HBA-JLV H.B. 737 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 737 By: Luna, Vilma State Affairs 2/28/2001 Introduced BACKGROUND AND PURPOSE Under current law, the General Services Commission (GSC) certifies historically underutilized businesses (HUB) and is authorized to enter into an agreement with a local government which will allow the local government to conduct a HUB certification program for minority business enterprises, women's business enterprises, or disadvantaged business enterprises. It has been discovered, however, that many local governments in Texas do not directly certify HUBs, and are instead contracting with nonprofit organizations to do the certification. Some businesses may find this process unappealing because of the additional level of bureaucracy it creates for those seeking HUB certification. House Bill 737 authorizes GSC to enter into an agreement with a nonprofit organization to allow the organization to conduct a HUB certification program. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 737 amends the Government Code to include the certification programs of nonprofit organizations that certify historically underutilized businesses, minority business enterprises, women's business enterprises, or disadvantaged business enterprises as a program that the General Services Commission (GSC) may approve as one of its certification procedures. The bill also authorizes GSC to certify a business certified under the nonprofit organization program as a historically underutilized business. EFFECTIVE DATE On passage, or if the Act does not receive the necessary vote, the Act takes effect September 1, 2001.