Texas 2017 - 85th Regular

Texas House Bill HB1528 Compare Versions

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Version 2 (New)

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1	1	85R9908 SLB-F
2	2	By: Perez H.B. No. 1528
3	3	Substitute the following for H.B. No. 1528:
4	4	By: Morrison C.S.H.B. No. 1528
5	5
6	6
7	7	A BILL TO BE ENTITLED
8	8	AN ACT
9	9	relating to the powers and duties of navigation districts and port
10	10	authorities.
11	11	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	12	SECTION 1. The heading to Section 60.035, Water Code, is
13	13	amended to read as follows:
14	14	Sec. 60.035. NOTICE OF CERTAIN OIL, GAS, AND MINERAL LEASES
15	15	[LEASE].
16	16	SECTION 2. Section 60.035(a), Water Code, is amended to
17	17	read as follows:
18	18	(a) Before a district may enter into a lease [may be
19	19	executed by the commission] under Section 60.034 [of this code],
20	20	the district [commission] shall have a notice requesting bids on
21	21	the lease published in a newspaper of general circulation in the
22	22	district. The notice shall be published at least once a week for
23	23	two consecutive weeks before the final date for the receipt of bids.
24	24	Chapter 71, Natural Resources Code, does not apply to a lease made
25	25	under this section if the lease is made in accordance with this
26	26	section and Sections 60.036 and 60.037 of this chapter.
27	27	SECTION 3. Section 60.039, Water Code, is amended to read as
28	28	follows:
29	29	Sec. 60.039. CERTAIN SURFACE LEASES AND EASEMENTS [LEASE].
30	30	(a) A district [The commission] may lease, as lessor, and grant
31	31	easements over the surface estate of real property [land] for not
32	32	more than 50 years by the adoption [entry] of a resolution or an
33	33	order [on the minutes of the commission] and the execution of a
34	34	lease or easement in the manner provided by the [original]
35	35	resolution or order. The lease or easement may not be extended
36	36	beyond the 50-year period by renewal, extension, or otherwise until
37	37	the term of the lease or easement has expired.
38	38	(b) The [commission or the] executive director of the
39	39	district, or a person authorized by the commission or the executive
40	40	director, may enter into a lease on behalf of the district, as
41	41	lessor, for the surface estate of real property for not more than
42	42	one year without the commission's adoption of a resolution or [a
43	43	monthly tenancy or a tenancy from month to month. The lease term
44	44	may only exceed one year if:
45	45	[(1) the commission enters] an order approving [on the
46	46	minutes; and
47	47	[(2) the execution of the lease is in the manner
48	48	provided by the original order for] the lease.
49	49	(c) The executive director of the district, or a person
50	50	authorized by the commission or the executive director, may enter
51	51	into an easement on behalf of the district, as grantor, on the
52	52	surface of real property for not more than one year without the
53	53	commission's adoption of a resolution or an order approving the
54	54	easement.
55	55	SECTION 4. Section 60.040, Water Code, is amended to read as
56	56	follows:
57	57	Sec. 60.040. PUBLICATION OF NOTICE FOR SALES, EASEMENTS,
58	58	AND LEASES IN EXCESS OF 50 YEARS. (a) Before making a sale,
59	59	easement, or lease of real property [land] for more than 50 years,
60	60	the district [commission] shall publish a notice in the manner
61	61	provided in Section 60.035.
62	62	(b) A district may enter into negotiations with one or more
63	63	potential buyers, easement grantees, or lessees before the
64	64	publication of the notice without affecting the validity of the
65	65	sale, easement, or lease.
66	66	SECTION 5. Section 60.041, Water Code, is amended to read as
67	67	follows:
68	68	Sec. 60.041. SECURITY FOR BIDS ON REAL PROPERTY [LAND] TO BE
69	69	SOLD OR LEASED FOR MORE THAN 50 YEARS. Each bid submitted on real
70	70	property [land] to be sold or leased for more than 50 years under
71	71	Section 60.040 shall be accompanied by a certified check, cashier's
72	72	check, or bidder's bond with a responsible corporate surety
73	73	authorized to do business in Texas. The check or bond shall be in
74	74	an amount equal to five percent of the bid price for the real
75	75	property [land] or 100 percent of [for] the first rental payment
76	76	under the lease and shall guarantee that the bidder will perform the
77	77	terms of the bid if it is accepted by the district [commission].
78	78	SECTION 6. Section 60.042, Water Code, is amended to read as
79	79	follows:
80	80	Sec. 60.042. AWARD AND EXECUTION OF DEED OR LEASE IN EXCESS
81	81	OF 50 YEARS. (a) After notice is published under Section 60.040
82	82	[of this code], the district [commission] may sell or lease in
83	83	accordance with that section all or any part of the real property
84	84	[land] to the highest and best bidder for an amount which is not
85	85	less than the reasonable market value in the locality at the time
86	86	and place of the sale or lease.
87	87	(b) The commission shall adopt a resolution or [enter an]
88	88	order [in its minutes] confirming the sale or lease. The resolution
89	89	or order shall include or incorporate by reference the terms of the
90	90	sale or lease and the consideration and shall provide that the
91	91	executive director of the district, or a person authorized by the
92	92	executive director of the district, is authorized to [commission
93	93	will] execute the [a] deed or lease as soon as the successful bidder
94	94	complies with the terms of the [his] bid.
95	95	SECTION 7. Section 60.101(c), Water Code, is amended to
96	96	read as follows:
97	97	(c) An installment sale or a lease under this section is not
98	98	a loan of the district's credit or a grant of public money. The
99	99	acquisition and leasing of land and facilities for the purposes
100	100	included in this section and the operation and industrial and
101	101	business development of ports and waterways are a public purpose
102	102	and a matter of public necessity.
103	103	SECTION 8. Section 60.124, Water Code, is amended to read as
104	104	follows:
105	105	Sec. 60.124. GIFTS, GRANTS, AND DONATIONS. A district may
106	106	accept a gift, grant, donation, or bequest of money, services,
107	107	equipment, goods, or other tangible or intangible property from any
108	108	source for any district purpose.
109	109	SECTION 9. Section 60.401(b), Water Code, is amended to
110	110	read as follows:
111	111	(b) A district may adopt this subchapter for a particular
112	112	purchase or period or for all purchases and contracts, subject to
113	113	the commission's right to authorize particular procurements under
114	114	Subchapter O.
115	115	SECTION 10. Sections 60.404(b) and (d), Water Code, are
116	116	amended to read as follows:
117	117	(b) A notice of proposed purchase and the time and place the
118	118	bids will be received and opened must be published once a week for
119	119	two consecutive weeks before the deadline for receiving the bids in
120	120	a newspaper with general circulation in each county in which the
121	121	district [or port authority] is located. [The first notice must be
122	122	published not later than the 14th day before the date the bids are
123	123	to be opened.] If there is no newspaper of general circulation in a
124	124	county in which the district [or port authority] is located, the
125	125	notice shall be published in a newspaper of general circulation in
126	126	the county nearest the county seat of the county in which the
127	127	district is located or the county in which the greatest amount of
128	128	the district's territory is located [for that county must be given
129	129	by posting the notice in a prominent place in the courthouse of that
130	130	county for not less than 14 days before the date the bids are to be
131	131	opened].
132	132	(d) The specifications must:
133	133	(1) describe in detail the item to be acquired;
134	134	(2) require that bids be sealed;
135	135	(3) require the attachment to the bid of a certified
136	136	check, cashier's check, or bidders bond, if security is required in
137	137	connection with the bid; and
138	138	(4) indicate whether a small business development
139	139	program, local preference program, or other contracting program
140	140	adopted by the [port commission of the port authority or] district
141	141	applies to the purchase and, if so, where a copy of the program
142	142	requirements may be obtained.
143	143	SECTION 11. Section 60.405, Water Code, is amended to read
144	144	as follows:
145	145	Sec. 60.405. COMPETITIVE SEALED PROPOSALS [PROPOSAL
146	146	PROCEDURES]. (a) Notwithstanding Section 60.404, items other than
147	147	construction services valued at more than the amount authorized by
148	148	Section 60.403(a) for routine purchases or contracts [Insurance or
149	149	high technology items] may be purchased under the procedure
150	150	provided by this section.
151	151	(b) Quotations shall be solicited by the district or the
152	152	district's broker through a request for proposals from as many
153	153	sources as are reasonably available. The request for proposals
154	154	must specify the relative importance of price and all other factors
155	155	of evaluation.
156	156	(c) Public notice of the request for proposals [proposal]
157	157	must be made in the same manner as provided by Section 60.404 [of
158	158	this code].
159	159	(d) The award of the contract shall be made by the
160	160	commission in open session to the responsible offerer whose
161	161	proposal is determined to provide the best value to the district [be
162	162	the lowest evaluated offer resulting from negotiation] giving
163	163	consideration to evaluation factors set forth in the request for
164	164	proposals.
165	165	(e) If so provided in the request for proposals, information
166	166	in proposals may not be disclosed to the public [competing
167	167	offerers] until the contract is awarded. After a contract is
168	168	awarded, proposals shall be open for public inspection, except that
169	169	information contained in a proposal identified as a trade secret or
170	170	as confidential shall be kept confidential.
171	171	(f) A district [port commission] may adopt rules relating to
172	172	negotiations to be conducted with responsible offerers submitting
173	173	proposals. Offerers must be accorded fair and equal treatment with
174	174	respect to any opportunity for negotiation and revision of
175	175	proposals. Revisions to proposal and contract terms may be
176	176	permitted after submission of a proposal and before award of the
177	177	contract.
178	178	SECTION 12. Section 60.407, Water Code, is amended to read
179	179	as follows:
180	180	Sec. 60.407. OPENING SEALED PROPOSALS AND BIDS. (a) An
181	181	official of the district [or port authority] shall open the bids and
182	182	competitive sealed proposals on the date specified in the notice.
183	183	If an error is discovered in the original specifications or the
184	184	nature of the item to be purchased requires an extension, the date
185	185	may be extended.
186	186	(b) Opened bids and sealed proposals shall be kept on file
187	187	and made available for public inspection.
188	188	SECTION 13. Section 60.409(b), Water Code, is amended to
189	189	read as follows:
190	190	(b) If a district [or port authority] uses unit pricing in
191	191	its notice, the information furnished proposers or bidders shall
192	192	specify the approximate quantities estimated on the best available
193	193	information or other quantities reasonably specified to permit
194	194	comparison of proposals or bids, and the total contract amount may
195	195	be based on estimated maximum quantities, but the compensation paid
196	196	the bidder must be based on the actual quantities purchased.
197	197	SECTION 14. Section 60.458, Water Code, is amended to read
198	198	as follows:
199	199	Sec. 60.458. PURCHASE CONTRACT AWARD CRITERIA. Except as
200	200	provided by this subchapter, in determining to whom to award a
201	201	contract, the district may consider:
202	202	(1) the purchase price;
203	203	(2) the reputation of the vendor and of the vendor's
204	204	goods or services;
205	205	(3) the quality of the vendor's goods or services;
206	206	(4) the extent to which the goods or services meet the
207	207	district's needs;
208	208	(5) the vendor's past relationship with the district;
209	209	(6) the impact on the ability of the district to comply
210	210	with laws and rules relating to historically underutilized
211	211	businesses and on[,] the district's small business development
212	212	program, local preference program, or other [another] contracting
213	213	program adopted [approved] by the district, if any;
214	214	(7) the total long-term cost to the district to
215	215	acquire the vendor's goods or services; and
216	216	(8) any other relevant factor specifically listed in
217	217	the request for bids or proposals.
218	218	SECTION 15. Section 60.463, Water Code, is amended by
219	219	amending Subsections (d) and (e) and adding Subsection (d-1) to
220	220	read as follows:
221	221	(d) The district shall select a contractor through
222	222	competitive sealed proposals in either a one-step or two-step
223	223	process. The district shall prepare a request for competitive
224	224	sealed proposals, in the case of a one-step process, or a request
225	225	for qualifications, in the case of a two-step process, that
226	226	includes construction documents, selection criteria, project
227	227	scope, schedule, the time and place for receipt of proposals or
228	228	qualifications, as applicable, a statement as to whether the
229	229	selection process is a one-step or two-step process, and other
230	230	information that contractors may require to respond to the request.
231	231	The district shall state in the request for proposals or
232	232	qualifications, as applicable, the selection criteria that will be
233	233	used in selecting the successful offeror. If a one-step process is
234	234	used, the district may request, as part of the offeror's proposal,
235	235	proposed prices.
236	236	(d-1) If a two-step process is used, the district may not
237	237	request prices in the first step. In the second step, the district
238	238	may request that five or fewer offerors, selected solely on the
239	239	basis of qualifications, provide additional information, including
240	240	proposed prices.
241	241	(e) At each step, the [The] district shall receive, publicly
242	242	open, and read aloud the names of the offerors [and, if any lump-sum
243	243	prices are required to be stated, all such lump-sum prices stated in
244	244	each proposal]. At the appropriate step, the district shall read
245	245	aloud the prices, if any, stated in each proposal as the proposal is
246	246	opened. Not later than the 45th day after the date of opening the
247	247	proposals, the district shall evaluate and rank each proposal
248	248	submitted in relation to the published selection criteria.
249	249	SECTION 16. Section 62.107, Water Code, is amended to read
250	250	as follows:
251	251	Sec. 62.107. ACQUISITION AND CONVEYANCE OF LAND. (a) Any
252	252	district created under this chapter may acquire by gift, purchase,
253	253	or condemnation and may own land adjacent or accessible by road,
254	254	rail, or water to the navigable water and ports developed by it
255	255	which may be necessary or required for any and all purposes incident
256	256	to or necessary for the development and operation of the navigable
257	257	water or ports within the district, or may be necessary or required
258	258	for or in aid of the development of industries and businesses on the
259	259	land.
260	260	(b) The district may lease and grant easements on any part
261	261	of the acquired land to any person [individual or corporation] and
262	262	may charge for the lease or easement reasonable tolls, rents, fees,
263	263	or other charges. The lease or easement may be on terms and
264	264	conditions considered appropriate or advantageous to the district.
265	265	The district may use the proceeds both for the maintenance and
266	266	operation of the business of the district and for the purpose of
267	267	making the district self-supporting and financially solvent and
268	268	returning the construction costs of the improvements within a
269	269	reasonable period.
270	270	(c) The acquisition and leasing of land or granting
271	271	easements on land for the purposes included in this section and the
272	272	operation and industrial and business development of ports and
273	273	waterways are a public purpose and a matter of public necessity.
274	274	SECTION 17. Subchapter D, Chapter 62, Water Code, is
275	275	amended by adding Section 62.123 to read as follows:
276	276	Sec. 62.123. FRANCHISES. (a) A district may grant
277	277	franchises for purposes consistent with this chapter to any person
278	278	on property owned or controlled by the district by restrictive
279	279	covenant or otherwise.
280	280	(b) No franchise shall be granted for longer than 50 years
281	281	nor shall a franchise be granted except on the affirmative vote of a
282	282	majority of the commissioners present at three separate meetings of
283	283	the commission which meetings may not be closer together than one
284	284	week.
285	285	(c) No franchise shall be granted until notice of the
286	286	franchise is published, at the expense of the applicant, once a week
287	287	for three consecutive weeks in a daily newspaper of general
288	288	circulation in the district. For the purposes of this subsection,
289	289	notice consists of:
290	290	(1) the text of the franchise in final form in all
291	291	material respects; or
292	292	(2) a descriptive caption stating the purpose of the
293	293	franchise and the location at which a complete copy of the franchise
294	294	in all material respects may be obtained.
295	295	(d) The franchise shall require the grantee to file the
296	296	grantee's written acceptance within 30 days after the franchise is
297	297	finally approved by the commission. The franchise is effective on
298	298	the date the grantee files the acceptance, unless the district and
299	299	the grantee agree on a later date.
300	300	(e) Nothing in this section shall be construed as preventing
301	301	the district from granting revocable licenses or permits for the
302	302	use of limited portions of waterfront or facilities for purposes
303	303	consistent with this chapter.
304	304	SECTION 18. Section 62.153, Water Code, is amended to read
305	305	as follows:
306	306	Sec. 62.153. DUTIES OF DISTRICT TREASURER. The district
307	307	treasurer shall:
308	308	(1) open an account for all funds received by the
309	309	district treasurer [him] for the district and all district funds
310	310	which the treasurer [he] pays out;
311	311	(2) pay out money on vouchers signed by the chairman of
312	312	the commission, any two members of the commission, or the
313	313	commissioners court, or any two of any number of persons delegated
314	314	by the commission with authority to sign vouchers, provided that
315	315	the commission may, in such delegation, limit the authority of such
316	316	persons and may require that each furnish a fidelity bond in such
317	317	amount as the commission shall specify and subject to commission
318	318	approval;
319	319	(3) carefully preserve all orders for the payment of
320	320	money; [and]
321	321	(4) render a correct account to the commissioners
322	322	court of all matters relating to the financial condition of the
323	323	district as often as required by the commissioners court; and
324	324	(5) not be required to sign a check drawn on a
325	325	depository selected under Section 62.156, unless the district
326	326	treasurer is the designated officer of the district, as defined by
327	327	Section 60.271(g).
328	328	SECTION 19. Section 62.208(a), Water Code, is amended to
329	329	read as follows:
330	330	(a) A district may issue revenue bonds on the terms and
331	331	under the provisions of Chapter 111, Acts of the 43rd Legislature,
332	332	1st Called Session, 1933, or Chapter 38, Acts of the 47th
333	333	Legislature, Regular Session, 1941:
334	334	(1) to purchase, construct, improve, enlarge, extend,
335	335	and repair dams, reservoirs, water rights, water wells,
336	336	desalinization facilities, canals, pipelines, pumps, pump
337	337	stations, land, easements, rights-of-way, and other property and
338	338	facilities necessary to provide a water supply for the irrigation
339	339	of land and for industrial, commercial, domestic, municipal, and
340	340	other beneficial uses;
341	341	(2) to accomplish any of the purposes designated in
342	342	the previously mentioned two acts; and
343	343	(3) for general improvement purposes without
344	344	designating the improvement.
345	345	SECTION 20. Section 63.178(b), Water Code, is amended to
346	346	read as follows:
347	347	(b) A franchise may be granted for a period of not more than
348	348	50 [30] years.
349	349	SECTION 21. This Act takes effect immediately if it
350	350	receives a vote of two-thirds of all the members elected to each
351	351	house, as provided by Section 39, Article III, Texas Constitution.
352	352	If this Act does not receive the vote necessary for immediate
353	353	effect, this Act takes effect September 1, 2017.