On April 23 the Senate Committee on Government Organization met to review interim charges regarding the state’s bidding process and the state policy toward energy saving performance contracts.
Ron Pigott, Director of Texas Procurement and Support Services (TPASS) a division within the Office of the Comptroller, testified on the state’s procurement process and noted contracts are not automatically renewed. Sherri Greenberg, the Director of the Center for Politics and Governance at the LBJ School of Public Affairs, argued that the length of time that the procurement process can take has the potential to discourage bidders. Greenberg recommended that the state further explore a procurement training process for employees.
John Young with the State Auditor’s Office (SAO) discussed recommendations that were made in a September 2008 report on energy contracts with the state. The recommendations were made to address issues identified with lapses in oversight of the energy saving performance contracts, as well as contract structure. Among the statutory recommendations made was the suggestion that an independent party, the State Energy Conservation Office, or the Texas Higher Education Coordinating Board perform the measurement verification of savings for state agencies and institutions of higher education to avoid potential conflicts of interest.
Robert Wood, Director of Economic Development and Assistance with the Texas Comptroller’s Office, testified that the energy contract processes have been revamped. Wood indicated the procedures adequately address the findings of the SAO 2008 report and the Government Code, and go beyond what is statutorily required with additional reporting obligations that add transparency to the process.
