80R6710 ESH-F
 
  By: Flynn H.B. No. 1536
 
 
 
   
 
 
A BILL TO BE ENTITLED
AN ACT
relating to job order contracts entered into by school districts,
public institutions of higher education, navigation districts, and
certain other governmental entities.
       BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
       SECTION 1.  Section 44.031(a), Education Code, is amended to
read as follows:
       (a)  Except as provided by this subchapter, all school
district contracts, except contracts for the purchase of produce or
vehicle fuel, valued at $25,000 or more in the aggregate for each
12-month period shall be made by the method, of the following
methods, that provides the best value for the district:
             (1)  competitive bidding;
             (2)  competitive sealed proposals;
             (3)  a request for proposals, for services other than
construction services;
             (4)  a catalogue purchase as provided by Subchapter B,
Chapter 2157, Government Code;
             (5)  an interlocal contract;
             (6)  a design/build contract;
             (7)  a contract to construct, rehabilitate, alter, or
repair facilities that involves using a construction manager;
             (8)  a job order contract for the [minor] construction,
renovation, repair, rehabilitation, or alteration of a facility in
accordance with Section 44.041 or by interlocal agreement;
             (9)  the reverse auction procedure as defined by
Section 2155.062(d), Government Code; or
             (10)  the formation of a political subdivision
corporation under Section 304.001, Local Government Code.
       SECTION 2.  The heading to Section 44.041, Education Code,
is amended to read as follows:
       Sec. 44.041.  JOB ORDER CONTRACTS FOR FACILITIES
CONSTRUCTION, RENOVATION, OR REPAIR.
       SECTION 3.  Sections 44.041(a), (c), and (e), Education
Code, are amended to read as follows:
       (a)  A school district may award job order contracts for the
[minor] construction, renovation, repair, rehabilitation, or
alteration of a facility if [the work is of a recurring nature but]
the delivery times of the work are indefinite and indefinite
quantities and orders are awarded substantially on the basis of
predescribed and prepriced tasks.
       (c)  The school district may specify individual job order
limitations, contract renewable term limitations, or total
contract value limitations. The school district shall advertise
for, receive, and publicly open sealed proposals for job order
contracts.
       (e)  The district may award job order contracts to a job
order contractor and, if considered necessary, a secondary job
order contractor [one or more job order contractors] in connection
with each solicitation of bids or proposals.
       SECTION 4.  The heading to Section 51.784, Education Code,
is amended to read as follows:
       Sec. 51.784.  JOB ORDER CONTRACTS FOR FACILITIES
CONSTRUCTION, RENOVATION, OR REPAIR.
       SECTION 5.  Sections 51.784(a), (c), and (e), Education
Code, are amended to read as follows:
       (a)  An institution may award job order contracts for the
[minor] construction, renovation, repair, rehabilitation, or
alteration of a facility if [the work is of a recurring nature but]
the delivery times of the work are indefinite and indefinite
quantities and orders are awarded substantially on the basis of
predescribed and prepriced tasks.
       (c)  The board may specify individual job order limitations,
contract renewable term limitations, or total contract value
limitations. The board shall advertise for, receive, and publicly
open sealed proposals for job order contracts.
       (e)  The board may award job order contracts to a job order
contractor and, if considered necessary, a secondary job order
contractor [one or more job order contractors] in connection with
each solicitation of bids or proposals.
       SECTION 6.  Section 271.113(a), Local Government Code, is
amended to read as follows:
       (a)  In entering into a contract for the construction of a
facility, a governmental entity may use any of the following
methods that provides the best value for the governmental entity:
             (1)  competitive bidding;
             (2)  competitive sealed proposals for construction
services;
             (3)  a design-build contract;
             (4)  a contract to construct, rehabilitate, alter, or
repair facilities that involves using a construction manager; or
             (5)  a job order contract for the construction,
renovation, [minor] repair, rehabilitation, or alteration of a
facility.
       SECTION 7.  The heading to Section 271.120, Local Government
Code, is amended to read as follows:
       Sec. 271.120.  JOB ORDER CONTRACTS FOR FACILITIES
CONSTRUCTION, RENOVATION, OR REPAIR.
       SECTION 8.  Sections 271.120(a), (c), (e), and (f), Local
Government Code, are amended to read as follows:
       (a)  A governmental entity may award job order contracts for
the [minor] construction, renovation, repair, rehabilitation, or
alteration of a facility if [the work is of a recurring nature but]
the delivery times of the work are indefinite and indefinite
quantities and orders are awarded substantially on the basis of
predescribed and prepriced tasks.
       (c)  The governmental entity may specify individual job
order limitations, contract renewable term limitations, or total
contract value limitations. The governmental entity shall
advertise for, receive, and publicly open sealed proposals for job
order contracts.
       (e)  The governmental entity may award job order contracts to
a job order contractor and, if considered necessary, a secondary
job order contractor [one or more job order contractors] in
connection with each solicitation of bids or proposals.
       (f)  An order for a job or project under the job order
contract must be signed by the governmental entity's representative
and the contractor. The order may be a fixed price, lump-sum
contract based substantially on contractual unit pricing applied to
estimated quantities or may be a unit price order based on the
quantities and line items [times] delivered.
       SECTION 9.  Section 60.454, Water Code, is amended to read as
follows:
       Sec. 60.454.  PURCHASING CONTRACT METHODS.  Notwithstanding
any other provision of this chapter or other law, a district
contract valued at $25,000 or more in the aggregate for each
12-month period may be made by the method below that, in the opinion
of the district's commission, provides the best value for the
district:
             (1)  a design-build contract to construct,
rehabilitate, alter, or repair facilities;
             (2)  a contract to construct, rehabilitate, alter, or
repair facilities that involves using a construction manager-agent
or construction manager-at-risk;
             (3)  competitive sealed proposals;
             (4)  a job order contract for the construction,
renovation, repair, rehabilitation, or alteration of a facility;
             (5)  a request for proposals, if the contract is for
services other than construction services;
             (6)  competitive sealed bids;
             (7)  a catalog purchase as provided by Subchapter B,
Chapter 2157, Government Code;
             (8)  an interlocal contract as provided by Chapter 791,
Government Code;
             (9)  the reverse auction procedure as defined by
Section 2155.062(d), Government Code;
             (10)  a contract with the United States, including any
agency thereof; or
             (11)  a contract with this state, including an agency
of this state.
       SECTION 10.  The heading to Section 60.464, Water Code, is
amended to read as follows:
       Sec. 60.464.  JOB ORDER CONTRACTS FOR FACILITIES
CONSTRUCTION, RENOVATION, OR REPAIR.
       SECTION 11.  Sections 60.464(a), (c), and (e), Water Code,
are amended to read as follows:
       (a)  A district may award job order contracts for the
construction, renovation, repair, rehabilitation, or alteration of
a facility if [the work is of a recurring nature but] the delivery
times of the work are indefinite and indefinite quantities and
orders are awarded substantially on the basis of predescribed and
prepriced tasks.
       (c)  The governmental entity may specify individual job
order limitations, contract renewable term limitations, or total
contract value limitations. The district shall advertise for,
receive, and publicly open sealed proposals for job order
contracts.
       (e)  The district may award job order contracts to a job
order contractor and, if considered necessary, a secondary job
order contractor [one or more job order contractors] in connection
with each solicitation of bids or proposals.
       SECTION 12.  The changes in law made by this Act apply only
to a job order contract for which a school district, public
institution of higher education, governmental entity, or
navigation district first advertises for sealed proposals on or
after September 1, 2007.  A job order contract for which a school
district, public institution of higher education, governmental
entity, or navigation district first advertises for sealed
proposals before September 1, 2007, is governed by the law in effect
on the date the district, institution, or entity first advertises
for sealed proposals, and the former law is continued in effect for
that purpose.
       SECTION 13.  This Act takes effect September 1, 2007.