Citations Affected: IC 4-13.6-2-13; IC 5-22-14.1; IC 5-22-15-23.
Synopsis: State contracting with disabled veterans. Authorizes a state
agency to set aside certain contracts for supplies or services to service
disabled veteran owned (SDVO) small businesses. Permits the
department of administration to designate certain public works projects
as an SDVO small business set-aside. Provides that to qualify for a
set-aside contract, the SDVO small business must: (1) be owned and
controlled by a service disabled veteran who is a resident of Indiana;
and (2) have a current verification as an SDVO small business by the
United States Department of Veterans Affairs Center of Veterans
Enterprise. Provides, with certain exceptions, a state agency must set
a goal for participation by SDVO small businesses of at least 3% of the
overall dollar amount expended each state fiscal year by the state
agency for purchases. Provides that the Indiana economic development
corporation may assist a state agency by: (1) compiling a list of SDVO
small business; (2) assisting an SDVO small business in complying
with the procedures for bidding on governmental contracts; (3)
examining requests from state agencies for the purchase of supplies or
services to help determine which purchases are to be designated SDVO
small business set-asides; and (4) simplifying specifications and
contract terms to increase the opportunities for SDVO small business
participation in governmental contracts. Requires the department of
administration, beginning in 2012, to submit an annual report to the
legislative council and the governor. Provides that a SDVO small
business may not receive an Indiana small business price preference on
purchases designated as an SDVO small business set-aside.
Effective: Upon passage; July 1, 2011.
January 5, 2011, read first time and referred to Committee on Homeland Security,
Transportation & Veterans Affairs.
A BILL FOR AN ACT to amend the Indiana Code concerning state
and local administration.
JULY 1, 2011]:
Chapter 14.1. Indiana Service Disabled Veteran Owned Small
Business Set-Aside Purchases
Sec. 1. As used in this chapter, "SDVO small business" means
a service disabled veteran owned small business that meets the
requirements of section 5 of this chapter.
Sec. 2. As used in this chapter, "SDVO small business set-aside"
means a purchase in which the solicitation states that offers will be
accepted only by SDVO small businesses.
Sec. 3. As used in this chapter, "service disabled veteran" has
the meaning set forth in 15 U.S.C. 632(q)(1) as in effect January 1,
2011.
Sec. 4. As used in this chapter, "service disabled veteran owned
small business" means a small business concern owned and
controlled by a service disabled veteran (as defined in 15 U.S.C.
632(q)(2)) as in effect January 1, 2011.
Sec. 5. To qualify as an SDVO small business for purposes of
this chapter, a service disabled veteran owned small business must:
(1) be owned and controlled by a service disabled veteran who
is a resident of Indiana; and
(2) have a current verification as a service disabled veteran
owned small business under 38 CFR 74 et seq. by the United
States Department of Veterans Affairs Center of Veterans
Enterprise.
Sec. 6. (a) A state agency may identify as an SDVO small
business set-aside specific supplies or services for which a purchase
has been requested under this article.
(b) An SDVO small business must meet the requirements
provided in section 5 of this chapter at the time the solicitation for
the purchase is issued, and the public notice of the purchase must
state that the purchase is an SDVO small business set-aside.
Sec. 7. If a purchase is designated as an SDVO small business
set-aside, the solicitation must be confined to SDVO small
businesses.
Sec. 8. A purchasing agent may not designate a purchase as an
SDVO small business set-aside unless there is a reasonable
expectation that offers will be obtained from at least two (2) SDVO
small businesses capable of furnishing the desired supplies or
service at a fair and reasonable price.
Sec. 9. (a) Except as provided in subsection (b), each state
agency shall set a goal for participation by SDVO small businesses
of at least three percent (3%) of the overall dollar amount
expended each state fiscal year by the state agency for purchases.
(b) A state agency is not required to meet the goal described in
subsection (a) if the state agency:
(1) determines that the goal is not consistent with the goals of
delivering the supplies or services within a timely manner and
within the budgeted amount; or
(2) exercising financial prudence, determines that it is unable
to meet the goal established by subsection (a).
Sec. 10. A contract shall be awarded to the lowest responsible
and responsive offeror among the SDVO small businesses in
accordance with the rules of the Indiana department of
administration.
Sec. 11. If a purchasing agent determines that acceptance of the
lowest responsible and responsive offer will result in the payment
of an unreasonable price, the purchasing agent shall reject all
offers and may withdraw designation of the purchase as an SDVO
small business set-aside.
Sec. 12. A purchase from an SDVO small business under this
chapter is subject to:
(1) all other provisions of this article; and
(2) the rules of the Indiana department of administration.
If there is a conflict between the laws described in subdivisions (1)
and (2) and this chapter, this chapter governs.
Sec. 13. An SDVO small business may not receive a price
preference under IC 5-22-15-23 for purchases designated as an
SDVO small business set-aside under this chapter.
Sec. 14. The Indiana economic development corporation may
assist a state agency in doing any of the following:
(1) Compiling and maintaining a comprehensive list of SDVO
small businesses.
(2) Assisting SDVO small businesses in complying with the
procedures for bidding on governmental contracts.
(3) Examining requests from state agencies for the purchase
of supplies or services to help determine which purchases are
to be designated SDVO small business set-asides.
(4) Simplifying specifications and contract terms to increase
the opportunities for SDVO small business participation in
governmental contracts.
Sec. 15. (a) The Indiana department of administration shall
annually evaluate the progress of each state agency in meeting the
goal provided in section 9 of this chapter for the previous state
fiscal year.