TITLE 1.ADMINISTRATION

Part 13. TEXAS INCENTIVE AND PRODUCTIVITY COMMISSION

Chapter 271. PROCEDURAL RULES

1 TAC §271.21

The Texas Incentive and Productivity Commission proposes new section 271.21 related to Historically Underutilized Businesses. The new rule conforms to Texas Government Code, §2161.003, which directs state agencies to adopt the rules of the General Services Commission (GSC) regarding historically underutilized businesses (HUBs) as the agency's own rules. Those rules apply to the Commission's purchase of goods and services paid for with appropriated money.

The GSC rules the Commission will adopt by reference provide for a policy and a purpose for the rules, definitions applicable to the HUB rules, annual procurement HUB utilization goals, subcontracting requirements, agency planning responsibilities, state agency reporting requirements, a HUB certification process, protests from denial of HUB applications, a HUB recertification process, revocation provisions, certification and compliance reviews, compilation of a HUB directory, HUB graduation procedures, review and revision of GSC's HUB program, a memorandum of understanding between GSC and the Texas Department of Economic Development concerning technical assistance and budgeting for the HUB program, HUB Coordinator responsibilities, HUB forum programs for state agencies, and a mentor-protégé program.

Cindy Palmer, Staff Services Officer, has determined that for each year of the first five years the proposed sections will be in effect, there will be no fiscal impact to state and local governments as a result of the enforcement or administration of the rule. There will be no measurable effect on local employment or the local economy as a result of the proposal. Cindy Palmer, Staff Services Officer, has also determined that for each year of the first five years the sections are in effect, the public benefits anticipated as a result of the proposed section will be a more uniform and consistent approach for procuring goods and services from HUB vendors. The new rule does not impose any new duties on small or micro businesses. There is no expected economic cost to persons who are required to comply with the rule. No economic cost to persons who are required to comply with the rule is anticipated. There is no anticipated difference in cost of compliance between micro, small, and large businesses and no anticipated economic cost for these entities.

Written comments on the proposal may be submitted within 30 days of publication in the Texas Register to Ed Bloom, Executive Director, Texas Incentive and Productivity Commission. Comments may be mailed to P.O. Box 12482, Austin, Texas 78711-2482; hand delivered to 920 Colorado, Room 401, Austin, Texas 78701; or faxed to (512) 475-4813.

Government Code §2161.003 requires that the Texas Incentive and Productivity Commission adopt the Commission's rules as its own rules.

Texas Government Code, §2161 is affected by this proposal.

§271.21.Historically Underutilized Business Program.

The Commission adopts by reference the rules promulgated by the General Services Commission (GSC) that are set forth at 1 TAC Chapter 111, Subchapter B, as amended, regarding the Historically Underutilized Business Program. A copy of the GSC rules may be obtained by writing to: Ed Bloom, Executive Director, Texas Incentive and Productivity Commission, P.O. Box 12482, Austin, Texas 78711-2482 or by accessing the Web site of the Secretary of State, at www.sos.state.tx.us/tac/.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State, on January 3, 2001.

TRD-200100053

Ed Bloom

Executive Director

Texas Incentive and Productivity Commission

Proposed date of adoption: February 26, 2001

For further information, please call: (512) 475-4810