Bill Text: OR SB422 | 2011 | Regular Session | Introduced

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Bill Title: Relating to insurance requirements in public contracts for professional services; declaring an emergency.

Sponsorship: Unknown

Status: (Failed) 2011-06-30 - In committee upon adjournment. [SB422 Detail]

Download: Oregon-2011-SB422-Introduced.html

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     76th OREGON LEGISLATIVE ASSEMBLY--2011 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 2782

                         Senate Bill 422

Printed pursuant to Senate Interim Rule 213.28 by order of the
  President of the Senate in conformance with presession filing
  rules, indicating neither advocacy nor opposition on the part
  of the President (at the request of Senate Interim Committee on
  Judiciary)

                             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.

  Prohibits contracting agency from requiring contractor in
contract for architectural, engineering and land surveying
services or related services to obtain and maintain in force
liability insurance with combined single limit that exceeds $1
million unless contracting agency makes determination after
considering certain factors or unless contracting agency pays
portion of premium cost that is attributable to increased
combined single limit.
  Becomes operative January 1, 2012.
  Declares emergency, effective on passage.

                        A BILL FOR AN ACT
Relating to insurance requirements in public contracts for
  professional services; and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
  SECTION 1.  { + Section 2 of this 2011 Act is added to and made
a part of ORS 279C.100 to 279C.125. + }
  SECTION 2.  { + (1) Except as provided in subsections (2) and
(3) of this section, a contracting agency may not require in a
contract for architectural, engineering and land surveying
services or related services that a contractor obtain and
maintain in force insurance for general liability or professional
liability with a combined single limit that exceeds $1 million.
  (2) A contracting agency may require insurance with a combined
single limit that exceeds $1 million if the contracting agency
demonstrates that the contracting agency has considered the
amount of the contract price, the type of service specified in
the procurement and the cost to the contractor of obtaining the
insurance and has determined that a higher combined single limit
is appropriate.
  (3) A contracting agency may require a contractor to obtain
insurance with a combined single limit that exceeds $1 million if
the contracting agency pays for the portion of the cost of the
insurance premium that is attributable to raising the amount of
the combined single limit above $1 million. + }
  SECTION 3.  { + Section 2 of this 2011 Act applies to contracts
for architectural, engineering and land surveying services or
related services that a contracting agency first advertises or
otherwise solicits on or after the operative date specified in
section 4 of this 2011 Act or, if the contracting agency does not
advertise or solicit the contract, to contracts that the
contracting agency first enters into on or after the operative
date specified in section 4 of this 2011 Act. + }
  SECTION 4.  { + (1) Section 2 of this 2011 Act becomes
operative on January 1, 2012.
  (2) The Director of the Oregon Department of Administrative
Services, the Attorney General 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 to enable the director, the Attorney General 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 director, the Attorney
General or the contracting agency by section 2 of this 2011
Act. + }
  SECTION 5.  { + This 2011 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2011 Act takes effect on its
passage. + }
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