The following legislation was passed by the 77th Session of the Texas Legislature.
Threshold for competitive bids raised to $25,000. The competitive bid threshold for all Texas cities was raised from $15,000 to $25,000.
Electronic Receipt of Bids
Cities may now receive formal bids in an electronic format. By legislation, each government's ruling body must adopt rules to insure the identification, security, and confidentiality of bids and proposals. By its very nature, this will be phased in depending upon each governmental entity.
Inter-local Agreements
Cities may now enter into Inter-local agreements with government entities in ANY state.
Reverse Auctions
Governmental entities in Texas can procure good/services by utilizing the Reverse Auction method on the Internet.
"Design Build"
Texas cities will be allowed to use alternative project delivery methods for certain projects: construction, rehabilitation, alteration, or repair of a facility. This includes use of design-build, construction manager, or job-order contracting.
"Best Value"
Contract awards may now be made based on either the "lowest responsible bidder" or to the bidder who provides goods/services at the "best value" for the municipality. By law, "best value" takes into consideration the following factors:
The purchase price
The reputation of the bidder and the bidders goods/services
The quality of the bidder's goods/services
The extent to which the bidder's goods/services meet the municipalities needs
The bidder's past relationship with the municipality
The impact on the ability of the municipality to comply with laws/rules relating to Historically Under-utilized Businesses
