Connecticut 2025 2025 Regular Session

Connecticut House Bill HB07184 Comm Sub / Bill

Filed 04/03/2025

                     
 
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General Assembly  Substitute Bill No. 7184  
January Session, 2025 
 
 
 
 
 
AN ACT CONCERNING GOVERNMENT OVERSIGHT , INCLUDING A 
REVIEW OF STATE PURCHASE OF SERVICE CONTRACTS WITH 
NONPROFIT PROVIDERS, STATE AGENCY CONTRACTS FOR 
CONSULTING SERVICES, MUNICIPAL GRANTS AND CERTAIN 
NONRESIDENT BIDDER CONTRACT AWARDS .  
Be it enacted by the Senate and House of Representatives in General 
Assembly convened: 
 
Section 1. (Effective from passage) The Office of Legislative 1 
Management shall conduct a study regarding the feasibility of 2 
reestablishing the duties, responsibilities and staffing of the former 3 
Legislative Program Review and Investigations Committee within the 4 
joint standing committee of the General Assembly having cognizance of 5 
matters relating to government oversight, including, but not limited to, 6 
what additional staffing it would require, what costs would be 7 
associated with providing additional resources for the committee and 8 
any potential benefits of such reestablishment. Not later than February 9 
1, 2026, the executive director of the Office of Legislative Management 10 
shall submit a report, in accordance with the provisions of section 11-4a 11 
of the general statutes, to the joint standing committee of the General 12 
Assembly having cognizance of matters relating to government 13 
oversight. Such report shall include any findings of such study and any 14 
recommendations for legislation to implement such findings. 15 
Sec. 2. (NEW) (Effective from passage) (a) As used in this section and 16  Substitute Bill No. 7184 
 
 
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section 3 of this act, (1) "nonprofit human services provider" means a 17 
nonprofit entity that contracts with the state to provide health and 18 
human services that may include, but need not be limited to: (A) 19 
Services for persons with a physical disability, (B) services for persons 20 
with intellectual disability or developmental disabilities, including, but 21 
not limited to, autism spectrum disorder, and (C) behavioral health 22 
services; and (2) "purchase of service contract" and "state agency" have 23 
the same meanings as provided in section 4-70b of the general statutes, 24 
as amended by this act. 25 
(b) Not later than January 1, 2026, and every five years thereafter, the 26 
Secretary of the Office of Policy and Management shall, in consultation 27 
with representatives of nonprofit human services providers, complete a 28 
review of the state's purchase of service contracts with nonprofit human 29 
services providers to determine whether the rates such providers are 30 
paid to deliver health and human services pursuant to such contracts 31 
adequately compensate such providers for providing the level of 32 
services expected by the state agency contracting with such provider. 33 
For any review conducted after July 1, 2026, the secretary shall examine 34 
the contracts and agreements for such services of not less than two state 35 
agencies each year. 36 
(c) Not later than February 1, 2027, and every five years thereafter, 37 
the secretary shall submit a report, in accordance with the provisions of 38 
section 11-4a of the general statutes, to the joint standing committees of 39 
the General Assembly having cognizance of matters relating to human 40 
services, government administration, government oversight and 41 
appropriations and the budgets of state agencies. Such report shall 42 
include (1) a summary of the results of the review conducted under 43 
subsection (b) of this section, (2) any applicable recommendations 44 
concerning requiring contracting state agencies to reduce contractual 45 
expectations if those expectations are not adequately funded by the 46 
contract or agreement, and (3) any recommended legislation necessary 47 
to implement such recommendations. 48 
Sec. 3. (NEW) (Effective from passage) (a) Not later than January 1, 2026, 49  Substitute Bill No. 7184 
 
 
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and triennially thereafter, the Secretary of the Office of Policy and 50 
Management shall conduct a review of any reports that nonprofit 51 
human services providers are required to file with various state 52 
agencies, including requirements for program licensure or certification. 53 
Such review shall include, but not be limited to, the number of reports 54 
that are required to be filed, the amount of overlapping information in 55 
such reports, the time and resources needed for providers to prepare 56 
and file the reports, the reasons for requiring such reports and an 57 
analysis of how the reports are utilized by the state agency receiving 58 
such reports. State agencies and nonprofit human services providers 59 
shall provide any information requested by the secretary for purposes 60 
of such review. 61 
(b) The secretary shall eliminate or consolidate any reporting 62 
required by a state agency that the secretary identifies under subsection 63 
(a) of this section as unduly burdensome or duplicative, unless such 64 
reporting is (1) necessary to prevent fraud or misuse of funds, (2) 65 
prescribed under federal law or regulation for the use of federal funds, 66 
or (3) required under any provision of state law. 67 
(c) Not later than February 1, 2027, and triennially thereafter, the 68 
secretary shall submit a report, in accordance with the provisions of 69 
section 11-4a of the general statutes, to the joint standing committees of 70 
the General Assembly having cognizance of matters relating to human 71 
services, government administration, government oversight and 72 
appropriations and the budgets of state agencies. Such report shall 73 
include a summary of the results of the review conducted under 74 
subsection (a) of this section, any reporting eliminated or consolidated 75 
under subsection (b) of this section and any recommendations for any 76 
legislation necessary to eliminate burdensome or duplicative reporting 77 
requirements required under state law. 78 
Sec. 4. Subsection (d) of section 4-70b of the general statutes is 79 
repealed and the following is substituted in lieu thereof (Effective July 1, 80 
2025): 81  Substitute Bill No. 7184 
 
 
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(d) The secretary shall establish uniform policies and procedures for 82 
obtaining, managing and evaluating the quality and cost effectiveness 83 
of direct health and human services purchased from a private provider 84 
organization or municipality. To the extent permissible under federal 85 
law, such policies and procedures shall include, but not be limited to, a 86 
requirement that a private provider organization receive payment for 87 
any services provided pursuant to a purchase of service contract not 88 
later than forty-five days after the receipt of a properly completed claim 89 
or the receipt of such services, whichever is later, in accordance with 90 
section 4a-71. The secretary shall require all state agencies which 91 
purchase direct health and human services to comply with such policies 92 
and procedures. 93 
Sec. 5. (NEW) (Effective from passage) (a) As used in this section: 94 
(1) "Consultant" means any professional who (A) is registered or 95 
licensed to practice such profession in accordance with the applicable 96 
provisions of the general statutes or any planner or any environmental, 97 
management or financial specialist, and (B) provides consultant services 98 
to a state agency pursuant to a contract with such state agency, 99 
including, but not limited to, any architect, professional engineer, 100 
accountant, planner or environmental, management or financial 101 
specialist; 102 
(2) "Consultant services" includes administrative, planning, analysis, 103 
statistical or research services rendered by any architect, professional 104 
engineer, accountant, planner or environmental, management or 105 
financial specialist as well as incidental services that members of such 106 
professions and those in their employ are authorized to perform, for 107 
purposes of recommending a state agency course of action; 108 
(3) "Firm" means any individual, partnership, corporation, joint 109 
venture, association or other legal entity authorized by law to offer 110 
consultant services; and 111 
(4) "State agency" means any office, department, board, council, 112 
commission, institution, constituent unit of the state system of higher 113  Substitute Bill No. 7184 
 
 
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education, technical education and career school or other agency in the 114 
executive branch of state government. 115 
(b) Any state agency that contracts with a firm to provide consulting 116 
services at a cost of one hundred thousand dollars or more for purposes 117 
of producing a study or other report with recommendations for future 118 
actions for the state agency to undertake shall, not later than one year 119 
after receiving the results of such study or a final report from such firm, 120 
submit a report, in accordance with the provisions of section 11-4a of the 121 
general statutes, to the joint standing committee of the General 122 
Assembly having cognizance of matters relating to government 123 
oversight, summarizing the findings of the entity's report, whether any 124 
recommendations have been implemented by the agency, whether the 125 
state agency intends to implement any such recommendations in the 126 
future and, if applicable, by what date. 127 
Sec. 6. Section 2-90 of the general statutes is amended by adding 128 
subsection (j) as follows (Effective October 1, 2025): 129 
(NEW) (j) Said auditors shall audit, in accordance with the provisions 130 
of section 7 of this act, the records and accounts of any municipality that 131 
received a grant, as described in section 7 of this act, to the extent 132 
necessary to determine how the funds of such grant were used. Any 133 
municipality being audited by said auditors shall provide any 134 
information said auditors deem necessary to conduct such audit. 135 
Sec. 7. (NEW) (Effective October 1, 2025) (a) On and after October 1, 136 
2025, any municipality, as defined in section 4-66l of the general statutes, 137 
that receives a grant of funds from the state for purposes of conducting 138 
a study shall report (1) the completion of such study to the Auditors of 139 
Public Accounts for potential audit of any funds provided for such 140 
study, and (2) the findings of any such study to the Office of Policy and 141 
Management for posting on the Municipal Grant Portal established 142 
under section 4-68dd of the general statutes, as amended by this act, on 143 
a form prescribed by the Secretary of the Office of Policy and 144 
Management. A municipality shall not be eligible to receive more than 145  Substitute Bill No. 7184 
 
 
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one such state grant from a state agency through the same grant 146 
program for purposes of the same study within a three-year period. 147 
(b) The auditors shall submit, in accordance with the provisions of 148 
section 11-4a of the general statutes, a report with the results of any such 149 
audit to the joint standing committee of the General Assembly having 150 
cognizance of matters relating to government oversight. The auditors 151 
may consolidate such reports, provided such reports shall be submitted 152 
to the committee not less than annually. 153 
Sec. 8. Section 4-68dd of the general statutes is repealed and the 154 
following is substituted in lieu thereof (Effective October 1, 2025): 155 
(a) [The] Not later than January 1, 2026, the Secretary of the Office of 156 
Policy and Management shall, within available appropriations, 157 
establish and maintain a single electronic portal available on the Internet 158 
and located on the Office of Policy and Management's Internet web site 159 
for the purpose of posting all state-funded municipal grant applications. 160 
Such electronic portal shall be known as the Municipal Grant Portal. 161 
(b) The Municipal Grant Portal shall include, but not be limited to: (1) 162 
All state-funded municipal grant applications and municipal 163 
reimbursement request forms, (2) a searchable database for locating 164 
information regarding state-funded municipal grants, [and] (3) not later 165 
than July 1, 2026, a searchable database of the reported findings of any 166 
study funded by a state grant, as described in section 7 of this act, and 167 
(4) features to encourage the active recruitment and participation of 168 
municipalities in the state-funded municipal grant application process. 169 
Sec. 9. Section 4a-57d of the general statutes is repealed and the 170 
following is substituted in lieu thereof (Effective October 1, 2025): 171 
(a) On or before January 1, 2012, the Commissioner of Administrative 172 
Services, in consultation with the Labor Commissioner, the president of 173 
The University of Connecticut and the Commissioner of Transportation, 174 
or their designees, shall submit a report, in accordance with the 175 
provisions of section 11-4a, to the Governor and the joint standing 176  Substitute Bill No. 7184 
 
 
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committee of the General Assembly having cognizance of matters 177 
relating to labor. Such report shall include (1) an analysis of any law or 178 
economic factor that results in a resident bidder being at a disadvantage 179 
to a nonresident bidder in submitting the lowest responsible qualified 180 
bid, (2) the reason any enacted law designed to give preference to state 181 
citizens for employment on public works projects is not being enforced, 182 
and (3) recommendations for administrative or legislative action, within 183 
the confines of clause 3 of section 8 of article 1 of the United States 184 
Constitution, to increase the number of state contracts awarded to 185 
resident bidders through an in-state contract preference or otherwise. 186 
(b) On or before July 1, 2012, the Commissioner of Administrative 187 
Services shall develop and implement a program to increase the number 188 
of state contracts awarded to resident bidders through an in-state 189 
contract preference or other method selected by the commissioner, 190 
provided such program shall not violate clause 3 of section 8 of article 1 191 
of the United States Constitution. In developing such program, the 192 
commissioner shall consider the findings contained in the report made 193 
in accordance with subsection (a) of this section. 194 
(c) On or before February 1, 2026, and annually thereafter, the 195 
Commissioner of Administrative Services shall submit a report, in 196 
accordance with the provisions of section 11-4a, to the joint standing 197 
committee of the General Assembly having cognizance of matters 198 
relating to government administration on the number of state contracts 199 
in excess of fifty thousand dollars that the Department of 200 
Administrative Services awarded to nonresident bidders during the 201 
calendar year immediately preceding such report, including a 202 
description of the goods or services provided pursuant to such contract, 203 
the term and cost of the contract and the method of selecting the 204 
nonresident bidder. The commissioner may consolidate such report 205 
with any other report required to be submitted to such committee. 206 
Sec. 10. (NEW) (Effective October 1, 2025) On or before February 1, 207 
2026, and annually thereafter, the Commissioner of Transportation shall 208 
submit a report, in accordance with the provisions of section 11-4a of the 209  Substitute Bill No. 7184 
 
 
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general statutes, to the joint standing committee of the General 210 
Assembly having cognizance of matters relating to transportation on the 211 
number of state contracts in excess of fifty thousand dollars that the 212 
Department of Transportation awarded to nonresident bidders during 213 
the calendar year immediately preceding such report, including a 214 
description of the goods or services provided pursuant to such contract, 215 
the term and cost of the contract and the method of selecting the 216 
nonresident bidder. The commissioner may consolidate such report 217 
with any other report required to be submitted to such committee. 218 
This act shall take effect as follows and shall amend the following 
sections: 
 
Section 1 from passage New section 
Sec. 2 from passage New section 
Sec. 3 from passage New section 
Sec. 4 July 1, 2025 4-70b(d) 
Sec. 5 from passage New section 
Sec. 6 October 1, 2025 2-90(j) 
Sec. 7 October 1, 2025 New section 
Sec. 8 October 1, 2025 4-68dd 
Sec. 9 October 1, 2025 4a-57d 
Sec. 10 October 1, 2025 New section 
 
GOS Joint Favorable Subst.