Connecticut 2023 Regular Session

Connecticut House Bill HB05692 Latest Draft

Bill / Comm Sub Version Filed 04/17/2023

                             
 
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General Assembly  Substitute Bill No.  5692  
January Session, 2023  
 
 
 
AN ACT CONCERNING OVERSIGHT OF CONTRACTS OF THE 
CONNECTICUT PORT AUTHORITY.  
Be it enacted by the Senate and House of Representatives in General 
Assembly convened: 
 
Section 1. (NEW) (Effective October 1, 2023) (a) As used in this 1 
section: 2 
(1) "Authority" means the Connecticut Port Authority established 3 
under section 15-31a of the general statutes; 4 
(2) "Supplies", "materials" and "equipment" mean any and all 5 
articles of personal property furnished to or used by the authority; 6 
(3) "Contractual services" means any laundry and cleaning service, 7 
pest control service, janitorial service, security service, the rental and 8 
repair, or maintenance, of equipment, machinery and other state-9 
owned personal property, advertising and other service arrangements 10 
where the service is provided by persons other than employees of the 11 
authority; 12 
(4) "Competitive bidding" means the submission of prices by 13 
persons, firms or corporations competing for a contract to provide 14 
supplies, materials, equipment or contractual services, under a 15 
procedure in which the authority does not negotiate prices; 16 
(5) "Competitive negotiation" means a procedure for contracting for 17  Substitute Bill No. 5692 
 
 
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supplies, materials, equipment or contractual services, in which (A) 18 
proposals are solicited from qualified suppliers by a request for 19 
proposals, and (B) changes may be negotiated in proposals and prices 20 
after being submitted; 21 
(6) "Bidder" means a person, firm or corporation submitting a 22 
competitive bid in response to a solicitation; 23 
(7) "Proposer" means a person, firm or corporation submitting a 24 
proposal in response to a request for proposals; 25 
(8) "Lowest responsible qualified bidder" means the bidder whose 26 
bid is the lowest of those bidders possessing the skill, ability and 27 
integrity necessary to faithful performance of the work based on 28 
objective criteria considering past performance and financial 29 
responsibility; and 30 
(9) "Highest scoring bidder in a multiple criteria bid" means the 31 
bidder whose bid receives the highest score for a combination of 32 
attributes, including, but not limited to, price, skill, ability and 33 
integrity necessary for the faithful performance of the work, based on 34 
multiple criteria considering quality of product, warranty, life-cycle 35 
cost, past performance, financial responsibility and other objective 36 
criteria that are established in the bid solicitation for the contract. 37 
(b) Notwithstanding any provision of the general statutes, any 38 
purchases of, and contracts for, supplies, materials, equipment and 39 
contractual services by the Connecticut Port Authority, except 40 
purchases and contracts made pursuant to the provisions of subsection 41 
(c) of this section and public utility services as provided in subsection 42 
(e) of this section, shall be based, when possible, on competitive bids or 43 
competitive negotiation. The authority shall solicit competitive bids or 44 
proposals by providing notice of the planned purchase in a form and 45 
manner that the authority determines will maximize public 46 
participation in the competitive bidding or competitive negotiation 47 
process, including participation by small contractors, as defined in 48  Substitute Bill No. 5692 
 
 
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section 4a-60g of the general statutes, and promote competition. Each 49 
notice of a planned purchase under this subsection shall indicate the 50 
type of goods and services to be purchased and the estimated value of 51 
the contract award. The notice shall, when applicable, also contain a 52 
notice of contract requirements concerning nondiscrimination and 53 
affirmative action pursuant to section 4a-60 of the general statutes and 54 
requirements concerning the awarding of contracts to small 55 
contractors, minority business enterprises, individuals with a disability 56 
and nonprofit corporations pursuant to section 4a-60g of the general 57 
statutes. Each bid and proposal shall be kept sealed or secured until 58 
opened publicly at the time stated in the notice soliciting such bid or 59 
proposal. 60 
(c) The authority may waive the requirement of competitive bidding 61 
or competitive negotiation in the case of minor nonrecurring or 62 
emergency purchases of ten thousand dollars or less in amount. 63 
(d) The authority shall adopt procedures, in accordance with the 64 
provisions of section 1-121 of the general statutes, establishing (1) 65 
standards and procedures for using competitive negotiation for 66 
purchases and contracts, including, but not limited to, criteria which 67 
shall be considered in making purchases by competitive negotiation 68 
and the weight which shall be assigned to each such criterion, and (2) 69 
standards and procedures under which additional purchases may be 70 
made under existing contracts. 71 
(e) The purchase of or contract for the following public utility 72 
services shall not be subject to competitive bidding or competitive 73 
negotiation: (1) Electric distribution services; (2) water services; (3) gas 74 
distribution services; (4) electric generation services if such services are 75 
provided by an electric municipal utility other than a participating 76 
electric municipal utility, as defined in section 16-1 of the general 77 
statutes, in the service area of such electric municipal utility; and (5) 78 
gas supply services until the date such services are competitive 79 
pursuant to legislative act or order of the Public Utilities Regulatory 80 
Authority, provided gas supply services shall be exempt from 81  Substitute Bill No. 5692 
 
 
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competitive bidding and competitive negotiation after such date if 82 
such services are provided by a gas municipal utility in the service area 83 
of such gas municipal utility. 84 
(f) All open market orders or contracts of the authority shall be 85 
awarded to (1) the lowest responsible qualified bidder, while taking 86 
into consideration the qualities of the articles to be supplied, their 87 
conformity with the specifications, their suitability to the requirements 88 
of the authority and the delivery terms, (2) the highest scoring bidder 89 
in a multiple criteria bid, in accordance with the criteria set forth in the 90 
bid solicitation for the contract, or (3) the proposer whose proposal is 91 
deemed by the authority to be the most advantageous, in accordance 92 
with the criteria set forth in the request for proposals, including price 93 
and evaluation factors. 94 
(g) Notwithstanding any provision of the general statutes, when 95 
awarding a contract through competitive negotiation, the authority 96 
shall include price as an explicit factor in the criteria in the request for 97 
proposals and for the contract award. In considering past performance 98 
of a bidder for the purpose of determining the lowest responsible 99 
qualified bidder or the highest scoring bidder in a multiple criteria bid, 100 
the authority shall evaluate the skill, ability and integrity of the bidder 101 
in terms of the bidder's fulfillment of past contract obligations and the 102 
bidder's experience or lack of experience in delivering supplies, 103 
materials, equipment or contractual services of the size or amount for 104 
which bids have been solicited. 105 
Sec. 2. Section 15-31b of the general statutes is repealed and the 106 
following is substituted in lieu thereof (Effective October 1, 2023): 107 
(a) The purposes of the Connecticut Port Authority shall be to 108 
coordinate the development of Connecticut's ports and harbors, with a 109 
focus on private and public investments, pursue federal and state 110 
funds for dredging and other infrastructure improvements to increase 111 
cargo movement through the ports and maintain navigability of all 112 
ports and harbors, market the economic development of such ports 113  Substitute Bill No. 5692 
 
 
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and harbors, work with the Department of Economic and Community 114 
Development and other state, local and private entities to maximize 115 
the economic potential of the ports and harbors, support and enhance 116 
the overall development of the state's maritime commerce and 117 
industries, coordinate the planning and funding of capital projects 118 
promoting the development of the ports and harbors, develop strategic 119 
entrepreneurial initiatives that may be available to the state, coordinate 120 
the state's maritime policy activities, serve as the Governor's principal 121 
maritime policy advisor and undertake such other responsibilities as 122 
may be assigned to it. To accomplish the purposes of the authority, the 123 
authority shall have the duty and power to: 124 
(1) Have perpetual succession as a body politic and corporate and to 125 
adopt bylaws for the regulation of its affairs and the conduct of its 126 
business; 127 
(2) Adopt an official seal and alter the same at pleasure; 128 
(3) Maintain an office at such place or places as it may designate; 129 
(4) Sue and be sued in its own name, and plead and be impleaded; 130 
(5) Develop an organizational and management structure that will 131 
best accomplish the goals of the authority concerning Connecticut 132 
ports and harbors; 133 
(6) Create a code of conduct for the board of directors of the 134 
authority consistent with part I of chapter 10; 135 
(7) Adopt rules for the conduct of its business, which shall not be 136 
considered regulations as defined in section 4-166; 137 
(8) Adopt an annual budget and plan of operations, including a 138 
requirement of board approval before the budget or plan may take 139 
effect; 140 
(9) Make and enter into all contracts and agreements that are 141  Substitute Bill No. 5692 
 
 
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necessary, desirable or incidental to the conduct of its business, subject 142 
to the requirements of section 1 of this act and chapter 62; 143 
(10) Enter into joint ventures and invest in, and participate with, any 144 
person or entity, including, without limitation, governmental or 145 
private business entities in the formation, ownership, management and 146 
operation of business entities, including stock and nonstock 147 
corporations, limited liability companies and general and limited 148 
partnerships, formed to advance the purposes of the authority. The 149 
officers, employees and members of the board of directors of the 150 
authority may serve, without compensation, as directors or officers of 151 
any such business entities formed and such service shall be deemed to 152 
be within the discharge of the duties of such officers, employees or 153 
directors to the authority; 154 
(11) Receive and accept, from any source, aid or contributions, 155 
including money, property, labor and other things of value; 156 
(12) Award grants and subsidies, make loans and provide other 157 
forms of financial assistance to any person or entity under a written 158 
policy, adopted in accordance with the provisions of section 1-121, 159 
setting forth the eligibility criteria, application process, and such other 160 
provisions as may be necessary or desirable to carry out the purposes 161 
of this section; 162 
(13) Charge reasonable fees for the services it performs and waive, 163 
suspend, reduce or otherwise modify such fees in accordance with 164 
written criteria established by the authority, and provided, that no 165 
change may be made in fees without at least thirty days prior notice, 166 
published in accordance with the provisions of section 1-121; 167 
(14) Employ such assistants, agents and other employees as may be 168 
necessary or desirable to carry out its purposes. (A) The executive 169 
director and such employees shall be exempt from the classified 170 
service and, except as provided in subparagraph (B) of this 171 
subdivision, shall not be employees, as defined in subsection (b) of 172  Substitute Bill No. 5692 
 
 
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section 5-270. The authority shall fix appropriate compensation for 173 
such employees and establish all necessary or appropriate personnel 174 
practices and policies, including those relating to hiring, promotion, 175 
compensation, retirement and collective bargaining, which need not be 176 
in accordance with chapter 68, and the authority shall not be an 177 
employer, as defined in subsection (a) of section 5-270, and may 178 
engage consultants, attorneys and appraisers as may be necessary or 179 
desirable to carry out its purposes in accordance with sections 15-31a 180 
to 15-31i, inclusive. (B) For purposes of group welfare benefits and 181 
retirement, including, but not limited to, those provided under chapter 182 
66 and sections 5-257 and 5-259, the officers and all other employees of 183 
the authority shall be state employees. The authority shall reimburse 184 
the appropriate state agencies for all costs incurred by such 185 
designation; 186 
(15) Invest in, acquire, lease, purchase, own, manage, hold and 187 
dispose of real property and lease, convey or deal in or enter into 188 
agreements with respect to such property on any terms necessary or 189 
incidental to carrying out the purposes of sections 15-31a to 15-31i, 190 
inclusive, provided such transactions shall not be subject to approval, 191 
review or regulation by any state agency pursuant to title 4b or any 192 
other provision of the general statutes, except (A) the authority shall 193 
not convey fee simple ownership in any property associated with the 194 
ports or harbors under its jurisdiction and control without the 195 
approval of the State Properties Review Board and the Attorney 196 
General, and (B) as provided in subsection (c) of this section; and 197 
(16) Adopt any policies and procedures necessary to carry out the 198 
provisions of this section in accordance with the provisions of section 199 
1-121. 200 
(b) The authority shall continue as long as it has bonds or other 201 
obligations outstanding and until its existence is terminated by law, 202 
provided no such termination shall affect any outstanding contractual 203 
obligation of the authority and the state shall succeed to the obligations 204 
of the authority under any contract. Upon the termination of the 205  Substitute Bill No. 5692 
 
 
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existence of the authority, all its rights and properties shall pass to and 206 
be vested in the state of Connecticut. 207 
(c) On and after June 23, 2021, [until July 1, 2026,] the authority shall 208 
be a state contracting agency for the purposes of chapter 62, except for 209 
the provisions of section 4e-16, and shall be subject to the authority of 210 
the State Contracting Standards Board established under section 4e-2. 211 
Sec. 3. Subdivision (28) of section 4e-1 of the general statutes is 212 
repealed and the following is substituted in lieu thereof (Effective 213 
October 1, 2023): 214 
(28) "State contracting agency" means any executive branch agency, 215 
board, commission, department, office, institution or council. "State 216 
contracting agency" does not include the judicial branch, the legislative 217 
branch, the offices of the Secretary of the State, the State Comptroller, 218 
the Attorney General, the State Treasurer, with respect to their 219 
constitutional functions, any state agency with respect to contracts 220 
specific to the constitutional and statutory functions of the office of the 221 
State Treasurer. For the purposes of every provision of this chapter 222 
other than section 4e-16, "state contracting agency" includes the 223 
Connecticut Port Authority, for the purposes of section 4e-16, "state 224 
contracting agency" includes any constituent unit of the state system of 225 
higher education and for the purposes of section 4e-19, "state 226 
contracting agency" includes the State Education Resource Center, 227 
established under section 10-4q; 228 
This act shall take effect as follows and shall amend the following 
sections: 
 
Section 1 October 1, 2023 New section 
Sec. 2 October 1, 2023 15-31b 
Sec. 3 October 1, 2023 4e-1(28) 
 
Statement of Legislative Commissioners:   
Section 1(f)(1) was redrafted for clarity. 
  Substitute Bill No. 5692 
 
 
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GAE Joint Favorable Subst. -LCO