Procurement/Information for Vendors
Chapter 176 of the Texas Local Government Code FAQ
What is Chapter 176 of the Texas Local Government Code?
House Bill 914, passed during the 2005 Texas legislative session, becomes effective January 1, 2006. The bill added a new Chapter 176 to the Texas Local Government Code. Chapter 176 requires certain local government officers and those doing business or seeking to do business with local governmental entities to publicly disclose specified relationships. The new disclosure requirements apply to municipalities, counties, school districts and certain other local governmental entities. A complete text of Chapter 176 is provided at the end of this discussion.
What persons or businesses doing business with Heart of Texas Region MHMR (HOTRMHMR) are subject to Chapter 176?
Any person who contracts or seeks to contract for the sale or purchase of property, goods, or services with HOTRMHMR. An agent of a person who contracts or seeks to contract for the sale or purchase of property, goods, or services with HOTRMHMR.
To what type of contracts does Chapter 176 apply?
The new law applies to all contracts for the sale or purchase of property, goods or services without qualification as to whether the contract is written, verbal or implied. Generally, any exchange of property, goods or services for any other property, goods, services or money, between HOTRMHMR and a person or business, regardless of whether evidenced by a written contract, invoice or a receipt, shall be considered a contract for purposes of Chapter 176.
What information must a person doing business or seeking to do business with HOTRMHMR disclose?
Chapter 176 requires persons to whom it applies to disclose specified affiliations, business and financial relationships that such persons may have with covered HOTRMHMR officers.
How must a person disclose the information required by Chapter 176?
A person doing business or seeking to do business with HOTRMHMR must file Texas Ethics Commission Form CIQ, Conflict of Interest Questionnaire, with HOTRMHMR no later than seven days after the date the person begins contract discussions or negotiations with HOTRMHMR, or submits an application or response to a request for proposals or bids, correspondence, or another writing related to a potential agreement with HOTRMHMR. The questionnaire may be downloaded by visiting the following link: CIQ Form
A person subject to the requirements of Chapter 176 must file an updated questionnaire not later than September 1 of each year in which any of the activities required to be disclosed is pending and the seventh business day after the date anything occurs that would make the questionnaire on file incomplete or inaccurate.
With whom should the questionnaire be filed?
The questionnaires will be filed with and maintained by HOTRMHMR Finance department. Paper copies of the questionnaire may be submitted to the office of HOTRMHMR Finance at P. O. Box 890, Waco, Texas 76703-0890 . These forms may also be faxed to (254)756-3133.
What are the consequences of violating Chapter 176?
A person who violates the requirements of Chapter 176 commits a class C misdemeanor. A class C misdemeanor is punishable by a fine of up to $500.
Is there a defense to prosecution?
It is a defense to prosecution if the person required to file the questionnaire files it no later than the seventh business day after the date the person receives notice of a violation.
THE INFORMATION PROVIDED BY HOTRMHMR IS FOR INFORMATIONAL PURPOSES ONLY. IF YOU HAVE CONCERNS ABOUT WHETHER CHAPTER 176 OF THE TEXAS LOCAL GOVERNMENT APPLIES TO YOU OR THE MANNER IN WHICH YOU MUST COMPLY, YOU SHOULD CONSULT AN ATTORNEY. ANY INFORMATION YOU PROVIDE OR THAT IS PROVIDED BY A HOTRMHMR OFFICER CONCERNING YOU OR YOUR BUSINESS UNDER CHAPER 176 IS PUBLIC INFORMATION.
