LCO No. 2798 1 of 4 General Assembly Raised Bill No. 480 February Session, 2020 LCO No. 2798 Referred to Committee on GOVERNMENT ADMINISTRATION AND ELECTIONS Introduced by: (GAE) AN ACT CONCERNING PU BLIC PRIVATE PARTNER SHIPS AND PRIVATIZATION OF STATE SERVICES AT THE UNIVERSITY OF CONNECTICUT HEALTH C ENTER. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. (NEW) (Effective July 1, 2020) (a) As used in this subsection, 1 (1) "Costs" means all reasonable, relevant and verifiable expenses, 2 including salary, materials, supplies, services, equipment, capital 3 depreciation, rent, maintenance, repairs, utilities, insurance, travel, 4 overhead, interim and final payments and the normal cost of fringe 5 benefits, as calculated by the Comptroller; (2) "normal cost of fringe 6 benefits" means the amount of contributions required to fund the fringe 7 benefits allocated to the current year of service; (3) "privatization 8 contract" means an agreement or series of agreements between The 9 University of Connecticut Health Center and a person or entity in which 10 such person or entity agrees to provide services that are substantially 11 similar to and in lieu of services provided, in whole or in part, by The 12 University of Connecticut Health Center employees; (4) "public-private 13 partnership" means the relationship established between The University 14 Raised Bill No. 480 LCO No. 2798 2 of 4 of Connecticut and a private entity by contracting for the performance 15 of any combination of specified functions or responsibilities currently 16 performed by The University of Connecticut Health Center; and (5) 17 "savings" means the difference between the current annual direct and 18 indirect costs of providing such services and the projected, annual direct 19 and indirect costs of contracting to provide such services in any 20 succeeding state fiscal year during the term of such proposed 21 privatization contract. 22 (b) (1) In lieu of complying with the provisions of section 4e-16 of the 23 general statutes, The University of Connecticut Health Center shall 24 obtain the approval of the General Assembly under this section prior to 25 soliciting bids or issuing a request for proposals for any proposed 26 privatization contract or public-private partnership contract that is 27 estimated to cost in excess of one million dollars annually. The 28 University of Connecticut Health Center shall submit (A) any such bid 29 solicitation or request for proposals to the clerks of the House of 30 Representatives and Senate, and (B) a copy of such solicitation or 31 request for proposals to the joint standing committees of the General 32 Assembly having cognizance of matters relating to higher education 33 and government administration, in accordance with the provisions of 34 section 11-4a of the general statutes. As part of such submission, the 35 chief executive officer of The University Health Center shall certify that, 36 based on the data and information, all projected costs, savings and 37 benefits are valid and achievable. 38 (2) The General Assembly shall approve such bid solicitation or 39 request for proposals as a whole by a majority vote of each house or may 40 reject such bid solicitation or request for proposals as a whole by a 41 majority vote of either house. If the General Assembly is in session, it 42 shall vote to approve or reject such bid solicitation or request for 43 proposals not later than thirty days after The University of Connecticut 44 Health Center files such contract with the General Assembly. If the 45 General Assembly is not in session when such bid solicitation or request 46 for proposals is filed, it shall be submitted to the General Assembly not 47 later than ten days after the first day of the next regular session or special 48 Raised Bill No. 480 LCO No. 2798 3 of 4 session called for such purpose. Such thirty-day period shall not begin 49 or expire unless the General Assembly is in regular session. For the 50 purposes of this subsection, any bid solicitation or request for proposals 51 filed with the clerks of the House of Representatives and Senate within 52 thirty days before the commencement of a regular session of the General 53 Assembly shall be deemed to be filed on the first day of such session. 54 (c) The submission of any proposed bid solicitation or request for 55 proposals by a state contracting agency in accordance with subsection 56 (b) of this section shall be deemed to satisfy all requirements of 57 subsections (c) and (d) of section 4e-16 of the general statutes. 58 Sec. 2. Subdivision (28) of section 4e-1 of the general statutes is 59 repealed and the following is substituted in lieu thereof (Effective July 1, 60 2020): 61 (28) "State contracting agency" means any executive branch agency, 62 board, commission, department, office, institution or council. "State 63 contracting agency" does not include the judicial branch, the legislative 64 branch, the offices of the Secretary of the State, the State Comptroller, 65 the Attorney General, the State Treasurer, with respect to their 66 constitutional functions, any state agency with respect to contracts 67 specific to the constitutional and statutory functions of the office of the 68 State Treasurer. For the purposes of section 4e-16, "state contracting 69 agency" includes any constituent unit of the state system of higher 70 education, [and] for the purposes of section 4e-19, "state contracting 71 agency" includes the State Education Resource Center, established 72 under section 10-4q and for the purposes of section 1 of this act, "state 73 contracting agency" includes The University of Connecticut Health 74 Center; 75 This act shall take effect as follows and shall amend the following sections: Section 1 July 1, 2020 New section Sec. 2 July 1, 2020 4e-1(28) Raised Bill No. 480 LCO No. 2798 4 of 4 Statement of Purpose: To require The University of Connecticut Health Center to obtain the approval of the General Assembly prior to soliciting bids or a request for proposals for a privatization or public-private partnership contract. [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.]