78R7027 JRD-D

By:  West                                                         S.B. No. 1005



A BILL TO BE ENTITLED

AN ACT

relating to reporting a state agency that is not complying with the 
requirement to make a good faith effort to increase the agency's use 
of historically underutilized businesses in purchasing and public 
works contracting.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 2161.123(d), Government Code, is amended 
to read as follows:
	(d)  The commission and the state auditor shall cooperate to 
develop procedures to periodically monitor state agency compliance 
with this section.  The state auditor shall report to the 
commission, the Senate Finance Committee, and the House 
Appropriations Committee a state agency that is not complying with 
this section.  In determining whether a state agency is making a 
good faith effort to comply, the state auditor shall consider 
whether the agency:
		(1)  has adopted rules under Section 2161.003;                                
		(2)  has used the commission's directory under Section 
2161.064 and other resources to identify historically 
underutilized businesses that are able and available to contract 
with the agency;
		(3)  made good faith, timely efforts to contact 
identified historically underutilized businesses regarding 
contracting opportunities; and
		(4)  conducted its procurement program in accordance 
with the good faith effort methodology set out in commission rules.
	SECTION 2.  This Act takes effect immediately if it receives 
a vote of two-thirds of all the members elected to each house, as 
provided by Section 39, Article III, Texas Constitution.  If this 
Act does not receive the vote necessary for immediate effect, this 
Act takes effect September 1, 2003.