HBA-JEK, TBM S.B. 335 77(R)    BILL ANALYSIS


Office of House Bill AnalysisS.B. 335
By: Carona
County Affairs
4/8/2001
Engrossed



BACKGROUND AND PURPOSE 

Under current law, a local government in this state may only enter into an
interlocal contract with a local government in a state that borders this
one.  By limiting local governments of this state to contracting with local
governments in New Mexico, Oklahoma, Arkansas, and Louisiana, Texas law may
be limiting potential opportunities to benefit from interstate relations.
Senate Bill 335 removes the neighboring state limitation on interlocal
contracts and clarifies guidelines for interlocal contracts.   

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

Senate Bill 335 amends the Government Code to authorize a local government
in this state to enter into an interlocal cooperation contract with a local
government in another state.  The bill deletes the restriction that the
out-of-state local government must be in a state that borders this state.
The bill specifies that a governmental entity of this state or another
state that makes purchases or provides purchasing services under an
interlocal contract for a state agency must comply with provisions
governing historically underutilized businesses. 

EFFECTIVE DATE

September 1, 2001.