Bill Text: TX HB1943 | 2017-2018 | 85th Legislature | Introduced


Bill Title: Relating to the review and oversight of state agency contracts.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2017-03-29 - Referred directly to s/c on Budget Transparency and Reform by chair [HB1943 Detail]

Download: Texas-2017-HB1943-Introduced.html
  85R11272 YDB-D
 
  By: Shaheen H.B. No. 1943
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the review and oversight of state agency contracts.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Chapter 322, Government Code, is amended by
  adding Sections 322.021, 322.0211, and 322.0212 to read as follows:
         Sec. 322.021.  STATE AGENCY CONTRACT OVERSIGHT. (a)  In this
  section:
               (1)  "Board" means the Legislative Budget Board.
               (2)  "State agency" has the meaning assigned by Section
  2054.003.
         (b)  The board may review state agency contracts to determine
  compliance with the contract management guide developed under
  Section 2054.554, the comptroller's procurement policy manuals,
  and each applicable state contracting law, rule, policy, and
  procedure.  The authority to review a state agency contract under
  this subsection applies regardless of the source of funds or method
  of financing for the contract and includes a contract funded only
  with nonappropriated funds.
         (c)  Board staff may request, and are entitled to obtain, any
  document related to a contract reviewed under this section or to a
  purchase under the contract.
         (d)  Each state agency shall cooperate with the board in
  conducting a contract review under this section and in resolving
  any issue resulting from the contract review.
         Sec. 322.0211.  NOTICE OF VIOLATION OF STATE CONTRACTING
  LAW; CORRECTIVE ACTION PLAN.  (a)  If the Legislative Budget Board
  determines under Section 322.021 that a state agency contract
  violates the contract management guide, the comptroller's
  procurement policy manuals, or a state contracting law, rule,
  policy, or procedure, the board's director may provide to the board
  and the state agency, comptroller, and governor written notice of
  the violation. A notice provided under this section must:
               (1)  detail the specific provision violated by the
  contract;
               (2)  recommend actions to be taken to address the
  violation and any identified risks related to the contract;
               (3)  list potential remedies for the violation; and
               (4)  state any enforcement mechanism that may be
  assessed under Section 322.0212 for the violation.
         (b)  A state agency that receives notice of a violation under
  Subsection (a) shall develop a written corrective action plan
  consistent with the board's recommendations and provide the plan to
  the board not later than the 30th calendar day after the date the
  agency receives the notice.
         (c)  The board may monitor a state agency's implementation of
  the corrective action plan.
         Sec. 322.0212.  ENFORCEMENT. (a)  The Legislative Budget
  Board may assess an enforcement mechanism against a state agency
  that the board determines under Section 322.021 is in violation of
  the contract management guide, the comptroller's procurement
  policy manuals, or a state contracting law, rule, policy, or
  procedure.  The enforcement mechanism must be assessed in
  accordance with the schedule developed under Subsection (b).
         (b)  The board may establish a schedule of enforcement
  mechanisms that may be assessed against a state agency for a
  violation described by Subsection (a). The enforcement mechanisms
  may include:
               (1)  enhanced monitoring of the state agency's
  contracts by board personnel;
               (2)  required consultation with the Contract Advisory
  Team established under Section 2262.101 or the quality assurance
  team established under Section 2054.158 before issuance of a
  contract by the state agency;
               (3)  targeted audits by the State Auditor's Office at
  the request of the board; and
               (4)  recommended cancellation of a contract determined
  to contain a violation described by Section 322.0211(a).
         (c)  The board's director may recommend to the board an
  enforcement mechanism to be assessed against a state agency for a
  contract violation.
         (d)  The board may increase the severity of an enforcement
  mechanism assessed against a state agency for repeated contract
  violations described by Section 322.0211(a).
         (e)  The board may dismiss an enforcement mechanism assessed
  against a state agency by the board for a contract violation
  described by Section 322.0211(a) on successful implementation of a
  corrective action plan by the agency under Section 322.0211(b).
         SECTION 2.  Section 2262.101, Government Code, is amended by
  adding Subsection (g) to read as follows:
         (g)  The team shall provide to the Legislative Budget Board a
  copy of:
               (1)  each recommendation made under Subsection (a)(1)
  on a solicitation or contract document not later than the 10th
  calendar day after the date the team makes the recommendation; and 
               (2)  any written explanation submitted by a state
  agency under Subsection (d)(2) stating the reason a recommendation
  is not applicable to the contract under review not later than the
  10th calendar day after the date the team receives the explanation.
         SECTION 3.  This Act takes effect September 1, 2017.
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