Texas 2023 - 88th Regular

Texas Senate Bill SB541 Latest Draft

Bill / Engrossed Version Filed 04/04/2023

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                            By: Campbell, Creighton
 Paxton


 A BILL TO BE ENTITLED
 AN ACT
 relating to the barring of certain vendors from participation in
 contracts with the state or a political subdivision and to
 prohibiting the use of technologies manufactured or sold by certain
 of those vendors.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Subtitle A, Title 6, Government Code, is amended
 by adding Chapter 620 to read as follows:
 CHAPTER 620.  USE OF CERTAIN TECHNOLOGIES BY GOVERNMENTAL ENTITY
 PROHIBITED
 Sec. 620.001.  DEFINITION. In this chapter, "governmental
 entity" means:
 (1)  a department, commission, board, office, or other
 agency that is in the executive or legislative branch of state
 government and that was created by the constitution or a statute,
 including an institution of higher education as defined by Section
 61.003, Education Code;
 (2)  the supreme court, the court of criminal appeals,
 a court of appeals, or the Texas Judicial Council or another agency
 in the judicial branch of state government; or
 (3)  a political subdivision of this state, including a
 municipality, county, or special purpose district.
 Sec. 620.002.  PROHIBITION. A governmental entity shall
 adopt a policy prohibiting the installation or use by the
 governmental entity of a technology manufactured or sold by an
 entity prohibited from participating in federal contracts under
 Section 889, John S. McCain National Defense Authorization Act for
 Fiscal Year 2019 (Pub. L. No. 115-232), as it existed on January 1,
 2023.
 SECTION 2.  Section 2155.077, Government Code, is amended by
 adding Subsection (a-3) to read as follows:
 (a-3)  The comptroller shall bar a vendor from participating
 in state contracts that are subject to this subtitle, including
 contracts for which purchasing authority is delegated to a state
 agency, if the vendor:
 (1)  is prohibited from participating in federal
 contracts under Section 889, John S. McCain National Defense
 Authorization Act for Fiscal Year 2019 (Pub. L. No. 115-232), as it
 existed on January 1, 2023;
 (2)  contracts with an entity described by Subdivision
 (1) to provide products or services to this state; or
 (3)  is designated as a risk to state security by the
 Homeland Security Council, with advice from the governor, unless
 the federal government has determined that the vendor does not pose
 a risk to national security.
 SECTION 3.  Subchapter Z, Chapter 271, Local Government
 Code, is amended by adding Section 271.909 to read as follows:
 Sec. 271.909.  BARRING CERTAIN VENDORS FROM PARTICIPATION IN
 CONTRACTS. The governing body of a political subdivision by
 ordinance, order, or other measure shall bar a vendor from
 participating in contracts with the political subdivision if the
 vendor:
 (1)  is prohibited from participating in federal
 contracts under Section 889, John S. McCain National Defense
 Authorization Act for Fiscal Year 2019 (Pub. L. No. 115-232), as it
 existed on January 1, 2023;
 (2)  contracts with an entity described by Subdivision
 (1) to provide products or services to this state; or
 (3)  is designated as a risk to state security by the
 Homeland Security Council, with advice from the governor, unless
 the federal government has determined that the vendor does not pose
 a risk to national security.
 SECTION 4.  Section 421.026, Government Code, is amended to
 read as follows:
 Sec. 421.026.  REPORTS [REPORT].  (a)  The council shall
 annually submit to the governor a report stating:
 (1)  the status and funding of state programs designed
 to detect and deter homeland security emergencies, including the
 status and funding of counterterrorism efforts;
 (2)  recommendations on actions to reduce threats to
 homeland security, including threats related to terrorism; and
 (3)  recommendations for improving the alert,
 response, and recovery capabilities of state and local agencies.
 (b)  The council shall submit a report to the legislature
 identifying each vendor designated as a risk to state security for
 purposes of barring the vendor from participating in contracts
 under Section 2155.077(a-3)(3) of this code and Section 271.909(3),
 Local Government Code.  The council shall submit an update to the
 report under this subsection each time the council designates a
 vendor as a risk to state security.
 SECTION 5.  Not later than November 1, 2023, each
 governmental entity shall adopt the policy required by Chapter 620,
 Government Code, as added by this Act.
 SECTION 6.  The changes in law made by this Act apply only to
 a contract for which a state agency or political subdivision first
 advertises or otherwise solicits offers, bids, proposals,
 qualifications, or other applicable expressions of interest on or
 after the effective date of this Act. A contract for which a state
 agency or political subdivision first advertises or otherwise
 solicits offers, bids, proposals, qualifications, or other
 applicable expressions of interest before the effective date of
 this Act is governed by the law as it existed immediately before the
 effective date of this Act, and that law is continued in effect for
 that purpose.
 SECTION 7.  This Act takes effect September 1, 2023.