Texas 2021 - 87th Regular

Texas Senate Bill SB19 Compare Versions

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1-S.B. No. 19
1+87R22359 MWC-F
2+ By: Schwertner, et al. S.B. No. 19
3+ (Capriglione)
4+ Substitute the following for S.B. No. 19: No.
25
36
7+ A BILL TO BE ENTITLED
48 AN ACT
59 relating to prohibited contracts with companies that discriminate
610 against the firearm or ammunition industries.
711 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
812 SECTION 1. Subtitle F, Title 10, Government Code, is
913 amended by adding Chapter 2274 to read as follows:
1014 CHAPTER 2274. PROHIBITION ON CONTRACTS WITH COMPANIES THAT
1115 DISCRIMINATE AGAINST FIREARM AND AMMUNITION INDUSTRIES
1216 Sec. 2274.001. DEFINITIONS. In this chapter:
1317 (1) "Ammunition" means a loaded cartridge case,
1418 primer, bullet, or propellant powder with or without a projectile.
1519 (2) "Company" means a for-profit organization,
1620 association, corporation, partnership, joint venture, limited
1721 partnership, limited liability partnership, or limited liability
1822 company, including a wholly owned subsidiary, majority-owned
1923 subsidiary, parent company, or affiliate of those entities or
20- associations that exists to make a profit. The term does not
21- include a sole proprietorship.
24+ associations that exists to make a profit.
2225 (3) "Discriminate against a firearm entity or firearm
2326 trade association":
2427 (A) means, with respect to the entity or
2528 association, to:
2629 (i) refuse to engage in the trade of any
27- goods or services with the entity or association based solely on its
28- status as a firearm entity or firearm trade association;
30+ goods or services;
2931 (ii) refrain from continuing an existing
30- business relationship with the entity or association based solely
31- on its status as a firearm entity or firearm trade association; or
32+ business relationship;
3233 (iii) terminate an existing business
33- relationship with the entity or association based solely on its
34- status as a firearm entity or firearm trade association; and
35- (B) does not include:
36- (i) the established policies of a merchant,
37- retail seller, or platform that restrict or prohibit the listing or
38- selling of ammunition, firearms, or firearm accessories; and
39- (ii) a company's refusal to engage in the
40- trade of any goods or services, decision to refrain from continuing
41- an existing business relationship, or decision to terminate an
42- existing business relationship:
43- (aa) to comply with federal, state, or
44- local law, policy, or regulations or a directive by a regulatory
45- agency; or
46- (bb) for any traditional business
47- reason that is specific to the customer or potential customer and
48- not based solely on an entity's or association's status as a firearm
49- entity or firearm trade association.
34+ relationship; or
35+ (iv) otherwise express a prejudice against
36+ the entity or association; and
37+ (B) does not include the established policies of
38+ a merchant, retail seller, or platform that restrict or prohibit
39+ the listing or selling of ammunition, firearms, or firearm
40+ accessories.
5041 (4) "Firearm" means a weapon that expels a projectile
5142 by the action of explosive or expanding gases.
5243 (5) "Firearm accessory" means a device specifically
5344 designed or adapted to enable an individual to wear, carry, store,
5445 or mount a firearm on the individual or on a conveyance and an item
5546 used in conjunction with or mounted on a firearm that is not
5647 essential to the basic function of the firearm. The term includes a
5748 detachable firearm magazine.
5849 (6) "Firearm entity" means:
5950 (A) a firearm, firearm accessory, or ammunition
6051 manufacturer, distributor, wholesaler, supplier, or retailer; and
6152 (B) a sport shooting range as defined by Section
6253 250.001, Local Government Code.
6354 (7) "Firearm trade association" means any person,
6455 corporation, unincorporated association, federation, business
6556 league, or business organization that:
6657 (A) is not organized or operated for profit and
6758 for which none of its net earnings inures to the benefit of any
6859 private shareholder or individual;
6960 (B) has two or more firearm entities as members;
7061 and
7162 (C) is exempt from federal income taxation under
7263 Section 501(a), Internal Revenue Code of 1986, as an organization
7364 described by Section 501(c) of that code.
7465 (8) "Governmental entity" has the meaning assigned by
7566 Section 2251.001.
7667 Sec. 2274.002. PROVISION REQUIRED IN CONTRACT. (a) This
77- section applies only to a contract that:
78- (1) is between a governmental entity and a company
79- with at least 10 full-time employees; and
80- (2) has a value of at least $100,000 that is paid
81- wholly or partly from public funds of the governmental entity.
82- (b) Except as provided by Subsection (c) and Section
83- 2274.003, a governmental entity may not enter into a contract with a
84- company for the purchase of goods or services unless the contract
85- contains a written verification from the company that it:
68+ section applies only to a contract to be paid partly or wholly from
69+ public funds between a governmental entity and a company with at
70+ least 10 full-time employees that has a value of at least $100,000.
71+ (b) Except as provided by Section 2274.003, a governmental
72+ entity may not enter into a contract with a company for the purchase
73+ of goods or services unless the contract contains a written
74+ verification from the company that it:
8675 (1) does not have a practice, policy, guidance, or
8776 directive that discriminates against a firearm entity or firearm
88- trade association; and
77+ trade association based solely on its status as a firearm entity or
78+ firearm trade association; and
8979 (2) will not discriminate during the term of the
90- contract against a firearm entity or firearm trade association.
91- (c) Subsection (b) does not apply to a governmental entity
92- that:
93- (1) contracts with a sole-source provider; or
94- (2) does not receive any bids from a company that is
95- able to provide the written verification required by that
96- subsection.
80+ contract against a firearm entity or firearm trade association
81+ based solely on its status as a firearm entity or firearm trade
82+ association.
9783 Sec. 2274.003. CERTAIN CONTRACTS EXEMPTED. (a) A contract
9884 entered into in connection with or relating to the issuance, sale,
9985 or delivery of notes under Subchapter H, Chapter 404, or the
10086 administration of matters related to the notes, including the
10187 investment of note proceeds, is exempt from this chapter if, in the
10288 comptroller's sole discretion, the comptroller determines that
10389 compliance with Section 2274.002 is likely to prevent:
10490 (1) an issuance, sale, or delivery that is sufficient
10591 to address the general revenue cash flow shortfall forecast; or
10692 (2) the administration of matters related to the
10793 notes.
10894 (b) Before making a determination under Subsection (a), the
10995 comptroller must:
11096 (1) survey potential respondents or bidders to a
11197 solicitation for a contract described by Subsection (a) to
11298 determine the number of qualified potential respondents or bidders
11399 that are able to provide the written verification required by
114100 Section 2274.002; and
115101 (2) evaluate the historical bidding performance of
116102 qualified potential bidders.
117103 SECTION 2. The change in law made by this Act applies only
118104 to a contract entered into on or after the effective date of this
119105 Act. A contract entered into before the effective date of this Act
120106 is governed by the law as it existed immediately before the
121107 effective date of this Act, and that law is continued in effect for
122108 that purpose.
123109 SECTION 3. This Act takes effect September 1, 2021.
124- ______________________________ ______________________________
125- President of the Senate Speaker of the House
126- I hereby certify that S.B. No. 19 passed the Senate on
127- April 15, 2021, by the following vote: Yeas 18, Nays 12; and that
128- the Senate concurred in House amendments on May 28, 2021, by the
129- following vote: Yeas 19, Nays 12.
130- ______________________________
131- Secretary of the Senate
132- I hereby certify that S.B. No. 19 passed the House, with
133- amendments, on May 13, 2021, by the following vote: Yeas 86,
134- Nays 60, one present not voting.
135- ______________________________
136- Chief Clerk of the House
137- Approved:
138- ______________________________
139- Date
140- ______________________________
141- Governor