In 2015, the Texas Legislature adopted House Bill 1295, which added section 2252.908 of the Government Code. The law states that a governmental entity or state agency may not enter into certain contracts with a business entity unless the business entity submits a disclosure of interested parties to the governmental entity or state agency at the time the business entity submits the signed contract to the governmental entity of state agency.
The law applies only to a contract of a governmental entity or state agency that either:
(1) Requires an action or vote by the governing body of the entity or agency before the contract may be signed; or
(2) has a value of at least $1 million.
The disclosure requirement applies to a contract entered into on or after January 1, 2016, and is applicable to Existing Vendors or New Vendors.
The Texas Ethics Commission was required to adopt rules necessary to implement that law, prescribe the disclosure of interested parties form, and post a copy of the form on the commission’s website. The commission adopted the Certificate of Interested Parties form (Form 1295) on October 5, 2015. The commission also adopted new rules (Chapter 46) on November 30, 2015 to implement the law.
On January 1, 2016, the commission made available on its website a new filing application that must be used to file Form 1295. A business entity must use the application to enter the required information on Form 1295 and print a copy of the completed form, which will include a certification of filing that will contain a unique certification number. An authorized agent of the business entity must sign the printed copy of the form and have the form notarized. The completed Form 1295 with the certification of filing must be returned with bidding documentation.
Information regarding how to use the filing application is available at https://www.ethics.state.tx.us/tec/1295-Info. Please follow instructional Video for Business Entities.
Failure to Comply:
Failure to meet these deadlines could result in termination of your business relationship with the City of Corsicana, whether or not a contract is in place. This is a legal requirement.
Tools for Compliance - Government Code Chapter 2252
Click here to begin the filing process for Form 1295
Click here to find the Government Code, Chapter 2252