Texas Senate Bill SB1053

Texas 2015 - 84th Regular

Caption

Relating to the management of state contracts, including the establishment of the contract management division of the Legislative Budget Board.

Impact

If enacted, SB1053 would significantly impact existing laws regarding state procurement processes. It would amend Chapter 2262 of the Government Code to impose new regulations on how state agencies enter into and manage contracts. The inclusion of stringent criteria for determining high-risk contracts aims to prevent costly mismanagement and program failures, thereby potentially saving taxpayer dollars and improving the efficiency of state operations. The bill requires state agencies and institutions of higher education to notify the Contract Management Division before entering contracts beyond certain financial thresholds, hence fostering transparency.

Summary

SB1053 aims to enhance the management of state contracts by establishing a dedicated Contract Management Division within the Legislative Budget Board. This division is tasked with developing criteria for identifying high-risk factors associated with state agency contracts, thereby ensuring greater accountability and oversight. The bill outlines various definitions and responsibilities tied to contract management, as well as stipulates reporting requirements for high-risk contracts, defined as those with values over $10 million or those posing significant management challenges.

Contention

While the intent behind SB1053 appears to be strengthening oversight and ensuring efficient management of public funds, there may be concerns regarding the increased administrative burden on state agencies. Some legislators argue that stringent reporting and oversight requirements could slow down critical processes and disincentivize smaller entities from bidding on state contracts. Balancing the need for oversight with the capability of government agencies to efficiently manage procurement is expected to be a point of contention among lawmakers.