1. (a) If a state agency or vendor becomes aware of a violation of this subchapter, the agency or vendor shall report the violation to the department, if applicable, and the attorney general.

2. (b) The attorney general shall:

   1. (1) review a report submitted under this section or a complaint reported through the web page established under Section 2054.710; and
   2. (2) determine whether to bring an action to enjoin a violation of this subchapter.
3. (c) If the attorney general, in consultation with the department, determines that a vendor violated this subchapter, the attorney general shall provide the vendor with a written notice of the violation.
4. (d) If a vendor fails to respond or cure the violation before the 31st day after the date the vendor receives the written notice under Subsection (c), the state agency shall provide the vendor with a notice of intent to void the contract. The vendor may respond and seek to cure the violation before the 31st day after the date the vendor receives the notice of intent.
5. (e) If the vendor fails to cure the violation before the 31st day after the date the vendor receives the notice of intent to void the contract under Subsection (d), the state agency may void the contract without further obligation to the vendor.
6. (f) If the department determines that a vendor has had more than one contract voided under Subsection (e), the department shall refer the matter to the comptroller. Using procedures prescribed by Section 2155.077, the comptroller may bar the vendor from participating in a state agency contract.

Added by Acts 2025, 89th Leg., R.S., Ch. 1148 (S.B. 1964), Sec. 5, eff. September 1, 2025.