SRC-VRA C.S.S.B. 733 78(R)BILL ANALYSIS Senate Research CenterC.S.S.B. 733 By: Ratliff Intergovernmental Relations 4/4/2003 Committee Report (Substituted) DIGEST AND PURPOSE Currently, local governments may purchase items under competitive bidding procedures primarily in three ways: (1) posting an invitation to bid; (2) purchasing through the state from approved vendors; and (3) purchasing from a local government cooperative. C.S.S.B. 733 allows local governments to purchase an item from a local vendor without following competitive purchasing procedures if the vendor's price is equal to or less than the price provided by the state or cooperative. 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 Chapter 271Z, Local Government Code, by adding Section 271.907, as follows: Sec. 271.907. PURCHASE FROM LOCAL VENDOR. (a) Provides that this section applies only to a local government, as defined by Section 271.081, that is located in a county with a population of 50,000 or less. (b) Defines "local vendor." (c) Authorizes a local government to purchase an item from a local vendor without following a competitive purchasing procedure if that vendor's price is equal to or less than the price at which the local government could purchase the item under a government purchasing program of this state such as those described by Subchapter D, F, or G or by Section 2155.504, Government Code (Certain Bids and Contracts Prohibited). (d) Provides that a purchase under this section satisfies any law requiring the local government to purchase an item under a competitive purchasing procedure. SECTION 2. Effective date: September 1, 2003. SUMMARY OF COMMITTEE CHANGES SECTION 1. Creates new Subsection (a) in Section 271.907, Local Government Code, and renumbers subsequent subsections accordingly. Deletes a reference to Section 271.081, Local Government Code, in Subsection (c) of substitute.