HBA-EVB, EVB S.B. 1105 76(R)BILL ANALYSIS Office of House Bill AnalysisS.B. 1105 By: Ratliff Corrections 4/30/1999 Committee Report (Amended) BACKGROUND AND PURPOSE S.B. 1105 sets forth procedures for the disposition of surplus or salvage data processing equipment from state agencies or certain other institutions to the Texas Department of Criminal Justice (TDCJ) for repair or refurbishment. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that rulemaking authority is expressly delegated to the Texas Department of Criminal Justice in SECTION 1 (Section 497.011, Government Code) of this bill. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subchapter A, Chapter 497, Government Code, by adding Section 497.011, as follows: Sec. 497.011. REPAIR AND RESALE OF SURPLUS DATA PROCESSING EQUIPMENT. (a) Authorizes the Texas Department of Criminal Justice (TDCJ) to receive surplus or salvage data processing equipment under Chapter 2175 (Surplus and Salvage Property), Government Code. (b) Requires TDCJ, if it determines that it is economically feasible, to repair or refurbish the surplus or salvage data processing equipment. Requires TDCJ to sell the repaired or refurbished data processing equipment to a school district, a state agency, or a political subdivision of the state in that relative order of preference. (c) Requires TDCJ to disassemble the equipment and sell the components or retain the components in the department's inventory for future use, if it is not economically feasible to repair or refurbish the surplus or salvage data processing equipment. (d) Requires TDCJ to attempt to realize the maximum benefit to the state in selling repaired or refurbished data processing equipment or the components. (e) Provides that the sales price of the components or the repaired or refurbished data processing equipment must be sufficient to defray the cost of repairing, refurbishing, or disassembling the data processing equipment. (f) Requires proceeds from the sale of the components or the repaired or refurbished data processing equipment to be deposited in the industrial revolving account. Authorizes the proceeds to be used only to reduce the cost of repairing and refurbishing data processing equipment. (g) Authorizes TDCJ to adopt rules to implement this section. SECTION 2. Amends Section 2175.001, Government Code, by adding Subdivision (5), to define "data processing equipment." SECTION 3. Amends Subchapter C, Chapter 2175, Government Code, by adding Section 2175.126, as follows: Sec. 2175.126. DISPOSITION OF DATA PROCESSING EQUIPMENT. (a) Requires a state agency to transfer the equipment to TDCJ, if a disposition of the agency's surplus or salvage data processing equipment is not made under this subchapter. Prohibits the state agency from collecting a fee or other reimbursement from TDCJ for the surplus or salvage data processing equipment. (b) Requires the institution or agency to transfer the equipment to TDCJ, if a disposition of the surplus or salvage data processing equipment of a state eleemosynary institution or an institution or agency of higher education is not made under other law. Prohibits the institution or agency from collecting a fee or other reimbursement from TDCJ for the surplus or salvage data processing equipment. SECTION 4. Amends Section 2175.302, Government Code, as follows: Sec. 2175.302. EXCEPTION FOR ELEEMOSYNARY INSTITUTIONS AND INSTITUTIONS AND AGENCIES OF HIGHER EDUCATION. Provides that this chapter does not apply to the disposition of surplus or salvage property by a state eleemosynary institution or an institution or agency of higher education, except as provided by Section 2175.126(b). SECTION 5. Effective date: September 1, 1999. SECTION 6. Emergency clause. EXPLANATION OF AMENDMENTS Amendment #1 Amends S.B. 1105, in SECTION 1 (proposed Section 497.011, Government Code) of the bill, by adding Subsection (h), as follows: (h) Requires the Texas Department of Criminal Justice (TDCJ) to ensure that all information stored on the surplus or salvage data processing equipment received by TDCJ under this section is removed from the equipment before any inmate is given access to the equipment. Provides that this subsection does not require the removal of any operating system or software program stored on the data processing equipment.