85R12965 SCL-F

By: Taylor of Galveston S.B. No. 2233

A BILL TO BE ENTITLED

AN ACT

relating to contracting and purchasing of certain governmental entities and development corporations.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 46.0111(b), Education Code, is amended to read as follows:

(b) A school district that brings an action for recovery of damages for the defective design, construction, renovation, or improvement of an instructional facility financed by bonds for which the district receives state assistance under this subchapter shall provide the commissioner with written notice of the action by registered or certified mail, return receipt requested, not later than the 10th day after the date the action is filed. If the school district fails to comply with this subsection, the court or an arbitrator or other adjudicating authority shall dismiss the action.

SECTION 2. Subchapter A, Chapter 46, Education Code, is amended by adding Section 46.0112 to read as follows:

Sec. 46.0112. ATTORNEY GENERAL ENFORCEMENT OF SCHOOL DISTRICT DUTIES FOLLOWING CERTAIN ACTIONS. (a) If the attorney general believes that a school district has violated or is violating Section 46.0111(d) or (e), the attorney general may bring an action on behalf of the state to enjoin the school district from violating those sections.

(b) In an action brought under Subsection (a), the attorney general may request and the court may order any other appropriate relief that is in the public interest, including payment of:

(1) a civil penalty in an amount not to exceed $50,000 for each violation of Section 46.0111(d) or (e);

(2) the attorney general's reasonable costs for investigating and prosecuting the violation; or

(3) the amount of the state's share under Section 46.0111(e).

SECTION 3. Subchapter T, Chapter 51, Education Code, is amended by adding Section 51.786 to read as follows:

Sec. 51.786. VOID CONTRACT. A contract, including a job order, entered into in violation of this subchapter is voidable as against public policy.

SECTION 4. Subchapter A, Chapter 791, Government Code, is amended by adding Section 791.007 to read as follows:

Sec. 791.007. LIST OF PURCHASES BY PURCHASING COOPERATIVE. (a) In this section, "purchasing cooperative" has the meaning assigned by Section 791.011(j).

(b) A purchasing cooperative shall maintain an Internet website with a continually updated list of purchases made through the cooperative or through agreements made with the cooperative. The list must include for each purchase:

(1) the name of the purchaser;

(2) the name of the vendor;

(3) the amount of the purchase;

(4) the date of the purchase; and

(5) the fees paid to the cooperative or managing entity.

SECTION 5. Section 791.011(j), Government Code, is amended to read as follows:

(j) For the purposes of this subsection, the term "purchasing cooperative" means a group purchasing organization that governmental entities join as members and the managing entity of which receives fees from members or vendors. A local government may not enter into a contract to purchase construction-related goods or services through a purchasing cooperative under this chapter in an amount greater than $50,000 unless:

(1) the purchase is approved by the governing body of the local government at a public meeting; and

(2) a person designated by the local government certifies in writing that:

(A) [(1)] the project for which the construction-related goods or services are being procured does not require the preparation of plans and specifications under Chapter 1001 or 1051, Occupations Code; or

(B) [(2)] the plans and specifications required under Chapters 1001 and 1051, Occupations Code, have been prepared.

SECTION 6. Section 2269.452(a), Government Code, is amended to read as follows:

(a) This chapter may be enforced through an action for declaratory or injunctive relief filed not later than the 10th business day after the date on which the contract bid evaluations are made public under Section 2269.056 or 2269.105 [is awarded].

SECTION 7. Subchapter A, Chapter 502, Local Government Code, is amended by adding Section 502.002 to read as follows:

Sec. 502.002. APPLICABILITY OF OTHER LAW; PUBLIC WORKS CONTRACTS. Chapter 2269, Government Code, applies to a public works contract entered into by a corporation.

SECTION 8. Section 271.908(a), Local Government Code, is amended to read as follows:

(a) In this section:

(1) "Civil [, "civil] works project" means:

(A) roads, streets, bridges, utilities, water supply projects, water plants, wastewater plants, water distribution and wastewater conveyance facilities, desalination projects, wharves, docks, navigation channels, dredge material placement areas, airport runways and taxiways, storm drainage and flood control projects, or transit projects;

(B) types of projects or facilities related to those described by Paragraph (A) and associated with civil engineering construction; and

(C) buildings or structures that are incidental to projects or facilities that are described by Paragraphs (A) and (B) and that are primarily civil engineering construction projects.

(2) "Local [and "local] governmental entity" means a municipality, a county, a river authority, a defense base development authority established under Chapter 379B, a board of trustees under Chapter 54, Transportation Code, a municipally owned water utility with a separate governing board appointed by the governing body of a municipality, or any other special district or authority authorized by law to enter into a public works contract for a civil works project. The term does not include a regional tollway authority created under Chapter 366, Transportation Code, a regional mobility authority created under Chapter 370, Transportation Code, or a water district or authority created under Section 52, Article III, or Section 59, Article XVI, Texas Constitution, with a population of less than 50,000 [have the meanings assigned by Section 271.181].

SECTION 9. Subchapter J, Chapter 271, Local Government Code, is repealed.

SECTION 10. The changes in law made by this Act apply only to a contract entered into on or after the effective date of this Act. A contract entered into before the effective date of this Act is governed by the law applicable to the contract immediately before the effective date of this Act, and that law is continued in effect for that purpose.

SECTION 11. This Act takes effect September 1, 2017.