Texas 2013 - 83rd Regular

Texas Senate Bill SB1679 Compare Versions

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11 By: Zaffirini S.B. No. 1679
22 (In the Senate - Filed March 8, 2013; March 25, 2013, read
33 first time and referred to Committee on Government Organization;
44 April 8, 2013, reported adversely, with favorable Committee
55 Substitute by the following vote: Yeas 7, Nays 0; April 8, 2013,
66 sent to printer.)
77 COMMITTEE SUBSTITUTE FOR S.B. No. 1679 By: Garcia
88
99
1010 A BILL TO BE ENTITLED
1111 AN ACT
1212 relating to state agency procurement.
1313 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1414 SECTION 1. Section 2155.002, Government Code, is amended to
1515 read as follows:
1616 Sec. 2155.002. COMPTROLLER [COMMISSION] FOCUS ON LARGE
1717 EXPENDITURES. To the extent possible, the comptroller [commission]
1818 shall focus [its efforts under this chapter and Chapters 2156,
1919 2157, and 2158] on purchases and contracts that involve relatively
2020 large amounts of money or that leverage state spending in the most
2121 efficient manner.
2222 SECTION 2. Section 2155.064, Government Code, is amended to
2323 read as follows:
2424 Sec. 2155.064. LEVERAGED [SCHEDULE AND BULK] PURCHASING.
2525 To the greatest extent possible, the comptroller shall pursue
2626 statewide contracts and attempt to leverage state spending to
2727 achieve cost savings for this state. [The commission may combine
2828 orders in a system of schedule purchasing and shall attempt to
2929 benefit from bulk purchasing.]
3030 SECTION 3. Section 2155.072, Government Code, is amended to
3131 read as follows:
3232 Sec. 2155.072. STATEWIDE OR REGIONAL GOODS OR SERVICES
3333 CONTRACTS; COMPTROLLER [COMMISSION] STUDIES. Each state fiscal
3434 year, the comptroller [(a) The commission annually] shall consider
3535 one or more goods or services purchased by one or more state
3636 agencies for development into statewide contracts. The comptroller
3737 shall determine if a particular good or service may be leveraged for
3838 multiple state agencies at a cost savings to this state compared to
3939 the cost to this state of purchasing the good or service under
4040 individual state agency contracts [select for study at least one
4141 service that is purchased by one or more state agencies]. The
4242 comptroller [commission] shall consider awarding statewide
4343 contracts by region [study a selected service to determine whether
4444 the state would benefit if the service were provided to appropriate
4545 state agencies under a regional or statewide contract. The
4646 commission shall give priority to studying services for which the
4747 commission has delegated the purchasing function to many state
4848 agencies].
4949 [(b) The commission is not required to enter into a
5050 statewide or regional contract for the provision of a service to
5151 state agencies if more than five bidders are willing to provide the
5252 service to the state under a statewide or regional contract.]
5353 SECTION 4. Section 2155.074, Government Code, is amended to
5454 read as follows:
5555 Sec. 2155.074. PROCUREMENT MANUAL; BEST VALUE AND SOURCING
5656 STANDARDS [STANDARD] FOR PURCHASE OF GOODS OR SERVICES. (a) The
5757 comptroller shall publish and maintain a procurement manual for
5858 state agencies to follow that incorporates the sourcing standards
5959 of this section and the best practices for procurement. Before
6060 publication, the procurement manual must be reviewed by the
6161 Contract Advisory Team established under Chapter 2262. Each state
6262 agency shall comply with the procurement manual in its procurement
6363 activities.
6464 (b) For a purchase of goods and services under this chapter,
6565 each state agency, including the comptroller [commission], shall
6666 purchase goods and services that provide the best value for the
6767 state.
6868 (c) [(b)] In determining the best value for the state, the
6969 purchase price and whether the goods or services meet
7070 specifications are the most important considerations. However, the
7171 comptroller [commission] or other state agency may, subject to
7272 Subsection (d) [(c)] and Section 2155.075, consider other relevant
7373 factors, including:
7474 (1) installation costs;
7575 (2) life cycle costs;
7676 (3) the quality and reliability of the goods and
7777 services;
7878 (4) the delivery terms;
7979 (5) indicators of probable vendor performance under
8080 the contract such as past vendor performance, the vendor's
8181 financial resources and ability to perform, the vendor's experience
8282 or demonstrated capability and responsibility, and the vendor's
8383 ability to provide reliable maintenance agreements and support;
8484 (6) the cost of any employee training associated with
8585 a purchase;
8686 (7) the effect of a purchase on agency productivity;
8787 (8) the vendor's anticipated economic impact to the
8888 state or a subdivision of the state, including potential tax
8989 revenue and employment; and
9090 (9) other factors relevant to determining the best
9191 value for the state in the context of a particular purchase.
9292 (d) [(c)] A state agency shall:
9393 (1) consult with and receive approval from the
9494 comptroller [commission] before considering factors other than
9595 price and meeting specifications when the agency procures through
9696 competitive bidding goods or services with a value that exceeds
9797 $100,000; and
9898 (2) maintain in its records a written explanation of
9999 the reasons other factors are more important than price and meeting
100100 specifications in the procurement of the goods or services.
101101 (e) The comptroller shall:
102102 (1) identify commercially available goods and
103103 services needed or used by state agencies; and
104104 (2) analyze and determine whether the goods and
105105 services are better provided through a statewide contract.
106106 (f) If the comptroller determines that a good or service
107107 identified under Subsection (e) is better provided through a
108108 statewide contract, the comptroller may partner with state agencies
109109 to implement any process, including competitive bidding, developed
110110 by the comptroller to award one or more statewide contracts for the
111111 good or service.
112112 SECTION 5. Subsection (n), Section 2155.083, Government
113113 Code, is amended to read as follows:
114114 (n) Notwithstanding any other provision of this section, a
115115 state agency that conducts covert law enforcement operations is not
116116 required to post the specifications for covert equipment in the
117117 state business daily. [This section does not apply to a state agency
118118 to which Section 51.9335 or 73.115, Education Code, applies.]
119119 SECTION 6. Subchapter B, Chapter 2155, Government Code, is
120120 amended by adding Section 2155.088 to read as follows:
121121 Sec. 2155.088. PROCUREMENT PLANS FOR GOODS AND SERVICES.
122122 The comptroller shall partner with each state agency to facilitate
123123 efficient communications between the agency and the comptroller on
124124 the agency's procurement plans, including identifying the major
125125 purchases of goods or services the agency has planned for each
126126 fiscal biennium.
127127 SECTION 7. Section 2155.131, Government Code, is amended to
128128 read as follows:
129129 Sec. 2155.131. DELEGATION OF AUTHORITY TO STATE AGENCIES.
130130 (a) The comptroller [commission] may delegate purchasing
131131 functions to a state agency.
132132 (b) In delegating purchasing authority under this section
133133 or Section 2155.132, the comptroller shall consider factors
134134 relevant to a state agency's ability to perform purchasing
135135 functions, including:
136136 (1) the purchasing capabilities of the agency's
137137 purchasing personnel and the existence of automated purchasing
138138 tools at the agency;
139139 (2) the certification levels held by the agency's
140140 purchasing personnel;
141141 (3) the results of the comptroller's procurement
142142 review audits of an agency's purchasing practices; and
143143 (4) whether the agency has adopted and published as
144144 part of its purchasing rules protest procedures consistent with the
145145 comptroller's protest procedures.
146146 (c) The comptroller shall monitor the purchasing practices
147147 of each state agency that the comptroller delegates purchasing
148148 authority to under Subsection (b) or Section 2155.132 to ensure
149149 that the certification levels of the agency's purchasing personnel
150150 and the quality of the agency's purchasing practices continue to
151151 warrant the delegated purchasing authority. The comptroller may
152152 revoke for any cause, including the agency's failure to comply with
153153 Section 2155.074, all or part of the delegated purchasing
154154 authority. The comptroller shall adopt rules to administer this
155155 subsection.
156156 (d) The comptroller by rule shall develop best practices
157157 for:
158158 (1) the procedures a state agency must follow in
159159 making a delegated purchase; and
160160 (2) the procedures by which a state agency may use the
161161 comptroller's services for delegated purchases under Section
162162 2155.082.
163163 (e) The comptroller on request of a state agency shall
164164 provide assistance to the agency for a delegated purchase.
165165 SECTION 8. Section 2155.132, Government Code, is amended to
166166 read as follows:
167167 Sec. 2155.132. PURCHASES LESS THAN SPECIFIED MONETARY
168168 AMOUNT. (a) A state agency is delegated the authority to purchase
169169 goods and services if the purchase does not exceed $15,000. If the
170170 comptroller [commission] determines that a state agency has not
171171 followed the comptroller's [commission's] rules or the laws related
172172 to the delegated purchases, the comptroller [commission] shall
173173 report the comptroller's [its] determination to the members of the
174174 state agency's governing body and to the governor, lieutenant
175175 governor, speaker of the house of representatives, and Legislative
176176 Budget Board.
177177 (b) The comptroller [commission] by rule may delegate to a
178178 state agency the authority to purchase goods and services if the
179179 purchase exceeds $15,000. [In delegating purchasing authority
180180 under this subsection or Section 2155.131, the commission shall
181181 consider factors relevant to a state agency's ability to perform
182182 purchasing functions, including:
183183 [(1) the capabilities of the agency's purchasing staff
184184 and the existence of automated purchasing tools at the agency;
185185 [(2) the certification levels held by the agency's
186186 purchasing personnel;
187187 [(3) the results of the commission's procurement
188188 review audits of an agency's purchasing practices; and
189189 [(4) whether the agency has adopted and published
190190 protest procedures consistent with those of the commission as part
191191 of its purchasing rules.]
192192 (c) [The commission shall monitor the purchasing practices
193193 of state agencies that are making delegated purchases under
194194 Subsection (b) or Section 2155.131 to ensure that the certification
195195 levels of the agency's purchasing personnel and the quality of the
196196 agency's purchasing practices continue to warrant the amount of
197197 delegated authority provided by the commission to the agency. The
198198 commission may revoke for cause all or part of the purchasing
199199 authority that the commission delegated to a state agency. The
200200 commission shall adopt rules to administer this subsection.
201201 [(d) The commission by rule:
202202 [(1) shall prescribe procedures for a delegated
203203 purchase; and
204204 [(2) shall prescribe procedures by which agencies may
205205 use the commission's services for delegated purchases, in
206206 accordance with Section 2155.082.
207207 [(e)] Competitive bidding, whether formal or informal, is
208208 required for a purchase by a state agency if the purchase:
209209 (1) exceeds $5,000; and
210210 (2) is made under a written contract.
211211 (d) [(f)] Goods purchased under this section may not
212212 include:
213213 (1) an item for which a statewide contract has been
214214 awarded by the comptroller [under the contract purchase procedure],
215215 unless the quantity purchased is less than any [the] minimum
216216 quantity specified in the contract;
217217 (2) an item required by statute to be purchased from a
218218 particular source, including through the program administered
219219 under Chapter 122, Human Resources Code, or from the Texas
220220 Correctional Industries under Chapter 497; or
221221 (3) a scheduled item that has been designated for
222222 purchase by the comptroller [commission].
223223 (e) [(g)] A large purchase may not be divided into small lot
224224 purchases to circumvent [meet] the dollar limits prescribed by this
225225 section. The comptroller [commission] may not require that
226226 unrelated purchases be combined into one purchase order to exceed
227227 the dollar limits prescribed by this section.
228228 (f) [(h)] A state agency making a purchase under this
229229 section for which competitive bidding is required shall [must]:
230230 (1) attempt to obtain at least three competitive bids
231231 from:
232232 (A) sources listed on the master bidders list
233233 that normally offer for sale the goods being purchased; or
234234 (B) if three vendors are not available on the
235235 master bidders list, vendors in the applicable industry; and
236236 (2) comply with Subchapter E.
237237 SECTION 9. Subchapter C, Chapter 2155, Government Code, is
238238 amended by adding Section 2155.1325 to read as follows:
239239 Sec. 2155.1325. STANDARDS FOR DELEGATED PURCHASES. (a) A
240240 state agency that is preparing a solicitation for proposals for a
241241 purchase of goods or services with a purchase price that exceeds
242242 $100,000 that is delegated under this chapter or other law shall
243243 submit to the comptroller a copy of the draft solicitation with a
244244 statement of the procurement strategy for the purchase.
245245 (b) The comptroller may review the draft solicitation and
246246 procurement strategy to determine whether the state agency is
247247 following the best value and sourcing standards of Section 2155.074
248248 to the greatest extent possible. The comptroller may:
249249 (1) recommend changes to the draft solicitation or
250250 procurement strategy, provided the written recommended changes are
251251 submitted to the state agency not later than the fifth day after the
252252 date the comptroller receives the draft solicitation and
253253 procurement strategy from the state agency;
254254 (2) partner with the state agency to ensure the
255255 standards of this chapter are followed;
256256 (3) partner with the state agency to award a statewide
257257 contract that results from the solicitation; or
258258 (4) assist the state agency in engaging professional
259259 services or a consultant, as authorized by Section 2155.082, to
260260 assist with the solicitation and to be paid from the cost savings
261261 realized under the contract.
262262 (c) A state agency that receives the comptroller's
263263 recommended changes under Subsection (b)(1) shall:
264264 (1) accept the recommended changes; or
265265 (2) submit alternative suggestions to the comptroller
266266 for review in accordance with this section.
267267 (d) The comptroller may adopt rules to administer this
268268 section.
269269 SECTION 10. The following sections of the Government Code
270270 are repealed:
271271 (1) Section 2155.086;
272272 (2) Section 2155.087;
273273 (3) Section 2155.141; and
274274 (4) Section 2156.002.
275275 SECTION 11. This Act takes effect immediately if it
276276 receives a vote of two-thirds of all the members elected to each
277277 house, as provided by Section 39, Article III, Texas Constitution.
278278 If this Act does not receive the vote necessary for immediate
279279 effect, this Act takes effect September 1, 2013.
280280 * * * * *