85R4989 YDB-F     By: Geren H.B. No. 3659       A BILL TO BE ENTITLED   AN ACT   relating to state agency contracting.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 2054.1181(a), Government Code, is   amended to read as follows:          (a)  At the direction of the governor, lieutenant governor,   or speaker of the house of representatives [The quality assurance   team, in coordination with the governor, may recommend major   information resources projects to the department for oversight. As   part of this oversight], the department shall provide additional   oversight services for major information resources projects,   including risk management, quality assurance services, independent   project monitoring, and project management. A state agency with a   project selected for oversight shall pay for oversight by the   department and quality assurance team based on a funding model   developed by the department. The department may contract with a   vendor to provide the necessary oversight at the department's   direction.          SECTION 2.  Section 2054.158, Government Code, is amended to   read as follows:          Sec. 2054.158.  QUALITY ASSURANCE TEAM; DUTIES.  (a)  The   comptroller, state auditor, Legislative Budget Board, and   department shall:                (1)  create a quality assurance team to perform the   duties specified in this chapter and other law; [and]                (2)  specify in writing the responsibilities of the   comptroller, state auditor, Legislative Budget Board, and   department in performing the duties; and                (3)  create an automated project review system.          (b)  The quality assurance team shall:                (1)  develop and recommend policies and procedures to   improve state agency information resources technology projects;   [and]                (2)  develop and recommend procedures to improve the   implementation of state agency information resources technology   projects by including considerations for best value and return on   investment; and                (3)  provide annual training for state agency   procurement and contract management staff on best practices and   methodologies for information technology contracts.          (c)  The state auditor serves on the quality assurance team   as a consultant.          SECTION 3.  Section 2054.303(a), Government Code, is amended   to read as follows:          (a)  For each proposed major information resources project   or major contract, a state agency must prepare:                (1)  a business case providing the initial   justification for the project or contract, including the   anticipated return on investment in terms of cost savings and   efficiency for the project or contract; [and]                (2)  a statewide impact analysis of the project's or   contract's effect on the state's common information resources   infrastructure, including the possibility of reusing code or other   resources; and                (3)  in consultation with the department, a technical   architectural assessment of the project or contract.          SECTION 4.  Section 2054.304, Government Code, is amended by   adding Subsection (d) to read as follows:          (d)  Each project delivery framework in a project plan must   be recognized as a best practice for major information resources   projects or major contracts.          SECTION 5.  Subchapter B, Chapter 2155, Government Code, is   amended by adding Section 2155.090 to read as follows:          Sec. 2155.090.  VENDOR AND EMPLOYEE INTERACTION AND   COMMUNICATION POLICY. (a)  Each state agency shall adopt a policy   on the interactions and communication between employees of the   state agency and a vendor that contracts with the state agency or   seeks to conduct business with the state agency.          (b)  This subtitle does not prohibit the exchange of   information between a state agency and a vendor related to future   solicitations or as necessary to monitor an existing contract.          SECTION 6.  Sections 2157.068(e-1) and (e-2), Government   Code, are amended to read as follows:          (e-1)  A state agency contracting to purchase a commodity   item shall use the list maintained as required by Subsection (e) as   follows:                (1)  for a contract with a value of $50,000 or less, the   agency may directly award the contract to a vendor included on the   list without submission of a request for pricing to other vendors on   the list;                (2)  for a contract with a value of more than $50,000   but not more than $1 million [$150,000], the agency must submit a   request for pricing to at least three vendors included on the list   in the category to which the contract relates; and                (3)  for a contract with a value of more than $1 million   [$150,000] but not more than $5 [$1] million, the agency must submit   a request for pricing to at least six vendors included on the list   in the category to which the contract relates or all vendors on the   schedule if the category has fewer than six vendors.          (e-2)  A state agency may not enter into a contract to   purchase a commodity item if the value of the contract exceeds $5   [$1] million.          SECTION 7.  Section 2261.251, Government Code, is amended by   adding Subsection (a-1) to read as follows:          (a-1)  This subchapter applies to a regional education   service center established under Chapter 8, Education Code.          SECTION 8.  Section 2262.101(a), Government Code, is amended   to read as follows:          (a)  The Contract Advisory Team is created to assist state   agencies in improving contract management practices by:                (1)  reviewing and making recommendations on the   solicitation documents and contract documents for contracts of   state agencies that have a value of at least $5 [$10] million;                (2)  reviewing any findings or recommendations made by   the state auditor, including those made under Section 2262.052(b),   regarding a state agency's compliance with the contract management   guide;                (3)  providing recommendations to the comptroller   regarding:                      (A)  the development of the contract management   guide; and                      (B)  the training under Section 2262.053;                (4)  providing recommendations and assistance to state   agency personnel throughout the contract management process;                (5)  coordinating and consulting with the quality   assurance team established under Section 2054.158 on all contracts   relating to a major information resources project;                (6)  developing and recommending policies and   procedures to improve state agency contract management practices;                (7)  developing and recommending procedures to improve   state agency contracting practices by including consideration for   best value; and                (8)  creating and periodically performing a risk   assessment to determine the appropriate level of management and   oversight of contracts by state agencies.          SECTION 9.  Subchapter A, Chapter 8, Education Code, is   amended by adding Section 8.0091 to read as follows:          Sec. 8.0091.  APPLICABILITY OF CERTAIN STATE CONTRACTING   LAWS. A regional education service center and each center employee   is subject to Subchapter F, Chapter 2261, Government Code.  For   purposes of that chapter:                (1)  the center is considered to be a state agency; and                (2)  each center employee is considered to be a state   employee.          SECTION 10.  (a) Not later than January 1, 2018, each state   agency shall adopt a vendor and employee interaction and   communication policy as required by Section 2155.090, Government   Code, as added by this Act.          (b)  The changes in law made by this Act apply only in   relation to a contract for which a state agency first advertises or   otherwise solicits bids, proposals, offers, or qualifications on or   after the effective date of this Act.          SECTION 11.  This Act takes effect September 1, 2017.