HB2365 HFLR Page 1 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 HOUSE OF REPRESENTATIVES - FLOOR VERSION STATE OF OKLAHOMA 1st Session of the 58th Legislature (2021) HOUSE BILL 2365 By: Burns AS INTRODUCED An Act relating to state government; creating the Oklahoma Supplier Diversity Initiative; provid ing for registration for certain notifications; allowing for quotes for select purchases; authorizing Oklahoma Department of Commerce to develop a diversity certification program; providing for qualifications; directing Office of Management and Enterprise Services to amend vendor registration process, create a search tool, and develop certain index; providing for submission of report; providing for codification; and providing an effective date . BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOM A: SECTION 1. NEW LAW A new section of law to be codified in the Oklahoma Statutes as Section 85.45j.11 of Title 74, unless there is created a duplication in numbering, reads as follows: A. There is hereby created the "Oklahoma Supplier Diversity Initiative", which shall be a state -sponsored supplier diversity program to provide a resource for state agencies and private businesses to utilize diverse firms in pr ocurement opportunities to encourage growth in the economy of the state. The program shall HB2365 HFLR Page 2 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 provide convenience for qualified and certified small business enterprises and minority business enterprises in contracting projects in underserved areas. B. The program shall allow diverse business enterprises to register with the Office of Management and Enterprise Services and allow registered vendors to be automatically notified of opportunities to do business with the state for specific commodities. The program shall allow state agencies to obtain three bids from qualifying small a nd disadvantaged businesses for select purchases up to Five Hundred Thousand Dollars ($500,000.00) . The program shall provide for: 1. Simplified vendor registration p rocesses; and 2. Simplified bidding processes. C. The program shall authorize the Okla homa Department of Commerce to develop a diversity certification program to qualify and certify diverse business enterprises for the State of Oklahoma. In addition, the program shall authorize third -party diversity certifications under the U.S. Department of Transportation, United States Small Business Administration and other approved third -party certifications as determined appropriate to meet qualifications. D. To qualify for the program, businesses shall have less than five hundred total employees, an annual revenue equal to or less than Twenty-five Million Dollars ($25,000,000.00) and be certified as one of the following: HB2365 HFLR Page 3 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1. An Oklahoma Department of Transportation Disadvantaged Business Enterprise; 2. Any of the following entities certified by the United States Small Business Administration : a. Woman-Owned Small Business , b. Minority-Business Enterprise, c. Small Disadvantaged Business , d. Service-disabled Veteran-Owned Small Business , e. HUBZone, and f. 8(a) Business Development Program; 3. A Native American-owned Business; 4. A Veteran-owned Business; 5. A Certified HUBZone Small Business Concern by the United States Small Business Administration ; 6. A Business having a majority of their employees maintain a principal residence within a HUBZone or Qualified Opportunity Zone ; 7. An Oklahoma-based business with its principal place of business within a HUBZone or Qualified Opportunity Zone . E. The Office of Management and Enterprise Services shall: 1. Amend the vendor registration process to req uire diversity certification check of f and size standard information; 2. Create a search tool for all state agencies and public or private entities to utilize to obtain contact information for HB2365 HFLR Page 4 BOLD FACE denotes Committee Amendments. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 diverse firms for the purpose of promoting procurement opportu nities within the State of Oklahoma; and 3. Develop a supplier-diversity-inclusion index to measure utilization of certified firms and related economic impact to the State of Oklahoma within one (1) year of authorization of the program. F. On or before July 15 of each year, the State Purchasing Director shall submit a report to the Governor, the Speaker of the House of Representatives and the President Pro Tempore of the Senate on the status of the percentile of state funds expended on contracts awarded to minority businesses in the preceding fiscal year and provide any report, statistic s or other information concerning the participation in the program to the Office of Management and Enterprise Services. SECTION 2. This act shall become ef fective November 1, 2021. COMMITTEE REPORT BY: COMMITTEE ON GOVERNMENT MODERNIZATION AND EFFICIENCY, dated 02/16/2021 - DO PASS.