1. (a) For purposes of this section, "state agency" has the meaning assigned by Section 2054.003 but does not include:

   1. (1) a department, commission, board, office, council, authority, or other agency in the judicial branch of state government; or
   2. (2) an institution of higher education or a university system, as those terms are defined by Section 61.003, Education Code.

2. (a-1) The department is governed by a board composed of 11 members as follows:

   1. (1) seven voting members appointed by the governor with the advice and consent of the senate; and
   2. (2) four nonvoting members as provided by Subsection (c).
3. (b) Voting members of the board serve for staggered six-year terms with two or three members' terms expiring February 1 of each odd-numbered year.

4. (c) The governor shall appoint the four nonvoting members of the board as follows:

   1. (1) one member who is an employee of an institution of higher education, as defined by Section 61.003, Education Code;
   2. (2) two members who are employees of state agencies that are on the list provided under Subsection (c-1); and
   3. (3) one member who is an employee of a state agency with fewer than 500 full-time employees.
5. (c-1) Not later than December 1 of each even-numbered year, the department shall provide the governor a list of the 10 state agencies that spent the most money on products and services of the department during the previous state fiscal year.
6. (c-2) A nonvoting member of the board serves for a two-year term that expires February 1 of each odd-numbered year.
7. (d) Repealed by Acts 2025, 89th Leg., R.S., Ch. 1074 (H.B. 1500), Sec. 28(2), eff. September 1, 2025.
8. (e) Appointments to the board shall be made without regard to the race, color, disability, sex, religion, age, or national origin of the appointees.

9. (f) A person who is appointed to and qualifies for office as a member of the board may not vote, deliberate, or be counted as a member in attendance at a meeting of the board until the person:

   1. (1) completes a training program that complies with Subsection (g); and
   2. (2) signs and submits to the executive director a statement acknowledging that the member completed the training program and the training required under Section 656.053.

10. (g) The training program must provide the person with information regarding:

    1. (1) the law governing department operations and the board to which the person is appointed to serve;
    2. (2) the programs, functions, rules, and budget of the department;
    3. (3) the scope of and limitations on the rulemaking authority of the department;
    4. (4) the results of the most recent formal audit of the department;

    5. (5) the requirements of:

       1. (A) laws relating to open meetings, public information, administrative procedure, and disclosing conflicts of interest; and
       2. (B) other laws applicable to members of a state policy-making body in performing their duties;
    6. (6) any applicable ethics policies adopted by the department or the Texas Ethics Commission; and
    7. (7) contract management training.
11. (h) A person appointed to the board is entitled to reimbursement, as provided by the General Appropriations Act, for travel expenses incurred in attending the training program, regardless of whether the attendance at the program occurs before or after the person qualifies for office.
12. (i) The executive director shall create a training manual that includes the information required by Subsection (g). The executive director shall distribute a copy of the training manual annually to each member of the board. Each member of the board shall sign and submit to the executive director a statement acknowledging that the member received and has reviewed the training manual.

Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993;

Amended by Acts 1997, 75th Leg., ch. 606, Sec. 2, eff. Sept. 1, 1997;

Acts 2003, 78th Leg., ch. 1170, Sec. 22.01, eff. Sept. 1, 2003.

Acts 2005, 79th Leg., Ch. 265 (H.B. 7), Sec. 6.011, eff. September 1, 2005.

Acts 2007, 80th Leg., R.S., Ch. 9 (H.B. 675), Sec. 1, eff. April 23, 2007.

Acts 2013, 83rd Leg., R.S., Ch. 48 (H.B. 2472), Sec. 2, eff. September 1, 2013.

Acts 2025, 89th Leg., R.S., Ch. 1074 (H.B. 1500), Sec. 7, eff. September 1, 2025.

Acts 2025, 89th Leg., R.S., Ch. 1074 (H.B. 1500), Sec. 28(2), eff. September 1, 2025.