Texas 2015 - 84th Regular

Texas House Bill HB1007 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New	Differences
1	1	84R6848 YDB-D
2	2	By: Davis of Dallas H.B. No. 1007
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the purchase of iron, steel, and manufactured goods
8	8	made in the United States for certain state, state-aided, and
9	9	governmental entity construction projects.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Subchapter G, Chapter 2166, Government Code, is
12	12	amended by adding Section 2166.3031 to read as follows:
13	13	Sec. 2166.3031. UNIFORM PURCHASING CONDITION. (a) In this
14	14	section:
15	15	(1) "Component" means any article, material, or
16	16	supply, whether a manufactured good or a raw material, that is
17	17	directly incorporated into a manufactured good.
18	18	(2) "Manufactured good" means a product produced as a
19	19	result of a manufacturing process.
20	20	(3) "Manufacturing process" means the application of a
21	21	process to alter the form or function of the components of a product
22	22	in a manner that adds value and transforms the components into a new
23	23	finished product that is functionally different from a finished
24	24	product produced merely from assembling the components into a
25	25	product.
26	26	(4) "Produced in the United States" means:
27	27	(A) with respect to iron and steel products, a
28	28	product for which all manufacturing processes, from initial melting
29	29	through application of coatings, occur in the United States, other
30	30	than metallurgical processes to refine steel additives; and
31	31	(B) with respect to manufactured goods, a
32	32	manufactured good for which:
33	33	(i) all of the manufacturing processes that
34	34	produced the manufactured good occur in the United States; and
35	35	(ii) more than 60 percent of the components
36	36	of the manufactured good, by cost, originate or are manufactured in
37	37	the United States.
38	38	(b) For purposes of Subsection (a)(4)(B)(ii), if a
39	39	component originates in the United States, the entire cost of that
40	40	component is included in the calculation under that subparagraph of
41	41	the percentage of the component costs for the manufactured good.
42	42	(c) Except as provided by Subsection (d), the uniform
43	43	general conditions for a construction project in which iron, steel,
44	44	or manufactured goods will be used must require that the bid
45	45	documents provided to all bidders and the contract include a
46	46	requirement that the iron, steel, and manufactured goods used in
47	47	the project be produced in the United States.
48	48	(d) Subsection (c) does not apply to a project for which the
49	49	governing body of the governmental entity responsible for the
50	50	project determines that:
51	51	(1) iron, steel, or specific manufactured goods are
52	52	not produced in the United States in sufficient and reasonably
53	53	available quantities and of a satisfactory quality; or
54	54	(2) inclusion of iron, steel, or specific manufactured
55	55	goods produced in the United States will increase the total cost of
56	56	the iron, steel, or specific manufactured goods for the project by
57	57	more than 15 percent.
58	58	(e) This section applies to a project otherwise exempted
59	59	from the application of this chapter by Sections 2166.003 and
60	60	2166.004.
61	61	SECTION 2. Section 2166.003(b), Government Code, is amended
62	62	to read as follows:
63	63	(b) Only Sections 2166.104, 2166.151, 2166.152, 2166.153,
64	64	2166.154, 2166.155, 2166.251, 2166.252, and 2166.3031 and
65	65	Subchapter H apply to a construction project undertaken by or for
66	66	the Texas Department of Criminal Justice for the imprisonment of
67	67	individuals convicted of felonies other than state jail felonies.
68	68	SECTION 3. Section 2166.3031, Government Code, as added by
69	69	this Act, applies only to bid documents submitted or contracts
70	70	entered into on or after the effective date of this Act.
71	71	SECTION 4. This Act takes effect September 1, 2015.