Bill Text: OR HB2127 | 2013 | Regular Session | Introduced


Bill Title: Relating to determinations of responsibility for contractors on public improvement contracts; declaring an emergency.

Spectrum: Committee Bill

Status: (Failed) 2013-07-08 - In committee upon adjournment. [HB2127 Detail]

Download: Oregon-2013-HB2127-Introduced.html


     77th OREGON LEGISLATIVE ASSEMBLY--2013 Regular Session

NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .

LC 1404

                         House Bill 2127

Introduced and printed pursuant to House Rule 12.00. Presession
  filed (at the request of House Interim Committee on Health
  Care)

                             SUMMARY

The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.

  Requires contracting agency to base determination of
contractor's responsibility for public improvement contract on
contractor's demonstration that contractor provided health
insurance to contractor's employees for period of two years
before contractor submitted bid for public improvement contract.
  Specifies exemptions for certain bidders.
  Becomes operative January 2, 2014.
  Declares emergency, effective on passage.

                        A BILL FOR AN ACT
Relating to determinations of responsibility for contractors on
  public improvement contracts; creating new provisions; amending
  ORS 279C.375; and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 279C.375 is amended to read:
  279C.375. (1) After a contracting agency has opened bids and
determined that the contracting agency will award a public
improvement contract, the contracting agency shall award the
contract to the lowest responsible bidder.
  (2) At least seven days before awarding a public improvement
contract, unless the contracting agency determines that seven
days is impractical under rules adopted under ORS 279A.065, the
contracting agency shall issue to each bidder or post,
electronically or otherwise, a notice of the contracting agency's
intent to award a contract. This subsection does not apply to a
contract to which competitive bidding does not apply under ORS
279C.335 (1)(c) or (d). The notice and the manner in which the
 { +  contracting agency posts or issues the  + }notice   { - is
posted or issued - }  must conform to rules adopted under ORS
279A.065.
  (3) In determining the lowest responsible bidder, a contracting
agency shall do all of the following:
  (a) Check the list created by the Construction Contractors
Board under ORS 701.227 for bidders who are not qualified to
  { - hold - }  { +  receive + } a public improvement contract.
  (b) Determine whether the bidder is responsible. A responsible
bidder must demonstrate to the contracting agency that the
bidder:

  (A) Has available the appropriate financial, material,
equipment, facility and personnel resources and expertise, or has
the ability to obtain the resources and expertise, necessary to
meet all contractual responsibilities.
  (B) Holds current licenses that businesses or service
professionals operating in this state must hold in order to
undertake or perform the work specified in the contract.
  (C) Is covered by liability insurance and other insurance in
amounts the contracting agency requires in the solicitation
documents.
  (D) Qualifies as a carrier-insured employer or a self-insured
employer under ORS 656.407 or has elected coverage under ORS
656.128.
   { +  (E) Provided health insurance to the bidder's employees
for a period of two years before the date on which the bidder
submitted the bid for the public improvement contract. The
requirement set forth in this subparagraph does not apply to a
bidder that employs 25 or fewer employees or that has existed for
less than two years before submitting the bid for the public
improvement contract. + }
    { - (E) - }  { +  (F) + }   { - Has - }  Made the disclosure
required under ORS 279C.370.
    { - (F) - }  { +  (G) + } Completed previous contracts of a
similar nature with a satisfactory record of performance. For
purposes of this subparagraph, a satisfactory record of
performance means that to the extent that the costs associated
with and time available to perform a previous contract remained
within the bidder's control, the bidder stayed within the time
and budget allotted for the procurement and otherwise performed
the contract in a satisfactory manner. The contracting agency
shall document the bidder's record of performance if the
contracting agency finds under this subparagraph that the bidder
is not responsible.
    { - (G) - }  { +  (H) + } Has a satisfactory record of
integrity. The contracting agency in evaluating the bidder's
record of integrity may consider, among other things, whether the
bidder has previous criminal convictions for offenses related to
obtaining or attempting to obtain a contract or subcontract or in
connection with the bidder's performance of a contract or
subcontract. The contracting agency shall document the bidder's
record of integrity if the contracting agency finds under this
subparagraph that the bidder is not responsible.
    { - (H) - }  { +  (I) + } Is legally qualified to contract
with the contracting agency.
    { - (I) - }  { +  (J) + } Supplied all necessary information
in connection with the inquiry concerning responsibility. If a
bidder fails to promptly supply information concerning
responsibility that the contracting agency requests, the
contracting agency shall determine the bidder's responsibility
based on available information, or may find that the bidder is
not responsible.
  (c) Document the contracting agency's compliance with the
requirements of paragraphs (a) and (b) of this subsection in
substantially the following form:
_________________________________________________________________

____NOTE_TO_WEB_CUSTOMERS:__________________________________
THE FOLLOWING TABULAR TEXT MAY BE IRREGULAR.
FOR COMPLETE INFORMATION PLEASE SEE THE PRINTED MEASURE.
_______________________________________________________________

                RESPONSIBILITY DETERMINATION FORM

Project Name: ________
Bid Number: ________
Business Entity Name: ________
CCB License Number: ________
Form Submitted By (Contracting Agency): ________
Form Submitted By (Contracting Agency Representative's Name):
________
     Title: ________
     Date: ________
     (The contracting agency must submit this form with
attachments, if any, to the Construction Contractors Board within
30 days after the date of contract award.)
     The contracting agency has (check all of the following):

____NOTE_TO_WEB_CUSTOMERS:__________________________________
THE FOLLOWING TABULAR TEXT MAY BE IRREGULAR.
FOR COMPLETE INFORMATION PLEASE SEE THE PRINTED MEASURE.
_______________________________________________________________

  ?  Checked the list created by the
     Construction Contractors Board
     under ORS 701.227 for bidders who
     are not qualified to  hold  receive a public
     improvement contract.
  ?  Determined whether the bidder has
     met the standards of responsibility.
     In so doing, the contracting agency
     has found that the bidder
     demonstrated that the bidder:
     ? Has available the appropriate
       financial, material, equipment,
       facility and personnel resources
       and expertise, or the ability to
       obtain the resources and
       expertise, necessary to meet
       all contractual responsibilities.
     ? Holds current licenses that
       businesses or service professionals
       operating in this state must hold
       in order to undertake or perform
       the work specified in the contract.
     ? Is covered by liability insurance
       and other insurance in amounts
       required in the solicitation
       documents.
     ? Qualifies as a carrier-insured
       employer or a self-insured
       employer under ORS 656.407 or has
       elected coverage under ORS 656.128.
     ?  { +
Provided health insurance
       to the bidder's employees for a
       period of two years before
       submitting the bid, unless
       exempted under
       ORS 279C.375 (3)(b)(E). + }
     ?  ?{ -
Has - }
  Disclosed the bidder's first-
       tier subcontractors in accordance
       with ORS 279C.370.
     ? Has a satisfactory record of
       performance.
     ? Has a satisfactory record of
       integrity.
     ? Is legally qualified to contract
       with the contracting agency.

     ?  ?{ -
Has - }
  Supplied all necessary
       information in connection with
       the inquiry concerning
       responsibility.
  ?  Determined the bidder to be
     (check one of the following):
     ? Responsible under ORS 279C.375
       (3)(a) and (b).
     ? Not responsible under
       ORS 279C.375 (3)(a) and (b).
____________________________________________________________
END OF POSSIBLE IRREGULAR TABULAR TEXT
____________________________________________________________
  (Attach documentation if the contracting agency finds the
bidder not to be responsible.)
_________________________________________________________________

  (d) Submit the form described in paragraph (c) of this
subsection, with any attachments, to the Construction Contractors
Board within 30 days after the date the contracting agency awards
the contract.
  (4) The successful bidder shall:
  (a) Promptly execute a formal contract; and
  (b) Execute and deliver to the contracting agency a performance
bond and a payment bond when required under ORS 279C.380.
  (5) Based on competitive bids, a contracting agency may award a
public improvement contract or may award multiple public
improvement contracts when specified in the invitation to bid.
  (6) A contracting agency may not exclude a commercial
contractor from competing for a public contract on the basis that
the license issued by the Construction Contractors Board is
endorsed as a level 1 or level 2 license. As used in this
  { - section - }  { +  subsection + }, 'commercial contractor'
has the meaning given that term in ORS 701.005.
  SECTION 2.  { + The amendments to ORS 279C.375 by section 1 of
this 2013 Act apply to contracts that a contracting agency first
advertises or otherwise solicits or, if the contracting agency
does not advertise or solicit the contract, to a contract that
the contracting agency first enters on or after the effective
date of this 2013 Act. + }
  SECTION 3.  { + (1) The amendments to ORS 279C.375 by section 1
of this 2013 Act become operative on January 2, 2014.
  (2) The Attorney General, the Director of the Oregon Department
of Administrative Services, the Director of Transportation or a
contracting agency that adopts rules under ORS 279A.065 may take
any action before the operative date specified in subsection (1)
of this section that is necessary for the Attorney General, the
director or the contracting agency to exercise, on and after the
operative date specified in subsection (1) of this section, all
of the duties, functions and powers conferred on the Attorney
General, the director or the contracting agency by the amendments
to ORS 279C.375 by section 1 of this 2013 Act. + }
  SECTION 4.  { + This 2013 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2013 Act takes effect on its
passage. + }
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