2025 -- H 6173
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LC002672
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S T A T E O F R H O D E I S L A N D
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2025
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A N A C T
RELATING TO PUBLIC PROPERTY AND WORKS -- RHODE ISLAND BID RIGGING ACT
Introduced By: Representatives Serpa, Fellela, Casimiro, Messier, Noret, Carson,
Speakman, Ajello, J. Brien, and Solomon
Date Introduced: April 04, 2025
Referred To: House Judiciary
(Attorney General)
It is enacted by the General Assembly as follows:
SECTION 1. Legislative findings 1
The General Assembly finds and declares that competition and fairness are fundamental to 2
a healthy marketplace and the administration of good government. 3
SECTION 2. Title 37 of the General Laws entitled "PUBLIC PROPERTY AND WORKS" 4
is hereby amended by adding thereto the following chapter: 5
CHAPTER 27 6
RHODE ISLAND BID RIGGING ACT 7
37-27-1. Short title. 8
This chapter shall be known and may be cited as the “Rhode Island Bid Rigging Act.” 9
37-27-2. Definitions. 10
For the purposes of this chapter, unless the context clearly requires otherwise: 11
(1) “Bid rigging” means a concerted activity of two (2) or more persons to predetermine 12
the winning bidder of a contract proposed, offered, or otherwise submitted for competitive bidding 13
by a government entity including, but not limited to, a contract proposed, offered, or otherwise 14
submitted for competitive bidding pursuant to processes set forth pursuant to law, regulation or 15
ordinance including, but not limited to, procurement processes established pursuant to chapter 2 of 16
title 37 or chapter 55 of title 45, or regulations promulgated thereto: 17
(i) “Bid rigging” includes, but is not limited to, any one or more of the following: 18
(A) Price fixing; 19
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(B) Submitting identical bids; 1
(C) Rotating bids; 2
(D) Sharing profits with a contractor who does not submit the low bid; 3
(E) Submitting prearranged bids, agreed-upon higher or lower bids or other complementary 4
bids; 5
(F) Dividing up territories to restrict competition; and/or 6
(G) Not submitting a bid; 7
(ii) Notwithstanding other provisions of this chapter, it is not unlawful for the same person 8
to simultaneously submit bids for the same work, or a portion thereof, as a proposed prime 9
contractor and subcontractor. 10
(2) “Debarment” means the exclusion from all state procurements and termination of 11
existing or outstanding contracts. 12
(3) “Person” means an individual or a firm, association, organization, business trust, 13
company, corporation, joint venture, partnership, proprietorship, or other business entity, whether 14
or not for profit, and any government or public entity. 15
(4) “Government entity” means any department, commission, council, board, bureau, 16
committee, institution, legislative body, agency, or government corporation of the executive, 17
legislative, or judicial branches of state, and/or local governments including, but not limited to, 18
those entities defined in § 37-2-7 relating to state governmental entities, public agencies, state 19
agencies, and governmental entities. 20
(5) “Prime contractor” means any person who has entered into a public contract. 21
37-27-3. Bid rigging prohibited. 22
It is unlawful for any person to knowingly conspire, collude, combine, or agree with 23
another to commit or attempt to commit bid rigging involving: 24
(1) A contract for the purchase of equipment, goods, services or materials or for 25
construction or repair proposed, offered, or otherwise submitted by a government entity; or 26
(2) A subcontract for the purchase of equipment, goods, services or materials or for 27
construction or repair with a prime contractor or proposed prime contractor for a government entity. 28
37-27-4. Interference with contract submission and award by public official. 29
(a) It is unlawful for any person who is an official of or employed by any unit of state or 30
local government, or any public officers who are subject to the code of ethics set forth in § 36-14-31
4, to knowingly convey, either directly or indirectly, outside of any publicly available official 32
procurement process adopted pursuant to law, regulation or ordinance by that unit of government 33
including, but not limited, to procurement processes established pursuant to chapter 2 of title 37 or 34
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chapter 55 of title 45, or regulations promulgated thereto, to any person any information concerning 1
the specifications for such contract or the identity of any particular potential subcontractors, when 2
inclusion of such information concerning the specifications or contractors in the bid or offer would 3
influence the likelihood of acceptance of such bid or offer. It shall not constitute a violation of this 4
subsection to convey information intended to clarify plans or specifications regarding a public 5
contract where such disclosure of information is also made generally available to the public. 6
(b) It is unlawful for any person who is an official of or employed by any unit of state or 7
local government, or any public officers who are subject to the code of ethics set forth in § 36-14-8
4, to take any action to deliberately influence the award or attempted award of a contract to a 9
particular bidder, prime contractor or subcontractor in contravention of any official procurement 10
process set forth pursuant to law, regulation or ordinance including, but not limited, to procurement 11
processes established pursuant to chapter 2 of title 37 or chapter 55 of title 45, or regulations 12
promulgated thereto, when such invitation to bid is required by law, regulation, or ordinance. 13
37-27-5. Penalties. 14
(a) Unless otherwise specified, any violation of any provision of this chapter shall be 15
deemed a felony punishable by imprisonment not exceeding three (3) years and by a fine of up to 16
one million dollars ($1,000,000) or three (3) times the value of the submitted award or bid, 17
whichever is greater. Any criminal proceeding brought pursuant to this chapter must be commenced 18
within six (6) years after the alleged criminal act occurred. 19
(b) The attorney general may also institute in the name of the state actions or proceedings 20
to prevent or restrain civil violations of this chapter. The attorney general may apply for an order 21
enjoining the continuance of any violation of this chapter, and directing restitution, damages, 22
penalties of up to one million dollars ($1,000,000) and, in an appropriate case, cancelling any 23
certificate filed with the secretary of state and debarment from state contracting for a period of up 24
to five (5) years, and the court may award the relief applied for or so much thereof as it may deem 25
proper. 26
(b) It shall not constitute a violation of this chapter where any person who is an official of 27
or employed by any unit of state or local government follows procedures established by federal, 28
state or local laws or regulations including, but not limited, to processes established pursuant to 29
chapter 2 of title 37 or chapter 55 of title 45, or regulations promulgated thereto. 30
(c) It shall not constitute a violation of this chapter for any person who is an official of or 31
employed by any unit of state or local government to provide to any person a copy of the transcript 32
or other summary of any pre-bid conference where such transcript or summary is also made 33
generally available to the public. 34
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37-27-6. Civil investigative demands. 1
When the attorney general has reasonable cause to believe that any person has engaged in, 2
is engaging in, or may have information related to a civil violation of § 37-27-3, the attorney general 3
is authorized to take proof and make a determination of the relevant facts and to issue civil 4
investigative demands to any person, in accordance with and subject to the limitations of the rules 5
set forth in § 6-13.1-7. Such authorization may precede any application, action or proceeding 6
instituted pursuant to § 37-27-5 and shall not abate or terminate by reason of any application, action, 7
or proceeding brought by the attorney general under this chapter. 8
37-27-7. Debarment. 9
(a) Any vendor debarred pursuant to this chapter shall not perform work as a prime 10
contractor, consultant, subcontractor or subconsultant for the state and shall be excluded from all 11
state procurements and any contract between the state and the vendor shall be terminated. 12
(b) Any person who is found to be in violation of any provision of this chapter shall be 13
subject to debarment, pursuant to chapter 2 of title 37 or any regulations promulgated thereto, from 14
state contracting for a period of up to five (5) years. 15
(c) A government entity that proposes, offers, or otherwise submits a contract for 16
competitive bidding shall maintain a current list of persons excluded or ineligible, by reason of 17
debarment, for participation in contracts or subcontracts with that government entity. 18
37-27-8. Severability. 19
Should any part of this chapter be declared invalid or unenforceable, or the enforcement or 20
compliance with it is suspended, restrained, or barred, either by the state or by the final judgment 21
of a court of competent jurisdiction, the remainder of this chapter shall remain in full force and 22
effect. 23
SECTION 3. Chapter 37-2 of the General Laws entitled "State Purchases" is hereby 24
amended by adding thereto the following section: 25
37-2-83. Penalties. 26
Any person who knowingly and intentionally violates any provision of this chapter shall 27
be subject to a misdemeanor, punishable by a fine of not more than five hundred dollars ($500), or 28
by imprisonment for not more than one year, or both. 29
SECTION 4. This act shall take effect upon passage. 30
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EXPLANATION
BY THE LEGISLATIVE COUNCIL
OF
A N A C T
RELATING TO PUBLIC PROPERTY AND WORKS -- RHODE ISLAND BID RIGGING ACT
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This act would establish the Rhode Island Bid Rigging Act. 1
This act would take effect upon passage. 2
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