85R1389 JCG-F
 
  By: Shaheen H.B. No. 1695
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to training for governmental entities and vendors,
  including purchasing and contract management training; authorizing
  fees.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 656.047, Government Code, is amended by
  adding Subsection (c) to read as follows:
         (c)  A state agency that spends more than $5,000 in a state
  fiscal year for a training or education program for any individual
  administrator or employee shall, not later than August 31 of that
  year, submit to the Legislative Budget Board a report including:
               (1)  a list of the administrators and employees
  participating in a training or education program and receiving
  payment from the agency;
               (2)  the amount spent on each administrator or
  employee; and
               (3)  the certification earned by each administrator or
  employee through the training or education program.
         SECTION 2.  Subchapter C, Chapter 656, Government Code, is
  amended by adding Section 656.054 to read as follows:
         Sec. 656.054.  PURCHASING AND CONTRACT MANAGEMENT TRAINING
  BY COMPTROLLER. (a)  The comptroller shall develop training
  programs provided by the comptroller under this subchapter to meet
  the needs of state agencies.
         (b)  Each year a state agency shall estimate the number of
  employees requiring purchasing or contract management training and
  report the anticipated training needs of the state agency to the
  comptroller in the manner and form prescribed by the comptroller.
         (c)  On an annual basis the comptroller shall assess the
  number of employees requiring purchasing or contract management
  training and shall maintain a regular schedule of classes to
  accommodate that number.
         (d)  The comptroller may use staff or contract with private
  or public entities, including state agencies, to conduct the
  training.
         (e)  The comptroller may assess a fee for a training program,
  including continuing education and certification, in an amount
  sufficient to recover the costs incurred by the comptroller to
  provide the training program under this subchapter.
         SECTION 3.  Sections 2054.057, 2155.078, 2262.053, and
  2262.0535, Government Code, are transferred to Subchapter C,
  Chapter 656, Government Code, redesignated as Sections 656.050,
  656.051, 656.052, and 656.053, Government Code, respectively, and
  amended to read as follows:
         Sec. 656.050 [2054.057].  TRAINING IN CONTRACT NEGOTIATION
  FOR PURCHASES OF INFORMATION RESOURCES TECHNOLOGIES. (a)  In this
  section:
               (1)  "Department" means the Department of Information
  Resources.
               (2)  "Information resources technologies" has the
  meaning assigned by Section 2054.003.
         (a-1)  The department, with the cooperation of the
  comptroller and other appropriate state agencies, shall develop and
  implement a program to train state agency personnel in effectively
  negotiating contracts for the purchase of information resources
  technologies.
         (b)  The department shall make the training available to
  state agency personnel who are directly or indirectly involved in
  contract negotiations, such as senior or operational management,
  purchasers, users of the purchased technologies, and personnel with
  relevant technical, legal, or financial knowledge. State agency
  personnel directly involved in contract negotiations for the
  purchase of information resources technologies shall complete the
  training developed by the department.
         (c)  The department shall include in the training:
               (1)  information on developing a structured purchasing
  method that meets an agency's needs;
               (2)  information drawn from the state's previous
  procurement experience about what is or is not advantageous for the
  state;
               (3)  the perspective of state agencies with oversight
  responsibilities related to the state's procurement of information
  resources technologies; [and]
               (4)  information on how to use contracts entered into
  by the department under Section 2157.068; and
               (5)  other information that the department considers
  to be useful.
         (d)  The department may use its own staff or contract with
  private entities or other state agencies to conduct the training.
         Sec. 656.051 [2155.078].  TRAINING AND CERTIFICATION OF
  STATE AGENCY PURCHASING PERSONNEL AND VENDORS. (a) The
  comptroller [commission] shall establish and administer a system of
  training, continuing education, and certification for state agency
  purchasing personnel. The training and continuing education for
  state agency purchasing personnel must include ethics training.
  The comptroller [commission] may establish and offer appropriate
  training to vendors on a cost recovery basis. The comptroller
  [commission] may adopt rules to administer this section, including
  rules relating to monitoring a certified purchaser's compliance
  with the continuing education requirements of this section.
         (b) [(a-1)]  The training, continuing education, and
  certification required under Subsection (a) must include:
               (1)  training on the selection of an appropriate
  procurement method by project type; and
               (2)  training conducted by the Department of
  Information Resources on purchasing technologies.
         (c) [(b)]  Notwithstanding Subsection (i) [(n)], all state
  agency purchasing personnel, including agencies exempted from the
  purchasing authority of the comptroller [commission], must receive
  the training and continuing education to the extent required by
  comptroller rule [of the commission]. The training and continuing
  education must include ethics training. A state agency employee
  who is required to receive the training may not participate in
  purchases by the employing agency unless the employee has received
  the required training or received equivalent training from a
  national association recognized by the comptroller [commission].
  The equivalent training may count, as provided by Subsection (g)
  [(k)], toward the continuing education requirements.
         [(c)     The commission shall set and collect a fee from state
  agencies that employ purchasing personnel. The commission shall
  set the fee in an amount that recovers the commission's costs under
  this section.]
         (d)  The comptroller [commission] may provide training,
  continuing education, and certification under this section to
  purchasing personnel employed by a political subdivision or other
  public entity of the state. Political subdivision purchasing
  personnel may receive, but are not required to receive, the
  training, continuing education, or certification provided under
  this section. [The commission shall collect the fees described by
  Subsection (c) for training, education, or certification under this
  subsection.]
         (e)  [The commission may provide training and continuing
  education under this section using its own personnel or through
  contracts with private entities. The commission may also, by
  agreement with a public entity, use the services of persons
  employed by the public entity to provide training and continuing
  education under this section.
         [(f)     The commission shall provide at least three levels of
  training under this section.
         [(g)]  The [basic] training provided by the comptroller 
  [level] must include instruction in:
               (1)  [an introduction to] contract purchasing methods;
               (2)  [,] ethical issues affecting purchasing
  decisions;
               (3)  negotiation methods;
               (4)  writing specifications;
               (5)  the criteria for determining which product or
  service offers the best value for the state;
               (6)  developing evaluation criteria;
               (7)  formal and informal bidding methods;
               (8)  complex negotiations; [,] and
               (9)  [instruction in] any other processes and issues
  that the comptroller [commission] considers appropriate for
  [introductory] purchasing training.
         (f) [(h)     The second training level must include advanced
  instruction in formal and informal bidding methods, introduction to
  negotiation methods, instruction in writing specifications, and
  instruction in any other processes and issues that the commission
  considers appropriate for the second level of purchasing training.
         [(i)     The third training level must include an introduction
  to complex negotiations, instruction in the criteria for
  determining which product or service offers the best value for the
  state, and instruction in any other processes and issues that the
  commission considers appropriate for advanced purchasing training.
         [(j)]  The comptroller [commission] may prescribe the
  circumstances under which a state agency may delegate to a
  certified purchaser signature purchasing authority to approve
  purchase orders.
         (g) [(k)]  The comptroller [commission] shall require a
  reasonable number of hours of continuing education to maintain a
  certification level.  The comptroller [commission] may allow
  attendance at equivalent certification training recognized by the
  comptroller [commission] to count toward the required number of
  hours.  Maintenance of the certification level may be by yearly
  renewal or another reasonable renewal period comparable to
  nationally recognized certification requirements.
         (h) [(l)]  The comptroller by rule shall adopt minimum
  requirements for each level of certification established for state
  agency purchasing personnel by the comptroller under this section
  [commission's prerequisites for receiving a level-two purchaser
  certification must include completion of the basic training level,
  passage of a written examination, and a minimum number of years of
  purchasing experience prescribed by the commission].
         (i) [(m)     The commission's prerequisites for receiving a
  level-three purchaser certification must include completion of the
  second training level, passage of a written examination, and a
  minimum of three years of purchasing experience.
         [(n)]  This section does not apply to an institution to which
  Section 51.9335, Education Code, applies or to an institution to
  which Section 73.115, Education Code, applies.
         Sec. 656.052 [2262.053].  TRAINING AND CERTIFICATION FOR
  CONTRACT MANAGERS. (a)  In this section:
               (1)  "Contract management guide" means the guide
  developed under Section 2262.051.
               (2)  "Contract manager" has the meaning assigned by
  Section 2262.001.
         (a-1)  In coordination with the Department of Information
  Resources, state auditor, and Health and Human Services Commission,
  the comptroller shall develop a training program for contract
  managers.
         (b)  The training must provide the contract manager with
  information regarding how to:
               (1)  fairly and objectively select and negotiate with
  the most qualified contractor;
               (2)  establish prices that are cost-effective and that
  reflect the cost of providing the service;
               (3)  include provisions in a contract that hold the
  contractor accountable for results;
               (4)  monitor and enforce a contract;
               (5)  make payments consistent with the contract;
               (6)  comply with any requirements or goals contained in
  the contract management guide; [and]
               (7)  use and apply advanced sourcing strategies,
  techniques, and tools;
               (8)  maintain required documentation for contracting
  decisions, changes to a contract, and problems with a contract;
               (9)  create a risk evaluation and mitigation strategy;
               (10)  create a plan for potential problems with the
  contract;
               (11)  develop an accurate and comprehensive statement
  of work; and
               (12)  complete the contract and evaluate performance
  under the contract.
         (c)  Each state agency shall ensure that the agency's
  contract managers complete the training developed under this
  section.
         (d)  The comptroller shall administer training under this
  section and may assess a fee for the training in an amount
  sufficient to recover the comptroller's costs under this section.
         (e)  The comptroller shall certify contract managers who
  have completed the contract management training required under this
  section.
         (f)  A state agency may develop qualified contract manager
  training to supplement the training required under this section.
  The comptroller may incorporate the training developed by the
  agency into the training program under this section.
         (g)  The comptroller shall adapt the training required under
  this section and administer an abbreviated training program meeting
  the relevant training requirements under this section for state
  agency employees, other than contract managers, with contract
  management duties.
         Sec. 656.053 [2262.0535].  TRAINING FOR GOVERNING BODIES.  
  (a)  In this section, "state agency" has the meaning assigned by
  Section 2056.001.
         (a-1)  The comptroller shall adapt the program developed
  under Section 656.052 [2262.053] to provide an abbreviated program
  for training the members of the governing bodies of state agencies.
  The training may be provided together with other required training
  for members of state agency governing bodies.
         (b)  All members of the governing body of a state agency
  shall complete at least one course of the training provided under
  this section. This subsection does not apply to a state agency that
  does not enter into any contracts.
         (c)  The comptroller may assess a fee for the training
  provided under this section in an amount sufficient to recover the
  comptroller's costs under this section.
         SECTION 4.  Section 2056.002(b), Government Code, is amended
  to read as follows:
         (b)  The Legislative Budget Board and the division of the
  governor's office having responsibility for budget and policy 
  [Governor's Office of Budget, Policy, and Planning] shall determine
  the elements required to be included in each agency's strategic
  plan. Unless modified by the Legislative Budget Board and the
  division of the governor's office having responsibility for budget
  and policy [Governor's Office of Budget, Policy, and Planning], and
  except as provided by Subsection (c), a plan must include:
               (1)  a statement of the mission and goals of the state
  agency;
               (2)  a description of the indicators developed under
  this chapter and used to measure the output and outcome of the
  agency;
               (3)  identification of the groups of people served by
  the agency, including those having service priorities, or other
  service measures established by law, and estimates of changes in
  those groups expected during the term of the plan;
               (4)  an analysis of the use of the agency's resources to
  meet the agency's needs, including future needs, and an estimate of
  additional resources that may be necessary to meet future needs;
               (5)  an analysis of expected changes in the services
  provided by the agency because of changes in state or federal law;
               (6)  a description of the means and strategies for
  meeting the agency's needs, including future needs, and achieving
  the goals established under Section 2056.006 for each area of state
  government for which the agency provides services;
               (7)  a description of the capital improvement needs of
  the agency during the term of the plan and a statement, if
  appropriate, of the priority of those needs;
               (8)  identification of each geographic region of this
  state, including the Texas-Louisiana border region and the
  Texas-Mexico border region, served by the agency, and if
  appropriate the agency's means and strategies for serving each
  region;
               (9)  a description of the training of the agency's
  contract managers under Section 656.052 [2262.053];
               (10)  an analysis of the agency's expected expenditures
  that relate to federally owned or operated military installations
  or facilities, or communities where a federally owned or operated
  military installation or facility is located;
               (11)  an analysis of the strategic use of information
  resources as provided by the instructions prepared under Section
  2054.095; and
               (12)  other information that may be required.
         SECTION 5.  Section 2262.101(a), Government Code, is amended
  to read as follows:
         (a)  The Contract Advisory Team is created to assist state
  agencies in improving contract management practices by:
               (1)  reviewing and making recommendations on the
  solicitation documents and contract documents for contracts of
  state agencies that have a value of at least $10 million;
               (2)  reviewing any findings or recommendations made by
  the state auditor, including those made under Section 2262.052(b),
  regarding a state agency's compliance with the contract management
  guide;
               (3)  providing recommendations to the comptroller
  regarding:
                     (A)  the development of the contract management
  guide; and
                     (B)  the training under Section 656.052
  [2262.053];
               (4)  providing recommendations and assistance to state
  agency personnel throughout the contract management process;
               (5)  coordinating and consulting with the quality
  assurance team established under Section 2054.158 on all contracts
  relating to a major information resources project;
               (6)  developing and recommending policies and
  procedures to improve state agency contract management practices;
               (7)  developing and recommending procedures to improve
  state agency contracting practices by including consideration for
  best value; and
               (8)  creating and periodically performing a risk
  assessment to determine the appropriate level of management and
  oversight of contracts by state agencies.
         SECTION 6.  (a)  Not later than February 1, 2018, the
  comptroller of public accounts shall adopt rules to implement
  Section 656.051, Government Code, as transferred, redesignated,
  and amended by this Act.
         (b)  Section 656.051, Government Code, as transferred,
  redesignated, and amended by this Act, applies only to an
  application for certification under that section that is submitted
  on or after March 1, 2018.  An application submitted before that
  date is governed by the law in effect immediately before the
  effective date of this Act, and the former law is continued in
  effect for that purpose.
         SECTION 7.  This Act takes effect September 1, 2017.