86R5895 AAF-F

By: Martinez H.B. No. 2752

A BILL TO BE ENTITLED

AN ACT

relating to job order contracting.

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

SECTION 1. Section 2269.001, Government Code, is amended by adding Subdivision (5-a) to read as follows:

(5-a) "Horizontal construction project" means:

(A) a highway, road, street, bridge, utility, water supply project, water plant, wastewater plant, water and wastewater distribution or conveyance facility, wharf, dock, airport runway or taxiway, drainage project, or related type of project associated with civil engineering construction; or

(B) work relating to a building or structure that is incidental to a project that is primarily a civil engineering construction project.

SECTION 2. Section 2269.004, Government Code, is amended to read as follows:

Sec. 2269.004. APPLICABILITY OF CHAPTER TO CERTAIN TRANSPORTATION CONTRACTS, PROJECTS, AND ENTITIES [EXEMPTION: TEXAS DEPARTMENT OF TRANSPORTATION; HIGHWAY PROJECTS]. (a) Except as otherwise provided by Subsections (b) and (c), this [This] chapter does not apply to:

(1) a contract entered into by the Texas Department of Transportation; [or]

(2) a project that receives money from a state or federal highway fund;

(3) a regional tollway authority under Chapter 366, Transportation Code;

(4) an improvement project undertaken by or through a local government corporation exempt from competitive bidding requirements or restrictions under Section 431.110, Transportation Code;

(5) a regional mobility authority under Chapter 370, Transportation Code;

(6) a coordinated county transportation authority under Chapter 460, Transportation Code; or

(7) a project of a county under Chapter 284, Transportation Code.

(b) Notwithstanding any other law, a contract, project, or entity described by Subsections (a)(1)-(6) may use job order contracting under Subchapter I for projects described by Section 2269.403.

(c) A county may adopt an order electing to be governed by this chapter for a project to be developed by the county under Chapter 284, Transportation Code.

SECTION 3. Section 2269.401, Government Code, is amended to read as follows:

Sec. 2269.401. JOB ORDER CONTRACTING. In this chapter, "job order contracting" is a procurement method used for maintenance, repair, alteration, renovation, remediation, or [minor] construction of a facility or for a horizontal construction project when the [work is of a recurring nature but the delivery times,] type[,] and quantities of work required are indefinite.

SECTION 4. The heading to Section 2269.403, Government Code, is amended to read as follows:

Sec. 2269.403. REQUIREMENTS FOR JOB ORDER CONTRACTS [FOR FACILITIES].

SECTION 5. Section 2269.403(a), Government Code, is amended to read as follows:

(a) A governmental entity may award job order contracts for the maintenance, repair, alteration, renovation, remediation, or [minor] construction of a facility or for a horizontal construction project if[:

[(1) the work is of a recurring nature but the delivery times are indefinite; and

[(2)] indefinite quantities and orders are awarded substantially on the basis of predescribed and prepriced tasks.

SECTION 6. Section 2269.404, Government Code, is amended to read as follows:

Sec. 2269.404. CONTRACTUAL UNIT PRICES. The governmental entity shall [may] establish contractual unit prices for a job order contract by:

(1) specifying one or more published construction unit price books and the applicable divisions or line items; and [or]

(2) providing a list of work items and requiring the offerors to propose one or more coefficients or multipliers to be applied to the price book or prepriced work items as the price proposal.

SECTION 7. Section 2269.405(c), Government Code, is amended to read as follows:

(c) The governmental entity may require offerors to submit information in addition to the offeror's proposed coefficients or multipliers [rates], including experience, past performance, and proposed personnel and methodology.

SECTION 8. Section 2269.406, Government Code, is amended to read as follows:

Sec. 2269.406. AWARDING OF JOB ORDER CONTRACTS. The governmental entity may award a job order contract only [contracts] to one [or more] job order contractor [contractors] in connection with each solicitation of proposals.

SECTION 9. Section 2269.408(b), Government Code, is amended to read as follows:

(b) Subsection (a) does not apply to a job order contract or an order issued under the contract [for industrialized housing, industrialized buildings, or relocatable educational facilities subject to and approved under Chapter 1202, Occupations Code,] if the contractor employs the services of an architect or engineer who approves the documents for the project.

SECTION 10. Section 2269.410, Government Code, is amended by amending Subsection (b) and adding Subsection (c) to read as follows:

(b) The order may be:

(1) a fixed price, lump-sum contract based [substantially] on contractual unit pricing applied to the scope of work [estimated quantities]; or

(2) a unit price order based on the quantities and line items delivered.

(c) The order under a job order contract for a construction project must include detailed line item descriptions, quantities, and prices for each construction task, including the associated coefficients or multipliers, to produce a lump-sum price of the project.

SECTION 11. Sections 2269.006, 2269.007, 2269.008, 2269.009, 2269.010, and 2269.402, Government Code, are repealed.

SECTION 12. The changes in law made by this Act apply only to a job order contract entered into or renewed on or after the effective date of this Act and any order for a job or project under that contract. A job order contract entered into or renewed before the effective date of this Act and any order for a job or project under that contract is governed by the law in effect immediately before the effective date of this Act, and that law is continued in effect for that purpose.

SECTION 13. This Act takes effect September 1, 2019.