Bill Text: IN HB1014 | 2010 | Regular Session | Amended
Bill Title: Use of minority and women's business enterprises.
Spectrum: Slight Partisan Bill (Democrat 3-1)
Status: (Engrossed - Dead) 2010-02-11 - Senators Rogers and Errington added as cosponsors [HB1014 Detail]
Download: Indiana-2010-HB1014-Amended.html
Citations Affected: IC 4-13.
Synopsis: Use of minority and women's business enterprises. Expands
the duties of the governor's commission on minority and women's
business enterprises (commission) to include setting goals for all
contracts awarded by a recipient of state grant funds that: (1) involve
the use of real property of a city, town, county, township, or school
corporation (local unit); and (2) will be paid for in whole or in part with
state grant funds. Requires the local unit to report to the commission on
the planned and actual participation of minority and women's business
enterprises in these contracts. Requires the department of
administration to direct contractors to demonstrate a good faith effort
to meet participation goals. Requires the commission to work with the
department to develop a statement for grantees stating the importance
of the use of minority and women's business enterprises.
Effective: July 1, 2010.
January 5, 2010, read first time and referred to Committee on Government and Regulatory
Reform.
January 7, 2010, reported _ Do Pass.
January 11, 2010, read second time, amended, ordered engrossed.
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A BILL FOR AN ACT to amend the Indiana Code concerning state
offices and administration.
(b) "Commission" refers to the governor's commission on minority and women's business enterprises established under section 2 of this chapter.
(c) "Commissioner" refers to the deputy commissioner for minority and women's business enterprises of the department.
(d) "Contract" means any contract awarded by a state agency or, as set forth in section 2(f)(11) of this chapter, awarded by a recipient of state funds, for construction projects or the procurement of goods or services, including professional services. For purposes of this subsection, "goods or services" may not include the following when determining the total value of contracts for state agencies:
(1) Utilities.
(2) Health care services (as defined in IC 27-8-11-1(c)).
(3) Rent paid for real property or payments constituting the price of an interest in real property as a result of a real estate transaction.
(e) "Contractor" means a person or entity that:
(1) contracts with a state agency; or
(2) as set forth in section 2(f)(11) of this chapter:
(A) is a recipient of state grant funds; and
(B) enters into a contract:
(i) with a person or entity other than a state agency; and
(ii) that is paid for in whole or in part with the state grant funds.
(1) United States citizens; and
(2) members of a minority group or a qualified minority nonprofit corporation.
(1) is exempt from federal income taxation under Section 501(c)(3) of the Internal Revenue Code;
(2) is headquartered in Indiana;
(3) has been in continuous existence for at least five (5) years;
(4) has a board of directors that has been in compliance with all other requirements of this chapter for at least five (5) years;
(5) is chartered for the benefit of the minority community or women; and
(6) provides a service that will not impede competition among minority business enterprises or women's business enterprises at the time a nonprofit applies for certification as a minority business enterprise or a women's business enterprise.
(1) if the business is a qualified minority nonprofit corporation, a majority of the board of directors are minority;
(2) if the business is a qualified women's nonprofit corporation, a majority of the members of the board of directors are women; or
(3) if the business is a business other than a qualified minority or women's nonprofit corporation, having:
(A) ownership of at least fifty-one percent (51%) of the
enterprise, including corporate stock of a corporation;
(B) control over the management and active in the day-to-day
operations of the business; and
(C) an interest in the capital, assets, and profits and losses of
the business proportionate to the percentage of ownership.
(i) (j) "Minority group" means:
(1) Blacks;
(2) American Indians;
(3) Hispanics; and
(4) Asian Americans.
(j) (k) "Separate body corporate and politic" refers to an entity
established by the general assembly as a body corporate and politic.
(k) (l) "State agency" refers to any authority, board, branch,
commission, committee, department, division, or other instrumentality
of the executive, including the administrative, department of state
government.
(1) A sole proprietorship owned and controlled by a woman.
(2) A partnership or joint venture owned and controlled by women in which:
(A) at least fifty-one percent (51%) of the ownership is held by women; and
(B) the management and daily business operations are controlled by at least one (1) of the women who owns the business.
(3) A corporation or other entity:
(A) whose management and daily business operations are controlled by at least one (1) of the women who owns the business; and
(B) that is at least fifty-one percent (51%) owned by women, or if stock is issued, at least fifty-one percent (51%) of the stock is owned by at least one (1) of the women.
(4) A qualified women's nonprofit corporation as defined in
(1) A governor's designee, who shall serve as chairman of the commission.
(2) The commissioner of the Indiana department of transportation, or the economic opportunity director of the Indiana department of transportation if the commissioner of the Indiana department of transportation so designates.
(3) The chairperson of the board of the Indiana economic development corporation or the chairperson's designee.
(4) The commissioner of the department.
(5) Nine (9) individuals with demonstrated capabilities in business and industry, especially minority and women's business enterprises, appointed by the governor from the following geographical areas of the state:
(A) Three (3) from the northern one-third (1/3) of the state.
(B) Three (3) from the central one-third (1/3) of the state.
(C) Three (3) from the southern one-third (1/3) of the state.
(6) Two (2) members of the house of representatives, no more than one (1) from the same political party, appointed by the speaker of the house of representatives to serve in a nonvoting advisory capacity.
(7) Two (2) members of the senate, no more than one (1) from the same political party, appointed by the president pro tempore of the senate to serve in a nonvoting advisory capacity.
Not more than six (6) of the ten (10) members appointed or designated by the governor may be of the same political party. Appointed members of the commission shall serve four (4) year terms. A vacancy occurs if a legislative member leaves office for any reason. Any vacancy on the commission shall be filled in the same manner as the original appointment.
(b) Each member of the commission who is not a state employee is entitled to the following:
(1) The minimum salary per diem provided by IC 4-10-11-2.1(b).
(2) Reimbursement for traveling expenses and other expenses actually incurred in connection with the member's duties as provided under IC 4-13-1-4 and in the state travel policies and procedures established by the Indiana department of administration and approved by the budget agency.
(c) Each legislative member of the commission is entitled to receive the same per diem, mileage, and travel allowances established by the legislative council and paid to members of the general assembly serving on interim study committees. The allowances specified in this subsection shall be paid by the legislative services agency from the
amounts appropriated for that purpose.
(d) A member of the commission who is a state employee but who
is not a member of the general assembly is not entitled to any of the
following:
(1) The minimum salary per diem provided by IC 4-10-11-2.1(b).
(2) Reimbursement for traveling expenses as provided under
IC 4-13-1-4.
(3) Other expenses actually incurred in connection with the
member's duties.
(e) The commission shall meet at least four (4) times each year and
at other times as the chairman considers necessary.
(f) The duties of the commission shall include but not be limited to
the following:
(1) Identify minority and women's business enterprises in the
state.
(2) Assess the needs of minority and women's business
enterprises.
(3) Initiate aggressive programs to assist minority and women's
business enterprises in obtaining state contracts.
(4) Give special publicity to procurement, bidding, and qualifying
procedures.
(5) Include minority and women's business enterprises on
solicitation mailing lists.
(6) Evaluate the competitive differences between qualified
minority or women's nonprofit corporations and other than
qualified minority or women's nonprofit corporations that offer
similar services and make recommendation to the department on
policy changes necessary to ensure fair competition among
minority and women's business enterprises.
(7) Define the duties, goals, and objectives of the deputy
commissioner of the department as created under this chapter to
assure compliance by all state agencies, separate bodies corporate
and politic, and state educational institutions with state and
federal legislation and policy concerning the awarding of
contracts (including, notwithstanding section 1(d) of this chapter
or any other law, contracts of state educational institutions) to
minority and women's business enterprises.
(8) Establish annual goals:
(A) for the use of minority and women's business enterprises;
and
(B) derived from a statistical analysis of utilization study of
state contracts (including, notwithstanding section 1(d) of this
chapter or any other law, contracts of state educational
institutions) that are required to be updated every five (5)
years.
(9) Prepare a review of the commission and the various affected
departments of government to be submitted to the governor and
the legislative council on March 1 and October 1 of each year,
evaluating progress made in the areas defined in this subsection.
(10) Ensure that the statistical analysis required under this
section:
(A) is based on goals for participation of minority business
enterprises established in Richmond v. Croson, 488 U.S. 469
(1989);
(B) includes information on both contracts and subcontracts
(including, notwithstanding section 1(d) of this chapter or any
other law, contracts and subcontracts of state educational
institutions); and
(C) uses data on the combined capacity of minority and
women's businesses enterprises in Indiana and not just
regional data.
(11) Establish annual goals for the use of minority and
women's business enterprises for any contract that:
(A) will be paid for in whole or in part with state grant
funds; and
(B) involves the use of real property of a local unit (as
defined in IC 4-4-32.2-9).
The department shall direct contractors to demonstrate a good
faith effort to meet participation goals. The good faith effort shall
be demonstrated by contractors using the repository of certified
firms created under IC 4-13-16.5-3 or a similar repository
maintained by a local unit (as defined in IC 4-4-32.2-9).
(g) The department shall adopt rules of ethics under IC 4-22-2 for
commission members other than commission members appointed
under subsection (a)(6) or (a)(7).
(h) The department shall furnish administrative support and staff as
is necessary for the effective operation of the commission.
(i) The commission shall advise the department on developing
a statement, to be included in all applications for and agreements
governing grants made with state funds, stating the importance of
the use of minority and women's business enterprises in fulfilling
the purposes of the grant.
JULY 1, 2010]: Sec. 3. (a) There is created in the department a deputy
commissioner for minority and women's business enterprise
development. Upon consultation with the commission, the
commissioner of the department, with the approval of the governor,
shall appoint an individual who possesses demonstrated capability in
business or industry, especially in minority or women's business
enterprises, to serve as deputy commissioner to work with the
commission in the implementation of this chapter.
(b) The deputy commissioner shall do the following:
(1) Identify and certify minority and women's business enterprises
for state projects.
(2) Establish a central certification file.
(3) Periodically update the certification status of each minority or
women's business enterprise.
(4) Monitor the progress in achieving the goals established under
section 2(f)(8) and 2(f)(11) of this chapter.
(5) Require all state agencies, separate bodies corporate and
politic, and state educational institutions to report on planned and
actual participation of minority and women's business enterprises
in contracts awarded by state agencies. A local unit (as defined
in IC 4-4-32.2-9) shall report on planned and actual
participation of minority and women's business enterprises in
contracts entered into under section 2(f)(11) of this chapter.
The commissioner may exclude from the reports uncertified
minority and women's business enterprises.
(6) Determine and define opportunities for minority and women's
business participation in contracts awarded by all state agencies,
separate bodies corporate and politic, and state educational
institutions.
(7) Implement programs initiated by the commission under
section 2 of this chapter.
(8) Perform other duties as defined by the commission or by the
commissioner of the department.