TX
Texas House Bill HB3638

Texas 2025 - 89th Regular

Texas House Bill HB3638 Compare Versions

OldNewDifferences
1-89R18202 GP-F
21 By: Troxclair H.B. No. 3638
3- Substitute the following for H.B. No. 3638:
4- By: King C.S.H.B. No. 3638
52
63
74
85
96 A BILL TO BE ENTITLED
107 AN ACT
11- relating to a preference in state purchasing for certain goods and
12- services produced or provided by private commercial sources in
13- Texas.
8+ relating to a preference against state resources being used to
9+ compete against private commercial sources.
1410 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
15- SECTION 1. Section 2155.444, Government Code, is amended by
16- adding Subsection (i) to read as follows:
17- (i) The comptroller and all state agencies purchasing goods
18- or procuring services shall give preference to goods produced and
19- services provided by private commercial sources in this state
20- rather than use state money to produce or provide competing goods
21- and services unless specifically directed by the legislature to
22- produce or provide the competing goods and services.
23- SECTION 2. The change in law made by this Act applies only
24- to a contract for which a state agency first advertises or otherwise
25- solicits bids, proposals, offers, or qualifications on or after the
26- effective date of this Act. A contract for which a state agency
27- first advertised or otherwise solicited bids, proposals, offers, or
28- qualifications before the effective date of this Act is governed by
29- the law in effect when the first advertisement or solicitation was
30- given, and the former law is continued in effect for that purpose.
31- SECTION 3. This Act takes effect September 1, 2025.
11+ SECTION 1. Amend Sec. 2155.444, Government Code, by adding
12+ new Subsection (i) as follows:
13+ Sec. 2155.444. PREFERENCE TO TEXAS AND UNITED STATES
14+ PRODUCTS AND TEXAS SERVICES. (a) The comptroller and all state
15+ agencies making purchases of goods, including agricultural
16+ products, shall give preference to those produced or grown in this
17+ state or offered by Texas bidders as follows:
18+ (1) goods produced or offered by a Texas bidder that is
19+ owned by a service-disabled veteran who is a Texas resident shall be
20+ given a first preference and goods produced in this state or offered
21+ by other Texas bidders shall be given second preference, if the cost
22+ to the state and quality are equal; and
23+ (2) agricultural products grown in this state shall be
24+ given first preference and agricultural products offered by Texas
25+ bidders shall be given second preference, if the cost to the state
26+ and quality are equal.
27+ (b) If goods, including agricultural products, produced or
28+ grown in this state or offered by Texas bidders are not equal in
29+ cost and quality to other products, then goods, including
30+ agricultural products, produced or grown in other states of the
31+ United States shall be given preference over foreign products if
32+ the cost to the state and quality are equal.
33+ (c) In this section:
34+ (1) "Agricultural products" includes textiles and
35+ other similar products.
36+ (1-a) "Service-disabled veteran" means a person who is
37+ a veteran as defined by 38 U.S.C. Section 101(2) and who has a
38+ service-connected disability as defined by 38 U.S.C. Section
39+ 101(16).
40+ (2) "Texas bidder" means a business:
41+ (A) incorporated in this state;
42+ (B) that has its principal place of business in
43+ this state; or
44+ (C) that has an established physical presence in
45+ this state.
46+ (d) The comptroller and all state agencies making purchase
47+ of vegetation for landscaping purposes, including plants, shall
48+ give preference to Texas vegetation native to the region if the cost
49+ to the state is not greater and the quality is not inferior.
50+ (e) The comptroller and all state agencies procuring
51+ services shall give first preference to services offered by a Texas
52+ bidder that is owned by a service-disabled veteran who is a Texas
53+ resident and shall give second preference to services offered by
54+ other Texas bidders if:
55+ (1) the services meet state requirements regarding the
56+ service to be performed and expected quality; and
57+ (2) the cost of the service does not exceed the cost of
58+ other similar services of similar expected quality that are offered
59+ by a bidder that is not entitled to a preference under this
60+ subsection.
61+ (f) The comptroller and each state agency conducting an
62+ advertising campaign that involves the creation or production of a
63+ commercial shall give preference to a commercial production company
64+ and advertising agency located in this state if:
65+ (1) the services meet state requirements regarding the
66+ service to be performed and regarding expected quality; and
67+ (2) the cost of the service does not exceed the cost of
68+ other similar services of similar expected quality that are offered
69+ by a bidder that is not entitled to a preference under this
70+ subsection.
71+ (g) For purposes of Subsection (f), "commercial production
72+ company" means a corporation, limited liability company,
73+ partnership, or other private entity that includes as one of its
74+ purposes the production of one or more television, film, radio, or
75+ other media-related commercials.
76+ (h) The Music, Film, Television, and Multimedia Office
77+ within the office of the governor has exclusive rulemaking
78+ authority for purposes of:
79+ (1) determining whether an advertising campaign is
80+ subject to the requirements of this section;
81+ (2) establishing a bid process for purposes of the
82+ services described by Subsection (f); and
83+ (3) establishing criteria to determine whether a
84+ commercial production company or advertising agency is located in
85+ this state for the purposes of this section.
86+ (i) The comptroller and all state agencies shall give
87+ preference to goods and services produced by private commercial
88+ sources rather than use state funds, unless specifically directed
89+ by the legislature, to produce competing goods and services.
90+ SECTION 2. This Act takes effect September 1, 2025.