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79R1083 KEG-D
By: Chavez H.B. No. 485
A BILL TO BE ENTITLED
AN ACT
relating to restrictions on the use of state funds to provide jobs
for foreign workers.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle F, Title 10, Government Code, is
amended by adding Chapter 2264 to read as follows:
CHAPTER 2264. RESTRICTIONS ON THE USE OF STATE FUNDS
TO PROVIDE JOBS FOR FOREIGN WORKERS
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 2264.001. DEFINITIONS. In this chapter:
(1) "Development assistance" means a public program or
public benefit or assistance of any type that is designed to
stimulate the economic development of a corporation, industry, or
sector of the state's economy, including a geographic area of the
state. The term includes bonds, training grants, loans, loan
guarantees, benefits relating to an enterprise or empowerment zone,
tax increment financing, fee waivers, land price subsidies,
infrastructure development and improvements designed to
principally benefit a single business or defined group of
businesses, matching funds, tax abatements, or any type of tax
credit, tax discount, or tax exemption. The term does not include
tax abatements, credits, discounts, or exemptions specifically
authorized by the Texas Constitution.
(2) "Public agency" means this state or an agency,
instrumentality, or political subdivision of this state, including
a county, a municipality, a public school district, or a
special-purpose district or authority.
[Sections 2264.002-2264.050 reserved for expansion]
SUBCHAPTER B. RESTRICTIONS ON SERVICE CONTRACTS THAT PROVIDE
JOBS TO FOREIGN WORKERS
Sec. 2264.051. APPLICABILITY. This subchapter applies only
in relation to a contract:
(1) that is primarily a contract for services; and
(2) for which any part of the contract price will be
paid with money derived directly or indirectly from the state
treasury.
Sec. 2264.052. PROHIBITION ON CERTAIN SERVICE CONTRACTS. A
public agency may not award a contract to a contractor if the
contractor or any of its subcontractors propose to perform work
under the contract in a country other than the United States.
Sec. 2264.053. STATEMENT REQUIRED IN BIDS AND PROPOSALS. A
contractor that submits a bid, proposal, or other offer to a public
agency for a contract must include in the bid, proposal, or other
offer a statement certifying that the work required by the
contract, including work performed by subcontractors, will be
performed in the United States.
Sec. 2264.054. PROVISION IN SERVICE CONTRACTS. A public
agency that enters into a contract must include in the contract a
provision stating that, in the event a contractor or subcontractor
performs any part of the work under the contract in a country other
than the United States, the contract will be terminated and the
contractor is liable to repay the public agency an amount equal to
the amount paid by the public agency for the percentage of work that
was performed in a country other than the United States.
[Sections 2264.055-2264.100 reserved for expansion]
SUBCHAPTER C. RESTRICTIONS ON USE OF DEVELOPMENT ASSISTANCE TO
PROVIDE JOBS TO FOREIGN WORKERS
Sec. 2264.101. LIMITATION ON DEVELOPMENT ASSISTANCE. A
public agency may not provide development assistance to an entity
that proposes to use the assistance to create employment in a
country other than the United States.
Sec. 2264.102. STATEMENT REQUIRED IN APPLICATIONS FOR
DEVELOPMENT ASSISTANCE. An entity that submits an application to a
public agency for development assistance must include in the
application a statement certifying that the employment created by
the assistance will be created in the United States.
Sec. 2264.103. CONDITION ON RECEIPT OF DEVELOPMENT
ASSISTANCE. (a) A public agency that provides development
assistance must inform each proposed recipient, in writing, that in
the event the recipient uses the assistance to create employment in
a country other than the United States, the assistance will be
terminated and the recipient is liable to pay the public agency an
amount equal to the portion of the dollar value of the assistance
used to create employment in a country other than the United States.
(b) The recipient must agree to this condition to receive
the development assistance.
[Sections 2264.104-2264.150 reserved for expansion]
SUBCHAPTER D. PENALTIES AND ENFORCEMENT
Sec. 2264.151. BARRING FROM FUTURE CONTRACTS OR DEVELOPMENT
ASSISTANCE. (a) A contractor or other entity that has a contract
terminated under Subchapter B may not be awarded a contract to which
Subchapter B applies before the fifth anniversary of the date on
which the public agency terminated the contract.
(b) A recipient of development assistance that has a form of
development assistance terminated by a public agency because the
agency determined that the recipient used the assistance to create
employment in a country other than the United States may not be
awarded any form of development assistance before the fifth
anniversary of the date on which the agency terminated the
assistance.
Sec. 2264.152. RECOVERY. (a) The public agency, or the
attorney general at the request of a public agency that is a state
agency, may bring a civil action to recover any amounts owed to the
agency under this chapter.
(b) The public agency or attorney general, as applicable,
may recover court costs and reasonable attorney's fees incurred in
an action brought under Subsection (a).
SECTION 2. (a) The changes in law made by this Act to public
contracting procedures apply only to a contract for which a public
agency first advertises or otherwise solicits bids, proposals,
offers, or qualifications, as applicable, on or after September 1,
2005.
(b) A contract for which a public agency first advertised or
otherwise solicited bids, proposals, offers, or qualifications, as
applicable, before September 1, 2005, is governed by the law as it
existed immediately before the effective date of this Act, and that
law is continued in effect for that purpose.
SECTION 3. (a) The changes in law made by this Act relating
to the provision of development assistance by a public agency apply
only to development assistance provided in response to an
application for the assistance that a public agency receives on or
after September 1, 2005.
(b) Development assistance provided in response to an
application for the assistance that a public agency receives before
September 1, 2005, is governed by the law as it existed immediately
before that date, and the prior law is continued in effect for that
purpose.
SECTION 4. This Act takes effect September 1, 2005.