89R13057 RDS-D
By: McLaughlin H.B. No. 3573
A BILL TO BE ENTITLED
AN ACT
relating to certain prohibited considerations in contracting by
governmental entities and the elimination of the state's
historically underutilized business program.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter Z, Chapter 2252, Government Code, is
amended by adding Section 2252.911 to read as follows:
Sec. 2252.911. PROHIBITED CONSIDERATIONS IN CONTRACTING.
(a) In this section, "governmental entity" has the meaning
assigned by Section 2252.001.
(b) Notwithstanding any other law, a governmental entity
may not award a contract or provide preferential treatment to a
person submitting a bid for a contract on the basis of race, color,
ethnicity, sex, gender identity, or sexual orientation.
SECTION 2. Chapter 2161, Government Code, is repealed.
SECTION 3. The repeal by this Act of Chapter 2161,
Government Code, does not apply to a transfer of funds directed by
the Legislative Budget Board under Section 2161.005, Government
Code, before the effective date of this Act. A transfer of funds
directed by the Legislative Budget Board before the effective date
of this Act is governed by that section as it existed immediately
before the effective date of this Act, and the former law is
continued in effect for that purpose.
SECTION 4. The changes in law made by this Act apply only to
a contract entered into on or after the effective date of this Act.
A contract entered into before that date 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 5. This Act takes effect September 1, 2025.