By:  Duncan                                           S.B. No. 1458
         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 the duties of state agencies and political subdivisions
 1-3     with regard to the development of, access to, and utilization of
 1-4     electronic information related to government services, programs,
 1-5     and functions.
 1-6           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-7           SECTION 1.  Subchapter H, Chapter 481, Government Code, is
 1-8     amended by adding Section 481.130 to read as follows:
 1-9           Sec. 481.130.  ONE-STOP ONLINE SERVICE FOR NEW BUSINESS.  The
1-10     office shall assist the Department of Information Resources with
1-11     the development and implementation of a plan for the creation of an
1-12     online service to provide new businesses in this state a single
1-13     source for information and permitting and assist in the preparation
1-14     of a report for the legislature by December 31, 2002 outlining
1-15     recommendations and resources necessary for further development and
1-16     implementation of this online service.
1-17           SECTION 2.  Subchapter B, Chapter 531, Government Code, is
1-18     amended by adding Section 531.0317 to read as follows:
1-19           Sec. 531.0317.  HEALTH AND HUMAN SERVICES INFORMATION MADE
1-20     AVAILABLE THROUGH THE INTERNET.  (a)  In this section, "Internet"
1-21     has the meaning assigned by Section 531.0313(d).
1-22           (b)  The commission, in cooperation with the Department of
1-23     Information Resources, shall establish and maintain through the
 2-1     TexasOnline project established by the Department of Information
 2-2     Resources a generally accessible and interactive Internet site that
 2-3     contains information for the public regarding the services and
 2-4     programs provided or administered by each of the health and human
 2-5     services agencies throughout the state.
 2-6           (c)  The Internet site must:
 2-7                 (1)  be organized by the type of service provided
 2-8     rather than by the agency or provider delivering the service;
 2-9                 (2)  contain eligibility criteria for each agency
2-10     program;
2-11                 (3)  contain application forms for each of the public
2-12     assistance programs administered by health and human services
2-13     agencies;
2-14                 (4)  provide access to a site maintained by the Texas
2-15     Information and Referral Network under Section 531.0313;
2-16                 (5)  contain the telephone number and, to the extent
2-17     available, the electronic mail address for each health and human
2-18     services agency and local provider of health and human services;
2-19                 (6)  be designed in a manner that allows a member of
2-20     the public to send questions about each agency's programs or
2-21     services electronically and receive responses to the questions from
2-22     the agency electronically;
2-23                 (7)  be updated at least quarterly; and
2-24                 (8)  be accessible through an information link on the
2-25     TexasOnline portal.
2-26           (d)  In designing the Internet site, the commission shall
 3-1     comply with any state standards for Internet sites that are
 3-2     prescribed by the Department of Information Resources or any other
 3-3     state agency.
 3-4           (e)  Each health and human services agency, the Texas
 3-5     Information and Referral network, and the Department of Information
 3-6     Resources shall cooperate with the commission to the extent
 3-7     necessary to enable the commission to perform its duties under this
 3-8     section.
 3-9           (f)  If the Department of Information Resources has a program
3-10     management office, the department may delegate its duties under
3-11     this section to that office.
3-12           SECTION 3.  As soon as practicable after the effective date
3-13     of this Act, the Health and Human Services Commission shall
3-14     establish the health and human services information Internet site
3-15     required by Section 531.0317, Government Code, as added by this
3-16     Act.
3-17           SECTION 4.  Subchapter A, Chapter 656, Government Code, is
3-18     amended by adding Sections 656.002 and 656.003 to read as follows:
3-19           Sec. 656.002.  ONLINE EMPLOYMENT OPENINGS SYSTEM.  (a)  In
3-20     this section, "state agency" means a department, commission, board,
3-21     office, or other agency in the executive branch of state government
3-22     created by the state constitution or a state statute, but does not
3-23     include a university system or an institution of higher education
3-24     as defined by Section 61.003, Education Code.
3-25           (b)  The Department of Information Resources shall work with
3-26     the Texas Workforce Commission and other state agencies to create
 4-1     an online system for listing state agency employment openings.
 4-2           (c)  Characteristics of the system shall include to the
 4-3     extent feasible:
 4-4                 (1)  the use of existing technical infrastructure and
 4-5     specialty job bulletin boards when the cost is equal to or less
 4-6     than the cost of building a separate infrastructure;
 4-7                 (2)  real-time communication between an applicant for
 4-8     state employment and a state agency;
 4-9                 (3)  immediate matching of an applicant to a listing
4-10     based on the applicant's qualifications;
4-11                 (4)  the ability to allow an applicant to complete one
4-12     state application online and enter the application in a single
4-13     database from which the applicant may electronically send the
4-14     application to multiple state agencies;
4-15                 (5)  the ability to allow an applicant to enter a
4-16     resume into an online database from which the applicant may
4-17     electronically send the resume to a state agency;
4-18                 (6)  the ability of a state agency to list employment
4-19     openings electronically with limited keystrokes from one web
4-20     location; and
4-21                 (7)  the ability to generate management information
4-22     such as the number of visits to a state agency employment listing,
4-23     the number of applicants for each opening, the number of applicants
4-24     hired for each listing, the time from listing to filling an
4-25     opening, and the frequency and volume of listings by type.
4-26           Sec. 656.003.  ACCESS TO EMPLOYMENT OPENINGS INFORMATION.
 5-1     The Texas Workforce Commission shall make computers available to
 5-2     the public at its field offices to ensure access to information
 5-3     about employment openings.
 5-4           SECTION 5.  Section 656.024, Government Code, is amended to
 5-5     read as follows:
 5-6           Sec. 656.024.  Public Notice of Job Vacancies.  The
 5-7     commission shall publicly list, in accordance with the commission's
 5-8     procedures, [for at least 10 working days,] each notice of a job
 5-9     vacancy delivered under Section 656.022 [unless the commission is
5-10     sooner notified by the state agency having the vacancy that the
5-11     vacancy has been filled].
5-12           SECTION 6.  Section 2054.051, Government Code, is amended by
5-13     adding Subsection (f) to read as follows:
5-14           (f)  The department shall identify opportunities for state
5-15     agencies to coordinate with each other in the adoption and
5-16     implementation of information resources technology projects.
5-17           SECTION 7.  The Department of Information Resources shall
5-18     perform a comprehensive examination of the state's reporting
5-19     requirements as detailed in the comptroller's e-Texas report,
5-20     recommendation GP-4.  In coordination with a working group composed
5-21     of representatives of the comptroller's office, other state
5-22     agencies, and local governments, the department shall compile a
5-23     list of recommendations for the 78th Legislature for streamlining
5-24     and reducing reporting requirements on cities and counties.  In
5-25     addition, the department, in coordination with the comptroller's
5-26     office, local governments, state and federal agencies, the
 6-1     Conference of Urban Counties, the Texas Association of Counties,
 6-2     and the Texas Municipal League, shall develop functional
 6-3     specifications for a statewide electronic data clearinghouse.
 6-4     During the fiscal 2002-2003 biennium, the department shall develop
 6-5     policies, procedures, data standards, training materials and
 6-6     perform other duties to prepare for the establishment of a
 6-7     clearinghouse in fiscal year 2004.  The department shall develop
 6-8     options for funding the ongoing maintenance or expansion of the
 6-9     clearinghouse such as using resources from participating agencies
6-10     to recoup the costs.  Each option shall address the potential
6-11     impact on participation.  The department shall provide a report
6-12     containing the recommendations, specifications, and funding options
6-13     not later than January 1, 2003 to the governor, lieutenant
6-14     governor, and speaker of the house of representatives.
6-15           SECTION 8.  Subchapter C, Chapter 2054, Government Code, is
6-16     amended by adding Section 2054.063 to read as follows:
6-17           Sec. 2054.063.  ELECTRONIC REPORTING TO STATE AGENCIES.  The
6-18     department shall advise and consult with state agencies to assess
6-19     opportunities for allowing persons to electronically file with an
6-20     agency information that the agency requires a person to report.
6-21     The department shall identify the cost of implementing an
6-22     electronic reporting procedure and any barriers to electronic
6-23     reporting.  The department may:
6-24                 (1)  survey state agencies to identify:
6-25                       (A)  electronic reporting efforts currently being
6-26     used by an agency;
 7-1                       (B)  common needs among agencies;
 7-2                       (C)  opportunities to use a standardized approach
 7-3     to electronic reporting;
 7-4                 (2)  identify the costs associated with electronic
 7-5     reporting;
 7-6                 (3)  identify reports that may be filed electronically;
 7-7                 (4)  advise an agency regarding ways the agency may
 7-8     effectively and economically allow electronic reporting to the
 7-9     agency; and
7-10                 (5)  develop and implement a plan to adopt electronic
7-11     reporting in state government, whenever it is effective and
7-12     efficient to do so.
7-13           SECTION 9.  The Department of Information Resources shall
7-14     make recommendations to the governor, lieutenant governor, and
7-15     speaker of the house of  representatives about opportunities for
7-16     electronic reporting in state government not later than September
7-17     1, 2002.
7-18           SECTION 10.  Subsection (a), Section 2054.096, Government
7-19     Code, is amended to read as follows:
7-20           (a)  Each agency strategic plan must be consistent with the
7-21     state strategic plan and include:
7-22                 (1)  a statement of the state agency's goals,
7-23     objectives, and programs as found in the agency's legislative
7-24     appropriations request;
7-25                 (2)  a description of the agency's major data bases and
7-26     their applications;
 8-1                 (3)  a description of the agency's information
 8-2     resources management organizations, policies, and practices;
 8-3                 (4)  a description of interagency computer networks in
 8-4     which the agency participates;
 8-5                 (5)  a statement of the strategic objectives of the
 8-6     agency relating to information resources management for the next
 8-7     five fiscal years, beginning with the fiscal year during which the
 8-8     plan is submitted, with a description of how those objectives help
 8-9     achieve the agency's programs and goals, and a description of how
8-10     those objectives support and promote the goals and policies of the
8-11     state strategic plan;
8-12                 (6)  a description of any information resources
8-13     technology projects proposed by the agency, including:
8-14                       (A)  a statement of how the projects relate to
8-15     similar projects implemented or proposed by other agencies, as
8-16     identified by the department or the agency; and
8-17                       (B)  a description of any proposed plans for
8-18     coordinating the projects with other agencies; and
8-19                 (7) [(6)]  other planning components that the
8-20     department may prescribe.
8-21           SECTION 11.  The Department of Information Resources shall
8-22     review the instructions for preparing agency strategic plans,
8-23     developed pursuant to Section 2054.095, Government Code, to ensure
8-24     the plans are timely and useful for agencies and the strategic
8-25     planning process.  The review should consider whether changes in
8-26     the instructions are needed regarding the content, frequency and
 9-1     use of the strategic plans.  The department's review shall be
 9-2     completed not later than September 1, 2002.  The department shall
 9-3     revise its instructions based on the results of the review.
 9-4           SECTION 12.  Subchapter F, Chapter 2054, Government Code, is
 9-5     amended by adding Section 2054.127 to read as follows:
 9-6           Sec. 2054.127.  ENVIRONMENTAL AND NATURAL RESOURCES AGENCIES
 9-7     INTERNET PORTAL.  (a)  State agencies that have jurisdiction over
 9-8     matters related to environmental protection or quality or to the
 9-9     development, conservation, or preservation of natural resources
9-10     shall develop, in mutual cooperation with the department, a single
9-11     information link, through the TexasOnline portal, to provide
9-12     electronic access to information and services related to the
9-13     agencies' authority and duties, including access to agency rules
9-14     and other public information.
9-15           (b)  The department shall coordinate the efforts of the
9-16     agencies in developing the information link to ensure that the
9-17     efforts produce a link that is compatible with efforts of the task
9-18     force conducted under Section 2054.062. If the department has a
9-19     program management office, the department may delegate the
9-20     coordination of efforts under this section to that office.
9-21           SECTION 13.  Chapter 2054, Government Code, is amended by
9-22     adding Subchapter I to read as follows:
9-23           SUBCHAPTER I.  ELECTRONIC SYSTEM FOR OCCUPATIONAL LICENSING
9-24     TRANSACTIONS
9-25           Sec. 2054.251.  DEFINITIONS.  In this subchapter:
9-26                 (1)  "Licensing authority" means a department,
 10-1    commission, board, office, or other agency of the state or a
 10-2    political subdivision of the state that issues an occupational
 10-3    license.
 10-4                (2)  "Occupational license" means a license,
 10-5    certificate, registration, or other form of authorization that a
 10-6    person must obtain to practice or engage in a particular business,
 10-7    occupation, or profession.
 10-8          Sec. 2054.252.  APPLICABILITY.  (a)  The following licensing
 10-9    authorities shall participate in the system established under
10-10    Section 2054.253:
10-11                (1)  State Board of Barber Examiners;
10-12                (2)  Texas Board of Chiropractic Examiners;
10-13                (3)  Texas Cosmetology Commission;
10-14                (4)  Court Reporters Certification Board;
10-15                (5)  State Board of Dental Examiners;
10-16                (6)  Texas Funeral Service Commission;
10-17                (7)  Texas Board of Professional Land Surveying;
10-18                (8)  Texas State Board of Medical Examiners;
10-19                (9)  Board of Nurse Examiners;
10-20                (10)  Board of Vocational Nurse Examiners;
10-21                (11)  Texas Optometry Board;
10-22                (12)  Texas Structural Pest Control Board;
10-23                (13)  Texas State Board of Pharmacy;
10-24                (14)  Executive Council of Physical Therapy and
10-25    Occupational Therapy Examiners;
10-26                (15)  Texas State Board of Plumbing Examiners;
 11-1                (16)  Texas State Board of Podiatric Medical Examiners;
 11-2                (17)  Board of Tax Professional Examiners;
 11-3                (18)  Polygraph Examiners Board;
 11-4                (19)  Texas State Board of Examiners of Psychologists;
 11-5                (20)  State Board of Veterinary Medical Examiners;
 11-6                (21)  Texas Real Estate Commission;
 11-7                (22)  Texas Appraiser Licensing and Certification
 11-8    Board; and
 11-9                (23)  Texas Department of Licensing and Regulation.
11-10          (b)  The department may add additional agencies as system
11-11    capabilities are developed.
11-12          (c)  A licensing authority other than an authority listed by
11-13    Subsection (a) may participate in the system established under
11-14    Section 2054.253, subject to the approval of the department.
11-15          Sec. 2054.253.  ELECTRONIC SYSTEM FOR OCCUPATIONAL LICENSING
11-16    TRANSACTIONS.  (a)  The department shall administer a common
11-17    electronic system using the Internet through which a licensing
11-18    authority can electronically:
11-19                (1)  send occupational licenses and other documents to
11-20    persons regulated by the authority and to the public;
11-21                (2)  receive applications for occupational licenses and
11-22    other documents for filing from persons regulated by the authority
11-23    and from the public, including documents that can be electronically
11-24    signed if necessary; and
11-25                (3)  receive  required payments from persons regulated
11-26    by the authority and from the public.
 12-1          (b)  The department may implement this section in phases.
 12-2    Each licensing authority that participates in the system
 12-3    established under this section shall comply with the schedule
 12-4    established by the department.
 12-5          (c)  The department may use the TexasOnline portal or any
 12-6    other Internet portal established under a demonstration project
 12-7    administered by the department.
 12-8          (d)  The department may contract with a private vendor to
 12-9    implement this section.  A contract under this subsection is
12-10    payable only from fees collected under Subsection (e).
12-11          (e)  The department shall charge fees in amounts sufficient
12-12    to cover the cost of implementing this section.  The department may
12-13    charge:
12-14                (1)  a transaction fee for each transaction performed
12-15    on the system; and
12-16                (2)  a subscription fee to be paid by each licensing
12-17    authority that participates in the system.
12-18          Sec. 2054.254.  STEERING COMMITTEE.  (a)  The steering
12-19    committee for electronic occupational licensing transactions
12-20    consists of a representative of each of the following, appointed by
12-21    its governing body:
12-22                (1)  each licensing authority listed by Section
12-23    2054.252(a); and
12-24                (2)  the department.
12-25          (b)  The governing body of a licensing authority described by
12-26    Section 2054.252(c) may appoint a representative to the committee.
 13-1          (c)  A member of the committee serves at the will of the
 13-2    authority that appointed the member.
 13-3          (d)  The representative of the department is the presiding
 13-4    officer of the committee.  The committee shall meet as prescribed
 13-5    by committee procedures or at the call of the presiding officer.
 13-6          (e)  The committee shall advise the department regarding the
 13-7    department's implementation of Section 2054.253.
 13-8          (f)  Chapter 2110 does not apply to the size, composition, or
 13-9    duration of the committee.  Any reimbursement of the expenses of a
13-10    member of the committee may be paid only from funds available to
13-11    the governmental entity the member represents.
13-12          SECTION 14.  (a)  Not later than January 1, 2002, each
13-13    licensing authority listed by Section 2054.252(a), Government Code,
13-14    as added by this Act, and the Department of Information Resources
13-15    shall appoint the members of the steering committee for electronic
13-16    occupational licensing transactions.
13-17          (b)  Not later than April 1, 2002, the Department of
13-18    Information Resources shall adopt a schedule for implementing
13-19    Section 2054.253, Government Code, as added by this Act.  The
13-20    schedule shall set a target for the initial group of licensing
13-21    authorities to be able to perform the functions described by
13-22    Section 2054.253(a), Government Code, as added by this Act, not
13-23    later than September 1, 2003.
13-24          (c)  Not later than January 1, 2003, the Department of
13-25    Information Resources shall report to the presiding officer of each
13-26    house of the legislature and to the presiding officers of the
 14-1    committees of each house of the legislature that have primary
 14-2    oversight jurisdiction over the department or over a licensing
 14-3    authority listed by Section 2054.252(a), Government Code, as added
 14-4    by this Act, on the department's progress in implementing Section
 14-5    2054.253, Government Code, as added by this Act.
 14-6          SECTION 15.  Chapter 2054, Government Code, is amended by
 14-7    adding Subchapter J to read as follows:
 14-8          SUBCHAPTER J. ELECTRONIC GOVERNMENT PROGRAM MANAGEMENT
 14-9          Sec. 2054.301.  ELECTRONIC GOVERNMENT PROGRAM MANAGEMENT
14-10    OFFICE.  (a)  The department shall establish an electronic
14-11    government program management office to guide, promote and
14-12    facilitate the implementation of electronic government projects
14-13    selected under Sec. 2054.302.
14-14          (b)  The program management office shall:
14-15                (1)  establish and support standardized business
14-16    processes for electronic government projects;
14-17                (2)  identify and incorporate best practices in state
14-18    information technology projects in such areas as project support,
14-19    implementation strategies, project planning and scheduling, quality
14-20    assurance, team coordination, status reporting, and technical
14-21    standards for electronic government projects;
14-22                (3)  consult as necessary with board or department
14-23    advisory committees or other task forces created by the governor,
14-24    lieutenant governor or legislature related to electronic
14-25    government;
14-26                (4)  review agency strategic plans prepared in
 15-1    accordance with Section 2054.095 and agency biennial operating
 15-2    plans prepared in accordance with Section 2054.100 to identify
 15-3    electronic government projects that should be facilitated by the
 15-4    program management office and recommend any changes to those plans
 15-5    to ensure projects are consistent with the state strategic plan;
 15-6                (5)  include in the performance report prepared under
 15-7    Section 2054.055 a list of the electronic government projects that
 15-8    will be facilitated by the program management office and the status
 15-9    of existing projects;
15-10                (6)  coordinate electronic government projects
15-11    involving state agencies;
15-12                (7)  provide risk management and quality assurance
15-13    services for electronic government projects, in partnership with
15-14    participating agencies and the quality assurance team of the
15-15    Legislative Budget Board;
15-16                (8)  in coordination with the Legislative Budget Board,
15-17    identify resource needs for cross-agency projects and opportunities
15-18    to coordinate agency electronic government projects, and approve
15-19    expenditures of funds for electronic government projects by
15-20    affected state agencies;
15-21                (9)  convene cross-agency coordination teams, as
15-22    appropriate, to reduce information technology expenditures and
15-23    eliminate unnecessary duplication;
15-24                (10)  establish standards for state agencies to follow
15-25    in implementing selected electronic government projects, to ensure
15-26    maximum savings through cross-agency cooperation and incorporation
 16-1    of best practices;
 16-2                (11)  in coordination with the quality assurance team
 16-3    of the Legislative Budget Board, establish a state agency reporting
 16-4    system requiring state agencies to report on electronic government
 16-5    projects and monitor selected projects as appropriate;
 16-6                (12)  report annually to the Legislature on the status
 16-7    of electronic government projects being monitored by the program
 16-8    management office, including savings, cost avoidance, efficiencies,
 16-9    potential other projects or areas for standardization and on the
16-10    products and deliverables of the program management office,
16-11    including its cost effectiveness;
16-12                (13)  utilize the West Texas Disaster Recovery and
16-13    Operations Center for data operations to the extent feasible, act
16-14    as the state's primary contact for the Center, and encourage
16-15    increased use of the facility by state agencies;
16-16          (c)  The program management office may coordinate electronic
16-17    government projects involving local governments and projects
16-18    involving the federal government, where appropriate.
16-19          (d)  Each state agency shall cooperate with the department
16-20    and the program management office in all respects concerning
16-21    electronic government, and shall provide to the department as often
16-22    as may be required and in the format required by the department,
16-23    any and all information required by the department pertaining to
16-24    electronic government.
16-25          Sec. 2054.302.  SELECTION OF ELECTRONIC GOVERNMENT PROJECTS
16-26    FOR OVERSIGHT.  (a)  In coordination with the governor, state
 17-1    auditor, and the Legislative Budget Board, the program management
 17-2    office shall:
 17-3                (1)  by rule adopted by the department, define an
 17-4    electronic government project that will be subject to oversight by
 17-5    the program management office, including the selection criteria to
 17-6    be used to identify such projects, considering without limitation
 17-7    such factors as opportunities for cross-agency collaboration and
 17-8    efficiencies, financial exchanges, requirements for authentication
 17-9    and security, and the state's strategic vision for electronic
17-10    government;
17-11                (2)  recommend any changes needed to the instructions
17-12    for agency strategic plans prepared pursuant to section 2054.095
17-13    and biennial operating plans prepared pursuant to section 2054.101
17-14    to ensure agency identification of electronic government projects
17-15    appropriate for selection.
17-16          (b)  A state agency that disagrees with the selection of an
17-17    electronic government project for oversight by the program
17-18    management office may appeal the selection to the executive
17-19    director and then if necessary to the board, and finally to the
17-20    governor.  The governor's decision regarding oversight of an
17-21    electronic government project is final.  The department shall adopt
17-22    appeal procedures by rule.
17-23          (c)  This section does not apply to an electronic government
17-24    project sponsored by an institution of higher education as defined
17-25    by Section 61.003, Education Code.  Institutions of higher
17-26    education are encouraged to participate, but such participation is
 18-1    at the option of the institution.
 18-2          Sec. 2054.303.  FUNDING FOR PROGRAM MANAGEMENT OFFICE.
 18-3    (a)  In coordination with the governor's office of budget and
 18-4    planning, the state auditor and the Legislative Budget Board, the
 18-5    program management office shall develop a model for funding the
 18-6    program management office from a portion of the funds appropriated
 18-7    for the projects selected to have central oversight, including
 18-8    staffing requirements for the office, for approval by the governor
 18-9    and adoption as a department rule.
18-10          (b)  State agencies that have electronic government projects
18-11    selected by the program management office shall enter into an
18-12    interagency agreement with the department pursuant to Chapter 771,
18-13    Government Code, to provide for the reimbursement of the department
18-14    for the services of the program management office according to the
18-15    model established in subsection (a).
18-16          (c)  A state agency may not, without the prior approval of
18-17    the program management office, spend or encumber money in
18-18    connection with an electronic government project that is selected
18-19    by the program management office for central oversight.
18-20          (d)  The program management office, in coordination with the
18-21    Legislative Budget Board and the comptroller, and subject to the
18-22    approval of the governor's office of budget and planning, shall
18-23    establish procedures for approving expenditures to be incurred by
18-24    state agencies for those electronic government projects which are
18-25    selected by the program management office.  The procedures shall
18-26    include a review of project implementation and an assessment of
 19-1    whether the project is meeting its objectives and complying with
 19-2    any standards established by the department.
 19-3          (e)  This section does not apply to an institution of higher
 19-4    education as defined in Section 61.003, Education Code.
 19-5    Institutions of higher education are encouraged to participate, but
 19-6    such participation is at the option of the institution.
 19-7          Sec. 2054.304.  CANCELLATION OF ELECTRONIC GOVERNMENT
 19-8    PROJECTS OR DENIAL OF ACCESS TO FUNDS.  (a)  Under rules developed
 19-9    by the department, and in coordination with the Legislative Budget
19-10    Board and the governor's office of budget and planning, the program
19-11    management office shall develop criteria for canceling, halting or
19-12    reinstating selected electronic government projects.
19-13          (b)  The program management office may recommend to the
19-14    governor that a selected electronic government project be cancelled
19-15    or temporarily halted if the project fails to meet objectives or
19-16    the standards of the department.
19-17          (c)  Upon a recommendation from the program management office
19-18    that an electronic government project should be cancelled or
19-19    temporarily halted, the governor may direct the comptroller to deny
19-20    state agency access to the agency's appropriations that relate to
19-21    the development or implementation of the electronic government
19-22    project.  The denial of access may continue until the governor is
19-23    satisfied that the electronic government project can be implemented
19-24    efficiently and consistently under the criteria established in this
19-25    section.
19-26          (d)  This section does not apply to an institution of higher
 20-1    education as defined by Section 61.003, Education Code, unless the
 20-2    institution has voluntarily chosen to participate.
 20-3          Sec. 2054.305.  LEGISLATIVE OVERSIGHT COMMITTEE.  (a)  The
 20-4    Legislative Oversight Committee for Electronic Government Projects
 20-5    is established and is composed of six members as follows:
 20-6                (1)  chair of the House Committee on Appropriations or
 20-7    a member of the committee assigned by the chair;
 20-8                (2)  chair of the House Committee on State Affairs;
 20-9                (3)  one member appointed by the Speaker of the House;
20-10                (4)  chair of the Senate Committee on Finance or a
20-11    member of the committee assigned by the chair;
20-12                (5)  chair of the Senate Committee on Business and
20-13    Commerce; and
20-14                (6)  one member appointed by the lieutenant governor.
20-15          (b)  The committee shall:
20-16                (1)  oversee and review the implementation of
20-17    electronic government by the program management office and state
20-18    agencies, including policies related to fiscal matters and the cost
20-19    effectiveness of projects of state agencies and the program
20-20    management office;
20-21                (2)  review the list of electronic government projects
20-22    that the program management office proposes to select each biennium
20-23    and suggest any revisions to the list;
20-24                (3)  provide guidance on recommended criteria for the
20-25    program management office to use in reporting on the effectiveness
20-26    and efficiency of the office and its coordination of electronic
 21-1    government, and the schedule for such reports;
 21-2                (4)  make recommendations to the legislature and the
 21-3    board concerning needed changes in technology policy;
 21-4                (5)  define what constitutes the infrastructure of the
 21-5    TexasOnline portal.
 21-6          (c)  The committee may:
 21-7                (1)  request reports and other information from the
 21-8    board, department, program management office or other state
 21-9    agencies relating to electronic government implementation;
21-10                (2)  appoint advisory committees composed of citizens
21-11    of the state or experts in technology to advise the committee or
21-12    make recommendations on electronic government;
21-13                (3)  hold public hearings and administer oaths and
21-14    issue subpoenas to compel the attendance of witnesses and the
21-15    production of documents as necessary;
21-16                (4)  receive information regarding rules that are
21-17    proposed for adoption by the board or department and provide any
21-18    desired comments;
21-19                (5)  review the budget for the program management
21-20    office and provide any appropriate comments;
21-21                (6)  evaluate best practices in information technology
21-22    and electronic government and recommend ways to implement these
21-23    practices each biennium;
21-24                (7)  employ staff as necessary for the performance of
21-25    its duties or may request and use staff provided by the Texas
21-26    Legislative Council or the Legislative Budget Board.  Such staff,
 22-1    if any, shall be available to all members of the legislature.
 22-2          (d)  State agencies shall cooperate with and assist the
 22-3    committee at the committee's request.
 22-4          Sec. 2054.306.  PROGRAM MANAGEMENT OFFICE ADVISORY COMMITTEE.
 22-5    (a)  The board shall establish a program management office advisory
 22-6    committee under Section 2054.033 to provide ongoing direction for
 22-7    the operations of the program management office.
 22-8          (b)  The advisory committee shall be composed of up to
 22-9    fifteen representatives of selected state agencies, local
22-10    government, institutions of higher education, the comptroller's
22-11    office, the governor's office, private businesses, citizens, and
22-12    other constituencies as determined by the board.
22-13          (c)  The advisory committee shall assist the program
22-14    management office in establishing the procedures and reporting
22-15    requirements of the office, provide guidance, direction and
22-16    perspective about the operation of the program management office
22-17    and project priorities, and provide recommendations about the
22-18    implementation of electronic government in the state.
22-19          (d)  Any reimbursement of the expenses of a governmental
22-20    member of the committee may be paid only from funds available to
22-21    the governmental entity the member represents.
22-22          Sec. 2054.307.  MANAGEMENT OF ENTERPRISE RESOURCE PLANNING
22-23    SYSTEM IMPLEMENTATION.  The program management office established
22-24    under this subchapter shall coordinate with the Health and Human
22-25    Services Commission and the comptroller to establish a standardized
22-26    approach for enterprise resource planning system implementation
 23-1    that builds on the models developed by the commission.  Any state
 23-2    agency that chooses to implement new or modified enterprise
 23-3    resource planning systems shall do so under the guidelines and
 23-4    standards developed by the program management office.
 23-5          Sec. 2054.308.  TEXASONLINE PORTAL.  (a)  As used in this
 23-6    subchapter, the TexasOnline portal is the common electronic system
 23-7    for using the Internet to facilitate electronic interaction between
 23-8    state agencies, local governments and members of the public that
 23-9    was originally established as, and is a continuation of, the
23-10    demonstration project developed by the Department of Information
23-11    Resources and task force established by Section 2054.062,
23-12    Government Code, as enacted by the 76th Legislature.
23-13          (b)  The program management office established under this
23-14    subchapter shall manage the ongoing development of the TexasOnline
23-15    portal or other similar state government portal developed or
23-16    sponsored by the department to facilitate public access to
23-17    electronic government in the state.  The program management office
23-18    shall promote full use of the portal by state agencies.
23-19          (c)  State agencies that desire to establish a new Internet
23-20    application that duplicates an infrastructure component of the
23-21    TexasOnline portal shall apply for a waiver from the program
23-22    management office.  The waiver application should demonstrate a
23-23    business need for implementing an Internet application that
23-24    duplicates portal infrastructure as defined by the legislative
23-25    oversight committee, and the application must show that issues of
23-26    security, disaster recovery, privacy, and development and
 24-1    maintenance costs have been adequately considered.
 24-2          (d)  This section does not apply to institutions of higher
 24-3    education as defined by Section 61.003, Education Code unless the
 24-4    institution voluntarily chooses to participate.
 24-5          Sec. 2054.309.  TEXASONLINE GRANT PROGRAM.  (a)  The
 24-6    TexasOnline grant program is established to enable cities, counties
 24-7    and school districts to provide government services through the
 24-8    TexasOnline portal developed and managed by the department under
 24-9    Section 2054.308.
24-10          (b)  The program management office shall:
24-11                (1)  manage the TexasOnline grant program;
24-12                (2)  with input from the interagency advisory committee
24-13    established under Subsection (c), establish specific criteria and
24-14    processes for selecting city, county and school district
24-15    participants in the grant program;
24-16                (3)  in conjunction with the interagency advisory
24-17    committee established under Subsection (c), develop a cost
24-18    methodology to minimize the amount smaller governmental entities
24-19    must pay for maintenance of services through the portal;
24-20                (4)  explore opportunities with the Telecommunications
24-21    Infrastructure Board to develop automatic eligibility or a
24-22    streamlined grant application process for applicants for
24-23    Collaborative Community Networking Grants.
24-24          (c)  The department will establish an interagency oversight
24-25    committee, composed of representatives from the department,
24-26    comptroller, General Services Commission, Telecommunications
 25-1    Infrastructure Fund Board, Office of Court Administration, and
 25-2    other appropriate representatives selected by the department to
 25-3    oversee implementation of the grant program and approve
 25-4    distribution of grants.  The committee shall work with
 25-5    representatives of organizations such as the Texas Municipal
 25-6    League, Texas Association of Counties and other organizations to
 25-7    disseminate information on the grant program.  Chapter 2110 does
 25-8    not apply to the size, composition, or duration of the committee.
 25-9    Any reimbursement of the expenses of a member of the committee may
25-10    be paid only from funds available to the governmental entity the
25-11    member represents.
25-12          (d)  Grant funds may be used to:
25-13                (1)  pay start up costs incurred by the TexasOnline
25-14    project established as a demonstration project under Section
25-15    2054.062 as enacted by the 76th Legislature;
25-16                (2)  pay for the design and maintenance of Web sites
25-17    and other online services with program offerings designed to
25-18    benefit cities, counties and school districts through the
25-19    TexasOnline portal;
25-20                (3)  develop, deploy and maintain information
25-21    technology systems to provide governmental services through the
25-22    TexasOnline portal.
25-23          (e)  Grant funds may not be used to pay for communications
25-24    links to public or private telecommunication systems, such as
25-25    TEXAN, the state's public telecommunications network, or for
25-26    Internet Service Provider costs.
 26-1          (f)  Priorities for grant funding shall be provided to
 26-2    counties, cities and school districts located in a strategic
 26-3    investment area, as that term is defined in Section 171.721, Tax
 26-4    Code.  As a condition of receiving a grant, grant recipients must
 26-5    agree to maintain online services after the grant period
 26-6    terminates.
 26-7          (g)  This section expires September 1, 2003.
 26-8          Sec. 2054.310.  ONLINE SERVICE FOR NEW BUSINESSES.  (a)  With
 26-9    assistance from affected state agencies, the program management
26-10    office shall prepare and implement a plan for the development and
26-11    operation of a one-stop online service for new businesses in the
26-12    state.
26-13          (b)  The online service must:
26-14                (1)  provide comprehensive information relevant for a
26-15    new business, including steps and information necessary to start a
26-16    new business, general business regulations, information on
26-17    licensing and permitting, and relevant phone numbers and Internet
26-18    addresses for further information;
26-19                (2)  be fully integrated with the TexasOnline Web
26-20    portal, developed by the department.
26-21          (c)  The plan for the development of this online service
26-22    shall include a detailed scope of work for the project and identify
26-23    state agency resources that could be dedicated to this project and
26-24    any additional resources that may be needed.
26-25          (d)  The program management office shall prepare and submit a
26-26    report to the legislature not later than December 31, 2002
 27-1    outlining recommendations for further implementation of the online
 27-2    service for new businesses.
 27-3          (e)  The Department of Economic Development, secretary of
 27-4    state, Natural Resource Conservation Commission, Department of
 27-5    Licensing and Regulation, Department of Transportation, comptroller
 27-6    and any other state agency involved in the permitting of new
 27-7    businesses shall assist the program management office in the
 27-8    development and operation of the online service.  State agencies
 27-9    shall cooperate with the program management office in structuring
27-10    their processes to facilitate participation in the online service.
27-11          Sec. 2054.311.  ELECTRONIC PROCUREMENT SYSTEM.  (a)  The
27-12    program management office, in coordination with the General
27-13    Services Commission, shall assess the functionality of the
27-14    electronic procurement marketplace and electronic commerce network
27-15    maintained by the General Services Commission pursuant to Chapter
27-16    2177, Government Code, to determine whether the systems should be
27-17    enhanced, replaced or accessed through the TexasOnline portal.  The
27-18    assessment shall consider recommendations from the Texas government
27-19    to business coordinating council and the General Services
27-20    Commission's vendor advisory committee, as appropriate.
27-21          (b)  Based on the results of the assessment conducted under
27-22    subsection (a), the department shall implement an electronic
27-23    procurement system that will offer its users access to multiple
27-24    marketplaces and vendors.  The department shall coordinate
27-25    implementation with the General Services Commission, as provided by
27-26    Chapter 2177, Government Code.  The department may enter into
 28-1    contracts with private or public entities to establish or maintain
 28-2    all or part of the electronic procurement system, to the extent
 28-3    feasible, including contracts to procure hardware or software.
 28-4          (c)  The department, in consultation with the General
 28-5    Services Commission, may adopt rules as necessary to guide the
 28-6    development, implementation, and maintenance of the electronic
 28-7    procurement system.
 28-8          SECTION 16.  (a)  The Department of Information Resources
 28-9    shall conduct a study to determine the costs and benefits of
28-10    establishing a statewide electronic grants management system
28-11    designed to:
28-12                (1)  increase the awareness of grant availability;
28-13                (2)  provide a single location for accessing grant
28-14    information;
28-15                (3)  provide a searchable database of grant
28-16    opportunities organized by criteria that include grant topic,
28-17    customer group, and amount of grant;
28-18                (4)  allow electronic submission of grant applications;
28-19                (5)  simplify grant application and grant management
28-20    processes; and
28-21                (6)  improve tracking and monitoring of pending and
28-22    awarded grants.
28-23          (b)  The study must identify:
28-24                (1)  any state agencies that offer grants; and
28-25                (2)  consumer groups affected by the grants, including
28-26    groups that apply for the grants and groups served by grant funds.
 29-1          (c)  The study must consider whether available grant-tracking
 29-2    computer software can be used in an electronic grants management
 29-3    system in this state and the feasibility and benefits of using the
 29-4    TexasOnline Web portal or other portal designated by the Department
 29-5    of Information Resources to facilitate public access.
 29-6          (d)  The study must consider the possibility of using the
 29-7    following methods to lower the costs of providing an electronic
 29-8    grants management system:
 29-9                (1)  public-private partnerships;
29-10                (2)  cost-reimbursement options, including convenience
29-11    fees or subscription fees; and
29-12                (3)  any other innovative options, as determined by the
29-13    Department of Information Resources.
29-14          (e)  The Department of Information Resources may request from
29-15    the Electronic Grants Technical Assistance Workgroup information
29-16    related to opportunities for improving grant management through:
29-17                (1)  improved technology; and
29-18                (2)  sharing state information resources.
29-19          (f)  Not later than September 1, 2002, the Department of
29-20    Information Resources shall provide to the governor, the lieutenant
29-21    governor, and the speaker of the house of representatives a report
29-22    of the findings of the study conducted under this Act.
29-23          (g)  On completion of the study required by this Act, if the
29-24    study recommends implementation of a statewide electronic grants
29-25    management system, the Department of Information Resources may
29-26    develop a plan and begin implementation of a statewide electronic
 30-1    grants management system based on the findings of the study.
 30-2          SECTION 17.  Chapter 2054, Government Code, is amended by
 30-3    adding Subchapter K to read as follows:
 30-4                      SUBCHAPTER K.  SEAT MANAGEMENT
 30-5          Sec. 2054.351.  DEFINITIONS.  In this subchapter:
 30-6                (1)  "Office" means the seat management office created
 30-7    under this subchapter.
 30-8                (2)  "Seat management" means the seat management method
 30-9    described by Section 2054.354(b).
30-10          Sec. 2054.352.  CREATION.  The department shall create a seat
30-11    management office to:
30-12                (1)  conduct and evaluate the study under Section
30-13    2054.353;
30-14                (2)  make recommendations under Section 2054.354; and
30-15                (3)  serve as the single point of contact for the
30-16    state's seat management planning efforts.
30-17          Sec. 2054.353.  TOTAL COST OF OWNERSHIP STUDIES.  (a)  The
30-18    department shall select not less than 10 nor more than 12 state
30-19    agencies to participate in a pilot study.  The selected state
30-20    agencies shall cooperate with the department in conducting the
30-21    studies required by this section.  Each selected state agency shall
30-22    study the total cost of all personal computers and related systems
30-23    used by the agency, including both owned and leased systems.  The
30-24    study must include:
30-25                (1)  direct costs, including costs for hardware,
30-26    software, peripheral equipment, networks, management and support
 31-1    labor hours, systems development, and communications; and
 31-2                (2)  indirect costs, including computer downtime and
 31-3    end-user training, self-teaching, support, and any other costs
 31-4    related to the use of the personal computer.
 31-5          (b)  The department, including the office, on request shall
 31-6    assist a state agency in complying with this section.
 31-7          (c)  Not later than May 1, 2002, each selected state agency
 31-8    shall report on the results of its study to the department.
 31-9          Sec. 2054.354.  STUDY AND RECOMMENDATIONS ON USE OF PRIVATE
31-10    CONTRACTORS TO IMPLEMENT SEAT MANAGEMENT.  (a)  The office shall
31-11    analyze the results of the studies under Section 2054.353 to assess
31-12    the feasibility of establishing a statewide seat management system
31-13    at the time the assessment is completed or at a later time.
31-14          (b)  As part of this feasibility study, the office shall
31-15    analyze seat management, through which a state agency transfers its
31-16    personal computer equipment and services responsibilities to a
31-17    private vendor as described by this subsection.  The state agency
31-18    would hire a private vendor to manage the personal computing needs
31-19    for each desktop in a state agency, including all necessary
31-20    hardware, software, and support services.  Under this method, the
31-21    vendor would be responsible for some or all planning, installation,
31-22    configuration, testing, maintenance, repair, upgrading, training,
31-23    project management, asset management, disposal, and other services
31-24    related to the agency's personal computing needs.  Subject to the
31-25    state agency's needs and a vendor contract, a vendor selected by
31-26    the agency would satisfy the agency's personal computer needs,
 32-1    including:
 32-2                (1)  personal computer acquisition and support;
 32-3                (2)  local area networks;
 32-4                (3)  Internet access;
 32-5                (4)  electronic mail;
 32-6                (5)  help desk support for user questions and
 32-7    maintenance requests;
 32-8                (6)  remote access needs;
 32-9                (7)  technology upgrades necessary to keep equipment
32-10    current; and
32-11                (8)  any other data, voice, and video communication
32-12    needs.
32-13          (c)  The office shall study different types of contracts that
32-14    could be used to implement seat management.
32-15          (d)  Not later than November 1, 2002, the office shall report
32-16    its recommendations to the presiding officer of each house of the
32-17    legislature and to the committees of each house of the legislature
32-18    that have primary oversight jurisdiction over the department.  The
32-19    recommendations must include:
32-20                (1)  whether a statewide seat management plan using
32-21    private contractors should be implemented;
32-22                (2)  if seat management using private contractors is
32-23    recommended, an appropriate plan to transfer selected state agency
32-24    computer equipment and service responsibilities to private
32-25    contractors;
32-26                (3)  an estimate of implementation costs;
 33-1                (4)  an estimate of potential savings due to the
 33-2    transfers;
 33-3                (5)  a plan for developing seat management contracts,
 33-4    including the utilization of a multiple award procurement to allow
 33-5    state agencies to choose among multiple vendors who are
 33-6    prequalified by the office;
 33-7                (6)  strategies for changing vendors to address
 33-8    potential contractor failure and plans to move from one seat
 33-9    management contract to another, if necessary; and
33-10                (7)  an outline of additional proposed responsibilities
33-11    for the office, including without limitation, setting minimum
33-12    standards for seat management, serving as a best practices
33-13    repository, developing an agency guidebook on seat management, and
33-14    evaluating and recommending modifications to the seat management
33-15    program.
33-16          Sec. 2054.355.  PERSONAL COMPUTER INVENTORY REPORTING BY
33-17    STATE AGENCIES.  Not later than September 1, 2002, and September 1,
33-18    2003, each state agency shall provide the office with an inventory
33-19    of all personal computers used by that agency as of June 1, 2002,
33-20    and June 1, 2003, respectively.
33-21          Sec. 2054.356.  EXPIRATION.  This subchapter expires
33-22    September 2, 2003.
33-23          SECTION 18.  Section 2155.079, Government Code, is amended to
33-24    read as follows:
33-25          Sec. 2155.079.  BUYING UNDER CONTRACT ESTABLISHED BY AGENCY
33-26    OTHER THAN COMMISSION.  (a)  The commission shall adopt rules
 34-1    specifying the circumstances under which it is not advantageous for
 34-2    the state to allow a state agency to purchase goods or services
 34-3    under a contract made by another state agency other than the
 34-4    commission or under a contract made by a local government.
 34-5          (b)  If commission rules allow other agencies to make
 34-6    purchases under a contract entered into by an agency using
 34-7    delegated purchasing authority, the agency purchasing under
 34-8    delegated authority may offer the goods or services available under
 34-9    the contract to other agencies or local governments [only if the
34-10    agency first:]
34-11                [(1)  establishes that the goods or services being
34-12    offered under its contract are not available under a contract
34-13    administered by the commission; and]
34-14                [(2)  informs the commission of the terms of the
34-15    contract and the capabilities of the vendor].
34-16          SECTION 19.  Section 2155.083, Government Code, is amended by
34-17    adding subsection (o) to read as follows:
34-18          (o)  The department shall work with the commission and the
34-19    Department of Information Resources to develop a plan to integrate
34-20    the business daily into the electronic procurement system
34-21    established pursuant to Chapter 2177, Government Code and transfer
34-22    responsibility for management of the business daily to the
34-23    commission with the assistance of the department.  After the plan
34-24    is approved by the commission and the Department of Information
34-25    Resources, the plan shall be implemented by the department, and
34-26    responsibility for management of the business daily shall be
 35-1    transferred to the commission.
 35-2          SECTION 20.  Section 2170.004, Government Code, is amended to
 35-3    read as follows:
 35-4          Sec. 2170.004.  CONTRACTS WITH ENTITIES OTHER THAN STATE
 35-5    AGENCIES.  The commission may contract for use of the consolidated
 35-6    telecommunications system with:
 35-7                (1)  each house of the legislature;
 35-8                (2)  a legislative agency;
 35-9                (3)  an agency that is not a state agency as defined by
35-10    Section 2151.002; [and]
35-11                (4)  a political subdivision, including a county,
35-12    municipality, or district; or
35-13                (5)  a collaborative community computer network in
35-14    which one or more political subdivisions participate.
35-15          SECTION 21.  Section 2170.051, Government Code, is amended by
35-16    adding Subsection (e) to read as follows:
35-17          (e)  The commission may contract for necessary support and
35-18    maintenance of the consolidated telecommunications system resulting
35-19    from collaborative community computer network participation.
35-20          SECTION 22.  Section 2170.057, Government Code, is amended by
35-21    adding Subsection (e) to read as follows:
35-22          (e)  The commission, in cooperation with the
35-23    telecommunications planning group, shall develop a cost schedule
35-24    for charging a political subdivision or a consortium of one or more
35-25    political subdivisions and other entities for use of the
35-26    consolidated telecommunications system for operating a
 36-1    collaborative community computer network.  Notwithstanding
 36-2    Subsection (a), charges for services described by this subsection
 36-3    may be based on costs to the system in addition to proportionate
 36-4    usage, including support and maintenance costs associated with
 36-5    community computer network use.
 36-6          SECTION 23.  Chapter 2177, Government Code, is amended by
 36-7    adding Sections 2177.0001, 2177.0002 and 2177.004, and amending
 36-8    Sections 2177.001, 2177.002, and 2177.003 to read as follows:
 36-9          Sec. 2177.0001.  PURPOSE.  The purpose of this chapter is to
36-10    facilitate the establishment and operation of an advanced
36-11    electronic procurement system on the Internet to be known as
36-12    "Tex-Mall" for state agencies and local governments.  The
36-13    electronic procurement system shall be implemented by the
36-14    Department of Information Resources in coordination with the
36-15    commission.  The electronic procurement system shall coordinate an
36-16    electronic network infrastructure accessible through the Internet
36-17    with an active and vital procurement marketplace where goods and
36-18    services may be offered for sale by approved vendors and purchased
36-19    by state agencies and local governments.
36-20          Sec. 2177.0002.  DEFINITIONS.  In this chapter:  (1)
36-21    "department" means the Department of Information Resources.
36-22                (2)  "electronic procurement system" means the system
36-23    for procuring goods and services electronically which is comprised
36-24    of the electronic procurement marketplace outlined in Section
36-25    2177.001, the electronic commerce network outlined in Section
36-26    2177.002, and any subsequently developed electronic system for the
 37-1    purchase of goods and services implemented by the Department of
 37-2    Information Resources and operated by the commission which is
 37-3    accessible through the TexasOnline portal or similar Texas state
 37-4    Internet portal.
 37-5                (3)  "Local government" means a:
 37-6                      (A)  county, municipality, special district,
 37-7    school district, or other political subdivision of this state; or
 37-8                      (B)  combination of two or more of those
 37-9    entities.
37-10                (4)  "State agency" means a department, commission,
37-11    board, office, or other agency in the executive branch of state
37-12    government created by the state constitution or a state statute,
37-13    but does not include a university system or an institution of
37-14    higher education as defined by Section 61.003, Education Code.
37-15                (5)  "TexasOnline portal" means the common electronic
37-16    system for using the Internet to facilitate electronic interaction
37-17    between state agencies, local governments and members of the public
37-18    that was originally established as, and is a continuation of, the
37-19    demonstration project developed by the Department of Information
37-20    Resources and task force pursuant to Section 2054.062, Government
37-21    Code, as enacted by the 76th Legislature.
37-22          Sec. 2177.001.  Electronic Procurement Marketplace.  (a)  The
37-23    commission, in coordination with the department, shall [establish
37-24    and] manage an electronic procurement marketplace.  Subject to the
37-25    approval of the department, the [The] commission may enter into
37-26    contracts with private or public entities to establish or maintain
 38-1    all or part of the databases comprising the marketplace, to the
 38-2    extent feasible, including contracts to procure hardware or
 38-3    software.  The commission shall procure all goods and services
 38-4    related to the marketplace through a competitive selection process
 38-5    appropriate for the good or service being acquired.
 38-6          (b)  The commission, in consultation with the department
 38-7    [Department of Information Resources], shall define standards,
 38-8    including keyword and product code standards, for the electronic
 38-9    procurement marketplace.  The marketplace may contain:
38-10                (1)  information relevant to the state's standard
38-11    procurement specifications for goods and services;
38-12                (2)  information about vendors, including information
38-13    from the centralized master bidders list and vendor performance
38-14    information;
38-15                (3)  information about products, including product
38-16    testing results;
38-17                (4)  historical purchasing information, qualified
38-18    purchase lists, and trends; and
38-19                (5)  information about the availability of surplus
38-20    property.
38-21          (c)  The commission, in coordination with the department, may
38-22    adopt rules relating to the design and use of the electronic
38-23    procurement marketplace, including rules that require state
38-24    agencies to provide information for or receive information from the
38-25    marketplace.
38-26          (d)  The commission may make state procurement services
 39-1    [information] available to local governments and institutions of
 39-2    higher education as defined in Section 61.003, Education Code,
 39-3    [political subdivisions] through the electronic procurement
 39-4    marketplace on a fee-for-service basis.  The commission may [shall]
 39-5    set the fees for transactions in an amount that recovers the
 39-6    state's costs in providing the access to a local government or
 39-7    institution of higher education [political subdivision].
 39-8          (e)  Before developing a contract for the procurement of a
 39-9    good or service, a state agency or local government may use the
39-10    electronic procurement marketplace to determine the most
39-11    appropriate method for acquiring the good or service.
39-12          (f)  The marketplace may contain:
39-13                (1)  information relevant to the state's standard
39-14    procurement specifications for goods and services;
39-15                (2)  information about vendors, including information
39-16    from the centralized master bidders list and vendor performance
39-17    information;
39-18                (3)  information about products, including product
39-19    testing results; and
39-20                (4)  historical purchasing information, qualified
39-21    purchase lists, and trends.
39-22          (g)  The commission may require information from a state
39-23    agency for inclusion in the electronic procurement marketplace.
39-24          (h)  The commission shall assist the department in conducting
39-25    an assessment of the functionality of the existing electronic
39-26    procurement marketplace established pursuant to this section to
 40-1    determine whether the marketplace should be enhanced, replaced or
 40-2    established through the TexasOnline portal.
 40-3          (i)  Based on the recommendations from the assessment
 40-4    conducted pursuant to subsection (h), the electronic procurement
 40-5    marketplace, or information from the marketplace, may be integrated
 40-6    into, or replaced by, a new or modified electronic procurement
 40-7    system implemented by the department with the assistance of the
 40-8    commission.
 40-9          (j)  Prior to initiation or renewal of any contracts between
40-10    the commission and any vendors regarding operation, maintenance or
40-11    upgrades to the marketplace, the commission shall obtain the
40-12    approval of the department.
40-13          Sec. 2177.002.  Electronic Commerce Network.  (a)  The
40-14    commission, in coordination with the department, shall [establish
40-15    and] manage an electronic commerce network or subsequently
40-16    developed electronic procurement system, to the extent feasible,
40-17    under which the state's purchasing transactions with vendors can be
40-18    accomplished electronically by means of facsimile transmissions and
40-19    on-line transmission of necessary information.  The commission
40-20    shall comply with applicable rules of the department [Department of
40-21    Information Resources] relating to establishment of electronic
40-22    procurement systems [to the extent that they are based on the
40-23    standard data protocol developed by the American National Standards
40-24    Institute known as electronic data interchange or on other
40-25    efficient standards as determined by the commission].
40-26          (b)  Subject to the approval of the department, the [The]
 41-1    commission may enter into contracts with one or more public or
 41-2    private entities to establish or support various elements of the
 41-3    network.  The commission shall procure all goods and services
 41-4    related to the network through the competitive selection process
 41-5    appropriate for the good or service being acquired.
 41-6          (c)  In coordination with the department, the [The]
 41-7    commission may provide for a gateway between the electronic
 41-8    procurement marketplace and the electronic commerce network so that
 41-9    the elements of a procurement transaction that are within state
41-10    government and the elements of a procurement transaction that
41-11    involve communication with a vendor may all be accomplished
41-12    electronically.
41-13          (d)  Each state agency that is capable of participating in
41-14    the electronic commerce network must participate in the network and
41-15    participate in contracts entered into by the commission for the
41-16    establishment or support of the network.  The commission shall
41-17    charge an agency a fee for network services provided to the agency
41-18    by the commission or by a contractor so that the cost of providing
41-19    network services to an agency is paid by the agency.
41-20          (e)  The commission may allow local governments and
41-21    institutions of higher education as defined by Section 61.003,
41-22    Education Code, [political subdivisions] and other public entities
41-23    that are members of the commission's cooperative purchasing program
41-24    to participate in the electronic commerce network.  The commission
41-25    shall require that a participating [political subdivision or other]
41-26    entity is charged a fee for the network services in the same manner
 42-1    that participating state agencies are charged fees under Subsection
 42-2    (d).
 42-3          (f)  The commission may also charge private businesses a fee
 42-4    for accessing the network.
 42-5          (g)  In consultation with the department, the [The]
 42-6    commission may:
 42-7                (1)  adopt rules relating to the use of the network [to
 42-8    administer this section]; and
 42-9                (2)  require participating state agencies, local
42-10    governments [political subdivisions], and other public entities
42-11    that desire to use the system to designate a network coordinator.
42-12          (h)  The requirements of this section and Section 2177.003
42-13    are in addition to the requirements of other law relating to the
42-14    solicitation of bids, proposals, or expressions of interest for a
42-15    procurement by the commission or another state agency.  This
42-16    section and Section 2177.003 do not affect any other law that
42-17    requires the commission or another state agency to award a
42-18    procurement contract through competitive bidding, competitive
42-19    sealed proposals, or another method.
42-20          (i)  Prior to initiation or renewal of any contracts between
42-21    the commission and any vendors regarding operation, maintenance or
42-22    upgrades to the network, the commission shall obtain the approval
42-23    of the department.
42-24          (j)  The commission shall assist the department in conducting
42-25    an assessment of the functionality of the existing electronic
42-26    commerce network established pursuant to this section to determine
 43-1    whether the network should be enhanced, replaced or accessed
 43-2    through the TexasOnline portal.
 43-3          (k)  Based on the recommendations from the assessment
 43-4    conducted pursuant to subsection (j), the electronic commerce
 43-5    network may be integrated into, or replaced by, a new or modified
 43-6    electronic procurement system implemented by the department with
 43-7    the assistance of the commission.
 43-8          (l)  If the network is integrated into, or replaced by a new
 43-9    electronic procurement system implemented by the department and
43-10    accessed through the TexasOnline portal, the commission and the
43-11    department shall enter into an agreement regarding distribution of
43-12    the fees charged for transacting business through the network to
43-13    ensure adequate reimbursement for the cost of developing and
43-14    maintaining the portal.
43-15          Sec. 2177.003.  PARTICIPATION BY STATE AGENCIES IN ELECTRONIC
43-16    PROCUREMENT SYSTEM [COMMERCE NETWORK].  (a)  Each state agency
43-17    shall send to the commission for posting on the electronic commerce
43-18    network or any subsequent electronic procurement system implemented
43-19    by the department, information on each procurement contract the
43-20    value of which will exceed the amount of the agency's delegated
43-21    purchasing authority under Section 2155.132:
43-22                (1)  without regard to the source of funds the agency
43-23    will use for the procurement; and
43-24                (2)  including a procurement that is:
43-25                      (A)  a procurement by a state agency that is
43-26    otherwise exempt from the commission's purchasing authority;
 44-1                      (B)  made under delegated purchasing authority
 44-2    under Section 2155.131;
 44-3                      (C)  related to a construction project; or
 44-4                      (D)  a procurement of professional or consulting
 44-5    services.
 44-6          (b)  The commission and each participating state agency shall
 44-7    include in the information placed on the electronic commerce
 44-8    network, to the extent it is feasible, the following information
 44-9    for each procurement that the commission will make or that another
44-10    state agency will make under Subsection (a):
44-11                (1)  a description of the goods or services to be
44-12    procured;
44-13                (2)  the estimated quantity of the goods or services to
44-14    be procured;
44-15                (3)  if applicable, the previous price paid by the
44-16    commission or another state agency for the same or similar goods or
44-17    services;
44-18                (4)  the estimated date on which the goods or services
44-19    to be procured will be needed; and
44-20                (5)  the name, business mailing address, and business
44-21    telephone number of the commission employee or other state agency
44-22    or local government employee a person can contact for further
44-23    information; [to obtain]
44-24                (6)  all necessary information relating to making a bid
44-25    or proposal or other applicable expression of interest for the
44-26    procurement contract, including but not limited to terms and
 45-1    conditions of the contracts; and
 45-2                (7)  opportunities available to local governments and
 45-3    state agencies for price discounts on volume purchases under the
 45-4    contract.
 45-5          (c)  The commission shall also post on the electronic
 45-6    commerce network other information relating to the business
 45-7    activity of the state that the commission considers to be of
 45-8    interest to the public.  Each state agency and participating local
 45-9    government shall provide the commission with information the
45-10    commission requires for purposes of this subsection in a format
45-11    prescribed by the commission.
45-12          (d)  Each state agency that will award a contract that has
45-13    been placed on the electronic commerce network under Subsection (a)
45-14    shall place notification of the awarding of the contract on the
45-15    electronic commerce network.
45-16          (e)  Institutions of higher education as defined in Section
45-17    61.003, Education Code, are encouraged to participate in the
45-18    electronic procurement system established under this chapter, but
45-19    such participation is at the option of the institution.
45-20          Sec. 2177.004.  CONSULTATION WITH OTHER ENTITIES.  The
45-21    commission shall consult no less than quarterly with the following
45-22    entities to ensure continued responsiveness of the electronic
45-23    procurement system to the needs of the users:
45-24                (1)  the department;
45-25                (2)  the comptroller;
45-26                (3)  the state auditor;
 46-1                (4)  the Texas government to business coordinating
 46-2    council and the vendor advisory council of the commission;
 46-3                (5)  representatives of state agencies and local
 46-4    governments that use the system.
 46-5          SECTION 24.  Subchapter D, Chapter 271, Local Government
 46-6    Code, is amended by adding Section 271.084 to read as follows:
 46-7          Sec. 271.084.  BUYING UNDER CONTRACT OF STATE AGENCY OR OTHER
 46-8    LOCAL GOVERNMENT.  (a)  For the purposes of this section, "local
 46-9    government" and "state agency" have the meaning assigned by Section
46-10    2177.0002, Government Code.
46-11          (b)  The General Services Commission shall adopt rules by
46-12    January 1, 2002 specifying the circumstances under which it is not
46-13    advantageous for the state to allow a local government to purchase
46-14    goods or services under a contract made by another local government
46-15    or a state agency other than the commission.
46-16          SECTION 25.  Subchapter A, Chapter 111, Tax Code, is amended
46-17    by adding Section 111.0045 to read as follows:
46-18          Sec. 111.0045.  ADVANCED TECHNOLOGIES.  (a)  To enhance the
46-19    efficiency of audits and enforcement activities, the comptroller
46-20    shall acquire and maintain wireless communication equipment for
46-21    comptroller auditors.  Such equipment may include but not be
46-22    limited to, wireless modems for laptop computers to enable
46-23    high-speed, wireless access to comptroller systems from remote
46-24    locations.
46-25          (b)  The comptroller shall develop, implement and maintain an
46-26    advanced electronic audit database system for the comptroller's
 47-1    audit division.  The system shall provide centralized management of
 47-2    audit transaction data, enhanced quality control of data, and be
 47-3    compatible with other state data systems.  The comptroller may
 47-4    contract with an appropriate vendor to develop or implement the
 47-5    system.  If the comptroller contracts with a person to develop or
 47-6    implement the system, the comptroller shall take steps to protect
 47-7    any confidential information that must be provided to the person to
 47-8    allow development of the system.  A person who receives
 47-9    confidential information under this section and each employee or
47-10    agent of that person is subject to the same prohibitions against
47-11    disclosure of the information, as well as the same penalties and
47-12    sanctions for improper disclosure, that apply to the comptroller or
47-13    an employer of the comptroller.
47-14          (c)  To enhance enforcement capabilities, the comptroller
47-15    shall acquire and maintain portable computing systems with remote
47-16    or wireless communications equipment for comptroller enforcement
47-17    staff.  The portable computers shall be integrated with an
47-18    electronic signature capturing system and portable printing
47-19    capabilities to enhance the security of the collections process.
47-20    The wireless modems shall enable enforcement officers to verify
47-21    taxpayer claims, update taxpayer information from the field, and
47-22    facilitate account updates.
47-23          (d)  To enhance productivity, the comptroller shall acquire
47-24    advanced scanners for comptroller field offices.  The scanners
47-25    shall enable enforcement officers to scan enforcement data directly
47-26    into comptroller databases without the necessity for manual
 48-1    reentry.
 48-2          (e)  To enhance the productivity of operations, the
 48-3    comptroller may employ or contract for the services of accountants,
 48-4    auditors, investigators, assistants, clerks, and information
 48-5    technology specialists to provide or utilize the technologies
 48-6    described in this section and to assist with the administration of
 48-7    the Tax Code, and the comptroller may delegate to employees or
 48-8    contractors the authority to perform duties as required.
 48-9          SECTION 26.  Section 57.042, Utilities Code, is amended by
48-10    adding Subdivision (12) to read as follows:
48-11                (12)  "Telecommunications planning group" means the
48-12    group organized under Subchapter H, Chapter 2054, Government Code.
48-13          SECTION 27.  Section 57.045, Utilities Code, is amended by
48-14    adding Subsection (e) to read as follows:
48-15          (e)  The board, in cooperation with the governor and the
48-16    members of the telecommunications planning group, shall attempt to
48-17    acquire and ensure the use of any grant funding available from the
48-18    federal government for:
48-19                (1)  statewide or community computer networking
48-20    solutions including initiatives described by Section 57.047; and
48-21                (2)  regional or community technology education
48-22    initiatives.
48-23          SECTION 28.  Section 57.046(b), Utilities Code, is amended to
48-24    read as follows:
48-25          (b)  The board shall use money in the qualifying entities
48-26    account for any purpose authorized by this subchapter, including:
 49-1                (1)  equipment;
 49-2                (2)  wiring;
 49-3                (3)  material;
 49-4                (4)  program development;
 49-5                (5)  training;
 49-6                (6)  installation costs; [and]
 49-7                (7)  collaborative community computer networks; and
 49-8                (8)  a statewide telecommunications network.
 49-9          SECTION 29.  Sections 57.047(c)-(f), Utilities Code, are
49-10    amended to read as follows:
49-11          (c)  The board may award a grant or loan for collaborative
49-12    community computer networking to a consortium of one or more
49-13    political subdivisions, educational institutions, libraries,
49-14    telemedicine centers, or other entities.  The grant or loan may be
49-15    used only for telecommunications infrastructure and equipment,
49-16    local area network wiring and cabling, and local area network hub
49-17    equipment, including wireless devices, to support the development
49-18    of local and wide-area computer networks for the consortium or to
49-19    permit access of a collaborative community computer network to the
49-20    consolidated telecommunications system operated under Chapter 2170,
49-21    Government Code.  The grant or loan may be used to acquire personal
49-22    computers, software or related equipment only if the board finds
49-23    the acquisition necessary for the implementation of collaborative
49-24    community computer networking.  As a condition of a grant or loan
49-25    under this subsection, the board shall require the consortium to
49-26    design for its network a community web portal that meets the
 50-1    standards established by the Department of Information Resources
 50-2    for the common Texas Internet portal for state and local
 50-3    governments currently known as TexasOnline.  The board shall award
 50-4    grants and loans under this subsection through a competitive and
 50-5    collaborative application process to select collaborative community
 50-6    computer networks that show the best potential for being
 50-7    self-sustaining after funding under this subsection expires.
 50-8          (d)  In awarding a grant or loan under this subchapter, the
 50-9    board shall give priority to a project or proposal that:
50-10                (1)  represents collaborative efforts involving more
50-11    than one political subdivision, school, university, or library;
50-12                (2)  contributes matching funds from another source;
50-13                (3)  shows promise of becoming self-sustaining;
50-14                (4)  helps users of information learn new ways to
50-15    acquire and use information through telecommunications;
50-16                (5)  extends specific educational information and
50-17    knowledge services to a group not previously served, especially a
50-18    group in a rural or remote area;
50-19                (6)  results in more efficient or effective learning
50-20    than conventional teaching;
50-21                (7)  improves the effectiveness and efficiency of
50-22    health care delivery; or
50-23                (8)  takes advantage of distance learning opportunities
50-24    in a rural or urban school district with a:
50-25                      (A)  disproportionate number of at-risk youths;
50-26    or
 51-1                      (B)  high dropout rate.
 51-2          (e) [(d)]  In distributing money to public schools, the board
 51-3    shall:
 51-4                (1)  consider the relative property wealth per student
 51-5    of the school districts that receive the money; and
 51-6                (2)  recognize the unique needs of rural communities.
 51-7          (f)  The board shall establish a goal of awarding to
 51-8    political subdivisions grants and loans under Subsection (c) of not
 51-9    less than $12 million each year and shall set priorities for
51-10    awarding additional grant funding for collaborative community
51-11    computer networking initiatives from available money.
51-12          (g) [(e)]  If a board member is an employee of an entity that
51-13    applies for a grant or loan under this subchapter, the board
51-14    member, before a vote on the grant or loan, shall disclose the fact
51-15    of the member's employment.  The disclosure must be entered into
51-16    the minutes of the meeting.  The board member may not vote on or
51-17    otherwise participate in the awarding of the grant or loan.  If the
51-18    board member does not comply with this subsection, the entity is
51-19    not eligible for the grant or loan.
51-20          (h) [(f)]  A grant or loan awarded under this section is
51-21    subject to the limitations prescribed by Section 57.046.
51-22          SECTION 30.  (a)  The Department of Information Resources
51-23    shall conduct a study of the feasibility of creating regional
51-24    technology centers with membership composed of political
51-25    subdivisions of each region of this state to foster collaborative
51-26    community networking by:
 52-1                (1)  establishing and promoting independently funded
 52-2    community technology centers to help residents and business
 52-3    entities in gaining access to Internet information and resources;
 52-4                (2)  providing technical support to political
 52-5    subdivisions regarding community networking;
 52-6                (3)  eliminating connectivity barriers between
 52-7    governmental units; and
 52-8                (4)  coordinating access to geographical information
 52-9    system information for its members, especially for those members
52-10    that otherwise would not have the necessary infrastructure,
52-11    equipment, or personnel to use the information.
52-12          (b)  The study shall include an evaluation of the utility of
52-13    coordinating efforts described by Subsection (a)(4) of this section
52-14    among regional technology centers, community technology centers,
52-15    and the proposed Texas Geography Network, if the network is
52-16    created.
52-17          (c)  The Department of Information Resources shall report the
52-18    results of the study to the governor, lieutenant governor, speaker
52-19    of the house of representatives, and the comptroller.  The report
52-20    must be delivered not later than October 1, 2002.
52-21          SECTION 31.  EFFECTIVE DATE.  This Act takes effect on
52-22    September 1, 2001.