council shall adopt rules establishing procedures to
8-24 ensure that the information and records maintained by the council
8-25 under this chapter are kept confidential and protected from release
8-26 to unauthorized persons.
8-27 SECTION 10. Section 122.022(b), Human Resources Code, is
9-1 amended to read as follows:
9-2 (b) The report submitted under this section must [shall]
9-3 include:
9-4 (1) the number of persons with disabilities, according
9-5 to their type of disability, who are employed in community
9-6 rehabilitation programs participating in the programs established
9-7 by this chapter or who are employed by businesses or workshops that
9-8 receive supportive employment from community rehabilitation
9-9 programs;
9-10 (2) the amount of annual wages paid to a person
9-11 participating in the program;
9-12 (3) a summary of the sale of products offered by a
9-13 community rehabilitation program;
9-14 (4) a list of products and services offered by a
9-15 community rehabilitation program; [and]
9-16 (5) the geographic distribution of the community
9-17 rehabilitation programs;
9-18 (6) the number of nondisabled workers who are employed
9-19 in community rehabilitation programs under this chapter; and
9-20 (7) the average and range of weekly earnings for
9-21 disabled and nondisabled workers who are employed in community
9-22 rehabilitation programs under this chapter.
9-23 SECTION 11. This Act takes effect September 1, 2001.
9-24 SECTION 12. The changes in law made by this Act to Section
9-25 122.003, Human Resources Code, apply only to a member who is
9-26 appointed to serve on the Texas Council on Purchasing from People
9-27 with Disabilities on or after the effective date of this Act,
10-1 including a member who is appointed to fill a vacancy in an
10-2 unexpired term on or after the effective date of this Act. A
10-3 member of the Texas Council on Purchasing from People with
10-4 Disabilities who is serving on the council immediately before the
10-5 effective date of this Act is governed for the remainder of the
10-6 member's current term by Section 122.003, Human Resources Code, as
10-7 that statute existed immediately before the effective date of this
10-8 Act, and the former law is continued in effect for that purpose.
_______________________________ _______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 1691 was passed by the House on
April 30, 2001, by a non-record vote; and that the House concurred
in Senate amendments to H.B. No. 1691 on May 24, 2001, by a
non-record vote.
_______________________________
Chief Clerk of the House
I certify that H.B. No. 1691 was passed by the Senate, with
amendments, on May 17, 2001, by the following vote: Yeas 30, Nays
0, 1 present, not voting.
_______________________________
Secretary of the Senate
APPROVED: __________________________
Date
__________________________
Governor