Bill Text: TX HB1655 | 2011-2012 | 82nd Legislature | Introduced

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Bill Title: Relating to the preference given by state agencies to goods offered by bidders in this state or manufactured, produced, or grown in this state or in the United States.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2011-04-13 - Left pending in committee [HB1655 Detail]

Download: Texas-2011-HB1655-Introduced.html

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82R6453 YDB-D
By: Davis of Dallas H.B. No. 1655

A BILL TO BE ENTITLED
AN ACT
relating to the preference given by state agencies to goods offered
by bidders in this state or manufactured, produced, or grown in this
state or in the United States.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 2155.444, Government Code, is amended by
amending Subsections (a), (b), and (c) and adding Subsections
(a-1), (b-1), (b-2), (b-3), and (b-4) to read as follows:
(a) The comptroller [commission] and all state agencies
making purchases of goods, including agricultural products, shall
promote the purchase of and give preference to goods manufactured,
[those] produced, or grown in this state or offered by Texas bidders
as follows:
(1) unless the state agency determines that the goods
are not available in reasonably sufficient quantities, goods
manufactured, produced, or offered by a Texas bidder that is owned
by a service-disabled veteran who is a Texas resident shall be given
a first preference and goods produced in this state or offered by
other Texas bidders shall be given second preference[, if the cost
to the state and quality are equal]; and
(2) unless the state agency determines that the
agricultural products are not available in reasonably sufficient
quantities, agricultural products grown in this state shall be
given first preference and agricultural products offered by Texas
bidders shall be given second preference[, if the cost to the state
and quality are equal].
(a-1) A state agency that determines goods manufactured,
produced, or grown in this state or offered by a Texas bidder are
not available in reasonably sufficient quantities shall:
(1) at least 30 days before purchasing the goods
publish a copy of the agency's determination for public comment;
(2) file a written copy of the determination with the
comptroller and other relevant state agencies; and
(3) work with the comptroller and other state agencies
to ensure the goods are available from a Texas bidder in the future.
(b) If goods, including agricultural products,
manufactured, produced, or grown in this state or offered by Texas
bidders are not available in reasonably sufficient quantities, the
[equal in cost and quality to other products, then] goods,
including agricultural products, manufactured, produced, or grown
in other states of the United States shall be given preference over
foreign products unless the agency determines that the goods are
not available in reasonably sufficient quantities [if the cost to
the state and quality are equal].
(b-1) A state agency that determines goods manufactured,
produced, or grown in another state are not available in reasonably
sufficient quantities shall:
(1) at least 30 days before purchasing the goods
publish a copy of the agency's determination for public comment;
(2) file a written copy of the determination with the
comptroller and other relevant state agencies; and
(3) work with the comptroller and other state agencies
to ensure the goods are available from a Texas bidder or from
another state in the future.
(b-2) A contract between a state agency and any person who
is given preference under this section must contain a provision
that requires the person to certify the goods provided under the
contract or any subcontract are manufactured, produced, or grown in
this state or in the United States or offered by a Texas bidder, as
applicable.
(b-3) If a state agency determines a person who was awarded
a contract through the use of a preference under Subsection (a) or
(b) knowingly provided goods under the contract that were not
manufactured, produced, or grown in this state or another state of
the United States or offered by a Texas bidder, as applicable, the
contracting agency and all other state agencies are prohibited from
contracting with the person before the fifth anniversary of the
date the contracting agency made the determination. The
contracting agency shall notify the comptroller of the
determination and the comptroller shall notify all other state
agencies of the determination. The contracting agency may:
(1) void the contract with the person; and
(2) recover damages in a civil action in an amount
equal to three times the value of the preference given to the
person.
(b-4) Nothing in this section is intended to contravene an
existing treaty, law, agreement, or regulation of the United
States. A preference may not be granted under this section if the
preference would contravene any treaty, law, agreement, or
regulation of the United States.
(c) In this section:
(1) "Agricultural products" includes textiles and
other similar products.
(2) "Manufactured" means, with respect to assembled
goods, the final assembly, processing, packaging, testing, or other
process that adds value, quality, or reliability.
(3) [(1-a)] "Service-disabled veteran" means a person
who is a veteran as defined by 38 U.S.C. Section 101(2) and who has a
service-connected disability as defined by 38 U.S.C. Section
101(16).
(4) [(2)] "Texas bidder" means a business:
(A) incorporated in this state;
(B) that has its principal place of business in
this state; or
(C) that has an established physical presence in
this state.
SECTION 2. The change in law made by this Act applies only
to a contract for goods that is 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 in effect on the
date the contract was entered into, and the former law is continued
in effect for that purpose.
SECTION 3. This Act takes effect September 1, 2011.