Amend CSHB 2702 by adding the following appropriately 
numbered SECTION and renumbering subsequent SECTIONS of the bill 
	SECTION ___.  Sections 223.041(b), (c), and (d), 
Transportation Code, are amended to read as follows:
	(b)  The department, in setting a minimum level of 
expenditures in these engineering-related activities that will be 
paid to the private sector providers, shall provide that [index the 
level of expenditures from the amount set by rider in the General 
Appropriations Act enacted by the 75th Legislature at its regular 
session in 1997, expressed as a percentage of the total funds 
appropriated in Strategy A.1.1. Plan/Design/Manage.
	[(c)  Beginning in fiscal year 2000, the department shall 
increase its expenditures to private sector providers for 
engineering related services at least one percentage point per year 
until] the expenditure level for a state fiscal year in all 
strategies paid to private sector providers for all department 
engineering-related services for transportation projects is not 
less than [reaches a minimum of] 35 percent of the total funds 
appropriated in Strategy A.1.1. Plan/Design/Manage and Strategy 
A.1.2. of the General Appropriations Act for that state fiscal 
biennium. The department shall attempt to make expenditures for 
engineering-related services with private sector providers under 
this subsection with historically underutilized businesses, as 
defined by Section 2161.001, Government Code, in an amount 
consistent with the applicable  provisions of the Government Code, 
any applicable state disparity study, and in accordance with the 
good-faith-effort procedures outlined in the rules adopted by the 
Texas Building and Procurement Commission [General Services 
	[(d)  The commission shall provide for hearings at which 
private sector complaints relating to the selection process are