78R10799 DRH-F
By: Lindsay S.B. No. 850
Substitute the following for S.B. No. 850:
By: Flynn C.S.S.B. No. 850
A BILL TO BE ENTITLED
AN ACT
relating to allowing local governments and school districts to
prohibit contracts or other transactions with delinquent
taxpayers.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter C, Chapter 252, Local Government
Code, is amended by adding Section 252.0436 to read as follows:
Sec. 252.0436. CONTRACT WITH PERSON INDEBTED TO
MUNICIPALITY. (a) A municipality by ordinance may establish
regulations permitting the municipality to refuse to enter into a
contract or other transaction with a person indebted to the
municipality.
(b) It is not a violation of this chapter for a
municipality, under regulations adopted under Subsection (a), to
refuse to award a contract to or enter into a transaction with an
apparent low bidder or successful proposer that is indebted to the
municipality.
(c) In this section, "person" includes an individual, sole
proprietorship, corporation, nonprofit corporation, partnership,
joint venture, limited liability company, and any other entity that
proposes or otherwise seeks to enter into a contract or other
transaction with the municipality requiring approval by the
governing body of the municipality.
SECTION 2. Subchapter C, Chapter 262, Local Government
Code, is amended by adding Section 262.0276 to read as follows:
Sec. 262.0276. CONTRACT WITH PERSON INDEBTED TO COUNTY.
(a) By an order adopted and entered in the minutes of the
commissioners court and after notice is published in a newspaper of
general circulation in the county, the commissioners court may
adopt rules permitting the county to refuse to enter into a contract
or other transaction with a person indebted to the county.
(b) It is not a violation of this subchapter for a county,
under rules adopted under Subsection (a), to refuse to award a
contract to or enter into a transaction with an apparent low bidder
or successful proposer that is indebted to the county.
(c) In this section, "person" includes an individual, sole
proprietorship, corporation, nonprofit corporation, partnership,
joint venture, limited liability company, and any other entity that
proposes or otherwise seeks to enter into a contract or other
transaction with the county requiring approval by the commissioners
court.
SECTION 3. Subchapter B, Chapter 44, Education Code, is
amended by adding Section 44.044 to read as follows:
Sec. 44.044. CONTRACT WITH PERSON INDEBTED TO SCHOOL
DISTRICT. (a) The board of trustees of a school district by
resolution may establish regulations permitting the school
district to refuse to enter into a contract or other transaction
with a person indebted to the school district.
(b) It is not a violation of this subchapter for a school
district, under regulations adopted under Subsection (a), to refuse
to award a contract to or enter into a transaction with an apparent
low bidder or successful proposer that is indebted to the school
district.
(c) In this section, "person" includes an individual, sole
proprietorship, corporation, nonprofit corporation, partnership,
joint venture, limited liability company, and any other entity that
proposes or otherwise seeks to enter into a contract or other
transaction with the school district requiring approval by the
board.
SECTION 4. This Act takes effect September 1, 2003.