The bill amends the Government Code to expand the definition of "economically disadvantaged person" to include individuals with disabilities and those who identify with specific sexual orientations or gender identities. The new categories added are persons with disabilities as defined by federal law, and individuals identifying as gay, lesbian, bisexual, transgender, queer, intersex, or asexual. Additionally, the bill mandates that the comptroller adopt rules to set goals for increasing contract awards to businesses that qualify as historically underutilized based on these new ownership criteria.

Furthermore, the bill requires that businesses owned by individuals who qualify as economically disadvantaged solely due to disability must provide a physician's affidavit verifying the owner's disability to be certified as a historically underutilized business. It also stipulates that the comptroller must categorize historically underutilized businesses by various demographics, including those owned by persons with disabilities and those identifying with the newly included sexual orientations or gender identities. The changes aim to enhance opportunities for a broader range of disadvantaged groups in state contracting. The bill is set to take effect on September 1, 2025.

Statutes affected:
Introduced: Government Code 2161.001, Government Code 2161.002, Government Code 2161.061, Government Code 2161.125 (Government Code 2161)