Transcript 2009 GENERAL ASSEMBLY - Virginia Association of

2010 GENERAL ASSEMBLY
LEGISLATIVE SESSION
VAGP 2010 Spring Conference
Eugene Anderson
1
QUESTIONS & ANSWERS
ANYTIME
2
Procurement Bills Tracked
21 House Bills
 7 Senate Bills
 1 House Joint Bill

Bills of Interest
• 9 House Bills
• 6 Senate Bills
3
INTRODUCING
HOUSE
and
SENATE
BILLS
4
HB 139 - Purchases from Correctional
facilities by state agencies
•
Exempts purchase of products by state agencies
where the cost of purchase and installation is
>10 % over the cost of the product, and
•
Product is commonly commercially available, or
•
Insufficient supply of the articles or supplies
5
HB 398 - Virginia-grown food products
Requires DGS to establish procurement
procedures to facilitate the purchase of
Virginia-grown food products by state
agencies and institutions and local public
school divisions
 Exempts local school divisions from
competitive sealed bidding when procuring
Virginia-grown food products for student
consumption

6
HB 426 - Cooperative procurement
Prohibits a local public body from using another
local public body's contract for construction
where the cost of the project is > $200,000, and
 Other local public body is more than a straight
line distance of 75 miles from the territorial
limits of the local public body procuring the
construction
 Exempts contracts for installation of artificial turf

7
HB 460 - Minority Business Enterprise;
name change
• Changes the name of the Department of
Minority Business Enterprise to
• Department of Supplier Diversity and
Procurement Advocacy
• Moves Department to the Secretary of
Administration from the Secretary of Commerce
and Trade
8
HB 567 - State-aid construction projects

Raises the competitive bidding/competitive
negotiation dollar threshold from $30,000
to $50,000 for state-aid construction
projects
9
HB 641 - Freedom of Information Act

Provides that FOIA requests may be made
by any citizen of the United States and not
just citizens of the Commonwealth
10
HB 789 - Construction utilizing RFPs

Introduced
Increases from $1 million
to $10 million the cost of
a construction contract
for which a state or local
public body may use
competitive negotiation
instead of competitive
bidding to procure the
construction

Amended
Increases from $1 million
to $1.5 million the cost of
a construction contract
for which a state or local
public body may use
competitive negotiation
instead of competitive
bidding to procure the
construction
11
HB1331 - Efficient Government Council
Creates the Council on Efficient Government and
sets out its membership and duties
 Council shall cease to exist on July 1, 2015
 Eliminates the Commonwealth Competition
Council (HB 858)

12
SB 52 - Sale of police dogs
Exempts from the VPPA the sale by the police
department of any city, county or town of any
dog especially trained for police work to the
handler who was last in control of such dog
 At a price deemed by public body as appropriate
 Sale is not to be deemed a violation of the State
and Local Government Conflict of Interests Act

13
SB 703 - Hiring local residents

Authorizes a locality to develop and
implement a bidding system providing a
preference to construction contractors that
hire residents of the locality or the
Commonwealth
Continued to 2011
14
HEADACHE BILLS
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HB
HB
HB
HB
HB
HB
HB
423
519
542
615
831
858
990
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HB1228
HB 1279
SB 225
SB 378
SB 658
SB 691
15
HB 423 - Food standards for agency meals



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Directs the Secretary of Health & Human Resources
to develop a Food Standards Task Force
To consist of heads of all state agencies and
institutions that purchase, prepare, or serve food
To include recommendations for the use of Virginiagrown food products to the greatest extent possible
"Virginia-grown foods" means substances and
products used by humans as food and drink that are
planted, cultivated, harvested, raised, or collected
within Virginia
Directs DPS to adopt regulations and enforce
16
HB 519 - Enhancement measures for
women-owned & minority-owned businesses

Includes women-owned and minority-owned
businesses in considerations for procurement
enhancements or remedial measures

Authorizes DMBE to enforce the implementation
of any enhancements or remedial measures
17
HB 542 - Retired military personnel-owned
businesses

Includes retired military personnel-owned
businesses in the procurement opportunities and
certification process currently in place for small,
women-owned, and minority-owned businesses
18
HB 615 - Subcontracting by SWaM and
Disabled Veteran-owned businesses

When soliciting or awarding contracts to SWaM
or service disabled veteran-owned businesses,
all public bodies shall include in every such
contract the following:

"During the performance of this contract, the
contractor agrees that no more than 20 percent
of the contracted work will be subcontracted to
a Non-SWaM or service disabled veteran-owned
business”
19
HB 615 - Continued...

Except where there is a bona fide occupational
qualification reasonably necessary to the normal
operation of the contractor

The contractor agrees to post notices setting
forth these requirements
20
HB 831 - Foreign businesses conducting business
in VA Introduced
Prohibits a foreign entity from:
 bidding
 entering into
 amending
 or renewing a contract
 unless foreign entity provides a copy of a valid certificate
or authority or registration to conduct business in VA
 Foreign entity must maintain certificate during the term of a
contract and for five years after its term is completed
 A contract entered into by a business in violation of the
requirements is voidable at the option of the public body

21
HB 831- Substitute
For competitive sealed bidding or competitive
negotiation
 Include the State Corporation Commission ID number
 If not required to register with the SCC bidder/offeror
shall include a statement describing why
 If bidder/offeror fails to provide the required information
 no award unless
 waiver is granted by the Director of DGS or his
designee or by the chief executive of a local
governing body
 During the term of the contract, maintain a valid
certificate of incorporation, certificate of organization, or
authority to transact business VA as required by the SCC

22
HB 858 - Procurement from private sector

Requires the Director of DPS to require each state
agency, except law-enforcement agencies, to
procure non-professional services from the private
sector if such services are listed in the
Commonwealth Competition Council's list

Provides that upon a written determination made in
advance by a state agency that the procurement of
services from a commercial source is neither
practicable nor fiscally advantageous, such service
may continue to be performed by the state agency
23
HB 990 - eVA fee schedule

Requires the DGS to establish a fee schedule
limited to 0.5 percent of the total purchase order
for all procurement contracts made with its webbased electronic procurement program
commonly known as "eVA"

Eliminates any vendor registration fee to
participate in the program
24
SB 225 - e-Verify
• Requires all public contractors and
subcontractors to register and participate in a
federal Electronic Work Verification Program or
similar program to determine that employees
and individual independent contractors are
legally eligible for employment in the U.S.

Contractors who do not register and participate
in the registration program are ineligible for
prequalification
25
SB 691 -
SWaM subcontracting
Requires state contracts awarded pursuant to
enhancement or remedial measures
implemented to enhance participation SWaMs to
include a requirement that no more than 60% of
the work be subcontracted to another contractor
except under certain circumstances
 Authorizes DMBE to investigate complaints and if
in violation authorizes the Director to revoke
certification as a SWaM for 1 year

26
SB 691 - Continued…
Any enhancement or remedial measure require
the state agency to solicit bids from all qualified
vendors and not be limited to bids submitted by
SWaM businesses
 Any enhancement or remedial measure cannot
exceed 3% of the total value of all vendor
contracts calculated against the costs of
accepting the lowest competent and qualifying
bids

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OK
Sandra
, Pete
and
Maure
en
PROJECT
Hub Zones
4 bis in tota
 2 bis for Hub Zones
in VA
 1 bi for Hub Zones
in U.S.
 2 bis for SWaMs in
Hub Zones

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HB

1228
-
HUB Zones
Requires DGS, in conjunction with DMBE, to develop
a program that insures that at least 15 percent of
state procurement contracts are awarded to small
businesses located in historically underutilized
business zones
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HB 1279 -
•
Hub Zones
Requires DGS, in conjunction with DMBE, to develop a
program that insures that at least 15 percent of state
procurement contracts are awarded to SWaM businesses
located in historically underutilized business zones
Requirements:

50%+ Business assets located in VA

50%+ Employees located VA Hub Zone overlay districts

50%+ Owners are residents of VA

Limits on annual gross receipts
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SB

378
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HUB Zones
Requires DGS, in conjunction with DMBE, to
develop a program that insures that at least 15
percent of state procurement contracts are
awarded to SWaM businesses located in
historically underutilized business zones in
Virginia
 (Roed into SB658)
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SB 658 - HUB Zones
Introduced

Requires DGS, in conjunction with DMBE, to
develop a program that insures that at least 15
percent of state procurement contracts are
awarded to small businesses located in HUB
Zones in Virginia
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SB 658 - Amendment

"HUB Zone" means an area in Virginia as
determined by the U.S. Small Business
Administration pursuant to relevant federal law

A public body may rely upon the accuracy of the
information made available by the U.S. SBA

Establish procurement regulations for the
utilization of small businesses located in HUB
Zones in Virginia
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SB 658 - Amended
Continued

All public bodies may establish programs to facilitate
the participation of small businesses located in HUB
Zones in Virginia

Programs established shall be in writing and shall
comply with the provisions of any enhancement or
remedial measures authorized by the Governor or by
the chief executive of a local governing body, and
shall include specific plans to achieve any goals
established

The Department of Minority Business Enterprise
shall certify eligible small businesses for
participation in the program
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BILLS of INTEREST
35
SB 272- Biodiesel or green diesel fuel
Requires state public bodies to procure only diesel
fuel containing, at a minimum, 2%, by volume,
biodiesel fuel or green diesel fuel
 Only apply to procurements of diesel fuel for use
in on-road internal combustion engines
 Shall not apply if


(i) such fuel is not practically available or
(ii) the cost of such procurement exceeds the cost of
unblended diesel fuel by 5% or more
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Sustainability
SB 272- Continued…

Governor may increase the requirement of biodiesel fuel
or green diesel fuel up to 20% by volume

Effective upon an appropriation of general funds
effectuating the purposes of the bill passed by the 2010
General Assembly
37
SB 109 - Green Buildings

Requires executive branch agencies and
institutions entering the design phase for
construction of a new building greater
than 5,000 gross square feet in size, or
renovating such a building where the cost
of renovation exceeds 50 percent of the
value of the building, to meet standards at
least as stringent as the LEED or Green
Globes standards
38
HB 1032 - Capital outlay
review and approval process

Provides that construction projects with a
total cost less than $750,000 be exempt from
the capital outlay review and approval process
under certain conditions
39
HB 480 - Commonwealth Transportation Board

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Conduct third party audits of bidding process for
PPTA agreements
Advertise where the project will be located
Rebid if a change order > 25% or $1 million,
whichever is less, over the original contract
Limits extensions to two years past the original
completion date
Requires all agreements to include standard
30% SWaM participation
40
HB 402 - Unsolicited proposals
Directs the Virginia Department of
Transportation to accept for review unsolicited
proposals to add capacity to the Hampton Roads
Bridge-Tunnel
41
HB 1019 - Alternative Dispute Resolution
Claims related to a construction contract entered
into by or on behalf of the VCCS for which the
System has not made a final decision in the time
period specified, shall be submitted for
arbitration, mediation, or ADR
 Does not limit the contractor's right to institute
immediate legal action
 Limited to claims submitted to the VCCS prior to
February 1, 2010

Continued to 2011
42
HJ 60 - Collective Contracting for Schools

Directs JLARC to study the feasibility and
effectiveness of requiring local school divisions
to contract collectively in certain areas of
procurement
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Thank-You
44