85R12062 YDB-D
By: Miles S.B. No. 1738
A BILL TO BE ENTITLED
AN ACT
relating to historically underutilized businesses.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 2161.065(a), Government Code, is amended
to read as follows:
(a) The commission shall design a mentor-protege program to
foster long-term relationships between prime contractors and
historically underutilized businesses and to increase the ability
of historically underutilized businesses to contract with the state
or to receive subcontracts under a state contract. Each state
agency with a biennial appropriation that exceeds $5 [$10] million
shall implement the program designed by the commission.
SECTION 2. Sections 2161.123(d) and (f), Government Code,
are amended to read as follows:
(d) The comptroller [commission] and the state auditor
shall cooperate to develop procedures providing for random periodic
monitoring of state agency compliance with this section. The state
auditor shall report to the comptroller [commission] a state agency
that is not complying with this section. In determining whether a
state agency is making a good faith effort to comply, the state
auditor shall consider whether the agency:
(1) has adopted rules under Section 2161.003;
(2) has used the comptroller's [commission's]
directory under Section 2161.064 and other resources to identify
historically underutilized businesses that are able and available
to contract with the agency;
(3) made good faith, timely efforts to contact
identified historically underutilized businesses regarding
contracting opportunities;
(4) conducted its procurement program in accordance
with the good faith effort methodology set out in comptroller
[commission] rules; and
(5) established goals for contracting with
historically underutilized businesses in each procurement category
based on:
(A) scheduled fiscal year expenditures; [and]
(B) the availability of historically
underutilized businesses in each category as determined by rules
adopted under Section 2161.002; and
(C) an accurate representation of the number of
historically underutilized businesses in each category.
(f) If the state auditor reports to the comptroller
[commission] that a state agency is not complying with this
section, the comptroller [commission] shall assist the agency in
complying with this section and shall prepare for inclusion with
the agency's strategic plan a written plan for increasing the
agency's use of historically underutilized businesses.
SECTION 3. Section 2161.251(a), Government Code, is amended
to read as follows:
(a) This subchapter applies to all contracts entered into by
a state agency with an expected value of $50,000 [$100,000] or more,
including:
(1) contracts for the acquisition of a good or
service; and
(2) contracts for or related to the construction of a
public building, road, or other public work.
SECTION 4. Section 2161.252(a), Government Code, is amended
to read as follows:
(a) Each state agency that considers entering into a
contract with an expected value of $50,000 [$100,000] or more
shall, before the agency solicits bids, proposals, offers, or other
applicable expressions of interest for the contract, determine
whether there will be subcontracting opportunities under the
contract. If the state agency determines that there is that
probability, the agency shall require that each bid, proposal,
offer, or other applicable expression of interest for the contract
include a historically underutilized business subcontracting plan.
SECTION 5. The changes in law made by this Act apply only to
a contract for goods or services that is entered into on or after
the effective date of this Act. A contract entered into before the
effective date of this Act is governed by the law in effect on the
date the contract was entered into, and the former law is continued
in effect for that purpose.
SECTION 6. This Act takes effect September 1, 2017.