Bill Text: MI HB4282 | 2009-2010 | 95th Legislature | Engrossed

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Bill Title: State financing and management; purchasing; debarment process for vendors; modify. Amends sec. 264 of 1984 PA 431 (MCL 18.1264).

Spectrum: Partisan Bill (Democrat 12-0)

Status: (Introduced - Dead) 2009-06-16 - Referred To Committee On Commerce And Tourism [HB4282 Detail]

Download: Michigan-2009-HB4282-Engrossed.html

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HB-4282, As Passed House, June 11, 2009

 

 

 

 

 

 

 

 

 

 

 

SUBSTITUTE FOR

 

HOUSE BILL NO. 4282

 

 

 

 

 

 

 

 

 

 

 

 

     A bill to amend 1984 PA 431, entitled

 

"The management and budget act,"

 

by amending section 264 (MCL 18.1264), as added by 1988 PA 504.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 264. (1) The department may debar a vendor from

 

participation in the bid process and from contract award upon

 

notice and a finding that the vendor is not able to perform

 

responsibly, or that consideration for the award of a construction

 

contract or a contract for the provision of goods or services to

 

this state if, within the immediately preceding 3 years, the

 

vendor, or an officer of the vendor, or an owner of a 25% or

 

greater share of interest in the vendor , has demonstrated a lack

 

of integrity that could jeopardize the state's interest if the

 

state were to contract with the vendor. has done 1 or more of the

 

following:

 

     (a) Been convicted of a criminal offense incident to the

 

application for or performance of a state contract or subcontract.

 

     (b) Been convicted, under a state or federal statute, of

 

embezzlement, theft, forgery, bribery, falsification or destruction

 

of records, receiving stolen property, or any other similar offense

 

that indicates a lack of business integrity or business honesty

 

that currently, seriously, and directly affects responsibility as a

 

state vendor.

 

     (c) Been convicted of a violation of a state or federal

 

antitrust statute arising out of the submission of bids or

 

proposals to the state.

 

     (d) Been convicted of any other offense, or violated any other

 

state or federal law, as determined by a court of competent

 

jurisdiction or an administrative proceeding, which, in the opinion

 

of the department, indicates a lack of business integrity or

 

business honesty that currently, seriously, and directly affects

 

responsibility as a state vendor. An offense or violation under

 

this subdivision includes, but is not limited to, a willful or

 

persistent offense under or violation of 1 or more of the

 

following:

 

     (i) The natural resources and environmental protection act,

 

1994 PA 451, MCL 324.101 to 324.90106.

 

     (ii) The Michigan consumer protection act, 1976 PA 331, MCL

 

445.901 to 445.922.

 

     (iii) 1965 PA 166, MCL 408.551 to 408.558.

 

     (iv) 1978 PA 390, MCL 408.471 to 408.490.

 

     (v) The Michigan occupational safety and health act, 1974 PA

 

154, MCL 408.1001 to 408.1094.

 

     (e) Committed violations of contract provisions that the

 

department regards as so serious or compelling as to affect the

 

vendor's present ability to perform a state contract responsibly.

 

Serious and compelling violations include deliberate or consistent

 

failure without good cause to perform in accordance with the

 

specifications or within time limits provided in the contract, but

 

failure to perform or unsatisfactory performance that is caused by

 

factors beyond the control of the vendor is not grounds for

 

debarment.

 

     (f) Violated department bid solicitation procedures or

 

violated the terms of a solicitation after bid submission.

 

     (g) Deliberately or consistently refused to provide

 

information or documents required by a contract with this state,

 

including, but not limited to, information or documents necessary

 

for monitoring contract performance.

 

     (h) Deliberately or consistently failed to respond to the

 

department's requests for information regarding vendor performance

 

or to accumulated, repeated, and substantiated complaints regarding

 

performance of a contract or purchase order with this state.

 

     (i) Deliberately or consistently failed to perform a state

 

contract or subcontract in a manner consistent with any applicable

 

state or federal law, rule, or regulation.

 

     (2) If the department finds that grounds to debar a vendor

 

exist, it shall send the vendor a notice of proposed debarment

 

indicating the grounds and the procedure for requesting a hearing.

 

If the vendor does not respond with a written request for a hearing

 

within 20 calendar days of receipt of the notice, the department

 

shall issue the decision to debar without a hearing. The debarment

 

period may be of any length, up to 3 years. After the debarment

 

period expires, the vendor may reapply for inclusion on bidder

 

lists through the regular application process.

 

     (3) The department shall include its procedure for debarment

 

on the department website. The procedure shall include an

 

independent review of the proposed debarment by a reviewer who was

 

not involved in the process or decision to debar and shall indicate

 

that the debarment shall not take effect until approved by the

 

director.

 

     (4) As used in this section, "willful" means committed with an

 

intentional and knowing disregard of the requirements of the act,

 

rule, or standard, but does not require a showing of moral

 

turpitude, evil purpose, or criminal intent.