25 LC 47 3227/AP
House Bill 137 (AS PASSED HOUSE AND SENATE)
By: Representatives Anderson of the 10
th
, Lumsden of the 12
th
, Hawkins of the 27
th
, Yearta
of the 152
nd
, Leverett of the 123
rd
, and others
A BILL TO BE ENTITLED
AN ACT
To amend Chapter 10 of Title 13 of the Official Code of Georgia Annotated, relating to
1
contracts for public works, so as to increase the dollar value of certain public works contracts2
exempt from provisions relating to retention of contractual payments; to amend Article 103
of Chapter 2 of Title 20 of the Official Code of Georgia Annotated, relating to contracts and4
purchases by public schools, so as to increase the dollar value trigger of certain5
considerations related to in-state purchasing preferences for certain contracts and purchases;6
to amend Article 11 of Chapter 2 of Title 20 of the Official Code of Georgia Annotated,7
relating to public school property and facilities, so as to increase the dollar value related to8
when certain school construction contracts must be subject to competitive bidding; to amend9
Chapter 4 of Title 32 of the Official Code of Georgia Annotated, relating to state, county, and10
municipal road systems, so as increase the dollar value of certain contracts counties and11
municipalities are prohibited from negotiating; to amend Chapter 91 of Title 36 of the12
Official Code of Georgia Annotated, relating to public works bidding, so as to increase the13
dollar values of certain public works construction contracts exempt from bidding14
requirements; to amend Part 1 of Article 3 of Chapter 5 of Title 50 of the Official Code of15
Georgia Annotated, relating to general authority, duties, and procedure for state purchasing,16
so as to increase the dollar value related to when construction or public works contracts must17
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be conducted and negotiated by the Department of Administrative Services; to provide for
18
related matters; to repeal conflicting laws; and for other purposes.19
BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:20
SECTION 1.21
Chapter 10 of Title 13 of the Official Code of Georgia Annotated, relating to contracts for22
public works, is amended in Code Section 13-10-80, relating to definitions, contract23
requirements, application, effect of greater benefits contracted for, and evidence of24
indebtedness paid, by revising subsection (c) as follows:25
"(c) This Code section shall not apply to:26
(1) Any contracts let by the Department of Transportation of this state for the27
construction, improvement, or maintenance of roads or highways in this state or purposes28
incidental thereto; or29
(2) Any contracts whose value or duration at the time of the award does not exceed30
$150,000.00
$250,000.00 or 45 days in duration."31
SECTION 2.32
Article 10 of Chapter 2 of Title 20 of the Official Code of Georgia Annotated, relating to33
contracts and purchases by public schools, is amended in Code Section 20-2-500, relating34
to contracts for purchases authorized of certain supplies, materials, equipment, or agricultural35
products to give preference to in-state manufacturers or producers, purchases over36
$100,000.00, and vendor preferences, by revising subsection (a) as follows:37
"(a)(1) Local boards of education shall provide that contracts for or purchases of38
supplies, materials, equipment, or agricultural products, including but not limited to39
school buses but not including instructional materials or beverages for immediate40
consumption, for public elementary and secondary schools supported in whole or in part41
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from public funds shall give preference as far as may be reasonable and practicable to
42
such supplies, materials, equipment, and agricultural products as may be manufactured43
or produced in this state. Such preference shall not sacrifice quality.44
(2) Local boards of education shall provide that, in determining whether such a45
preference is reasonable in any case where the value of a contract for or purchase of such46
supplies, materials, equipment, or agricultural products exceeds $100,000.00
47
$250,000.00, the local school district shall consider, among other factors, information48
submitted by the bidder which may include the bidder's estimate of the multiplier effect49
on gross state domestic product and the effect on public revenues of the state and the50
effect on public revenues of political subdivisions resulting from acceptance of a bid or51
offer to sell Georgia manufactured or produced goods as opposed to out-of-state52
manufactured or produced goods. Any such estimates shall be in writing. No local53
school district shall divide a contract or purchase which exceeds $100,000.0054
$250,000.00 for the purpose of avoiding the requirements of this paragraph."55
SECTION 3.56
Article 11 of Chapter 2 of Title 20 of the Official Code of Georgia Annotated, relating to57
public school property and facilities, is amended in Code Section 20-2-520, relating to58
acquiring and disposing of school sites and building, repairing, renting, and furnishing59
schoolhouses, by revising subsection (a) as follows:60
"(a) The county boards of education shall have the power to purchase, lease, or rent school61
sites; build, repair, or rent schoolhouses; purchase maps, globes, and school furniture; and62
make all arrangements necessary to the efficient operation of the schools. Such county63
boards are invested with the title, care, and custody of all schoolhouses or other property,64
with the power to control such property in such manner as they think will best serve the65
interests of the public schools; and when, in the opinion of the county board, any66
schoolhouse site has become unnecessary or inconvenient, they may sell it in the name of67
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the county board; and the conveyance for any such sale shall be executed by the president
68
or secretary of the county board, according to the order of the county board. Such county69
boards shall have the power to receive any gift, grant, donation, or devise made for the use70
of the public schools within the respective counties; and all conveyances of real estate71
which may be made to such a county board shall vest the property in such county board and72
its successors in office. Such county board may provide for the building of schoolhouses73
by a tax on all property located in the county and outside the territorial limits of any74
independent school system. The construction of all public school buildings must be75
approved by the county school superintendent and county board and must be according to76
the plans furnished by the county school authorities and the State Board of Education. All77
public school construction contracts in excess of $100,000.00
$250,000.00 shall be publicly78
advertised and awarded through an open and competitive process, regardless of the funding79
source."80
SECTION 4.81
Chapter 4 of Title 32 of the Official Code of Georgia Annotated, relating to state, county, and82
municipal road systems, is amended revising Code Section 32-4-63, relating to limitations83
on power to contract and at least two estimates required for certain expenditures, as follows:84
"32-4-63.85
(a) A county is prohibited from negotiating a contract except a contract: 86
(1) Involving the expenditure of less than $200,000.00 $250,000.00;87
(2) With a state agency or county or municipality with which a county is authorized to88
contract in accordance with the provisions of Code Sections 32-4-61 and 32-4-62; 89
(3) For the purchase of those materials, supplies, and equipment necessary for the90
county's construction and maintenance of its public roads and for the support and91
maintenance of the county's forces used in such work, as authorized by Chapter 91 of92
Title 36; 93
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(4) Subject to Article 6 of Chapter 6 of this title, with a railroad or railway company or
94
a publicly or privately owned utility concerning relocation of its line, tracks, or facilities95
where the same are not then located in a public road and such relocation or96
grade-crossing elimination is necessary as an incident to the construction of a new public97
road or to the reconstruction or maintenance of an existing public road. Nothing98
contained in this paragraph shall be construed as requiring a county to furnish a site or99
right of way for railroad or railway lines or tracks of public utility facilities required to100
be removed from a public road;101
(5) For engineering or other kinds of professional or specialized services;102
(6) For emergency maintenance requiring immediate repairs to a public road, including103
but not limited to bridge repairs, snow and ice removal, and repairs due to flood104
conditions;105
(7) Otherwise expressly authorized by law; or106
(8) That is a design-build contract as provided for in Code Section 32-4-74.107
(b) No contract involving an expenditure of more than $20,000.00 but less than108
$200,000.00
$250,000.00 shall be awarded under this Code section without the submission109
of at least two estimates."110
SECTION 5.111
Said chapter is further amended by revising Code Section 32-4-113, relating to limitations112
on power to contract and at least two estimates required for certain expenditures, as follows:113
"32-4-113.114
(a) A municipality is prohibited from negotiating a contract except a contract:115
(1) Involving the expenditure of less than $200,000.00 $250,000.00;116
(2) With a state agency or political subdivision as authorized by Code Sections 32-4-111117
and 32-4-112;118
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(3) With a railroad or railway company or a publicly or privately owned utility as
119
authorized by Article 6 of Chapter 6 of this title;120
(4) For engineering or other kinds of professional or specialized services;121
(5) For emergency maintenance requiring immediate repairs to a public road, including122
but not limited to bridge repairs, snow and ice removal, and repairs due to flood123
conditions; or124
(6) Otherwise expressly authorized by law.125
(b) No contract involving an expenditure of more than $20,000.00 but less than126
$200,000.00
$250,000.00 shall be awarded under this Code section without the submission127
of at least two estimates."128
SECTION 6.129
Chapter 91 of Title 36 of the Official Code of Georgia Annotated, relating to public works130
bidding, is amended in Code Section 36-91-22, relating to exceptions, use of inmate labor,131
and emergency situations, by revising subsections (a) and (g) as follows:132
"(a) The requirements of this chapter shall not apply to public works construction projects,133
when the same can be performed at a cost of less than $100,000.00 $250,000.00. Public134
works construction projects shall not be subdivided in an effort to evade the provisions of135
this chapter."136
"(g) The requirements of this chapter shall not apply to public works construction projects137
or any portion of a public works construction project self-performed by a governmental138
entity. If the governmental entity contracts with a private person or entity for a portion of139
such project, the provisions of this chapter shall apply to any such contract estimated to140
exceed $100,000.00 $250,000.00."141
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SECTION 7.
142
Part 1 of Article 3 of Chapter 5 of Title 50 of the Official Code of Georgia Annotated,143
relating to general authority, duties, and procedure for state purchasing, is amended in Code144
Section 50-5-72, relating to construction and public works contracts conducted by145
department, advertising costs, and exceptions, by revising subsection (a) as follows:146
"(a) Notwithstanding any other provision of this part or any other law dealing with the147
subject matter contained in this Code section to the contrary, all construction or public148
works contracts, exceeding a total expenditure of $100,000.00
$250,000.00, of any149
department, board, bureau, commission, office, or agency of the state government, except150
as provided in this Code section, shall be conducted and negotiated by the Department of151
Administrative Services in accordance with this part; provided, however, that any152
expenditure of less than $100,000.00 $250,000.00 shall still be subject to review and153
approval by the Department of Administrative Services, which may approve154
noncompetitive expenditures of up to $100,000.00 $250,000.00."155
SECTION 8.156
All laws and parts of laws in conflict with this Act are repealed.157
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