Relating to a preference in state purchasing for certain goods and services used in a disaster area.

HB 206 requires Texas state agencies purchasing goods or services for disaster areas to give preference to bidders with their principal business located in the specific political subdivision (e.g., city, county) where the disaster relief is needed. This applies to areas declared disaster zones by the governor under Texas law or the federal Stafford Act, starting on the declaration date and lasting one year. The law only affects new contracts where the request for proposals is issued after the bill’s effective date, and state agencies must adopt implementing rules. It directly impacts state procurement decisions and local businesses seeking disaster-related contracts in affected communities.