| Old | New | Differences | |
|---|---|---|---|
| 1 | - | General Assembly Substitute Bill No. 439 | |
| 2 | - | February Session, 2016 *_____SB00439GAE___032316____* | |
| 1 | + | General Assembly Raised Bill No. 439 | |
| 2 | + | February Session, 2016 LCO No. 2875 | |
| 3 | + | *02875_______GAE* | |
| 4 | + | Referred to Committee on GOVERNMENT ADMINISTRATION AND ELECTIONS | |
| 5 | + | Introduced by: | |
| 6 | + | (GAE) | |
| 3 | 7 | ||
| 4 | 8 | General Assembly | |
| 5 | 9 | ||
| 6 | - | ||
| 10 | + | Raised Bill No. 439 | |
| 7 | 11 | ||
| 8 | 12 | February Session, 2016 | |
| 9 | 13 | ||
| 10 | - | *_____SB00439GAE___032316____* | |
| 14 | + | LCO No. 2875 | |
| 15 | + | ||
| 16 | + | *02875_______GAE* | |
| 17 | + | ||
| 18 | + | Referred to Committee on GOVERNMENT ADMINISTRATION AND ELECTIONS | |
| 19 | + | ||
| 20 | + | Introduced by: | |
| 21 | + | ||
| 22 | + | (GAE) | |
| 11 | 23 | ||
| 12 | 24 | AN ACT CONCERNING THE STATE CONTRACTING STANDARDS BOARD AND REQUIREMENTS FOR PRIVATIZATION CONTRACTS. | |
| 13 | 25 | ||
| 14 | 26 | Be it enacted by the Senate and House of Representatives in General Assembly convened: | |
| 15 | 27 | ||
| 16 | 28 | Section 1. Subdivision (21) of section 4e-1 of the general statutes is repealed and the following is substituted in lieu thereof (Effective from passage): | |
| 17 | 29 | ||
| 18 | - | (21) "Privatization contract" means an agreement or series of agreements between a state contracting agency and a person or entity in which such person or entity agrees to provide services that are substantially similar to and in lieu of services provided, in whole or in part, by state employees, other than contracts with a nonprofit agency, which are in effect as of January 1, 2009, and which through a renewal, modification, extension or rebidding of contracts continue to be provided by a nonprofit agency | |
| 30 | + | (21) "Privatization contract" means an agreement or series of agreements between a state contracting agency and a person or entity in which such person or entity agrees to provide services that are substantially similar to and in lieu of services provided, in whole or in part, by state employees, and includes any procurement contract for which subsequent related services, the total cost of which exceeds fifty thousand dollars per year, will be required, other than contracts with a nonprofit agency, which are in effect as of January 1, 2009, and which through a renewal, modification, extension or rebidding of contracts continue to be provided by a nonprofit agency; | |
| 19 | 31 | ||
| 20 | 32 | Sec. 2. Subdivision (28) of section 4e-1 of the general statutes is repealed and the following is substituted in lieu thereof (Effective from passage): | |
| 21 | 33 | ||
| 22 | - | (28) "State contracting agency" means any executive branch agency, board, commission, department, office, institution or council. "State contracting agency" does not include the judicial branch, the legislative branch, the offices of the Secretary of the State, the State Comptroller, the Attorney General, the State Treasurer, with respect to their constitutional functions, any state agency with respect to contracts specific to the constitutional and statutory functions of the office of the State Treasurer. For the purposes of section 4e-16, as amended by this act, "state contracting agency" includes any constituent unit of the state system of higher education and | |
| 34 | + | (28) "State contracting agency" means any executive branch agency, board, commission, department, office, institution or council. "State contracting agency" does not include the judicial branch, the legislative branch, the offices of the Secretary of the State, the State Comptroller, the Attorney General, the State Treasurer, with respect to their constitutional functions, any state agency with respect to contracts specific to the constitutional and statutory functions of the office of the State Treasurer. For the purposes of section 4e-16, as amended by this act, "state contracting agency" includes any constituent unit of the state system of higher education and [for] notwithstanding any provision of the general statutes, any quasi-public agency created to provide financing for any such constituent unit, and any quasi-public agency not specifically excluded under this chapter. For the purposes of section 4e-19, "state contracting agency" includes the State Education Resource Center, established under section 10-4q; | |
| 23 | 35 | ||
| 24 | 36 | Sec. 3. Subsection (m) of section 4e-2 of the general statutes is repealed and the following is substituted in lieu thereof (Effective from passage): | |
| 25 | 37 | ||
| 26 | - | (m) [Eight] The lesser of | |
| 38 | + | (m) [Eight] The lesser of a majority of the appointed members of the board or eight members of the board, including not less than one member appointed by a legislative leader, shall constitute a quorum which shall be required for the transaction of business by the board. | |
| 27 | 39 | ||
| 28 | 40 | Sec. 4. Subsection (c) of section 4e-13 of the general statutes is repealed and the following is substituted in lieu thereof (Effective from passage): | |
| 29 | 41 | ||
| 30 | - | (c) All state agencies in the executive branch, the constituent units of the state system of higher education and quasi-public agencies shall post all bids, requests for proposals and all resulting contracts and agreements on the State Contracting Portal and shall, with the assistance of the Department of Administrative Services as needed, develop the infrastructure and capability to electronically communicate with the State Contracting Portal. No privatization contract shall be valid unless | |
| 42 | + | (c) All state agencies in the executive branch, the constituent units of the state system of higher education and quasi-public agencies shall post all bids, requests for proposals and all resulting contracts and agreements on the State Contracting Portal and shall, with the assistance of the Department of Administrative Services as needed, develop the infrastructure and capability to electronically communicate with the State Contracting Portal. No privatization contract shall be valid unless at least thirty days prior to execution of such contract, all certifications required by section 4e-16, as amended by this act, have been posted on the State Contracting Portal. | |
| 31 | 43 | ||
| 32 | 44 | Sec. 5. Subsection (p) of section 4e-16 of the general statutes is repealed and the following is substituted in lieu thereof (Effective from passage): | |
| 33 | 45 | ||
| 34 | - | (p) Prior to entering into or renewing any privatization contract that is not subject to the provisions of subsection (a) of this section, the state contracting agency shall evaluate such contract to determine if entering into or renewing such contract is the most cost-effective method of delivering the service, by determining the costs, as defined in subsection (b) of this section, of such service. If the contract is for a total amount of more than one million dollars, the agency shall also provide a business case for such privatization | |
| 46 | + | (p) Prior to entering into or renewing any privatization contract that is not subject to the provisions of subsection (a) of this section, the state contracting agency shall evaluate such contract to determine if entering into or renewing such contract is the most cost-effective method of delivering the service, by determining the costs, as defined in subsection (b) of this section, of such service. If the contract is for a total amount of more than one million dollars, the agency shall also provide a business case for such privatization as required under subsection (d) of this section. The state contracting agency shall perform such evaluation of cost-effectiveness in accordance with a template prescribed by the Secretary of the Office of Policy and Management and such evaluation shall be subject to verification by the secretary. Such template shall require a certification by the state contracting agency that it has complied with all requirements of this subsection and an explanation for the basis of such agency's determination that the provisions of subsection (a) of this section do not apply. If the evaluation determines that there are no savings to the state if the contract is performed by state employees, the state contracting agency shall not enter into such contract without (1) providing a written report to the secretary concerning the reason such agency seeks to enter into such contract despite a lack of savings, and (2) receiving written authorization from the secretary to enter into such contract. If such contract is not a renewal, the state contracting agency shall also consider and report, in writing, to the secretary whether the quality of services could be diminished by the privatization and any risks associated with the termination or rescission of such contract. The secretary may waive the requirement for an evaluation [of cost-effectiveness] under this subsection upon a written finding by the secretary that exigent or emergent circumstances necessitate such waiver. | |
| 35 | 47 | ||
| 36 | 48 | Sec. 6. Section 4e-16 of the general statutes is amended by adding subsections (r) to (t), inclusive, as follows (Effective from passage): | |
| 37 | 49 | ||
| 38 | - | (NEW) (r) A state contracting agency that seeks to enter into or renew a privatization contract shall, not less than sixty days before entering into such contract or renewal, provide written notice to any collective bargaining agent that represents state employees performing work of the type and nature required by the privatization contract. Such notice shall include the information required under subsections (a) to (d), inclusive, of this section, or subsection (p) of this section, as applicable, and shall offer the collective bargaining agent the opportunity to meet with the agency | |
| 50 | + | (NEW) (r) A state contracting agency that seeks to enter into or renew a privatization contract shall, not less than sixty days before entering into such contract or renewal, provide written notice to any collective bargaining agent that represents state employees performing work of the type and nature required by the privatization contract. Such notice shall include the information required under subsections (a) to (d), inclusive, of this section, or subsection (p) of this section, as applicable, and shall offer the collective bargaining agent the opportunity to meet and discuss with the agency such information and whether the work could more appropriately be provided by state employees, prior to the contract or renewal being entered into by the agency. | |
| 39 | 51 | ||
| 40 | - | (NEW) (s) Any state contracting agency that seeks approval of a contract that could be done more | |
| 52 | + | (NEW) (s) Any state contracting agency that seeks approval of a contract that could be done more cheaply by state employees but that determines there is an insufficient number of state employees within such agency to perform the contract shall, not later than sixty days after making such determination, submit a plan to the Secretary of the Office of Policy and Management for preventing a recurrence of such determination by requesting the hiring of additional state employees. The secretary shall, upon the submission of any proposed budget or budget adjustment by the Governor, report to the joint standing committees of the General Assembly having cognizance of matters relating to appropriations and the budgets of state agencies and government administration in accordance with the provisions of section 11-4a, on whether and to what extent such agency plans are included in such submission and the basis for determining whether and to what extent to include such plans in the budget or budget adjustment. | |
| 41 | 53 | ||
| 42 | - | (NEW) (t) No state contracting agency may enter into a privatization contract without obtaining the formal approval of the | |
| 54 | + | (NEW) (t) No state contracting agency may enter into a privatization contract without obtaining the formal approval of the Attorney General of such contract. Prior to entering into any such contract, the agency shall submit (1) a copy of the proposed contract, (2) any certifications required by this section attached to the contract, and (3) either a certification that the contract is not subject to the provisions of subsection (a) of this section, a certification that the contract was approved by the State Contracting Standards Board or a copy of the written exemption from the requirements of subsection (a) of this section signed by the Governor pursuant to subsection (o) of this section, to the Attorney General. Any such contract entered into after the effective date of this section without complying with the provisions of this subsection shall not be binding upon the state. | |
| 43 | 55 | ||
| 44 | 56 | Sec. 7. Section 4e-47 of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2016): | |
| 45 | 57 | ||
| 46 | - | On or [after January 1, 2011,] before January 1, | |
| 58 | + | On or [after January 1, 2011,] before January 1, 2016, each constituent unit of the state system of higher education shall propose regulations to be adopted by the State Contracting Standards Board. The board shall adopt such regulations, in accordance with the provisions of chapter 54. [, to apply the contracting procedures, as described in sections 4e-18 to 4e-45, inclusive, to each constituent unit of the state system of higher education.] Such regulations shall take into consideration circumstances and factors that are unique to such constituent units. Until such regulations are adopted by the State Contracting Standards Board, the provisions of sections 4e-18 to 4e-46, inclusive, shall apply to every expenditure of public funds by any constituent unit of the state system of higher education, irrespective of such funds' source. | |
| 47 | 59 | ||
| 48 | - | Sec. 8. (NEW) (Effective July 1, 2016) (a) Not later than ninety days after the adjournment sine die of each regular session of the General Assembly, the Auditors of Public Accounts shall recommend to the Secretary of the Office of Policy and Management the appropriate staffing levels at the State Contracting Standards Board that are sufficient for the board to carry out its statutory | |
| 60 | + | Sec. 8. (NEW) (Effective July 1, 2016) (a) Not later than ninety days after the adjournment sine die of each regular session of the General Assembly, the Auditors of Public Accounts shall recommend to the Secretary of the Office of Policy and Management the appropriate staffing levels at the State Contracting Standards Board that are sufficient for the board to carry out its statutory mission. In any year during which the board is staffed at substantially lower levels than recommended by the auditors, the auditors may issue the compliance report for each state contracting agency as required under section 4e-6 of the general statutes. If such a compliance report has not been issued for an agency for three years or more as of December thirty-first of any calendar year, the auditors shall issue such report not later than April first of the following calendar year. | |
| 49 | 61 | ||
| 50 | - | (b) To the extent the State Contracting Standards Board remains below the staffing level recommended by the auditors, each state contracting agency shall designate an employee to serve as a liaison with the State Contracting Standards Board. Such liaison shall notify the board of any privatization contract valued at over fifty thousand dollars and shall provide the board any evaluations or analysis of such | |
| 62 | + | (b) To the extent the State Contracting Standards Board remains below the staffing level recommended by the auditors, each state contracting agency shall designate an employee to serve as a liaison with the State Contracting Standards Board. Such liaison shall notify the board of any privatization contract valued at over fifty thousand dollars and shall provide the board any evaluations or analysis of such contact not later than ten days after completing such evaluation or analysis. Electronic communications to the board directing the staff of the board to postings on the State Contracting Portal shall constitute sufficient notice under this subsection. Each state contracting agency shall inform its liaison that any such reporting is an essential part of the employee's duties. | |
| 51 | 63 | ||
| 52 | 64 | ||
| 53 | 65 | ||
| 54 | 66 | ||
| 55 | 67 | This act shall take effect as follows and shall amend the following sections: | |
| 56 | 68 | Section 1 from passage 4e-1(21) | |
| 57 | 69 | Sec. 2 from passage 4e-1(28) | |
| 58 | 70 | Sec. 3 from passage 4e-2(m) | |
| 59 | 71 | Sec. 4 from passage 4e-13(c) | |
| 60 | 72 | Sec. 5 from passage 4e-16(p) | |
| 61 | 73 | Sec. 6 from passage 4e-16 | |
| 62 | 74 | Sec. 7 July 1, 2016 4e-47 | |
| 63 | 75 | Sec. 8 July 1, 2016 New section | |
| 64 | 76 | ||
| 65 | 77 | This act shall take effect as follows and shall amend the following sections: | |
| 66 | 78 | ||
| 67 | 79 | Section 1 | |
| 68 | 80 | ||
| 69 | 81 | from passage | |
| 70 | 82 | ||
| 71 | 83 | 4e-1(21) | |
| 72 | 84 | ||
| 73 | 85 | Sec. 2 | |
| 74 | 86 | ||
| 75 | 87 | from passage | |
| 76 | 88 | ||
| 77 | 89 | 4e-1(28) | |
| 78 | 90 | ||
| 79 | 91 | Sec. 3 | |
| 80 | 92 | ||
| 81 | 93 | from passage | |
| 82 | 94 | ||
| 83 | 95 | 4e-2(m) | |
| 84 | 96 | ||
| 85 | 97 | Sec. 4 | |
| 86 | 98 | ||
| 87 | 99 | from passage | |
| 88 | 100 | ||
| 89 | 101 | 4e-13(c) | |
| 90 | 102 | ||
| 91 | 103 | Sec. 5 | |
| 92 | 104 | ||
| 93 | 105 | from passage | |
| 94 | 106 | ||
| 95 | 107 | 4e-16(p) | |
| 96 | 108 | ||
| 97 | 109 | Sec. 6 | |
| 98 | 110 | ||
| 99 | 111 | from passage | |
| 100 | 112 | ||
| 101 | 113 | 4e-16 | |
| 102 | 114 | ||
| 103 | 115 | Sec. 7 | |
| 104 | 116 | ||
| 105 | 117 | July 1, 2016 | |
| 106 | 118 | ||
| 107 | 119 | 4e-47 | |
| 108 | 120 | ||
| 109 | 121 | Sec. 8 | |
| 110 | 122 | ||
| 111 | 123 | July 1, 2016 | |
| 112 | 124 | ||
| 113 | 125 | New section | |
| 114 | 126 | ||
| 115 | - | Statement of | |
| 127 | + | Statement of Purpose: | |
| 116 | 128 | ||
| 117 | - | ||
| 129 | + | To redefine "privatization contract" and "state contracting agency", to modify the quorum requirement of the State Contracting Standards Board, to impose additional requirements on proposed privatization contracts and to require the Auditors of Public Accounts to issue compliance reports regarding staffing levels of the State Contracting Standards Board. | |
| 118 | 130 | ||
| 119 | - | ||
| 120 | - | ||
| 121 | - | GAE Joint Favorable Subst. | |
| 122 | - | ||
| 123 | - | GAE | |
| 124 | - | ||
| 125 | - | Joint Favorable Subst. | |
| 131 | + | [Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.] |