SPONSOR: Rep. Dorsey Walker & Sen. Townsend HOUSE OF REPRESENTATIVES 152nd GENERAL ASSEMBLY HOUSE SUBSTITUTE NO. 1 FOR HOUSE BILL NO. 387 AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO DISADVANTAGED BUSINESS ENTERPRISES IN THE STATE PROCUREMENT SYSTEM.
SPONSOR: Rep. Dorsey Walker & Sen. Townsend
SPONSOR: Rep. Dorsey Walker & Sen. Townsend
SPONSOR:
Rep. Dorsey Walker & Sen. Townsend
HOUSE OF REPRESENTATIVES
152nd GENERAL ASSEMBLY
HOUSE SUBSTITUTE NO. 1
FOR
HOUSE BILL NO. 387
AN ACT TO AMEND TITLE 29 OF THE DELAWARE CODE RELATING TO DISADVANTAGED BUSINESS ENTERPRISES IN THE STATE PROCUREMENT SYSTEM.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE: Section 1. Amend 6902, Title 29 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline and by redesignating accordingly: 6902. Definitions [For application of this section, see 82 Del. Laws, c. 36, 3] For purposes of this chapter: (10) Disadvantaged Business Enterprise means a business that has been certified by either the Delaware Office of Supplier Diversity, as a minority, women, veteran, service-disabled veteran, or individual with a disability business or by the Delaware Department of Transportation as a Disadvantaged Business Enterprise. Section 2. Amend 6962, Title 29 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows: 6962. Large public works contract procedures [For application of this section, see 82 Del. Laws, c. 36, 3] (d) Bid specifications and plans requirements.- requirements. (13) Bid evaluation, contract award and execution procedure.- procedure. a. The contracting agency shall award any public works contract within 30 days of the bid opening to the lowest responsive and responsible bidder, unless the agency elects to award on the basis of best value, in which case the election to award on the basis of best value shall be stated in the invitation to bid. Any public school district and its board shall award public works contracts in accordance with this sections requirements except it shall award the contract within 60 days of the bid opening. A contracting agency shall extend the 30-day bid evaluation period by a total of 5 working days and a school district shall extend the 60-day bid evaluation period by a total of 5 working days if a bid is nonresponsive or a bidder is judged to be not responsible, and the bidder cannot be notified in writing a minimum of 5 days prior to the end of the 30-day bid evaluation period in the case of an agency, or the 60-day bid evaluation period in the case of a school district. Written notification to the bidder or bidders whose bid is non-responsive or who have been determined to be not responsible shall be received at least 5 working days prior to the end of the original or the extended evaluation period and shall specify the reason or reasons why the bid is nonresponsive or the bidder determined to be not responsible. If the bid evaluation period is extended by 5 working days, the contracting agency or school district shall notify each bidder in writing prior to the end of the 30-day bid evaluation period in the case of an agency, or the 60-day bid evaluation period in the case of a school district, that the bid evaluation period is being extended by 5 working days. The written notification to all bidders shall include the calendar date by which the agency or school district shall award a contract or reject all bids. 4. A. If the agency elects to award on the basis of best value, the agency must determine that the successful bidder is responsive and responsible, as defined in this subsection. The determination of best value shall be based upon objective criteria that have been communicated to the bidders in the invitation to bid. The following objective criteria shall be assigned a weight consistent with some or all of the following: I. Price must be at least 70% but no more than 90%. II. Schedule must be at least 10% but no more than 20%. III. Performance must be at least 10% but no more than 20%. IV. Disadvantaged Business Enterprise participation (only for projects valued in excess of $30,000,000) - must be at least 10% but no more than 30%.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:
Section 1. Amend 6902, Title 29 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline and by redesignating accordingly:
6902. Definitions [For application of this section, see 82 Del. Laws, c. 36, 3]
For purposes of this chapter:
(10) Disadvantaged Business Enterprise means a business that has been certified by either the Delaware Office of Supplier Diversity, as a minority, women, veteran, service-disabled veteran, or individual with a disability business or by the Delaware Department of Transportation as a Disadvantaged Business Enterprise.
Section 2. Amend 6962, Title 29 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows:
6962. Large public works contract procedures [For application of this section, see 82 Del. Laws, c. 36, 3]
(d) Bid specifications and plans requirements.- requirements.
(13) Bid evaluation, contract award and execution procedure.- procedure.
a. The contracting agency shall award any public works contract within 30 days of the bid opening to the lowest responsive and responsible bidder, unless the agency elects to award on the basis of best value, in which case the election to award on the basis of best value shall be stated in the invitation to bid. Any public school district and its board shall award public works contracts in accordance with this sections requirements except it shall award the contract within 60 days of the bid opening. A contracting agency shall extend the 30-day bid evaluation period by a total of 5 working days and a school district shall extend the 60-day bid evaluation period by a total of 5 working days if a bid is nonresponsive or a bidder is judged to be not responsible, and the bidder cannot be notified in writing a minimum of 5 days prior to the end of the 30-day bid evaluation period in the case of an agency, or the 60-day bid evaluation period in the case of a school district. Written notification to the bidder or bidders whose bid is non-responsive or who have been determined to be not responsible shall be received at least 5 working days prior to the end of the original or the extended evaluation period and shall specify the reason or reasons why the bid is nonresponsive or the bidder determined to be not responsible. If the bid evaluation period is extended by 5 working days, the contracting agency or school district shall notify each bidder in writing prior to the end of the 30-day bid evaluation period in the case of an agency, or the 60-day bid evaluation period in the case of a school district, that the bid evaluation period is being extended by 5 working days. The written notification to all bidders shall include the calendar date by which the agency or school district shall award a contract or reject all bids.
4. A. If the agency elects to award on the basis of best value, the agency must determine that the successful bidder is responsive and responsible, as defined in this subsection. The determination of best value shall be based upon objective criteria that have been communicated to the bidders in the invitation to bid. The following objective criteria shall be assigned a weight consistent with some or all of the following:
I. Price must be at least 70% but no more than 90%.
II. Schedule must be at least 10% but no more than 20%.
III. Performance must be at least 10% but no more than 20%.
IV. Disadvantaged Business Enterprise participation (only for projects valued in excess of $30,000,000) - must be at least 10% but no more than 30%.
SYNOPSIS This Act is the result of a successful pilot project involving disadvantaged business enterprises in State contracts. In 2023, Section 189 of Senate Bill No. 35, as amended by Senate Amendment No. 2, authorized the Office of Management and Budget (OMB) to engage in a pilot program to include Disadvantaged Business Enterprises (DBE) as part of large public works projects. If an agency elects to award based on best value, this Act allows for projects, valued in excess of $30,000,000, to be scored using DBE usage of at least 10% but no more than 30%. This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual. This House Substitute Bill for House Bill No.387 clarifies that some or all of the objective criteria shall be assigned a specified weight in determining best value. This House Substitute bill also amends the Synopsis.
SYNOPSIS
This Act is the result of a successful pilot project involving disadvantaged business enterprises in State contracts. In 2023, Section 189 of Senate Bill No. 35, as amended by Senate Amendment No. 2, authorized the Office of Management and Budget (OMB) to engage in a pilot program to include Disadvantaged Business Enterprises (DBE) as part of large public works projects. If an agency elects to award based on best value, this Act allows for projects, valued in excess of $30,000,000, to be scored using DBE usage of at least 10% but no more than 30%. This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual.
This House Substitute Bill for House Bill No.387 clarifies that some or all of the objective criteria shall be assigned a specified weight in determining best value. This House Substitute bill also amends the Synopsis.