89R8417 DRS-D By: Bettencourt S.B. No. 2236 A BILL TO BE ENTITLED AN ACT relating to prohibiting certain preferences in a political subdivision contractor selection process. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter Z, Chapter 271, Local Government Code, is amended by adding Section 271.909 to read as follows: Sec. 271.909. CERTAIN CONTRACTING PREFERENCES PROHIBITED. (a) In this section, "company" means a sole proprietorship, organization, association, corporation, partnership, joint venture, limited partnership, limited liability partnership, or limited liability company, including a wholly owned subsidiary, majority-owned subsidiary, parent company, or affiliate of those entities or business associations, that exists to make a profit. (b) Notwithstanding any other law, a political subdivision may not disqualify in any way a vendor in a contractor selection process because the vendor: (1) is a company that engages in the exploration, production, use, transportation, sale, or manufacturing of fossil fuel-based energy; or (2) invests in, assists in, or does business with a company described by Subdivision (1). SECTION 2. Section 271.909, Local Government Code, as added by this Act, applies only to a contractor selection process initiated on or after the effective date of this Act. SECTION 3. This Act takes effect September 1, 2025.