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A BILL TO BE ENTITLED
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AN ACT
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relating to the development of contract terms regarding |
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noncompliance by state contractors. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter A, Chapter 2262, Government Code, is |
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amended by adding Section 2262.005 to read as follows: |
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Sec. 2262.005. CONTRACT TERMS RELATING TO NONCOMPLIANCE. |
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(a) The comptroller shall develop recommendations for contract |
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terms regarding penalties for contractors that do not comply with a |
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state contract, including for: |
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(1) failure by the contractor to comply with state |
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law; |
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(2) failure by the contractor to maintain adequate |
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personnel or resources; and |
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(3) fraud by the contractor. |
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(b) The recommendations under Subsection (a) must provide |
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for: |
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(1) the recovery of money paid by a state agency for |
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services not provided by the contractor under the contract or paid |
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to another contractor to perform those services; |
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(2) the recovery of any increased operational costs |
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incurred by a state agency as a result of a contractor's |
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noncompliance; |
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(3) the imposition of penalties on a sliding scale |
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based on the contract amount, the type of noncompliance, and |
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whether damages are recoverable for the noncompliance under a |
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contract term developed under Subdivision (1) or (2); and |
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(4) excluding a contractor from the solicitation |
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process for state contracts without regard to whether the |
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contractor has been barred under Section 2155.077 from |
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participating in contracts subject to Subtitle D. |
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(c) A state agency shall include applicable recommended |
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terms developed under Subsection (a) in a contract entered into by |
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the agency. |
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SECTION 2. (a) As soon as practicable, and not later than |
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May 1, 2010, the comptroller of public accounts shall develop the |
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terms required by Section 2262.005, Government Code, as added by |
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this Act. |
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(b) A state agency is not required to comply with Section |
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2262.005, Government Code, as added by this Act, until September 1, |
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2010. |
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SECTION 3. This Act takes effect September 1, 2009. |