South Dakota House Bill HB1172

South Dakota 2024 Regular Session

• Introduced: 1/25/24
• Refer: 1/25/24

Caption

Prohibit the act of collusion during the procurement process and provide a penalty therefor.

Impact

The introduction of HB 1172 represents a significant shift in how the state addresses issues of corruption within procurement. By providing legal definitions of collusion and enforcing penalties, the bill is positioned to enhance the integrity of state contracting. This change could particularly impact state agencies by necessitating stricter compliance and oversight in their procurement processes. Lawmakers and various stakeholders see this as a proactive measure to curb unethical practices that diminish public trust in government operations.

Summary

House Bill 1172 aims to explicitly prohibit collusion during the procurement process for state contracts. The bill establishes clear definitions and penalties for state officers and employees who engage in collusive agreements that might suppress competition. It outlines the repercussions of such actions as malfeasance in office, which could result in removal from position and a Class 1 misdemeanor charge. Moreover, any contracts found to have been executed under collusion can be rendered voidable by the relevant governing body.

Contention

While the intentions behind HB 1172 are largely seen as positive, concerns have been raised about the potential for overreach and the handling of allegations. Critics question whether the definitions provided are sufficient to cover all forms of collusion or if they might inadvertently limit necessary internal discussions about procurement strategies. Additionally, there are apprehensions regarding the implications for state workers accused of collusion and the processes in place to investigate such claims—emphasizing the need for a fair and transparent procedure.