Texas Code § 771.003

AUTHORITY TO CONTRACT; EXCEPTIONS
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Sec. 771.003. AUTHORITY TO CONTRACT; EXCEPTIONS. (a) An agency may agree or contract with another agency for the provision of necessary and authorized services and resources.
(b) An agency may not construct a highway, road, building, or other structure for another agency under this chapter, except that the Texas Department of Transportation may enter into an interagency agreement with a state college, university, or public junior college for the maintenance, improvement, relocation, or extension of existing on-campus streets, parking lots, and access-ways.
(c) An agency may not provide services or resources to another agency that are required by Article XVI, Section 21 , of the Texas Constitution to be provided under a contract awarded to the lowest responsible bidder.

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