4 | 8 | | AN ACT |
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5 | 9 | | relating to prohibited contracts with companies that discriminate |
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6 | 10 | | against the firearm or ammunition industries. |
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7 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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8 | 12 | | SECTION 1. Subtitle F, Title 10, Government Code, is |
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9 | 13 | | amended by adding Chapter 2274 to read as follows: |
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10 | 14 | | CHAPTER 2274. PROHIBITION ON CONTRACTS WITH COMPANIES THAT |
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11 | 15 | | DISCRIMINATE AGAINST FIREARM AND AMMUNITION INDUSTRIES |
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12 | 16 | | Sec. 2274.001. DEFINITIONS. In this chapter: |
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13 | 17 | | (1) "Ammunition" means a loaded cartridge case, |
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14 | 18 | | primer, bullet, or propellant powder with or without a projectile. |
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15 | 19 | | (2) "Company" means a for-profit organization, |
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16 | 20 | | association, corporation, partnership, joint venture, limited |
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17 | 21 | | partnership, limited liability partnership, or limited liability |
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18 | 22 | | company, including a wholly owned subsidiary, majority-owned |
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19 | 23 | | subsidiary, parent company, or affiliate of those entities or |
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33 | | - | relationship with the entity or association based solely on its |
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34 | | - | status as a firearm entity or firearm trade association; and |
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35 | | - | (B) does not include: |
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36 | | - | (i) the established policies of a merchant, |
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37 | | - | retail seller, or platform that restrict or prohibit the listing or |
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38 | | - | selling of ammunition, firearms, or firearm accessories; and |
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39 | | - | (ii) a company's refusal to engage in the |
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40 | | - | trade of any goods or services, decision to refrain from continuing |
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41 | | - | an existing business relationship, or decision to terminate an |
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42 | | - | existing business relationship: |
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43 | | - | (aa) to comply with federal, state, or |
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44 | | - | local law, policy, or regulations or a directive by a regulatory |
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45 | | - | agency; or |
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46 | | - | (bb) for any traditional business |
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47 | | - | reason that is specific to the customer or potential customer and |
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48 | | - | not based solely on an entity's or association's status as a firearm |
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49 | | - | entity or firearm trade association. |
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| 34 | + | relationship; or |
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| 35 | + | (iv) otherwise express a prejudice against |
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| 36 | + | the entity or association; and |
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| 37 | + | (B) does not include the established policies of |
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| 38 | + | a merchant, retail seller, or platform that restrict or prohibit |
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| 39 | + | the listing or selling of ammunition, firearms, or firearm |
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| 40 | + | accessories. |
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50 | 41 | | (4) "Firearm" means a weapon that expels a projectile |
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51 | 42 | | by the action of explosive or expanding gases. |
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52 | 43 | | (5) "Firearm accessory" means a device specifically |
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53 | 44 | | designed or adapted to enable an individual to wear, carry, store, |
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54 | 45 | | or mount a firearm on the individual or on a conveyance and an item |
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55 | 46 | | used in conjunction with or mounted on a firearm that is not |
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56 | 47 | | essential to the basic function of the firearm. The term includes a |
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57 | 48 | | detachable firearm magazine. |
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58 | 49 | | (6) "Firearm entity" means: |
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59 | 50 | | (A) a firearm, firearm accessory, or ammunition |
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60 | 51 | | manufacturer, distributor, wholesaler, supplier, or retailer; and |
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61 | 52 | | (B) a sport shooting range as defined by Section |
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62 | 53 | | 250.001, Local Government Code. |
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63 | 54 | | (7) "Firearm trade association" means any person, |
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64 | 55 | | corporation, unincorporated association, federation, business |
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65 | 56 | | league, or business organization that: |
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66 | 57 | | (A) is not organized or operated for profit and |
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67 | 58 | | for which none of its net earnings inures to the benefit of any |
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68 | 59 | | private shareholder or individual; |
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69 | 60 | | (B) has two or more firearm entities as members; |
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70 | 61 | | and |
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71 | 62 | | (C) is exempt from federal income taxation under |
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72 | 63 | | Section 501(a), Internal Revenue Code of 1986, as an organization |
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73 | 64 | | described by Section 501(c) of that code. |
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74 | 65 | | (8) "Governmental entity" has the meaning assigned by |
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75 | 66 | | Section 2251.001. |
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76 | 67 | | Sec. 2274.002. PROVISION REQUIRED IN CONTRACT. (a) This |
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77 | | - | section applies only to a contract that: |
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78 | | - | (1) is between a governmental entity and a company |
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79 | | - | with at least 10 full-time employees; and |
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80 | | - | (2) has a value of at least $100,000 that is paid |
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81 | | - | wholly or partly from public funds of the governmental entity. |
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82 | | - | (b) Except as provided by Subsection (c) and Section |
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83 | | - | 2274.003, a governmental entity may not enter into a contract with a |
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84 | | - | company for the purchase of goods or services unless the contract |
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85 | | - | contains a written verification from the company that it: |
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| 68 | + | section applies only to a contract to be paid partly or wholly from |
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| 69 | + | public funds between a governmental entity and a company with at |
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| 70 | + | least 10 full-time employees that has a value of at least $100,000. |
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| 71 | + | (b) Except as provided by Section 2274.003, a governmental |
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| 72 | + | entity may not enter into a contract with a company for the purchase |
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| 73 | + | of goods or services unless the contract contains a written |
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| 74 | + | verification from the company that it: |
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97 | 83 | | Sec. 2274.003. CERTAIN CONTRACTS EXEMPTED. (a) A contract |
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98 | 84 | | entered into in connection with or relating to the issuance, sale, |
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99 | 85 | | or delivery of notes under Subchapter H, Chapter 404, or the |
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100 | 86 | | administration of matters related to the notes, including the |
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101 | 87 | | investment of note proceeds, is exempt from this chapter if, in the |
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102 | 88 | | comptroller's sole discretion, the comptroller determines that |
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103 | 89 | | compliance with Section 2274.002 is likely to prevent: |
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104 | 90 | | (1) an issuance, sale, or delivery that is sufficient |
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105 | 91 | | to address the general revenue cash flow shortfall forecast; or |
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106 | 92 | | (2) the administration of matters related to the |
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107 | 93 | | notes. |
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108 | 94 | | (b) Before making a determination under Subsection (a), the |
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109 | 95 | | comptroller must: |
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110 | 96 | | (1) survey potential respondents or bidders to a |
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111 | 97 | | solicitation for a contract described by Subsection (a) to |
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112 | 98 | | determine the number of qualified potential respondents or bidders |
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113 | 99 | | that are able to provide the written verification required by |
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114 | 100 | | Section 2274.002; and |
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115 | 101 | | (2) evaluate the historical bidding performance of |
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116 | 102 | | qualified potential bidders. |
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117 | 103 | | SECTION 2. The change in law made by this Act applies only |
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118 | 104 | | to a contract entered into on or after the effective date of this |
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119 | 105 | | Act. A contract entered into before the effective date of this Act |
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120 | 106 | | is governed by the law as it existed immediately before the |
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121 | 107 | | effective date of this Act, and that law is continued in effect for |
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122 | 108 | | that purpose. |
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123 | 109 | | SECTION 3. This Act takes effect September 1, 2021. |
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124 | | - | ______________________________ ______________________________ |
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125 | | - | President of the Senate Speaker of the House |
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126 | | - | I hereby certify that S.B. No. 19 passed the Senate on |
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127 | | - | April 15, 2021, by the following vote: Yeas 18, Nays 12; and that |
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128 | | - | the Senate concurred in House amendments on May 28, 2021, by the |
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129 | | - | following vote: Yeas 19, Nays 12. |
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130 | | - | ______________________________ |
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131 | | - | Secretary of the Senate |
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132 | | - | I hereby certify that S.B. No. 19 passed the House, with |
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133 | | - | amendments, on May 13, 2021, by the following vote: Yeas 86, |
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134 | | - | Nays 60, one present not voting. |
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135 | | - | ______________________________ |
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136 | | - | Chief Clerk of the House |
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137 | | - | Approved: |
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138 | | - | ______________________________ |
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139 | | - | Date |
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140 | | - | ______________________________ |
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141 | | - | Governor |
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