BILL ANALYSIS

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

Large banks and other financial institutions in our country have quietly enacted policies to restrict gun sales and exert pressure on the firearm industry. These institutions hold our money and attempt to use financial pressure to infringe upon our Second Amendment rights. This is unacceptable.

S.B. 19 would prevent any company with at least 10 employees from the benefits of state or other government contracts valued at $100,000 or more unless the company verifies in writing that it does not have an internal policy or directive that discriminates against members of the lawful firearm or ammunition industries.

This bill will ensure that any company in Texas with a policy that attempts to restrict gun or ammunition sales will not be allowed to benefit from tax dollars through state contracts.

As proposed, S.B. 19 amends current law relating to prohibited contracts with companies that discriminate against the firearm or ammunition industries.

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 Subtitle F, Title 10, Government Code, by adding Chapter 2274, as follows:

CHAPTER 2274. PROHIBITION ON CONTRACTS WITH COMPANIES THAT DISCRIMINATE AGAINST FIREARM AND AMMUNITION INDUSTRIES

Sec. 2274.001. DEFINITIONS. Defines "ammunition," "company," "discriminate against a firearm entity or firearm trade association," "firearm," "firearm accessory," "firearm entity," "firearm trade association," and "governmental entity."

Sec. 2274.002. PROVISION REQUIRED IN CONTRACT. (a) Provides that this section applies only to a contract to be paid partly or wholly from public funds between a governmental entity and a company with at least 10 full-time employees that has a value of at least $100,000.

(b) Prohibits a governmental entity from entering into a contract with a company for the purchase of goods or services unless the contract contains a written verification from the company that it:

(1) does not have a written or unwritten internal practice, policy, guidance, or directive that discriminates against a firearm entity or firearm trade association based solely on its status as a firearm entity or firearm trade association; and

(2) will not discriminate during the term of the contract against a firearm entity or firearm trade association based solely on its status as a firearm entity or firearm trade association.

SECTION 2. Makes application of this Act prospective.

SECTION 3. Effective date: September 1, 2021.