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  H.B. No. 3560
 
 
 
 
AN ACT
  relating to transferring to the comptroller the duties of the Texas
  Building and Procurement Commission that do not primarily concern
  state facilities and renaming the commission the Texas Facilities
  Commission.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
  ARTICLE 1. TRANSFER OF DUTIES TO COMPTROLLER
         SECTION 1.01.  Sections 2151.002, 2151.003, and 2151.004,
  Government Code, are amended to read as follows:
         Sec. 2151.002.  DEFINITION [DEFINITIONS]. Except as
  otherwise provided by this subtitle, in this subtitle, "state
  agency"[:
               [(1)     "Commission" means the Texas Building and
  Procurement Commission.
               [(2)  "State agency"] means:
               (1) [(A)]  a department, commission, board, office, or
  other agency in the executive branch of state government created by
  the state constitution or a state statute;
               (2) [(B)]  the supreme court, the court of criminal
  appeals, a court of appeals, or the Texas Judicial Council; or
               (3) [(C)]  a university system or an institution of
  higher education as defined by Section 61.003, Education Code,
  except a public junior college.
         Sec. 2151.003.  REFERENCE. A statutory reference to the
  General Services Commission, the State Board of Control, [or] the
  State Purchasing and General Services Commission, or [means] the
  Texas Building and Procurement Commission means:
               (1)  the Texas Facilities Commission if the statutory
  reference concerns:
                     (A)  charge and control of state buildings,
  grounds, or property;
                     (B)  maintenance or repair of state buildings,
  grounds, or property;
                     (C)  construction of a state building;
                     (D)  purchase or lease of state buildings,
  grounds, or property by or for the state;
                     (E)  child care services for state employees under
  Chapter 663; or
                     (F)  surplus and salvage property; and
               (2)  the comptroller in all other circumstances, except
  as otherwise provided by law.
         Sec. 2151.004.  TRANSFER AND ALLOCATION OF POWERS AND DUTIES
  [TO DEPARTMENT OF INFORMATION RESOURCES]. (a) The powers and
  duties of the former General Services Commission under Chapter 2170
  or other law relating to providing telecommunications services for
  state government are transferred to the Department of Information
  Resources.
         (b)  A reference in law to the General Services Commission
  that relates to the powers and duties of the former General Services
  Commission under Chapter 2170 or other law relating to providing
  telecommunications services for state government is a reference to
  the Department of Information Resources.
         (c)  The Texas Facilities Commission retains the powers and
  duties of the former Texas Building and Procurement Commission
  relating to charge and control of state buildings, grounds, or
  property, maintenance or repair of state buildings, grounds, or
  property, child care services for state employees under Chapter
  663, surplus and salvage property, construction of a state
  building, or purchase or lease of state buildings, grounds, or
  property by or for the state.
         (d)  Except as provided by Subsection (a) or (c) or other
  law, all other powers and duties of the Texas Building and
  Procurement Commission are transferred to the comptroller.
         SECTION 1.02.  Chapter 2151, Government Code, is amended by
  adding Section 2151.0041 to read as follows:
         Sec. 2151.0041.  SUNSET PROVISION. (a) The transfer of
  powers and duties to the comptroller under Section 2151.004(d) and
  under House Bill 3560, Acts of the 80th Legislature, Regular
  Session, 2007, is subject to Chapter 325 (Texas Sunset Act).
         (b)  The Sunset Advisory Commission shall evaluate the
  transfer of powers and duties to the comptroller under Section
  2151.004(d) and under House Bill 3560, Acts of the 80th
  Legislature, Regular Session, 2007, and present to the 82nd
  Legislature a report on its evaluation and recommendations in
  relation to the transfer. The comptroller shall perform all duties
  in relation to the evaluation that a state agency subject to review
  under Chapter 325 would perform in relation to a review.
         (c)  Unless otherwise provided by the legislature by law, on
  September 1, 2011:
               (1)  the powers and duties transferred to the
  comptroller under Section 2151.004(d) and under House Bill 3560,
  Acts of the 80th Legislature, Regular Session, 2007, are
  transferred to the Texas Facilities Commission;
               (2)  a reference in law to the comptroller relating to a
  power or duty transferred under this subsection means the Texas
  Facilities Commission;
               (3)  a rule or form adopted by the comptroller relating
  to a power or duty transferred under this subsection is a rule or
  form of the Texas Facilities Commission and remains in effect until
  altered by the commission;
               (4)  all obligations, contracts, proceedings, cases,
  negotiations, funds, and employees of the comptroller relating to a
  power or duty transferred under this subsection are transferred to
  the Texas Facilities Commission;
               (5)  all property and records in the custody of the
  comptroller relating to a power or duty transferred under this
  subsection and all funds appropriated by the legislature for
  purposes related to a power or duty transferred under this
  subsection are transferred to the Texas Facilities Commission; and
               (6)  Section 122.0011, Human Resources Code, and the
  following provisions of the Government Code expire:
                     (A)  Sections 2151.004(c) and (d);
                     (B)  Section 2155.0011;
                     (C)  Section 2155.086;
                     (D)  Section 2155.087;
                     (E)  Section 2156.0011;
                     (F)  Section 2157.0011;
                     (G)  Section 2158.0011;
                     (H)  Section 2161.0011;
                     (I)  Section 2163.0011;
                     (J)  Section 2170.0011;
                     (K)  Section 2171.0011;
                     (L)  Section 2172.0011;
                     (M)  Section 2176.0011;
                     (N)  Section 2177.0011; and
                     (O)  Section 2262.0011.
         SECTION 1.03.  The heading to Chapter 2152, Government Code,
  is amended to read as follows:
  CHAPTER 2152. TEXAS FACILITIES [BUILDING AND PROCUREMENT]
  COMMISSION
         SECTION 1.04.  Section 2152.001, Government Code, is amended
  to read as follows:
         Sec. 2152.001.  COMMISSION. The Texas Facilities [Building
  and Procurement] Commission is an agency of the state.
         SECTION 1.05.  Subchapter A, Chapter 2152, Government Code,
  is amended by adding Section 2152.0011 to read as follows:
         Sec. 2152.0011.  TEXAS FACILITIES COMMISSION; DEFINITION.
  (a) The Texas Building and Procurement Commission is renamed the
  Texas Facilities Commission.
         (b)  In this chapter, "commission" or "Texas Building and
  Procurement Commission" means the Texas Facilities Commission.
         SECTION 1.06.  Subchapter A, Chapter 2155, Government Code,
  is amended by adding Sections 2155.0011 and 2155.0012 to read as
  follows:
         Sec. 2155.0011.  TRANSFER OF DUTIES; REFERENCE. (a) The
  powers and duties of the commission under this chapter are
  transferred to the comptroller.
         (b)  In this chapter, a reference to the commission means the
  comptroller.
         Sec. 2155.0012.  AUTHORITY TO ADOPT RULES. The comptroller
  may adopt rules to efficiently and effectively administer this
  chapter. Before adopting a rule under this section, the
  comptroller must conduct a public hearing regarding the proposed
  rule regardless of whether the requirements of Section 2001.029(b)
  are met.
         SECTION 1.07.  Section 2155.003, Government Code, is amended
  to read as follows:
         Sec. 2155.003.  CONFLICT OF INTEREST. (a) The chief clerk
  or any other [A commission member,] employee of the comptroller [,
  or appointee] may not:
               (1)  have an interest in, or in any manner be connected
  with, a contract or bid for a purchase of goods or services by an
  agency of the state; or
               (2)  in any manner, including by rebate or gift, accept
  or receive from a person to whom a contract may be awarded, directly
  or indirectly, anything of value or a promise, obligation, or
  contract for future reward or compensation.
         (b)  The chief clerk or any other [A commission member,]
  employee of the comptroller [, or appointee] who violates
  Subsection (a)(2) is subject to dismissal.
         (c)  In consultation with the comptroller, the Texas Ethics
  Commission shall adopt rules to implement this section.
         (d)  The Texas Ethics Commission shall administer and
  enforce this section and may prepare written opinions regarding
  this section in accordance with Subchapter D, Chapter 571.
         (e)  The comptroller must report to the Texas Ethics
  Commission a campaign contribution from a vendor that bids on or
  receives a contract under the comptroller's purchasing authority.
         SECTION 1.08.  Subchapter B, Chapter 2155, Government Code,
  is amended by adding Sections 2155.086 and 2155.087 to read as
  follows:
         Sec. 2155.086.  PROCEDURES FOR AWARDING CERTAIN CONTRACTS.
  (a) In this section and in Section 2155.087, "chief clerk" means the
  chief clerk of the comptroller or the chief clerk's designee.
         (b)  This section applies only to the award of a contract by
  the comptroller that:
               (1)  relates to the powers and duties transferred to
  the comptroller under Section 2151.004(d);
               (2)  is reasonably expected by the comptroller at the
  time of the award to have a value of $100,000 or more over the life
  of the contract; and
               (3)  is evaluated based wholly or partly on best value
  factors other than cost.
         (c)  This section does not apply to:
               (1)  any part of the contracting process other than the
  award, including planning, budgeting, solicitation, pre-response
  conference, respondent presentation, evaluation, development of
  staff or evaluation committee recommendations, negotiation, and
  signature;
               (2)  a renewal, extension, or amendment of a contract
  provided for in the written solicitation for the original contract;
  or
               (3)  an emergency purchase or other contract award for
  which delay would create a hazard to life, health, safety, welfare,
  or property or would cause undue additional cost to the state.
         (d)  A contract to which this section applies must be awarded
  in a public meeting chaired and conducted by the chief clerk. The
  chief clerk shall determine the time and location for the meeting.
  The meeting must comply with applicable provisions of Chapter 551,
  including requirements relating to posting notice of the meeting.
  The comptroller shall also post notice of the meeting on the
  comptroller's website and in the state business daily. The office
  of the attorney general shall advise the comptroller on the
  applicable provisions of Chapter 551.
         (e)  Before the meeting, the chief clerk may review any
  written recommendations for the proposed contract award submitted
  by the comptroller's staff or by an evaluation committee
  established by the comptroller for the proposed contract. The chief
  clerk shall make the staff's or committee's final written
  recommendations available to the public at the meeting.
         (f)  A contract awarded by the chief clerk under this section
  is not considered final and does not bind the state until all
  negotiations are completed, if applicable, and all parties to the
  contract have signed the final contract.
         (g)  The comptroller shall post notice of a contract award
  made in an open meeting under this section on the comptroller's
  website and in the state business daily.
         (h)  The comptroller shall post the text of a contract
  awarded in an open meeting under this section on the comptroller's
  website and in the state business daily, except for information in a
  contract that is not subject to disclosure under Chapter 552.
  Information that is not subject to disclosure under Chapter 552
  must be referenced in an appendix that generally describes the
  information without disclosing the specific content of the
  information.
         Sec. 2155.087.  STATEWIDE PROCUREMENT ADVISORY COUNCIL. (a)
  In this section, "council" means the Statewide Procurement Advisory
  Council.
         (b)  The Statewide Procurement Advisory Council consists of
  the following four members or their designees:
               (1)  one member appointed by the governor;
               (2)  one member appointed by the Texas Facilities
  Commission;
               (3)  one member appointed by the Department of
  Information Resources; and
               (4)  one member appointed by the Legislative Budget
  Board.
         (c)  The comptroller shall adopt rules describing the
  purpose and tasks of the council as provided by Section 2110.005.
  Before adopting a rule under this subsection, the comptroller must
  conduct a public hearing regarding the proposed rule regardless of
  whether the requirements of Section 2001.029(b) are met.
         (d)  A quorum of the council shall attend each meeting under
  Section 2155.086 in which the chief clerk awards a contract. In the
  meeting, the council shall make recommendations to and advise the
  chief clerk in a manner consistent with the established purpose and
  tasks of the council.
         SECTION 1.09.  Section 2155.144(k), Government Code, is
  amended to read as follows:
         (k)  Subject to Section 531.0055(c), the Health and Human
  Services Commission, in cooperation with the comptroller, shall
  establish a central contract management database that identifies
  each contract made with a health and human services agency. The
  comptroller [commission] may use the database to monitor health and
  human services agency contracts, and health and human services
  agencies may use the database in contracting. A state agency shall
  send to the comptroller [commission] in the manner prescribed by
  the comptroller [commission] the information the agency possesses
  that the comptroller [commission] requires for inclusion in the
  database.
         SECTION 1.10.  Section 2155.322(b), Government Code, is
  amended to read as follows:
         (b)  If state law requires that a payment for the goods or
  services be made on a warrant drawn or an electronic funds transfer
  initiated by the comptroller or a state agency with delegated
  authority under Section 403.060, promptly after the later of the
  receipt of the invoice or the receipt of the goods or services, the
  agency shall send to the comptroller the certification, together
  with the financial information and purchase information provided by
  the invoice and purchase voucher, on a form or in the manner
  prescribed [agreed to] by the comptroller [and the commission].
         SECTION 1.11.  Section 2155.323(b), Government Code, is
  amended to read as follows:
         (b)  If the comptroller approves the financial information,
  the comptroller shall determine whether [commission rules require
  the commission to audit] the purchase information should also be
  audited under Section 2155.324. [If a commission audit is
  required, the comptroller shall promptly send the certification and
  purchase information to the commission using the method and format
  agreed to by the comptroller and the commission.]
         SECTION 1.12.  Section 2155.324, Government Code, is amended
  to read as follows:
         Sec. 2155.324.  PURCHASE [COMMISSION] AUDIT. (a) When [Not
  later than the eighth day after the date the commission receives the
  certification and purchase information required by this subchapter
  from] the comptroller considers a purchase audit to be advisable,
  the comptroller[, the commission] shall audit the purchase
  information for compliance with applicable purchasing statutes and
  [commission] rules.
         (b)  The comptroller [commission] may determine the auditing
  method used under this section, including stratified or statistical
  sampling techniques.
         [(c)     The commission shall notify the comptroller of the
  results of the commission's audit, using the method and format
  agreed to by the commission and the comptroller.]
         SECTION 1.13.  Section 2155.325, Government Code, is amended
  to read as follows:
         Sec. 2155.325.  PURCHASE [COMMISSION] AUDIT AFTER ISSUANCE
  OF WARRANT. (a) The comptroller [commission] may audit purchase
  information after a warrant has been issued if the audit will
  expedite the payment process.
         (b)  For audits under this section, the comptroller
  [commission] by rule shall:
               (1)  determine the types of purchases that will be
  audited after a warrant is issued; and
               (2)  specify the purchase information that a state
  agency must send to the comptroller [or the commission] before a
  warrant is issued.
         [(c)     For purchases audited after a warrant is issued, the
  comptroller shall send the certification and purchase information
  received by the comptroller under Section 2155.322(b) to the
  commission under commission rules.]
         SECTION 1.14.  Section 2155.326, Government Code, is amended
  to read as follows:
         Sec. 2155.326.  AUDIT BY STATE AUDITOR [UPDATE OF COMMISSION
  FILES AND RECORDS]. Transactions, processes, and the performance
  of functions under this chapter and Chapters 2156, 2157, and 2158
  are subject to audit by the state auditor under Chapter 321. [To
  enable the commission to update periodically computer records and
  close purchase order files, the comptroller shall, on request,
  furnish the commission with information detailing all vouchers paid
  under this subchapter and Section 2155.132.]
         SECTION 1.15.  Section 2155.381, Government Code, is amended
  to read as follows:
         Sec. 2155.381.  INVOICE.  (a) The contractor or seller of
  goods or services contracted for by the comptroller [commission]
  shall submit an invoice to the ordering agency at the address shown
  on the purchase order.
         (b)  The invoice shall be prepared and submitted as provided
  by [commission] rule of the comptroller.
         SECTION 1.16.  Section 2155.382(a), Government Code, is
  amended to read as follows:
         (a)  After the comptroller approves [and the commission have
  approved] financial information and purchase information, when
  advance approval of that information is required by [commission]
  rule of the comptroller, the comptroller shall draw a warrant on the
  state treasury for:
               (1)  the amount due on the invoice; or
               (2)  the amount on the invoice that has been allowed.
         SECTION 1.17.  Section 2155.503, Government Code, is amended
  to read as follows:
         Sec. 2155.503.  RULES. (a) The comptroller [commission]
  and the department shall adopt rules to implement this subchapter.
  The rules must:
               (1)  establish standard terms for contracts listed on a
  schedule; and
               (2)  maintain consistency with existing purchasing
  standards.
         (b)  The comptroller [commission] and the department shall
  consult with the attorney general [and the comptroller] in
  developing rules under this section.
         SECTION 1.18.  Subchapter A, Chapter 2156, Government Code,
  is amended by adding Sections 2156.0011 and 2156.0012 to read as
  follows:
         Sec. 2156.0011.  TRANSFER OF DUTIES; REFERENCE. (a) The
  powers and duties of the commission under this chapter are
  transferred to the comptroller.
         (b)  In this chapter, a reference to the commission means the
  comptroller.
         Sec. 2156.0012.  AUTHORITY TO ADOPT RULES. The comptroller
  may adopt rules to efficiently and effectively administer this
  chapter. Before adopting a rule under this section, the
  comptroller must conduct a public hearing regarding the proposed
  rule regardless of whether the requirements of Section 2001.029(b)
  are met.
         SECTION 1.19.  Subchapter A, Chapter 2157, Government Code,
  is amended by adding Sections 2157.0011 and 2157.0012 to read as
  follows:
         Sec. 2157.0011.  TRANSFER OF DUTIES; REFERENCE. (a) The
  powers and duties of the commission under this chapter are
  transferred to the comptroller.
         (b)  In this chapter, a reference to the commission means the
  comptroller.
         Sec. 2157.0012.  AUTHORITY TO ADOPT RULES.  The comptroller
  may adopt rules to efficiently and effectively administer this
  chapter. Before adopting a rule under this section, the
  comptroller must conduct a public hearing regarding the proposed
  rule regardless of whether the requirements of Section 2001.029(b)
  are met.
         SECTION 1.20.  Subchapter A, Chapter 2158, Government Code,
  is amended by adding Sections 2158.0011 and 2158.0012 to read as
  follows:
         Sec. 2158.0011.  TRANSFER OF DUTIES; REFERENCE. (a) The
  powers and duties of the commission under this chapter are
  transferred to the comptroller.
         (b)  In this chapter, a reference to the commission means the
  comptroller.
         Sec. 2158.0012.  AUTHORITY TO ADOPT RULES.  The comptroller
  may adopt rules to efficiently and effectively administer this
  chapter. Before adopting a rule under this section, the
  comptroller must conduct a public hearing regarding the proposed
  rule regardless of whether the requirements of Section 2001.029(b)
  are met.
         SECTION 1.21.  Subchapter A, Chapter 2161, Government Code,
  is amended by adding Sections 2161.0011 and 2161.0012 to read as
  follows:
         Sec. 2161.0011.  TRANSFER OF DUTIES; REFERENCE. (a) The
  powers and duties of the commission under this chapter are
  transferred to the comptroller.
         (b)  In this chapter, a reference to the commission means the
  comptroller.
         Sec. 2161.0012.  AUTHORITY TO ADOPT RULES. (a) The
  comptroller may adopt rules to efficiently and effectively
  administer this chapter. Before adopting a rule under this
  section, the comptroller must conduct a public hearing regarding
  the proposed rule regardless of whether the requirements of Section
  2001.029(b) are met.
         (b)  The comptroller shall follow the procedures prescribed
  by Subchapter B, Chapter 2001, when adopting a new rule or a change
  to an existing rule that relates to historically underutilized
  businesses.
         SECTION 1.22.  Section 2161.061, Government Code, is amended
  by adding Subsection (e) to read as follows:
         (e)  A local government or a nonprofit organization that
  certifies historically underutilized businesses under Subsection
  (c) or that conducts a certification program described by and
  approved under Subsection (b) shall make available to the public an
  online searchable database containing information about
  historically underutilized businesses, minority business
  enterprises, women's business enterprises, and disadvantaged
  business enterprises certified by the local government or nonprofit
  organization, including:
               (1)  the name of the business;
               (2)  the contact person or owner of the business;
               (3)  the address and telephone number of the business;
               (4)  the type or category of business, including
  relevant capabilities of the business and the North American
  Industry Classification System codes for the business; and
               (5)  the expiration date of the business's
  certification.
         SECTION 1.23.  Sections 2161.123(d) and (e), Government
  Code, are amended to read as follows:
         (d)  The commission and the state auditor shall cooperate to
  develop procedures providing for random periodic monitoring of
  state agency compliance with this section. The state auditor shall
  report to the commission a state agency that is not complying with
  this section. In determining whether a state agency is making a
  good faith effort to comply, the state auditor shall consider
  whether the agency:
               (1)  has adopted rules under Section 2161.003;
               (2)  has used the commission's directory under Section
  2161.064 and other resources to identify historically
  underutilized businesses that are able and available to contract
  with the agency;
               (3)  made good faith, timely efforts to contact
  identified historically underutilized businesses regarding
  contracting opportunities; [and]
               (4)  conducted its procurement program in accordance
  with the good faith effort methodology set out in commission rules;
  and
               (5)  established goals for contracting with
  historically underutilized businesses in each procurement category
  based on:
                     (A)  scheduled fiscal year expenditures; and
                     (B)  the availability of historically
  underutilized businesses in each category as determined by rules
  adopted under Section 2161.002.
         (e)  In conducting an audit of an agency's compliance with
  this section or an agency's making of a good faith effort to
  implement the plan adopted under this section, the state auditor
  shall [not] consider the success or failure of the agency to
  contract with historically underutilized businesses in accordance
  with the agency's goals described by Subsection (d)(5) [in any
  specific quantity. The state auditor's review shall be restricted
  to the agency's procedural compliance with Subsection (d)].
         SECTION 1.24.  Section 2161.125, Government Code, is amended
  to read as follows:
         Sec. 2161.125.  CATEGORIZATION BY SEX, RACE, AND ETHNICITY.
  The comptroller [commission], in cooperation with [the comptroller
  and] each state agency reporting under this subchapter, shall
  categorize each historically underutilized business included in a
  report under this subchapter by sex, race, and ethnicity.
         SECTION 1.25.  Section 2161.127, Government Code, is amended
  to read as follows:
         Sec. 2161.127.  LEGISLATIVE APPROPRIATIONS REQUESTS. (a)
  Each state agency must include as part of its legislative
  appropriations request a detailed report for consideration by the
  budget committees of the legislature that shows the extent to which
  the agency complied with this chapter and rules of the commission
  adopted under this chapter during the two calendar years preceding
  the calendar year in which the request is submitted. To the extent
  the state agency did not comply, the report must demonstrate the
  reasons for that fact. The extent to which a state agency complies
  with this chapter and rules of the commission adopted under this
  chapter is considered a key performance measure for purposes of the
  appropriations process.
         (b)  The report under Subsection (a) must include:
               (1)  the agency's goals established under Section
  2161.123(d)(5) for contracting with historically underutilized
  businesses during the two calendar years preceding the calendar
  year in which the request is submitted;
               (2)  a statement regarding whether the goals
  established under Section 2161.123(d)(5) were met during the two
  calendar years preceding the calendar year in which the request is
  submitted; and
               (3)  if the goals established under Section
  2161.123(d)(5) were not met during the two calendar years preceding
  the calendar year in which the request is submitted:
                     (A)  a statement of the percentage by which the
  agency's actual use of historically underutilized businesses
  deviated from the agency's goals; and
                     (B)  an explanation of why the goals were not met.
         SECTION 1.26.  Section 2162.051(a), Government Code, is
  amended to read as follows:
         (a)  The State Council on Competitive Government consists of
  the following individuals or the individuals they designate:
               (1)  the governor;
               (2)  the lieutenant governor;
               (3)  the comptroller;
               (4)  the speaker of the house of representatives;
               (5)  the [commission's] presiding officer of the Texas
  Facilities Commission; [and]
               (6)  the commissioner of the Texas Workforce Commission
  representing labor; and
               (7)  the land commissioner.
         SECTION 1.27.  Subchapter B, Chapter 2162, Government Code,
  is amended by adding Section 2162.053 to read as follows:
         Sec. 2162.053.  ADMINISTRATION BY COMPTROLLER. (a) The
  comptroller shall provide offices for the council and shall provide
  the council with legal, technical, administrative, and other
  support necessary to carry out its powers and duties.
         (b)  Any administrative powers or duties of the Texas
  Building and Procurement Commission with respect to the council are
  transferred to the comptroller.
         SECTION 1.28.  Section 2162.102(c), Government Code, is
  amended to read as follows:
         (c)  In performing its duties under this chapter, the council
  may:
               (1)  require a state agency to conduct a hearing,
  study, review, or cost estimate, including an agency in-house cost
  estimate or a management study, concerning any aspect of a service
  identified under Subsection (a);
               (2)  develop and require state agencies to use methods
  to accurately and fairly estimate and account for the cost of
  providing a service identified under Subsection (a);
               (3)  require that a service identified under Subsection
  (a) be submitted to competitive bidding or another process that
  creates competition with private commercial sources;
               (4)  prescribe, after consulting affected state
  agencies, the specifications and conditions of purchase procedures
  that must be followed by the comptroller [commission] and a state
  agency or a private commercial source engaged in competitive
  bidding to provide a service identified under Subsection (a);
               (5)  award a contract to a state agency providing the
  service, another state agency, a private commercial source, or a
  combination of those entities, if the bidder presents the best and
  most reasonable bid, which is not necessarily the lowest bid; and
               (6)  determine the terms of a contract for service or
  interagency contract to provide a service identified under
  Subsection (a).
         SECTION 1.29.  Chapter 2163, Government Code, is amended by
  adding Sections 2163.0011 and 2163.0012 to read as follows:
         Sec. 2163.0011.  TRANSFER OF DUTIES; REFERENCE. (a) The
  powers and duties of the commission under this chapter are
  transferred to the comptroller.
         (b)  In this chapter, a reference to the commission means the
  comptroller.
         Sec. 2163.0012.  AUTHORITY TO ADOPT RULES.  The comptroller
  may adopt rules to efficiently and effectively administer this
  chapter. Before adopting a rule under this section, the
  comptroller must conduct a public hearing regarding the proposed
  rule regardless of whether the requirements of Section 2001.029(b)
  are met.
         SECTION 1.30.  Subchapter A, Chapter 2165, Government Code,
  is amended by adding Sections 2165.0011 and 2165.0012 to read as
  follows:
         Sec. 2165.0011.  DEFINITION. In this chapter, "commission"
  means the Texas Facilities Commission.
         Sec. 2165.0012.  AUTHORITY TO ADOPT RULES. The commission
  may adopt rules to efficiently and effectively administer this
  chapter.
         SECTION 1.31.  Section 2166.001, Government Code, is amended
  by amending Subdivision (1) and adding Subdivision (1-a) to read as
  follows:
               (1)  "Commission" means the Texas Facilities
  Commission.
               (1-a)  "Construction" includes acquisition and
  reconstruction.
         SECTION 1.32.  Subchapter A, Chapter 2167, Government Code,
  is amended by adding Section 2167.0011 to read as follows:
         Sec. 2167.0011.  DEFINITION. In this chapter, "commission"
  means the Texas Facilities Commission.
         SECTION 1.33.  Subchapter A, Chapter 2170, Government Code,
  is amended by adding Sections 2170.0011 and 2170.0012 to read as
  follows:
         Sec. 2170.0011.  TRANSFER OF DUTIES; REFERENCE. (a) Any
  remaining powers and duties of the commission under this chapter
  are transferred to the comptroller.
         (b)  Subject to Section 2151.004(b), in this chapter a
  reference to the commission means the comptroller.
         Sec. 2170.0012.  AUTHORITY TO ADOPT RULES.  The comptroller
  may adopt rules to efficiently and effectively administer the
  comptroller's powers and duties under this chapter. Before
  adopting a rule under this section, the comptroller must conduct a
  public hearing regarding the proposed rule regardless of whether
  the requirements of Section 2001.029(b) are met.
         SECTION 1.34.  Subchapter A, Chapter 2171, Government Code,
  is amended by adding Section 2171.0011 to read as follows:
         Sec. 2171.0011.  TRANSFER OF DUTIES; REFERENCE. (a) The
  powers and duties of the commission under this chapter are
  transferred to the comptroller.
         (b)  In this chapter, a reference to the commission means the
  comptroller.
         SECTION 1.35.  Section 2171.002, Government Code, is amended
  to read as follows:
         Sec. 2171.002.  RULES.  (a) The comptroller [commission]
  shall adopt rules to implement this chapter, including rules
  related to:
               (1)  the structure of the comptroller's [commission's]
  travel agency contracts;
               (2)  the procedures the comptroller [commission] uses
  in requesting and evaluating bids or proposals for travel agency
  contracts; and
               (3)  the use by state agencies of negotiated contract
  rates for travel services.
         (b)  Before adopting a rule under this section, the
  comptroller must conduct a public hearing regarding the proposed
  rule regardless of whether the requirements of Section 2001.029(b)
  are met.
         SECTION 1.36.  Section 2171.056(e), Government Code, is
  amended to read as follows:
         (e)  The comptroller [commission] shall adopt rules related
  to exemptions from the prohibition prescribed by Subsection (b).
  [To facilitate the audit of the travel vouchers, the commission
  shall consult with the comptroller before the commission adopts
  rules or procedures under Subsection (b).]
         SECTION 1.37.  Chapter 2172, Government Code, is amended by
  adding Sections 2172.0011 and 2172.0012 to read as follows:
         Sec. 2172.0011.  TRANSFER OF DUTIES; REFERENCE. (a) The
  powers and duties of the commission under this chapter are
  transferred to the comptroller.
         (b)  In this chapter, a reference to the commission means the
  comptroller.
         Sec. 2172.0012.  AUTHORITY TO ADOPT RULES.  The comptroller
  may adopt rules to efficiently and effectively administer this
  chapter. Before adopting a rule under this section, the
  comptroller must conduct a public hearing regarding the proposed
  rule regardless of whether the requirements of Section 2001.029(b)
  are met.
         SECTION 1.38.  Section 2175.001, Government Code, is amended
  by adding Subdivision (1-a) to read as follows:
               (1-a)  "Commission" means the Texas Facilities
  Commission.
         SECTION 1.39.  Subchapter A, Chapter 2176, Government Code,
  is amended by adding Section 2176.0011 to read as follows:
         Sec. 2176.0011.  TRANSFER OF DUTIES; REFERENCE. (a) The
  powers and duties of the commission under this chapter are
  transferred to the comptroller.
         (b)  In this chapter, a reference to the commission means the
  comptroller.
         SECTION 1.40.  Section 2176.053, Government Code, is amended
  to read as follows:
         Sec. 2176.053.  DELIVERY OF STATE WARRANTS. State warrants
  may be delivered in a manner agreed to by the comptroller[, the
  commission,] and the affected agency.
         SECTION 1.41.  Section 2176.110, Government Code, is amended
  to read as follows:
         Sec. 2176.110.  RULES.  The comptroller [commission] shall
  adopt rules for state agencies to implement this chapter
  [subchapter]. Before adopting a rule under this section, the
  comptroller must conduct a public hearing regarding the proposed
  rule regardless of whether the requirements of Section 2001.029(b)
  are met.
         SECTION 1.42.  Subchapter A, Chapter 2177, Government Code,
  is amended by adding Sections 2177.0011 and 2177.0012 to read as
  follows:
         Sec. 2177.0011.  TRANSFER OF DUTIES; REFERENCE. (a) The
  powers and duties of the commission under this chapter are
  transferred to the comptroller.
         (b)  In this chapter, a reference to the commission means the
  comptroller.
         Sec. 2177.0012.  AUTHORITY TO ADOPT RULES. The comptroller
  may adopt rules to efficiently and effectively administer this
  chapter. Before adopting a rule under this section, the
  comptroller must conduct a public hearing regarding the proposed
  rule regardless of whether the requirements of Section 2001.029(b)
  are met.
         SECTION 1.43.  Section 22.008(d), Government Code, is
  amended to read as follows:
         (d)  The reporter shall return the record, with briefs and
  opinions, to the clerk when the report is completed and from time to
  time shall deliver the reports to the comptroller [State Purchasing
  and General Services Commission] for publication. Each volume
  shall be copyrighted in the name of the reporter, who immediately on
  delivery of the edition shall transfer and assign it to the state.
  The edition shall be electrotyped. The state owns the plates, and
  the comptroller [State Purchasing and General Services Commission]
  shall preserve them.
         SECTION 1.44.  Section 325.017(e), Government Code, is
  amended to read as follows:
         (e)  Unless the governor designates an appropriate state
  agency as prescribed by Subsection (f), property and records in the
  custody of an abolished state agency or advisory committee on
  September 1 of the even-numbered year after abolishment shall be
  transferred to the comptroller [State Purchasing and General
  Services Commission]. If the governor designates an appropriate
  state agency, the property and records shall be transferred to the
  designated state agency.
         SECTION 1.45.  Section 403.251, Government Code, is amended
  to read as follows:
         Sec. 403.251.  ADDITIONAL DUTIES OF COMPTROLLER
  [COMMISSION]. The comptroller [commission] shall treat
  documentation submitted [to the commission] by a state agency as
  part of the procedure for replenishing a petty cash account as a
  proposed expenditure of appropriated funds. The comptroller
  [commission] shall follow its usual procedures for reviewing
  purchases. The comptroller [commission] shall give the agency a
  written approval or disapproval of each disbursement from the petty
  cash account.
         SECTION 1.46.  Section 441.106, Government Code, is amended
  to read as follows:
         Sec. 441.106.  PAYMENT FOR PRINTING OF STATE PUBLICATIONS.
  If a state agency's printing is done by contract, an account for the
  printing may not be approved and a warrant may not be issued unless
  the agency first furnishes to the comptroller [Texas Building and
  Procurement Commission] a receipt from the state librarian for the
  publication or a written waiver from the state librarian exempting
  the publication from this subchapter.
         SECTION 1.47.  Sections 441.194(a) and (b), Government Code,
  are amended to read as follows:
         (a)  Unless otherwise provided by law, the comptroller
  [General Services Commission] shall take custody of the records of
  a state agency that is abolished by the legislature and whose duties
  and responsibilities are not transferred to another state agency.
         (b)  Unless the requirement is waived by the state records
  administrator, the records management officer of the comptroller
  [General Services Commission], or of another state agency that
  receives custody of the records pursuant to law, shall prepare and
  submit to the state archivist and the state records administrator a
  list of the records of the abolished state agency within 180 days of
  the effective date of the agency's abolition.
         SECTION 1.48.  Section 444.021(a), Government Code, is
  amended to read as follows:
         (a)  The commission shall:
               (1)  foster the development of a receptive climate for
  the arts that will culturally enrich and benefit state citizens in
  their daily lives;
               (2)  make visits and vacations to the state more
  appealing to the world;
               (3)  attract, through appropriate programs of
  publicity and education, additional outstanding artists to become
  state residents;
               (4)  direct activities such as the sponsorship of
  lectures and exhibitions and the central compilation and
  dissemination of information on the progress of the arts in the
  state;
               (5)  provide advice to the comptroller [General
  Services commission], Texas Historical Commission, Texas State
  Library, Texas Tourist Development Agency, Texas Department of
  Transportation, and other state agencies to provide a concentrated
  state effort in encouraging and developing an appreciation for the
  arts in the state;
               (6)  provide advice relating to the creation,
  acquisition, construction, erection, or remodeling by the state of
  a work of art; and
               (7)  provide advice, on request of the governor,
  relating to the artistic character of buildings constructed,
  erected, or remodeled by the state.
         SECTION 1.49.  Section 465.0082, Government Code, is amended
  to read as follows:
         Sec. 465.0082.  PURCHASING RULES. The commission shall
  adopt rules to guide its purchases of supplies, materials,
  services, and equipment to carry out eligible undertakings as
  defined by Section 465.021. The commission shall use as a guide,
  whenever consistent with the commission's purposes, the rules of
  the comptroller [State Purchasing and General Services
  Commission].
         SECTION 1.50.  Section 465.018(b), Government Code, is
  amended to read as follows:
         (b)  This section does not prohibit the commission from using
  the comptroller's purchasing [General Services Commission's]
  services.
         SECTION 1.51.  Section 466.104, Government Code, is amended
  to read as follows:
         Sec. 466.104.  ASSISTANCE OF COMPTROLLER [GENERAL SERVICES
  COMMISSION]. (a) On request of the executive director, the
  comptroller [General Services Commission] shall assist the
  executive director in:
               (1)  acquiring facilities, supplies, materials,
  equipment, and services under Subtitle D, Title 10; or
               (2)  establishing procedures for the executive
  director's accelerated acquisition of facilities, supplies,
  materials, equipment, and services for the operation of the
  lottery.
         (b)  The comptroller may request assistance from the Texas
  Facilities Commission in performing its facilities-related duties
  under this section.
         SECTION 1.52.  Section 481.027(f), Government Code, is
  amended to read as follows:
         (f)  The comptroller [General Services Commission] may, at
  the request of a state agency, provide to the agency services
  exempted from the application of Subtitle D, Title 10 under
  Subsection (e). Chapter 771 does not apply to services provided
  under this subsection. The comptroller [commission] shall
  establish a system of charges and billings that ensures recovery of
  the cost of providing the services and shall submit a purchase
  voucher or a journal voucher, after the close of each month, to the
  agency for which services were performed.
         SECTION 1.53.  Section 496.0515(b), Government Code, is
  amended to read as follows:
         (b)  The department shall promulgate procedures for the
  purpose of purchasing under Subsection (a). The department shall
  file copies of the procedures promulgated under this subsection
  with the comptroller [General Services Commission].
         SECTION 1.54.  Section 497.024(b), Government Code, is
  amended to read as follows:
         (b)  If the comptroller [General Services Commission]
  determines that an article or product produced by the office under
  this subchapter does not meet the requirements of an agency of the
  state or a political subdivision, or that the office has determined
  that the office is unable to fill a requisition for an article or
  product, the agency or subdivision may purchase the article or
  product from another source.
         SECTION 1.55.  Sections 497.025(a) and (c), Government Code,
  are amended to read as follows:
         (a)  An agency of the state that purchases articles and
  products under this subchapter must requisition the purchase
  through the comptroller [General Services Commission] except for
  purchases of articles or products not included in an established
  contract. The purchase of articles or products not included in an
  established contract and that do not exceed the dollar limits
  established under Section 2155.132 may be acquired directly from
  the office on the agency's obtaining an informal or a formal
  quotation for the item and issuing a proper purchase order to the
  office. The comptroller [General Services Commission] and the
  department shall enter into an agreement to expedite the process by
  which agencies are required to requisition purchases of articles or
  products through the comptroller [commission].
         (c)  If an agency or political subdivision purchasing goods
  under this subchapter desires to purchase goods or articles from
  the office, it may do so without complying with any other state law
  otherwise requiring the agency or political subdivision to request
  competitive bids for the article or product. Nothing herein shall
  be interpreted to require a political subdivision to purchase goods
  or articles from the office if the political subdivision determines
  that the goods or articles can be purchased elsewhere at a lower
  price. An agency may decline to purchase goods or articles from the
  office if the agency determines, after giving the office a final
  opportunity to negotiate on price, and the comptroller [General
  Services Commission] certifies, that the goods or articles can be
  purchased elsewhere at a lower price.
         SECTION 1.56.  Section 497.026, Government Code, is amended
  to read as follows:
         Sec. 497.026.  PRICES. The office and the comptroller
  [General Services Commission] shall determine the sales price of
  articles and products produced under this subchapter.
         SECTION 1.57.  Section 497.027, Government Code, is amended
  to read as follows:
         Sec. 497.027.  SPECIFICATIONS. (a) The comptroller
  [General Services Commission] shall establish specifications for
  articles and products produced under this subchapter. An article
  or product produced under this subchapter must meet specifications
  established under this subsection in effect when the article or
  product is produced.
         (b)  The office may manufacture articles and products to meet
  commercial specifications for the article or product if the
  comptroller [General Services Commission] has not established
  specifications for the article or product and the comptroller
  [commission] approves the commercial specifications.
         SECTION 1.58.  Section 497.029, Government Code, is amended
  to read as follows:
         Sec. 497.029.  NEW ARTICLES AND PRODUCTS. The comptroller
  [General Services Commission] may request the office to produce
  additional articles or products under this subchapter.
         SECTION 1.59.  Section 497.030, Government Code, is amended
  to read as follows:
         Sec. 497.030.  COMPTROLLER [GENERAL SERVICES COMMISSION]
  REPORTS. (a) Not later than the 31st day before the first day of
  each fiscal year, the comptroller [General Services Commission]
  shall submit to the office a report that summarizes the types and
  amounts of articles and products sold under this subchapter in the
  preceding nine months.
         (b)  Not later than the 100th day after the last day of each
  fiscal year, the comptroller [General Services Commission] shall
  submit to the office a report that states the types and amounts of
  articles and products sold under this subchapter in the preceding
  fiscal year.
         (c)  A report submitted by the comptroller [General Services
  Commission] under this section must describe the articles and
  products to the extent possible in the manner those articles and
  products are described in catalogs prepared under Section 497.028.
         SECTION 1.60.  Section 531.0312(b), Government Code, is
  amended to read as follows:
         (b)  The commission shall cooperate with the Records
  Management Interagency Coordinating Council and the comptroller
  [General Services Commission] to establish a single method of
  categorizing information about health and human services to be used
  by the Records Management Interagency Coordinating Council and the
  Texas Information and Referral Network. The network, in
  cooperation with the council and the comptroller [General Services
  Commission], shall ensure that:
               (1)  information relating to health and human services
  is included in each residential telephone directory published by a
  for-profit publisher and distributed to the public at minimal or no
  cost; and
               (2)  the single method of categorizing information
  about health and human services is used in a residential telephone
  directory described by Subdivision (1).
         SECTION 1.61.  Section 663.001(3), Government Code, is
  amended to read as follows:
               (3)  "Commission" means the Texas Facilities [General
  Services] Commission.
         SECTION 1.62.  Sections 791.025(a) and (b), Government Code,
  are amended to read as follows:
         (a)  A local government, including a council of governments,
  may agree with another local government or with the state or a state
  agency, including the comptroller [General Services Commission],
  to purchase goods and services.
         (b)  A local government, including a council of governments,
  may agree with another local government, including a nonprofit
  corporation that is created and operated to provide one or more
  governmental functions and services, or with the state or a state
  agency, including the comptroller [General Services Commission],
  to purchase goods and any services reasonably required for the
  installation, operation, or maintenance of the goods. This
  subsection does not apply to services provided by firefighters,
  police officers, or emergency medical personnel.
         SECTION 1.63.  Section 825.103(d), Government Code, is
  amended to read as follows:
         (d)  Notwithstanding any other law, the retirement system
  has exclusive authority over the purchase of goods and services
  using money other than money appropriated from the general revenue
  fund, including specifically money from trusts under the
  administration of the retirement system, and Subtitle D, Title 10,
  does not apply to the retirement system with respect to that money.
  The retirement system shall acquire goods or services by
  procurement methods approved by the board of trustees or the
  board's designee. For purposes of this subsection, goods and
  services include all professional and consulting services and
  utilities as well as supplies, materials, equipment, skilled or
  unskilled labor, and insurance. The comptroller [Texas Building
  and Procurement Commission] shall procure goods or services for the
  retirement system at the request of the retirement system, and the
  retirement system may use the services of the comptroller [that
  commission] in procuring goods or services.
         SECTION 1.64.  Section 2051.052, Government Code, is amended
  to read as follows:
         Sec. 2051.052.  CANCELLATION OF PUBLISHING CONTRACT. The
  comptroller [General Services Commission] or a district or county
  official required to publish a notice may cancel a contract
  executed by the comptroller [commission] or official for the
  publication if the comptroller [commission] or official determines
  that the newspaper charges a rate higher than the legal rate.
         SECTION 1.65.  Section 2054.057(a), Government Code, is
  amended to read as follows:
         (a)  The department, with the cooperation of the
  comptroller[, the General Services Commission,] and other
  appropriate state agencies, shall develop and implement a program
  to train state agency personnel in effectively negotiating
  contracts for the purchase of information resources technologies.
         SECTION 1.66.  Section 2101.038, Government Code, is amended
  to read as follows:
         Sec. 2101.038.  DUTIES OF STATE AUDITOR. The state auditor,
  when reviewing the operation of a state agency, shall audit for
  compliance with the uniform statewide accounting system, the
  comptroller's rules, and the Legislative Budget Board's performance
  and workload measures. The state auditor shall also audit state
  agencies that make purchases that are exempted from the purchasing
  authority of the comptroller [General Services Commission] or that
  make purchases under delegated purchasing authority for compliance
  with applicable provisions of Subtitle D, except that this section
  does not require the state auditor to audit purchases made under
  Section 51.9335, Education Code, or made under Section 73.115,
  Education Code. The state auditor shall notify the comptroller,
  the governor, the lieutenant governor, the speaker of the house of
  representatives, and the Legislative Budget Board as soon as
  practicable when a state agency is not in compliance.
         SECTION 1.67.  Section 2103.032(a), Government Code, is
  amended to read as follows:
         (a)  The comptroller by rule may establish a system for state
  agencies to submit and approve electronically vouchers if the
  comptroller determines that the system will facilitate the
  operation and administration of the uniform statewide accounting
  system. The comptroller may establish an electronic method to
  approve a voucher submitted by a state agency [and may establish an
  electronic system for the approval of vouchers by the General
  Services Commission].
         SECTION 1.68.  Sections 2113.103(a), (c), and (d),
  Government Code, are amended to read as follows:
         (a)  A state agency should use the most cost-effective means
  of postal service available. A state agency may use appropriated
  money to purchase any form of mailing service available from the
  United States Postal Service that results in lower cost to the
  agency and affords service comparable in quality to other available
  postal services. The comptroller [General Services Commission]
  shall assist state agencies in determining the types and
  comparability of postal services available from the United States
  Postal Service.
         (c)  An agency other than an institution of higher education
  as defined by Section 61.003, Education Code, that spends for
  postage in a fiscal year an amount that exceeds the dollar amount
  set by the General Appropriations Act as the maximum expenditure
  for postage shall purchase or rent a postage meter machine and
  record all purchases of postage on the machine except purchases of
  postage for employees in field offices and traveling employees.
  The rental of a postage meter machine by a state agency, including
  an institution of higher education, the legislature, or an agency
  in the legislative branch of state government, must be from a
  company approved by the comptroller [General Services Commission].
  The comptroller [General Services Commission] by rule shall adopt
  procedures for the renting entity to pay for postage.
         (d)  Subsection (b) does not apply to a reimbursement:
               (1)  to an authorized petty cash account;
               (2)  to a state employee for an emergency purchase of
  postage or emergency payment of post office box rent;
               (3)  that is received by a state agency for authorized
  services and is appropriated directly to the receiving agency; or
               (4)  under a contract for mailing services that may
  include postage, if the contract has been approved by the
  comptroller [General Services Commission].
         SECTION 1.69.  Section 2113.301(h), Government Code, is
  amended to read as follows:
         (h)  The comptroller [Texas Building and Procurement
  Commission] shall appoint a task force to develop design
  recommendations that are to be used for state facilities and that
  encourage rain harvesting and water recycling by state agencies
  using appropriated money to finance a capital expenditure for a
  state facility purpose.
         SECTION 1.70.  Section 2203.005(b), Government Code, is
  amended to read as follows:
         (b)  The state agency shall file with the comptroller
  [General Services Commission] a copy of all contracts between the
  state agency and the vendor related to the vending machine and a
  written description of the location of the vending machine.
         SECTION 1.71.  Sections 2205.004(a) and (c), Government
  Code, are amended to read as follows:
         (a)  The board is composed of:
               (1)  a member appointed by the governor;
               (2)  a member appointed by the lieutenant governor;
               (3)  a member appointed by the speaker of the house of
  representatives; and
               (4)  a representative of the comptroller [Texas
  Building and Procurement Commission, designated from time to time
  by the presiding officer of the commission].
         (c)  The representative of the comptroller [Texas Building
  and Procurement Commission] is an ex officio, nonvoting member of
  the board and serves only in an advisory capacity.
         SECTION 1.72.  Section 2205.012(a), Government Code, is
  amended to read as follows:
         (a)  The board may employ and compensate staff as provided by
  legislative appropriation or may use staff provided by the
  comptroller [General Services Commission] or the state auditor's
  office.
         SECTION 1.73.  Section 2251.003, Government Code, is amended
  to read as follows:
         Sec. 2251.003.  RULES. The comptroller [General Services
  Commission] shall establish procedures and adopt rules to
  administer this chapter[, except that the commission may not
  establish a procedure or adopt a rule that conflicts with a
  procedure established or a rule adopted by the comptroller under
  Section 2251.026(i)]. Before adopting a rule under this section,
  the comptroller must conduct a public hearing regarding the
  proposed rule regardless of whether the requirements of Section
  2001.029(b) are met.
         SECTION 1.74.  Section 2252.003(a), Government Code, is
  amended to read as follows:
         (a)  The comptroller [General Services Commission] annually
  shall publish in the Texas Register:
               (1)  a list showing each state that regulates the award
  of a governmental contract to a bidder whose principal place of
  business is not located in that state; and
               (2)  the citation to and a summary of each state's most
  recent law or regulation relating to the evaluation of a bid from
  and award of a contract to a bidder whose principal place of
  business is not located in that state.
         SECTION 1.75.  Section 2254.040, Government Code, is amended
  to read as follows:
         Sec. 2254.040.  PROCUREMENT BY COMPTROLLER [GENERAL
  SERVICES COMMISSION]. (a) The comptroller [General Services
  Commission] may, on request of a state agency, procure for the
  agency consulting services that are covered by this subchapter.
         (b)  The comptroller [commission] may require reimbursement
  for the costs it incurs in procuring the services.
         SECTION 1.76.  Sections 2261.001(a) and (c), Government
  Code, are amended to read as follows:
         (a)  This chapter applies only to each procurement of goods
  or services made by a state agency that is neither made by the
  comptroller [General Services Commission] nor made under
  purchasing authority delegated to the agency by or under Section
  51.9335 or 73.115, Education Code, or Section 2155.131 or[,]
  2155.132[, or 2155.133].
         (c)  The comptroller [General Services Commission] on
  request shall determine whether a procurement or type of
  procurement:
               (1)  is made under purchasing authority delegated to an
  agency by or under Section 2155.131 or[,] 2155.132[, or 2155.133];
  or
               (2)  is made under some other source of purchasing
  authority.
         SECTION 1.77.  Subchapter A, Chapter 2262, Government Code,
  is amended by adding Section 2262.0011 to read as follows:
         Sec. 2262.0011.  TRANSFER OF DUTIES; REFERENCE. (a) The
  powers and duties of the commission under this chapter are
  transferred to the comptroller.
         (b)  In this chapter, a reference to the commission means the
  comptroller.
         SECTION 1.78.  Section 2302.002, Government Code, is amended
  to read as follows:
         Sec. 2302.002.  COMPOSITION OF COUNCIL. The council is
  composed of:
               (1)  one representative with knowledge of cogeneration
  from each of the following agencies, appointed by and serving at the
  pleasure of the agency's presiding officer:
                     (A)  the commission;
                     (B)  the Railroad Commission of Texas; and
                     (C)  [the General Services Commission; and
                     [(D)]  the Texas Natural Resource Conservation
  Commission;
               (2)  one representative of the office of the attorney
  general, appointed by the attorney general;
               (3)  one representative of the comptroller, appointed
  by the comptroller; and
               (4) [(3)]  one representative of higher education,
  appointed by the governor.
         SECTION 1.79.  Section 12.029(c), Agriculture Code, is
  amended to read as follows:
         (c)  The department shall file the policies established
  under this section with the comptroller [State Purchasing and
  General Services Commission] and with the Texas Department of
  Commerce or its successor in function. The comptroller
  [commission] shall conduct an analysis of the department's policies
  and the policies' effectiveness and shall report the analysis to
  the governor, lieutenant governor, and speaker of the house of
  representatives not later than December 31 of each even-numbered
  year.
         SECTION 1.80.  Section 13.112, Agriculture Code, is amended
  to read as follows:
         Sec. 13.112.  TESTS FOR STATE INSTITUTIONS. As requested by
  the comptroller [State Purchasing and General Services Commission]
  or the governing body of a state institution, the department shall
  test each weight or measure used by a state institution for any
  purpose, including a weight or measure used in checking the receipt
  and distribution of supplies. The department shall report results
  of the test to the chairman of the governing body of the
  institution.
         SECTION 1.81.  Section 49.004(d), Agriculture Code, is
  amended to read as follows:
         (d)  Supplies, materials, services, and equipment purchased
  with funds obtained under this section are not subject to the
  purchasing [General Services Commission] authority of the
  comptroller.
         SECTION 1.82.  Section 201.105(c), Agriculture Code, is
  amended to read as follows:
         (c)  A conservation district may make any purchase of
  machinery or equipment through the comptroller [State Purchasing
  and General Services Commission] under the terms and rules provided
  by law for purchases by the state or political subdivisions.
         SECTION 1.83.  Section 34.001, Education Code, is amended to
  read as follows:
         Sec. 34.001.  PURCHASE OF MOTOR VEHICLES. (a) A school
  district may purchase school motor vehicles through the comptroller
  [General Services Commission] or through competitive bidding under
  Subchapter B, Chapter 44.
         (b)  The comptroller [General Services Commission] may adopt
  rules as necessary to implement Subsection (a). Before adopting a
  rule under this subsection, the comptroller must conduct a public
  hearing regarding the proposed rule regardless of whether the
  requirements of Section 2001.029(b), Government Code, are met.
         SECTION 1.84.  Section 34.006, Education Code, is amended to
  read as follows:
         Sec. 34.006.  SALE OF BUSES. (a) At the request of a school
  district, the comptroller [General Services Commission] shall
  dispose of a school bus.
         (b)  A school district is not required to dispose of a school
  bus through the comptroller [General Services Commission].
         SECTION 1.85.  Section 106.54, Education Code, is amended to
  read as follows:
         Sec. 106.54.  BIENNIAL REPORT. True and full accounts shall
  be kept by the board and by the employees of the university of all
  funds collected from all sources by the university, all the sums
  paid out by it, and the persons to whom and the purposes for which
  the sums are paid. The board shall print biennially a complete
  report of all sums collected, all expenditures, and the sums
  remaining on hand. The report shall be printed in even-numbered
  years between September 1 and January 1. It shall show the true
  condition of all funds as of the preceding August 1, and shall show
  all collections and expenditures for the preceding two years. The
  board shall furnish copies of the report to the governor,
  comptroller, state auditor, and attorney general[, and not less
  than three copies to the General Services Commission]. The board
  shall furnish a copy to each member of the House Appropriations
  Committee, the Senate Finance Committee, and the House and Senate
  committees on education of each regular session of the legislature
  within one week after the committees are appointed.
         SECTION 1.86.  Section 107.66, Education Code, is amended to
  read as follows:
         Sec. 107.66.  REQUISITION OF FURNISHINGS, EQUIPMENT, ETC.
  The board may make requisition to the comptroller [General Services
  Commission] for furniture, furnishings, equipment, and
  appointments required for the proper use and enjoyment of
  improvements erected by the board, and the comptroller [General
  Services Commission] may purchase and pay for the furnishings,
  equipment, and appointments.
         SECTION 1.87.  Section 141.003(c), Education Code, is
  amended to read as follows:
         (c)  Supplies, materials, services, and equipment purchased
  with these funds shall not be subject to the purchasing [State
  Purchasing and General Services Commission] authority of the
  comptroller.
         SECTION 1.88.  Section 142.004(e), Education Code, is
  amended to read as follows:
         (e)  Supplies, materials, services, and equipment purchased
  with these funds shall not be subject to the purchasing [State
  Purchasing and General Services Commission] authority of the
  comptroller.
         SECTION 1.89.  Section 143.005(f), Education Code, is
  amended to read as follows:
         (f)  Supplies, materials, services, and equipment purchased
  with these funds shall not be subject to the purchasing [State
  Purchasing and General Services Commission] authority of the
  comptroller.
         SECTION 1.90.  Section 152.004(e), Education Code, is
  amended to read as follows:
         (e)  Supplies, materials, services, or equipment purchased
  by a public junior college or public technical institute with money
  received under this chapter are not subject to the purchasing
  authority of the comptroller [General Services Commission].
         SECTION 1.91.  Section 361.423, Health and Safety Code, is
  amended to read as follows:
         Sec. 361.423.  RECYCLING MARKET DEVELOPMENT IMPLEMENTATION
  PROGRAM. (a) The commission, the comptroller [Texas Building and
  Procurement Commission], and other consenting state agencies as
  appropriate shall regularly coordinate the recycling activities of
  state agencies and shall each pursue an economic development
  strategy that focuses on the state's waste management priorities
  established by Section 361.022 and that includes development of
  recycling industries and markets as an integrated component.
         (b)  The commission and the comptroller [Texas Building and
  Procurement Commission], on an ongoing basis, shall jointly:
               (1)  identify existing economic and regulatory
  incentives and disincentives for creating an optimal market
  development strategy;
               (2)  analyze or take into consideration the market
  development implications of:
                     (A)  the state's waste management policies and
  regulations;
                     (B)  existing and potential markets for plastic,
  glass, paper, lead-acid batteries, tires, compost, scrap gypsum,
  coal combustion by-products, and other recyclable materials; and
                     (C)  the state's tax structure and overall
  economic base;
               (3)  examine and make policy recommendations regarding
  the need for changes in or the development of:
                     (A)  economic policies that affect
  transportation, such as those embodied in freight rate schedules;
                     (B)  tax incentives and disincentives;
                     (C)  the availability of financial capital
  including grants, loans, and venture capital;
                     (D)  enterprise zones;
                     (E)  managerial and technical assistance;
                     (F)  job-training programs;
                     (G)  strategies for matching market supply and
  market demand for recyclable materials, including intrastate and
  interstate coordination;
                     (H)  the state recycling goal;
                     (I)  public-private partnerships;
                     (J)  research and development;
                     (K)  government procurement policies;
                     (L)  educational programs for the public,
  corporate and regulated communities, and government entities; and
                     (M)  public health and safety regulatory
  policies;
               (4)  establish a comprehensive statewide strategy to
  expand markets for recycled products in Texas;
               (5)  provide information and technical assistance to
  small and disadvantaged businesses, business development centers,
  chambers of commerce, educational institutions, and nonprofit
  associations on market opportunities in the area of recycling; and
               (6)  with the cooperation of the Office of
  State-Federal Relations, assist communities and private entities
  in identifying state and federal grants pertaining to recycling and
  solid waste management.
         (c)  In carrying out this section, the commission and the
  comptroller [Texas Building and Procurement Commission] may obtain
  research and development and technical assistance from the
  Hazardous Waste Research Center at Lamar University at Beaumont or
  other similar institutions.
         (d)  In carrying out this section, the commission and the
  comptroller [Texas Building and Procurement Commission] shall
  utilize the pollution prevention advisory committee as set out in
  Section 361.0215 of the Health and Safety Code.
         SECTION 1.92.  Section 361.425(a), Health and Safety Code,
  is amended to read as follows:
         (a)  A state agency, state court or judicial agency, a
  university system or institution of higher education, a county,
  municipality, school district, or special district shall:
               (1)  in cooperation with the comptroller [General
  Services Commission] or the commission establish a program for the
  separation and collection of all recyclable materials generated by
  the entity's operations, including, at a minimum, aluminum, steel
  containers, aseptic packaging and polycoated paperboard cartons,
  high-grade office paper, and corrugated cardboard;
               (2)  provide procedures for collecting and storing
  recyclable materials, containers for recyclable materials, and
  procedures for making contractual or other arrangements with buyers
  of recyclable materials;
               (3)  evaluate the amount of recyclable material
  recycled and modify the recycling program as necessary to ensure
  that all recyclable materials are effectively and practicably
  recycled; and
               (4)  establish educational and incentive programs to
  encourage maximum employee participation.
         SECTION 1.93.  Section 361.427(a), Health and Safety Code,
  is amended to read as follows:
         (a)  The commission, in consultation with the comptroller
  [General Services Commission], shall promulgate rules to establish
  guidelines which specify the percent of the total content of a
  product which must consist of recycled material for the product to
  be a "recycled product."
         SECTION 1.94.  Section 841.083(c-2), Health and Safety
  Code, is amended to read as follows:
         (c-2)  If the equipment necessary to implement the tracking
  service is available through a contract entered into by the
  comptroller [Texas Building and Procurement Commission], the
  Department of Public Safety or the council, as appropriate, shall
  acquire that equipment through that contract.
         SECTION 1.95.  Section 32.044(d), Human Resources Code, is
  amended to read as follows:
         (d)  The department with the assistance of the Health and
  Human Services Commission and the comptroller [General Services
  Commission] shall adopt rules under this section that allow the
  public or private hospital to make purchases through group
  purchasing programs except when the department has reason to
  believe that a better value is available through another
  procurement method.
         SECTION 1.96.  Section 111.0553(a), Human Resources Code, is
  amended to read as follows:
         (a)  The commission shall develop and, following review and
  approval by the board, implement agency-wide procurement
  procedures to:
               (1)  ensure compliance with the best-value purchasing
  requirements of Section 2155.144(c), Government Code;
               (2)  document that a best-value review of vendors has
  occurred;
               (3)  document the reasons for selecting a vendor;
               (4)  negotiate price discounts with high-volume
  vendors;
               (5)  consolidate purchases with other agencies,
  including the Texas Department of Health and the comptroller
  [General Services Commission], to achieve best value; and
               (6)  provide effective public notification to
  potential vendors of planned commission purchases.
         SECTION 1.97.  Chapter 122, Human Resources Code, is amended
  by adding Section 122.0011 to read as follows:
         Sec. 122.0011.  TRANSFER OF DUTIES; REFERENCE. (a) The
  powers and duties of the commission under this chapter are
  transferred to the comptroller.
         (b)  In this chapter, a reference to the commission means the
  comptroller.
         SECTION 1.98.  Article 21A.0135(a), Insurance Code, is
  amended to read as follows:
         (a)  The receiver shall use a competitive bidding process in
  the selection of any special deputies appointed under Section
  21A.102 or 21A.154. The process must include procedures to promote
  the participation of historically underutilized businesses that
  have been certified by the comptroller [Texas Building and
  Procurement Commission] under Section 2161.061, Government Code.
         SECTION 1.99.  Sections 201.007(b), (c), (f), and (g), Local
  Government Code, are amended to read as follows:
         (b)  After the settlement of the outstanding indebtedness of
  an abolished municipality and the satisfaction of the other
  applicable requirements of Chapter 62, Local Government Code, the
  municipality's governing body at the time the municipality is
  abolished, or the receiver or trustees if appointed by a court,
  shall transfer the records of the municipality to the custody of the
  comptroller [General Services Commission]. A record of an abolished
  municipality may not be sold to satisfy an outstanding
  indebtedness.
         (c)  After the settlement of the outstanding indebtedness of
  an abolished special-purpose district or authority, other than a
  school district, and the satisfaction of the other applicable
  requirements of state law establishing or permitting the
  establishment of the district or authority or governing its
  abolition, the district's governing body at the time the district
  is abolished shall transfer the records of the district to the
  custody of the comptroller [General Services Commission]. A record
  of an abolished special-purpose district or authority may not be
  sold to satisfy an outstanding indebtedness.
         (f)  The cost of the transfer of records to the comptroller
  [General Services Commission] under this section shall be paid for
  out of the funds of the abolished local government. If funds of the
  local government are not available for this purpose, the cost of the
  transfer shall be paid out of the funds of the comptroller [General
  Services Commission].
         (g)  The records retention schedules issued by the
  commission shall be used, as far as practicable, as the basis for
  the retention and disposition of local government records
  transferred to the custody of the comptroller [General Services
  Commission] under this section.
         SECTION 1.100.  Section 252.0215, Local Government Code, is
  amended to read as follows:
         Sec. 252.0215.  COMPETITIVE BIDDING IN RELATION TO
  HISTORICALLY UNDERUTILIZED BUSINESS. A municipality, in making an
  expenditure of more than $3,000 but less than $25,000, shall
  contact at least two historically underutilized businesses on a
  rotating basis, based on information provided by the comptroller
  [General Services Commission] pursuant to Chapter 2161, Government
  Code. If the list fails to identify a historically underutilized
  business in the county in which the municipality is situated, the
  municipality is exempt from this section.
         SECTION 1.101.  The heading to Section 262.002, Local
  Government Code, is amended to read as follows:
         Sec. 262.002.  AUTHORITY TO PURCHASE ROAD EQUIPMENT AND
  TIRES THROUGH COMPTROLLER [STATE PURCHASING AND GENERAL SERVICES
  COMMISSION].
         SECTION 1.102.  Section 262.002(a), Local Government Code,
  is amended to read as follows:
         (a)  The commissioners court of a county may purchase through
  the comptroller [State Purchasing and General Services Commission]
  road machinery and equipment, tires, and tubes to be used by the
  county.
         SECTION 1.103.  Section 271.082, Local Government Code, is
  amended to read as follows:
         Sec. 271.082.  PURCHASING PROGRAM. (a) The comptroller
  [State Purchasing and General Services Commission] shall establish
  a program by which the comptroller [commission] performs purchasing
  services for local governments. The services must include:
               (1)  the extension of state contract prices to
  participating local governments when the comptroller [commission]
  considers it feasible;
               (2)  solicitation of bids on items desired by local
  governments if the solicitation is considered feasible by the
  comptroller [commission] and is desired by the local government;
  and
               (3)  provision of information and technical assistance
  to local governments about the purchasing program.
         (b)  The comptroller [commission] may charge a participating
  local government an amount not to exceed the actual costs incurred
  by the comptroller [commission] in providing purchasing services to
  the local government under the program.
         (c)  The comptroller [commission] may adopt rules and
  procedures necessary to administer the purchasing program. Before
  adopting a rule under this subsection, the comptroller must conduct
  a public hearing regarding the proposed rule regardless of whether
  the requirements of Section 2001.029(b), Government Code, are met.
         SECTION 1.104.  Section 113.283(a), Natural Resources Code,
  is amended to read as follows:
         (a)  The council is composed of the following individuals:
               (1)  the commissioner of the General Land Office;
               (2)  the members of the Railroad Commission of Texas;
               (3)  the comptroller [chairman of the General Services
  Commission]; and
               (4)  the chairman of the Texas Natural Resource
  Conservation Commission.
         SECTION 1.105.  Section 161.020, Natural Resources Code, is
  amended to read as follows:
         Sec. 161.020.  PURCHASE OF SUPPLIES. The board may purchase
  at state expense through the comptroller [board of control]
  supplies, including stationery, stamps, printing, record books,
  and other things that may be needed to carry on the board's
  functions as a state agency in performing the duties imposed by this
  chapter.
         SECTION 1.106.  Section 12.008(c), Parks and Wildlife Code,
  is amended to read as follows:
         (c)  The comptroller [State Purchasing and General Services
  Commission] shall execute any sale of products under this section
  under the general law governing the sale of state property;
  however, the department shall determine the quantity of products to
  be offered for sale and the consideration in lieu of money to be
  received under the sale. The department may lease grazing or
  farming rights under this section. In leasing the rights, the
  department must follow a competitive bidding procedure.
         SECTION 1.107.  Section 81.404(b), Parks and Wildlife Code,
  is amended to read as follows:
         (b)  Contracts for the removal of fur-bearing animals and
  reptiles shall be entered into under the direction of the
  comptroller [State Purchasing and General Services Commission] in
  the manner provided by general law for the sale of state property,
  except that the department shall determine the means, methods, and
  quantities of fur-bearing animals and reptiles to be taken, and the
  department may accept or reject any bid received by the comptroller
  [State Purchasing and General Services Commission].
         SECTION 1.108.  Section 111.0035(f), Tax Code, is amended to
  read as follows:
         (f)  Except as provided by Subsection (g), the comptroller
  shall award a contract made under this section through a
  competitive bidding process that complies with Section 2155.132,
  Government Code[, and the rules adopted by the General Services
  Commission relating to delegated purchases]. If the comptroller
  receives not more than three bids through the competitive bidding
  process, the comptroller shall report the number of bidders to the
  Legislative Budget Board before awarding the contract.
         SECTION 1.109.  Section 111.0036(f), Tax Code, is amended to
  read as follows:
         (f)  Except as provided by Subsection (g), the comptroller
  shall award a contract made under this section through a
  competitive bidding process that complies with Section 2155.132,
  Government Code[, and the rules adopted by the General Services
  Commission relating to delegated purchases]. If the comptroller
  receives not more than three bids through the competitive bidding
  process, the comptroller shall report the number of bidders to the
  Legislative Budget Board before awarding the contract.
         SECTION 1.110.  Section 201.706, Transportation Code, is
  amended to read as follows:
         Sec. 201.706.  LOCAL GOVERNMENT ASSISTANCE. From
  appropriated funds, the department shall assist counties with
  materials to repair and maintain county roads. The department
  shall:
               (1)  provide that the total annual value of assistance
  under this section is:
                     (A)  at least $12 million per year for fiscal
  years 1998 and 1999; and
                     (B)  at least $6 million per year for a fiscal year
  other than 1998 or 1999;
               (2)  make maximum usage of surplus materials on hand;
               (3)  develop rules and procedures to implement this
  section and to provide for the distribution of the assistance with
  preference given to counties with an above average number of
  overweight trucks receiving weight tolerance permits based on the
  previous year's permit totals; and
               (4)  undertake cooperative and joint procurement of
  road materials with counties under [General Services Commission]
  procedures of the comptroller.
         SECTION 1.111.  Section 202.082(b), Transportation Code, is
  amended to read as follows:
         (b)  Disposal of reclaimed asphalt pavement under this
  section is not subject to:
               (1)  Chapter 2175, Government Code; or
               (2)  the statutory or regulatory authority of the
  comptroller formerly exercised by the General Services Commission.
         SECTION 1.112.  Section 223.041(b), Transportation Code, is
  amended to read as follows:
         (b)  The department, in setting a minimum level of
  expenditures in these engineering-related activities that will be
  paid to the private sector providers, shall provide that the
  expenditure level for a state fiscal year in all strategies paid to
  private sector providers for all department engineering-related
  services for transportation projects is not less than 35 percent of
  the total funds appropriated in Strategy A.1.1. Plan/Design/Manage
  and Strategy A.1.2. of the General Appropriations Act for that
  state fiscal biennium. The department shall attempt to make
  expenditures for engineering-related services with private sector
  providers under this subsection with historically underutilized
  businesses, as defined by Section 2161.001, Government Code, in an
  amount consistent with the applicable provisions of the Government
  Code, any applicable state disparity study, and in accordance with
  the good-faith-effort procedures outlined in the rules adopted by
  the comptroller [Texas Building and Procurement Commission].
         SECTION 1.113.  Section 502.052(c), Transportation Code, is
  amended to read as follows:
         (c)  To promote highway safety, each license plate shall be
  made with a reflectorized material that provides effective and
  dependable brightness for the period for which the plate is issued.
  The purchase of reflectorized material shall be submitted to the
  comptroller [General Services Commission] for approval.
         SECTION 1.114.  Section 502.053(b), Transportation Code, is
  amended to read as follows:
         (b)  When manufacturing is started, the Texas Department of
  Criminal Justice, the Texas Department of Transportation, and the
  comptroller [Texas Building and Procurement Commission], after
  negotiation, shall set the price to be paid for each license plate
  or insignia. The price must be determined from:
               (1)  the cost of metal, paint, and other materials
  purchased;
               (2)  the inmate maintenance cost per day;
               (3)  overhead expenses;
               (4)  miscellaneous charges; and
               (5)  a previously approved amount of profit for the
  work.
         SECTION 1.115.  Section 14.058, Utilities Code, is amended
  to read as follows:
         Sec. 14.058.  FEES FOR ELECTRONIC ACCESS TO INFORMATION.
  The fees charged by the commission for electronic access to
  information that is stored in the system established by the
  commission using funds from the Texas Public Finance Authority and
  approved by the Department of Information Resources shall be
  established:
               (1)  by the commission in consultation with the
  comptroller [General Services Commission]; and
               (2)  in an amount reasonable and necessary to retire
  the debt to the Texas Public Finance Authority associated with
  establishing the electronic access system.
         SECTION 1.116.  Section 222.004(v), Water Code, is amended
  to read as follows:
         (v)  The authority may enter into contracts with this state
  through the comptroller [Texas Building and Procurement
  Commission] providing for direct sale by the authority of
  electrical power to this state for use in buildings or other
  facilities owned, leased, or rented by this state in Travis County.
         SECTION 1.117.  The following provisions of the Government
  Code are repealed:
               (1)  Section 403.241(1);
               (2)  Section 2103.063;
               (3)  Section 2152.003;
               (4)  Section 2152.104(c);
               (5)  Sections 2155.323(c) and (d); and
               (6)  Section 2161.002(b).
         SECTION 1.118.  Section 12.014(b), Agriculture Code, is
  repealed.
         SECTION 1.119.  On the effective date of this Act, the Texas
  Building and Procurement Commission is renamed the Texas Facilities
  Commission.
         SECTION 1.120.  (a) The Texas Facilities Commission retains
  the powers and duties of the former Texas Building and Procurement
  Commission that relate to charge and control of state buildings,
  grounds, or property, to maintenance or repair of state buildings,
  grounds, or property, to child care services for state employees
  under Chapter 663, Government Code, to surplus and salvage
  property, to construction of a state building, or to the purchase or
  lease of buildings, grounds, or property by or for the state.
         (a-1)  Except as otherwise provided by this Act or other law,
  all other powers and duties of the Texas Building and Procurement
  Commission are transferred to the comptroller.
         (b)  All employees of the Texas Building and Procurement
  Commission who primarily perform duties related to an activity
  described by Subsection (a) of this section, including employees
  who provide administrative support for those services, remain
  employees of the Texas Facilities Commission.
         (b-1)  All other employees of the Texas Building and
  Procurement Commission are transferred to the office of the
  comptroller. A management employee of the Texas Building and
  Procurement Commission who is transferred to the office of the
  comptroller under this subsection does not automatically continue
  to hold the person's management position. To hold the management
  position on other than an interim basis, the person must apply for
  the position with the comptroller.
         (c)  A rule, form, policy, procedure, or decision of the
  Texas Building and Procurement Commission that is related to an
  activity described by Subsection (a) of this section continues in
  effect as a rule, form, policy, procedure, or decision of the Texas
  Facilities Commission.
         (c-1)  A rule, form, policy, procedure, or decision of the
  Texas Building and Procurement Commission that is related to an
  activity transferred by this Act to the comptroller continues in
  effect as a rule, form, policy, procedure, or decision of the
  comptroller until superseded by an act of the comptroller.
         (d)  A court case, administrative proceeding, contract
  negotiation, or other proceeding involving the Texas Building and
  Procurement Commission that is related to an activity described by
  Subsection (a) of this section is unaffected by the change in name
  of the agency.
         (d-1)  A court case, administrative proceeding, contract
  negotiation, or other proceeding involving the Texas Building and
  Procurement Commission that is related to an activity transferred
  by this Act to the comptroller is transferred without change in
  status to the comptroller, and the comptroller assumes, without a
  change in status, the position of the Texas Building and
  Procurement Commission in a negotiation or proceeding relating to
  an activity transferred by this Act to the comptroller to which the
  Texas Building and Procurement Commission is a party.
         (e)  All money, contracts, leases, rights, bonds, and
  obligations of the Texas Building and Procurement Commission
  related to an activity described by Subsection (a) of this section
  remain with the Texas Facilities Commission.
         (e-1)  All money, contracts, memoranda of understanding,
  leases, rights, bonds, and obligations of the Texas Building and
  Procurement Commission related to an activity transferred by this
  Act to the comptroller are transferred to the comptroller.
         (f)  All personal property, including records, in the
  custody of the Texas Building and Procurement Commission related to
  an activity described by Subsection (a) of this section remains the
  property of the Texas Facilities Commission.
         (f-1)  All personal property, including records, in the
  custody of the Texas Building and Procurement Commission related to
  an activity transferred by this Act to the comptroller becomes the
  property of the comptroller.
         (g)  All funds appropriated by the legislature to the Texas
  Building and Procurement Commission for an activity described by
  Subsection (a) of this section, including funds for providing
  administrative support for those services, continue as
  appropriations to the Texas Facilities Commission.
         (g-1)  All funds appropriated by the legislature to the Texas
  Building and Procurement Commission for an activity transferred by
  this Act to the comptroller, including funds for providing
  administrative support for those services, are transferred to the
  comptroller.
         SECTION 1.121.  In accordance with Section 1.120 of this
  article, the comptroller and the Texas Facilities Commission shall
  adopt a memorandum of understanding that identifies and allocates
  between the office of the comptroller and the Texas Facilities
  Commission the powers, duties, property, employees,
  appropriations, and other items transferred under Section 1.120.
  The memorandum of understanding must also:
               (1)  identify and allocate between the office of the
  comptroller and the Texas Facilities Commission the employees and
  real and personal property of the Texas Building and Procurement
  Commission, including space in the central administrative offices
  of the commission, used to generally support the activities of the
  Texas Building and Procurement Commission; and
               (2)  provide a timetable for any necessary or advisable
  movement of the physical location of employees and property.
         SECTION 1.122.  Sections 2155.086 and 2155.087, Government
  Code, as added by this Act, apply only to a contract for which the
  solicitation of bids or proposals or similar expressions of
  interest is published on or after September 1, 2007. A contract for
  which the solicitation of bids or proposals or similar expressions
  of interest is published before September 1, 2007, is governed by
  the law in effect on the date the solicitation of bids or proposals
  or similar expressions of interest is published, and the former law
  is continued in effect for that purpose.
  ARTICLE 2. DEPARTMENT OF INFORMATION RESOURCES
         SECTION 2.01.  Section 35.102(c), Business & Commerce Code,
  is amended to read as follows:
         (c)  This section does not apply to the Department of
  Information Resources [General Services Commission], in its
  capacity as the telecommunications provider for the state, and an
  institution of higher education, as that term is defined by Section
  61.003, Education Code, that provides interactive computer
  service.
         SECTION 2.02.  Section 44.031(i), Education Code, is amended
  to read as follows:
         (i)  A school district may acquire computers and
  computer-related equipment, including computer software, through
  the Department of Information Resources [General Services
  Commission] under contracts entered into in accordance with Chapter
  2054 or 2157, Government Code. Before issuing an invitation for
  bids, the department [commission] shall consult with the agency
  concerning the computer and computer-related equipment needs of
  school districts. To the extent possible the resulting contract
  shall provide for such needs.
         SECTION 2.03.  Section 2054.123(a), Government Code, is
  amended to read as follows:
         (a)  The department, in consultation with the [Texas
  Building and Procurement Commission, the] state auditor[,] and the
  comptroller, shall create an interagency panel of representatives
  appointed by those agencies and officers to coordinate and maintain
  a training program to assist state agencies in performing software
  audits, managing software, and purchasing software and software
  licenses. Each state agency shall cooperate with the panel in the
  evaluation of the agency's needs for software management and shall
  donate agency resources to the evaluation of the agency as the panel
  requires.
         SECTION 2.04.  Section 2054.201, Government Code, is amended
  to read as follows:
         Sec. 2054.201.  COMPOSITION; TERMS. (a) The
  telecommunications planning and oversight council is composed of:
               (1)  a representative of the comptroller's office,
  appointed by the comptroller;
               (2)  the executive director of the Telecommunications
  Infrastructure Fund Board;
               (3)  a representative of the department [Texas Building
  and Procurement Commission], appointed by the executive director of
  the department [commission];
               (4)  a member representing the interests of state
  agencies with 1,000 employees or more, appointed by the lieutenant
  governor;
               (5)  a member representing the interests of state
  agencies with fewer than 1,000 employees, appointed by the speaker
  of the house of representatives;
               (6)  a member representing the interests of
  institutions of higher education, appointed by the commissioner of
  higher education;
               (7)  a member representing the interests of The
  University of Texas System, appointed by the chancellor;
               (8)  a member representing the interests of The Texas
  A&M University System, appointed by the chancellor;
               (9)  a member representing the interests of public
  school districts that are customers of the consolidated
  telecommunications system, appointed by the governor;
               (10)  a member representing the interests of local
  governments that are customers of the consolidated
  telecommunications system, appointed by the governor;
               (11)  two public members with telecommunications
  expertise, appointed by the governor; and
               (12)  a representative of the Health and Human Services
  Commission, appointed by the commissioner of health and human
  services.
         (b)  Appointed members of the telecommunications planning
  and oversight council serve staggered two-year terms, with the
  terms of four or five members expiring August 31 each year, except
  that:
               (1)  the representative of the comptroller's office
  serves at the discretion of the comptroller;
               (2)  the representative of the department [Texas
  Building and Procurement Commission] serves at the discretion of
  the executive director of the department [commission]; and
               (3)  the representative of the Health and Human
  Services Commission serves at the discretion of the commissioner of
  health and human services.
         SECTION 2.05.  Sections 2054.304(b) and (c), Government
  Code, are amended to read as follows:
         (b)  Except as provided by Subsection (c), the state agency
  must file the project plan with the quality assurance team and the
  department [Texas Building and Procurement Commission] before the
  agency:
               (1)  spends more than 10 percent of allocated funds for
  the project; or
               (2)  first issues a vendor solicitation for the
  project.
         (c)  Unless the project plan has been filed under this
  section:
               (1)  [the Texas Building and Procurement Commission may
  not issue] a vendor solicitation may not be issued for the project;
  and
               (2)  the agency may not post a vendor solicitation for
  the project in the state business daily under Section 2155.083.
         SECTION 2.06.  Section 771.031(b), Health and Safety Code,
  is amended to read as follows:
         (b)  The following individuals serve as nonvoting ex officio
  members:
               (1)  the executive director of the Public Utility
  Commission of Texas, or an individual designated by the executive
  director;
               (2)  the executive director of the Department of
  Information Resources [General Services Commission], or an
  individual designated by the executive director; and
               (3)  the commissioner of public health, or an
  individual who has responsibility for the poison control network
  designated by the commissioner.
         SECTION 2.07.  Section 771.0711(e), Health and Safety Code,
  is amended to read as follows:
         (e)  A member of the commission, the governing body of a
  public agency, or the Department of Information Resources [General
  Services Commission] is not liable for any claim, damage, or loss
  arising from the provision of wireless 9-1-1 service unless the act
  or omission causing the claim, damage, or loss violates a statute or
  ordinance applicable to the action.
         SECTION 2.08.  Section 55.203(f), Utilities Code, is amended
  to read as follows:
         (f)  The Department of Information Resources [General
  Services Commission] shall cooperate with the commission and with
  publishers to ensure that the subject matter listing of programs
  and telephone numbers in the telephone directories are consistent
  with the categorization developed by the Records Management
  Interagency Coordinating Council under Section 441.203(j),
  Government Code.
  ARTICLE 3. CONFORMING AMENDMENTS; MISCELLANEOUS
         SECTION 3.01.  Section 201.002(b), Transportation Code, is
  amended to read as follows:
         (b)  The comptroller [General Services Commission] shall
  contract for equipment and supplies, including seals and number
  plates, required by law in the administration of the registration
  of vehicles and in the operation of the department.
         SECTION 3.02.  Section 403.023(b), Government Code, is
  amended to read as follows:
         (b)  The comptroller may adopt rules relating to the use of
  credit or charge cards by state agencies to pay for purchases. The
  rules may:
               (1)  authorize a state agency to use credit or charge
  cards if the comptroller determines the best interests of the state
  would be promoted;
               (2)  authorize a state agency to use credit or charge
  cards to pay for purchases without providing the same authorization
  to other state agencies; and
               (3)  authorize a state agency to use credit or charge
  cards to pay for purchases that otherwise may be paid out of the
  agency's petty cash accounts under Subchapter K[; and
               [(4)     authorize the General Services Commission to
  contract with one or more credit or charge card issuers on behalf of
  state agencies].
         SECTION 3.03.  Subchapter B, Chapter 403, Government Code,
  is amended by adding Section 403.0305 to read as follows:
         Sec. 403.0305.  APPROVAL BY COMPTROLLER.  A public agency as
  defined under Section 30.003(3), Water Code, may not enter into a
  contract as provided by Subchapter C, Chapter 2254, without review
  and approval by the comptroller.
         SECTION 3.04.  Section 441.203(a), Government Code, is
  amended to read as follows:
         (a)  The Records Management Interagency Coordinating Council
  is composed of:
               (1)  permanent members, consisting of the following
  officers or the officer's designee:
                     (A)  the secretary of state;
                     (B)  the state auditor, who serves as a nonvoting
  member;
                     (C)  the comptroller of public accounts;
                     (D)  the attorney general;
                     (E)  the director and librarian; and
                     (F)  [the executive director of the Texas Building
  and Procurement Commission; and
                     [(G)]  the executive director of the Department of
  Information Resources; and
               (2)  auxiliary voting members, consisting of:
                     (A)  one faculty member of a public senior college
  or university, as defined by Section 61.003, Education Code, who
  has demonstrated knowledge of records and information management;
  and
                     (B)  two individuals who serve as information
  resources managers, under Section 2054.071, for state agencies in
  the executive branch of government.
         SECTION 3.05.  Section 551.0726(a), Government Code, is
  amended to read as follows:
         (a)  The Texas Facilities [Building and Procurement]
  Commission may conduct a closed meeting to deliberate business and
  financial issues relating to a contract being negotiated if, before
  conducting the closed meeting:
               (1)  the commission votes unanimously that
  deliberation in an open meeting would have a detrimental effect on
  the position of the state in negotiations with a third person; and
               (2)  the attorney advising the commission issues a
  written determination finding that deliberation in an open meeting
  would have a detrimental effect on the position of the state in
  negotiations with a third person and setting forth that finding
  therein.
         SECTION 3.06.  Section 552.009(a), Government Code, as
  amended by Chapters 329 and 716, Acts of the 79th Legislature,
  Regular Session, 2005, is reenacted to read as follows:
         (a)  The open records steering committee is composed of two
  representatives of the attorney general's office and:
               (1)  a representative of each of the following,
  appointed by its governing entity:
                     (A)  the comptroller's office;
                     (B)  the Department of Public Safety;
                     (C)  the Department of Information Resources; and
                     (D)  the Texas State Library and Archives
  Commission;
               (2)  five public members, appointed by the attorney
  general; and
               (3)  a representative of each of the following types of
  local governments, appointed by the attorney general:
                     (A)  a municipality;
                     (B)  a county; and
                     (C)  a school district.
         SECTION 3.07.  Section 571.061(a), Government Code, is
  amended to read as follows:
         (a)  The commission shall administer and enforce:
               (1)  Chapters 302, 303, 305, 572, and 2004;
               (2)  Subchapter C, Chapter 159, Local Government Code,
  in connection with a county judicial officer, as defined by Section
  159.051, Local Government Code, who elects to file a financial
  statement with the commission; [and]
               (3)  Title 15, Election Code; and
               (4)  Sections 2152.064 and 2155.003.
         SECTION 3.08.  Section 571.091(a), Government Code, is
  amended to read as follows:
         (a)  The commission shall prepare a written opinion
  answering the request of a person subject to any of the following
  laws for an opinion about the application of any of these laws to
  the person in regard to a specified existing or hypothetical
  factual situation:
               (1)  Chapter 302;
               (2)  Chapter 303;
               (3)  Chapter 305;
               (4)  Chapter 2004;
               (5)  Chapter 572;
               (6)  Subchapter C, Chapter 159, Local Government Code,
  as provided by Section 571.061(a)(2);
               (7)  Title 15, Election Code;
               (8)  Chapter 36, Penal Code; [or]
               (9)  Chapter 39, Penal Code;
               (10)  Section 2152.064; or
               (11)  Section 2155.003.
         SECTION 3.09.  Section 572.003(c), Government Code, is
  amended to read as follows:
         (c)  The term means a member of:
               (1)  the Public Utility Commission of Texas;
               (2)  the Texas Department of Economic Development;
               (3)  the Texas Commission on Environmental Quality;
               (4)  the Texas Alcoholic Beverage Commission;
               (5)  The Finance Commission of Texas;
               (6)  the Texas Facilities [Building and Procurement]
  Commission;
               (7)  the Texas Board of Criminal Justice;
               (8)  the board of trustees of the Employees Retirement
  System of Texas;
               (9)  the Texas Transportation Commission;
               (10)  the Texas Workers' Compensation Commission;
               (11)  the Texas Department of Insurance;
               (12)  the Parks and Wildlife Commission;
               (13)  the Public Safety Commission;
               (14)  the Texas Ethics Commission;
               (15)  the State Securities Board;
               (16)  the Texas Water Development Board;
               (17)  the governing board of a public senior college or
  university as defined by Section 61.003, Education Code, or of The
  University of Texas Southwestern Medical Center at Dallas, The
  University of Texas Medical Branch at Galveston, The University of
  Texas Health Science Center at Houston, The University of Texas
  Health Science Center at San Antonio, The University of Texas
  System Cancer Center, The University of Texas Health Science Center
  at Tyler, University of North Texas Health Science Center at Fort
  Worth, Texas Tech University Health Sciences Center, Texas State
  Technical College--Harlingen, Texas State Technical
  College--Marshall, Texas State Technical College--Sweetwater, or
  Texas State Technical College--Waco;
               (18)  the Texas Higher Education Coordinating Board;
               (19)  the Texas Workforce Commission;
               (20)  the State Banking Board;
               (21)  the board of trustees of the Teacher Retirement
  System of Texas;
               (22)  the Credit Union Commission;
               (23)  the School Land Board;
               (24)  the board of the Texas Department of Housing and
  Community Affairs;
               (25)  the Texas Racing Commission;
               (26)  the State Board of Dental Examiners;
               (27)  the Texas State Board of Medical Examiners;
               (28)  the Board of Pardons and Paroles;
               (29)  the Texas State Board of Pharmacy;
               (30)  the Department of Information Resources
  governing board;
               (31)  the Motor Vehicle Board;
               (32)  the Texas Real Estate Commission;
               (33)  the board of directors of the State Bar of Texas;
               (34)  the bond review board;
               (35)  the Texas Board of Health;
               (36)  the Texas Board of Mental Health and Mental
  Retardation;
               (37)  the Texas Board on Aging;
               (38)  the Texas Board of Human Services;
               (39)  the Texas Funeral Service Commission;
               (40)  the board of directors of a river authority
  created under the Texas Constitution or a statute of this state; or
               (41)  the Texas Lottery Commission.
         SECTION 3.10.  Subchapter B, Chapter 2152, Government Code,
  is amended by adding Section 2152.064 to read as follows:
         Sec. 2152.064.  CONFLICTS OF INTEREST IN CERTAIN
  TRANSACTIONS. (a) A commission member, employee, or appointee may
  not:
               (1)  have an interest in, or in any manner be connected
  with:
                     (A)  a contract or bid for a purchase of goods or
  services, including professional or consulting services, by the
  commission or another agency of the state in connection with the
  commission's duties concerning:
                           (i)  charge and control of state buildings,
  grounds, or property;
                           (ii)  maintenance or repair of state
  buildings, grounds, or property;
                           (iii)  construction of a state building; or
                           (iv)  purchase or lease of state buildings,
  grounds, or property by or for the state; or
                     (B)  a recipient of state surplus or salvage
  property under the control of the commission; or
               (2)  in any manner, including by rebate or gift, accept
  or receive, directly or indirectly, from a recipient of state
  surplus or salvage property or a person to whom a contract
  described by Subdivision (1) may be awarded, anything of value or a
  promise, obligation, or contract for future reward or compensation.
         (b)  A commission member, employee, or appointee who
  violates Subsection (a)(2) is subject to dismissal.
         (c)  In consultation with the commission, the Texas Ethics
  Commission shall adopt rules to implement this section.
         (d)  The Texas Ethics Commission shall administer and
  enforce this section and may prepare written opinions regarding
  this section in accordance with Subchapter D, Chapter 571.
         SECTION 3.11.  Sections 2155.444(a), (c), and (e),
  Government Code, are amended to read as follows:
         (a)  The commission and all state agencies making purchases
  of goods, including agricultural products, shall give preference to
  those produced or grown in this state or offered by Texas bidders as
  follows:
               (1)  goods produced or offered by a Texas bidder that is
  owned by a service-disabled veteran who is a Texas resident shall be
  given a first preference and goods produced in this state or
  offered by other Texas bidders shall [equally] be given second
  preference, if the cost to the state and quality are equal; and
               (2)  agricultural products grown in this state shall be
  given first preference and agricultural products offered by Texas
  bidders shall be given second preference, if the cost to the state
  and quality are equal.
         (c)  In this section:
               (1)  "Agricultural products" includes textiles and
  other similar products.
               (1-a)  "Service-disabled veteran" means a person who is
  a veteran as defined by 38 U.S.C. Section 101(2) and who has a
  service-connected disability as defined by 38 U.S.C. Section
  101(16).
               (2)  "Texas bidder" means a business:
                     (A)  incorporated in this state;
                     (B)  that has its principal place of business in
  this state; or
                     (C)  that has an established physical presence in
  this state.
         (e)  The commission and all state agencies procuring
  services shall give first preference to services offered by a Texas
  bidder that is owned by a service-disabled veteran who is a Texas
  resident and shall give second preference to services offered by
  other Texas bidders if:
               (1)  the services meet state requirements regarding the
  service to be performed and expected quality; and
               (2)  the cost of the service does not exceed the cost of
  other similar services of similar expected quality that are [not]
  offered by a [Texas] bidder that is not entitled to a preference
  under this subsection.
         SECTION 3.12.  Subchapter H, Chapter 2155, Government Code,
  is amended by adding Section 2155.452 to read as follows:
         Sec. 2155.452.  PREFERENCE FOR CONTRACTORS PROVIDING FOODS
  OF HIGHER NUTRITIONAL VALUE.  (a)  The commission and state agencies
  making purchases of food for consumption in a public cafeteria may
  give preference to contractors who provide foods of higher
  nutritional value and who do not provide foods containing trans
  fatty acids for consumption in the cafeteria.
         (b)  In complying with this section, the commission and state
  agencies shall review the Department of Agriculture's nutrition
  standards.
         SECTION 3.13.  Section 2203.001(b), Government Code, is
  amended to read as follows:
         (b)  The report must be made daily on a form prescribed by the
  comptroller [General Services Commission].
         SECTION 3.14.  Section 2254.024(b), Government Code, is
  amended to read as follows:
         (b)  If the governor and [,] comptroller[, and General
  Services Commission] consider it more advantageous to the state to
  procure a particular consulting service under the procedures of
  Chapters 2155-2158, instead of under this subchapter, they may make
  a memorandum of understanding to that effect and each adopt the
  memorandum by rule. Procurement of a consulting service described
  in a memorandum of understanding under this subsection is subject
  only to Chapters 2155-2158.
         SECTION 3.15.  Section 2254.039(b), Government Code, is
  amended to read as follows:
         (b)  The comptroller shall give proposed rules to the
  governor [and the General Services Commission] for review and
  comment before adopting the rules.
  ARTICLE 4. STUDY OF TEXAS FACILITIES COMMISSION FUNCTIONS
         SECTION 4.01.  Subchapter A, Chapter 2152, Government Code,
  is amended by adding Section 2152.004 to read as follows:
         Sec. 2152.004.  STUDY TO ASSESS FUNCTIONS OF TEXAS
  FACILITIES COMMISSION. (a) The Sunset Advisory Commission shall
  conduct a study of the functions of the Texas Facilities
  Commission. The study must assess the best allocation of state
  resources for:
               (1)  the acquisition of state buildings through lease
  or purchase;
               (2)  the construction of buildings owned by the state;
               (3)  the control and maintenance of buildings owned or
  leased by the state; and
               (4)  all other related responsibilities performed by
  the commission.
         (b)  The study must consider the benefits to the state of
  outsourcing any of the commission's functions to private entities
  or of allocating those functions to other state agencies.
         (c)  The commission shall take into consideration the
  findings and conclusions of the study in its report to the 81st
  Legislature and shall include any recommendations it considers
  appropriate resulting from its consideration of the study.
         (d)  The Texas Facilities Commission, the General Land
  Office, and the state auditor shall provide support to the Sunset
  Advisory Commission in conducting the study.
         (e)  This section expires January 1, 2009.
  ARTICLE 5. EFFECTIVE DATE
         SECTION 5.01.  This Act takes effect September 1, 2007.
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
 
         I certify that H.B. No. 3560 was passed by the House on May 4,
  2007, by the following vote:  Yeas 140, Nays 2, 1 present, not
  voting; that the House refused to concur in Senate amendments to
  H.B. No. 3560 on May 25, 2007, and requested the appointment of a
  conference committee to consider the differences between the two
  houses; and that the House adopted the conference committee report
  on H.B. No. 3560 on May 27, 2007, by the following vote:  Yeas 141,
  Nays 2, 2 present, not voting.
 
  ______________________________
  Chief Clerk of the House   
 
         I certify that H.B. No. 3560 was passed by the Senate, with
  amendments, on May 23, 2007, by the following vote:  Yeas 30, Nays
  0; at the request of the House, the Senate appointed a conference
  committee to consider the differences between the two houses; and
  that the Senate adopted the conference committee report on H.B. No.
  3560 on May 27, 2007, by the following vote:  Yeas 30, Nays 0.
 
  ______________________________
  Secretary of the Senate   
  APPROVED: __________________
                  Date       
   
           __________________
                Governor