SRC-AMY H.B. 2528 78(R)   BILL ANALYSIS


Senate Research Center   H.B. 2528
By: Madden (Fraser)
Business & Commerce
5/17/2003
Engrossed


DIGEST AND PURPOSE 

Currently, there is some question as to whether school districts can
participate in a political subdivision corporation to purchase electricity
in the new restructured electricity market. Allowing school districts to
aggregate could create savings for the school district.  H.B. 2528
includes the formation of a political subdivision corporation as an
additional method for a school district to receive the best value on
contracts valued at $25,000 or more. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 44.031(a), Education Code, to include the
formation of a political subdivision corporation under Section 304.001
(Aggregation by Political Subdivisions), Local Government Code, in the
list of possible methods from which all school district contracts, except
the purchase of produce or vehicle fuel, valued at $25,000 or more in the
aggregate for each 12month period are required to be chosen to provide the
best value for the district. 

SECTION 2.  Amends Section 304.001(a), Local Government Code, to include a
school district in the definition of "political subdivision." 

SECTION 3.  Effective date:  upon passage or September 1, 2003.