Missouri 2025 Regular Session

Missouri Senate Bill SB446 Compare Versions

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Old	New	Differences
1	1
2	2	FIRST REGULAR SESSION
3	3	SENATE BILL NO. 446
4	4	103RD GENERAL ASSEMBLY
5	5	INTRODUCED BY SENATOR WASHINGTON.
6	6	0806S.01I KRISTINA MARTIN, Secretary
7	7	AN ACT
8	8	To repeal section 37.020, RSMo, and to enact in lieu thereof seven new sections relating to state
9	9	contracts.
10	10
11	11	Be it enacted by the General Assembly of the State of Missouri, as follows:
12	12	Section A. Section 37.020, RSMo, is repealed and sev en 1
13	13	new sections enacted in lieu thereof, to be known as sections 2
14	14	37.020, 37.760, 37.762, 37.764, 37.766, 37.768, and 37.770, to 3
15	15	read as follows:4
16	16	37.020. 1. As used in this section, the following 1
17	17	words and phrases mean: 2
18	18	(1) "Certification", the determination, through 3
19	19	whatever procedure is used by the office of administration, 4
20	20	that a legal entity is a socially and economically 5
21	21	disadvantaged small business concern for purposes of this 6
22	22	section; 7
23	23	(2) "Department", the office of administra tion and any 8
24	24	public institution of higher learning in the state of 9
25	25	Missouri; 10
26	26	(3) "Minority business enterprise", a business that is: 11
27	27	(a) A sole proprietorship owned and controlled by a 12
28	28	minority; 13
29	29	(b) A partnership or joint venture owned and 14
30	30	controlled by minorities in which at least fifty -one percent 15
31	31	of the ownership interest is held by minorities and the 16 SB 446 2
32	32	management and daily business operations of which are 17
33	33	controlled by one or more of the minorities who own it; or 18
34	34	(c) A corporation or other entity whose management and 19
35	35	daily business operations are controlled by one or more 20
36	36	minorities who own it, and which is at least fifty -one 21
37	37	percent owned by one or more minorities, or if stock is 22
38	38	issued, at least fifty -one percent of the stock is owned by 23
39	39	one or more minorities; 24
40	40	(4) "Socially and economically disadvantaged 25
41	41	individuals", individuals, regardless of gender, who have 26
42	42	been subjected to racial, ethnic, or sexual prejudice or 27
43	43	cultural bias because of their identity as a member of a 28
44	44	group without regard to their individual qualities and whose 29
45	45	ability to compete in the free enterprise system has been 30
46	46	impaired due to diminished capital and credit opportunities 31
47	47	as compared to others in the same business area. In 32
48	48	determining the degree of diminished credit and capital 33
49	49	opportunities the office of administration shall consider, 34
50	50	but not be limited to, the assets and net worth of such 35
51	51	individual; 36
52	52	(5) "Socially and economically disadvantaged small 37
53	53	business concern", any small business concern: 38
54	54	(a) Which is at least fifty -one percentum owned by one 39
55	55	or more socially and economically disadvantaged individuals; 40
56	56	or, in the case of any publicly owned business, at least 41
57	57	fifty-one percentum of the stock of which is owned by one or 42
58	58	more socially and economically disadvantaged individuals; and 43
59	59	(b) Whose management and daily business operations are 44
60	60	controlled by one or more of such individuals; 45
61	61	(6) "Women's business enterprise", a business that is: 46
62	62	(a) A sole proprietorship owned and controlled by a 47
63	63	woman; 48 SB 446 3
64	64	(b) A partnership or joint venture owned and 49
65	65	controlled by women in which at least fifty -one percent of 50
66	66	the ownership interest is held by women and the management 51
67	67	and daily business opera tions of which are controlled by one 52
68	68	or more of the women who own it; or 53
69	69	(c) A corporation or other entity whose management and 54
70	70	daily business operations are controlled by one or more 55
71	71	women who own it, and which is at least fifty -one percent 56
72	72	owned by women, or if stock is issued, at least fifty -one 57
73	73	percent of the stock is owned by one or more women. 58
74	74	2. The office of administration, in consultation with 59
75	75	each department, shall establish and implement a plan to 60
76	76	increase and maintain the part icipation of certified 61
77	77	socially and economically disadvantaged small business 62
78	78	concerns or minority business enterprises, directly or 63
79	79	indirectly, in contracts for supplies, services, and 64
80	80	construction contracts, consistent with goals determined 65
81	81	after an appropriate study conducted to determine the 66
82	82	availability of socially and economically disadvantaged 67
83	83	small business concerns and minority business enterprises in 68
84	84	the marketplace. Such study shall be completed by December 69
85	85	31, 2027. The commissioner of administration shall appoint 70
86	86	an oversight review committee to oversee and review the 71
87	87	results of such study. The committee shall be composed of 72
88	88	nine members, four of whom shall be members of business, 73
89	89	three of whom shall be from staff of selected dep artments, 74
90	90	one of whom shall be a member of the house of 75
91	91	representatives, and one of whom shall be a member of the 76
92	92	senate. 77
93	93	3. The goals to be pursued by each department under 78
94	94	the provisions of this section shall be construed to overlap 79
95	95	with those imposed by federal law or regulation, if any, 80 SB 446 4
96	96	shall run concurrently therewith and shall be in addition to 81
97	97	the amount required by federal law only to the extent the 82
98	98	percentage set by this section exceeds those required by 83
99	99	federal law or regulations. 84
100	100	4. The commissioner of administration may designate a 85
101	101	nonprofit organization as a minority business enterprise or 86
102	102	women's business enterprise for the exclusive purpose of 87
103	103	competing in other states, provided that the organization is 88
104	104	headquartered in Missouri and the collective majority of the 89
105	105	organization's board of directors and executive management 90
106	106	in charge of daily business operations are minorities or 91
107	107	women. 92
108	108	37.760. As used in sections 37.760 to 37.770, the 1
109	109	following terms mean: 2
110	110	(1) "Agency", any state department or any division or 3
111	111	branch thereof, or any bureau, board, commission, 4
112	112	institution, officer or office of the state of Missouri; 5
113	113	(2) "Commissioner", the commissioner of administration 6
114	114	appointed under section 37.010; 7
115	115	(3) "Committee", the minority business enterprise and 8
116	116	women's business enterprise oversight review committee 9
117	117	created under section 37.762; 10
118	118	(4) "Minority business enterprise", the same meaning 11
119	119	as defined in section 37.020; 12
120	120	(5) "Women's business enterprise", the same meaning as 13
121	121	defined in section 37.020. 14
122	122	37.762. 1. There is hereby established the "Minority 1
123	123	Business Enterprise and Women's Business Enterprise 2
124	124	Oversight Review Committee". The committee shall consist of 3
125	125	seven members. The governor shall appoint four members to 4
126	126	the committee, two of whom shall represent the interests of 5
127	127	the minority community in this state, and two of whom shall 6 SB 446 5
128	128	represent the interests of business owners in this sta te. 7
129	129	The speaker of the house of representatives shall appoint 8
130	130	one member of the committee from the house of 9
131	131	representatives. The president pro tempore of the senate 10
132	132	shall appoint one member from the senate. The commissioner 11
133	133	shall be an ex officio m ember of the committee. 12
134	134	2. The committee shall conduct a new study, in 13
135	135	addition to the study required by subsection 2 of section 14
136	136	37.020, to ensure participation from socially and 15
137	137	economically disadvantaged minority or women's business 16
138	138	enterprises. Such study shall be completed by December 31, 17
139	139	2026. 18
140	140	37.764. Members of the committee shall not be 1
141	141	compensated for their services, but they shall be reimbursed 2
142	142	for actual and necessary expenses incurred in the 3
143	143	performance of their duties. The members of the committee 4
144	144	shall elect one member as chair and one member as vice chair 5
145	145	who shall serve as chair in the absence of the chair. Each 6
146	146	member shall serve for a term of two years and may be 7
147	147	reappointed for an additional term of two years. The office 8
148	148	of administration shall provide staff to the committee and 9
149	149	aid it in the performance of its duties. 10
150	150	37.766. The specific duties of the committee shall 1
151	151	include, but not be limited to, the following: 2
152	152	(1) Compiling a database of minority business 3
153	153	enterprises and women's business enterprises, certified 4
154	154	under section 37.023, that have participated, directly or 5
155	155	indirectly, in contracts for supplies, services, and 6
156	156	construction with any agency of this state, a nd making such 7
157	157	database available to all agencies; 8
158	158	(2) Making recommendations to agencies for 9
159	159	implementation of a system to alert minority business 10 SB 446 6
160	160	enterprises and women's business enterprises, certified 11
161	161	under section 37.023, of upcoming contract s for supplies, 12
162	162	services, and construction; 13
163	163	(3) Establishing requirements for parties to contract 14
164	164	with agencies for supplies, services, or construction that 15
165	165	need subcontractors to notify potential subcontractors who 16
166	166	are minority business enterpri ses and women's business 17
167	167	enterprises, certified under section 37.023, of the party's 18
168	168	need for a subcontractor. Such requirements shall include, 19
169	169	but not be limited to: 20
170	170	(a) Written notification sent to the certified 21
171	171	minority business enterprise or women's business 22
172	172	enterprise's principal place of business; and 23
173	173	(b) Maintaining records of the notifications sent 24
174	174	under paragraph (a) of this subdivision; and 25
175	175	(4) Proposing sanctions for parties failing to comply 26
176	176	with any requirements establ ished under subdivision (3) of 27
177	177	this section. 28
178	178	37.768. 1. The office of administration shall enforce 1
179	179	the requirements developed by the committee under 2
180	180	subdivision (3) of section 37.766. 3
181	181	2. The office of administration shall prom ulgate rules 4
182	182	necessary for the enforcement of such requirements and 5
183	183	necessary to aid the committee in performing its duties 6
184	184	under section 37.766. Any rule or portion of a rule, as 7
185	185	that term is defined in section 536.010, that is created 8
186	186	under the authority delegated in this section shall become 9
187	187	effective only if it complies with and is subject to all of 10
188	188	the provisions of chapter 536 and, if applicable, section 11
189	189	536.028. This section and chapter 536 are nonseverable and 12
190	190	if any of the powers vested with the general assembly 13
191	191	pursuant to chapter 536 to review, to delay the effective 14 SB 446 7
192	192	date, or to disapprove and annul a rule are subsequently 15
193	193	held unconstitutional, then the grant of rulemaking 16
194	194	authority and any rule proposed or adopted after August 28, 17
195	195	2025, shall be invalid and void. 18
196	196	37.770. Under section 23.253 of the Missouri sunset 1
197	197	act: 2
198	198	(1) The provisions of the new program authorized under 3
199	199	sections 37.760 to 37.768 shall automatically sunset six 4
200	200	years after the effecti ve date of sections 37.760 to 37.768 5
201	201	unless reauthorized by an act of the general assembly; 6
202	202	(2) If such program is reauthorized, the program 7
203	203	authorized under sections 37.760 to 37.768 shall 8
204	204	automatically sunset twelve years after the effective dat e 9
205	205	of the reauthorization of sections 37.760 to 37.768; and 10
206	206	(3) This section shall terminate on September first of 11
207	207	the calendar year immediately following the calendar year in 12
208	208	which the program authorized under sections 37.760 to 37.768 13
209	209	is sunset. 14
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