Bill Text: MO HB2272 | 2014 | Regular Session | Comm Sub


Bill Title: Allows certain nonprofits to be included as minority business enterprises and women's business enterprises for public contract bidding preferences

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2014-04-29 - Rules - Reported Do Pass (H) [HB2272 Detail]

Download: Missouri-2014-HB2272-Comm_Sub.html

SECOND REGULAR SESSION

HOUSE COMMITTEE SUBSTITUTE FOR

HOUSE BILL NO. 2272

97TH GENERAL ASSEMBLY

6529H.03C                                                                                                                                                 D. ADAM CRUMBLISS, Chief Clerk


 

AN ACT

To repeal section 37.020, RSMo, and to enact in lieu thereof one new section relating to bidding for public contracts.




Be it enacted by the General Assembly of the state of Missouri, as follows:


            Section A. Section 37.020, RSMo, is repealed and one new section enacted in lieu thereof, to be known as section 37.020, to read as follows:

            37.020. 1. As used in this section, the following words and phrases mean:

            (1) "Certification", the determination, through whatever procedure is used by the office of administration, that a legal entity is a socially and economically disadvantaged small business concern for purposes of this section;

            (2) "Department", the office of administration and any public institution of higher learning in the state of Missouri;

            (3) "Minority business enterprise", a business that is:

            (a) A sole proprietorship owned and controlled by a minority;

            (b) A partnership or joint venture owned and controlled by minorities in which at least fifty-one percent of the ownership interest is held by minorities and the management and daily business operations of which are controlled by one or more of the minorities who own it; or

            (c) A corporation or other entity whose management and daily business operations are controlled by one or more minorities who own it, and which is at least fifty-one percent owned by one or more minorities, or if stock is issued, at least fifty-one percent of the stock is owned by one or more minorities;

            (4) "Socially and economically disadvantaged individuals", individuals, regardless of gender, who have been subjected to racial, ethnic, or sexual prejudice or cultural bias because of their identity as a member of a group without regard to their individual qualities and whose ability to compete in the free enterprise system has been impaired due to diminished capital and credit opportunities as compared to others in the same business area. In determining the degree of diminished credit and capital opportunities the office of administration shall consider, but not be limited to, the assets and net worth of such individual;

            (5) "Socially and economically disadvantaged small business concern", any small business concern:

            (a) Which is at least fifty-one percentum owned by one or more socially and economically disadvantaged individuals; or, in the case of any publicly owned business, at least fifty-one percentum of the stock of which is owned by one or more socially and economically disadvantaged individuals; and

            (b) Whose management and daily business operations are controlled by one or more of such individuals;

            (6) "Women's business enterprise", a business that is:

            (a) A sole proprietorship owned and controlled by a woman;

            (b) A partnership or joint venture owned and controlled by women in which at least fifty-one percent of the ownership interest is held by women and the management and daily business operations of which are controlled by one or more of the women who own it; or

            (c) A corporation or other entity whose management and daily business operations are controlled by one or more women who own it, and which is at least fifty-one percent owned by women, or if stock is issued, at least fifty-one percent of the stock is owned by one or more women.

            2. The office of administration, in consultation with each department, shall establish and implement a plan to increase and maintain the participation of certified socially and economically disadvantaged small business concerns or minority business enterprises, directly or indirectly, in contracts for supplies, services, and construction contracts, consistent with goals determined after an appropriate study conducted to determine the availability of socially and economically disadvantaged small business concerns and minority business enterprises in the marketplace. Such study shall be completed by December 31, 1991. The commissioner of administration shall appoint an oversight review committee to oversee and review the results of such study. The committee shall be composed of nine members, four of whom shall be members of business, three of whom shall be from staff of selected departments, one of whom shall be a member of the house of representatives, and one of whom shall be a member of the senate.

            3. The goals to be pursued by each department under the provisions of this section shall be construed to overlap with those imposed by federal law or regulation, if any, shall run concurrently therewith and shall be in addition to the amount required by federal law only to the extent the percentage set by this section exceeds those required by federal law or regulations.

            4. For any Missouri-based 501(c)(3) organization or a limited liability corporation comprised solely of Missouri-based 501(c)(3) organizations that meets the following criteria, additional points shall be awarded through the state purchasing process in the same manner as a for-profit corporation that has been certified as either a minority business enterprise or a women’s business enterprise:

            (1) To receive the same number of points on a bid proposal as a minority business enterprise, the following is required:

            (a) The organization’s entire staff is comprised of at least twenty-five percent minorities or such staff is comprised of more than five percent greater than the average minority population of the geographic area that is served by the organization; and

            (b) The organization’s staff that is classified as management or the twenty percent of the staff with the highest salaries is comprised of at least twenty percent minorities or such staff is comprised of a percentage that is greater than the average minority population of the geographic area that is served by the organization; and

            (2) To receive the same number of points on a bid proposal as a women’s business enterprise, the following is required:

            (a) The organization’s entire staff is comprised of at least fifty-five percent women; and

            (b) The organization’s staff that is classified as management or the twenty percent of the staff with the highest salaries is comprised of at least forty-five percent women.

            5. Under no circumstances shall any bidder under this section be awarded more than five points for qualifying as a minority business enterprise or a women's business enterprise under this section for a maximum award of ten points.

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