Bill Text: CT SB00472 | 2010 | General Assembly | Introduced

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Bill Title: An Act Concerning State Agency Permissive In-state Contracting Preferences And A Pilot Program For Janitorial Employees.

Spectrum: Committee Bill

Status: (Introduced - Dead) 2010-03-15 - Public Hearing 03/19 [SB00472 Detail]

Download: Connecticut-2010-SB00472-Introduced.html

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General Assembly		Raised Bill No. 472
February Session, 2010		LCO No. 2233
		*02233_______GAE*
Referred to Committee on Government Administration and Elections
Introduced by:
(GAE)

AN ACT CONCERNING STATE AGENCY PERMISSIVE IN-STATE CONTRACTING PREFERENCES AND A PILOT PROGRAM FOR JANITORIAL EMPLOYEES.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. Section 4e-1 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2010):

For the purposes of sections 4e-1 to [4e-47] 4e-48, inclusive, as amended by this act, and section 3 of this act:

(1) "Best value selection" means a contract selection process in which the award of a contract is based on a combination of quality, timeliness and cost factors;

(2) "Bid" means an offer, submitted in response to an invitation to bid, to furnish supplies, materials, equipment, construction or contractual services to a state contracting agency under prescribed conditions at a stated price;

(3) "Bidder" means a business submitting a bid in response to an invitation to bid by a state contracting agency;

(4) "Business" means any individual or sole proprietorship, partnership, firm, corporation, trust, limited liability company, limited liability partnership, joint stock company, joint venture, association or other legal entity through which business for profit or not-for-profit is conducted;

(5) "Competitive bidding" means the submission of prices by a business competing for a contract to provide supplies, materials, equipment or contractual services to a state contracting agency, under a procedure in which the contracting authority does not negotiate prices, as set forth in statutes and regulations concerning procurement;

(6) "Consultant" means (A) any architect, professional engineer, landscape architect, land surveyor, accountant, interior designer, environmental professional or construction administrator, who is registered or licensed to practice such person's profession in accordance with the applicable provisions of the general statutes, (B) any planner or any environmental, management or financial specialist, or (C) any person who performs professional work in areas including, but not limited to, educational services, medical services, information technology and real estate appraisal;

(7) "Consultant services" means those professional services rendered by a consultant and any incidental services that a consultant and those in the consultant's employ are authorized to perform;

(8) "Contract" or "state contract" means an agreement or a combination or series of agreements between a state contracting agency or quasi-public agency and a business for:

(A) A project for the construction, reconstruction, alteration, remodeling, repair or demolition of any public building, public work, mass transit, rail station, parking garage, rail track or airport;

(B) Services, including, but not limited to, consultant and professional services;

(C) The acquisition or disposition of personal property;

(D) The provision of goods and services, including, but not limited to, the use of purchase of services contracts and personal service agreements;

(E) The provision of information technology, state agency information system or telecommunication system facilities, equipment or services;

(F) A lease; or

(G) A licensing agreement;

"Contract" or "state contract" does not include a contract between a state agency or a quasi-public agency and a political subdivision of the state;

(9) "Term contract" means the agreement reached when the state accepts a bid or proposal to furnish supplies, materials, equipment or contractual services at a stated price for a specific period of time in response to an invitation to bid;

(10) "Contract risk assessment" means (A) the identification and evaluation of loss exposures and risks, including, but not limited to, business and legal risks associated with the contracting process and the contracted goods and services, and (B) the identification, evaluation and implementation of measures available to minimize potential loss exposures and risks;

(11) "Contractor" means any business that is awarded, or is a subcontractor under, a contract or an amendment to a contract with a state contracting agency under statutes and regulations concerning procurement, including, but not limited to, a small contractor, minority business enterprise, an individual with a disability, as defined in section 4a-60, or an organization providing products and services by persons with disabilities;

(12) "Contractual services" means the furnishing of labor by a contractor, not involving the delivery of a specific end product other than reports, which are merely incidental to the required performance and includes any and all laundry and cleaning service, pest control service, janitorial service, security service, the rental and repair, or maintenance, of equipment, machinery and other state-owned personal property, advertising and photostating, mimeographing, human services and other service arrangements where the services are provided by persons other than state employees. "Contractual services" includes the design, development and implementation of technology, communications or telecommunications systems or the infrastructure pertaining thereto, including hardware and software and services for which a contractor is conferred a benefit by the state, whether or not compensated by the state. "Contractual services" does not include employment agreements or collective bargaining agreements;

(13) "Data" means recorded information, regardless of form or characteristic;

(14) "Vote of two-thirds of the members of the board present and voting" means a vote by the State Contracting Standards Board that is agreed upon by two-thirds of the members of the State Contracting Standards Board present and voting for a particular purpose and that includes the vote of one member of the board appointed by a legislative leader;

(15) "Electronic" means electrical, digital, magnetic, optical, electromagnetic, or any other similar technology;

(16) "Emergency procurement" means procurement by a state contracting agency, quasi-public agency, as defined in section 1-120, judicial department or constituent unit of higher education that is made necessary by a sudden, unexpected occurrence that poses a clear and imminent danger to public safety or requires immediate action to prevent or mitigate the loss or impairment of life, health, property or essential public services or in response to a court order, settlement agreement or other similar legal judgment;

(17) "Equipment" means personal property of a durable nature that retains its identity throughout its useful life;

(18) "Materials" means items required to perform a function or used in a manufacturing process, particularly those incorporated into an end product or consumed in its manufacture;

(19) "Nonprofit agency" means any organization that is not a for-profit business under 501(c)(3) of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as from time to time amended, makes no distribution to its members, directors or officers and provides services contracted for by (A) the state, or (B) a nonstate entity;

(20) "Professional services" means any type of service to the public that requires that members of a profession rendering such service obtain a license or other legal authorization as a condition precedent to the rendition thereof, including, but not limited to, the professional services of architects, professional engineers, or jointly by architects and professional engineers, landscape architects, certified public accountants and public accountants, land surveyors, attorneys-at-law, psychologists, licensed marital and family therapists, licensed professional counselors and licensed clinical social workers as well as such other professional services described in section 33-182a;

(21) "Privatization contract" means an agreement or series of agreements between a state contracting agency and a person or entity in which such person or entity agrees to provide services that are substantially similar to and in lieu of services provided, in whole or in part, by state employees, other than contracts with a nonprofit agency, which are in effect as of January 1, 2009, and which through a renewal, modification, extension or rebidding of contracts continue to be provided by a nonprofit agency;

(22) "Procurement" means contracting for, buying, purchasing, renting, leasing or otherwise acquiring or disposing of, any supplies, services, including but not limited to, contracts for purchase of services and personal service agreements, interest in real property, or construction, and includes all government functions that relate to such activities, including best value selection and qualification based selection;

(23) "Proposer" means a business submitting a proposal to a state contracting agency in response to a request for proposals or other competitive sealed proposal;

(24) "Public record" means a public record, as defined in section 1-200;

(25) "Qualification based selection" means a contract selection process in which the award of a contract is primarily based on an assessment of contractor qualifications and on the negotiation of a fair and reasonable price;

(26) "Regulation" means regulation, as defined in section 4-166;

(27) "Request for proposals" means all documents, whether attached or incorporated by reference, utilized for soliciting proposals;

(28) "State contracting agency" means any executive branch agency, board, commission, department, office, institution or council. "State contracting agency" does not include the judicial branch, the legislative branch, the offices of the Secretary of the State, the State Comptroller, the Attorney General, the State Treasurer, with respect to their constitutional functions, any state agency with respect to contracts specific to the constitutional and statutory functions of the office of the State Treasurer. For the purposes of section 4e-16, state contracting agency includes any constituent unit of the state system of higher education;

(29) "Subcontractor" means a subcontractor of a contractor for work under a contract or an amendment to a contract;

(30) "Supplies" means any and all articles of personal property, including, but not limited to, equipment, materials, printing, insurance and leases of real property, excluding land or a permanent interest in land furnished to or used by any state agency;

(31) "Infrastructure facility" means a building, structure or network of buildings, structures, pipes, controls and equipment that provide transportation, utilities, public education or public safety services. Infrastructure facility includes government office buildings, public schools, jails, water treatment plants, distribution systems and pumping stations, wastewater treatment plants, collections systems and pumping stations, solid waste disposal plants, incinerators, landfills, and related facilities, public roads and streets, highways, public parking facilities, public transportation systems, terminals and rolling stock, rail, air and water port structures, terminals and equipment; and

(32) "State employee" means state employee, as defined in section 5-154 and, for purposes of section 4e-16, state employee includes an employee of any state contracting agency.

Sec. 2. Subsection (a) of section 4e-48 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2010):

(a) For the purposes of this section, "nonresident bidder" means a business that is not a resident of the state that submits a bid in response to an invitation to bid by a state contracting agency [,] and "resident bidder" means a business that submits a bid in response to an invitation to bid by a state contracting agency and that has paid unemployment taxes or income taxes in this state during the twelve calendar months immediately preceding submission of such bid, has a business address in the state and has affirmatively claimed such status in the bid submission. [, "contract" means "contract" as defined in section 4e-1 and "state contracting agency" means "state contracting agency", as defined in section 4e-1.]

Sec. 3. (NEW) (Effective October 1, 2010) (a) Notwithstanding any provision of the general statutes, a state contracting agency may, in the invitation to bid for a project, allow each bidder, for the purpose of calculating bid points for the financial component of the bid, to adjust its bid by deducting the estimated amount of Connecticut state income taxes that would be paid during the term of the contract by all of the bidder's employees who would be employed directly on such project. Such adjustment shall be the sum of the following products, which shall be calculated for each employee assigned to the project: An income tax rate of five per cent multiplied by the salary of the employee for such project multiplied by the proportion of the employee's time that would be assigned to the project.

(b) If a state contractor whose bid was adjusted pursuant to subsection (a) of this section is awarded the state contract and in executing such contract pays its employees less in the aggregate than the amount projected in such adjusted bid, the state contracting agency shall pay such contractor an amount less than the amount of the bid prior to its adjustment in accordance with subsection (a) of this section, and such amount shall be equal to the difference between (1) the amount of Connecticut income taxes projected to be paid by its employees in accordance with subsection (a) of this section, and (2) the estimated Connecticut income tax paid by its employees, when assuming an income tax rate of five per cent.

(c) Each state contracting agency that has awarded a contract to a contractor whose bid was adjusted pursuant to subsection (a) of this section shall confirm the number of employees actually employed in the state on such project by such contractor, annually in the case of a contract with a duration of more than a year and, if such contract has a duration of less than a year, prior to the final payment for such contract. If the state contracting agency determines that the payment of the contractor needs to be adjusted in accordance with subsection (b) of this section, the state contracting agency shall make such adjustment not later than a year after the awarding of such contract in the case of a contract with a duration of more than a year and, if such contract has a duration of less than a year, at the time of final payment for such contract.

Sec. 4. Subsection (b) of section 4a-82 of the general statutes is repealed and the following is substituted in lieu thereof (Effective from passage):

(b) The Commissioner of Administrative Services shall establish a pilot program, for a term of [four] seven years, to create and expand janitorial work job opportunities for persons with a disability and persons with a disadvantage. Such pilot program shall consist of four identified projects for janitorial work. The program shall create a minimum of sixty full-time jobs or sixty full-time equivalents at standard wages for persons with disabilities and persons with disadvantages and have a total market value for all janitorial contracts awarded under the program of at least three million dollars. In establishing such pilot program, the Commissioner of Administrative Services may consult with the Commissioner of Social Services and the Labor Commissioner.

This act shall take effect as follows and shall amend the following sections:
Section 1	October 1, 2010	4e-1
Sec. 2	October 1, 2010	4e-48(a)
Sec. 3	October 1, 2010	New section
Sec. 4	from passage	4a-82(b)

Statement of Purpose:

To allow state contractors to adjust their bid to deduct the amount of state income taxes that would be paid by those employed on the project, and to provide that if the aggregate amount actually paid to such employees is less than projected, the amount paid to the contractor would reflect such difference, and to extend the term of the pilot program for janitorial work for disadvantaged or disabled persons from four years to seven years.

[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]