Bill > HB210

This bill addresses potential conflicts of interest in school district and charter school contracting by establishing new legal restrictions and criminal penalties. The legislation defines a "vendor" as any company, individual, or service provider who enters into an agreement with a school district or charter school. Under the bill, a vendor commits an offense if a board member or governing body member has a substantial interest in the vendor, is closely related to someone with a substantial interest, or has received gifts or services valued over $250. A "substantial interest" is defined as owning more than 10 percent of voting rights or having a direct or indirect participation in over 10 percent of the vendor's profits or capital gains. The criminal penalties escalate with repeated offenses: a first offense is a Class C misdemeanor, a second is a Class B misdemeanor, a third is a Class A misdemeanor, and a fourth or subsequent offense becomes a state jail felony. Additionally, if a vendor compensates a board or governing body member directly or indirectly to secure a contract, the offense automatically becomes a state jail felony. The bill is set to take effect on September 1, 2025, and aims to prevent potential corruption and unethical contracting practices in educational institutions.

Education

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB210