HB320ENGROSSED
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HB320
SLL3T75-2
By Representative Pringle
RFD: State Government
First Read: 20-Feb-25
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First Read: 20-Feb-25
A BILL
TO BE ENTITLED
AN ACT
Relating to contracts for public works; to amend
Section 39-2-2, Code of Alabama 1975, to further provide for
the requirement to publish public notice of the contract.
BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
Section 1. Section 39-2-2, Code of Alabama 1975, is
amended to read as follows:
"ยง39-2-2
(a)(1) Before entering into any contract for a public
works involving an amount in excess of one hundred thousand
dollars ($100,000), the awarding authority shall advertise for
sealed bids, except as provided in subsection (j).
(2)a. If the awarding authority is the state, a county,
or an instrumentality thereof, it shall advertise for sealed
bids at least once each week for three consecutive weeks in a
newspaper of general circulation in the county or counties in
which the improvement, or some part thereof, is to be made.
The Department of Finance may adopt rules to provide for the
advertisement for the sealed bids on the website or digital
version of the printed newspaper described in this paragraph.
b.1. If the awarding authority is a municipality, or an
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b.1. If the awarding authority is a municipality, or an
instrumentality thereof, it shall advertise for sealed bids at
least once in a newspaper of general circulation published in
the municipality where the awarding authority is located. The
Department of Finance may adopt rules to provide for the
advertisement for the sealed bids on the website or digital
version of the printed newspaper described in this paragraph.
2. If no newspaper is published in the municipality,
the awarding authority shall advertise by posting notice
thereof on a bulletin board maintained outside the purchasing
office and in any other manner and for the length of time as
may be determined. In addition to bulletin board notice,
sealed bids shall also be solicited by sending notice by U.S.
mail or electronic mail to all persons who have filed a
request in writing with the official designated by the
awarding authority that they be listed for solicitation on
bids for the public works contracts indicated in the request.
If any person whose name is listed fails to respond to any
solicitation for bids after the receipt of three such
solicitations, the listing may be canceled.
(3) The advertisements shall briefly describe the
improvement, state that plans and specifications for the
improvement are on file for examination in a designated office
of the awarding authority, state the procedure for obtaining
plans and specifications, state the time and place in which
bids shall be received and opened, and identify whether
prequalification is required and where all written
prequalification information is available for review.
(4) All bids shall be opened publicly at the advertised
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(4) All bids shall be opened publicly at the advertised
time and place.
(5) No public work, as defined in this chapter,
involving a sum in excess of one hundred thousand dollars
($100,000) shall be split into parts involving sums of one
hundred thousand dollars ($100,000) or less for the purpose of
evading the requirements of this section.
(b)(1) An awarding authority may let contracts for
public works involving one hundred thousand dollars ($100,000)
or less with or without advertising or sealed bids.
(2) AnNotwithstanding subdivision (a)(2), an awarding
authority may enter into a contract for public works if : (i)
an advertisement for sealed bids for the contract was
submitted by the awarding authority to a newspaper in
accordance with this section and; (ii) the newspaper only
publishedfailed to publish the advertisement for two weeks if
the authority can provide proof that it, in good faith,
submitted the advertisement to the newspaper with instructions
to publish the notice in accordance with the provisions of
this section.in accordance with this section; and (iii) any of
the following occurred:
a. The advertisement was published for at least three
consecutive weeks on a centralized website maintained by the
Department of Finance as authorized by rule; provided, if the
awarding authority is a municipality, the publication shall be
for a minimum of seven consecutive calendar days.
b. The awarding authority did both of the following:
1. Thirty or more days prior to the bid submission
deadline, mailed by first class U.S. mail or electronic mail
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deadline, mailed by first class U.S. mail or electronic mail
the advertisement to all persons who registered with the
awarding authority to receive a solicitation on bids for the
public works contract.
2. Posted the advertisement on the centralized website
of the Department of Finance as described in paragraph a. and
included in the advertisement instructions on how to register
with the awarding authority to receive future bid
solicitations by U.S. mail or electronic mail.
c. If the awarding authority is the Department of
Transportation, the department published the advertisement on
its publicly accessible website for a minimum of three weeks.
(c) All contracts for public works entered into in
violation of this title shall be void and violative of public
policy. Anyone who willfully violates this article concerning
public works shall be guilty of a Class C felony.
(d)(1) Excluded from the operation of this title shall
be contracts with persons who shall perform only
architectural, engineering, construction management, program
management, or project management services in support of the
public works and who shall not engage in actual construction,
repair, renovation, or maintenance of the public works with
their own forces, by contract, subcontract, purchase order,
lease, or otherwise.
(2)a. Excluded from operation of the bidding
requirements in this title are contracts for the purchase of
any heating or air conditioning units or systems by any
awarding authority subject to Chapter 13B of Title 16, Article
3, commencing with Section 41-16-50, of Chapter 16 of Title
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3, commencing with Section 41-16-50, of Chapter 16 of Title
41, or Article 5, commencing with Section 41-4-110, of Chapter
4 of Title 41, provided the contract is entered into with an
Alabama vendor who has been granted approved vendor status for
the sale of heating or air conditioning units or systems as a
part of a purchasing cooperative, and each of the following
occur:
a.1. The heating or air conditioning unit or system
being purchased is available as a result of a competitive bid
process conducted by a governmental entity which has been
approved by the Department of Examiners of Public Accounts.
b.2. The purchase of the heating or air conditioning
unit or system is not available on the state purchasing
program at the time or the purchase under the purchasing
cooperative is available at a price that is equal to or less
than that available through the state purchasing program.
c.3. The entity entering into the contract for the
purchase of the heating or air conditioning unit or system has
been notified by the Department of Examiners of Public
Accounts that the competitive bid process utilized by the
cooperative program offering the goods complies with this
subdivision.
d.4. Upon request, the vendor has provided the
purchasing entity with a report of sales made under this
subdivision during the previous 12-month period, to include a
general description of the heating or air conditioning units
and systems sold, the number of units sold per entity, and the
purchase price of the units.
e.b. The exemption from the requirement to utilize use
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e.b. The exemption from the requirement to utilize use
sealed bids for the purchase of heating or air conditioning
units or systems authorized by this section shall not serve to
exempt any public works project from the remaining provisions
of this article, including, but not limited to, design,
installation, and review requirements, compliance with all
applicable codes, laws, specifications, and standards, and the
compensation of engineers, architects, or others as mandated
by state law or rule.
(e)(1) In case of an emergency for which a delay in
remedying would cause immediate harm to a person or public
property, contracts may be let to the extent necessary to meet
the emergency without public advertisement or bidding.
(2) In case of an emergency affecting public health,
safety, or convenience, as declared in writing by the awarding
authority, setting forth the nature of the danger to the
public health, safety, or convenience which would result from
delay, contracts may be let to the extent necessary to meet
the emergency without public advertisement.
(3) Any action taken under subdivision (1) or (2), and
the reasons for the action taken, shall immediately be made
public by the awarding authority and published in writing.
(f) No awarding authority may specify in the plans and
specifications for the improvement the use of materials,
products, systems, or services by a sole source unless all of
the following requirements are met:
(1) Except for contracts involving the construction,
reconstruction, renovation, or replacement of public roads,
bridges, and water and sewer facilities, the awarding
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bridges, and water and sewer facilities, the awarding
authority can document to the satisfaction of the Division of
Real Property Management of the Department of Finance, or in
the case of an educational institution or state educational
institution as provided pursuant to Sections 41-4-353 and
41-4-400, to the satisfaction of its governing board, that the
sole source product, material, system, or service is of an
indispensable nature for the improvement, that there are no
other viable alternatives, and that only this particular
product, material, system, or service fulfills the function
for which it is needed.
(2) The sole source specification has been recommended
by the architect or engineer of record as an indispensable
item for which there is no other viable alternative.
(3) All information substantiating the use of a sole
source specification, including the recommendation of the
architect or engineer of record, shall be documented and made
available for examination in the office of the awarding
authority at the time of advertisement for sealed bids.
(g) In the event ofIf a proposed public works project ,
is acknowledged in writing by the Alabama Homeland Security
Department as: (1)(i) having a direct impact on the security
or safety of persons or facilities; and (2)(ii) requiring
confidential handling for the protection of such persons or
facilities, contracts may be let without public advertisement
but with the taking of informal bids otherwise consistent with
the requirements of this title and the requirements of
maintaining confidentiality. Records of bidding and award
shall not be disclosed to the public and shall remain
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shall not be disclosed to the public and shall remain
confidential.
(h) If a pre-bid meeting is held, the pre-bid meeting
shall be held at least seven days prior to the bid opening
except when the project has been declared an emergency in
accordance with subsection (e).
(i) The awarding authority may not offer a contract for
bidding unless confirmation of any applicable grant has been
received and any required matching funds have been secured by
or are available to the awarding authority.
(j) Notwithstanding subsection (a), the Department of
Transportation may enter into contracts for road construction
or road maintenance projects that do not involve more than two
hundred fifty thousand dollars ($250,000) without advertising
for sealed bids, provided the project is listed on the
department publicly accessible website of the department for
at least seven calendar days before entering into the
contract. The total cost of all projects not subject to
advertising and sealed bids pursuant to this subsection may
not exceed one million dollars ($1,000,000) in the aggregate
per year.
(k) For the purposes of this chapter, sealed bids may
also be solicited and submitted through electronic means
including, but not limited to, electrical, digital, magnetic,
optical, electromagnetic, or any other similar technology,
provided that the awarding authority adopts rules and policies
to ensure that all electronic submissions are transmitted
securely and bids remained sealed until bid opening.
(l)(1) Notwithstanding any other provision of law, any
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(l)(1) Notwithstanding any other provision of law, any
entity subject to this chapter that is an awarding authority
of a contract for public works, by resolution or board action,
may purchase materials or equipment pursuant to subdivisions
(14), (16), (17), (18), or (19) of Section 41-16-51(a) (14),
(16), (17), (18), or (19) , even when those materials or
equipment are otherwise part of the contract for public works
subject to the requirements of this title.
(2) Except for those materials or equipment described
in subdivision (1), the remaining portion of the public works
project shall be subject to the requirements of this title,
even if the remaining portion would involve an amount less
than one hundred thousand dollars ($100,000) as a result of
the exclusion of the purchase of the materials or equipment as
described in subdivision (1)."
Section 2. This act shall become effective on October
1, 2025.
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1, 2025.
House of Representatives
Read for the first time and referred
to the House of Representatives
committee on State Government
................20-Feb-25
Read for the second time and placed
on the calendar:
1 amendment
................27-Feb-25
Read for the third time and passed
as amended
................ 18-Mar-25
Yeas 100
Nays 0
Abstains 3
John Treadwell
Clerk
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