H.B. No. 1331




AN ACT

relating to the authority of a junior college district to contract 
for the provision of certain services and resources under the 
Interagency Cooperation Act.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 771.002(1), Government Code, is amended 
to read as follows:
		(1)  "Agency" includes:                                                       
			(A)  a department, board, bureau, commission, 
court, office, authority, council, or institution of state 
government;
			(B)  a state university or [,] college, a junior 
college district, or any service or part of a state institution of 
higher education;
			(C)  a local workforce development board created 
under Section 2308.253; and
			(D)  any statewide job or employment training 
program for disadvantaged youth that is substantially financed by 
federal funds and that was created by executive order not later than 
December 30, 1986.
	SECTION 2.  Section 771.003, Government Code, is amended to 
read as follows: 
	Sec. 771.003.  AUTHORITY TO CONTRACT; EXCEPTIONS.  (a)  An [A 
state] agency may agree or contract with another [state] agency for 
the provision of necessary and authorized services and resources.
	(b)  An [A state] agency may not construct a highway, road, 
building, or other structure for another agency under this chapter, 
except that the Texas Department of Transportation may enter into 
an interagency agreement with a state college, university, or 
public junior college for the maintenance, improvement, 
relocation, or extension of existing on-campus streets, parking 
lots, and access-ways.
	(c)  An [A state] agency may not provide services or 
resources to another agency that are required by Article XVI, 
Section 21, of the Texas Constitution to be provided under a 
contract awarded to the lowest responsible bidder.
	SECTION 3.  Section 771.004(a), Government Code, is amended 
to read as follows:
	(a)  Before an [a state] agency may provide or receive a 
service or resource under this chapter, the agency must have 
entered into a written agreement or contract that has been approved 
by the administrator of each agency that is a party to the agreement 
or contract.
	SECTION 4.  Section 771.007, Government Code, is amended to 
read as follows: 
	Sec. 771.007.  REIMBURSEMENT AND ADVANCEMENT OF COSTS.  (a)  
An [A state] agency that receives services or resources under this 
chapter shall reimburse each [state] agency providing the services 
or resources the actual cost of providing the services or 
resources, or the nearest practicable estimate of that cost.  
Reimbursement is not required if the services or resources are 
provided:
		(1)  for national defense or disaster relief; or                              
		(2)  in cooperative efforts, proposed by the governor, 
to promote the economic development of the state.
	(b)  An [A state] agency that receives services or resources 
under this chapter may advance federal funds to an [a state] agency 
providing the services or resources if the agency receiving the 
services or resources determines that the advance would facilitate 
the implementation of a federally funded program.
	(c)  An [A state] agency that receives services or resources 
under this chapter may advance funds to the [state] agency 
providing the services or resources if an advance is necessary to 
enable the providing agency to provide the services or resources.  
If an advance is made under this section, the agencies shall ensure 
after the services or resources are provided that the providing 
agency has received only sufficient funds to reimburse its total 
costs.  An advance of funds is a reimbursement for the purpose of 
Section 771.008.
	SECTION 5.  Section 771.010, Government Code, is amended to 
read as follows: 
	Sec. 771.010.  EXCEEDING AUTHORITY PROHIBITED. An [A state] 
agency may not enter into an agreement or contract that requires or 
permits the agency to exceed its duties and responsibilities or the 
limitations of its appropriated funds.
	SECTION 6.  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, 2005.




______________________________              ______________________________
 
   President of the Senate                               Speaker of the House      

	I certify that H.B. No. 1331 was passed by the House on April 
14, 2005, by the following vote:  Yeas 140, Nays 0, 2 present, not 
voting.

                                                  ______________________________
                                                     Chief Clerk of the House   

	I certify that H.B. No. 1331 was passed by the Senate on May 
20, 2005, by the following vote:  Yeas 31, Nays 0.

                                                  ______________________________
                                                     Secretary of the Senate    



APPROVED:  _____________________                                            
 
                   Date                                                      




 
          _____________________                                          
 
                 Governor