Bill Text: HI HB210 | 2010 | Regular Session | Introduced


Bill Title: Procurement; Competitive Sealed Bidding; Competitive Sealed Proposals

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2009-05-11 - Carried over to 2010 Regular Session. [HB210 Detail]

Download: Hawaii-2010-HB210-Introduced.html

Report Title:

Procurement; Competitive Sealed Bidding; Competitive Sealed Proposals

 

Description:

Authorizes the head of a purchasing agency to resolicit bids or proposals with different requirements where the lowest price submitted exceeds ten per cent of the anticipated cost of the contract.

 


HOUSE OF REPRESENTATIVES

H.B. NO.

210

TWENTY-FIFTH LEGISLATURE, 2009

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT


 

 

relating to procurement.

 

 

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

 


     SECTION 1.  Section 103D-302, Hawaii Revised Statutes, is amended by amending subsection (h) to read as follows:

     "(h)  The contract shall be awarded with reasonable promptness by written notice to the lowest responsible and responsive bidder whose bid meets the requirements and criteria set forth in the invitation for bids[.] provided that if the lowest bid is more than ten per cent higher than the estimated cost of the contract, as determined by the head of the purchasing agency responsible for the procurement in question, the head of the purchasing agency may reject the lowest bid and resolicit bids after modifying the bid requirements as necessary to attract bids within the estimated cost of the contract, including reducing the scope of the work, breaking up large projects into smaller projects or combining like projects to achieve economies of scale.  In the event all bids exceed available funds as certified by the appropriate fiscal officer, the head of the purchasing agency responsible for the procurement in question is authorized in situations where time or economic considerations preclude resolicitation of work of a reduced scope to negotiate an adjustment of the bid price, including changes in the bid requirements, with the low responsible and responsive bidder, in order to bring the bid within the amount of available funds."

     SECTION 2.  Section 103D-303, Hawaii Revised Statutes, is amended to read as follows:

     "§103D-303  Competitive sealed proposals.  (a)  Competitive sealed proposals may be utilized to procure goods, services, or construction designated in rules adopted by the procurement policy board as goods, services, or construction [which] that are either not practicable or not advantageous to the State to procure by competitive sealed bidding.  Competitive sealed proposals may also be utilized when the head of a purchasing agency determines in writing that the use of competitive sealed bidding is either not practicable or not advantageous to the State.

     (b)  Proposals shall be solicited through a request for proposals.

     (c)  Notice of the request for proposals shall be given in the same manner as provided in section 103D-302(c).

     (d)  Proposals shall be opened so as to avoid disclosure of contents to competing offerors during the process of negotiation.  A register of proposals shall be prepared in accordance with rules adopted by the policy board and shall be open for public inspection after contract award.

     (e)  The request for proposals shall state the relative importance of price and other evaluation factors.

     (f)  Discussions may be conducted with responsible offerors who submit proposals determined to be reasonably susceptible of being selected for award for the purpose of clarification to assure full understanding of, and responsiveness to, the solicitation requirements.  Offerors shall be accorded fair and equal treatment with respect to any opportunity for discussion and revision of proposals, and revisions may be permitted after submissions and prior to award for the purpose of obtaining best and final offers.  In conducting discussions, there shall be no disclosure of any information derived from proposals submitted by competing offerors.

     (g)  In the event that the lowest price submitted by responsible offerors who submit proposals determined to be reasonably susceptible of being selected for award is more than ten per cent higher than the estimated cost of the contract, as determined by the head of the purchasing agency responsible for the procurement in question, the head of the purchasing agency may resolicit the proposal after modifying the proposal requirements as necessary to attract proposals within the estimated cost of the contract, including reducing the scope of the work, breaking up large projects into smaller projects or combining like projects to achieve economies of scale.

     [(g)] (h)  Award shall be made to the responsible offeror whose proposal is determined in writing to be the most advantageous taking into consideration price and the evaluation factors set forth in the request for proposals.  No other factors or criteria shall be used in the evaluation.  The contract file shall contain the basis on which the award is made.

     [(h)] (i)  In cases of awards made under this section, nonselected offerors may submit a written request for debriefing to the chief procurement officer or designee within three working days after the posting of the award of the contract.  Thereafter, the head of the purchasing agency shall provide the requester a prompt debriefing in accordance with rules adopted by the policy board.  Any protest by the requester pursuant to section 103D-701 following debriefing shall be filed in writing with the chief procurement officer or designee within five working days after the date that the debriefing is completed."

     SECTION 3.  Section 103D-305, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  Procurements of less than $50,000 for goods, services, or construction shall be made in accordance with procedures set forth in rules adopted by the policy board that are designed to ensure administrative simplicity and as much competition as is practicable; provided that multiple expenditures shall not be created at the inception of a transaction or project so as to evade the requirements of this chapter; and provided further that procurement requirements shall not be artificially divided or parceled so as to constitute a small purchase under this section[.] except as provided under sections 103D-302(h) and 103D-303(g)."

     SECTION 4.  If any provision of this Act, or the application thereof to any person or circumstance is held invalid, the invalidity does not affect other provisions or applications of the Act, which can be given effect without the invalid provision or application, and to this end the provisions of this Act are severable.

     SECTION 5.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 6.  This Act shall take effect upon its approval.

 

INTRODUCED BY:

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