2005 Texas Government Code CHAPTER 2156. PURCHASING METHODS

GOVERNMENT CODE

CHAPTER 2156. PURCHASING METHODS

SUBCHAPTER A. CONTRACT PURCHASE PROCEDURE


	§ 2156.001. CONTRACT PURCHASE PROCEDURE AUTHORIZED.  The 
commission may use the contract purchase procedure to purchase 
goods and services.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.            


	§ 2156.002. SOLICITATION OF BIDS THROUGH PUBLIC 
NOTICE.  (a) A notice inviting bids shall be published at least 
once in at least one newspaper of general circulation in the state 
not later than the seventh day before the last day set for the 
receipt of bids.
	(b)  The notice must:                                                          
		(1)  include a general description of the items to be 
purchased;            
		(2)  state the location at which bid forms and 
specifications may be obtained;  and
		(3)  state the time and place for opening bids.                               

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.            


	§ 2156.003. SOLICITATION OF BIDS THROUGH BIDDERS LIST;  
BID INVITATIONS.  (a) The commission shall electronically maintain 
a bidders list that is integrated into the electronic procurement 
marketplace established by the Department of Information 
Resources.  If the commission determines that it is in the state's 
best interest, the commission may also maintain the list on paper.  
The commission may add or delete names from the list according to 
applicable standards provided by Section 2156.007.
	(b)  In addition to any requirements of Chapter 2177, an 
invitation to bid on an item to be purchased may be sent 
electronically to a vendor on the bidders list who has expressed a 
desire to bid on that type of item.
	(c)  The commission may use the bidders list in making a 
purchase by any purchase method.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Amended by Acts 2001, 77th Leg., ch. 1422, § 7.03, eff. Sept. 1, 
2001.


	§ 2156.004. BID DEPOSIT.  (a) The commission, as 
considered necessary, may require a bid deposit in an amount 
determined by the commission.  The amount of the deposit, if any, 
must be stated in the public notice and the invitation to bid.
	(b)  On the award of a bid or the rejection of all bids, the 
commission shall refund the bid deposit of an unsuccessful bidder.
	(c)  The commission may accept from a bidder a bid deposit in 
the form of a blanket bond.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Amended by Acts 2003, 78th Leg., ch. 785, § 35, eff. Sept. 1, 
2003.


	§ 2156.005. BID SUBMISSION AND OPENING;  PUBLIC 
INSPECTION.  (a) A bidder must submit a sealed bid to the 
commission or to the state agency making a purchase.  The bid must 
be identified on the envelope as a bid.
	(b)  Subsection (a) does not apply to bids submitted through 
the use of facsimile transmission, on-line electronic 
transmission, or the electronic commerce network.  The commission 
may adopt rules to ensure the identification, security, and 
confidentiality of bids submitted through the use of facsimile 
transmission, on-line electronic transmission, or the electronic 
commerce network.
	(c)  The commission or other state agency making a purchase 
shall open bids at the time and place stated in the invitation to 
bid.
	(d)  The commission shall keep a tabulation of all bids 
received by the commission available for public inspection under 
rules adopted by the commission.  State agencies making purchases 
shall adopt the commission's rules related to bid opening and 
tabulation.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Amended by Acts 1997, 75th Leg., ch. 494, § 3, eff. Sept. 1, 
1997;  Acts 1997, 75th Leg., ch. 1206, § 13, eff. Sept. 1, 1997.


	§ 2156.006. SUBMISSION OF ADDITIONAL MATERIAL WITH 
BID.  (a) A bidder as an essential element of the materiality of the 
bid must comply with the specified time limit for the submission of 
written information, samples, or models at or before the time for 
bid opening.
	(b)  The commission may waive this requirement if the failure 
to comply is beyond the bidder's control.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.            


	§ 2156.007. CONTRACT AWARD.  (a) The commission or other 
state agency making a purchase shall award a contract to the bidder 
offering the best value for the state while conforming to the 
specifications required.
	(b)  In determining the bidder offering the best value, the 
commission or other state agency may consider the safety record of 
the bidder, the entity represented by the bidder, and any person 
acting for the represented entity only if:
		(1)  the commission or other state agency has adopted a 
written definition and criteria for accurately determining the 
safety record of a bidder;  and
		(2)  the commission or state agency provided notice in 
the bid specifications to prospective bidders that a bidder's 
safety record may be considered in determining the bidder offering 
the best value for the state.
	(c)  A determination of a bidder's safety record may not be 
arbitrary and capricious.
	(d)  In determining the bidder offering the best value, in 
addition to price the commission or other state agency shall 
consider:
		(1)  the quality and availability of the goods or 
contractual services and their adaptability to the use required;
		(2)  the scope of conditions attached to the bid;                             
		(3)  the bidder's ability, capacity, and skill to 
perform the contract or provide the service required;
		(4)  the bidder's ability to perform the contract or 
provide the service promptly, or in the time required, without 
delay or interference;
		(5)  the bidder's character, responsibility, 
integrity, and experience or demonstrated capability;
		(6)  the quality of performance of previous contracts 
or services;          
		(7)  the bidder's previous and existing compliance with 
laws relating to the contract or service;
		(8)  the bidder's previous or existing noncompliance 
with specification requirements relating to the time of submission 
of specified information, including samples, models, drawings, or 
certificates;
		(9)  the sufficiency of the bidder's financial 
resources and ability to perform the contract or provide the 
service;  and
		(10)  the bidder's ability to provide future 
maintenance, repair parts, and service for the use of the 
contract's subject.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Amended by Acts 1997, 75th Leg., ch. 1206, § 14, eff. Sept. 1, 
1997.


	§ 2156.008. REJECTION OF BIDS.  (a) The commission or 
other state agency making the purchase shall reject a bid in which 
there is a material failure to comply with specification 
requirements.
	(b)  The commission or other state agency may reject all bids 
or parts of bids if the rejection serves the state's interest.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Amended by Acts 1997, 75th Leg., ch. 1206, § 14, eff. Sept. 1, 
1997.


	§ 2156.009. REASONS FOR AWARD.  On award of a contract, 
the division of the commission responsible for purchasing or the 
state agency making the purchase shall prepare and file with other 
records relating to the transaction a statement of the reasons for 
making the award to the successful bidder and the factors 
considered in determining which bidder offered the best value for 
the state.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Amended by Acts 1997, 75th Leg., ch. 1206, § 14, eff. Sept. 1, 
1997.


	§ 2156.010. TIE BIDS.  In the case of tie bids, the value 
and cost to the state being equal, a contract shall be awarded under 
commission rules.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Amended by Acts 1997, 75th Leg., ch. 1206, § 14, eff. Sept. 1, 
1997.


	§ 2156.011. PERFORMANCE BOND.  (a) The commission may 
require a performance bond before executing a contract.
	(b)  The commission may require the bond in an amount that 
the commission finds reasonable and necessary to protect the 
state's interests.
	(c)  Any bond required shall be issued on the condition that 
the bidder faithfully execute the terms of the contract.
	(d)  Any bond required shall be filed with the commission.                     
	(e)  Recoveries under the bond may continue until the bond is 
exhausted.     

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.            

SUBCHAPTER B. OPEN MARKET PURCHASE PROCEDURE


	§ 2156.061. USE OF OPEN MARKET PURCHASE PROCEDURE 
AUTHORIZED;  USE OF PROCEDURE.  On a commission determination that 
a purchase of goods or services may be made most effectively in the 
open market, the commission may use the open market purchase 
procedure and the purchase may be made without newspaper 
advertising.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.            


	§ 2156.062. MINIMUM NUMBER AND EVALUATION OF BIDS.  An 
open market purchase shall, to the extent possible, be:
		(1)  based on at least three competitive bids;  and                           
		(2)  awarded to the bidder offering the best value for 
the state in accordance with standards set forth in Chapters 2155, 
2156, 2157, and 2158.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Amended by Acts 1997, 75th Leg., ch. 1206, § 15, eff. Sept. 1, 
1997.


	§ 2156.063. SOLICITATION OF BIDS.  The commission and 
each state agency making a purchase shall solicit bids under this 
subchapter by:
		(1)  direct mail;                                                             
		(2)  telephone;                                                               
		(3)  telegraph;                                                               
		(4)  facsimile transmission;                                                  
		(5)  on-line electronic transmission;  or                                     
		(6)  posting on the electronic commerce network.                              

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Amended by Acts 1997, 75th Leg., ch. 494, § 4, eff. Sept. 1, 
1997;  Acts 1997, 75th Leg., ch. 1206, § 15, eff. Sept. 1, 1997.


	§ 2156.064. RECORDING AND INSPECTION OF BIDS.  (a) The 
commission shall keep a record of all open market orders and bids 
submitted on the orders.
	(b)  A tabulation of the bids shall be open for public 
inspection, under rules established by the commission.
	(c)  A tabulation of the bids shall always be open for 
inspection by the state auditor or the auditor's representative.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.            


	§ 2156.065. AGENCY REVIEW OF BIDS.  (a) On the request of 
a state agency to review the bids on a purchase administered by the 
commission, the commission shall send or make available to the 
requesting agency copies of each bid received and the commission's 
recommended award.
	(b)  If, after review of the bids and evaluation of the 
quality of goods or services offered in the bids, the state agency 
determines that the bid selected by the commission does not offer 
the best value for the state, the agency may file with the 
commission a written recommendation that the award be made to the 
bidder who, according to the agency's determination, offers the 
best value for the state. The agency recommendation must include a 
justification of the agency's determination.
	(c)  The commission shall consider, but is not bound by, the 
agency recommendation in making the award.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Amended by Acts 1997, 75th Leg., ch. 1206, § 16, eff. Sept. 1, 
1997.


	§ 2156.066. STATEMENT OF REASONS FOR AWARD.  The division 
of the commission responsible for purchasing or the state agency 
making a purchase shall prepare and file with other records 
relating to a transaction under this subchapter a statement of the 
reasons for placing an order with a successful bidder for the 
transaction and the factors considered in determining the bid 
offering the best value for the state.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Amended by Acts 1997, 75th Leg., ch. 1206, § 16, eff. Sept. 1, 
1997.

SUBCHAPTER C. COMPETITIVE SEALED PROPOSALS FOR ACQUISITION OF GOODS 
AND SERVICES


	§ 2156.121. USE OF COMPETITIVE SEALED PROPOSALS.  (a) The 
commission or other state agency may follow a procedure using 
competitive sealed proposals to acquire goods or services if the 
commission determines that competitive sealed bidding and informal 
competitive bidding for the purchase or type of purchase are not 
practical or are disadvantageous to the state.
	(b)  A state agency shall send its proposal specifications 
and criteria to the commission for approval or request the 
commission to develop the proposal specifications and criteria.
	(c)  The commission shall determine whether to delegate sole 
oversight of the acquisition to a state agency or to retain 
oversight of the procurement.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Amended by Acts 1997, 75th Leg., ch. 1206, § 17, eff. Sept. 1, 
1997;  Acts 1999, 76th Leg., ch. 426, § 8, eff. June 18, 1999.


	§ 2156.122. SOLICITATION OF PROPOSALS.  The commission or 
other state agency shall:
		(1)  solicit proposals under this subchapter by a 
request for proposals;  and
		(2)  give public notice of a request for proposals in 
the manner provided for requests for bids under Subchapter B.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Renumbered from § 2156.124 and amended by Acts 1997, 75th Leg., 
ch. 1206, § 17, eff. Sept. 1, 1997.


	§ 2156.123. OPENING AND FILING OF PROPOSALS;  PUBLIC 
INSPECTION.  (a) The commission or other state agency shall avoid 
disclosing the contents of each proposal on opening the proposal 
and during negotiations with competing offerors.
	(b)  The commission or other state agency shall file each 
proposal in a register of proposals, which, after a contract is 
awarded, is open for public inspection unless the register contains 
information that is excepted from required disclosure under 
Subchapter C, Chapter 552.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Renumbered from § 2156.126 and amended by Acts 1997, 75th Leg., 
ch. 1206, § 17, eff. Sept. 1, 1997.


	§ 2156.124. DISCUSSION AND REVISION OF PROPOSALS.  (a) As 
provided in a request for proposals and under rules adopted by the 
commission, the commission or other state agency may discuss 
acceptable or potentially acceptable proposals with offerors to 
assess an offeror's ability to meet the solicitation requirements.  
When the commission is managing the request for proposals process, 
it shall invite a requisitioning agency to participate in 
discussions conducted under this section.
	(b)  After receiving a proposal but before making an award, 
the commission or other state agency may permit the offeror to 
revise the proposal to obtain the best final offer.
	(c)  The commission or other state agency may not disclose 
information derived from proposals submitted from competing 
offerors in conducting discussions under this section.
	(d)  The commission or other state agency shall provide each 
offeror an equal opportunity to discuss and revise proposals.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Renumbered from § 2156.127 and amended by Acts 1997, 75th Leg., 
ch. 1206, § 17, eff. Sept. 1, 1997.


	§ 2156.125. CONTRACT AWARD.  (a) The commission or other 
state agency shall make a written award of a contract to the offeror 
whose proposal offers the best value for the state, considering 
price, past vendor performance, vendor experience or demonstrated 
capability, and the evaluation factors in the request for 
proposals.
	(b)  The commission or other state agency shall refuse all 
offers if none of the offers submitted is acceptable.
	(c)  The commission or other state agency shall determine 
which proposal offers the best value for the state in accordance 
with Sections 2155.074 and 2155.075.
	(d)  The commission or other state agency shall state in 
writing in the contract file the reasons for making an award.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Renumbered from § 2156.128 and amended by Acts 1997, 75th Leg., 
ch. 1206, § 17, eff. Sept. 1, 1997.


	§ 2156.126. ADOPTION OF RULES;  STATE AGENCY 
ASSISTANCE.  The commission may adopt rules and request assistance 
from other state agencies to perform its responsibilities under 
this subchapter.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Renumbered from § 2156.129 and amended by Acts 1997, 75th Leg., 
ch. 1206, § 17, eff. Sept. 1, 1997.


	§ 2156.127. COMPETITIVE SEALED PROPOSALS FOR 
TELECOMMUNICATIONS AND AUTOMATED INFORMATION SYSTEMS NOT 
AFFECTED.  This subchapter does not affect Subchapter C, Chapter 
2157.

Added by Acts 1995, 74th Leg., ch. 41, § 1, eff. Sept. 1, 1995.  
Renumbered from § 2156.130 and amended by Acts 1997, 75th Leg., 
ch. 1206, § 17, eff. Sept. 1, 1997.

SUBCHAPTER D. INTERSTATE COMPACTS PROCEDURE


	§ 2156.181. INTERSTATE COMPACTS AND COOPERATIVE 
AGREEMENTS FOR PROCUREMENTS.  (a) The commission may enter into one 
or more compacts, interagency agreements, or cooperative 
purchasing agreements with one or more state governments, agencies 
of other states, or other governmental entities for the purchase of 
goods or services if the commission determines that entering into 
an agreement would be in the best interest of the state.
	(b)  The commission may adopt rules to implement this 
section.               

Added by Acts 1999, 76th Leg., ch. 426, § 9, eff. June 18, 1999.