By Dukes H.B. No. 3536
Line and page numbers may not match official copy.
Bill not drafted by TLC or Senate E&E.
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to certain bids and contracts.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Section 2155.004. Certain Bids and Contracts
1-5 Prohibited, is amended to read as follows:
1-6 (a) A state agency may not accept a bid or award a contract
1-7 that includes proposed financial participation by a person who
1-8 [received compensation from the agency to] participated to any
1-9 extent in preparing the specifications or request for proposals on
1-10 which the bid or contract is based.
1-11 (b) A state agency may not accept a bid or award a contract
1-12 to any individual not residing in this state or business entity not
1-13 incorporated in or whose principal domicile is not in this state
1-14 unless the individual or business entity:
1-15 (1) holds a permit issued by the comptroller to
1-16 collect or remit all state and local sales and use taxes that
1-17 become due and owing as a result of the individual's or entity's
1-18 business in this state; or
1-19 (2) certifies that it does not sell tangible personal
1-20 property or services that are subject to the state and local sales
1-21 and use tax.
1-22 (c) A bid or award subject to the requirements of this
1-23 section must include the following statement:
2-1 "Under Section 2155.004, Government Code, the vendor
2-2 certifies that the individual or business entity named in this bid
2-3 or contract is not ineligible to receive the specified contract and
2-4 acknowledges that this contract may be terminated and payment
2-5 withheld if this certification is inaccurate."
2-6 (d) If a state agency determines that an individual or
2-7 business entity holding a state contract was ineligible to have the
2-8 contract accepted or awarded under Subsection (a) or (b), the
2-9 state agency may immediately terminate the contract without further
2-10 obligation to the vendor.
2-11 (e) If the certification required under Subsection (b)(2) is
2-12 shown to be false, the vendor is liable to the state for attorney's
2-13 fees, the costs necessary to complete the contract, including the
2-14 cost of advertising and awarding a second contract, and any other
2-15 damages provided by law or contract.
2-16 (f) This section does not create a cause of action to
2-17 contest a bid or award of a state contract.
2-18 (g) In the absence of a certification by the vendor under
2-19 Subsection (b)(2), the purchasing state agency shall determine if a
2-20 prospective vendor holds a permit for the collection and remission
2-21 of state and local sales and use taxes.
2-22 [(h) This section does not prohibit a bidder or contract
2-23 participant from providing free technical assistance to a state
2-24 agency.]
2-25 (h) A state agency may not accept a bid from a person or
2-26 business which has been determined ineligible under section
3-1 2155.077.
3-2 SECTION 2. This Act takes effect September 1, 2001.