(a) Purpose. This rule establishes the responsibilities for approving and executing contracts required by the Texas Juvenile Justice Department (TJJD).     
      (b) Applicability. This rule applies to all contracts entered into by TJJD.     
      (c) Definitions. As used in this chapter, the following terms have the following meanings, unless the context clearly indicates otherwise.      
        (1) Board--the governing board of TJJD.       
        (2) Contract--a written contract between TJJD and another party, either public or private, for goods or services or for a project as defined by Section 2166.001, Government Code. As used in this chapter, "contract" includes the following: letters of agreement; interagency/interlocal agreements with other government entities; memorandums of understanding; and other agreements in which state funds or services are exchanged for the delivery of goods or performance of services.       
      (d) Authority to Approve Contracts.      
        (1) Board Approval. TJJD staff must present certain contracts to the board for approval, including but not limited to:                  (A) any contract exceeding $500,000;                   (B) any construction contract exceeding $300,000;                   (C) any change order exceeding $150,000 for a construction contract;                   (D) any contract exceeding $15,000 for consultant services, as defined in Section 2254.021, Government Code;                   (E) any contract for architectural or engineering services;                   (F) any contract for start-up residential operations; and                   (G) any other contract appropriate for board approval as determined by the executive director.         
        (2) Agency Approval.                  (A) The board delegates authority to the executive director or designee to approve all contracts not listed in paragraph (1) of this subsection.                   (B) The board delegates authority to the executive director or designee to approve a contract listed in paragraph (1) of this subsection that is executed in response to an emergency, as defined in 34 TAC §20.32.         
        (3) Other Approvals.                  (A) TJJD complies with Section 321.020, Government Code, which requires that all contracts involving the expenditure of funds for outside audit services must be approved by the Texas State Auditor's Office.                   (B) TJJD complies with Section 402.0212, Government Code, which requires that all contracts involving the expenditure of funds for outside legal services must be approved by the Office of the Attorney General.         
      (e) Authority to Execute Contracts. The board delegates authority to the executive director to execute all contracts for TJJD. This authority may be delegated by the executive director to another member of the executive management team.     
      (f) Annual Contract Plan.      
        (1) TJJD staff must present to the board for its review an annual plan that outlines TJJD's anticipated contracting actions for the next fiscal year.       
        (2) As deemed necessary by the executive director or designee, updates to the contract plan may be provided to the board for review periodically throughout the fiscal year.       
      (g) Adoptions by Reference and Statutory Citations Relating to Contracting Responsibilities.      
        (1) Competitive Solicitations.                  (A) TJJD complies with Chapters 2155 and 2156, Government Code, relating to the competitive bidding process and types of solicitations used and Section 2252.002, Government Code, relating to awards of contracts to nonresident bidders.                   (B) TJJD adopts by reference 34 TAC §20.391, relating to requests for offers.         
        (2) Historically Underutilized Businesses. TJJD adopts by reference 34 TAC Chapter 20, Subchapter D, Division 1, relating to historically underutilized businesses.       
        (3) Consulting Services.                  (A) TJJD complies with Chapter 2254, Subchapter B, Government Code, relating to consulting services contracts.                   (B) TJJD adopts by reference 34 TAC §5.54, relating to consulting services contracts.         
        (4) Professional Services. TJJD complies with Chapter 2254, Subchapter A, Government Code, relating to professional services contracts.       
        (5) Construction Services. TJJD awards contracts for the construction of buildings and improvements in accordance with Chapter 2166, Government Code.       
        (6) Rate Setting. TJJD complies with Section 2261.151(a), Government Code, relating to payment and reimbursement methods and rates.       
        (7) Exemptions from Competitive Bidding Process for Youth Services. In accordance with Chapter 2155, Subchapter C, Government Code, relating to certain exemptions from competitive bidding, TJJD may purchase care and treatment services for youth committed to its care at rates not to exceed any maximum provided by law, based on each provider's qualifications and demonstrated competence.       
        (8) Iron and Steel Products. TJJD complies with Chapter 2252, Subchapter F, Government Code, relating to the purchase of iron and steel products made in the United States for certain governmental entity projects.       
        (9) Contracts with Businesses That Do Not Boycott Israel. TJJD complies with Section 2270.002, Government Code, relating to entering into contracts with only those businesses that have verified in writing that they do not boycott Israel and will not do so for the term of a contract.       
     Source Note:        The provisions of this §385.1101 adopted to be effective July 15, 2011, 36 TexReg 4416;  transferred effective June 4, 2012, as published in the Texas Register June 22, 2012, 37 TexReg 4639; amended to be effective July 15, 2014, 39 TexReg 5440; amended to be effective May 1, 2019, 44 TexReg 2160