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A BILL TO BE ENTITLED
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AN ACT
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relating to the length of certain contracts between a state agency |
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and a private entity. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter Z, Chapter 2252, Government Code, is |
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amended by adding Section 2252.904 to read as follows: |
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Sec. 2252.904. TERMS OF CERTAIN CONTRACTS. (a) This |
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section applies to each board, commission, council, or other agency |
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in the legislative, executive, or judicial branch of state |
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government, including an institution of higher education. |
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(b) Except as provided by Subsection (c), a state agency may |
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not enter into a contract with a private entity for a term that |
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exceeds 20 years. For the purposes of this subsection, a contract |
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is considered to have a term that exceeds 20 years if the contract |
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governs an agreement that extends beyond 20 years, regardless of |
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whether the contract is contingent on periodic appropriations by |
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the legislature. |
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(c) Subsection (b) does not apply to: |
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(1) a state security approved by the Bond Review Board |
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under Chapter 1231; or |
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(2) an agreement under Section 222.104, |
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Transportation Code, providing for pass-through tolls. |
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SECTION 2. (a) Section 2252.904, Government Code, as added |
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by this Act, applies only to: |
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(1) a contract for which a state agency first |
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advertises or otherwise solicits bids, proposals, offers, or |
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qualifications, as applicable, on or after September 1, 2007; and |
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(2) an extension of an existing contract entered into |
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on or after that date. |
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(b) A contract for which a state agency first advertised or |
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otherwise solicited bids, proposals, offers, or qualifications, as |
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applicable, before September 1, 2007, other than a contract |
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extension described by Subsection (a)(2) of this section, is |
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governed by the law as it existed immediately before the effective |
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date of this Act, and that law is continued in effect for that |
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purpose. |
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SECTION 3. This Act takes effect September 1, 2007. |