| 1 | 1 | | 89R3202 CS-D |
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| 2 | 2 | | By: Harless H.B. No. 4105 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | |
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| 6 | 6 | | |
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| 7 | 7 | | A BILL TO BE ENTITLED |
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| 8 | 8 | | AN ACT |
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| 9 | 9 | | relating to the authority of certain counties to consider a |
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| 10 | 10 | | prospective contractor's principal place of business when awarding |
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| 11 | 11 | | certain contracts. |
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| 12 | 12 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 13 | 13 | | SECTION 1. Subchapter Z, Chapter 271, Local Government |
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| 14 | 14 | | Code, is amended by adding Section 271.909 to read as follows: |
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| 15 | 15 | | Sec. 271.909. CONSIDERATION OF LOCATION OF BIDDER'S |
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| 16 | 16 | | PRINCIPAL PLACE OF BUSINESS FOR AWARDING CERTAIN COUNTY CONTRACTS. |
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| 17 | 17 | | (a) This section applies only to a county with a population of more |
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| 18 | 18 | | than 3.3 million. |
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| 19 | 19 | | (b) A county may award a contract for services or for the |
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| 20 | 20 | | construction, repair, or renovation of a structure, road, highway, |
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| 21 | 21 | | or other improvement or addition to real property to a bidder whose |
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| 22 | 22 | | principal place of business is in the county or in a contiguous |
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| 23 | 23 | | county if: |
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| 24 | 24 | | (1) the bid or proposed price submitted by the bidder |
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| 25 | 25 | | is within three percent of the lowest bid or proposed price received |
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| 26 | 26 | | by the county from a bidder with the ability to perform the contract |
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| 27 | 27 | | that does not have a principal place of business in the county or in |
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| 28 | 28 | | a contiguous county; and |
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| 29 | 29 | | (2) the commissioners court determines, in writing, |
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| 30 | 30 | | that the bid or proposal of the bidder offers the county the best |
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| 31 | 31 | | combination of contract price, ability to perform the contract, |
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| 32 | 32 | | and additional economic development opportunities for the county |
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| 33 | 33 | | created by the contract award, including the employment of |
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| 34 | 34 | | residents of the county and increased tax revenues to the county. |
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| 35 | 35 | | (c) A county may not award a contract to a bidder under this |
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| 36 | 36 | | section if a person that would approve the contract: |
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| 37 | 37 | | (1) is related to the bidder within the third degree by |
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| 38 | 38 | | consanguinity or within the second degree by affinity, as described |
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| 39 | 39 | | by Subchapter B, Chapter 573, Government Code; or |
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| 40 | 40 | | (2) has financial ties to the bidder. |
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| 41 | 41 | | (d) This section does not prohibit a county from rejecting |
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| 42 | 42 | | all bids. |
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| 43 | 43 | | (e) This section does not apply to a contract for |
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| 44 | 44 | | professional services governed by Subchapter A, Chapter 2254, |
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| 45 | 45 | | Government Code. |
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| 46 | 46 | | SECTION 2. The change in law made by this Act applies only |
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| 47 | 47 | | to a contract for which a county first advertises or otherwise |
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| 48 | 48 | | solicits bids, proposals, offers, or qualifications or makes a |
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| 49 | 49 | | similar solicitation on or after the effective date of this Act. |
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| 50 | 50 | | SECTION 3. This Act takes effect September 1, 2025. |
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