87R9185 MWC-D
	By: Capriglione	H.B. No. 2558

	A BILL TO BE ENTITLED
	AN ACT
	relating to prohibited state contracts with companies that
	discriminate against the firearm or ammunition industries.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Subtitle F, Title 10, Government Code, is
	amended by adding Chapter 2274 to read as follows:
	CHAPTER 2274. PROHIBITION ON CONTRACTS WITH COMPANIES THAT
	DISCRIMINATE AGAINST FIREARM AND AMMUNITION INDUSTRIES
	Sec. 2274.001.  DEFINITIONS. In this chapter:
	(1)  "Ammunition" means a loaded cartridge case,
	primer, bullet, or propellant powder with or without a projectile.
	(2)  "Company" means a for-profit organization,
	association, corporation, partnership, joint venture, limited
	partnership, limited liability partnership, or limited liability
	company, including a wholly owned subsidiary, majority-owned
	subsidiary, parent company, or affiliate of those entities or
	associations that exists to make a profit.
	(3)  "Discriminate against a firearm entity or firearm
	trade association" means, with respect to the entity or
	association, to:
	(A)  refuse to engage in the trade of any goods or
	services;
	(B)  refrain from continuing an existing business
	relationship;
	(C)  terminate an existing business relationship;
	or
	(D)  otherwise express a prejudice against the
	entity or association.
	(4)  "Firearm" means a weapon that expels a projectile
	by the action of explosive or expanding gases.
	(5)  "Firearm accessory" means a device specifically
	designed or adapted to enable an individual to wear, carry, store,
	or mount a firearm on the individual or on a conveyance and an item
	used in conjunction with or mounted on a firearm that is not
	essential to the basic function of the firearm. The term includes a
	detachable firearm magazine.
	(6)  "Firearm entity" means:
	(A)  a firearm, firearm accessory, or ammunition
	manufacturer, distributor, wholesaler, supplier, or retailer; and
	(B)  a sport shooting range as defined by Section
	250.001, Local Government Code.
	(7)  "Firearm trade association" means any person,
	corporation, unincorporated association, federation, business
	league, or business organization that:
	(A)  is not organized or operated for profit and
	for which none of its net earnings insures to the benefit of any
	private shareholder or individual;
	(B)  has two or more firearm entities as members;
	and
	(C)  is exempt from federal income taxation under
	Section 501(a), Internal Revenue Code of 1986, as an organization
	described by Section 501(c)(6) of that code.
	(8)  "Governmental entity" has the meaning assigned by
	Section 2251.001.
	Sec. 2274.002.  PROVISION REQUIRED IN CONTRACT. (a) This
	section applies only to a contract to be paid partly or wholly from
	public funds between a governmental entity and a company with at
	least 10 full-time employees that has a value of at least $100,000.
	(b)  A governmental entity may not enter into a contract with
	a company for the purchase of goods or services unless the contract
	contains a written verification from the company that it:
	(1)  does not have a written or unwritten internal
	practice, policy, guidance, or directive that discriminates
	against a firearm entity or firearm trade association based solely
	on its status as a firearm entity or firearm trade association; and
	(2)  will not discriminate during the term of the
	contract against a firearm entity or firearm trade association
	based solely on its status as a firearm entity or firearm trade
	association.
	SECTION 2.  The change in law made by this Act applies only
	to a contract entered into on or after the effective date of this
	Act. A contract entered into before the effective date of this Act
	is governed by the law as it existed immediately before the
	effective date of this Act, and that law is continued in effect for
	that purpose.
	SECTION 3.  This Act takes effect September 1, 2021.