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A BILL TO BE ENTITLED
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AN ACT
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relating to disposing of salvage personal property and purchasing  | 
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by navigation districts. | 
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       BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | 
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       SECTION 1.  Section 60.120(b), Water Code, is amended to  | 
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read as follows: | 
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       (b)  Any contract, lease, or agreement entered into under  | 
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Subsection (a) of this section shall be approved by resolution of  | 
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the commission and shall be executed by the chairman, the executive  | 
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director of the district, or an authorized representative of the  | 
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executive director [and attested by the secretary of the 
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commission]. | 
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       SECTION 2.  Section 60.153, Water Code, is amended to read as  | 
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follows: | 
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       Sec. 60.153.  EXECUTION OF CONTRACTS.  A contract entered  | 
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into by a district under this subchapter shall be approved by  | 
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resolution of the commission, executed by the presiding officer of  | 
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the commission, the executive director of the district, or an  | 
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authorized representative of the executive director, and duly  | 
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attested by the corporate seal of the district. | 
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       SECTION 3.  Sections 60.403(a) and (b), Water Code, are  | 
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amended to read as follows: | 
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       (a)  A port commission, authorized designated officer of the  | 
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port commission, the executive director of the district or the port  | 
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authority, or an authorized representative of the executive  | 
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director [or authorized designated employee of a port authority or 
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district] may make routine purchases or contracts in an amount not  | 
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to exceed $25,000. | 
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       (b)  Before a purchase is made, a purchase order or other  | 
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form of precommitment approval must be signed by the executive  | 
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director of the district or the port authority or an authorized  | 
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representative of the executive director [the authorized 
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designated officer].  For routine contracts or purchases, the  | 
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precommitment approval may be in the form of a list of approved  | 
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routine purchases or contracts signed by the executive director.   | 
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The signed list shall remain on file in the offices of the district  | 
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or port authority. | 
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       SECTION 4.  Section 60.410(b), Water Code, is amended to  | 
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read as follows: | 
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       (b)  If a change order involves an increase or decrease in  | 
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cost [of $15,000 or] less than or equal to the amount authorized in  | 
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Section 60.403(a) for routine purchases or contracts, a port  | 
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commission may grant general authority to an employee to approve  | 
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the change order.  However, the original contract price may not be  | 
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increased by more than 25 percent or decreased by 18 percent or more  | 
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without the consent of the contractor. | 
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       SECTION 5.  Section 60.4125(a), Water Code, is amended to  | 
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read as follows: | 
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       (a)  Notwithstanding the other provisions of this subchapter  | 
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or any other law, a district or port authority may make a purchase  | 
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or enter into a contract valued at [$25,000 or] more than the amount  | 
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authorized in Section 60.403(a) for routine purchases or contracts | 
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by any method available to a school district, including all  | 
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procedures and limitations, under Subchapter B, Chapter 44,  | 
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Education Code, that, in the opinion of the port commission,  | 
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provides the best value to the district or port authority. | 
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       SECTION 6.  Section 60.454, Water Code, is amended to read as  | 
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follows: | 
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       Sec. 60.454.  PURCHASING CONTRACT METHODS.  Notwithstanding  | 
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any other provision of this chapter or other law, a district  | 
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contract valued at [$25,000 or] more than the amount authorized in  | 
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Section 60.403(a) for routine purchases or contracts in the  | 
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aggregate for each 12-month period may be made by the method below  | 
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that, in the opinion of the district's commission, provides the  | 
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best value for the district: | 
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             (1)  a design-build contract to construct,  | 
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rehabilitate, alter, or repair facilities; | 
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             (2)  a contract to construct, rehabilitate, alter, or  | 
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repair facilities that involves using a construction manager-agent  | 
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or construction manager-at-risk; | 
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             (3)  competitive sealed proposals for construction,  | 
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repair, rehabilitation, or alteration of a facility, and  | 
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nonconstruction items; | 
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             (4)  a job order contract for the construction, repair,  | 
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rehabilitation, or alteration of a facility; | 
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             (5)  a request for proposals, if the contract is for  | 
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items [services] other than construction services; | 
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             (6)  competitive sealed bids; | 
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             (7)  a catalog purchase as provided by Subchapter B,  | 
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Chapter 2157, Government Code; | 
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             (8)  an interlocal contract as provided by Chapter 791,  | 
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Government Code; | 
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             (9)  the reverse auction procedure as defined by  | 
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Section 2155.062(d), Government Code; | 
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             (10)  a contract with the United States, including any  | 
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agency thereof;  or | 
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             (11)  a contract with this state, including an agency  | 
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of this state. | 
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       SECTION 7.  Section 60.463(d), Water Code, is amended to  | 
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read as follows: | 
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       (d)  The district shall prepare a request for competitive  | 
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sealed proposals that includes construction documents, selection  | 
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criteria, [estimated budget,] project scope, schedule, and other  | 
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information that contractors may require to respond to the request.   | 
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The district shall state in the request for proposals the selection  | 
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criteria that will be used in selecting the successful offeror. | 
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       SECTION 8.  Section 62.113, Water Code, is amended to read as  | 
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follows: | 
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       Sec. 62.113.  FORM OF CONTRACTS.  All contracts made by the  | 
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commission shall be in writing and signed by the contractors and at  | 
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least two of the commissioners, the executive director of the  | 
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district, or an authorized representative of the executive  | 
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director.  [A copy of the contract shall be filed with the county 
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clerk.] | 
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       SECTION 9.  Subchapter D, Chapter 62, Water Code, is amended  | 
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by adding Section 62.122 to read as follows: | 
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       Sec. 62.122.  DISPOSITION OF SALVAGE OR SURPLUS PERSONAL  | 
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PROPERTY.  The commission may periodically dispose of surplus or  | 
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salvage personal property in the same manner as the commissioners  | 
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court of a county under Subchapter D, Chapter 263, Local Government  | 
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Code. | 
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       SECTION 10.  Section 63.172, Water Code, is amended to read  | 
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as follows: | 
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       Sec. 63.172.  FORMAL REQUIREMENTS OF CONTRACT.  [(a)] A  | 
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contract entered into by the district shall be in writing and signed  | 
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by the contractors and the commissioners, [or] any two of the  | 
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commissioners, the executive director of the district, or an  | 
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authorized representative of the executive director. | 
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       [(b)  A copy of the contract shall be filed with the county 
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clerk for reference.] | 
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       SECTION 11.  (a)  Except as provided by Subsection (b) of  | 
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this section, the changes in law made by this Act related to  | 
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contracts and purchases made by a navigation district or port  | 
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authority apply only to a contract entered into or purchase made on  | 
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or after the effective date of this Act. A contract entered into or  | 
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purchase made before the effective date of this Act is governed by  | 
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the law in effect on the date the contract was entered into or the  | 
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purchase was made, and that law is continued in effect for that  | 
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purpose. | 
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       (b)  Sections 60.410 and 60.454, Water Code, as amended by  | 
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this Act, apply to a contract entered into before, on, or after the  | 
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effective date of this Act.  A contract entered into by a navigation  | 
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district or port authority under one of those sections before the  | 
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effective date of this Act is validated in all respects as if the  | 
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contract were entered into as authorized by law. | 
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       SECTION 12.  This Act takes effect immediately if it  | 
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receives a vote of two-thirds of all the members elected to each  | 
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house, as provided by Section 39, Article III, Texas Constitution.   | 
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If this Act does not receive the vote necessary for immediate  | 
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effect, this Act takes effect September 1, 2007. |