81R4272 NC-D By: Eltife S.B. No. 508 A BILL TO BE ENTITLED AN ACT relating to the consideration of the location of a bidder's principal place of business for certain municipal contracts. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 271.9051(b), Local Government Code, is amended to read as follows: (b) In this subsection, "local bidder" means a bidder whose principal place of business is in the municipality or the extraterritorial jurisdiction of the municipality. In purchasing under this title any real property, personal property that is not affixed to real property, or services, if a municipality receives one or more competitive sealed bids from a local bidder [whose principal place of business is in the municipality and] whose bid is within five percent of the lowest bid price received by the municipality from a bidder who is not a resident of the municipality, the municipality may enter into a contract with: (1) the lowest bidder; or (2) the local bidder [whose principal place of business is in the municipality] if the governing body of the municipality determines, in writing, that the local bidder offers the municipality the best combination of contract price and additional economic development opportunities for the municipality created by the contract award, including the employment of residents of the municipality and increased tax revenues to the municipality. SECTION 2. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2009.