General Assembly Substitute Bill No. 1119 January Session, 2011 *_____SB01119GAE___032411____* General Assembly Substitute Bill No. 1119 January Session, 2011 *_____SB01119GAE___032411____* AN ACT CONCERNING LICENSING AGREEMENTS OF THE DEPARTMENT OF PUBLIC WORKS, THE PREQUALIFICATION OF BIDDERS AND BID PROTESTS. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. Section 4b-38 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2011): (a) Subject to the provisions of section 4b-30 the commissioner may lease state-owned land or buildings, or both, and facilities to (1) municipalities for municipal use, or (2) private individuals or concerns for private use, when such land, buildings and facilities are otherwise not used or needed for state use and such action seems desirable to produce income or is otherwise in the public interest, provided the Treasurer has determined that such action will not affect the status of any tax-exempt obligations issued or to be issued by the state of Connecticut. (b) The commissioner may also lease or license any land or interest therein for the following purposes, provided the Treasurer has determined that such action will not affect the status of any tax-exempt obligations issued or to be issued by the state of Connecticut: (1) To enter into leases [of] or licensing agreements concerning space on major pedestrian access levels and courtyards, [and] rooftops and other areas of any public building with persons, firms or organizations engaged in commercial, cultural, educational or recreational activities. The commissioner shall establish a rental rate or licensing fee for such leased space equivalent to the prevailing commercial rate or fee for comparable space devoted to a similar purpose in the vicinity of the public building. Such leases or licensing agreements may be negotiated without competitive bids, but shall contain such terms and conditions and be negotiated pursuant to such procedures as the commissioner deems necessary to promote competition and to protect the public interest; (2) To make available, on occasion, or to lease at such rates and on such other terms and conditions as the commissioner deems to be in the public interest, auditoriums, meeting rooms, courtyards, rooftops and lobbies of public buildings to persons, firms or organizations engaged in cultural, educational or passive recreational activities that will not disrupt the operation of the building. (c) The commissioner shall deposit all payments received under leases, licensing agreements or rentals executed pursuant to subdivisions (1) and (2) of subsection (b) of this section in the General Fund, and each such payment shall be credited to the appropriation made from such fund for the operation of such building. (d) The commissioner may furnish utilities, maintenance, repair and other services to persons, firms or organizations leasing space pursuant to subdivisions (1) and (2) of subsection (b) of this section. Such services may be provided during and outside of regular working hours of state agencies. (e) The commissioner shall, where practicable, give priority in the assignment of space on any major pedestrian access level not leased under the terms of subdivisions (1) and (2) of subsection (b) of this section, in such buildings, to state activities requiring regular contact with members of the public, including colocation requirements for human services agencies under section 4b-31. To the extent such space is unavailable, the commissioner shall provide space with maximum ease of access to building entrances. (f) [Not] Except as provided in subsection (g) of this section, not less than two weeks before executing a lease [of] or license agreement concerning land, a building or facility or an interest in land under subsection (a) or (b) of this section, with a person, firm or corporation in the private sector, for a term of six months or more, the commissioner shall notify in writing the chief executive officer of the municipality in which the land, building, facility or interest is located concerning the proposed lease or licensing agreement and the manner in which the lessee or licensee proposes to use the land, building, facility or interest. Upon executing any such lease or licensing agreement, the commissioner shall forward a copy to the assessor or board of assessors of the municipality in which the leased or licensed property is located. (g) If the licensing agreement entered into in accordance with subsection (b) of this section grants the licensee only the right to access state-owned property (1) to perform a study or investigation of such property or any structures located on such property, or (2) to perform work on such property or structures, the commissioner shall not be required to notify the municipality of such agreement as required under subsection (f) of this section. [(g)] (h) Notwithstanding the provisions of this section, the board of trustees of a constituent unit of the state system of higher education may lease land or buildings, or both, and facilities under the control and supervision of such board when such land, buildings or facilities are otherwise not used or needed for use by the constituent unit and such action seems desirable to produce income or is otherwise in the public interest, provided the Treasurer has determined that such action will not affect the status of any tax-exempt obligations issued or to be issued by the state of Connecticut. Upon executing any such lease, said board shall forward a copy to the assessor or board of assessors of the municipality in which the leased property is located. The proceeds from any lease or rental agreement pursuant to this subsection shall be retained by the constituent unit. Any land so leased for private use and the buildings and appurtenances thereon shall be subject to local assessment and taxation annually in the name of the lessee, assignee or sublessee, whichever has immediate right to occupancy of such land or building, by the town wherein situated as of the assessment day of such town next following the date of leasing. Such land and the buildings and appurtenances thereon shall not be included as property of the constituent unit for the purpose of computing a grant in lieu of taxes pursuant to section 12-19a provided, if such property is leased to an organization which, if the property were owned by or held in trust for such organization would not be liable for taxes with respect to such property under section 12-81, such organization shall be entitled to exemption from property taxes as the lessee under such lease, and the portion of such property exempted and leased to such organization shall be eligible for a grant in lieu of taxes pursuant to [said] section 12-19a. Sec. 2. Subsection (c) of section 4b-91 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2011): (c) No person may bid on a contract or perform work pursuant to a contract that is subject to the provisions of subsection (a) of this section unless the person is prequalified in accordance with section 4a-100, except the awarding authority may permit a person who was prequalified under section 4a-100 when awarded the contract or subcontract but whose prequalification certificate was subsequently revoked, denied or not renewed during the course of such person's performance of the contract or subcontract, to continue to perform such contract or subcontract upon a written determination by the awarding authority that such continuance is in the best interest of the state or municipality and that there is good cause for such continuance. Such written determination shall be included in the report provided in accordance with section 4b-101a. Sec. 3. Subsection (b) of section 4b-100 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2011): (b) The Commissioner of Public Works shall adopt regulations, in accordance with the provisions of chapter 54, establishing a procedure for promptly hearing and ruling on claims alleging a violation or violations of sections 4b-91 to 4b-100, inclusive, as amended by this act. Such claims may be initiated by the Department of Public Works or any [party] general bidder whose financial interests may be affected by the decision on such a claim. This act shall take effect as follows and shall amend the following sections: Section 1 October 1, 2011 4b-38 Sec. 2 October 1, 2011 4b-91(c) Sec. 3 October 1, 2011 4b-100(b) This act shall take effect as follows and shall amend the following sections: Section 1 October 1, 2011 4b-38 Sec. 2 October 1, 2011 4b-91(c) Sec. 3 October 1, 2011 4b-100(b) GAE Joint Favorable Subst. GAE Joint Favorable Subst.