LCO No. 5463 1 of 4 General Assembly Raised Bill No. 1076 January Session, 2021 LCO No. 5463 Referred to Committee on GOVERNMENT ADMINISTRATION AND ELECTIONS Introduced by: (GAE) AN ACT CONCERNING PU BLIC-PRIVATE PARTNERSHIPS 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, 2021) (a) As used in this section, (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 State Comptroller; (2) "normal cost of 6 fringe benefits" means the amount of contributions required to fund the 7 fringe 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. 1076 LCO No. 5463 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. Any submission made under this 38 subsection may be electronic. 39 (2) The General Assembly shall approve such bid solicitation or 40 request for proposals as a whole by a majority vote of each house or may 41 reject such bid solicitation or request for proposals as a whole by a 42 majority vote of either house. If the General Assembly is in session, it 43 shall vote to approve or reject such bid solicitation or request for 44 proposals not later than thirty days after The University of Connecticut 45 Health Center files such contract with the General Assembly. Such 46 thirty-day period shall not begin or expire unless the General Assembly 47 is in regular session. If the General Assembly is not in session when such 48 Raised Bill No. 1076 LCO No. 5463 3 of 4 bid solicitation or request for proposals is filed, it shall be submitted to 49 the General Assembly not later than ten days after the first day of the 50 next regular session or special session called for such purpose. For the 51 purposes of this subsection, any bid solicitation or request for proposals 52 filed with the clerks of the House of Representatives and Senate within 53 thirty days before the commencement of a regular session of the General 54 Assembly shall be deemed to be filed on the first day of such session. 55 (c) The submission of any proposed bid solicitation or request for 56 proposals by a state contracting agency in accordance with subsection 57 (b) of this section shall be deemed to satisfy all requirements of 58 subsections (c) and (d) of section 4e-16 of the general statutes. 59 Sec. 2. Subdivision (28) of section 4e-1 of the general statutes is 60 repealed and the following is substituted in lieu thereof (Effective July 1, 61 2021): 62 (28) "State contracting agency" means any executive branch agency, 63 board, commission, department, office, institution or council. "State 64 contracting agency" does not include the judicial branch, the legislative 65 branch, the offices of the Secretary of the State, the State Comptroller, 66 the Attorney General, the State Treasurer, with respect to their 67 constitutional functions, any state agency with respect to contracts 68 specific to the constitutional and statutory functions of the office of the 69 State Treasurer. For the purposes of section 4e-16, "state contracting 70 agency" includes any constituent unit of the state system of higher 71 education, [and] for the purposes of section 4e-19, "state contracting 72 agency" includes the State Education Resource Center, established 73 under section 10-4q and for the purposes of section 1 of this act, "state 74 contracting agency" includes The University of Connecticut Health 75 Center; 76 This act shall take effect as follows and shall amend the following sections: Section 1 July 1, 2021 New section Sec. 2 July 1, 2021 4e-1(28) Raised Bill No. 1076 LCO No. 5463 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.]