BILL ANALYSIS

Senate Research Center	S.B. 390
89R2829 RDS-D	By: Middleton
	Veteran Affairs
	3/31/2025
	As Filed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

S.B. 390 aims to amend the "historically underutilized business" definition in the Texas Government Code to include veteran-owned businesses. Specifically, this bill proposes that a small business owned and controlled by veterans, as certified by the Small Business Administration, be recognized as a historically underutilized business for state contracting.

As proposed, S.B. 390 amends current law relating to including certain veteran-owned businesses within the definition of a historically underutilized business for purposes of state contracting.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 2161.001 (2), Government Code, as follows:

(2) Provides that "historically underutilized business" means an entity with its principal place of business that meets certain criteria, including being a small business concerned owned and controlled by veterans that is certified as a veteran-owned small business by the United States Small Business Administration. Makes nonsubstantive changes.

SECTION 2. Effective date: September 1, 2025.