Sec. 12.012.  AWARDING CONTRACTS OR GRANTS AND SELECTING SERVICE PROVIDERS.  (a)  In awarding contracts or grants for services, or in selecting service providers under any program administered by the department, the department shall give preference to providers who can deliver appropriate services of similar quality in the most cost-effective manner.
(b)  In awarding the contracts or grants or selecting the providers, the department may not discriminate among licensed health care providers who can provide the services under the authority of their licenses.
Acts 1989, 71st Leg., ch. 678, Sec. 1, eff. Sept. 1, 1989.