Texas Register, Volume 8, Number 81, Pages 4521-4626, November 4, 1983 Page: 4,530
4521-4626 p. ; 28 cm.View a full description of this periodical.
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Purchasing and General Services Commission with the
authority to provide security for state buildings.
This agency hereby certifies that the proposal has
been reviewed by legal counsel and found to be within
the agency's authority to adopt
Issued in Austin, Texas, on October 24, 1983
TRD-838586 Homer A Foerster
Executive Director
State Purchasing and General
Services Commission
Earliest possible date of adoption
December 5. 1983
For further information, please call (512) 475-5966
or STS 822-5966
Chapter 113. Central Purchasing
Division
Purchasing
1 TAC 113.3
The State Purchasing and General Services Commis-
sion proposes an amendment to 113 3, concerning
requisition processing The amendment will add a new
subsection (d), relating to the processing of proposed
lease purchase arrangements and the commission's
determination of and certification to the cost effective-
ness of such arrangements as required by Senate Bill
179, 68th Legislature, 1983, Article V, 24.
Herbert Gersbach, purchasing director, has deter-
mined that for the first five-year period the rule will
be in effect there will be no fiscal implications for state
government as a result of enforcing or administering
the rule, but that the effect cannot be determined at
this time. There is no anticipated effect on local gov-
ernment.
Mr. Gersbach also has determined that for each year
of the first five years the rule as proposed is in effect
the public benefit anticipated as a result of enforcing
the rule as proposed will be determinations that pro-
posed lease purchases of capital outlay equipment by
state agencies will be cost effective and will not In-
crease the agencies' budget requirements for future
appropriation periods. There is no anticipated econom-
ic cost to individuals who are required to comply with
the rule as proposed.
Comments on the proposal may be submitted to
James H Quick, General Counsel, State Purchasing
and General Services Commission, P.O. Box 13047,
Austin, Texas 78711.
The amendment is proposed under Texas Civil Stat-
utes, Article 601 b, Article 3, which provide the State
Purchasing and General Services Commission with the
authority to carry out the central purchasing respon-
sibility for affected state agencies; and under the re-quirements of Senate Bill 179, 68th Legislature, 1983,
Article V, 24.
113.3. Reqiston Procssmig.
(a)-(c) (No change.)
(d) Processing proposed lease purchase arrange-
ments.
(1 A "proposed lease purchase arrangement"
for purposes of this subsection shall mean a proposed ar-
rangement wherehs the requisitioning agency intends to
obtain title to equipment s whether hi installment piurchali
or b) lease with option to purchase aid where the pt)l-
off period etlends bhe ond an ex sling appropriation peri-
od. I his term is nt understood Iii include pure leases,
or the acquisition of wers ites, or consumable materials
or supplies, hut it will include proposed acquisitions of
capital outla> equipment.
(2) I he term "cost effective" as tied in this sub-
section and in connection % ilh a proposed lease purchase
arrangement shall describe an arrangement which is re-
quired I tihe requesting agency) to perfornt its stalulor)
responsibilities, and which in spite of the arrangements'
added cost to the state. could not he accomplished as eco-
nomicall. through an% other :a ailable means.
(3) '1 he commission's determination and cerlifi-
cation of cost effecliteness for a proposed lease purchase
arrangement, as set out in existing laiw, w ill not be re-
quired if the acquisition n corers computer or computer-
related equipment which has been included in a long-range
information si em plan filed with the Automated Infor-
mation .Sistems Ad\(isor (Conncil (AISA('), and such
plan has been approved hi IlSA('. I he requisitioining
agency shall furnish the commission a isrittlen statement
affirming the applicability) of this exception at the time
of submitting its requisition.
(4) It the commission's determination and certifi-
cation of the cost efflectiseneie of a proposed lease pur-
chase arrangement is required h existing law, the requisi-
tioning agency is requested to furnish ti the commission,
where applicable, at the time of submitting its requisition,
the following information:
(A) anticipated interest charges oser the life
of the contract to the extent that this can be determined;
(B) anticipated cost saints to be realized
through present acquisition of the equipment compared
with lat r outright purchase hen adequate funds become
available:
(C) an) other information the agency may
deem appropriate; and
(I)) an affirmative statement that the agency
resonably expects to be able to make pa) nent he)ond
,he current biennium wilhoul having to rely on an in-
reaed lesel of general resnue appropriations.
(5) liased upon the information furnished bh the
re(iuesting agenc% at the time of submitting its reqluiition,
or in, response to additional requests, and upon the ac-
tual h is suhbmilttled responsive bidders, the commis-
sion isi make its determination b) comparing anticipated
interest costs with anticipated cost savings resulting from
the present acquisition of the equipment,
(6) 1 he commission ma) not aar(d a contract
to a successful bidder prior to determining that a lease
purchase arrangement is cost effective. If the commission
4 determines that it is not cost effective, it may reject all8 TexiReg 4530 Noiemibe 4, 1)83
Texas
RegisterC
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Texas. Secretary of State. Texas Register, Volume 8, Number 81, Pages 4521-4626, November 4, 1983, periodical, November 4, 1983; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth244537/m1/10/: accessed July 18, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu.; crediting UNT Libraries Government Documents Department.