HBA-TBM H.B. 1981 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 1981
By: Farabee
County Affairs
3/5/2001
Introduced



BACKGROUND AND PURPOSE 

Under current law, it is unclear whether counties may accept competitive
bids electronically because such bids are required to be sealed.  Modern
identification and security measures for electronic communications make it
possible to ensure the confidentiality of the bids.  Electronic bidding
should help streamline the processing of bids and vendors may benefit from
the convenience.  House Bill 1981 authorizes electronic bidding and
provides for the adoption of rules regarding electronic bidding.  

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 1981 amends the Local Government Code to define competitive
bidding and provide that the county purchasing agent, prior to receiving
electronic bids, must adopt rules to ensure the identification, security,
and confidentiality of such bids.   

EFFECTIVE DATE

September 1, 2001.