84R11796 MTB-D
By: Elkins H.B. No. 2973
A BILL TO BE ENTITLED
AN ACT
relating to the establishment of the contract management division
of the Legislative Budget Board.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 2262, Government Code, is amended by
adding Subchapter E to read as follows:
SUBCHAPTER E. CONTRACT MANAGEMENT DIVISION
Sec. 2262.201. DEFINITION. In this subchapter, "division"
means the contract management division established by the
Legislative Budget Board under this subchapter.
Sec. 2262.202. ESTABLISHMENT; GENERAL DUTIES. (a) The
Legislative Budget Board shall establish a contract management
division to:
(1) provide recommendations and assistance to state
agency personnel throughout the contract management process; and
(2) review all contracts that have a value of at least
$5 million and identify certain contracts that are experiencing
cost overruns or performance failure or are otherwise demonstrating
poor management.
(b) For contracts identified under Subsection (a)(2), the
division shall:
(1) contact the state agency that executed the
contract to report on the issues identified by the division; and
(2) develop with the state agency a plan to address the
contract issues.
(c) The division shall notify the Legislative Budget Board
as soon as practicable if:
(1) the division is unable to develop a plan under
Subsection (b)(2) with a state agency; or
(2) a state agency fails to implement a plan developed
under Subsection (b)(2).
(d) If, after consultation with the division, the
Legislative Budget Board determines that further action is
necessary to prevent loss to the state from a contract for which a
plan was not developed or implemented as described by Subsection
(c)(1) or (2), the division shall:
(1) provide written notice to the governor of the risk
of loss to the state from the contract along with contract
documentation; and
(2) send a copy of the notice to the state agency that
executed the contract.
(e) The governor's office shall review the contract
documentation and consult with the division before making a
determination on whether to contact the governing body of the state
agency or the single state officer who governs the state agency to
work together to prevent loss to the state from the contract.
(f) A state agency shall provide the division any
information necessary for the division to perform the division's
duties under this section.
Sec. 2262.203. RULES. The Legislative Budget Board may
adopt rules to implement this subchapter.
SECTION 2. Subchapter E, Chapter 2262, Government Code, as
added by this Act, applies only to a contract for which a state
agency first advertises or otherwise solicits bids, proposals,
offers, or qualifications on or after the effective date of this
Act.
SECTION 3. This Act takes effect September 1, 2015.