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�	H.B.�No.�1886

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�	AN ACT
�	relating to the procurement methods of certain political
�	subdivisions and certain other entities for the construction,
�	rehabilitation, alteration, or repair of certain projects.
�	�������BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
�	�������SECTION�1.��Section 252.021(a), Local Government Code, is
�	amended to read as follows:
�	�������(a)��Before a municipality may enter into a contract that
�	requires an expenditure of more than $25,000 from one or more
�	municipal funds, the municipality must:
�	�������������(1)��comply with the procedure prescribed by this
�	subchapter and Subchapter C for competitive sealed bidding or
�	competitive sealed proposals;
�	�������������(2)��use the reverse auction procedure, as defined by
�	Section 2155.062(d), Government Code, for purchasing; or
�	�������������(3)��comply with a method described by Subchapter H or
�	J, Chapter 271.
�	�������SECTION�2.��Sections 271.111(7) and (10), Local Government
�	Code, are amended to read as follows:
�	�������������(7)��"Facility" means, unless otherwise specifically
�	provided, buildings the design and construction of which are
�	governed by accepted building codes. The term does not include:
�	�������������������(A)��highways, roads, streets, bridges,
�	utilities, water supply projects, water plants, wastewater plants,
�	water and wastewater distribution or conveyance facilities,
�	wharves, docks, airport runways and taxiways, drainage projects, or
�	related types of projects associated with civil engineering
�	construction; or
�	�������������������(B)��buildings or structures that are incidental
�	to projects that are primarily civil engineering construction
�	projects.
�	�������������(10)��"Governmental entity" means a municipality,
�	county, hospital district, water district or authority created
�	under Section 59, Article XVI, Texas Constitution, including a
�	river authority or conservation and reclamation district, or a
�	defense base development authority established under Chapter 379B
�	[378 as added by Chapter 1221, Acts of the 76th Legislature, Regular
�	Session, 1999].
�	�������SECTION�3.��Section 271.116, Local Government Code, is
�	amended by adding Subsection (a-1) to read as follows:
�	�������(a-1)��In this section "facility" means an improvement to
�	real property.
�	�������SECTION�4.��Section 271.118, Local Government Code, is
�	amended by adding Subsection (a-1) to read as follows:
�	�������(a-1)��In this section "facility" means an improvement to
�	real property.
�	�������SECTION�5.��Section 271.120(i), Local Government Code, is
�	amended to read as follows:
�	�������(i)��If a job order contract or an order issued under the
�	contract requires engineering or architectural services that
�	constitute the practice of engineering within the meaning of
�	Chapter 1001, Occupations Code, or the practice of architecture
�	within the meaning of Chapter 1051, Occupations Code, the
�	governmental entity shall select or designate an architect or
�	engineer to prepare the construction documents for the facility
�	[those services shall be provided in accordance with applicable
�	law]. If the architect or engineer is not a full-time employee of
�	the governmental entity, the governmental entity shall select the
�	architect or engineer on the basis of demonstrated competence and
�	qualifications as provided by Section 2254.004, Government Code.
�	�������SECTION�6.��Chapter 271, Local Government Code, is amended
�	by adding Subchapter J to read as follows:
�	SUBCHAPTER J.��DESIGN-BUILD PROCEDURES FOR CERTAIN CIVIL WORKS
�	PROJECTS
�	�������Sec.�271.181.��DEFINITIONS. �In this subchapter:
�	�������������(1)��"Architect" means an individual registered as an
�	architect under Chapter 1051, Occupations Code.
�	�������������(2)��"Civil works project" means:
�	�������������������(A)��roads, streets, bridges, utilities, water
�	supply projects, water plants, wastewater plants, water
�	distribution and wastewater conveyance facilities, desalination
�	projects, airport runways and taxiways, storm drainage and flood
�	control projects, or transit projects;
�	�������������������(B)��types of projects or facilities related to
�	those described by Paragraph (A) and associated with civil
�	engineering construction; and
�	�������������������(C)��buildings or structures that are incidental
�	to projects or facilities that are described by Paragraphs (A) and
�	(B) and that are primarily civil engineering construction projects.
�	�������������(3)��"Design-build firm" means a partnership,
�	corporation, or other legal entity or team that includes an
�	engineer and a construction contractor qualified to engage in civil
�	works construction in Texas.
�	�������������(4)��"Design criteria package" means a set of documents
�	that:
�	�������������������(A)��provides sufficient information to convey
�	the intent, goals, criteria, and objectives of the civil works
�	project; and
�	�������������������(B)��permits a design-build firm to:
�	�������������������������(i)��assess the scope of work and the risk
�	involved; and
�	�������������������������(ii)��submit a proposal on the project.
�	�������������(5)��"Engineer" means an individual licensed as an
�	engineer under Chapter 1001, Occupations Code.
�	�������������(6)��"Local governmental entity"�means a municipality,
�	a county, a river authority, a defense base development authority
�	established under Chapter 379B, a municipally owned water utility
�	with a separate governing board appointed by the governing body of a
�	municipality, or any other special district or authority authorized
�	by law to enter into a public works contract for a civil works
�	project. The term does not include a regional tollway authority
�	created under Chapter 366, Transportation Code, a regional mobility
�	authority created under Chapter 370, Transportation Code, or a
�	water district or authority created under Section 52, Article III,
�	or Section 59, Article XVI, Texas Constitution, with a population
�	of less than 50,000.
�	�������Sec.�271.182.��APPLICABILITY. (a) Before September 1,
�	2009, this subchapter applies to a local governmental entity with a
�	population of 500,000 or more within its geographic boundaries or
�	service area.
�	�������(b)��On or after September 1, 2009, and before September 1,
�	2011, this subchapter applies to a local governmental entity with a
�	population of more than 100,000 within its geographic boundaries or
�	service area.
�	�������Sec.�271.183.��APPLICABILITY OF OTHER LAW. �(a) �The
�	purchasing requirements of Section 361.426, Health and Safety Code,
�	apply to purchases by a local governmental entity made under this
�	subchapter.
�	�������(b)��Except as provided by this section, to the extent of any
�	conflict, this subchapter prevails over any other law relating to
�	the purchasing of goods and services except a law relating to
�	contracting with historically underutilized businesses.
�	�������Sec.�271.184.��NOTICE REQUIREMENTS. (a) �A local
�	governmental entity shall advertise or publish notice of requests
�	for bids, proposals, or qualifications in any manner prescribed by
�	law.
�	�������(b)��For a contract entered into by a local governmental
�	entity under any of the methods provided by this subchapter, the
�	entity shall publish notice of the time and place the bid or
�	proposals or the request for qualifications will be received and
�	opened in any manner prescribed by law.
�	�������Sec.�271.185.��CONTRACTS FOR CIVIL WORKS PROJECTS:
�	DESIGN-BUILD. (a) A local governmental entity may use the
�	design-build method for the construction, rehabilitation,
�	alteration, or repair of a civil works project. In using this method
�	and in entering into a contract for the services of a design-build
�	firm, the contracting local governmental entity and the
�	design-build firm shall follow the procedures provided by this
�	subchapter.
�	�������(b)��A contract for a project under this subchapter may cover
�	only a single integrated project. �A local governmental entity may
�	not enter into a contract for aggregated projects at multiple
�	locations. �For purposes of this subsection:
�	�������������(1)��if a metropolitan transit authority created under
�	Chapter 451, Transportation Code, enters into a contract for a
�	project involving a bus rapid transit system created under Chapter
�	451, Transportation Code, the bus rapid transit system is a single
�	integrated project; and
�	�������������(2)��a water treatment plant, including a desalination
�	plant, that includes treatment facilities, well fields, and
�	pipelines is a single integrated project.
�	�������(c)��A local governmental entity shall use the following
�	criteria as a minimum basis for determining the circumstances under
�	which the design-build method is appropriate for a project:
�	�������������(1)��the extent to which the entity can adequately
�	define the project requirements;
�	�������������(2)��the time constraints for the delivery of the
�	project;
�	�������������(3)��the ability to ensure that a competitive
�	procurement can be held; and
�	�������������(4)��the capability of the entity to manage and oversee
�	the project, including the availability of experienced personnel or
�	outside consultants who are familiar with the design-build method
�	of project delivery.
�	�������(d)��A local governmental entity shall make a formal finding
�	on the criteria described by Subsection (c) before preparing a
�	request for qualifications under Section 271.189.
�	�������Sec.�271.186.��LIMITATION ON NUMBER OF PROJECTS. (a) During
�	the first four years that this subchapter applies to a local
�	governmental entity under Section 271.182:
�	�������������(1)��a local governmental entity with a population of
�	500,000 or more may, under this subchapter, enter into contracts
�	for not more than three projects in any fiscal year;
�	�������������(2)��a local governmental entity with a population of
�	100,000 or more but less than 500,000 may, under this subchapter,
�	enter into contracts for not more than two projects in any fiscal
�	year; and
�	�������������(3)��a municipally owned water utility with a separate
�	governing board appointed by the governing body of a municipality
�	with a population of 500,000 or more may:
�	�������������������(A)��independently enter into a contract for not
�	more than one civil works project in any fiscal year; and
�	�������������������(B)��enter into contracts for additional civil
�	works projects in any fiscal year, but not more than the number of
�	civil works projects prescribed by the limit in Subdivision (1) for
�	the municipality, provided that:
�	�������������������������(i)��the additional contracts for the civil
�	works projects entered into by the utility under this paragraph are
�	allocated to the number of contracts the municipality that appoints
�	the utility's governing board may enter under Subdivision (1); and
�	�������������������������(ii)��the governing body of the municipality
�	must approve the contracts.
�	�������(b)��After the period described by Subsection (a):
�	�������������(1)��a local governmental entity with a population of
�	500,000 or more may, under this subchapter, enter into contracts
�	for not more than six projects in any fiscal year;
�	�������������(2)��a local governmental entity with a population of
�	100,000 or more but less than 500,000 may, under this subchapter,
�	enter into contracts for not more than four projects in any fiscal
�	year; and
�	�������������(3)��a municipally owned water utility with a separate
�	governing board appointed by the governing body of a municipality
�	with a population of 500,000 or more may:
�	�������������������(A)��independently enter into contracts for not
�	more than two civil works projects in any fiscal year; and
�	�������������������(B)��enter into contracts for additional civil
�	works projects in any fiscal year, but not more than the number of
�	civil works projects prescribed by the limit in Subdivision (1) for
�	the municipality, provided that:
�	�������������������������(i)��the additional contracts for the civil
�	works projects entered into by the utility under this paragraph are
�	allocated to the number of contracts the municipality that appoints
�	the utility's governing board may enter under Subdivision (1); and
�	�������������������������(ii)��the governing body of the municipality
�	must approve the contracts.
�	�������(c)��For purposes of determining the number of eligible
�	projects under this section, a municipally owned water utility with
�	a separate governing board appointed by the governing body of the
�	municipality is considered part of the municipality.
�	�������Sec.�271.187.��USE OF ENGINEER. (a) The local governmental
�	entity shall select or designate an engineer who is independent of
�	the design-build firm to act as its representative for the
�	procurement process and for the duration of the work on the civil
�	works project. �The selected or designated engineer has full
�	responsibility for complying with Chapter 1001, Occupations Code.
�	�������(b)��If the engineer is not a full-time employee of the local
�	governmental entity, the local governmental entity shall select the
�	engineer on the basis of demonstrated competence and qualifications
�	as provided by Section 2254.004, Government Code.
�	�������Sec.�271.188.��USE OF OTHER PROFESSIONAL SERVICES. (a) The
�	local governmental entity shall provide or contract for,
�	independently of the design-build firm, the following services as
�	necessary for the acceptance of the civil works project by the
�	entity:
�	�������������(1)��inspection services;
�	�������������(2)��construction materials engineering and testing;
�	and
�	�������������(3)��verification testing services.
�	�������(b)��The local governmental entity shall select the services
�	for which it contracts under this section in accordance with
�	Section 2254.004, Government Code.
�	�������Sec.�271.189.��REQUEST FOR QUALIFICATIONS. (a) �The local
�	governmental entity shall prepare a request for qualifications that
�	includes:
�	�������������(1)��information on the civil works project site;
�	�������������(2)��project scope;
�	�������������(3)��project budget;
�	�������������(4)��project schedule;
�	�������������(5)��criteria for selection under Section 271.191 and
�	the weighting of the criteria; and
�	�������������(6)��other information that may assist potential
�	design-build firms in submitting proposals for the project.
�	�������(b)��The local governmental entity shall also prepare a
�	design criteria package as described by Section 271.190.
�	�������Sec.�271.190.��CONTENTS OF DESIGN CRITERIA PACKAGE. A
�	design criteria package may include, as appropriate:
�	�������������(1)��budget or cost estimates;
�	�������������(2)��information on the site;
�	�������������(3)��performance criteria;
�	�������������(4)��special material requirements;
�	�������������(5)��initial design calculations;
�	�������������(6)��known utilities;
�	�������������(7)��capacity requirements;
�	�������������(8)��quality assurance and quality control
�	requirements;
�	�������������(9)��the type, size, and location of structures; and
�	�������������(10)��notice of any ordinances, rules, or goals adopted
�	by the local governmental entity relating to awarding contracts to
�	historically underutilized businesses.
�	�������Sec.�271.191.��EVALUATION OF DESIGN-BUILD FIRMS. (a) The
�	local governmental entity shall receive proposals and shall
�	evaluate each offeror's experience, technical competence,
�	capability to perform, the past performance of the offeror's team
�	and members of the team, and other appropriate factors submitted by
�	the team or firm in response to the request for qualifications,
�	except that cost-related or price-related evaluation factors are
�	not permitted at this stage.
�	�������(b)��Each offeror must:
�	�������������(1)��select or designate each engineer that is a member
�	of its team based on demonstrated competence and qualifications, in
�	the manner provided by Section 2254.004, Government Code; and
�	�������������(2)��certify to the local governmental entity that each
�	selection or designation was based on demonstrated competence and
�	qualifications, in the manner provided by Section 2254.004,
�	Government Code.
�	�������(c)��The local governmental entity shall qualify offerors to
�	submit additional information and, if the entity chooses, to
�	interview for final selection.
�	�������Sec.�271.192.��SELECTION OF DESIGN-BUILD FIRM. The local
�	governmental entity shall select a design-build firm using a
�	combination of technical and cost proposals as provided by Section
�	271.193.
�	�������Sec.�271.193.��PROCEDURES FOR COMBINATION OF TECHNICAL AND
�	COST PROPOSALS. (a) �A local governmental entity shall request
�	proposals from design-build firms identified under Section
�	271.191(c). �A firm must submit a proposal not later than the 180th
�	day after the date the local governmental entity makes a public
�	request for the proposals from the selected firms. The request for
�	proposals must include:
�	�������������(1)��a design criteria package;
�	�������������(2)��if the project site is identified, a geotechnical
�	baseline report or other information that provides the design-build
�	firm minimum geotechnical design parameters to submit a proposal;
�	�������������(3)��detailed instructions for preparing the technical
�	proposal and the items to be included, including a description of
�	the form and level of completeness of drawings expected; and
�	�������������(4)��the relative weighting of the technical and price
�	proposals and the formula by which the proposals will be evaluated
�	and ranked.
�	�������(b)��The technical proposal is a component of the proposal
�	under this section.
�	�������(c)��Each proposal must include a sealed technical proposal
�	and a separate sealed cost proposal.
�	�������(d)��The technical proposal must address:
�	�������������(1)��project approach;
�	�������������(2)��anticipated problems;
�	�������������(3)��proposed solutions to anticipated problems;
�	�������������(4)��ability to meet schedules;
�	�������������(5)��conceptual engineering design; and
�	�������������(6)��other information requested by the local
�	governmental entity.
�	�������(e)��The local governmental entity shall first open,
�	evaluate, and score each responsive technical proposal submitted on
�	the basis of the criteria described in the request for proposals and
�	assign points on the basis of the weighting specified in the request
�	for proposals. �The local governmental entity may reject as
�	nonresponsive any firm that makes a significant change to the
�	composition of its firm as initially submitted. The local
�	governmental entity shall subsequently open, evaluate, and score
�	the cost proposals from firms that submitted a responsive technical
�	proposal and assign points on the basis of the weighting specified
�	in the request for proposals. �The local governmental entity shall
�	select the design-build firm in accordance with the formula
�	provided in the request for proposals.
�	�������Sec.�271.194.��NEGOTIATION. After selecting the highest
�	ranked design-build firm under Section 271.193, the local
�	governmental entity shall first attempt to negotiate a contract
�	with the selected firm. If the local governmental entity is unable
�	to negotiate a satisfactory contract with the selected firm, the
�	entity shall, formally and in writing, end all negotiations with
�	that firm and proceed to negotiate with the next firm in the order
�	of the selection ranking until a contract is reached or
�	negotiations with all ranked firms end.
�	�������Sec.�271.195.��ASSUMPTION OF RISKS. �The local governmental
�	entity shall assume:
�	�������������(1)��all risks and costs associated with:
�	�������������������(A)��scope changes and modifications, as
�	requested by the local governmental entity;
�	�������������������(B)��unknown or differing site conditions unless
�	otherwise provided by the local governmental entity in the request
�	for proposals and final contract;
�	�������������������(C)��regulatory permitting, if the local
�	governmental entity is responsible for those risks and costs by law
�	or contract; and
�	�������������������(D)��natural disasters and other force majeure
�	events unless otherwise provided by the local governmental entity
�	in the request for proposals and final contract; and
�	�������������(2)��all costs associated with property acquisition,
�	excluding costs associated with acquiring a temporary easement or
�	work area associated with staging or construction for the project.
�	�������Sec.�271.196.��STIPEND AMOUNT FOR UNSUCCESSFUL OFFERORS. �
�	(a)��Unless a stipend is paid under Subsection (c), the
�	design-build firm retains all rights to the work product submitted
�	in a proposal. The local governmental entity may not release or
�	disclose to any person, including the successful offeror, the work
�	product contained in an unsuccessful proposal. The local
�	governmental entity shall return all copies of the proposal and
�	other information submitted to an unsuccessful offeror. The local
�	governmental entity or its agents may not make use of any unique or
�	nonordinary design element, technique, method, or process
�	contained in the unsuccessful proposal that was not also contained
�	in the successful proposal at the time of the original submittal,
�	unless the entity acquires a license from the unsuccessful offeror.
�	�������(b)��A violation of this section voids the contract for the
�	project entered into by the local governmental entity. The local
�	governmental entity is liable to any unsuccessful offeror, or any
�	member of the design-build team or its assignee, for one-half of the
�	cost savings associated with the unauthorized use of the work
�	product of the unsuccessful offeror. Any interested party may
�	bring an action for an injunction, declaratory relief, or damages
�	for a violation of this section. A party who prevails in an action
�	under this subsection is entitled to reasonable attorney's fees as
�	approved by the court.
�	�������(c)��The local governmental entity may offer an unsuccessful
�	design-build firm that submits a response to the entity's request
�	for additional information under Section 271.193 a stipend for
�	preliminary engineering costs associated with the development of
�	the proposal. The stipend must be one-half of one percent of the
�	contract amount and must be specified in the initial request for
�	proposals. If the offer is accepted and paid, the local
�	governmental entity may make use of any work product contained in
�	the proposal, including the techniques, methods, processes, and
�	information contained in the proposal. The use by the local
�	governmental entity of any design element contained in an
�	unsuccessful proposal is at the sole risk and discretion of the
�	entity and does not confer liability on the recipient of the stipend
�	under this subsection.
�	�������(d)��Notwithstanding other law, including Chapter 552,
�	Government Code, work product contained in an unsuccessful proposal
�	submitted and rejected under this subchapter is confidential and
�	may not be released unless a stipend offer has been accepted and
�	paid as provided by Subsection (c).
�	�������Sec.�271.197.��COMPLETION OF DESIGN. �(a) Following
�	selection of a design-build firm under this subchapter, the firm's
�	engineers shall submit all design elements for review and
�	determination of scope compliance to the local governmental entity
�	before or concurrently with construction.
�	�������(b)��An appropriately licensed design professional shall
�	sign and seal construction documents before the documents are
�	released for construction.
�	�������Sec.�271.198.��FINAL CONSTRUCTION DOCUMENTS. �At the
�	conclusion of construction, the design-build firm shall supply to
�	the local governmental entity a record set of construction
�	documents for the project prepared as provided by Chapter 1001,
�	Occupations Code.
�	�������Sec.�271.199.��PERFORMANCE OR PAYMENT BOND. �(a) �A payment
�	or performance bond is not required for the portion of a
�	design-build contract under this section that includes design
�	services only.
�	�������(b)��If a fixed contract amount or guaranteed maximum price
�	has not been determined at the time a design-build contract is
�	awarded, the penal sums of the performance and payment bonds
�	delivered to the local governmental entity must each be in an amount
�	equal to the construction budget, if commercially available and
�	practical, as specified in the design criteria package.
�	�������(c)��If the local governmental entity awards a design-build
�	contract under Section 271.193, the design-build firm shall deliver
�	the bonds not later than the 10th day after the date the
�	design-build firm executes the contract unless the design-build
�	firm furnishes a bid bond or other financial security acceptable to
�	the local governmental entity to ensure that the design-build firm
�	will furnish the required performance and payment bonds before the
�	commencement of construction.
�	�������SECTION�7.��Chapter 271.112, Local Government Code, is
�	amended by adding Subsection (g) to read as follows:
�	�������(g)��If the contract for a facility involves the use of state
�	or federal highway funds, the purchasing requirements of the
�	appropriate state or federal funding entity apply, unless otherwise
�	waived by the appropriate state or federal funding entity.
�	�������SECTION�8.��Section 271.904(a), Local Government Code, is
�	amended to read as follows:
�	�������(a)��A covenant or promise in, in connection with, or
�	collateral to a contract for engineering or architectural services
�	to which a governmental agency is a party is void and unenforceable
�	if the covenant or promise provides that a licensed engineer or
�	registered architect whose work product is the subject of the
�	contract must indemnify, [or] hold harmless, or defend the
�	governmental agency against liability for damage, other than
�	liability for damage that is caused by or results from an act of
�	[the] negligence, intentional tort, intellectual property
�	infringement, or failure to pay a subcontractor or supplier
�	committed by [of] the indemnitor or the indemnitor's agent,
�	consultant under contract, or another entity over which the
�	indemnitor exercises control [governmental agency or its agent or
�	employee].
�	�������SECTION�9.��Section 44.041(i), Education Code, is amended to
�	read as follows:
�	�������(i)��If a job order contract or an order issued under the
�	contract requires engineering or architectural services that
�	constitute the practice of engineering within the meaning of
�	Chapter 1001, Occupations Code, or the practice of architecture
�	within the meaning of Chapter 1051, Occupations Code, the district
�	shall select or designate an architect or engineer to prepare the
�	construction documents for the facility�[those services shall be
�	provided in accordance with applicable law]. If the architect or
�	engineer is not a full-time employee of the district, the district
�	shall select the architect or engineer on the basis of demonstrated
�	competence and qualifications as provided by Section 2254.004,
�	Government Code.
�	�������SECTION�10.��Section 46.008, Education Code, is amended to
�	read as follows:
�	�������Sec.�46.008.��STANDARDS. �(a) The commissioner shall
�	establish standards for adequacy of school facilities. The
�	standards must include requirements related to space, educational
�	adequacy, and construction quality. All new facilities constructed
�	after September 1, 1998, must meet the standards to be eligible to
�	be financed with state or local tax funds.
�	�������(b)��Any portable, modular building capable of being
�	relocated that is purchased or leased after September 1, 2007, for
�	use as a school facility, regardless of whether the building is an
�	industrialized building as defined by Section 1202.003,
�	Occupations Code, must be inspected as provided by Subchapter E,
�	Chapter 1202, Occupations Code, to ensure compliance with the
�	mandatory building codes or approved designs, plans, and
�	specifications.
�	�������SECTION�11.��Section 51.784(i), Education Code, is amended
�	to read as follows:
�	�������(i)��If a job order contract or an order issued under the
�	contract requires engineering or architectural services that
�	constitute the practice of engineering within the meaning of
�	Chapter 1001, Occupations Code, or the practice of architecture
�	within the meaning of Chapter 1051, Occupations Code, the board
�	shall select or designate an architect or engineer to prepare the
�	construction documents for the facility�[those services shall be
�	provided in accordance with applicable law]. If the architect or
�	engineer is not a full-time employee of the institution, the board
�	shall select the architect or engineer on the basis of demonstrated
�	competence and qualifications as provided by Section 2254.004,
�	Government Code.
�	�������SECTION�12.��Section 791.011, Government Code, is amended by
�	adding Subsection (h) to read as follows:
�	�������(h)��An interlocal contract between a governmental entity
�	and a purchasing cooperative may not be used to purchase
�	engineering or architectural services.
�	�������SECTION�13.��Subchapter A, Chapter 2254, Government Code, is
�	amended by adding Section 2254.007 to read as follows:
�	�������Sec.�2254.007.��DECLARATORY OR INJUNCTIVE RELIEF. (a) This
�	subchapter may be enforced through an action for declaratory or
�	injunctive relief filed not later than the 10th day after the date a
�	contract is awarded.
�	�������(b)��This section does not apply to the enforcement of a
�	contract entered into by a state agency as that term is defined by
�	Section 2151.002. In this subsection, "state agency" includes the
�	Texas Building and Procurement Commission.
�	�������SECTION�14.��Section 2254.003(b), Government Code, is
�	amended to read as follows:
�	�������(b)��The professional fees under the contract[:
�	�������������[(1) � � must be consistent with and not higher than the
�	recommended practices and fees published by the applicable
�	professional associations; and
�	�������������[(2)]��may not exceed any maximum provided by law.
�	�������SECTION�15.��Section 431.101(g), Transportation Code, is
�	amended to read as follows:
�	�������(g)��A local government corporation [created by a navigation
�	district] must comply with all state law related to the design and
�	construction of projects, including the procurement of design and
�	construction services, that applies to the local government
�	[navigation district] that created the corporation.
�	�������SECTION�16.��Subchapter D, Chapter 431, Transportation Code,
�	is amended by adding Section 431.110 to read as follows:
�	�������Sec.�431.110.��COMPETITIVE BIDDING EXCEPTION FOR CERTAIN
�	IMPROVEMENTS. Any competitive bidding requirement or restriction
�	on a local government that created a local government corporation
�	does not apply to an expenditure by the local government
�	corporation for:
�	�������������(1)��an improvement:
�	�������������������(A)��that is constructed in a reinvestment zone;
�	and
�	�������������������(B)��the construction of which is managed by a
�	private venture participant; or
�	�������������(2)��an improvement constructed by the corporation for
�	which more than 50 percent of the construction is funded by a
�	private entity.
�	�������SECTION�17.��Section 60.452, Water Code, is amended by
�	adding Subsection (c) to read as follows:
�	�������(c)��Subchapter J, Chapter 271, Local Government Code, does
�	not apply to this subchapter.
�	�������SECTION�18.��Section 60.464(i), Water Code, is amended to
�	read as follows:
�	�������(i)��If a job order contract or an order issued under the
�	contract requires engineering or architectural services that
�	constitute the practice of engineering within the meaning of
�	Chapter 1001, Occupations Code, or the practice of architecture
�	within the meaning of Chapter 1051, Occupations Code, the district
�	shall select or designate an architect or engineer to prepare the
�	construction documents for the facility�[those services shall be
�	provided in accordance with applicable law]. If the architect or
�	engineer is not a full-time employee of the district, the district
�	shall select the architect or engineer on the basis of demonstrated
�	competence and qualifications as provided by Section 2254.004,
�	Government Code.
�	�������SECTION�19.��The changes in law made by this Act apply only
�	to a contract for which a request for proposals or a request for
�	qualifications is first published or distributed on or after the
�	effective date of this Act. �A contract for which a request for
�	proposals or a request for qualifications is first published or
�	distributed before the effective date of this Act is governed by the
�	law in effect at the time the request is published or distributed,
�	and the former law is continued in effect for that purpose.
�	�������SECTION�20.��This Act takes effect September 1, 2007.
�
�
�	______________________________	______________________________
�	���President of the Senate	Speaker of the House�����
�
�
�	�������I certify that H.B. No. 1886 was passed by the House on April
�	25, 2007, by the following vote:��Yeas 138, Nays 2, 1 present, not
�	voting; and that the House concurred in Senate amendments to H.B.
�	No. 1886 on May 25, 2007, by the following vote:��Yeas 128, Nays 1,
�	1 present, not voting.
�
�	______________________________
�	Chief Clerk of the House���
�
�	�������I certify that H.B. No. 1886 was passed by the Senate, with
�	amendments, on May 22, 2007, by the following vote:��Yeas 31, Nays
�	0.
�
�	______________________________
�	Secretary of the Senate���
�	APPROVED: __________________
�	����������������Date�������
�	�
�	�������� __________________
�	��������������Governor�������