LCO No. 5682 1 of 46 General Assembly Raised Bill No. 1223 January Session, 2023 LCO No. 5682 Referred to Committee on GOVERNMENT ADMINISTRATION AND ELECTIONS Introduced by: (GAE) AN ACT CONCERNING THE STATE CONTRACTING STANDARDS BOARD. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. (NEW) (Effective from passage) (a) Notwithstanding any 1 provision of the general statutes, the appropriations recommended for 2 the State Contracting Standards Board shall be the estimates of 3 expenditure requirements transmitted to the Secretary of the Office of 4 Policy and Management by the executive director of the board and the 5 recommended adjustments and revisions of such estimates shall be the 6 recommended adjustments and revisions, if any, transmitted by said 7 executive director to the Office of Policy and Management. 8 (b) Notwithstanding any provision of the general statutes, the 9 Governor shall not reduce allotment requisitions or allotments in force 10 concerning the State Contracting Standards Board. 11 Sec. 2. Section 4e-1 of the general statutes is repealed and the 12 following is substituted in lieu thereof (Effective July 1, 2023): 13 Raised Bill No. 1223 LCO No. 5682 2 of 46 For the purposes of this section and sections [4e-1] 4e-2 to 4e-47, 14 inclusive, as amended by this act: 15 (1) "Best value selection" means a contract selection process in which 16 the award of a contract is based on a combination of quality, timeliness 17 and cost factors; 18 (2) "Bid" means an offer, submitted in response to an invitation to bid, 19 to furnish supplies, materials, equipment, construction or contractual 20 services to a state contracting agency under prescribed conditions at a 21 stated price; 22 (3) "Bidder" means a business submitting a bid in response to an 23 invitation to bid by a state contracting agency; 24 (4) "Business" means any individual or sole proprietorship, 25 partnership, firm, corporation, trust, limited liability company, limited 26 liability partnership, joint stock company, joint venture, association or 27 other legal entity through which business for profit or not-for-profit is 28 conducted; 29 (5) "Competitive bidding" means the submission of prices by a 30 business competing for a contract to provide supplies, materials, 31 equipment or contractual services to a state contracting agency, under a 32 procedure in which the contracting authority does not negotiate prices, 33 as set forth in statutes and regulations concerning procurement; 34 (6) "Consultant" means (A) any architect, professional engineer, 35 landscape architect, land surveyor, accountant, interior designer, 36 environmental professional or construction administrator, who is 37 registered or licensed to practice such person's profession in accordance 38 with the applicable provisions of the general statutes, (B) any planner or 39 any environmental, management or financial specialist, or (C) any 40 person who performs professional work in areas including, but not 41 limited to, educational services, medical services, information 42 technology and real estate appraisal; 43 Raised Bill No. 1223 LCO No. 5682 3 of 46 (7) "Consultant services" means those professional services rendered 44 by a consultant and any incidental services that a consultant and those 45 in the consultant's employ are authorized to perform; 46 (8) "Contract" [or "state contract"] means an agreement or a 47 combination or series of agreements between a state contracting agency 48 [or quasi-public agency] and a business for: 49 (A) A project for the construction, reconstruction, alteration, 50 remodeling, repair or demolition of any public building, public work, 51 mass transit, rail station, parking garage, rail track or airport; 52 (B) Services, including, but not limited to, consultant and professional 53 services; 54 (C) The acquisition or disposition of personal property; 55 (D) The provision of goods and services, including, but not limited 56 to, the use of purchase of services contracts and personal service 57 agreements; 58 (E) The provision of information technology, state agency 59 information system or telecommunication system facilities, equipment 60 or services; 61 (F) A lease; or 62 (G) A licensing agreement; 63 "Contract" [or "state contract"] does not include a contract between a 64 state contracting agency [or a quasi-public agency] and a political 65 subdivision of the state; 66 (9) "Term contract" means the agreement reached when the state 67 accepts a bid or proposal to furnish supplies, materials, equipment or 68 contractual services at a stated price for a specific period of time in 69 response to an invitation to bid; 70 (10) "Contract risk assessment" means (A) the identification and 71 Raised Bill No. 1223 LCO No. 5682 4 of 46 evaluation of loss exposures and risks, including, but not limited to, 72 business and legal risks associated with the contracting process and the 73 contracted goods and services, and (B) the identification, evaluation and 74 implementation of measures available to minimize potential loss 75 exposures and risks; 76 (11) "Contractor" means any business that is awarded, or is a 77 subcontractor under, a contract or an amendment to a contract with a 78 state contracting agency under statutes and regulations concerning 79 procurement, including, but not limited to, a small contractor, minority 80 business enterprise, an individual with a disability, as defined in section 81 4a-60, or an organization providing products and services by persons 82 with disabilities; 83 (12) "Contractual services" means the furnishing of labor by a 84 contractor, not involving the delivery of a specific end product other 85 than reports, which are merely incidental to the required performance 86 and includes any and all laundry and cleaning service, pest control 87 service, janitorial service, security service, the rental and repair, or 88 maintenance, of equipment, machinery and other [state-owned] 89 personal property owned by a state contracting agency, advertising and 90 photostating, mimeographing, human services and other service 91 arrangements where the services are provided by persons other than 92 state employees or quasi-public agency employees. "Contractual 93 services" includes the design, development and implementation of 94 technology, communications or telecommunications systems or the 95 infrastructure pertaining thereto, including hardware and software and 96 services for which a contractor is conferred a benefit by the state, 97 whether or not compensated by the state. "Contractual services" does 98 not include employment agreements or collective bargaining 99 agreements; 100 (13) "Data" means recorded information, regardless of form or 101 characteristic; 102 (14) "Vote of two-thirds of the members of the board present and 103 Raised Bill No. 1223 LCO No. 5682 5 of 46 voting" means a vote by the State Contracting Standards Board that is 104 agreed upon by two-thirds of the members of the State Contracting 105 Standards Board present and voting for a particular purpose and that 106 includes the vote of one member of the board appointed by a legislative 107 leader; 108 (15) "Electronic" means electrical, digital, magnetic, optical, 109 electromagnetic, or any other similar technology; 110 (16) "Emergency procurement" means procurement by a state 111 contracting agency, [quasi-public agency, as defined in section 1-120,] 112 judicial department or constituent unit of higher education that is made 113 necessary by a sudden, unexpected occurrence that poses a clear and 114 imminent danger to public safety or requires immediate action to 115 prevent or mitigate the loss or impairment of life, health, property or 116 essential public services or in response to a court order, settlement 117 agreement or other similar legal judgment; 118 (17) "Equipment" means personal property of a durable nature that 119 retains its identity throughout its useful life; 120 (18) "Materials" means items required to perform a function or used 121 in a manufacturing process, particularly those incorporated into an end 122 product or consumed in its manufacture; 123 (19) "Nonprofit agency" means any organization that is not a for-124 profit business under Section 501(c)(3) of the Internal Revenue Code of 125 1986, or any subsequent corresponding internal revenue code of the 126 United States, as amended from time to time, [amended,] makes no 127 distribution to its members, directors or officers and provides services 128 contracted for by (A) the state or a quasi-public agency, or (B) a nonstate 129 entity; 130 (20) "Professional services" means any type of service to the public 131 that requires that members of a profession rendering such service obtain 132 a license or other legal authorization as a condition precedent to the 133 rendition thereof, including, but not limited to, the professional services 134 Raised Bill No. 1223 LCO No. 5682 6 of 46 of architects, professional engineers, or jointly by architects and 135 professional engineers, landscape architects, certified public 136 accountants and public accountants, land surveyors, attorneys-at-law, 137 psychologists, licensed marital and family therapists, licensed 138 professional counselors and licensed clinical social workers as well as 139 such other professional services described in section 33-182a; 140 (21) "Privatization contract" means an agreement or series of 141 agreements between a state contracting agency and a person or entity in 142 which such person or entity agrees to provide services that are 143 substantially similar to and in lieu of services provided, in whole or in 144 part, by state employees or quasi-public agency employees, other than 145 contracts with a nonprofit agency, which are in effect as of January 1, 146 2009, and which through a renewal, modification, extension or 147 rebidding of contracts continue to be provided by a nonprofit agency; 148 (22) "Procurement" means contracting for, buying, purchasing, 149 renting, leasing or otherwise acquiring or disposing of, any supplies, 150 services, including but not limited to, contracts for purchase of services 151 and personal service agreements, interest in real property, or 152 construction, and includes all government functions that relate to such 153 activities, including best value selection and qualification based 154 selection; 155 (23) "Proposer" means a business submitting a proposal to a state 156 contracting agency in response to a request for proposals or other 157 competitive sealed proposal; 158 (24) "Public record" means a public record, as defined in section 1-159 200; 160 (25) "Qualification based selection" means a contract selection process 161 in which the award of a contract is primarily based on an assessment of 162 contractor qualifications and on the negotiation of a fair and reasonable 163 price; 164 (26) "Regulation" means regulation, as defined in section 4-166; 165 Raised Bill No. 1223 LCO No. 5682 7 of 46 (27) "Request for proposals" means all documents, whether attached 166 or incorporated by reference, utilized for soliciting proposals; 167 (28) "State contracting agency" means any executive branch agency, 168 board, commission, department, office, institution, [or] council or quasi-169 public agency. "State contracting agency" does not include the judicial 170 branch, the legislative branch, the offices of the Secretary of the State, 171 the State Comptroller, the Attorney General, the State Treasurer, with 172 respect to their constitutional functions, any state agency with respect 173 to contracts specific to the constitutional and statutory functions of the 174 office of the State Treasurer. For the purposes of section 4e-16, as 175 amended by this act, "state contracting agency" includes any constituent 176 unit of the state system of higher education and [for the purposes of 177 section 4e-19, "state contracting agency" includes the State Education 178 Resource Center, established under section 10-4q] The University of 179 Connecticut Health Center Finance Corporation; 180 (29) "Subcontractor" means a subcontractor of a contractor for work 181 under a contract or an amendment to a contract; 182 (30) "Supplies" means any and all articles of personal property, 183 including, but not limited to, equipment, materials, printing, insurance 184 and leases of real property, excluding land or a permanent interest in 185 land furnished to or used by any state agency; 186 (31) "Infrastructure facility" means a building, structure or network 187 of buildings, structures, pipes, controls and equipment that provide 188 transportation, utilities, public education or public safety services. 189 [Infrastructure facility] "Infrastructure facility" includes government 190 office buildings, public schools, jails, water treatment plants, 191 distribution systems and pumping stations, wastewater treatment 192 plants, collections systems and pumping stations, solid waste disposal 193 plants, incinerators, landfills, and related facilities, public roads and 194 streets, highways, public parking facilities, public transportation 195 systems, terminals and rolling stock, rail, air and water port structures, 196 terminals and equipment; [and] 197 Raised Bill No. 1223 LCO No. 5682 8 of 46 (32) "State employee" means state employee, as defined in section 5-198 154 and, for purposes of section 4e-16, as amended by this act, [state 199 employee] "state employee" includes an employee of any state 200 contracting agency that is not a quasi-public agency; and 201 (33) "Quasi-public agency" has the same meaning as provided in 202 section 1-120. 203 Sec. 3. Subsections (g) and (h) of section 4e-2 of the general statutes 204 are repealed and the following is substituted in lieu thereof (Effective July 205 1, 2023): 206 (g) The board shall appoint a Chief Procurement Officer for a term 207 not to exceed six years, unless reappointed pursuant to the provisions 208 of this subsection. The Chief Procurement Officer shall report to the 209 board and annually be evaluated by, and serve at the pleasure of, the 210 board. For administrative purposes only, the Chief Procurement Officer 211 shall be supervised by the executive director. 212 (1) The Chief Procurement Officer shall be responsible for carrying 213 out the policies of the board relating to procurement including, but not 214 limited to, oversight, investigation, auditing, agency procurement 215 certification and procurement and project management training and 216 enforcement of [said] such policies as well as the application of such 217 policies to the screening and evaluation of current and prospective 218 contractors. The Chief Procurement Officer may enter into such 219 contractual agreements as may be necessary for the discharge of the 220 duties as set forth in this subsection and by the board, including, but not 221 limited to, recommending best practices and providing operational and 222 administrative assistance to state agencies determined, by the board, to 223 be in violation of sections 4e-16 to 4e-47, inclusive, as amended by this 224 act. 225 (2) In addition to the duties set forth by the board, the Chief 226 Procurement Officer shall (A) oversee state contracting agency 227 compliance with the provisions of statutes and regulations concerning 228 procurement; (B) monitor and assess the performance of the 229 Raised Bill No. 1223 LCO No. 5682 9 of 46 procurement duties of each agency procurement officer; (C) administer 230 the certification system and monitor the level of agency compliance with 231 the requirements of statutes and regulations concerning procurement, 232 including, but not limited to, the education and training, performance 233 and qualifications of agency procurement officers; (D) review and 234 monitor the procurement processes of each state contracting agency [, 235 quasi-public agencies] and institutions of higher education; and (E) 236 serve as chairperson of the Contracting Standards Advisory Council 237 and an ex-officio member of the Vendor and Citizen Advisory Panel. 238 (h) The board may contract with consultants and professionals on a 239 temporary or project by project basis and [may] shall employ, subject to 240 the provisions of chapter 67, [such] not less than five full-time 241 employees and may employ such additional employees as may be 242 necessary to carry out the provisions of this section. 243 Sec. 4. Subdivision (2) of subsection (a) of section 4e-3 of the general 244 statutes is repealed and the following is substituted in lieu thereof 245 (Effective July 1, 2023): 246 (2) Any state contracting agency's contracting and procurement 247 processes, including, but not limited to, leasing and property transfers, 248 purchasing or leasing of supplies, materials or equipment, consultant or 249 consultant services, purchase of service agreements or privatization 250 contracts; and 251 Sec. 5. Section 4e-4 of the general statutes is repealed and the 252 following is substituted in lieu thereof (Effective July 1, 2023): 253 Except as otherwise provided in the general statutes, the board shall 254 have the following authority and responsibilities with respect to 255 procurements by state contracting agencies: 256 [(a)] (1) Recommend the repeal of repetitive, conflicting or obsolete 257 statutes concerning [state] procurement; 258 [(b)] (2) Review and make recommendations concerning proposed 259 Raised Bill No. 1223 LCO No. 5682 10 of 46 legislation and regulations concerning procurement, management, 260 control, and disposal of any and all supplies, services, and construction 261 to be procured by [the] state contracting agencies, including, but not 262 limited to: 263 [(1)] (A) Conditions and procedures for delegation of procurement 264 authority; 265 [(2)] (B) Prequalification, suspension, debarment and reinstatement 266 of prospective bidders and contractors; 267 [(3)] (C) Small purchase procedures; 268 [(4)] (D) Conditions and procedures for the procurement of 269 perishables and items for resale; 270 [(5)] (E) Conditions and procedures for the use of source selection 271 methods authorized by statutes and regulations concerning 272 procurement; 273 [(6)] (F) Conditions and procedures for the use of emergency 274 procurements; 275 [(7)] (G) Conditions and procedures for the selection of contractors by 276 processes or methods that restrict full and open competition; 277 [(8)] (H) The opening or rejection of bids and offers, and waiver of 278 errors in bids and offers; 279 [(9)] (I) Confidentiality of technical data and trade secrets submitted 280 by actual or prospective bidders; 281 [(10)] (J) Partial, progressive and multiple awards; 282 [(11)] (K) Supervision of storerooms and inventories, including 283 determination of appropriate stock levels and the management, 284 transfer, sale or other disposal of publicly-owned supplies; 285 [(12)] (L) Definitions and classes of contractual services and 286 Raised Bill No. 1223 LCO No. 5682 11 of 46 procedures for acquiring such services; 287 [(13)] (M) Regulations providing for conducting cost and price 288 analysis; 289 [(14)] (N) Use of payment and performance bonds; 290 [(15)] (O) Guidelines for use of cost principles in negotiations, 291 adjustments and settlements; and 292 [(16)] (P) Identification of procurement best practices; 293 [(c)] (3) Adopt regulations, pursuant to chapter 54, to carry out the 294 provisions of statutes concerning procurement, in order to facilitate 295 consistent application of the law and require the implementation of 296 procurement best practices; 297 [(d)] (4) Make recommendations with regard to information systems 298 for [state] procurement including, but not limited to, data element and 299 design and the State Contracting Portal; 300 [(e)] (5) Develop a guide to state statutes and regulations concerning 301 procurement, for use by all state contracting agencies; 302 [(f)] (6) Assist state contracting agencies in complying with the 303 statutes and regulations concerning procurement by providing 304 guidance, models, advice and practical assistance to state contracting 305 agency staff relating to: [(1)] (A) Buying the best service at the best price, 306 [(2)] (B) properly selecting contractors, and [(3)] (C) drafting contracts 307 that achieve state goals of accountability, transparency and results 308 based outcomes and to protect taxpayers' interest; 309 [(g)] (7) Train and oversee the agency procurement officer of each 310 state contracting agency and any contracting officers thereunder; 311 [(h)] (8) Review and certify, on or after January 1, 2009, that a state 312 contracting agency's procurement processes are in compliance with 313 statutes and regulations concerning procurement by: 314 Raised Bill No. 1223 LCO No. 5682 12 of 46 [(1)] (A) Establishing procurement and project management 315 education and training criteria and certification procedures for agency 316 procurement officers and contracting officers. All agency procurement 317 officers and contracting officers designated under this [provision] 318 subparagraph shall be required to maintain the certification in good 319 standing at all times while performing procurement functions; 320 [(2)] (B) Approving an ethics training course, in consultation with the 321 Office of State Ethics, including, but not limited to, state employees and 322 quasi-public agency employees involved in procurement and for state 323 contractors and substantial subcontractors who are prequalified 324 pursuant to chapter 58a. Such ethics training course may be developed 325 and provided by the Office of State Ethics or by any person, firm or 326 corporation provided such course is approved by the State Contracting 327 Standards Board; 328 [(i)] (9) Recertify each state contracting agency's procurement 329 processes, triennially, and provide agencies with notice of any 330 certification deficiency and exercise those powers authorized by section 331 4e-34, as amended by this act, 4e-39 or 4e-40, as amended by this act, as 332 applicable, if a determination of noncompliance is made; 333 [(j)] (10) Define the contract data reporting requirements to the board 334 for state contracting agencies concerning information on: [(1)] (A) The 335 number and type of [state] contracts of each state contracting agency 336 currently in effect state-wide; [(2)] (B) the term and dollar value of such 337 contracts; [(3)] (C) a list of client agencies; [(4)] (D) a description of 338 services purchased under such contracts; [(5)] (E) contractor names; [(6)] 339 (F) an evaluation of contractor performance, including, but not limited 340 to records pertaining to the suspension or disqualification of 341 contractors, and assuring such information is available on the State 342 Contracting Portal; and [(7)] (G) a list of contracts and contractors 343 awarded without full and open competition stating the reasons [for] 344 therefor and identifying the approving authority; and 345 [(k)] (11) Provide the Governor and the joint standing committee of 346 Raised Bill No. 1223 LCO No. 5682 13 of 46 the General Assembly having cognizance of matters relating to 347 government administration with recommendations concerning the 348 statutes and regulations concerning procurement. 349 Sec. 6. Subsections (a) to (c), inclusive, of section 4e-5 of the general 350 statutes are repealed and the following is substituted in lieu thereof 351 (Effective July 1, 2023): 352 (a) (1) The head of each state contracting agency shall appoint an 353 agency procurement officer. Such officer shall serve as the liaison 354 between the agency and the Chief Procurement Officer on all matters 355 relating to the agency's procurement activity, including, but not limited 356 to, implementation and compliance with the provisions of statutes and 357 regulations concerning procurement and any policies or regulations 358 adopted by the board, coordination of the training and education of 359 agency procurement employees and any person serving on the 360 Contracting Standards Advisory Council; 361 (2) The agency procurement officer shall be responsible for (A) 362 ensuring that any invitation to bid, request for proposals or any other 363 solicitation for goods and services issued on or after July 1, 2023, 364 contains a notice of the rights of prospective bidders, proposers or 365 prospective contractors under sections 4e-36, 4e-39 and 4e-40, as 366 amended by this act, (B) assuring that contractors are properly screened 367 prior to the award of a contract, (C) ensuring contractors are advised of 368 their rights under sections 4e-36, 4e-39 and 4e-40, as amended by this 369 act, prior to entering into a contract on or after July 1, 2023, (D) ensuring 370 that, upon the award of such a contract, that unsuccessful bidders, 371 proposers or respondents are advised of their rights under sections 4e-372 36, 4e-39 and 4e-40, as amended by this act, (E) evaluating contractor 373 performance during and at the conclusion of a contract, (F) submitting 374 written evaluations to a central data repository to be designated by the 375 board, and (G) creating a project management plan for the agency with 376 annual reports to the board pertaining to procurement projects within 377 the agency. 378 Raised Bill No. 1223 LCO No. 5682 14 of 46 (b) The State Contracting Standards Board, with the advice and 379 assistance of the Commissioner of Administrative Services, shall 380 develop a standardized state procurement and project management 381 education and training program. Such education and training program 382 shall develop education, training and professional development 383 opportunities for employees of state contracting agencies charged with 384 procurement responsibilities. The education and training program shall 385 educate such employees in general business acumen and on proper 386 purchasing procedures as established in statutes and regulations 387 concerning procurement with an emphasis on ethics, fairness, 388 consistency and project management. Participation in the education and 389 training program shall be required of any supervisor y and 390 nonsupervisory [state] employees in state contracting agencies with 391 responsibility for buying, purchasing, renting, leasing or otherwise 392 acquiring any supplies, service or construction, including the 393 preparation of the description of requirements, selection and solicitation 394 of sources, preparation and award of contracts and all phases of contract 395 administration. 396 (c) The state procurement and project management education and 397 training program shall include, but shall not be limited to (1) training 398 and education concerning federal, state and municipal procurement 399 processes, including the statutes and regulations concerning 400 procurement; (2) training and education courses developed in 401 cooperation with the Office of State Ethics, the Freedom of Information 402 Commission, the State Elections Enforcement Commission, the 403 Commission on Human Rights and Opportunities, the office of the 404 Attorney General and any other state agency the board determines is 405 necessary in carrying out statutes and regulations concerning 406 procurement; (3) providing technical assistance to state contracting 407 agencies and municipalities for implementing statutes and regulations 408 concerning procurement, regulations, policies and standards developed 409 by the board; (4) training to current and prospective contractors and 410 vendors and others seeking to do business with [the] state contracting 411 agencies; and (5) training and education of state employees and quasi-412 Raised Bill No. 1223 LCO No. 5682 15 of 46 public agency employees in the area of best procurement practices in 413 [state] purchasing with the goal of achieving the level of acumen 414 necessary to achieve the objectives of statutes and regulations 415 concerning procurement. 416 Sec. 7. Subsection (a) of section 4e-7 of the general statutes is repealed 417 and the following is substituted in lieu thereof (Effective July 1, 2023): 418 (a) For cause, the State Contracting Standards Board may review, 419 terminate or recommend to a state contracting agency the termination 420 of any contract or procurement agreement undertaken by any state 421 contracting agency after providing fifteen days' notice to the state 422 contracting agency and the applicable contractor, and consulting with 423 the Attorney General. Such termination of a contract or procurement 424 agreement by the board may occur only after (1) the board has consulted 425 with the state contracting agency to determine the impact of an 426 immediate termination of the contract, (2) a determination has been 427 made jointly by the board and the state contracting agency that an 428 immediate termination of the contract will not create imminent peril to 429 the public health, safety or welfare, (3) a vote of two-thirds of the 430 members of the board present and voting for that purpose, and (4) the 431 board has provided the state contracting agency and the contractor with 432 opportunity for a hearing conducted pursuant to the provisions of 433 chapter 54. Such action shall be accompanied by notice to the state 434 contracting agency and any other affected party. For the purpose of this 435 section, "for cause" means: (A) A violation of section 1-84 or 1-86e, as 436 determined by the Citizen's Ethics Advisory Board; (B) wanton or 437 reckless disregard of any state or quasi-public agency contracting and 438 procurement process by any person substantially involved in such 439 contract or state contracting agency; or (C) notification from the 440 Attorney General to the state contracting agency that an investigation 441 pursuant to section 4-61dd has concluded that the process by which 442 such contract was awarded was compromised by fraud, collusion or any 443 other criminal violation. Nothing in this section shall be construed to 444 limit the authority of the board as described in section 4e-6. 445 Raised Bill No. 1223 LCO No. 5682 16 of 46 Sec. 8. Section 4e-8 of the general statutes is repealed and the 446 following is substituted in lieu thereof (Effective July 1, 2023): 447 There is established a Contracting Standards Advisory Council, 448 which shall consist of representatives from the Office of Policy and 449 Management, Departments of Administrative Services and 450 Transportation, [and] representatives of at least three additional state 451 contracting agencies, including at least one human services related state 452 agency, to be designated by the Governor and at least four additional 453 state contracting agencies that are quasi-public agencies, two to be 454 appointed by the speaker of the House of Representatives and two to be 455 appointed by the president pro tempore of the Senate. The Chief 456 Procurement Officer shall be a member of the council and serve as 457 chairperson. The advisory council shall meet at least four times per year 458 to discuss [state] procurement issues and to make recommendations for 459 improvement of the procurement processes to the State Contracting 460 Standards Board. The advisory council may conduct studies, research 461 and analyses and make reports and recommendations with respect to 462 subjects or matters within the jurisdiction of the State Contracting 463 Standards Board. 464 Sec. 9. Subsection (a) of section 4e-10 of the general statutes is 465 repealed and the following is substituted in lieu thereof (Effective July 1, 466 2023): 467 (a) On or before July 1, 2010, the board shall submit to the Governor 468 and the General Assembly such legislation as is necessary to permit state 469 contracting agencies, not including [quasi-publics] quasi-public 470 agencies, institutions of higher education, and municipal procurement 471 processes utilizing state funds, to carry out their functions under 472 statutes and regulations concerning procurement. 473 Sec. 10. Section 4e-14 of the general statutes is repealed and the 474 following is substituted in lieu thereof (Effective July 1, 2023): 475 On and after June 1, 2010, all [state] contracts of each state contracting 476 agency that is not a quasi-public agency that take effect on or after June 477 Raised Bill No. 1223 LCO No. 5682 17 of 46 1, 2010, shall contain provisions to ensure accountability, transparency 478 and [results based] results-based outcomes, as prescribed by the State 479 Contracting Standards Board. On and after June 1, 2010, all state 480 contracts of the legislative branch and the judicial branch that take effect 481 on or after June 1, 2010, shall contain provisions to ensure 482 accountability, transparency and [results based] results-based 483 outcomes. On and after July 1, 2023, all contracts of each state 484 contracting agency that is a quasi-public agency shall contain provisions 485 to ensure accountability, transparency and results-based outcomes. 486 Sec. 11. Subsections (c) and (d) of section 4e-16 of the general statutes 487 are repealed and the following is substituted in lieu thereof (Effective July 488 1, 2023): 489 (c) (1) If such cost-benefit analysis identifies a cost savings to the state 490 contracting agency of ten per cent or more, and such privatization 491 contract will not diminish the quality of such service, the state 492 contracting agency shall develop a business case, in accordance with the 493 provisions of subsection (d) of this section, in order to evaluate the 494 feasibility of entering into any such contract and to identify the potential 495 results, effectiveness and efficiency of such contract. 496 (2) If such cost-benefit analysis identifies a cost savings of less than 497 ten per cent to the state contracting agency and such privatization 498 contract will not diminish the quality of such service, the state 499 contracting agency may develop a business case, in accordance with the 500 provisions of subsection (d) of this section, in order to evaluate the 501 feasibility of entering into any such contract and to identify the potential 502 results, effectiveness and efficiency of such contract, provided there is a 503 significant public policy reason to enter into such privatization contract. 504 Any such business case shall be approved in accordance with the 505 provisions of subdivision (4) of subsection (h) of this section. 506 (3) If any such proposed privatization contract would result in the 507 layoff, transfer or reassignment of one hundred or more state 508 contracting agency employees, after consulting with the potentially 509 Raised Bill No. 1223 LCO No. 5682 18 of 46 affected bargaining units, if any, the state contracting agency shall notify 510 the state employees or quasi-public agency employees of such 511 bargaining unit, as applicable, after such cost-benefit analysis is 512 completed. Such state contracting agency shall provide an opportunity 513 for [said] such employees to reduce the costs of conducting the 514 operations to be privatized and provide reasonable resources for the 515 purpose of encouraging and assisting such [state] employees to organize 516 and submit a bid to provide the services that are the subject of the 517 potential privatization contract. The state contracting agency shall retain 518 sole discretion in determining whether to proceed with the privatization 519 contract, provided the business case for such contract is approved by the 520 board. 521 (d) Any business case developed by a state contracting agency for the 522 purpose of complying with subsection (c) of this section shall include: 523 (1) The cost-benefit analysis as described in subsection (b) of this section, 524 (2) a detailed description of the service or activity that is the subject of 525 such business case, (3) a description and analysis of the state contracting 526 agency's current performance of such service or activity, (4) the goals to 527 be achieved through the proposed privatization contract and the 528 rationale for such goals, (5) a description of available options for 529 achieving such goals, (6) an analysis of the advantages and 530 disadvantages of each option, including, at a minimum, potential 531 performance improvements and risks attendant to termination of the 532 contract or rescission of such contract, (7) an analysis of the potential 533 impact of the proposed privatization contract on workers of color and 534 workers who are women, including whether such privatization contract 535 will lessen or increase historical patterns that produce inequities 536 between such workers and other workers, (8) a description of the 537 current market for the services or activities that are the subject of such 538 business case, [(8)] (9) an analysis of the quality of services as gauged by 539 standardized measures and key performance requirements including 540 compensation, turnover, and staffing ratios, [(9)] (10) a description of 541 the specific results-based performance standards that shall, at a 542 minimum be met, to ensure adequate performance by any party 543 Raised Bill No. 1223 LCO No. 5682 19 of 46 performing such service or activity, [(10)] (11) the projected time frame 544 for key events from the beginning of the procurement process through 545 the expiration of a contract, if applicable, [(11)] (12) a specific and 546 feasible contingency plan that addresses contractor nonperformance 547 and a description of the tasks involved in and costs required for 548 implementation of such plan, and [(12)] (13) a transition plan, if 549 appropriate, for addressing changes in the number of agency personnel, 550 affected business processes, employee transition issues, and 551 communications with affected stakeholders, such as agency clients and 552 members of the public, if applicable. Such transition plan shall contain 553 a reemployment and retraining assistance plan for employees who are 554 not retained by the state or a quasi-public agency or employed by the 555 contractor. If the primary purpose of the proposed privatization 556 contract is to provide a core governmental function, such business case 557 shall also include information sufficient to rebut the presumption that 558 such core governmental function should not be privatized. Such 559 presumption shall not be construed to prohibit a state contracting 560 agency from contracting for specialized technical expertise not available 561 within such agency, provided such agency shall retain responsibility for 562 such core governmental function. For the purposes of this section, "core 563 governmental function" means a function for which the primary 564 purpose is (A) the inspection for adherence to health and safety 565 standards because public health or safety may be jeopardized if such 566 inspection is not done or is not done in a timely or proper manner, (B) 567 the establishment of statutory, regulatory or contractual standards to 568 which a regulated person, entity or state contractor shall be held, (C) the 569 enforcement of statutory, regulatory or contractual requirements 570 governing public health or safety, [or] (D) criminal or civil law 571 enforcement, or (E) the provision of essential human services to 572 residents of the state who would otherwise lack the support necessary 573 to assure basic human needs. If any part of such business case is based 574 upon evidence that the state contracting agency is not sufficiently 575 staffed to provide the core governmental function required by the 576 privatization contract, the state contracting agency shall also include 577 within such business case a plan for remediation of the understaffing to 578 Raised Bill No. 1223 LCO No. 5682 20 of 46 allow such services to be provided directly by the state contracting 579 agency in the future. 580 Sec. 12. Subdivisions (2) to (4), inclusive, of subsection (l) of section 581 4e-16 of the general statutes are repealed and the following is 582 substituted in lieu thereof (Effective July 1, 2023): 583 (2) If such cost-benefit analysis identifies a ten per cent or more cost 584 savings to the state contracting agency from the use of such 585 privatization contract and such contract does not diminish the quality 586 of the service provided, such state contracting agency shall develop a 587 business case for the renewal of such privatization contract in 588 accordance with the provisions of subsections (d) and (e) of this section. 589 The board shall review such contract in accordance with the provisions 590 of subsections (f) to (h), inclusive, of this section and may approve such 591 renewal by the applicable vote of the board, provided any such renewal 592 that is estimated to cost in excess of one hundred fifty million dollars 593 annually or six hundred million dollars or more over the life of the 594 contract shall also be approved by the General Assembly prior to the 595 state contracting agency renewing such contract. If such renewal is 596 approved by the board and the General Assembly, if applicable, the 597 provisions of subsection (j) of this section shall apply to any proposed 598 amendment to such contract. 599 (3) If such cost-benefit analysis identifies a cost savings to the state 600 contracting agency of less than ten per cent, such state contracting 601 agency shall prepare a plan to have such service provided by state 602 employees or, in the case of a state contracting agency that is a quasi-603 public agency, the employees of such quasi-public agency, [and] shall 604 begin to implement such plan, provided: (A) While such plan is 605 prepared, but prior to implementation of such plan, such state 606 contracting agency may develop a business case for such privatization 607 contract, in accordance with the provisions of subsection (d) of this 608 section, that achieves a cost savings to the state of ten per cent or more. 609 Any such business case shall be reviewed by the board in accordance 610 with the provisions of subsections (f) to (h), inclusive, of this section, and 611 Raised Bill No. 1223 LCO No. 5682 21 of 46 may be approved by the applicable vote of the board; (B) such 612 privatization contract shall not be renewed with the vendor currently 613 providing such service unless: (i) There exists a significant public 614 interest in renewing such contract, and (ii) such renewal is approved by 615 a two-thirds vote of the board; (C) the state contracting agency may 616 enter into a contract with a term of one year or less for the provision of 617 such service until such state contracting agency implements such plan; 618 and (D) the procedure for the transfer of funds from the General Fund, 619 as described in section 4-94, may be utilized to allocate necessary 620 resources for the implementation of the provisions of this subdivision. 621 (4) Notwithstanding the provisions of subdivision (3) of this 622 subsection, the renewal of a privatization contract with a nonprofit 623 organization shall not be denied if the cost of increasing compensation 624 to employees performing the privatized service is the sole cause for such 625 contract not achieving a cost savings to the state contracting agency of 626 ten per cent or more. 627 Sec. 13. Subsection (n) of section 4e-16 of the general statutes is 628 repealed and the following is substituted in lieu thereof (Effective July 1, 629 2023): 630 (n) The State Contracting Standards Board, in consultation with the 631 Department of Administrative Services, shall: (1) Recommend and 632 implement standards and procedures for state contracting agencies to 633 develop business cases in connection with privatization contracts, 634 including templates for use by state contracting agencies when 635 submitting business cases to the board, and policies and procedures to 636 guide state contracting agencies to complete such business cases, and (2) 637 develop guidelines and procedures for assisting state employees or 638 quasi-public agency employees whose jobs are affected by a 639 privatization contract. 640 Sec. 14. Section 4e-17 of the general statutes is repealed and the 641 following is substituted in lieu thereof (Effective July 1, 2023): 642 (a) Except as otherwise provided, the provisions of sections 4e-16 to 643 Raised Bill No. 1223 LCO No. 5682 22 of 46 4e-47, inclusive, as amended by this act, shall apply to all contracts 644 solicited or entered into by [state contracting agencies] a state 645 contracting agency that is a state agency after June 1, 2010, and all 646 contracts solicited or entered into by a state contracting agency that is a 647 quasi-public agency on or after July 1, 2023. 648 (b) Except as otherwise provided, the provisions of sections 4e-16 to 649 4e-47, inclusive, as amended by this act, shall apply to every 650 expenditure of public funds by any state contracting agency, 651 irrespective of their source, involving any state or quasi-public agency 652 contracting and procurement processes, including, but not limited to, 653 leasing and property transfers, purchasing or leasing of supplies, 654 materials or equipment, consultant or consultant services, personal 655 service agreements, purchase of service agreements or privatization 656 contracts, as defined in section 4e-1, as amended by this act, and, 657 relating to contracts for the construction, reconstruction, alteration, 658 remodeling, repair or demolition of any public building, bridge or road. 659 (c) Nothing in sections 4e-16 to 4e-47, inclusive, as amended by this 660 act, shall be construed to require the application of procurement statutes 661 or regulations to a procurement that involves the expenditure of federal 662 assistance or federal contract funds if federal law provides procurement 663 procedures applicable to the expenditure of such funds, to the extent 664 such federal procedures are inconsistent with state procurement 665 statutes or regulations. 666 Sec. 15. Section 4e-18 of the general statutes is repealed and the 667 following is substituted in lieu thereof (Effective July 1, 2023): 668 For the purpose of obtaining supplies, materials, equipment or 669 contractual services, except infrastructure facilities, the Commissioner 670 of Administrative Services shall establish a requisition system to be used 671 by state contracting agencies that are not quasi-public agencies to 672 initiate and authorize the procurement process. Such system shall be 673 approved by the State Contracting Standards Board. 674 Sec. 16. Subsection (c) of section 4e-21 of the general statutes is 675 Raised Bill No. 1223 LCO No. 5682 23 of 46 repealed and the following is substituted in lieu thereof (Effective July 1, 676 2023): 677 (c) The State Contracting Standards Board, in consultation with the 678 Commissioner of Administrative Services, may waive the requirement 679 of competitive bidding or competitive negotiation in the case of minor, 680 nonrecurring or emergency purchases of ten thousand dollars or less in 681 amount, upon application of the state contracting agency. Any state 682 contracting agency that obtains such a waiver for such an emergency 683 purchase shall post notice of such emergency purchase on the Internet 684 web site of the state contracting agency prior to making such emergency 685 purchase. 686 Sec. 17. Section 4e-24 of the general statutes is repealed and the 687 following is substituted in lieu thereof (Effective July 1, 2023): 688 (a) [Not later than June 1, 2010, the State Contracting Standards 689 Board, in consultation with the Commissioner of Administrative 690 Services and any other appropriate award authority, shall adopt 691 regulations, in accordance with the provisions of chapter 54, permitting] 692 If an emergency [procurements when there exists] procurement is 693 deemed necessary by a state contracting agency due to a threat to public 694 health, welfare or safety, the state contracting agency shall give notice 695 to the board of the need for such emergency procurement. Such 696 emergency procurements shall be made with competition, as is 697 practicable under the circumstances. [Said regulations shall require that] 698 The state contracting agency shall (1) include a written determination of 699 the basis for the emergency and for the selection of the particular 700 contractor [be included] in the contract file and [transmitted] transmit 701 such determination to the Governor, the president pro tempore of the 702 Senate, the majority and minority leaders of the Senate, the speaker of 703 the House of Representatives and the majority and minority leaders of 704 the House of Representatives, and (3) post such determination on the 705 Internet web site of the state contracting agency. 706 (b) The State Contracting Standards Board may adopt regulations in 707 Raised Bill No. 1223 LCO No. 5682 24 of 46 accordance with the provisions of chapter 54 to implement the 708 provisions of this section. 709 Sec. 18. Subsection (d) of section 4b-51 of the general statutes is 710 repealed and the following is substituted in lieu thereof (Effective July 1, 711 2023): 712 (d) (1) Notwithstanding any provision of the general statutes, the 713 Commissioner of Administrative Services may select consultants to be 714 on a list established for the purpose of providing any consultant 715 services. Such list shall be established as provided in sections 4b-56 and 716 4b-57, as amended by this act. [The] In the case of an emergency 717 procurement due to a threat to public health, welfare or safety, the 718 commissioner may enter into a contract with any consultant on such list 719 without inviting responses from such consultants to perform a range of 720 consultant services or to perform a range of tasks pursuant to a task 721 letter detailing services to be performed under such contract. 722 (2) Notwithstanding any provision of the general statutes, the 723 Commissioner of Administrative Services may (A) compile a list of 724 architects, professional engineers and construction administrators for 725 the limited purpose of providing consultant services for a particular 726 program involving various projects for the construction of new 727 buildings or renovations to existing buildings where such buildings are 728 under the operation and control of either the Military Department or the 729 Department of Energy and Environmental Protection, and (B) in the case 730 of an emergency procurement due to a threat to public health, welfare 731 or safety, enter into a contract with any architect, professional engineer 732 or construction administrator on such list for such limited purpose 733 without inviting responses from the persons on such list, except that the 734 Adjutant General may perform the functions described in 735 subparagraphs (A) and (B) of this subdivision for any such building 736 under the operation and control of the Military Department. 737 (3) As used in this subsection, "consultant" means "consultant" as 738 defined in section 4b-55, "consultant services" means "consultant 739 Raised Bill No. 1223 LCO No. 5682 25 of 46 services" as defined in section 4b-55, and "program" means multiple 740 projects involving the planning, design, construction, repair, 741 improvement or expansion of specified buildings, facilities or site 742 improvements, wherein the work (A) will be of a repetitive nature, (B) 743 will share a common funding source that imposes particular 744 requirements, or (C) would be significantly facilitated if completed by 745 the same design professional or construction administrator. 746 Sec. 19. Subsection (a) of section 4b-57 of the general statutes is 747 repealed and the following is substituted in lieu thereof (Effective July 1, 748 2023): 749 (a) Whenever consultant services are required by the commissioner 750 in fulfilling the responsibilities under section 4b-1, and in the case of 751 each project, the commissioner shall invite responses from such firms by 752 posting notice on the State Contracting Portal, except that, in the case of 753 an emergency procurement, the commissioner may receive consultant 754 services under a contract entered into pursuant to subsection (d) of 755 section 4b-51, as amended by this act. The commissioner shall prescribe, 756 by regulations adopted in accordance with chapter 54, the advance 757 notice required for, the manner of submission, and conditions and 758 requirements of, such responses. 759 Sec. 20. Subsection (g) of section 4b-91 of the general statutes is 760 repealed and the following is substituted in lieu thereof (Effective July 1, 761 2023): 762 (g) Notwithstanding the provisions of this chapter regarding 763 competitive bidding procedures, in the case of an emergency 764 procurement due to a threat to public health, welfare or safety, the 765 commissioner may select and interview at least three responsible and 766 qualified general contractors who are prequalified pursuant to section 767 4a-100 and submit the three selected contractors to the construction 768 services award panels process described in section 4b-100a and any 769 regulation adopted by the commissioner. The commissioner may 770 negotiate with the successful bidder a contract which is both fair and 771 Raised Bill No. 1223 LCO No. 5682 26 of 46 reasonable to the state for a community court project, the downtown 772 Hartford higher education center project, a correctional facility project, 773 a juvenile residential center project, or a student residential facility for 774 the Connecticut State University System that is a priority higher 775 education facility project. The Commissioner of Administrative 776 Services, prior to entering any such contract or performing any work on 777 such project, shall submit such contract to the State Properties Review 778 Board for review and approval or disapproval by the board, pursuant 779 to subsection (i) of this section. Any general contractor awarded a 780 contract pursuant to this subsection shall be subject to the same 781 requirements concerning the furnishing of bonds as a contractor 782 awarded a contract pursuant to subsection (b) of this section. 783 Sec. 21. Section 4e-27 of the general statutes is repealed and the 784 following is substituted in lieu thereof (Effective July 1, 2023): 785 Not later than June 1, 2010, the State Contracting Standards Board, in 786 consultation with the Attorney General, shall adopt regulations, in 787 accordance with the provisions of chapter 54, specifying the types of 788 contracts that may be used by state contracting agencies. Such 789 regulations shall specify that a cost-reimbursement contract may be 790 used only when a determination is made in writing by the agency 791 procurement officer that such contract is likely to be less costly to the 792 state contracting agency than any other type or that it is impracticable 793 to obtain the supplies, services or construction required except under 794 such a contract. 795 Sec. 22. Section 4e-31 of the general statutes is repealed and the 796 following is substituted in lieu thereof (Effective July 1, 2023): 797 When, for any reason, collusion or other anticompetitive practices are 798 suspected among any bidders or proposers for a [state] contract of a 799 state contracting agency, a notice of the relevant facts shall be 800 transmitted to the Attorney General by any affected party, including, 801 but not limited to, the state contracting agency, a bidder or a proposer. 802 Sec. 23. Section 4e-34 of the general statutes is repealed and the 803 Raised Bill No. 1223 LCO No. 5682 27 of 46 following is substituted in lieu thereof (Effective July 1, 2023): 804 (a) After reasonable notice and hearing and consultation with the 805 relevant state contracting agency and the Attorney General, the State 806 Contracting Standards Board, acting through a subcommittee of three 807 members, appointed by the chairperson, which subcommittee shall 808 include not less than one legislative appointee, may disqualify any 809 contractor, bidder or proposer, for a period of not more than five years, 810 from bidding on, applying for or participating as a contractor or 811 subcontractor under, contracts with the state or quasi-public agencies. 812 Such disqualification shall be upon the vote of two-thirds of the 813 members of the subcommittee present and voting for that purpose. Such 814 hearing shall be conducted in accordance with the provisions of chapter 815 54. The subcommittee shall issue a written recommendation not later 816 than sixty days after the conclusion of such hearing, and shall state the 817 reason for the recommended action and, if the disqualification is 818 recommended, the period of time the contractor, bidder or proposer 819 shall be disqualified. In determining whether to disqualify a contractor, 820 bidder or proposer, the subcommittee shall consider the seriousness of 821 the acts or omissions of the contractor, bidder or proposer and any 822 mitigating factors. Such recommendation shall be submitted to the 823 board for action and sent to the contractor by certified mail, return 824 receipt requested. If disqualification is recommended, the contractor 825 shall have thirty days to submit comments to the board. Upon receipt of 826 the proposed recommendation by the subcommittee, the board shall 827 issue a written decision either adopting, rejecting or modifying the 828 subcommittee's recommendation. Such decision shall be issued not later 829 than thirty days after receipt by the board of the contractor's comments, 830 if any. The board shall send the decision to the contractor by certified 831 mail, return receipt requested. The written decision shall be a final 832 decision for purposes of sections 4-180 and 4-183. 833 (b) Causes for such disqualification shall include the following: 834 (1) Conviction of, or entry of a plea of guilty or nolo contendere or 835 admission to, the commission of a criminal offense as an incident to 836 Raised Bill No. 1223 LCO No. 5682 28 of 46 obtaining or attempting to obtain a public or private contract or 837 subcontract, or in the performance of such contract or subcontract; 838 (2) Conviction of, or entry of a plea of guilty or nolo contendere or 839 admission to, the violation of any state or federal law for embezzlement, 840 theft, forgery, bribery, falsification or destruction of records, receiving 841 stolen property or any other offense indicating a lack of business 842 integrity or business honesty which affects responsibility as a [state] 843 contractor; 844 (3) Conviction of, or entry of a plea of guilty or nolo contendere or 845 admission to, a violation of any state or federal antitrust, collusion or 846 conspiracy law arising out of the submission of bids or proposals on a 847 public or private contract or subcontract; 848 (4) Accumulation of two or more suspensions pursuant to section 4e-849 35, as amended by this act, within a twenty-four-month period; 850 (5) A wilful, negligent or reckless failure to perform in accordance 851 with the terms of one or more contracts or subcontracts, agreements or 852 transactions with state contracting agencies; 853 (6) A history of failure to perform or of unsatisfactory performance 854 on one or more public contracts, agreements or transactions with state 855 contracting agencies; 856 (7) A wilful violation of a statutory or regulatory provision or 857 requirement applicable to a contract, agreement or transaction with 858 state contracting agencies; 859 (8) A wilful or egregious violation of the ethical standards set forth in 860 sections 1-84, 1-86e and 1-101nn, as determined by the Citizen's Ethics 861 Advisory Board; or 862 (9) Any other cause or conduct the board determines to be so serious 863 and compelling as to affect responsibility as a [state] contractor, 864 including, but not limited to: 865 Raised Bill No. 1223 LCO No. 5682 29 of 46 (A) Disqualification by another state for cause; 866 (B) The fraudulent or criminal conduct of any officer, director, 867 shareholder, partner, employee or other individual associated with a 868 contractor, bidder or proposer of such contractor, bidder or proposer, 869 provided such conduct occurred in connection with the individual's 870 performance of duties for or on behalf of such contractor, bidder or 871 proposer and such contractor, bidder or proposer knew or had reason 872 to know of such conduct; 873 (C) The existence of an informal or formal business relationship with 874 a contractor who has been disqualified from bidding or proposing on 875 [state] contracts of any state contracting agency. 876 (c) Upon written request by the affected [state] contractor, bidder or 877 proposer, the State Contracting Standards Board may reduce the period 878 or extent of disqualification for a contractor, bidder or proposer if 879 documentation supporting any of the following reasons for 880 modification is provided to the board by the contractor, bidder or 881 proposer: 882 (1) Newly discovered material evidence; 883 (2) Reversal of the conviction upon which the disqualification was 884 based; 885 (3) Bona fide change in ownership or management; or 886 (4) Elimination of other causes for which the disqualification was 887 imposed. 888 Sec. 24. Section 4e-35 of the general statutes is repealed and the 889 following is substituted in lieu thereof (Effective July 1, 2023): 890 (a) For purposes of this section and sections 4e-37 and 4e-38, as 891 amended by this act, "contracting agency of the state" does not include 892 a quasi-public agency. After reasonable notice and a hearing, conducted 893 in accordance with the provisions of chapter 54, the department head of 894 Raised Bill No. 1223 LCO No. 5682 30 of 46 any [state] contracting agency of the state may suspend any contractor, 895 bidder or proposer for a period of not more than six months from 896 bidding on, applying for or performing work as a contractor or 897 subcontractor under, contracts with the state. The department head 898 shall issue a written decision not later than ninety days after the 899 conclusion of such hearing and state in the decision the reasons for the 900 action taken and, if the contractor, bidder or proposer is being 901 suspended, the period of such suspension. In determining whether to 902 suspend a contractor, bidder or proposer, the department head shall 903 consider the seriousness of the acts or omissions of the contractor, 904 bidder or proposer and any mitigating factors. The department head 905 shall send such decision to the contractor and the State Contracting 906 Standards Board by certified mail, return receipt requested. Such 907 decision shall be a final decision for purposes of sections 4-180 and 4-908 183. 909 (b) Causes for such suspension shall include the following: 910 (1) Failure without good cause to perform in accordance with 911 specifications or within the time limits provided in the contract; 912 (2) A record of failure to perform or of unsatisfactory performance in 913 accordance with the terms of one or more contracts, provided failure to 914 perform or unsatisfactory performance caused by acts beyond the 915 control of the contractor shall not be considered to be a basis for 916 suspension; 917 (3) Any cause the complainant [state] contracting agency of the state 918 determines to be so serious and compelling as to affect the responsibility 919 of a state contractor, including suspension by another [state] contracting 920 agency of the state for cause; or 921 (4) A violation of the ethical standards set forth in section 1-84, 1-86e 922 or 1-101nn, as determined by the Citizen's Ethics Advisory Board. 923 (c) The State Contracting Standards Board may grant an exception 924 permitting a suspended contractor to participate in a particular contract 925 Raised Bill No. 1223 LCO No. 5682 31 of 46 or subcontract upon a written determination by the board that there is 926 good cause for such exception and that such exception is in the best 927 interest of the state. 928 (d) The department head of each [state] contracting agency of the 929 state shall conduct reviews of contractors and shall file reports 930 pertaining to any of the reasons set forth in this section that may be the 931 basis for disqualification. 932 Sec. 25. Subsections (g) to (i), inclusive, of section 4e-37 of the general 933 statutes are repealed and the following is substituted in lieu thereof 934 (Effective July 1, 2023): 935 (g) In the event that the appeals review subcommittee or the board 936 determines that a procedural violation occurred, or that allegations of 937 an unauthorized or unwarranted, noncompetitive selection process 938 have been substantiated, the board shall direct the [state] contracting 939 agency of the state to take corrective action not later than thirty days 940 after the date of the subcommittee's or board's decision, as applicable. 941 (h) In the event such appeal is found to be frivolous by the appeals 942 review subcommittee or the full board, such frivolous appeal may serve 943 as a basis for disqualification pursuant to section 4e-34, as amended by 944 this act. 945 (i) Any three members of the board may request a full board review 946 of any contract deliberation or award process of a [state] contracting 947 agency of the state. 948 Sec. 26. Section 4e-38 of the general statutes is repealed and the 949 following is substituted in lieu thereof (Effective July 1, 2023): 950 The State Contracting Standards Board shall issue a decision in 951 writing or take other appropriate action on each appeal submitted 952 pursuant to section 4e-37, as amended by this act. A copy of any decision 953 shall be provided to all parties, the department head of the [state] 954 contracting agency of the state and the Chief Procurement Officer. 955 Raised Bill No. 1223 LCO No. 5682 32 of 46 Sec. 27. Subdivision (2) of section 4e-40 of the general statutes is 956 repealed and the following is substituted in lieu thereof (Effective July 1, 957 2023): 958 (2) If the person awarded the contract acted in bad faith: 959 (A) The contract may be declared null and void; or 960 (B) The contract may be ratified and affirmed if such action is in the 961 best interests of the state, as determined by the State Contracting 962 Standards Board, in writing, without prejudice to the [state's] state 963 contracting agency's right to such damages as may be appropriate. 964 Sec. 28. Section 4e-45 of the general statutes is repealed and the 965 following is substituted in lieu thereof (Effective July 1, 2023): 966 With respect to infrastructure facilities, not later than June 1, 2010, the 967 State Contracting Standards Board, in consultation with the state 968 contracting agencies and the Attorney General, shall adopt regulations, 969 in accordance with the provisions of chapter 54, requiring the inclusion 970 in [state] contracts with any state contracting agency of clauses 971 providing for adjustments in prices, time of performance, remedies, 972 termination or other contract provisions necessary to protect the 973 interests of the state. 974 Sec. 29. Section 4e-46 of the general statutes is repealed and the 975 following is substituted in lieu thereof (Effective July 1, 2023): 976 Not later than June 1, 2010, the State Contracting Standards Board 977 shall adopt regulations, in accordance with the provisions of chapter 54, 978 concerning the procedure and circumstances under which a state 979 contracting agency may allow contract modification, change order, or 980 contract price adjustment under a construction contract with [the state] 981 a state contracting agency in excess of fifty thousand dollars. Such 982 regulations shall require that every contract modification, change order 983 or contract price adjustment under a construction contract with [the 984 state] a state contracting agency in excess of fifty thousand dollars shall 985 Raised Bill No. 1223 LCO No. 5682 33 of 46 be subject to prior written certification by the fiscal officer of the state 986 contracting agency or other agency responsible for funding the project 987 or the contract, or other official responsible for monitoring and 988 reporting upon the status of the costs of the total project budget or 989 contract budget, as to the effect of the contract modification, change 990 order, or adjustment in contract price on the total project budget or the 991 total contract budget. Such regulations shall further provide that in the 992 event the certification of the fiscal officer or other responsible official 993 discloses a resulting increase in the total project budget or the total 994 contract budget, the agency procurement officer shall not execute or 995 make such contract modification, change order, or adjustment in 996 contract price unless sufficient funds are available or the scope of the 997 project or contract is adjusted so as to permit the degree of completion 998 that is feasible within the total project budget or total contract budget as 999 it existed prior to the contract modification, change order, or adjustment 1000 in contract price under consideration provided, with respect to the 1001 validity, as to the contractor, of any executed contract modification, 1002 change order, or adjustment in contract price which the contractor has 1003 reasonably relied upon, it shall be presumed that there has been 1004 compliance with the provisions of this section. 1005 Sec. 30. Subsection (a) of section 4e-48 of the general statutes is 1006 repealed and the following is substituted in lieu thereof (Effective July 1, 1007 2023): 1008 (a) For the purposes of this section, "nonresident bidder" means a 1009 business that is not a resident of the state that submits a bid in response 1010 to an invitation to bid by a state contracting agency, "resident bidder" 1011 means a business that submits a bid in response to an invitation to bid 1012 by a state contracting agency and that has paid unemployment taxes or 1013 income taxes in this state during the twelve calendar months 1014 immediately preceding submission of such bid, has a business address 1015 in the state and has affirmatively claimed such status in the bid 1016 submission, and "contract" [means "contract" as defined in section 4e-1 1017 and "state contracting agency" means] and "state contracting agency" 1018 have the same meanings, as [defined] provided in section 4e-1, as 1019 Raised Bill No. 1223 LCO No. 5682 34 of 46 amended by this act. 1020 Sec. 31. Section 4e-72 of the general statutes is repealed and the 1021 following is substituted in lieu thereof (Effective July 1, 2023): 1022 As used in this section, "contract", "state contracting agency", "data" 1023 and "contractor" have the same meanings as provided in section 4e-1, as 1024 amended by this act. Any contract between a state contracting agency 1025 and a contractor that is entered into, renewed or amended on or after 1026 October 1, 2021, or, in the case of a state contracting agency that is a 1027 quasi-public agency, entered into, renewed or amended on or after July 1028 1, 2023, shall contain a provision authorizing the state contracting 1029 agency to access any data concerning such contract that is in the 1030 possession or control of the contractor upon demand in a format 1031 prescribed by the state contracting agency at no additional cost to such 1032 agency. 1033 Sec. 32. Section 10a-255 of the general statutes is repealed and the 1034 following is substituted in lieu thereof (Effective July 1, 2023): 1035 (a) To accomplish the purposes of sections 10a-250 to 10a-263, 1036 inclusive, the corporation may enter into joint ventures or shared service 1037 agreements to procure hospital facilities and to contract for services 1038 necessary or useful in connection with the procurement of hospital 1039 facilities. The corporation shall establish and adopt specific policies, 1040 rules and procedures on purchasing and contracting. Such policies, 1041 rules and procedures shall be approved by a two-thirds vote of its full 1042 board of directors. The corporation shall conduct its contracting and 1043 purchasing operations in accordance with such policies, rules and 1044 procedures. Notwithstanding any other provision of law to the contrary, 1045 the corporation may enter into joint ventures or shared service 1046 agreements and may procure hospital facilities and contract for any 1047 services necessary or useful in connection with such procurement either 1048 (1) pursuant to a process of open or competitive bidding, provided that 1049 (A) the corporation may determine the format, contents and scope of 1050 any joint venture or shared service agreement or any procurement of 1051 Raised Bill No. 1223 LCO No. 5682 35 of 46 hospital facilities, and services in connection with such procurement, 1052 the conditions under which bidding shall take place and the schedule 1053 and stipulations for contract award, and (B) the corporation may select 1054 the contractor deemed to have submitted the most favorable bid, price 1055 and other factors considered, when, in the judgment of the corporation, 1056 such award is in the best interests of the hospital, or (2) if the 1057 corporation, in its discretion, determines that, due to the nature of the 1058 joint venture or shared service agreement or hospital facilities to be 1059 contracted for or procured, open or public bidding is either 1060 impracticable or not in the best interests of the hospital, through 1061 negotiation with such person or persons as the corporation may 1062 determine. The terms and conditions of joint ventures or shared service 1063 agreements or contracts for hospital facilities shall be determined by the 1064 corporation, as shall the fees or other compensation to be paid to such 1065 persons under such joint venture, shared service agreement or contract, 1066 provided any contract for construction by the corporation or a 1067 subsidiary of a hospital facility shall be subject to the provisions of 1068 section 31-53 and any joint venture agreement or shared service 1069 agreement of the corporation shall contain a neutrality clause signed by 1070 all parties to such joint venture agreement or shared service agreement 1071 prohibiting employer interference by such parties in union organizing 1072 and education campaigns, prohibiting discrimination in hiring based on 1073 past union activity and prohibiting harassment of employees engaged 1074 in labor organizing, all in compliance with section 31-104 and section 31-1075 105. The joint venture, shared service agreement or contracts entered 1076 into by the corporation shall not be subject to the approval of any state 1077 department, office or agency other than as provided in this section. 1078 Copies of all contracts of the corporation shall be maintained by the 1079 corporation at its offices as public records, subject to the exemption 1080 provided in subsection (i) of section 10a-253. Nothing in this subsection 1081 shall be deemed to restrict the discretion of the corporation to utilize its 1082 own staff and workforce for the performance of any of its assigned 1083 responsibilities and functions whenever, in the discretion of the 1084 corporation, it becomes necessary, convenient or desirable to do so. 1085 Raised Bill No. 1223 LCO No. 5682 36 of 46 (b) Subject to the restrictions of subdivision (15) of section 10a-254 the 1086 corporation may contract with the hospital to provide services for the 1087 hospital through joint ventures or shared service agreements or to 1088 provide hospital facilities for the hospital, to provide insurance for the 1089 hospital as provided in section 10a-256 and to contract for claims 1090 management services, or to otherwise make hospital facilities or services 1091 provided by joint ventures or shared service agreements available for 1092 the hospital. For the hospital to enter into any contract for such services 1093 or hospital facilities or insurance or claims management services with 1094 the corporation, to pay any reasonable fees and charges established by 1095 the corporation for such services or hospital facilities or to pledge 1096 payment from any moneys made available by the state to the hospital 1097 including, but not limited to, resources of the hospital fund established 1098 and administered pursuant to sections 10a-127 and 10a-128, other funds 1099 of the state and proceeds of financings by the state for the payment of 1100 such fees and charges, it shall have the authorization of the Board of 1101 Trustees of The University of Connecticut. Such authorization shall be 1102 given by adoption of a resolution at a regularly or specially noticed 1103 meeting of said board of trustees. Any fees and charges so established 1104 shall be deemed to be direct expenses of the hospital for which the 1105 resources of the hospital fund may be used pursuant to section 10a-127 1106 and the State Treasurer is authorized to make payments of such fees and 1107 charges upon warrants issued by the State Comptroller, upon the order 1108 of authorized officers of The University of Connecticut, pursuant to such 1109 a resolution. The provisions of section 4a-57 and any provision of law 1110 relating to contract approval other than sections 10a-250 to 10a-263, 1111 inclusive, shall not apply to such contracts between the hospital and the 1112 corporation. Any such contract or contracts shall be upon such terms 1113 and conditions as the corporation and the hospital shall determine to be 1114 reasonable including, but not limited to, the reimbursement of all costs 1115 of planning, financing, acquisition, construction, operation and 1116 maintenance, and any claims arising therefrom. All payments of fees 1117 and charges required under any contract or agreement entered into 1118 pursuant to the provisions of this section are considered expenditures 1119 for public purposes by the state. Any contract between the hospital and 1120 Raised Bill No. 1223 LCO No. 5682 37 of 46 the corporation that provides for the procurement by the corporation of 1121 hospital facilities or services as authorized by sections 10a-250 to 10a-1122 263, inclusive, shall provide that the hospital shall be required to pay, 1123 through service, lease, rental or installment sale payments for such 1124 hospital facilities or services, all project costs of such hospital facilities 1125 or services at such times and in such amounts as determined by the 1126 corporation and the hospital. Any such contract between the hospital 1127 and the corporation may contain provisions as to: (1) Pledging or 1128 assigning any part of moneys and revenues, including reimbursement 1129 allowances, derived by the hospital or the corporation, to secure 1130 payments required by such contract; (2) setting aside reserves and 1131 creating special funds and the disposition thereof; (3) defining the acts 1132 or omissions to act which shall constitute a default in the obligations and 1133 duties of the hospital or the corporation and providing for the rights and 1134 remedies of the hospital and the corporation in the event of such default; 1135 (4) any other matters which may be deemed necessary or desirable by 1136 the corporation to properly carry out its corporate purposes. 1137 (c) Any joint venture, shared service agreement or contract entered 1138 into by the corporation, or any of its subsidiaries under this section, shall 1139 comply with the applicable provisions of section 4e-16, as amended by 1140 this act, and shall be subject to the jurisdiction of the State Contracting 1141 Standards Board to the same extent as a constituent unit of higher 1142 education. 1143 Sec. 33. Subdivision (15) of subsection (a) of section 15-31b of the 1144 general statutes is repealed and the following is substituted in lieu 1145 thereof (Effective July 1, 2023): 1146 (15) Invest in, acquire, lease, purchase, own, manage, hold and 1147 dispose of real property and lease, convey or deal in or enter into 1148 agreements with respect to such property on any terms necessary or 1149 incidental to carrying out the purposes of sections 15-31a to 15-31i, 1150 inclusive, provided such transactions shall not be subject to approval, 1151 review or regulation by any state agency pursuant to title 4b or any other 1152 provision of the general statutes, except (A) the authority shall not 1153 Raised Bill No. 1223 LCO No. 5682 38 of 46 convey fee simple ownership in any property associated with the ports 1154 or harbors under its jurisdiction and control without the approval of the 1155 State Properties Review Board and the Attorney General, and (B) as 1156 provided in [subsection (c) of this section] chapter 62; and 1157 Sec. 34. Subsections (b) and (c) of section 15-31b of the general statutes 1158 are repealed and the following is substituted in lieu thereof (Effective July 1159 1, 2023): 1160 (b) The authority shall continue as long as it has bonds or other 1161 obligations outstanding and until its existence is terminated by law, 1162 provided no such termination shall affect any outstanding contractual 1163 obligation of the authority and the state shall succeed to the obligations 1164 of the authority under any contract. Upon the termination of the 1165 existence of the authority, all its rights and properties shall pass to and 1166 be vested in the state of Connecticut. 1167 [(c) On and after June 23, 2021, until July 1, 2026, the authority shall 1168 be a state contracting agency for the purposes of chapter 62, except for 1169 the provisions of section 4e-16, and shall be subject to the authority of 1170 the State Contracting Standards Board established under section 4e-2.] 1171 Sec. 35. Subsection (c) of section 10-357b of the general statutes is 1172 repealed and the following is substituted in lieu thereof (Effective July 1, 1173 2023): 1174 (c) The State Education Resource Center shall be subject to (1) rules, 1175 regulations and restrictions on purchasing, procurement, personal 1176 service agreements and the disposition of assets generally applicable to 1177 Connecticut state agencies, including those contained in titles 4, 4a and 1178 4b and [section 4e-19] chapter 62, and (2) audit by the Auditors of Public 1179 Accounts under chapter 12 and section 2-90. 1180 Sec. 36. Section 10a-196 of the general statutes is repealed and the 1181 following is substituted in lieu thereof (Effective July 1, 2023): 1182 Sections 10a-176 to 10a-195, inclusive, shall be deemed to provide a 1183 Raised Bill No. 1223 LCO No. 5682 39 of 46 complete, additional and alternative method for the doing of the things 1184 authorized thereby, and shall be regarded as supplemental and 1185 additional to powers conferred by other laws; provided the issuance of 1186 bonds and refunding bonds under the provisions of this chapter need 1187 not comply with the requirements of any other law applicable to the 1188 issuance of bonds including, particularly, title 42a; and provided in the 1189 construction and acquisition of a project pursuant hereto the authority 1190 need not comply with the requirements of chapter 50. Except as 1191 otherwise expressly provided in this chapter and the provisions of 1192 chapter 62 concerning state contracting agencies, none of the powers 1193 granted to the authority under the provisions of this chapter shall be 1194 subject to the supervision or regulation or require the approval or 1195 consent of any municipality or political subdivision or any commission, 1196 board, body, bureau, official or agency thereof or of the state. 1197 Sec. 37. Subsection (s) of section 10a-204b of the general statutes is 1198 repealed and the following is substituted in lieu thereof (Effective July 1, 1199 2023): 1200 (s) The provisions of this section shall be deemed to provide a 1201 complete, additional and alternative method for the actions and the 1202 things authorized thereby and shall be regarded as supplemental and 1203 additional to powers granted by other laws; the issuance of bonds, notes 1204 or other obligations under the provisions of this section need not comply 1205 with the requirements of any law applicable to the issuance of bonds, 1206 notes or other obligations. This section, being necessary for the welfare 1207 of the state and its inhabitants, shall be liberally construed to affect its 1208 purpose. None of the powers granted to the corporation or to any 1209 subsidiary created pursuant to subdivision (5) of section 10a-204 under 1210 the provisions of this section shall be subject to the supervision or 1211 regulation or require the approval or consent of any municipality or 1212 political subdivision or any department, division, commission, board, 1213 body, bureau, official or agency thereof or of the state, and the exercise 1214 thereof shall not cause the corporation or any such subsidiary to be 1215 construed to be an agency within the scope of chapter 54 or a 1216 department, institution or agency of the state, except that the 1217 Raised Bill No. 1223 LCO No. 5682 40 of 46 corporation or any such subsidiary shall comply with the provisions of 1218 chapter 62 concerning state contracting agencies. 1219 Sec. 38. Section 10a-243 of the general statutes is repealed and the 1220 following is substituted in lieu thereof (Effective July 1, 2023): 1221 The provisions of this chapter shall be deemed to provide a complete, 1222 additional and alternative method for the actions of the things 1223 authorized thereby and shall be regarded as supplemental and 1224 additional to powers granted by other laws; the issuance of revenue 1225 bonds or notes and revenue refunding bonds or notes under the 1226 provisions of this chapter need not comply with the requirements of any 1227 other law applicable to the issuance of bonds or notes. This chapter, 1228 being necessary for the welfare of the state and its inhabitants, shall be 1229 liberally construed to effect its purpose. Except as otherwise expressly 1230 provided in this chapter or the provisions of chapter 62 concerning state 1231 contracting agencies, none of the powers granted to the authority under 1232 the provisions of this chapter shall be subject to the supervision or 1233 regulation or require the approval or consent of any municipality or 1234 political subdivision or any department, division, commission, board, 1235 body, bureau, official or agency thereof or of the state. The authority 1236 shall not be construed to be an agency within the scope of chapter 54 or 1237 a department, institution or agency of the state. 1238 Sec. 39. Subdivision (16) of subsection (b) of section 12-806 of the 1239 general statutes is repealed and the following is substituted in lieu 1240 thereof (Effective July 1, 2023): 1241 (16) To invest in, acquire, lease, purchase, own, manage, hold and 1242 dispose of real property and lease, convey or deal in or enter into 1243 agreements with respect to such property on any terms necessary or 1244 incidental to carrying out the purposes of sections 12-563a, 12-800 to 12-1245 818, inclusive, and sections 12-853 and 12-854, provided such 1246 transactions shall not be subject to approval, review or regulation 1247 pursuant to title 4b or any other statute by any state agency, except that 1248 real property transactions shall be subject to review by the State 1249 Raised Bill No. 1223 LCO No. 5682 41 of 46 Properties Review Board and contracts shall be subject to the provisions 1250 of chapter 62 concerning state contracting agencies; 1251 Sec. 40. Section 12-815 of the general statutes is repealed and the 1252 following is substituted in lieu thereof (Effective July 1, 2023): 1253 (a) The corporation shall establish and adopt specific policies, rules 1254 and procedures on purchasing and contracting. Such policies, rules and 1255 procedures or amendments thereto shall be approved by a two-thirds 1256 vote of the entire board. Notwithstanding any other provision of law to 1257 the contrary, the corporation may enter into management, consulting 1258 and other agreements for the provision of goods, services and 1259 professional advisors necessary or useful in connection with the 1260 operation and management of the lottery (1) pursuant to a process of 1261 open or competitive bidding, provided (A) the corporation shall first 1262 determine the format, content and scope of any agreement for any 1263 procurement of goods or services, the conditions under which bidding 1264 will take place and the schedule and stipulations for contract award, and 1265 (B) the corporation may select the contractor deemed to have submitted 1266 the most favorable bid, considering price and other factors, when, in the 1267 judgment of the corporation, such award is in the best interests of the 1268 corporation, or (2) if the corporation, in its discretion, determines that, 1269 due to the nature of the agreement to be contracted for or procured, 1270 open or public bidding is either impracticable or not in the best interests 1271 of the corporation, by negotiation with such prospective providers as 1272 the corporation may determine. The terms and conditions of agreements 1273 and the fees or other compensation to be paid to such persons shall be 1274 determined by the corporation. The agreements entered into by the 1275 corporation in accordance with the provisions of this section shall not 1276 be subject to the approval of any state department, office or agency, 1277 except as provided in the provisions of chapter 62 concerning state 1278 contracting agencies or regulations adopted by the Department of 1279 Consumer Protection. Nothing in this section shall be deemed to restrict 1280 the discretion of the corporation to utilize its own staff and workforce 1281 for the performance of any of its assigned responsibilities and functions 1282 whenever, in the discretion of the corporation, it becomes necessary, 1283 Raised Bill No. 1223 LCO No. 5682 42 of 46 convenient or desirable to do so. Copies of all agreements of the 1284 corporation shall be maintained by the corporation at its offices as public 1285 records, subject to said exemption. 1286 (b) [The] Except as provided in chapter 62, the corporation shall not 1287 be subject to rules, regulations or restrictions on purchasing or 1288 procurement or the disposition of assets generally applicable to 1289 Connecticut state agencies, including those contained in titles 4a and 4b 1290 and the corresponding rules and regulations. The board shall adopt 1291 rules and procedures on purchasing, procurement and the disposition 1292 of assets applicable to the corporation. The adoption of such rules or 1293 procedures shall not be subject to chapter 54. Any such rules or 1294 procedures shall be a public record, as defined in section 1-200. 1295 Sec. 41. Section 22a-268 of the general statutes is repealed and the 1296 following is substituted in lieu thereof (Effective July 1, 2023): 1297 The authority shall utilize private industry, by contract, to carry out 1298 the business, design, operating, management, marketing, planning and 1299 research and development functions of the authority, unless the 1300 authority determines that it is in the public interest to adopt another 1301 course of action. The authority is hereby empowered to enter into long-1302 term contracts with private persons for the performance of any such 1303 functions of the authority which, in the opinion of the authority, can 1304 desirably and conveniently be carried out by a private person under 1305 contract provided any such contract shall contain such terms and 1306 conditions as will enable the authority to retain overall supervision and 1307 control of the business, design, operating, management, transportation, 1308 marketing, planning and research and development functions to be 1309 carried out or to be performed by such private persons pursuant to such 1310 contract. Such contracts shall be entered into either on a competitive 1311 negotiation or competitive bidding basis, and the authority in its 1312 discretion may select the type of contract it deems most prudent to 1313 utilize, pursuant to the contracting procedures adopted under section 1314 22a-268a and considering the scope of work, the management 1315 complexities associated therewith, the extent of current and future 1316 Raised Bill No. 1223 LCO No. 5682 43 of 46 technological development requirements and the best interests of the 1317 state. Whenever a long-term contract is entered into on other than a 1318 competitive bidding basis, the criteria and procedures therefor shall 1319 conform to applicable provisions of subdivision (16) of subsection (a) 1320 and subsections (b) and (c) of section 22a-266, provided however, that 1321 any contract for a period of over five years in duration, or any contract 1322 for which the annual consideration is greater than fifty thousand dollars 1323 shall be approved by a two-thirds vote of the authority's full board of 1324 directors. The terms and conditions of such contracts shall be 1325 determined by the authority, as shall the fees or other similar 1326 compensation to be paid to such persons for such contracts. The 1327 contracts entered into by the authority shall not be subject to the 1328 approval of any other state department, office or agency, except as 1329 provided in the provisions concerning state contracting agencies in 1330 chapter 62. However, copies of all contracts of the authority shall be 1331 maintained by the authority as public records, subject to the proprietary 1332 rights of any party to the contract. Nothing of the aforesaid shall be 1333 deemed to restrict the discretion of the authority to utilize its own staff 1334 and work force for the performance of any of its assigned 1335 responsibilities and functions whenever, in the discretion of the 1336 authority, it becomes necessary, convenient or desirable to do so. Any 1337 litigation with respect to any terms, conditions or provisions of any 1338 contract of the authority, or the performance or nonperformance of same 1339 by either party, shall be tried before a judge of the Superior Court of 1340 Connecticut. 1341 Sec. 42. Subdivision (14) of section 31-49h of the general statutes is 1342 repealed and the following is substituted in lieu thereof (Effective July 1, 1343 2023): 1344 (14) Make and enter into any contract or agreement necessary or 1345 incidental to the performance of its duties and execution of its powers. 1346 [The] Except as provided in chapter 62, the contracts and agreements 1347 entered into by the authority shall not be subject to the approval of any 1348 other state department, office or agency, provided copies of all such 1349 contracts shall be maintained by the authority as public records, subject 1350 Raised Bill No. 1223 LCO No. 5682 44 of 46 to the proprietary rights of any party to such contracts. No contract shall 1351 contain any provision in which any contractor derives any direct or 1352 indirect economic benefit from denying or otherwise influencing the 1353 outcome of any claim for benefits. The standard criteria for the 1354 evaluation of proposals relating to claims processing, web site 1355 development, database development, marketing and advertising, in the 1356 event the authority seeks the services of an outside contractor for such 1357 tasks, and for the evaluation of proposals relating to all other contracts 1358 in amounts equal to or exceeding two hundred fifty thousand dollars 1359 shall include, but need not be limited to: (A) Transparency, (B) cost, (C) 1360 efficiency of operations, (D) quality of work related to the contracts 1361 issued, (E) user experience, (F) accountability, and (G) a cost-benefit 1362 analysis documenting the direct and indirect costs of such contracts, 1363 including qualitative and quantitative benefits that will result from the 1364 implementation of such contracts. The establishment of additional 1365 standard criteria shall be approved by a two-thirds vote of the board 1366 after such criteria have been posted on a public Internet web site 1367 maintained by the authority for notice and comment for at least one 1368 week prior to such vote. 1369 Sec. 43. Subdivision (13) of section 38a-1083 of the general statutes is 1370 repealed and the following is substituted in lieu thereof (Effective October 1371 1, 2023): 1372 (13) Make and enter into any contract or agreement necessary or 1373 incidental to the performance of its duties and execution of its powers, 1374 including, but not limited to, an agreement with the Office of Health 1375 Strategy to use funds collected under this section for the operation of 1376 the all-payer claims database established under section 19a-755a and to 1377 receive data from such database. The contracts entered into by the 1378 exchange shall not be subject to the approval of any other state 1379 department, office or agency, provided copies of all contracts of the 1380 exchange shall be maintained by the exchange as public records, subject 1381 to the proprietary rights of any party to the contract, except (A) as 1382 provided in chapter 62, and (B) any agreement with the Office of Health 1383 Strategy shall be subject to approval by said office and the Office of 1384 Raised Bill No. 1223 LCO No. 5682 45 of 46 Policy and Management and no portion of such agreement shall be 1385 considered proprietary; 1386 This act shall take effect as follows and shall amend the following sections: Section 1 from passage New section Sec. 2 July 1, 2023 4e-1 Sec. 3 July 1, 2023 4e-2(g) and (h) Sec. 4 July 1, 2023 4e-3(a)(2) Sec. 5 July 1, 2023 4e-4 Sec. 6 July 1, 2023 4e-5(a) to (c) Sec. 7 July 1, 2023 4e-7(a) Sec. 8 July 1, 2023 4e-8 Sec. 9 July 1, 2023 4e-10(a) Sec. 10 July 1, 2023 4e-14 Sec. 11 July 1, 2023 4e-16(c) and (d) Sec. 12 July 1, 2023 4e-16(l)(2) to (4) Sec. 13 July 1, 2023 4e-16(n) Sec. 14 July 1, 2023 4e-17 Sec. 15 July 1, 2023 4e-18 Sec. 16 July 1, 2023 4e-21(c) Sec. 17 July 1, 2023 4e-24 Sec. 18 July 1, 2023 4b-51(d) Sec. 19 July 1, 2023 4b-57(a) Sec. 20 July 1, 2023 4b-91(g) Sec. 21 July 1, 2023 4e-27 Sec. 22 July 1, 2023 4e-31 Sec. 23 July 1, 2023 4e-34 Sec. 24 July 1, 2023 4e-35 Sec. 25 July 1, 2023 4e-37(g) to (i) Sec. 26 July 1, 2023 4e-38 Sec. 27 July 1, 2023 4e-40(2) Sec. 28 July 1, 2023 4e-45 Sec. 29 July 1, 2023 4e-46 Sec. 30 July 1, 2023 4e-48(a) Sec. 31 July 1, 2023 4e-72 Sec. 32 July 1, 2023 10a-255 Sec. 33 July 1, 2023 15-31b(a)(15) Sec. 34 July 1, 2023 15-31b(b) and (c) Sec. 35 July 1, 2023 10-357b(c) Raised Bill No. 1223 LCO No. 5682 46 of 46 Sec. 36 July 1, 2023 10a-196 Sec. 37 July 1, 2023 10a-204b(s) Sec. 38 July 1, 2023 10a-243 Sec. 39 July 1, 2023 12-806(b)(16) Sec. 40 July 1, 2023 12-815 Sec. 41 July 1, 2023 22a-268 Sec. 42 July 1, 2023 31-49h(14) Sec. 43 October 1, 2023 38a-1083(13) Statement of Purpose: To make revisions to provisions concerning the State Contracting Standards Board, including by giving the board authority over quasi- public agency procurement, requiring the hiring of full-time staff for the board, prohibiting the Governor from reducing allotments to the board and limiting the selection of contractors from a list without a competitive process to emergency procurements. [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.]