Introduced

SB 249 - This act creates the "Political Subdivision Construction Bidding Standards Act". Except for certain violations, this act does not apply to political subdivisions that have specific state or local competitive bidding requirements that are equivalent or stricter than the ones contained in this act. If a political subdivision is not covered by a specific federal, state, or local law that is equivalent or stricter in its requirements, it shall comply with the advertising and bidding requirements outlined in this act when soliciting bids and awarding contracts of $25,000, adjusted annually based on the rate of inflation according to the Consumer Price Index, or more.

Contracts for construction shall be advertised in advance of the acceptance of bids. Bids shall be advertised through publication in a central repository developed by the Office of Administration at no cost to the state or for a minimum of two days in an area newspaper, with the first ad appearing at least 30 days in advance of the stated deadline for acceptance of bids. The office of administration shall develop procedures for bids to be placed in a central repository. Ads and solicitations must include the project name, submission deadline, and the time, date, and location of where the bids shall be received and opened. Political subdivisions are required to advertise in newspapers until the office of administration develops a central repository.

Unless otherwise specified by law, a contract shall be awarded to the lowest and best bidder. However, the political subdivision may reject the low bidder based on the bidder's failure to provide a performance or payment bond, nonperformance on previous contracts, or other reasons specified as to the bidder's inability to adequately perform the contract.

Under no circumstances shall construction contracts for any political subdivision be awarded in violation of certain requirements, including opening bids in advance of the advertising deadline, accepting bids that are unwritten, accepting bids after the advertised deadline, and failing to hold bids confidential.

A person submitting a bid may seek equitable relief and monetary damages for monetary losses. If the action is brought more than fifteen business days after the award of the contract, then the only remedy available to the court is to order the contract to be rebid. A person who would have bid on a contract had it been advertised also may seek a court order to have the contract rebid, but only within fifteen days of the date the political subdivision opened the bids.

Electronic bidding shall be allowed if it meets the standards of confidentiality. Nothing in this section shall require acceptance of a bid which exceeds the amount estimated by the political subdivision for the contract. Also, political subdivisions may award contracts without competitive bidding when there is an immediate public danger, to prevent loss to property, or to prevent or restore essential public services. Under such circumstances, the political subdivision must produce a written public record documenting the need to contract without competitive bidding.

This act is similar to provisions of SB 729 (2010), HB 2218 (2010), SS/SCS/HCS/HB 1290 (2010), HCS/SB 716 (2010, and HCS/SCS/SB 887 (2010).

MEGHAN LUECKE


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