TX HB1998

Raises the competitive bidding threshold from $50,000 to $100,000 for school district contracts for goods and services (excluding produce and vehicle fuel) aggregated over a 12-month period

Increases the competitive procurement threshold from $50,000 to $100,000 for municipalities, counties, and emergency services districts before they must use competitive bidding, sealed proposals, or reverse auction procedures

Adjusts the historically underutilized business outreach requirement for municipalities to apply to expenditures between $3,000 and $100,000 (previously $3,000 to $50,000)

Raises the threshold from $50,000 to $100,000 for governmental entities required to use competitive bidding on construction, repair, or renovation contracts for real property improvements

Takes effect September 1, 2025, and applies only to purchases made on or after that date