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General Assembly Raised Bill No. 469
February Session, 2022
LCO No. 3049
Referred to Committee on GOVERNMENT
ADMINISTRATION AND ELECTIONS
Introduced by:
(GAE)
AN ACT CONCERNING THE USE OF COMPETITIVE PROCUREMENT
FOR STATE CONTRACTS.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. Section 4-212 of the general statutes is repealed and the 1
following is substituted in lieu thereof (Effective October 1, 2022): 2
As used in this section and sections [4-212] 4-213 to 4-219, inclusive: 3
(1) "Competitive negotiation" means a procedure for contracting for 4
services in which (A) proposals are solicited from qualified persons, 5
firms or corporations by a request for proposals or any other form of 6
competitive procurement, and (B) changes may be negotiated in 7
proposals and prices after being submitted. 8
(2) "Competitive procurement" means the purchase or acquisition of 9
services by a state agency through an open and fair process, where all 10
responsible entities have an equal opportunity to pursue, and 11
potentially be selected for, a contract to provide the state agency with 12
the desired services. 13 Raised Bill No. 469
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[(2)] (3) "Personal service contractor" means any person, firm or 14
corporation not employed by the state, who is hired by a state agency 15
for a fee to provide services to the agency. The term "personal service 16
contractor" [shall] does not include (A) a person, firm or corporation 17
providing "contractual services", as defined in section 4a-50, as 18
amended by this act, to the state, (B) a "consultant", as defined in section 19
4b-55, (C) a "consultant", as defined in section 13b-20b, (D) an agency of 20
the federal government, of the state or of a political subdivision of the 21
state, or (E) a person, firm or corporation providing consultant services 22
for information and telecommunications systems authorized under 23
subdivision (3) of subsection (b) of section 4d-2. 24
[(3)] (4) "Personal service agreement" means a written agreement 25
defining the services or end product to be delivered by a personal 26
service contractor to a state agency, excluding any agreement with a 27
personal service contractor that the state accounting manual does not 28
require to be submitted to the Comptroller. 29
[(4)] (5) "Secretary" means the Secretary of the Office of Policy and 30
Management. 31
[(5)] (6) "State agency" means a department, board, council, 32
commission, institution or other executive branch agency. 33
Sec. 2. Section 4-214 of the general statutes is repealed and the 34
following is substituted in lieu thereof (Effective October 1, 2022): 35
Each personal service agreement executed (1) on or after July 1, 1994, 36
until June 30, 2023, and having a cost of not more than twenty thousand 37
dollars and a term of not more than one year, and (2) on or after July 1, 38
2023, and having a cost of not more than fifty thousand dollars and a 39
term of not more than one year, shall be based, when possible, on 40
competitive negotiation or competitive quotations. 41
Sec. 3. Section 4-215 of the general statutes is repealed and the 42
following is substituted in lieu thereof (Effective October 1, 2022): 43 Raised Bill No. 469
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(a) Each personal service agreement executed on or after July 1, 1994, 44
until June 30, 2023, and having a cost of more than twenty thousand 45
dollars but not more than fifty thousand dollars and a term of not more 46
than one year, or executed on or after July 1, 2023, and having a cost of 47
more than fifty thousand dollars and a term of not more than one year, 48
shall be based on competitive negotiation or competitive quotations, 49
unless the state agency purchasing the personal services determines that 50
a sole source purchase is required and applies to the secretary for a 51
waiver from such requirement and the secretary grants the waiver. Not 52
later than March 1, 1994, the secretary shall adopt guidelines for 53
determining the types of services that may qualify for such waivers. The 54
qualifying services shall include, but not be limited to, (1) services for 55
which the cost to the state of a competitive selection procedure would 56
outweigh the benefits of such procedure, as documented by the state 57
agency, (2) proprietary services, (3) services to be provided by a 58
contractor mandated by the general statutes or a public or special act, 59
and (4) emergency services, including services needed for the protection 60
of life or health. The secretary shall post any approvals of requests for a 61
waiver received under this section on the State Contracting Portal. Not 62
later than January 15, 2020, and annually thereafter, the secretary shall 63
submit a report, in accordance with the provisions of section 11-4a, to 64
the joint standing committees of the General Assembly having 65
cognizance of matters relating to appropriations and the budgets of state 66
agencies and government administration and the State Contracting 67
Standards Board listing any such waiver requests received during the 68
prior year and the justification for the grant or denial of such request. 69
(b) [The secretary] Prior to submitting an application to the secretary 70
for approval of a sole source purchase of audit services, the state agency 71
shall [immediately] notify the Auditors of Public Accounts of any 72
[application that the secretary receives for approval of a sole source 73
purchase of audit services] such intended application and give the 74
auditors the opportunity to review the application to advise the state 75
agency and secretary as to whether such services are necessary and, if 76
so, whether such services could be provided by said auditors. 77 Raised Bill No. 469
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Sec. 4. Subsection (a) of section 4-216 of the 2022 supplement to the 78
general statutes is repealed and the following is substituted in lieu 79
thereof (Effective October 1, 2022): 80
(a) No state agency may execute a personal service agreement having 81
a cost of more than fifty thousand dollars or a term of more than one 82
year, without the approval of the secretary. A state agency may apply 83
for an approval by submitting the following information to the 84
secretary: (1) A description of the services to be purchased and the need 85
for such services; (2) an estimate of the cost of the services and the term 86
of the agreement; (3) whether the services are to be on-going; (4) 87
whether the state agency has contracted out for such services during the 88
preceding two years and, if so, the name of the contractor, term of the 89
agreement with such contractor and the amount paid to the contractor; 90
(5) whether any other state agency has the resources to provide the 91
services; (6) whether the agency intends to purchase the services by 92
competitive negotiation and, if not, why; and (7) whether it is possible 93
to purchase the services on a cooperative basis with other state agencies. 94
The secretary shall approve or disapprove an application [within] not 95
later than fifteen business days after receiving it and any necessary 96
supporting information. [, provided if the secretary does not act within 97
such fifteen-day period the application shall be deemed to have been 98
approved. The secretary shall immediately notify the Auditors of Public 99
Accounts of any application which the secretary receives] Prior to 100
submitting an application for approval of a personal services agreement 101
for audit services to the secretary, the state agency shall notify the 102
Auditors of Public Accounts of such intended application and give said 103
auditors an opportunity to review the application during such fifteen-104
day period and advise the state agency and secretary as to whether such 105
audit services are necessary and, if so, could be provided by said 106
auditors. 107
Sec. 5. Subsection (a) of section 4-217 of the general statutes is 108
repealed and the following is substituted in lieu thereof (Effective October 109
1, 2022): 110 Raised Bill No. 469
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(a) [Not later than March 1, 1994, the] The Secretary of the Office of 111
Policy and Management shall establish standards for state agencies to 112
follow in entering into personal service agreements. The standards shall 113
include, but not be limited to, provisions for: (1) Evaluating the need to 114
use a personal service agreement, (2) developing a request for proposals 115
or any other form of competitive procurement, (3) advertising for 116
personal service contractors, (4) evaluating submitted proposals, (5) 117
selecting a personal service contractor, including compliance with 118
section 4a-60g, (6) systematically monitoring and evaluating personal 119
service contractor performance, (7) documenting the entire process for 120
selecting and managing personal service contractors, and (8) carrying 121
out any other aspect of such process. 122
Sec. 6. Subsection (a) of section 4-218 of the general statutes is 123
repealed and the following is substituted in lieu thereof (Effective October 124
1, 2022): 125
(a) Not later than October 1, 2009, and annually thereafter, the 126
secretary shall submit a report to the General Assembly indicating (1) 127
for each personal service agreement, pursuant to sections 4-214 to 4-216, 128
inclusive, as amended by this act, and executed during the preceding 129
fiscal year, (A) the name of the personal service contractor, (B) a 130
description of the services provided, (C) the term and cost of the 131
agreement, and (D) the method of selecting the personal service 132
contractor; and (2) for each such agreement either executed or otherwise 133
in effect during the preceding fiscal year, (A) the amount of all payments 134
made during the preceding fiscal year to the personal service contractor, 135
[and] (B) the amount of any federal or private funds allocated for such 136
payments, and (C) the total amount of all such payments. 137
Sec. 7. Section 4a-50 of the general statutes is repealed and the 138
following is substituted in lieu thereof (Effective October 1, 2022): 139
When used in this chapter, unless the context indicates a different 140
meaning: 141 Raised Bill No. 469
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(1) "State agency" includes any officer, department, board, council, 142
commission, institution or other agency of the Executive Department of 143
the state government; 144
(2) "Supplies", "materials" and "equipment" mean any and all articles 145
of personal property furnished to or used by any state agency, including 146
all printing, binding, publication of laws, stationery, forms, and reports; 147
(3) "Contractual services" means any and all laundry and cleaning 148
service, pest control service, janitorial service, security service, the rental 149
and repair, or maintenance, of equipment, machinery and other state-150
owned personal property, advertising [and photostating, 151
mimeographing,] and other service arrangements where the services are 152
provided by persons other than state employees; 153
(4) "Competitive bidding" means the submission of prices by persons, 154
firms or corporations competing for a contract to provide supplies, 155
materials, equipment or contractual services, under a procedure in 156
which the contracting authority does not negotiate prices; 157
(5) "Competitive negotiation" means a procedure for contracting for 158
supplies, materials, equipment or contractual services, in which (A) 159
proposals are solicited from qualified suppliers by a request for 160
proposals or any other form of competitive procurement, and (B) 161
changes may be negotiated in proposals and prices after being 162
submitted; 163
(6) "Competitive procurement" means the purchase or acquisition of 164
services by a state agency through an open and fair process, where all 165
responsible entities have an equal opportunity to pursue, and 166
potentially be selected for, a contract to provide the state agency with 167
the desired services; 168
[(6)] (7) "Bidder" means a person, firm or corporation submitting a 169
competitive bid in response to a solicitation or any other form of 170
competitive procurement; and 171 Raised Bill No. 469
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[(7)] (8) "Proposer" means a person, firm or corporation submitting a 172
proposal in response to a request for proposals or any other form of 173
competitive procurement. 174
This act shall take effect as follows and shall amend the following
sections:
Section 1 October 1, 2022 4-212
Sec. 2 October 1, 2022 4-214
Sec. 3 October 1, 2022 4-215
Sec. 4 October 1, 2022 4-216(a)
Sec. 5 October 1, 2022 4-217(a)
Sec. 6 October 1, 2022 4-218(a)
Sec. 7 October 1, 2022 4a-50
GAE Joint Favorable