During the 86th Legislative Session, a number of laws passed that require specific actions to keep the county in compliance with purchasing-related statutes.
H.B. = House Bill
S.B. = Senate Bill
• H.B. 440 – governs use of unspent proceeds of issued general obligation bonds.
• H.B. 793 – amends H.B. 89 (2017) to limit the applicability of the prohibition on certain governmental contracts with companies that boycott Israel to a contract that is between a governmental entity and a company with 10 or more full-time employees and that has a
value of $100,000 or more to be paid wholly or partly from the entity’s public funds. The bill excludes a sole proprietorship as a company for purposes of this prohibition.
• H.B. 985 – a governmental entity awarding a public work contract funded with state money, including issuance of debt guaranteed by the state, may not prohibit, require, discourage, or encourage collective bargaining. Includes contractors and subcontractors.
• H.B. 1495 – authorization for the creation of a county ethics commission in certain counties. Required disclosures for certain contracts are described.
• H.B. 1999 – applies to a claim 1) for damages to a public building/public work arising from damage to or loss of real/personal property caused by an alleged construction defect to real property, 2) asserted by a governmental entity with an interest in the public building/public work affected by the alleged construction defect, including a governmental entity whose interest arose from the purchase of the affected public building/work after any relevant construction contract was entered into or activity performed, and 3) asserted against a contractor, subcontractor, supplier, or design professional. Entity may recover cost of inspection if damages are confirmed. Requires governmental entities, before filing suit in connection with an alleged construction defect, to submit a report to potential opposing parties and provide parties with an opportunity to inspect/correct.
• H.B. 2826 – provides detailed procedures to be followed for procurement of legal services using a contingent fee contract. Before the contract is effective, must receive attorney general approval or it is void.
• H.B. 2868 – adds interior design services to the list of professional services.
• H.B. 2899 – a contractor who enters into a contract with a governmental entity would not be civilly liable/responsible for the accuracy, adequacy, sufficiency, suitability, or feasibility of any project specifications and is not liable for any damage caused by 1) a defect in those project specifications, and 2) errors, omissions, or negligent acts of a governmental entity or a third party retained by a governmental entity (see many more requirements). Definitions are provided of the contracts covered by the change. Limitation on the contractor’s responsibility for certain defects is described. A governmental entity may not require that engineering or architectural services be performed to a level of professional skill and care beyond the level that would be provided by an ordinarily prudent engineer or architect with the same professional license or under the same or similar circumstances in a contract.
• H.B. 3834 – creates state-certified cybersecurity training programs. Describes certain county employees and contractors for which cybersecurity training is required.
• H.B. 4280 – counties may obtain grants for transportation projects in areas of the state affected by increased oil and gas production. Procedures are provided.
• S.B. 22 – a county may not enter into a taxpayer resource transaction with an abortion provider or an affiliate of an abortion provider.
• S.B. 65 – record retention requirements are described for contract solicitation documents.
• S.B. 753 – relates to wage requirements for community rehabilitation programs participating in the Texas Purchasing from People with Disabilities program.
• S.B. 1720 – relates to the threshold contract amount at which a county is required to engage in a competitive purchasing procedure for certain purchases by a county road engineer. Raises the bid limit from $25,000 to $50,000.
• S.B. 1978 – a governmental entity may not take any adverse action against any person based wholly or partly on the person’s membership in, affiliation with, or contribution, donation, or other support provided to a religious organization.
• S.B. 2100 and Proposition 10 – relates to retirement of service dogs owned by a county. This allows drug dogs to be adopted by the handler if they retire. If it is necessary to find a different owner when the animal is retired, it will have to go to a trained person through a bid process.
• H.B. 81 – relates to disclosure under the public information law of certain information related to parades, concerts, and other entertainment events open to the general public that are paid for with public funds. Violation voids the contract.
• S.B. 943 – relates to disclosure of certain contracting information under the public information law. Very specific information is added about disclosures including confidentiality and other matters.
• S.B. 944 – relates to public information on private devices, ownership of information, preservation of the information, and method of making public information requests.
It is recommended that you review all of the specific bills that relate to your county and that you work with your county or district attorney to get assistance in interpreting the requirements for implementation. Most of the laws are now in effect.
By Narita Holmes, MBA, CPA, CIA
Government Procurement and Compliance Consultant
Former Ector County Purchasing Agent