Bill Text: HI HB2623 | 2014 | Regular Session | Introduced


Bill Title: Procurement; Accountability; Past Performance

Spectrum: Moderate Partisan Bill (Democrat 15-4)

Status: (Introduced - Dead) 2014-01-27 - Referred to EDB, FIN, referral sheet 7 [HB2623 Detail]

Download: Hawaii-2014-HB2623-Introduced.html

HOUSE OF REPRESENTATIVES

H.B. NO.

2623

TWENTY-SEVENTH LEGISLATURE, 2014

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

RELATING TO PROCUREMENT.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 


Section 1.  The legislature finds that the procurement process strengthens contractors' access to valuable government contracts with a procurement system that strives to promote efficiency, effectiveness, and impartiality in procurement for State and county government.  However, the legislature also finds that systematic abuses of performance loop-holes and the costliness of remedial measures wastes taxpayers dollars and allows for contracts to continually be awarded to contractors with a history of poor past performance.  The legislature further finds that establishing a final performance evaluation during contract file closeout and providing contractor evaluation information during source selection will provide procurement officers with critical information about past performance for consideration in selection. 

The legislature also finds that Hawaii Compliance Express is an effective electronic system that allows vendors doing business with state or county agencies to quickly and easily obtain proof that they are compliant with applicable laws, expediting a vendor's ability to furnish proof of compliance with the requirements of section 103D-310, Hawaii Revised Statutes, by purchasing a "Certificate of Vendor Compliance" for the business industry at a nominal cost.  The legislature further finds that requiring proof of current compliance with applicable laws upon submitting a bid will create efficiencies in source selection, increase contractor accountability, and increase procurement transparency.

The purpose of this Act is to provide for greater transparency and accountability in the procurement process, by emphasizing consideration of past performance during the procurement officer's source selection process, as well as requiring all offerors to verify compliance with applicable laws – all at a nominal cost to bidders, the purchasing agency, and the taxpayers of the State.

     SECTION 2.  Section 103D-310, Hawaii Revised Statutes, is amended to read as follows:

     "§103D-310  Responsibility of offerors.  (a)  Unless the policy board, by rules, specifies otherwise, before submitting an offer, a prospective offeror, not less than ten calendar days prior to the day designated for opening offers, shall give written notice of the intention to submit an offer to the procurement officer responsible for that particular procurement.

     (b)  Whether or not an intention to bid is required, the procurement officer shall determine whether the prospective offeror has the financial ability, resources, skills, capability, and business integrity necessary to perform the work.  For this purpose, the officer, in the officer's discretion, may require any prospective offeror to submit answers, under oath, to questions contained in a standard form of questionnaire to be prepared by the policy board.  Whenever it appears from answers to the questionnaire or otherwise, including consideration of past performance, that the prospective offeror is not fully qualified and able to perform the intended work, a written determination of nonresponsibility of an offeror shall be made by the head of the purchasing agency, in accordance with rules adopted by the policy board.  The unreasonable failure of an offeror to promptly supply information in connection with an inquiry with respect to responsibility may be grounds for a determination of nonresponsibility with respect to such offeror.  The decision of the head of the purchasing agency shall be final unless the offeror applies for administrative review pursuant to section 103D-709.

     (c)  All offerors, upon [award of contract,] submission of bid, shall comply with all laws governing entities doing business in the State, including chapters 237, 383, 386, 392, and 393.  Offerors shall produce documents to the procuring officer to demonstrate compliance with this subsection.  Any offeror making a false affirmation or certification under this subsection shall be suspended from further offerings or awards pursuant to section 103D-702.  The procuring officer shall verify compliance with this subsection for all contracts awarded pursuant to sections 103D-302, 103D-303, 103D-304, and 103D-306, and for contracts and procurements of $2,500 or more awarded pursuant to section 103D-305; provided that the attorney general may waive the requirements of this subsection for contracts for legal services if the attorney general certifies in writing that comparable legal services are not available in this State.

     (d)  Information furnished by an offeror pursuant to this section shall not be disclosed to any person except to law enforcement agencies as provided by chapter 92F."

     SECTION 3.  The state procurement office and office of the attorney general shall modify corresponding administrative rules, procedures, and contracts in conformity with the statutory amendments above, pursuant to chapter 91.

     SECTION 4.  This act shall not be applied so as to impair any contract existing as of the effective date of this Act in a manner violative of either the Hawaii State Constitution or Article I, section 10, of the United States Constitution.

     SECTION 5.  This Act shall not be applied so as to impair any contract existing as of the effective date of this Act in a manner violative of either the Hawaii State Constitution or Article I, section 10, of the United States Constitution.

     SECTION 6.    Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 7.    This Act shall take effect on July 1, 2014.

 

INTRODUCED BY:

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Report Title:

Procurement; Accountability; Past Performance

 

Description:

Requires all offerors of procurement solicitations to provide a Certificate of Vendor Compliance at the start of a procurement bidding process and emphasizes consideration of past performance in source selection.

 

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.

 

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