Health & Safety Code Section 533.016
Certain Procurements of Goods and Services by Service Providers
(a)This section does not apply to a “health and human services agency,” as that term is defined by Section 531.001 (Definitions), Government Code.
(a)This section does not apply to a “health and human services agency,” as that term is defined by Section 521.0001 (Definitions), Government Code.
(a-1)A state agency, local agency, or local mental health authority that expends public money to acquire goods or services in connection with providing or coordinating the provision of mental health services may satisfy the requirements of any state law requiring procurements by competitive bidding or competitive sealed proposals by procuring goods or services with the public money in accordance with Section 533.017 (Participation in Purchasing Contracts or Group Purchasing Program) or in accordance with:
(1)Section 32.043 (Procurement Rules for Public Disproportionate Share Hospitals) or 32.044 (Group Purchasing for Disproportionate Share Hospitals), Human Resources Code, if the entity is a public hospital subject to those laws; or
(2)this section, if the entity is not covered by Subdivision (1).
(b)An agency or authority under Subsection (a-1)(2) may acquire goods or services by any procurement method that provides the best value to the agency or authority. The agency or authority shall document that the agency or authority considered all relevant factors under Subsection (c) in making the acquisition.
(c)Subject to Subsection (d), the agency or authority may consider all relevant factors in determining the best value, including:
(1)any installation costs;
(2)the delivery terms;
(3)the quality and reliability of the vendor’s goods or services;
(4)the extent to which the goods or services meet the agency’s or authority’s needs;
(5)indicators of probable vendor performance under the contract such as past vendor performance, the vendor’s financial resources and ability to perform, the vendor’s experience and responsibility, and the vendor’s ability to provide reliable maintenance agreements;
(6)the impact on the ability of the agency or authority to comply with laws and rules relating to historically underutilized businesses or relating to the procurement of goods and services from persons with disabilities;
(7)the total long-term cost to the agency or authority of acquiring the vendor’s goods or services;
(8)the cost of any employee training associated with the acquisition;
(9)the effect of an acquisition on the agency’s or authority’s productivity;
(10)the acquisition price; and
(11)any other factor relevant to determining the best value for the agency or authority in the context of a particular acquisition.
(d)If a state agency to which this section applies acquires goods or services with a value that exceeds $100,000, the state agency shall consult with and receive approval from the commission before considering factors other than price and meeting specifications.
(e)The state auditor or the executive commissioner may audit the agency’s or authority’s acquisitions of goods and services under this section to the extent state money or federal money appropriated by the state is used to make the acquisitions.
(f)The agency or authority may adopt rules and procedures for the acquisition of goods and services under this section.
Section 533.016 — Certain Procurements of Goods and Services by Service Providers,
https://statutes.capitol.texas.gov/Docs/HS/htm/HS.533.htm#533.016 (accessed Nov. 25, 2023).