Restricted Expenditures — Contracts and Bids
Firearms, Firearm Accessories and Firearm Ammunition

Federal Laws Regulating Firearms, Firearm Accessories and Firearm Ammunition

The information in this section does not apply to a contract or agreement in effect on January 19, 2021.

A state agency may not contract with or in any other manner aid a federal agency or official with respect to the enforcement of a federal statute, order, rule or regulation that:

1. Imposes a prohibition, restriction or other regulation that does not exist under the laws of this state.
2. Relates to:
   • A registry requirement for a firearm, a firearm accessory or ammunition.
   • A requirement that an owner of a firearm, firearm accessory or ammunition possess a license as a condition of owning, possessing or carrying the firearm, firearm accessory or ammunition.
   • A requirement that a background check be conducted for the private sale or transfer of a firearm, firearm accessory or ammunition.
   • A program for confiscating a firearm, firearm accessory or ammunition from a person who is not otherwise prohibited by the laws of this state from possessing a firearm, firearm accessory or ammunition.
   • A program that requires the owner of a firearm, firearm accessory or ammunition to sell the firearm, firearm accessory or ammunition.

A political subdivision of this state may not receive state funds if the political subdivision enters into a contract or adopts a rule, order, ordinance or policy under which the political subdivision requires or assists with the enforcement of any federal statute, order, rule or regulation described in the section above.

Companies that Discriminate Against Firearm and Ammunition Industries

This section applies only to a contract that is between a state agency and a company with at least 10 full-time employees, where the contract has a value of at least $100,000 that is paid wholly or partly from public funds of the state agency.

A state agency may not award 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 practice, policy, guidance or directive that discriminates against a firearm entity or firearm trade association.
2. Will not discriminate during the term of the contract against a firearm entity or firearm trade association.

Note: The requirements above do not apply to a state agency that contracts with a sole-source provider or a state agency that does not receive any bids from a company that is able to provide the required written verification.

Definitions:

Ammunition

Fixed cartridge ammunition, shotgun shells, individual components of fixed cartridge ammunition and shotgun shells, projectiles for muzzle-loading firearms, or any propellant used in firearms or ammunition (Local Government Code Section 229.001(e)).

Company

A for-profit organization, association, corporation, partnership, limited liability partnership or limited liability company. The term does not include a sole proprietorship.

Discriminate against a firearm entity or firearm trade association

To refuse to engage in the trade of any goods or services, refrain from continuing an existing business relationship or terminate an existing business relationship with the entity or association based solely on its status as a firearm entity or firearm trade association.

Firearm

Any device designed, made or adapted to expel a projectile through a barrel by using the energy generated by an explosion or burning substance or any device readily convertible to that use (Penal Code Section 46.01).

Firearm accessory

An item that is used in conjunction with or mounted on a firearm but is not essential to the basic function of the firearm. The term includes a detachable firearm magazine.

Firearm trade association

Any person, corporation, unincorporated association, federation, business league or business organization that 1) is not organized or operated for profit and for which none of its net earnings result in a benefit to any private shareholder or individual, 2) has two or more firearm entities as members and 3) is exempt from federal income taxation under Section 501, Internal Revenue Code of 1986.

State funds

Money appropriated by the legislature or money under the control or direction of a state agency.

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