Texas 2017 - 85th Regular

Texas House Bill HB1943 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	85R11272 YDB-D
2	2	By: Shaheen H.B. No. 1943
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the review and oversight of state agency contracts.
8	8	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	9	SECTION 1. Chapter 322, Government Code, is amended by
10	10	adding Sections 322.021, 322.0211, and 322.0212 to read as follows:
11	11	Sec. 322.021. STATE AGENCY CONTRACT OVERSIGHT. (a) In this
12	12	section:
13	13	(1) "Board" means the Legislative Budget Board.
14	14	(2) "State agency" has the meaning assigned by Section
15	15	2054.003.
16	16	(b) The board may review state agency contracts to determine
17	17	compliance with the contract management guide developed under
18	18	Section 2054.554, the comptroller's procurement policy manuals,
19	19	and each applicable state contracting law, rule, policy, and
20	20	procedure. The authority to review a state agency contract under
21	21	this subsection applies regardless of the source of funds or method
22	22	of financing for the contract and includes a contract funded only
23	23	with nonappropriated funds.
24	24	(c) Board staff may request, and are entitled to obtain, any
25	25	document related to a contract reviewed under this section or to a
26	26	purchase under the contract.
27	27	(d) Each state agency shall cooperate with the board in
28	28	conducting a contract review under this section and in resolving
29	29	any issue resulting from the contract review.
30	30	Sec. 322.0211. NOTICE OF VIOLATION OF STATE CONTRACTING
31	31	LAW; CORRECTIVE ACTION PLAN. (a) If the Legislative Budget Board
32	32	determines under Section 322.021 that a state agency contract
33	33	violates the contract management guide, the comptroller's
34	34	procurement policy manuals, or a state contracting law, rule,
35	35	policy, or procedure, the board's director may provide to the board
36	36	and the state agency, comptroller, and governor written notice of
37	37	the violation. A notice provided under this section must:
38	38	(1) detail the specific provision violated by the
39	39	contract;
40	40	(2) recommend actions to be taken to address the
41	41	violation and any identified risks related to the contract;
42	42	(3) list potential remedies for the violation; and
43	43	(4) state any enforcement mechanism that may be
44	44	assessed under Section 322.0212 for the violation.
45	45	(b) A state agency that receives notice of a violation under
46	46	Subsection (a) shall develop a written corrective action plan
47	47	consistent with the board's recommendations and provide the plan to
48	48	the board not later than the 30th calendar day after the date the
49	49	agency receives the notice.
50	50	(c) The board may monitor a state agency's implementation of
51	51	the corrective action plan.
52	52	Sec. 322.0212. ENFORCEMENT. (a) The Legislative Budget
53	53	Board may assess an enforcement mechanism against a state agency
54	54	that the board determines under Section 322.021 is in violation of
55	55	the contract management guide, the comptroller's procurement
56	56	policy manuals, or a state contracting law, rule, policy, or
57	57	procedure. The enforcement mechanism must be assessed in
58	58	accordance with the schedule developed under Subsection (b).
59	59	(b) The board may establish a schedule of enforcement
60	60	mechanisms that may be assessed against a state agency for a
61	61	violation described by Subsection (a). The enforcement mechanisms
62	62	may include:
63	63	(1) enhanced monitoring of the state agency's
64	64	contracts by board personnel;
65	65	(2) required consultation with the Contract Advisory
66	66	Team established under Section 2262.101 or the quality assurance
67	67	team established under Section 2054.158 before issuance of a
68	68	contract by the state agency;
69	69	(3) targeted audits by the State Auditor's Office at
70	70	the request of the board; and
71	71	(4) recommended cancellation of a contract determined
72	72	to contain a violation described by Section 322.0211(a).
73	73	(c) The board's director may recommend to the board an
74	74	enforcement mechanism to be assessed against a state agency for a
75	75	contract violation.
76	76	(d) The board may increase the severity of an enforcement
77	77	mechanism assessed against a state agency for repeated contract
78	78	violations described by Section 322.0211(a).
79	79	(e) The board may dismiss an enforcement mechanism assessed
80	80	against a state agency by the board for a contract violation
81	81	described by Section 322.0211(a) on successful implementation of a
82	82	corrective action plan by the agency under Section 322.0211(b).
83	83	SECTION 2. Section 2262.101, Government Code, is amended by
84	84	adding Subsection (g) to read as follows:
85	85	(g) The team shall provide to the Legislative Budget Board a
86	86	copy of:
87	87	(1) each recommendation made under Subsection (a)(1)
88	88	on a solicitation or contract document not later than the 10th
89	89	calendar day after the date the team makes the recommendation; and
90	90	(2) any written explanation submitted by a state
91	91	agency under Subsection (d)(2) stating the reason a recommendation
92	92	is not applicable to the contract under review not later than the
93	93	10th calendar day after the date the team receives the explanation.
94	94	SECTION 3. This Act takes effect September 1, 2017.