WEST virginia legislature
2017 regular session
Introduced
House Bill 2936
[Introduced March 13,
2017; Referred
to the Committee on Government Organization then Finance.]
A BILL to repeal §5A-3-10e of the Code of West Virginia, 1931, as
amended; and to amend and reenact §5A-3-11
of said code, all relating to requiring competitive bidding for all state
purchases of commodities, printing and services of $25,000 or less in cost;
repealing the provision for master contracts and approved vendors; requiring
purchases to be made at the lowest retail cost for the desired level of quality
of the commodities, printing and services; eliminating requirements for written
bids for purchases of $2,500 or less; requiring purchases to be made at the
lowest retail price available for the commodities, printing and services at the
level of quality sought by the spending unit.
Be it enacted by the Legislature
of West Virginia:
(a) The director may make a
purchase of commodities, printing and services of $25,000 or less in amount in
the open market, but the purchase shall, wherever possible, be based on at
least three competitive bids, and shall include but shall not exceed the
retail market cost of the commodity, printing or services at the level of
quality specified by the spending unit: Provided, That the cost of
maintenance and expected life of the commodities may be taken into
consideration if the director determines there are nationally accepted
industry standards for the commodities being purchased.
(b) The director may
authorize spending units Spending units shall not be required to obtain
written bids to purchase commodities, printing and services in the amount
of $2,500 or less, in the open market without competitive bids but
the spending unit must purchase the commodities, printing or services at the
lowest price, whether purchased online or within a reasonable geographic area
for that spending unit, for the commodities, printing or services, at the level
of quality specified by the spending unit: Provided, That the cost
of maintenance and expected life of the commodities must be taken into
consideration if the director determines there are nationally accepted industry
standards for the commodities being purchased.
(c) Bids that are
required shall be based on the written specifications in the advertised bid
request and may not be altered or withdrawn after the appointed hour for the
opening of the bids.
(d) A vendor who has been
debarred pursuant to the provisions of sections thirty-three-b through thirty-three-f
of this article may not bid on or be awarded a contract under this section.
(e) All open market orders
purchases based on advertised bid requests or contracts made by the director or
by a state department shall be awarded to the lowest priced responsible bidder
or bidders vendor or vendors, taking into consideration the
qualities of the commodities or services to be supplied, their conformity with
specifications, their suitability to the requirements of the government, the
delivery terms and, if the director determines there are nationally accepted
industry standards, cost of maintenance and the expected life of the
commodities: Provided, That state bids on school buses shall only be
accepted from all bidders the lowest bidder who shall then be awarded
contracts if they meet the state board's Minimum Standards for Design and
Equipment of School Buses. County boards of education may select from those
bidders who have been awarded contracts pursuant to this section and
shall pay the difference between the state aid formula amount and the actual
cost of bus replacement. Any or all bids may be rejected.
(f) If all bids received on
a pending contract are for the same unit price or total amount, the director
has the authority to reject all bids, and to purchase the required commodities,
printing and services in the open market, if the price paid in the open market
does not exceed the bid prices.
(g) The bid must be
received by the Purchasing Division prior to the specified date and time of the
bid opening. The failure to deliver or the nonreceipt of the bid by the
Purchasing Division prior to the appointed date and hour shall result in the
rejection of the bid. The vendor is solely responsible for the receipt of bid
by the Purchasing Division prior to the appointed date and hour of the bid
opening. All bids will be opened publicly by two or more persons from the
Purchasing Division. Vendors will be given notice of the day, time and place of
the public bid opening. Bids may be viewed immediately after being opened.
(h) After the award of the
order or contract, the director, or someone appointed by him or her for that
purpose, shall indicate upon the successful bid that it was the successful bid.
Thereafter, the copy of each bid in the possession of the director shall be
maintained as a public record, shall be open to public inspection in the office
of the director and may not be destroyed without the written consent of the
Legislative Auditor.
(i)(1) A grant awarded by
the state is exempt from the competitive bidding requirements set forth in this
chapter, unless the grant is used to procure commodities or services that
directly benefit a spending unit.
(2) If a grant awarded to
the state requires the procurement of commodities or services that will
directly benefit a spending unit, the procurement is not exempt from the
competitive bidding and lowest price purchase requirements set forth in
this chapter.
(3) If a grant awarded to
the state requires the state to transfer some or all of the grant to an
individual, entity or vendor as a subgrant to accomplish a public purpose, and
no contract for commodities or services directly benefitting a spending unit
will result, the subgrant is not subject to the competitive bidding
requirements set forth in this chapter.
NOTE: The purpose of this bill is
to eliminate master contracts or other statewide contracts that agencies must
currently use to purchase certain commodities. Spending units must purchase
commodities, printing and services at the lowest retail price for the spending
unit's desired level of quality within a reasonable geographical market area.
Strike-throughs indicate language
that would be stricken from a heading or the present law and underscoring
indicates new language that would be added.