Alabama 2024 Regular Session

Alabama House Bill HB382 Compare Versions

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1+HB382INTRODUCED
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33 HB382
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55 By Representative Paramore
66 RFD: State Government
77 First Read: 21-Mar-24
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12-5 HB382 Engrossed
12+5 PYAKEEE-1 03/21/2024 SLU (L)bm 2024-1268
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1414 First Read: 21-Mar-24
15-A BILL
16-TO BE ENTITLED
17-AN ACT
18-To amend Sections 41-4-161, 41-4-164, 41-16-82,
19-41-16-83, 41-16-85, and 41-16-87, Code of Alabama 1975; to
20-provide further for the procedures for protesting certain
21-competitive bid contracts.
22-BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
23-Section 1. Sections 41-4-161, 41-4-164, 41-16-82,
24-41-16-83, 41-16-85, and 41-16-87, Code of Alabama 1975, are
25-amended to read as follows:
26-"§41-4-161
27-(a)(1) A bona fide prospective bidder or offeror who is
28-aggrieved in connection with the solicitation of a contract
29-may file a notice of intent to protest towith the Chief
30-Procurement Officer within 14five calendar days of the date of
31-issuance ofafter the date the solicitation , or any amendment
32-to it, is issued, if the amendment is at issue. Upon filing
33-the notice, a bona fide prospective bidder or offeror shall
34-have seven calendar days to submit a formal written protest.
35-(2)a. Except as provided in paragraph b., a bona fide
36-actual bidder or offeror who is aggrieved in connection with
15+SYNOPSIS:
16+Under existing law, a prospective bidder or
17+offeror who is protesting a competitive bid contract
18+must follow certain time periods and deadlines
19+throughout the process.
20+Under existing law, any person that submits to a
21+a contract, a contract proposal, a bid, or a grant
22+proposal to the state for an amount equal to or greater
23+than a certain amount, and for the purpose of financial
24+gain, is required to include a disclosure statement for
25+each contract, contract proposal, bid, or grant
26+proposal that it submits, subject to certain
27+exceptions.
28+Under existing law a disclosure statement must
29+provide certain information about individuals who may
30+gain financial benefit from their relationships with
31+the person submitting the contract, contract proposal,
32+bid, or grant proposal.
33+Under existing law, a prospective bidder or
34+offeror who is protesting a competitive bid contract
35+must follow certain time periods and deadlines
36+throughout the process.
37+Under existing law, any person that submits to a
38+a contract, a contract proposal, a bid, or a grant
39+proposal to the state for an amount equal to or greater
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67+28 HB382 INTRODUCED
6568 Page 2
66-actual bidder or offeror who is aggrieved in connection with
67-the intended award or the award of a contract may file a
68-notice of intent to protest towith the Chief Procurement
69-Officer within 14five calendar days ofafter the earlier of:
70-(i) the date of the award; or (ii) noticenotification of
71-intent to award, whichever is earlier, is posted in accordance
72-with this article. Upon filing a notice of intent to protest,
73-a bona fide actual bidder or offeror may submit a formal
74-protest within seven calendar days. The Chief Procurement
75-Officer may make an award if he or she does not receive the
76-notice of intent to protest within five days after it is
77-timely filed.
78-b. A matter that could have been raised under
79-subdivision (1) as a protest of the solicitation may not be
80-raised as a protest of the award or intended award of a
81-contract.
82-(3) A notice of intent to protest filed under
83-subdivision (1) or (2) shall be in writing, be filed with the
84-Chief Procurement Officer, and set forth the intent to
85-protest, and state the grounds of the protest and the relief
86-requested with enough particularity to give notice of the
87-issues to be decided.
88-(b) The Chief Procurement Officer, or his or her
89-designee, may settle and resolve the protest of a bona fide
90-actual or prospective bidder or offeror concerning the
91-solicitation or award of a contract in accordance with rules
92-adopted under this article.
93-(c) If the protest is not resolved by mutual agreement
94-within 10 days after the protest is filed, the Chief
69+proposal to the state for an amount equal to or greater
70+than a certain amount, and for the purpose of financial
71+gain, is required to include a disclosure statement for
72+each contract, contract proposal, bid, or grant
73+proposal that it submits, subject to certain
74+exceptions.
75+Under existing law a disclosure statement must
76+provide certain information about individuals who may
77+gain financial benefit from their relationships with
78+the person submitting the contract, contract proposal,
79+bid, or grant proposal.
80+A BILL
81+TO BE ENTITLED
82+AN ACT
83+To amend Sections 41-4-161, 41-4-164, 41-16-82,
84+41-16-83, 41-16-85, and 41-16-87, Code of Alabama 1975; to
85+provide further for the procedures for protesting certain
86+competitive bid contracts.
87+BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
88+Section 1. Sections 41-4-161, 41-4-164, 41-16-82,
89+41-16-83, 41-16-85, and 41-16-87, Code of Alabama 1975, are
90+amended to read as follows:
91+"§41-4-161
92+(a)(1) A bona fide prospective bidder or offeror who is
93+aggrieved in connection with the solicitation of a contract
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124-within 10 days after the protest is filed, the Chief
125-Procurement Officer shall commence an administrative review of
126-the protest and issue a decision in writing within 14 days
127-ofafter the review.
128-(d) A copy of the decision under subsection (c) shall
129-be mailed or otherwise furnished immediately to the protestor
130-and any other party intervening.
131-(e) A decision under subsection (c) shall be final and
132-conclusive, unless fraudulent , or unless a party adversely
133-affected by the decision appeals administratively to the
134-Director of Finance in accordance with Section 41-4-164.
135-(f) In the event of a timely protest under subsection
136-(a) or an appeal under Section 41-4-164, the state may not
137-proceed further with the solicitation or with the award of the
138-contract until five days after notice of the final decision is
139-provided to the protestor ; however, a, except that
140-solicitation or award of a protested contract is not stayedmay
141-proceed without delay if the Chief Procurement Officer, after
142-consultation with the head of the using agency or the head of
143-a purchasing agency, makes a written determination that the
144-solicitation or award of the contract without further delay is
145-necessary to protect the best interests of the state."
146-"§41-4-164
147-(a) A party that receives an adverse decision from the
148-Chief Procurement Officer under subsection (c) of Section
149-41-4-161(c) or subsection (c) of Section 41-4-162 (c) may
150-appeal the decision to the Director of Finance.
151-(b) AnAny appeal to the Director of Finance shall be
152-made in writing within five days ofafter receipt of the
123+aggrieved in connection with the solicitation of a contract
124+may file a notice of intent to protest towith the Chief
125+Procurement Officer within 14five calendar days of the date of
126+issuance of after the date the solicitation , or any amendment
127+to it is issued, if the amendment is at issue. Upon filing the
128+notice, a bona fide prospective bidder or offeror shall have
129+seven calendar days to submit a formal written protest.
130+(2)a. Except as provided in paragraph b., a bona fide
131+actual bidder or offeror who is aggrieved in connection with
132+the intended award or the award of a contract may file a
133+notice of intent to protest towith the Chief Procurement
134+Officer within 14five calendar days of after the earlier of:
135+(i) the date of the award; or (ii) noticenotification of
136+intent to award, whichever is earlier, is posted in accordance
137+with this article. Upon filing a notice of intent to protest,
138+a bona fide actual bidder or offeror may submit a formal
139+protest within seven calendar days. The Chief Procurement
140+Officer may make an award if he or she does not receive the
141+notice of intent to protest within five days after it is
142+timely filed.
143+b. A matter that could have been raised under
144+subdivision (1) as a protest of the solicitation may not be
145+raised as a protest of the award or intended award of a
146+contract.
147+(3) A notice of intent to protest filed under
148+subdivision (1) or (2) shall be in writing, be filed with the
149+Chief Procurement Officer, and set forth the intent to
150+protest, and state the grounds of the protest and the relief
151+requested with enough particularity to give notice of the
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182-made in writing within five days ofafter receipt of the
183-adverse decision fromby the Chief Procurement Officer.
184-(c) The Director of Finance shall hold unlawful and set
185-aside any decision issued by the Chief Procurement Officer
186-that the director finds to be arbitrary, capricious, an abuse
187-of discretion, or otherwise not in accordance inconsistent with
188-law.
189-(d) The Director of Finance shall issue a written
190-decision within 14 days ofafter receipt of the appeal.
191-(e) A copy of the decision under subsection (d) shall
192-be mailed or otherwise furnished immediately to the parties.
193-(f) A decision under subsection (d) shall be final and
194-conclusive unless fraudulent.
195-(g) The administrative procedures and remedies provided
196-in this division shall not be construed as a contested case
197-under the Alabama Administrative Procedures Act. "
198-"§41-16-82
199-(a) This article shall only apply in cases where the to
200-either of the following:
201-(1) A proposed grant that exceeds twenty-five thousand
202-dollars ($25,000).
203-(2) A or proposed contract at issue exceeds five
204-thousand dollars ($5,000) that meets or exceeds the threshold
205-for bid or other formal solicitations under Article 5 of
206-Chapter 4 of Title 41 or any other law that requires formal
207-solicitation procedures for awarding public contracts .
208-(b)(1) All persons whothat, for the purpose of direct
209-financial gain, submit a proposal, bid, contract, or grant
210-proposal to the State of Alabama, shall include a disclosure
181+requested with enough particularity to give notice of the
182+issues to be decided.
183+(b) The Chief Procurement Officer, or his or her
184+designee, may settle and resolve the protest of a bona fide
185+actual or prospective bidder or offeror concerning the
186+solicitation or award of a contract in accordance with rules
187+adopted under this article.
188+(c) If the protest is not resolved by mutual agreement
189+within 10 days after the protest is filed, the Chief
190+Procurement Officer shall commence an administrative review of
191+the protest and issue a decision in writing within 14 days
192+ofafter the review.
193+(d) A copy of the decision under subsection (c) shall
194+be mailed or otherwise furnished immediately to the protestor
195+and any other party intervening.
196+(e) A decision under subsection (c) shall be final and
197+conclusive, unless fraudulent , or unless a party adversely
198+affected by the decision appeals administratively to the
199+Director of Finance in accordance with Section 41-4-164.
200+(f) In the event of a timely protest under subsection
201+(a) or an appeal under Section 41-4-164, the state may not
202+proceed further with the solicitation or with the award of the
203+contract until five days after notice of the final decision is
204+provided to the protestor , ; however, aexcept that
205+solicitation or award of a protested contract is not stayedmay
206+proceed without delay if the Chief Procurement Officer, after
207+consultation with the head of the using agency or the head of
208+a purchasing agency, makes a written determination that the
209+solicitation or award of the contract without further delay is
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237+112 HB382 INTRODUCED
239238 Page 5
240-proposal to the State of Alabama, shall include a disclosure
241-statement identical to, or provide the same required
242-disclosures as, the disclosure statement developed by the
243-Attorney General and approved by the Legislative Council. The
244-disclosure statement shall not be required for contractsany of
245-the following:
246-a. Contracts with publicly traded companies.
247-b. Contracts for gas, water, and electric services
248-where no competition exists, or where rates are fixed by law
249-or ordinance.
250-c. The award of economic development incentives.
251-(2) In circumstances where a contract is awarded by
252-competitive bid or other formal solicitation procedure , the
253-disclosure statement shall be required only from the person
254-receivingawarded the contract and shall be submitted by that
255-person within 1030 days of the award.
256-(c) Notwithstanding any provision of this article to
257-the contrary, a person entering into contracts or receiving
258-multiple grants during the same calendar year with multiple
259-state agencies may submit a single comprehensive annual
260-disclosure statement to each agency, department, or division
261-from which the person has been awarded contracts or grants.
262-(d)(1)(c)(1) State agencies, departments, or divisions
263-are authorized to establish electronic systems for submission
264-of annual disclosure statements, and submission to the shared
265-electronic systems shall satisfy the requirements for
266-submitting a disclosure statement to the agency, department,
267-or division.
268-(2) Agencies, departments, and divisions are further
239+solicitation or award of the contract without further delay is
240+necessary to protect the best interests of the state."
241+"§41-4-164
242+(a) A party that receives an adverse decision from the
243+Chief Procurement Officer under subsection (c) of Section
244+41-4-161(c) or subsection (c) of Section 41-4-162 (c) may
245+appeal the decision to the Director of Finance.
246+(b) AnAny appeal to the Director of Finance shall be
247+made in writing within five days ofafter receipt of the
248+adverse decision fromby the Chief Procurement Officer.
249+(c) The Director of Finance shall hold unlawful and set
250+aside any decision issued by the Chief Procurement Officer
251+that the director finds to be arbitrary, capricious, an abuse
252+of discretion, or otherwise not in accordance inconsistent with
253+law.
254+(d) The Director of Finance shall issue a written
255+decision within 14 days ofafter receipt of the appeal.
256+(e) A copy of the decision under subsection (d) shall
257+be mailed or otherwise furnished immediately to the parties.
258+(f) A decision under subsection (d) shall be final and
259+conclusive unless fraudulent.
260+(g) The administrative procedures and remedies provided
261+in this section shall not be construed as a contested case
262+under the Alabama Administrative Procedures Act. "
263+"§41-16-82
264+(a) This article shall only apply in cases where the to
265+either of the following:
266+(1) A proposed grant that exceeds twenty-five thousand
267+dollars ($25,000).
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298-(2) Agencies, departments, and divisions are further
299-authorized to establish shared electronic systems to satisfy
300-the requirements of this article. "
301-"§41-16-83
302-(a) The information required on the disclosure
303-statement shall be made under oath and penalty as prescribed
304-herein and shall include, but not be limited to, the
305-following:
306-(1) A list of the names and addresses of any public
307-official, and public employee, andor family members of the
308-public official andor public employee , who may have a family
309-relationship with the submitting person or his or her
310-immediate family members , or his or her employees, and who may
311-directly personally benefit financially from the contract,
312-proposal, request for proposal, invitation to bid, or grant
313-proposal.
314-(2) A description of any financial benefit that may be
315-knowingly gained by any public official, public employee,
316-andor family membersmember of the public official andor public
317-employee that may result either directly or indirectly from
318-the person or his or her immediate family members, or his or
319-her employees.
320-(3) The names and addresses of any paid consultant or
321-lobbyist for the contract, proposal, request for proposal,
322-invitation to bid, or grant proposal.
323-(b) The State of Alabama shall not enter into any
324-contract or appropriate any public funds with any person
325-whothat refuses to provide information required by this
326-section.
297+dollars ($25,000).
298+(2) A or proposed contract at issue exceeds five
299+thousand dollars ($5,000) that meets or exceeds the threshold
300+for bid or other formal solicitations under Title 39, Article
301+5 of Chapter 4 of Title 41, or any other law that requires
302+formal solicitation procedures for awarding public contracts .
303+(b)(1) All persons whothat, for the purpose of direct
304+financial gain, submit a proposal, bid, contract, or grant
305+proposal to the State of Alabama, shall include a disclosure
306+statement identical to, or provide the same required
307+disclosures as, the disclosure statement developed by the
308+Attorney General and approved by the Legislative Council. The
309+disclosure statement shall not be required for any of the
310+following:contracts
311+a. Contracts with publicly traded companies.
312+b. Contracts for gas, water, and electric services
313+where no competition exists, or where rates are fixed by law
314+or ordinance.
315+c. The award of economic development incentives .
316+(2) In circumstances where a contract is awarded by
317+competitive bid or other formal solicitation procedure , the
318+disclosure statement shall be required only from the person
319+receivingawarded the contract and shall be submitted by that
320+person within 1030 days of the award.
321+(c) Notwithstanding any provision of this article to
322+the contrary, a person entering into contracts or receiving
323+multiple grants during the same calendar year with multiple
324+state agencies may submit a single comprehensive annual
325+disclosure statement to each agency, department, or division
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356-section.
357-(c) The information required on the disclosure
358-statement shall be certified by the vendor or the grant
359-recipient. The certification may be performed by electronic
360-methods and must include all of the following:
361-(1) A representation that the individual who signs the
362-document is authorized to sign on behalf of the vendor, if
363-applicable.
364-(2) A declaration that the disclosure statement is
365-given under the penalty of perjury in the jurisdiction in
366-which it is executed.
367-(3) The date and place of execution. "
368-"§41-16-85
369-A copy of the disclosure statement shall be filed with
370-the awarding entity and as required by this article, retained
371-as required by the State Records Commission, and made
372-available for review for audit purposes by the Department of
373-Examiners of Public Accounts and if it pertains to a state
374-contract,or other auditing authority. If the disclosure
375-pertains to a state contract that must be submitted to the
376-Contract Review Permanent Legislative Oversight Committee
377-pursuant to Article 3 of Chapter 2 of Title 29, a copy
378-shallmust be submitted to the Contract Review Permanent
379-Legislative Oversight Committee committee. Any disclosure
380-statement filed pursuant to this article shall be a public
381-record."
382-"§41-16-87
383-This article shall not apply to either of the
355+disclosure statement to each agency, department, or division
356+from which the person has been awarded, contracts, or grants.
357+(d)(1) State agencies, departments, or divisions are
358+authorized to establish electronic systems for submission of
359+annual disclosure statements, and submission to the shared
360+electronic systems shall satisfy the requirements for
361+submitting a disclosure statement to the agency, department,
362+or division.
363+(2) Agencies, departments, and divisions are further
364+authorized to establish shared electronic systems to satisfy
365+the requirements of this article. "
366+"§41-16-83
367+(a) The information required on the disclosure
368+statement shall be made under oath and penalty as prescribed
369+herein and shall include, but not be limited to, the
384370 following:
371+(1) A list of the names and addresses of any public
372+official, and public employee, andor family members of the
373+public official andor public employee , who may have a family
374+relationship with the submitting person or his or her
375+immediate family members , or his or her employees, and who may
376+directly personally benefit financially from the contract,
377+proposal, request for proposal, invitation to bid, or grant
378+proposal.
379+(2) A description of any financial benefit that may be
380+knowingly gained by any public official, public employee,
381+andor family membersmember of the public official andor public
382+employee that may result either directly or indirectly from
383+the person or his or her immediate family members, or his or
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414-following:
415-(a) Any person who any entity which does not receive
416-state funds under a grant or a contract.
417-(b) Any grants or contracts between public procurement
418-units."
419-Section 2. This act shall become effective on June 1,
420-2024.
413+the person or his or her immediate family members, or his or
414+her employees.
415+(3) The names and addresses of any paid consultant or
416+lobbyist for the contract, proposal, request for proposal,
417+invitation to bid, or grant proposal.
418+(b) The State of Alabama shall not enter into any
419+contract or appropriate any public funds with any person
420+whothat refuses to provide information required by this
421+section.
422+(c) The information required on the disclosure
423+statement shall be certified by the vendor or the grant
424+recipient. The certification may be performed by electronic
425+methods and must include all of the following:
426+(1) A representation that the individual who signs the
427+document is authorized to sign on behalf of the vendor, if
428+applicable.
429+(2) A declaration that the disclosure statement is
430+given under the penalty of perjury in the jurisdiction in
431+which it is executed.
432+(3) The date and place of execution. "
433+"§41-16-85
434+A copy of the disclosure statement shall be filed with
435+the awarding entity and as required by this article, retained
436+as required by the State Records Commission, and made
437+available for review for audit purposes by the Department of
438+Examiners of Public Accounts and if it pertains to a state
439+contract,or other auditing authority. If the disclosure
440+pertains to a state contract that must be submitted to the
441+Contract Review Permanent Legislative Oversight Committee
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427-Page 9
428-2024.
429-House of Representatives
430-Read for the first time and referred
431-to the House of Representatives
432-committee on State Government
433-................21-Mar-24
434-Read for the second time and placed
435-on the calendar:
436- 0 amendments
437-................11-Apr-24
438-Read for the third time and passed
439-as amended
440-Yeas 102
441-Nays 0
442-Abstains 1
443-................16-Apr-24
444-John Treadwell
445-Clerk
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471+Contract Review Permanent Legislative Oversight Committee
472+pursuant to Article 3 of Chapter 2 of Title 29, a copy
473+shallmust be submitted to the Contract Review Permanent
474+Legislative Oversight Committee committee. Any disclosure
475+statement filed pursuant to this article shall be a public
476+record."
477+"§41-16-87
478+This article shall not apply to either of the
479+following:
480+(a) Any person who any entity which does not receive
481+state funds under a grant or a contract .
482+(b) Any grants or contracts between public procurement
483+units as defined in Section 41-4-170. "
484+Section 2. This act shall become effective on June 1,
485+2024.
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