C.S.H.B. 3089 78(R)    BILL ANALYSIS

C.S.H.B. 3089
By: Dukes
County Affairs
Committee Report (Substituted)


BACKGROUND AND PURPOSE 
In the last session, Harris County was given sole authority to use the
procurement tool known as mandatory pre-bid conference.  Prior to last
session, all counties used mandatory pre-bid meetings on a limited basis
to ensure that contractors fully understood the project
requirements/specifications prior to bidding. Contractors were required to
attend the meeting if they wanted to submit a bid. If they did not attend
the meeting, they could not submit a bid.  

These mandatory pre-bid meetings are essential in a limited number of
county projects. For example, a boiler replacement at a jail: The
contractors need to look at the actual job site and all its limitations,
etc. If not, often the contractor claims he didn't know the space was so
small, etc. and your chances of contract disputes increase. This is just
another procurement tool to protect the county's best interest and control
cost. 

If specifications are easily defined, then a bid is the best way to go.
However, in certain solicitations (i.e., drug testing) it would be to the
county's advantage to be able to negotiate the deal (mainly the price).  
  The purpose of this committee substitute is to provide counties with the
option of using a pre-bid conference.  This tool enhances a county's
ability to effectively conduct its purchasing activities. 

RULEMAKING AUTHORITY
It is the committee's opinion that this bill does not expressly grant any
additional rulemaking authority to a state officer, department, agency, or
institution. 

ANALYSIS
Section 1. Amends Section 262.0256(a), Local Government Code, to lower the
population bracket from 2.8 million to 800,000 or more in order to provide
other large counties the option to conduct a mandatory pre-bid conference. 

Section 2. Amends Section 262.030(d), Local Government Code, to lower the
population bracket from 2.4 million to 800,000 or more in order to provide
other large counties the option to use the competitive proposal purchasing
method authorized by this section for insurance and high technology items,
and other items with commissioners court approval. 

Section 3. Amends Section 271.0565(a), Local Government Code, to lower the
population bracket from 2.8 million to 800,000 or more in order to provide
other large counties the option to conduct a mandatory pre-bid conference. 

Section 4. Effective date is September 1, 2003

EFFECTIVE DATE
September 1, 2003

COMPARISON OF ORIGINAL TO SUBSTITUTE
Section 1. Amends Section 262.0256(a), Local Government Code, to remove
the population bracket of 2.8 million in order to provide all counties the
option to conduct a mandatory pre-bid conference. 

Section 2. Amends Section 271.0565(a), Local Government Code, to remove
the population bracket of 2.8 million in order to provide all counties the
option to conduct a mandatory pre-bid conference. 

Section 3. Effective date is September 1, 2003