Relating to the amount of an expenditure made by a municipality for which competitive bidding is required.

This bill changes Texas municipal spending rules by raising the threshold for mandatory competitive bidding from $50,000 to $100,000 for contracts funded by municipal money. It also creates a new requirement: for purchases between $3,000 and $100,000, municipalities must contact at least two historically underutilized businesses on a rotating basis (using state-provided lists). These changes apply only to purchases made on or after September 1, 2025, with older contracts governed by prior law. The bill directly affects Texas municipalities managing public spending and impacts historically underutilized businesses seeking municipal contracts.