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S.B. 216 Enrolled

                 

AMENDMENTS TO UTAH EMERGENCY

                 
MEDICAL SERVICES ACT

                 
2005 GENERAL SESSION

                 
STATE OF UTAH

                 
Chief Sponsor: Curtis S. Bramble

                 
House Sponsor: Rebecca D. Lockhart

                 
                  LONG TITLE
                  General Description:
                      This bill amends the Utah Emergency Medical Services System Act to clarify the
                  procurement procedures that must be followed by a political subdivision issuing a
                  request for proposal for emergency 911 ambulance services.
                  Highlighted Provisions:
                      This bill:
                      .    amends definitions;
                      .    clarifies that the procurement process must be based on competitive sealed
                  proposals;
                      .    requires a presubmission conference;
                      .    requires fair treatment of all proposers;
                      .    prohibits certain requirements in the request for proposals;
                      .    requires certain information in the response to requests for proposals;
                      .    clarifies the appeal rights for the selection of a proposer; and
                      .    gives the State Appeals Board jurisdiction to review an appeal of the political
                  subdivision's selection.
                  Monies Appropriated in this Bill:
                      None
                  Other Special Clauses:
                      This bill provides an immediate effective date.
                  Utah Code Sections Affected:


                  AMENDS:
                      26-8a-405.1, as last amended by Chapter 277, Laws of Utah 2004
                      26-8a-405.2, as last amended by Chapter 277, Laws of Utah 2004
                  ENACTS:
                      26-8a-405.3, Utah Code Annotated 1953
                  Uncodified Material Affected:
                  ENACTS UNCODIFIED MATERIAL
                 
                  Be it enacted by the Legislature of the state of Utah:
                      Section 1. Section 26-8a-405.1 is amended to read:
                       26-8a-405.1. Selection of provider by political subdivision.
                      (1) For purposes of this section and [Section] Sections 26-8a-405.2 and 26-8a-405.3 :
                      (a) "911 ambulance or paramedic services" means either 911 ambulance service, or 911
                  paramedic service, or both and:
                      (i) means a 911 call received by a designated dispatch center that receives 911 or E911
                  calls; and
                      (ii) does not mean a seven digit telephone call received directly by an ambulance
                  provider licensed under this chapter;
                      (b) "political subdivision" means:
                      (i) a city or town located in a county of the first or second class as defined in Section
                  17-50-501 ;
                      (ii) a county of the first or second class;
                      (iii) the following districts or service areas located in a county of the first or second class:
                      (A) a special service district created under Title 17A, Chapter 2, Part 13, Utah Special
                  Service District Act;
                      (B) a local district created under Title 17B, Chapter 2, Local Districts, for the purpose of
                  providing fire protection, paramedic, and emergency services; and
                      (C) a county service area created under Title 17A, Chapter 2, Part 4, County Service


                  Area Act, for the purpose of providing fire protection, paramedic, and emergency services; or
                      (iv) areas coming together as described in Subsection 26-8a-405.2 (2)(b)(ii)[.];
                      (v) municipalities and counties joining together pursuant to Title 11, Chapter 13,
                  Interlocal Cooperation Act; or
                      (vi) a special district for fire protection as defined in Section 17A-2-1304 .
                      (2) (a) Only an applicant approved under Section 26-8a-405 may respond to a request for
                  a proposal for 911 ambulance or paramedic services issued in accordance with Section
                  26-8a-405.2 by a political subdivision.
                      (b) A response to a request for proposal is subject to the maximum rates established by
                  the department under Section 26-8a-403 .
                      (c) A political subdivision may award a contract to an applicant for the provision of 911
                  ambulance or paramedic services:
                      (i) in accordance with Section 26-8a-405.2 ; and
                      (ii) subject to Subsection (3).
                      (3) (a) The department shall issue a license to an applicant selected by a political
                  subdivision under Subsection (2) unless the department finds that issuing a license to that
                  applicant would jeopardize the health, safety, and welfare of the citizens of the geographic
                  service area.
                      (b) A license issued under this Subsection (3):
                      (i) is for the exclusive geographic service area approved by the department in accordance
                  with Subsection 26-8a-405.2 [(3)](2);
                      (ii) is valid for four years;
                      (iii) is not subject to a request for license from another applicant under the provisions of
                  Sections 26-8a-406 through 26-8a-409 during the four-year term, unless the applicant's license is
                  revoked under Section 26-8a-504 ; and
                      (iv) is subject to supervision by the department under Sections 26-8a-503 and 26-8a-504 .
                      (4) [The] Except as provided in Subsection 26-8a-405.3 (4)(a), the provisions of Sections
                  26-8a-406 through 26-8a-409 do not apply to a license issued under this section.


                      Section 2. Section 26-8a-405.2 is amended to read:
                       26-8a-405.2. Selection of provider -- Request for competitive sealed proposal --
                  Public convenience and necessity.
                      (1) (a) A political subdivision may contract with an applicant approved under Section
                  26-8a-404 to provide 911 ambulance or paramedic services for the geographic service area that is
                  approved by the department in accordance with Subsection (2), if the political subdivision
                  complies with the provisions of this section and Section 26-8a-405.3 .
                      (b) The provisions of this section and [Section] Sections 26-8a-405.1 and 26-8a-405.3 do
                  not require a political subdivision to issue a request for proposal for ambulance or paramedic
                  services. If a political subdivision does not contract with an applicant in accordance with this
                  section and Section 26-8a-405.3 , the provisions of Sections 26-8a-406 through 26-8a-409 apply
                  to the issuance of a license for ambulance or paramedic services in the geographic service area
                  that is within the boundaries of the political subdivision.
                      (c) (i) For purposes of this Subsection (1)(c):
                      (A) "local district" and "county service area" are defined in Subsection
                  26-8a-405.1 (1)(b)(iii);
                      (B) "participating municipality" means a city or town whose area is partly or entirely
                  included within a county service area or local district; and
                      (C) "participating county" means a county whose unincorporated area is partly or entirely
                  included within a county service area or local district.
                      (ii) A participating municipality or participating county may contract with a provider for
                  911 ambulance or paramedic service as provided in this section and Section 26-8a-405.3 .
                      (iii) If the participating municipality or participating county contracts with a provider for
                  911 ambulance or paramedic services under this section and Section 26-8a-405.3 :
                      (A) the county service area or local district is not obligated to provide the ambulance or
                  paramedic services that are included in the contract between the participating municipality or the
                  participating county and the 911 ambulance or paramedic provider;
                      (B) the county service area and local district may impose taxes and obligations within the


                  county service area or local district in the same manner as if the participating municipality or
                  participating county were receiving all services offered by the local district or county service
                  area; and
                      (C) the participating municipality's and participating county's obligations to the local
                  district or county service area are not diminished.
                      (2) (a) The political subdivision shall submit the request for proposal and the exclusive
                  geographic service area to be included in the request for proposal to the department for approval
                  prior to issuing the request for proposal. The department shall approve the request for proposal
                  and the exclusive geographic service area:
                      (i) unless the geographic service area creates an orphaned area; and
                      (ii) in accordance with Subsections (2)(b) and (c).
                      (b) The exclusive geographic service area may:
                      (i) include the entire geographic service area that is within the political subdivision's
                  boundaries;
                      (ii) include islands within or adjacent to other peripheral areas not included in the
                  political subdivision that governs the geographic service area; or
                      (iii) exclude portions of the geographic service area within the political subdivision's
                  boundaries if another political subdivision or licensed provider agrees to include the excluded
                  area within their license.
                      (c) The proposed geographic service area for 911 ambulance or paramedic service must
                  demonstrate that non-911 ambulance or paramedic service will be provided in the geographic
                  service area, either by the current provider, the applicant, or some other method acceptable to the
                  department. The department may consider the effect of the proposed geographic service area on
                  the costs to the non-911 provider and that provider's ability to provide only non-911 services in
                  the proposed area.
                      [(3) (a) (i) A political subdivision may select an applicant approved by the department
                  under Section 26-8a-404 to provide 911 ambulance or paramedic services by contract let to the
                  lowest, responsive, and responsible bidder after publication of notice at least once a week for


                  three consecutive weeks in a newspaper of general circulation published in the county, or if there
                  is no such newspaper, then after posting such notice for at least 20 days in at least five public
                  places in the county.]
                      [(ii) The applicants who are approved under Section 26-8a-405 and who are selected
                  under Subsection (3)(a)(i) may be the political subdivision issuing the request for proposal, or
                  any other public entity or entities, any private person or entity, or any combination thereof.]
                      [(b) A political subdivision may reject all of the bids.]
                      [(4) In seeking bids and awarding contracts under this section, a political subdivision:]
                      [(a) shall follow the provisions of Section 63-56-20 ;]
                      [(b) shall consider the public convenience and necessity factors listed in Subsections
                  26-8a-408 (2), (3), and (4);]
                      [(c) shall require the applicant responding to the bid to disclose how the applicant will
                  meet performance standards in the request for proposal;]
                      [(d) may not require or restrict an applicant to a certain method of meeting the
                  performance standards; and]
                      [(e) (i) shall require an applicant to submit the bid based on full cost accounting in
                  accordance with generally accepted accounting principals; and]
                      [(ii) if the applicant is a governmental entity, in addition to the requirements of
                  Subsection (4)(e)(i), in accordance with generally accepted government auditing standards and in
                  compliance with the State of Utah Legal Compliance Audit Guide.]
                      Section 3. Section 26-8a-405.3 is enacted to read:
                      26-8a-405.3. Use of competitive sealed proposals -- Procedure -- Appeal rights.
                      (1) (a) Competitive sealed proposals for paramedic or 911 ambulance services under
                  Section 26-8a-405.2 shall be solicited through a request for proposal and the provisions of this
                  section.
                      (b) The governing body of the political subdivision shall approve the request for proposal
                  prior to the notice of the request for proposals under Subsection (1)(c).
                      (c) Notice of the request for proposals must be published at least once a week for three


                  consecutive weeks in a newspaper of general circulation published in the county, or if there is no
                  such newspaper, then notice must be posted for at least 20 days in at least five public places in
                  the county.
                      (2) (a) Proposals shall be opened so as to avoid disclosure of contents to competing
                  offerors during the process of negotiations.
                      (b) (i) Subsequent to the published notice, and prior to selecting an applicant, the
                  political subdivision must hold a presubmission conference with interested applicants for the
                  purpose of assuring full understanding of, and responsiveness to, solicitation requirements.
                      (ii) A political subdivision shall allow at least 90 days from the presubmission
                  conference for the proposers to submit proposals.
                      (c) Subsequent to the presubmission conference, the political subdivision may issue
                  addenda to the request for proposals. An addenda to a request for proposal must be finalized and
                  posted by the political subdivision at least 45 days prior to the date on which the proposal must
                  be submitted.
                      (d) Offerors to the request for proposals shall be accorded fair and equal treatment with
                  respect to any opportunity for discussion and revisions of proposals, and revisions may be
                  permitted after submission and before a contract is awarded for the purpose of obtaining best and
                  final offers.
                      (e) In conducting discussions, there shall be no disclosures of any information derived
                  from proposals submitted by competing offerors.
                      (3) (a) (i) A political subdivision may select an applicant approved by the department
                  under Section 26-8a-404 to provide 911 ambulance or paramedic services by contract to the most
                  responsible offeror as defined in Subsection 63-56-5 (24).
                      (ii) An award under Subsection (3)(a)(i) shall be made to the responsible offeror whose
                  proposal is determined in writing to be the most advantageous to the political subdivision, taking
                  into consideration price and the evaluation factors set forth in the request for proposal.
                      (b) The applicants who are approved under Section 26-8a-405 and who are selected
                  under this section may be the political subdivision issuing the request for competitive sealed


                  proposals, or any other public entity or entities, any private person or entity, or any combination
                  thereof.
                      (c) A political subdivision may reject all of the competitive proposals.
                      (4) In seeking competitive sealed proposals and awarding contracts under this section, a
                  political subdivision:
                      (a) shall apply the public convenience and necessity factors listed in Subsections
                  26-8a-408 (2) through (6);
                      (b) shall require the applicant responding to the proposal to disclose how the applicant
                  will meet performance standards in the request for proposal;
                      (c) may not require or restrict an applicant to a certain method of meeting the
                  performance standards, including:
                      (i) requiring ambulance medical personnel to also be a firefighter; or
                      (ii) mandating that offerors use fire stations or dispatch services of the political
                  subdivision;
                      (d) (i) shall require an applicant to submit the proposal based on full cost accounting in
                  accordance with generally accepted accounting principals; and
                      (ii) if the applicant is a governmental entity, in addition to the requirements of
                  Subsection (4)(e)(i), in accordance with generally accepted government auditing standards and in
                  compliance with the State of Utah Legal Compliance Audit Guide; and
                      (e) shall set forth in the request for proposal:
                      (i) the method for determining full cost accounting in accordance with generally accepted
                  accounting principles, and require an applicant to submit the proposal based on such full cost
                  accounting principles;
                      (ii) guidelines established to further competition and provider accountability; and
                      (iii) a list of the factors that will be considered by the political subdivision in the award
                  of the contract, including by percentage, the relative weight of the factors established under this
                  Subsection (4)(e), which may include such things as:
                      (A) response times;


                      (B) staging locations;
                      (C) experience;
                      (D) quality of care; and
                      (E) cost, consistent with the cost accounting method in Subsection (4)(e)(i).
                      (5) (a) Notwithstanding the provisions of Subsection 63-56-2 (3), the provisions of Title
                  63, Chapter 56, Part H, Legal and Contractual Remedies, apply to the procurement process
                  required by this section, except as provided in Subsection (5)(c).
                      (b) The Procurement Appeals Board created in Section 63-56-51 shall have jurisdiction
                  to review and determine an appeal of an offeror under this section in the same manner as
                  provided in Section 63-56-54 .
                      (c) (i) An offeror may appeal the solicitation or award as provided by the political
                  subdivision's procedures. After all political subdivision appeal rights are exhausted, the offeror
                  may appeal under the provisions of Subsections (5)(a) and (b).
                      (ii) The factual determination required by Subsection 63-56-57 (1) shall be based on
                  whether the solicitation or award was made in accordance with the procedures set forth in this
                  section and Section 26-8a-405.2 .
                      (d) The determination of an issue of fact by the appeals board shall be final and
                  conclusive unless arbitrary and capricious or clearly erroneous as provided in Section 63-56-57 .
                      Section 4. Effective date.
                      If approved by two-thirds of all the members elected to each house, this bill takes effect
                  upon approval by the governor, or the day following the constitutional time limit of Utah
                  Constitution Article VII, Section 8, without the governor's signature, or in the case of a veto, the
                  date of veto override.
                      Section 5. Application of effective date.
                      The provisions of this bill apply to:
                      (1) a request for proposal issued by a political subdivision after the effective date of this
                  bill; and
                      (2) a request for proposal issued by a political subdivision prior to the effective date of


                  this bill if the political subdivision requesting the proposals has not contracted with a proposer
                  prior to the effective date of this bill.


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