By Marchant H.B. No. 1992 77R3603 PAM-F A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to permitting a municipality to consider financing 1-3 alternatives submitted in competitive bids. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter C, Chapter 252, Local Government Code, 1-6 is amended by adding Section 252.0415 to read as follows: 1-7 Sec. 252.0415. CONSIDERATION OF FINANCING TERMS SUBMITTED IN 1-8 BIDS. (a) A municipality must specify in the notice required 1-9 under Section 252.041 that the municipality will consider financing 1-10 alternatives submitted by a bidder if the municipality intends to 1-11 consider bids that offer different bid prices that are contingent 1-12 on whether a financing alternative offered by the bidder is 1-13 accepted by the municipality. 1-14 (b) If the municipality provides the notice prescribed by 1-15 Subsection (a), a bidder may submit a bid: 1-16 (1) that is not contingent on a financing alternative; 1-17 or 1-18 (2) that offers different bid prices that are 1-19 contingent on whether a financing alternative offered by the bidder 1-20 is accepted by the municipality. 1-21 (c) If a municipality does not comply with the notice 1-22 requirements of Subsection (a), it shall reject all bids that offer 1-23 different bid prices that are contingent on whether a financing 1-24 alternative offered by the bidder is accepted by the municipality. 2-1 (d) A municipality that complies with Subsection (a) may 2-2 award the contract to the lowest responsible bidder as provided by 2-3 Section 252.043 based on: 2-4 (1) a bid price that is not contingent on a financing 2-5 alternative; or 2-6 (2) any bid price offered that is contingent on a 2-7 financing alternative offered by the bidder if the municipality 2-8 determines that the financing alternative provides the best value 2-9 for the municipality. 2-10 SECTION 2. This Act takes effect immediately if it receives 2-11 a vote of two-thirds of all the members elected to each house, as 2-12 provided by Section 39, Article III, Texas Constitution. If this 2-13 Act does not receive the vote necessary for immediate effect, this 2-14 Act takes effect September 1, 2001.