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S.B. 179 Enrolled

             1     

PROCUREMENT REVISIONS

             2     
2014 GENERAL SESSION

             3     
STATE OF UTAH

             4     
Chief Sponsor: Scott K. Jenkins

             5     
House Sponsor: Gage Froerer

             6     
             7      LONG TITLE
             8      General Description:
             9          This bill modifies the Utah Procurement Code and related provisions.
             10      Highlighted Provisions:
             11          This bill:
             12          .    modifies, repeals, enacts, repeals and reenacts, and renumbers and amends
             13      provisions of the Utah Procurement Code and related provisions;
             14          .    modifies procurement provisions applicable to local entity building improvement
             15      and public works projects;
             16          .    modifies the Open and Public Meetings Act relating to the procurement process;
             17          .    modifies a provision relating to exemptions from the Utah Procurement Code;
             18          .    modifies a provision relating to limitations on certain procurement units;
             19          .    enacts language differentiating between an issuing procurement unit and a
             20      conducting procurement unit and clarifying the role of each;
             21          .    modifies deadlines for when applicable rulemaking authorities are required to
             22      initiate rulemaking proceedings;
             23          .    modifies duties of the chief procurement officer;
             24          .    modifies provisions relating to the prequalification of potential vendors;
             25          .    modifies provisions relating to the public notice of solicitations;
             26          .    modifies requirements for the content of a request for proposals;
             27          .    authorizes an issuing procurement unit to reject a proposal under certain
             28      circumstances;
             29          .    modifies provisions relating to the evaluation of proposals;


             30          .    modifies provisions relating to the process of obtaining best and final offers;
             31          .    provides for a justification statement and modifies provisions relating to a
             32      cost-benefit analysis;
             33          .    modifies provisions relating to the awarding of a contract;
             34          .    modifies provisions relating to the award of a contract without competition;
             35          .    repeals language relating to required standard provisions in a contract and replaces
             36      it with language encouraging the establishment of standard contract clauses;
             37          .    modifies provisions relating to contracts and the auditing of books and records;
             38          .    modifies a provision relating to the selection committee for architect-engineer
             39      services;
             40          .    modifies provisions relating to protests and appeals of protests, including the
             41      amount of security deposits or bonds;
             42          .    modifies a provision relating to supplies and services that one procurement unit may
             43      provide to another;
             44          .    modifies a provision relating to cooperative purchasing;
             45          .    rewrites and modifies provisions relating to unlawful conduct and penalties for
             46      unlawful conduct in the context of procurement activities and makes those
             47      provisions applicable to all public entities; and
             48          .    makes technical, conforming, and clarifying changes.
             49      Money Appropriated in this Bill:
             50          None
             51      Other Special Clauses:
             52          This bill provides an immediate effective date.
             53      Utah Code Sections Affected:
             54      AMENDS:
             55           11-13-315 , as enacted by Laws of Utah 2013, Chapter 230
             56           11-39-103 , as last amended by Laws of Utah 2011, Chapter 387
             57           11-39-107 , as last amended by Laws of Utah 2013, Chapter 448


             58           52-4-205 , as last amended by Laws of Utah 2013, Chapters 238 and 426
             59           63B-2-102 , as last amended by Laws of Utah 2012, Chapter 347
             60           63B-3-102 , as last amended by Laws of Utah 2012, Chapter 347
             61           63B-4-102 , as last amended by Laws of Utah 2012, Chapter 347
             62           63B-5-102 , as last amended by Laws of Utah 2013, Chapter 465
             63           63B-6-102 , as last amended by Laws of Utah 2012, Chapter 347
             64           63B-6-402 , as last amended by Laws of Utah 2012, Chapter 347
             65           63B-7-102 , as last amended by Laws of Utah 2012, Chapter 347
             66           63B-7-402 , as last amended by Laws of Utah 2012, Chapter 347
             67           63B-8-102 , as last amended by Laws of Utah 2012, Chapter 347
             68           63B-8-402 , as last amended by Laws of Utah 2012, Chapter 347
             69           63B-9-103 , as last amended by Laws of Utah 2012, Chapter 347
             70           63B-11-202 , as last amended by Laws of Utah 2012, Chapter 347
             71           63F-1-205 , as last amended by Laws of Utah 2012, Chapter 347
             72           63G-6a-102 , as renumbered and amended by Laws of Utah 2012, Chapter 347
             73           63G-6a-103 , as last amended by Laws of Utah 2013, Chapter 445
             74           63G-6a-104 , as repealed and reenacted by Laws of Utah 2013, Chapter 445
             75           63G-6a-106 , as last amended by Laws of Utah 2013, Chapter 445
             76           63G-6a-107 , as last amended by Laws of Utah 2013, Chapter 445
             77           63G-6a-108 , as last amended by Laws of Utah 2013, Chapter 445
             78           63G-6a-204 , as last amended by Laws of Utah 2013, Chapter 445
             79           63G-6a-303 , as last amended by Laws of Utah 2013, Chapter 445
             80           63G-6a-402 , as last amended by Laws of Utah 2013, Chapter 445
             81           63G-6a-403 , as last amended by Laws of Utah 2013, Chapter 445
             82           63G-6a-404 , as last amended by Laws of Utah 2013, Chapter 445
             83           63G-6a-406 , as last amended by Laws of Utah 2013, Chapter 445
             84           63G-6a-408 , as last amended by Laws of Utah 2013, Chapter 445
             85           63G-6a-603 , as last amended by Laws of Utah 2013, Chapter 445


             86           63G-6a-606 , as last amended by Laws of Utah 2013, Chapter 445
             87           63G-6a-607 , as last amended by Laws of Utah 2013, Chapter 445
             88           63G-6a-609 , as last amended by Laws of Utah 2013, Chapter 445
             89           63G-6a-611 , as last amended by Laws of Utah 2013, Chapter 445
             90           63G-6a-612 , as last amended by Laws of Utah 2013, Chapter 445
             91           63G-6a-702 , as last amended by Laws of Utah 2013, Chapter 445
             92           63G-6a-703 , as last amended by Laws of Utah 2013, Chapter 445
             93           63G-6a-704 , as last amended by Laws of Utah 2013, Chapter 445
             94           63G-6a-707 , as last amended by Laws of Utah 2013, Chapter 445
             95           63G-6a-708 , as last amended by Laws of Utah 2013, Chapter 445
             96           63G-6a-709 , as last amended by Laws of Utah 2013, Chapter 445
             97           63G-6a-709.5 , as enacted by Laws of Utah 2013, Chapter 445
             98           63G-6a-802 , as last amended by Laws of Utah 2013, Chapter 445
             99           63G-6a-904 , as last amended by Laws of Utah 2013, Chapter 445
             100           63G-6a-1103 , as last amended by Laws of Utah 2013, Chapter 445
             101           63G-6a-1105 , as renumbered and amended by Laws of Utah 2012, Chapter 347
             102           63G-6a-1204 , as last amended by Laws of Utah 2013, Chapter 445
             103           63G-6a-1205 , as last amended by Laws of Utah 2013, Chapter 445
             104           63G-6a-1206 , as last amended by Laws of Utah 2013, Chapter 445
             105           63G-6a-1402 , as last amended by Laws of Utah 2012, Chapter 330 and renumbered and
             106      amended by Laws of Utah 2012, Chapter 347
             107           63G-6a-1502 , as last amended by Laws of Utah 2013, Chapter 445
             108           63G-6a-1503 , as last amended by Laws of Utah 2013, Chapter 445
             109           63G-6a-1505 , as renumbered and amended by Laws of Utah 2012, Chapter 347
             110           63G-6a-1602 , as last amended by Laws of Utah 2012, Chapter 91 and renumbered and
             111      amended by Laws of Utah 2012, Chapter 347 and last amended by Coordination
             112      Clause, Laws of Utah 2012, Chapter 347
             113           63G-6a-1603 , as last amended by Laws of Utah 2013, Chapter 445


             114           63G-6a-1702 , as last amended by Laws of Utah 2013, Chapter 445
             115           63G-6a-1703 , as last amended by Laws of Utah 2013, Chapter 445
             116           63G-6a-1706 , as enacted by Laws of Utah 2012, Chapter 347 and last amended by
             117      Coordination Clause, Laws of Utah 2012, Chapter 347
             118           63G-6a-1802 , as last amended by Laws of Utah 2013, Chapter 445
             119           63G-6a-1902 , as last amended by Laws of Utah 2013, Chapter 445
             120           63G-6a-1903 , as last amended by Laws of Utah 2013, Chapter 445
             121           63G-6a-1904 , as last amended by Laws of Utah 2013, Chapter 445
             122           63G-6a-1906 , as last amended by Laws of Utah 2012, Chapter 91 and renumbered and
             123      amended by Laws of Utah 2012, Chapter 347 and last amended by Coordination
             124      Clause, Laws of Utah 2012, Chapter 347
             125           63G-6a-1907 , as last amended by Laws of Utah 2012, Chapter 91 and renumbered and
             126      amended by Laws of Utah 2012, Chapter 347 and last amended by Coordination
             127      Clause, Laws of Utah 2012, Chapter 347
             128           63G-6a-1910 , as last amended by Laws of Utah 2013, Chapter 445
             129           63G-6a-2103 , as last amended by Laws of Utah 2013, Chapter 445
             130           63G-6a-2105 , as last amended by Laws of Utah 2013, Chapter 445
             131           67-16-4 , as last amended by Laws of Utah 2013, Chapter 445
             132           67-16-5 , as last amended by Laws of Utah 2013, Chapter 445
             133           67-16-5.3 , as last amended by Laws of Utah 2013, Chapter 445
             134           67-16-5.6 , as last amended by Laws of Utah 2013, Chapter 445
             135           67-16-6 , as last amended by Laws of Utah 2013, Chapter 445
             136      ENACTS:
             137           63G-6a-109 , Utah Code Annotated 1953
             138           63G-6a-2401 , Utah Code Annotated 1953
             139           63G-6a-2402 , Utah Code Annotated 1953
             140           63G-6a-2403 , Utah Code Annotated 1953
             141           63G-6a-2404 , Utah Code Annotated 1953


             142           63G-6a-2405 , Utah Code Annotated 1953
             143           63G-6a-2406 , Utah Code Annotated 1953
             144           63G-6a-2407 , Utah Code Annotated 1953
             145      REPEALS AND REENACTS:
             146           63G-6a-1202 , as last amended by Laws of Utah 2013, Chapter 445
             147      RENUMBERS AND AMENDS:
             148           63G-6a-707.5 , (Renumbered from 63G-6a-705, as last amended by Laws of Utah 2013,
             149      Chapter 445)
             150      REPEALS:
             151           63G-6a-1803 , as last amended by Laws of Utah 2012, Chapter 91 and renumbered and
             152      amended by Laws of Utah 2012, Chapter 347 and last amended by Coordination
             153      Clause, Laws of Utah 2012, Chapter 347
             154           63G-6a-1905 , as last amended by Laws of Utah 2013, Chapter 445
             155           63G-6a-2301 , as enacted by Laws of Utah 2012, Chapter 347
             156           63G-6a-2302 , as last amended by Laws of Utah 2013, Chapter 445
             157           63G-6a-2304.5 , as enacted by Laws of Utah 2013, Chapter 445
             158           63G-6a-2305 , as last amended by Laws of Utah 2013, Chapter 445
             159           63G-6a-2306 , as last amended by Laws of Utah 2013, Chapter 445
             160           63G-6a-2307 , as last amended by Laws of Utah 2013, Chapter 445
             161           63G-6a-2308 , as enacted by Laws of Utah 2013, Chapter 445
             162     
             163      Be it enacted by the Legislature of the state of Utah:
             164          Section 1. Section 11-13-315 is amended to read:
             165           11-13-315. Taxed interlocal entity.
             166          (1) As used in this section:
             167          (a) "Asset" means funds, money, an account, real or personal property, or personnel.
             168          (b) "Public asset" means:
             169          (i) an asset used by a public entity;


             170          (ii) tax revenue;
             171          (iii) state funds; or
             172          (iv) public funds.
             173          (c) (i) "Taxed interlocal entity" means a project entity that:
             174          (A) is not exempt from a tax or fee in lieu of taxes imposed in accordance with Part 3,
             175      Project Entity Provisions;
             176          (B) does not receive a payment of funds from a federal agency or office, state agency or
             177      office, political subdivision, or other public agency or office other than a payment that does not
             178      materially exceed the greater of the fair market value and the cost of a service provided or
             179      property conveyed by the project entity; and
             180          (C) does not receive, expend, or have the authority to compel payment from tax
             181      revenue.
             182          (ii) Before and on May 1, 2014, "taxed interlocal entity" includes an interlocal entity
             183      that:
             184          (A) (I) was created before 1981 for the purpose of providing power supply at wholesale
             185      to its members; or
             186          (II) is described in Subsection 11-13-204 (7);
             187          (B) does not receive a payment of funds from a federal agency or office, state agency or
             188      office, political subdivision, or other public agency or office other than a payment that does not
             189      materially exceed the greater of the fair market value and the cost of a service provided or
             190      property conveyed by the interlocal entity; and
             191          (C) does not receive, expend, or have the authority to compel payment from tax
             192      revenue.
             193          (d) (i) "Use" means to use, own, manage, hold, keep safe, maintain, invest, deposit,
             194      administer, receive, expend, appropriate, disburse, or have custody.
             195          (ii) "Use" includes, when constituting a noun, the corresponding nominal form of each
             196      term in Subsection (1)(d)(i), individually.
             197          (2) Notwithstanding any other provision of law, the use of an asset by a taxed interlocal


             198      entity does not constitute the use of a public asset.
             199          (3) Notwithstanding any other provision of law, a taxed interlocal entity's use of an
             200      asset that was a public asset prior to the taxed interlocal entity's use of the asset does not
             201      constitute a taxed interlocal entity's use of a public asset.
             202          (4) Notwithstanding any other provision of law, an official of a project entity is not a
             203      public treasurer.
             204          (5) Notwithstanding any other provision of law, a taxed interlocal entity's governing
             205      body, as described in Section 11-13-206 , shall determine and direct the use of an asset by the
             206      taxed interlocal entity.
             207          (6) [(a)] A taxed interlocal entity is not subject to the provisions of Title 63G, Chapter
             208      6a, Utah Procurement Code.
             209          [(b) An agent of a taxed interlocal entity is not an external procurement unit as defined
             210      in Section 63G-6a-104 .]
             211          (7) (a) A taxed interlocal entity is not a participating local entity as defined in Section
             212      63A-3-401 .
             213          (b) For each fiscal year of a taxed interlocal entity, the taxed interlocal entity shall
             214      provide:
             215          (i) the taxed interlocal entity's financial statements for and as of the end of the fiscal
             216      year and the prior fiscal year, including the taxed interlocal entity's balance sheet as of the end
             217      of the fiscal year and the prior fiscal year, and the related statements of revenues and expenses
             218      and of cash flows for the fiscal year; and
             219          (ii) the accompanying auditor's report and management's discussion and analysis with
             220      respect to the taxed interlocal entity's financial statements for and as of the end of the fiscal
             221      year.
             222          (c) The taxed interlocal entity shall provide the information described in Subsections
             223      (7)(b)(i) and (b)(ii):
             224          (i) in a manner described in Subsection 63A-3-405 (3); and
             225          (ii) within a reasonable time after the taxed interlocal entity's independent auditor


             226      delivers to the taxed interlocal entity's governing body the auditor's report with respect to the
             227      financial statements for and as of the end of the fiscal year.
             228          (d) Notwithstanding Subsections (7)(b) and (c) or a taxed interlocal entity's compliance
             229      with one or more of the requirements of Title 63A, Chapter 3, Division of Finance:
             230          (i) the taxed interlocal entity is not subject to Title 63A, Chapter 3, Division of
             231      Finance; and
             232          (ii) the information described in Subsection (7)(b)(i) or (ii) does not constitute public
             233      financial information as defined in Section 63A-3-401 .
             234          (8) (a) A taxed interlocal entity's governing body is not a governing board as defined in
             235      Section 51-2a-102 .
             236          (b) A taxed interlocal entity is not subject to the provisions of Title 51, Chapter 2a,
             237      Accounting Reports from Political Subdivisions, Interlocal Organizations, and Other Local
             238      Entities Act.
             239          Section 2. Section 11-39-103 is amended to read:
             240           11-39-103. Requirements for undertaking a building improvement or public
             241      works project -- Request for bids -- Authority to reject bids.
             242          (1) If the estimated cost of the building improvement or public works project exceeds
             243      the bid limit, the local entity shall, if it determines to proceed with the building improvement or
             244      public works project:
             245          (a) request bids for completion of the building improvement or public works project
             246      by:
             247          (i) (A) publishing notice at least twice in a newspaper published or of general
             248      circulation in the local entity at least five days before opening the bids; or
             249          (B) if there is no newspaper published or of general circulation in the local entity as
             250      described in Subsection (1)(a)(i)(A), posting notice at least five days before opening the bids in
             251      at least five public places in the local entity and leaving the notice posted for at least three days;
             252      and
             253          (ii) publishing notice in accordance with Section 45-1-101 , at least five days before


             254      opening the bids; and
             255          (b) except as provided in Subsection (3), enter into a contract for the completion of the
             256      building improvement or public works project with:
             257          (i) the lowest responsive responsible bidder; or
             258          (ii) for a design-build project formulated by a local entity, [except as provided in
             259      Section 11-39-107 ,] a responsible bidder that:
             260          (A) offers design-build services; and
             261          (B) satisfies the local entity's criteria relating to financial strength, past performance,
             262      integrity, reliability, and other factors that the local entity uses to assess the ability of a bidder
             263      to perform fully and in good faith the contract requirements for a design-build project.
             264          (2) (a) Each notice under Subsection (1)(a) shall indicate that the local entity may reject
             265      any or all bids submitted.
             266          (b) (i) The cost of a building improvement or public works project may not be divided
             267      to avoid:
             268          (A) exceeding the bid limit; and
             269          (B) subjecting the local entity to the requirements of this section.
             270          (ii) Notwithstanding Subsection (2)(b)(i), a local entity may divide the cost of a
             271      building improvement or public works project that would, without dividing, exceed the bid
             272      limit if the local entity complies with the requirements of this section with respect to each part
             273      of the building improvement or public works project that results from dividing the cost.
             274          (3) (a) The local entity may reject any or all bids submitted.
             275          (b) If the local entity rejects all bids submitted but still intends to undertake the
             276      building improvement or public works project, the local entity shall again request bids by
             277      following the procedure provided in Subsection (1)(a).
             278          (c) If, after twice requesting bids by following the procedure provided in Subsection
             279      (1)(a), the local entity determines that no satisfactory bid has been submitted, the governing
             280      body may undertake the building improvement or public works project as it considers
             281      appropriate.


             282          Section 3. Section 11-39-107 is amended to read:
             283           11-39-107. Procurement code.
             284          (1) This chapter may not be construed to:
             285          (a) prohibit a county or municipal legislative body from adopting the procedures of the
             286      procurement code; or
             287          (b) limit the application of the procurement code to a local district or special service
             288      district.
             289          (2) A local entity may adopt procedures for the following construction contracting
             290      methods:
             291          (a) construction manager/general contractor, as defined in Section 63G-6a-103 ; [or]
             292          (b) a method that requires that the local entity draft a plan, specifications, and an
             293      estimate for the building improvement or public works project[.]; or
             294          (c) design-build, as defined in Section 63G-6a-103 , if the local entity consults with a
             295      professional engineer licensed under Title 58, Chapter 22, Professional Engineers and
             296      Professional Land Surveyors Licensing Act, or an architect licensed under Title 58, Chapter 3a,
             297      Architects Licensing Act, who has design-build experience and is employed by or under
             298      contract with the local entity.
             299          [(3) For a public works project only and that costs $1,000,000 or more, in consultation
             300      with a professional engineer licensed under Title 58, Chapter 22, Professional Engineers and
             301      Professional Land Surveyors Licensing Act, who has design-build experience and is employed
             302      by or is under contract with the owner, the following may enter into a contract for design-build,
             303      as defined in Section 63G-6a-103 , and adopt the procedures and follow the provisions of the
             304      procurement code for the procurement of and as the procedures and provisions relate to a
             305      design-build:]
             306          [(a) a city of the first class;]
             307          [(b) a local district; or]
             308          [(c) a special service district.]
             309          [(4)] (3) (a) In seeking bids and awarding a contract for a building improvement or


             310      public works project, a county or a municipal legislative body may elect to follow the
             311      provisions of the procurement code, as the county or municipal legislative body considers
             312      appropriate under the circumstances, for specification preparation, source selection, or contract
             313      formation.
             314          (b) A county or municipal legislative body's election to adopt the procedures of the
             315      procurement code may not excuse the county or municipality, respectively, from complying
             316      with the requirements to award a contract for work in excess of the bid limit and to publish
             317      notice of the intent to award.
             318          (c) An election under Subsection [(4)] (3)(a) may be made on a case-by-case basis,
             319      unless the county or municipality has previously adopted the [provisions of Title 63G, Chapter
             320      6a, Utah Procurement Code] procurement code.
             321          (d) The county or municipal legislative body shall:
             322          (i) make each election under Subsection [(4)] (3)(a) in an open meeting; and
             323          (ii) specify in its action the portions of the procurement code to be followed.
             324          [(5)] (4) If the estimated cost of the building improvement or public works project
             325      proposed by a local district or special service district exceeds the bid limit, the governing body
             326      of the local district or special service district may, if it determines to proceed with the building
             327      improvement or public works project, use the competitive procurement procedures of the
             328      procurement code in place of the comparable provisions of this chapter.
             329          Section 4. Section 52-4-205 is amended to read:
             330           52-4-205. Purposes of closed meetings -- Certain issues prohibited in closed
             331      meetings.
             332          (1) A closed meeting described under Section 52-4-204 may only be held for:
             333          (a) except as provided in Subsection (3), discussion of the character, professional
             334      competence, or physical or mental health of an individual;
             335          (b) strategy sessions to discuss collective bargaining;
             336          (c) strategy sessions to discuss pending or reasonably imminent litigation;
             337          (d) strategy sessions to discuss the purchase, exchange, or lease of real property,


             338      including any form of a water right or water shares, if public discussion of the transaction
             339      would:
             340          (i) disclose the appraisal or estimated value of the property under consideration; or
             341          (ii) prevent the public body from completing the transaction on the best possible terms;
             342          (e) strategy sessions to discuss the sale of real property, including any form of a water
             343      right or water shares, if:
             344          (i) public discussion of the transaction would:
             345          (A) disclose the appraisal or estimated value of the property under consideration; or
             346          (B) prevent the public body from completing the transaction on the best possible terms;
             347          (ii) the public body previously gave public notice that the property would be offered for
             348      sale; and
             349          (iii) the terms of the sale are publicly disclosed before the public body approves the
             350      sale;
             351          (f) discussion regarding deployment of security personnel, devices, or systems;
             352          (g) investigative proceedings regarding allegations of criminal misconduct;
             353          (h) as relates to the Independent Legislative Ethics Commission, conducting business
             354      relating to the receipt or review of ethics complaints;
             355          (i) as relates to an ethics committee of the Legislature, a purpose permitted under
             356      Subsection 52-4-204 (1)(a)(iii)(C);
             357          (j) as relates to the Independent Executive Branch Ethics Commission created in
             358      Section 63A-14-202 , conducting business relating to an ethics complaint;
             359          (k) as relates to a county legislative body, discussing commercial information as
             360      defined in Section 59-1-404 ;
             361          (l) as relates to the Utah Higher Education Assistance Authority and its appointed
             362      board of directors, discussing fiduciary or commercial information as defined in Section
             363      53B-12-102 ; [or]
             364          (m) deliberations, not including any information gathering activities, of a public body
             365      acting in the capacity of:


             366          (i) an evaluation committee under Title 63G, Chapter 6a, Utah Procurement Code,
             367      during the process of evaluating responses to a solicitation, as defined in Section 63G-6a-103 ;
             368          (ii) a protest officer, defined in Section 63G-6a-103 , during the process of making a
             369      decision on a protest under Title 63G, Chapter 6a, Part 16, Controversies and Protests; or
             370          (iii) a procurement appeals panel under Title 63G, Chapter 6a, Utah Procurement
             371      Code, during the process of deciding an appeal under Title 63G, Chapter 6a, Part 17,
             372      Procurement Appeals Board;
             373          (n) the purpose of considering information that is designated as a trade secret, as
             374      defined in Section 13-24-2 , if the public body's consideration of the information is necessary in
             375      order to properly conduct a procurement under Title 63G, Chapter 6a, Utah Procurement Code;
             376          (o) the purpose of discussing information provided to the public body during the
             377      procurement process under Title 63G, Chapter 6a, Utah Procurement Code, if, at the time of
             378      the meeting:
             379          (i) the information may not, under Title 63G, Chapter 6a, Utah Procurement Code, be
             380      disclosed to a member of the public or to a participant in the procurement process; and
             381          (ii) the public body needs to review or discuss the information in order to properly
             382      fulfill its role and responsibilities in the procurement process; or
             383          [(m)] (p) a purpose for which a meeting is required to be closed under Subsection (2).
             384          (2) The following meetings shall be closed:
             385          (a) a meeting of the Health and Human Services Interim Committee to review a fatality
             386      review report described in Subsection 62A-16-301 (1)(a), and the responses to the report
             387      described in Subsections 62A-16-301 (2) and (4);
             388          (b) a meeting of the Child Welfare Legislative Oversight Panel to:
             389          (i) review a fatality review report described in Subsection 62A-16-301 (1)(a), and the
             390      responses to the report described in Subsections 62A-16-301 (2) and (4); or
             391          (ii) review and discuss an individual case, as described in Subsection 62A-4a-207 (5);
             392      and
             393          (c) a meeting of a conservation district as defined in Section 17D-3-102 for the purpose


             394      of advising the Natural Resource Conservation Service of the United States Department of
             395      Agriculture on a farm improvement project if the discussed information is protected
             396      information under federal law.
             397          (3) In a closed meeting, a public body may not:
             398          (a) interview a person applying to fill an elected position;
             399          (b) discuss filling a midterm vacancy or temporary absence governed by Title 20A,
             400      Chapter 1, Part 5, Candidate Vacancy and Vacancy and Temporary Absence in Elected Office;
             401      or
             402          (c) discuss the character, professional competence, or physical or mental health of the
             403      person whose name was submitted for consideration to fill a midterm vacancy or temporary
             404      absence governed by Title 20A, Chapter 1, Part 5, Candidate Vacancy and Vacancy and
             405      Temporary Absence in Elected Office.
             406          Section 5. Section 63B-2-102 is amended to read:
             407           63B-2-102. Maximum amount -- Projects authorized.
             408          (1) The total amount of bonds issued under this part may not exceed $80,000,000.
             409          (2) (a) Proceeds from the issuance of bonds shall be provided to the division to provide
             410      funds to pay all or part of the cost of acquiring and constructing the projects listed in this
             411      Subsection (2).
             412          (b) These costs may include the cost of acquiring land, interests in land, easements and
             413      rights-of-way, improving sites, and acquiring, constructing, equipping, and furnishing facilities
             414      and all structures, roads, parking facilities, utilities, and improvements necessary, incidental, or
             415      convenient to the facilities, interest estimated to accrue on these bonds during the period to be
             416      covered by construction of the projects plus a period of six months after the end of the
             417      construction period and all related engineering, architectural, and legal fees.
             418          (c) For the division, proceeds shall be provided for the following:
             419      CAPITAL IMPROVEMENTS
             420      1 Alterations, Repairs, and Improvements $8,413,900
             421      TOTAL IMPROVEMENTS $8,413,900
             422      CAPITAL FACILITIES CONSTRUCTION
             423     


PROJECT
PRIORITY



    PROJECT
    DESCRIPTION



AMOUNT
FUNDED
ESTIMATED
OPERATIONS
AND
MAINTENANCE
COSTS
             424      1 Corrections - Northern Utah
Community Corrections Center Phase II
$2,729,700 $158,000
             425      2 University of Utah
Marriot Library Phase II
$10,200,000 $881,600
             426      3 Ogden Courts Building Phase II $12,096,000 $340,000
             427      4 Utah National Guard -
Southeast Utah Armory Phase II
$397,800 $70,500
             428      5 Southern Utah University
Library Phase II
$7,004,400 $427,000
             429      6 Utah Valley Special Events
Center Phase II
$11,845,300 $536,900
             430      7 Salt Lake Community College - Land $1,300,000 $0
             431      8 Tax Commission Building $14,224,000 $812,000
             432      9 Dixie College Business Building $2,823,300 $187,800
             433      10 Salt Lake Community College
South City 3rd Floor and Boiler
$4,009,500 $257,600
             434      11 Public Education -
Deaf and Blind Classrooms
$3,456,100 $124,800
             435      TOTAL CONSTRUCTION $70,086,100
             436      TOTAL IMPROVEMENTS AND
    CONSTRUCTION
$78,500,000
             437          (d) For purposes of this section, operations and maintenance costs:
             438          (i) are estimates only;
             439          (ii) may include any operations and maintenance costs already funded in existing
             440      agency budgets; and
             441          (iii) are not commitments by this Legislature or future Legislatures to fund those
             442      operations and maintenance costs.
             443          (3) (a) The amounts funded as listed in Subsection (2) are estimates only and do not
             444      constitute a limitation on the amount that may be expended for any project.
             445          (b) The board may revise these estimates and redistribute the amount estimated for a
             446      project among the projects authorized.
             447          (c) The commission, by resolution and in consultation with the board, may delete one
             448      or more projects from this list if the inclusion of that project or those projects in the list could
             449      be construed to violate state law or federal law or regulation.
             450          (4) (a) The division may enter into agreements related to these projects before the
             451      receipt of proceeds of bonds issued under this chapter.
             452          (b) The division shall make those expenditures from unexpended and unencumbered
             453      building funds already appropriated to the Capital Projects Fund.
             454          (c) The division shall reimburse the Capital Projects Fund upon receipt of the proceeds
             455      of bonds issued under this chapter.
             456          (d) The commission may, by resolution, make any statement of intent relating to that
             457      reimbursement that is necessary or desirable to comply with federal tax law.
             458          (5) (a) For those projects for which only partial funding is provided in Subsection (2),
             459      it is the intent of the Legislature that the balance necessary to complete the projects be
             460      addressed by future Legislatures, either through appropriations or through the issuance or sale
             461      of bonds.


             462          (b) For those phased projects, the division may enter into contracts for amounts not to
             463      exceed the anticipated full project funding but may not allow work to be performed on those
             464      contracts in excess of the funding already authorized by the Legislature.
             465          (c) Those contracts shall contain a provision for termination of the contract for the
             466      convenience of the state [as required by Section 63G-6a-1202 ].
             467          (d) It is also the intent of the Legislature that this authorization to the division does not
             468      bind future Legislatures to fund projects initiated from this authorization.
             469          Section 6. Section 63B-3-102 is amended to read:
             470           63B-3-102. Maximum amount -- Projects authorized.
             471          (1) The total amount of bonds issued under this part may not exceed $64,600,000.
             472          (2) (a) Proceeds from the issuance of bonds shall be provided to the division to provide
             473      funds to pay all or part of the cost of acquiring and constructing the projects listed in this
             474      Subsection (2).
             475          (b) These costs may include the cost of acquiring land, interests in land, easements and
             476      rights-of-way, improving sites, and acquiring, constructing, equipping, and furnishing facilities
             477      and all structures, roads, parking facilities, utilities, and improvements necessary, incidental, or
             478      convenient to the facilities, interest estimated to accrue on these bonds during the period to be
             479      covered by construction of the projects plus a period of six months after the end of the
             480      construction period and all related engineering, architectural, and legal fees.
             481          (c) For the division, proceeds shall be provided for the following:
             482      CAPITAL IMPROVEMENTS
             483      1 Alterations, Repairs, and Improvements
$5,000,000        
             484      TOTAL IMPROVEMENTS
$5,000,000
             485      CAPITAL AND ECONOMIC DEVELOPMENT
             486     


PRIORITY
PROJECT



PROJECT
DESCRIPTION



AMOUNT
FUNDED
ESTIMATED
OPERATIONS
AND
MAINTENANCE
COSTS
             487      1 University of Utah
Marriott Library Phase III (Final)
$13,811,500 $881,600
             488      2 Bridgerland Applied Technology Center
Utah State University Space
$2,400,000
$0
             489      3 Weber State University -
Heat Plant
$2,332,100 $9,600
             490      4 Department of Human Services -
Division of Youth Corrections renamed
in 2003 to the Division of Juvenile
Justice Services
$4,180,000 $400,000
             491      5 Snow College - Administrative
Services/Student Center
$3,885,100 $224,500
             492      6 Ogden Weber Applied Technology
Center - Metal Trades Building Design
and Equipment Purchase
$750,000 $0
             493      7 Department of Corrections B-Block
Remodel
$1,237,100 $72,000
             494      8 Utah State University - Old Main Phase
III Design
$550,000 $0
             495      9 Department of Corrections - 144 bed
Uintah Expansion
$6,700,000 $168,800
             496      10 Southern Utah University
Administrative Services/Student Center
$5,630,400 $314,200
             497      11 Anasazi Museum $760,200 $8,500
             498      12 Hill Air Force Base - Easements
Purchase
$9,500,000 $0
             499      13 Signetics Building Remodel $2,000,000 $0
             500      14 Antelope Island Visitors Center $750,000 $30,000
             501      15 State Fair Park - Master Study $150,000 $0
             502      16 Utah National Guard - Draper Land $380,800 $0
             503      17 Davis Applied Technology Center -
Design
$325,000 $0
             504      18 Palisade State Park - Land and Park
Development
$800,000 $0
             505      19 Department of Human Services - Cedar
City Land
$80,000 $0
             506      20 Department of Human Services -
Clearfield Land
$163,400 $0
             507      21 Electronic technology, equipment, and
hardware
$2,500,000 $0
             508      TOTAL CAPITAL AND ECONOMIC DEVELOPMENT        $58,885,600
             509      TOTAL IMPROVEMENTS AND CAPITAL
AND ECONOMIC DEVELOPMENT                $63,885,600
             510          (d) For purposes of this section, operations and maintenance costs:
             511          (i) are estimates only;
             512          (ii) may include any operations and maintenance costs already funded in existing
             513      agency budgets; and
             514          (iii) are not commitments by this Legislature or future Legislatures to fund those


             515      operations and maintenance costs.
             516          (3) (a) The amounts funded as listed in Subsection (2) are estimates only and do not
             517      constitute a limitation on the amount that may be expended for any project.
             518          (b) The board may revise these estimates and redistribute the amount estimated for a
             519      project among the projects authorized.
             520          (c) The commission, by resolution and in consultation with the board, may delete one
             521      or more projects from this list if the inclusion of that project or those projects in the list could
             522      be construed to violate state law or federal law or regulation.
             523          (4) (a) The division may enter into agreements related to these projects before the
             524      receipt of proceeds of bonds issued under this chapter.
             525          (b) The division shall make those expenditures from unexpended and unencumbered
             526      building funds already appropriated to the Capital Projects Fund.
             527          (c) The division shall reimburse the Capital Projects Fund upon receipt of the proceeds
             528      of bonds issued under this chapter.
             529          (d) The commission may, by resolution, make any statement of intent relating to that
             530      reimbursement that is necessary or desirable to comply with federal tax law.
             531          (5) (a) For those projects for which only partial funding is provided in Subsection (2),
             532      it is the intent of the Legislature that the balance necessary to complete the projects be
             533      addressed by future Legislatures, either through appropriations or through the issuance or sale
             534      of bonds.
             535          (b) For those phased projects, the division may enter into contracts for amounts not to
             536      exceed the anticipated full project funding but may not allow work to be performed on those
             537      contracts in excess of the funding already authorized by the Legislature.
             538          (c) Those contracts shall contain a provision for termination of the contract for the
             539      convenience of the state [as required by Section 63G-6a-1202 ].
             540          (d) It is also the intent of the Legislature that this authorization to the division does not
             541      bind future Legislatures to fund projects initiated from this authorization.
             542          Section 7. Section 63B-4-102 is amended to read:


             543           63B-4-102. Maximum amount -- Projects authorized.
             544          (1) The total amount of bonds issued under this part may not exceed $45,300,000.
             545          (2) (a) Proceeds from the issuance of bonds shall be provided to the division to provide
             546      funds to pay all or part of the cost of acquiring and constructing the projects listed in this
             547      Subsection (2).
             548          (b) These costs may include the cost of acquiring land, interests in land, easements and
             549      rights-of-way, improving sites, and acquiring, constructing, equipping, and furnishing facilities
             550      and all structures, roads, parking facilities, utilities, and improvements necessary, incidental, or
             551      convenient to the facilities, interest estimated to accrue on these bonds during the period to be
             552      covered by construction of the projects plus a period of six months after the end of the
             553      construction period, and all related engineering, architectural, and legal fees.
             554          (c) For the division, proceeds shall be provided for the following:
             555      CAPITAL IMPROVEMENTS
             556      Alterations, Repairs, and Improvements $7,200,000
             557          TOTAL IMPROVEMENTS $7,200,000
             558      CAPITAL AND ECONOMIC DEVELOPMENT
             559     


    PROJECT
    DESCRIPTION



AMOUNT
FUNDED
ESTIMATED
OPERATIONS
AND
MAINTENANCE
COSTS
             560      Corrections - Uinta IVA $11,300,000 $212,800
             561      Utah County Youth Correctional Facility $6,650,000 $245,000
             562      Ogden Weber Applied Technology Center -
Metal Trades
$5,161,000 $176,000
             563      Project Reserve Fund $3,500,000 None
             564      Weber State University - Browning Center
Remodel
$3,300,000 None
             565      Heber Wells Building Remodel $2,000,000 None
             566      Higher Education Davis County - Land Purchase $1,600,000 None
             567      National Guard -- Provo Armory $1,500,000 $128,000
             568      Department of Natural Resources - Pioneer
Trails Visitor Center
$900,000 $65,000
             569      Higher Education Design Projects $800,000 Varies depending
upon projects
selected
             570      Salt Lake Community College - South Valley
Planning
$300,000 None
             571      Division of Youth Corrections renamed in 2003
to the Division of Juvenile Justice Services -
Logan Land Purchase
$120,000 None
             572      TOTAL CAPITAL AND ECONOMIC DEVELOPMENT $37,131,000
             573      TOTAL IMPROVEMENTS AND CAPITAL AND ECONOMIC
DEVELOPMENT
$44,331,000
             574          (d) For purposes of this section, operations and maintenance costs:
             575          (i) are estimates only;
             576          (ii) may include any operations and maintenance costs already funded in existing
             577      agency budgets; and
             578          (iii) are not commitments by this Legislature or future Legislatures to fund those
             579      operations and maintenance costs.
             580          (3) (a) The amounts funded as listed in Subsection (2) are estimates only and do not
             581      constitute a limitation on the amount that may be expended for any project.
             582          (b) The board may revise these estimates and redistribute the amount estimated for a


             583      project among the projects authorized.
             584          (c) The commission, by resolution and in consultation with the board, may delete one
             585      or more projects from this list if the inclusion of that project or those projects in the list could
             586      be construed to violate state law or federal law or regulation.
             587          (4) (a) The division may enter into agreements related to these projects before the
             588      receipt of proceeds of bonds issued under this chapter.
             589          (b) The division shall make those expenditures from unexpended and unencumbered
             590      building funds already appropriated to the Capital Projects Fund.
             591          (c) The division shall reimburse the Capital Projects Fund upon receipt of the proceeds
             592      of bonds issued under this chapter.
             593          (d) The commission may, by resolution, make any statement of intent relating to that
             594      reimbursement that is necessary or desirable to comply with federal tax law.
             595          (5) (a) For those projects for which only partial funding is provided in Subsection (2),
             596      it is the intent of the Legislature that the balance necessary to complete the projects be
             597      addressed by future Legislatures, either through appropriations or through the issuance or sale
             598      of bonds.
             599          (b) For those phased projects, the division may enter into contracts for amounts not to
             600      exceed the anticipated full project funding but may not allow work to be performed on those
             601      contracts in excess of the funding already authorized by the Legislature.
             602          (c) Those contracts shall contain a provision for termination of the contract for the
             603      convenience of the state [as required by Section 63G-6a-1202 ].
             604          (d) It is also the intent of the Legislature that this authorization to the division does not
             605      bind future Legislatures to fund projects initiated from this authorization.
             606          Section 8. Section 63B-5-102 is amended to read:
             607           63B-5-102. Maximum amount -- Projects authorized.
             608          (1) The total amount of bonds issued under this part may not exceed $32,000,000.
             609          (2) (a) Proceeds from the issuance of bonds shall be provided to the division to provide
             610      funds to pay all or part of the cost of acquiring and constructing the projects listed in this


             611      Subsection (2).
             612          (b) These costs may include the cost of acquiring land, interests in land, easements and
             613      rights-of-way, improving sites, and acquiring, constructing, equipping, and furnishing facilities
             614      and all structures, roads, parking facilities, utilities, and improvements necessary, incidental, or
             615      convenient to the facilities, interest estimated to accrue on these bonds during the period to be
             616      covered by construction of the projects plus a period of six months after the end of the
             617      construction period, and all related engineering, architectural, and legal fees.
             618          (c) For the division, proceeds shall be provided for the following:
             619      CAPITAL IMPROVEMENTS
             620      Alterations, Repairs, and Improvements $7,600,000
             621          TOTAL IMPROVEMENTS $7,600,000
             622      CAPITAL AND ECONOMIC DEVELOPMENT
             623     



PROJECT DESCRIPTION



AMOUNT
FUNDED
ESTIMATED
OPERATIONS
AND
MAINTENANCE
COSTS
             624      Corrections - Gunnison (192 Beds) $13,970,000 $210,000
             625      University of Utah -- Gardner Hall $7,361,000 $203,900
             626      Weber State University Davis Campus -- Land
Purchase
$771,000 None
             627      Department of Workforce Services Cedar City
-- Land Purchase
$148,000 None
             628      Utah State University Eastern Durrant School
-- Land Purchase
$400,000 None
             629      State Hospital - Forensic Design (200 beds) $750,000 $575,000
             630      TOTAL CAPITAL AND ECONOMIC
DEVELOPMENT
$23,400,000
             631      TOTAL IMPROVEMENTS AND CAPITAL AND
ECONOMIC DEVELOPMENT
$31,000,000
             632          (d) For purposes of this section, operations and maintenance costs:
             633          (i) are estimates only;
             634          (ii) may include any operations and maintenance costs already funded in existing
             635      agency budgets; and
             636          (iii) are not commitments by this Legislature or future Legislatures to fund those
             637      operations and maintenance costs.
             638          (3) (a) The amounts funded as listed in Subsection (2) are estimates only and do not
             639      constitute a limitation on the amount that may be expended for any project.
             640          (b) The board may revise these estimates and redistribute the amount estimated for a
             641      project among the projects authorized.
             642          (c) The commission, by resolution and in consultation with the board, may delete one
             643      or more projects from this list if the inclusion of that project or those projects in the list could
             644      be construed to violate state law or federal law or regulation.
             645          (4) (a) The division may enter into agreements related to these projects before the
             646      receipt of proceeds of bonds issued under this chapter.
             647          (b) The division shall make those expenditures from unexpended and unencumbered
             648      building funds already appropriated to the Capital Projects Fund.
             649          (c) The division shall reimburse the Capital Projects Fund upon receipt of the proceeds
             650      of bonds issued under this chapter.
             651          (d) The commission may, by resolution, make any statement of intent relating to that
             652      reimbursement that is necessary or desirable to comply with federal tax law.
             653          (5) (a) For those projects for which only partial funding is provided in Subsection (2),
             654      it is the intent of the Legislature that the balance necessary to complete the projects be
             655      addressed by future Legislatures, either through appropriations or through the issuance or sale


             656      of bonds.
             657          (b) For those phased projects, the division may enter into contracts for amounts not to
             658      exceed the anticipated full project funding but may not allow work to be performed on those
             659      contracts in excess of the funding already authorized by the Legislature.
             660          (c) Those contracts shall contain a provision for termination of the contract for the
             661      convenience of the state [as required by Section 63G-6a-1202 ].
             662          (d) It is also the intent of the Legislature that this authorization to the division does not
             663      bind future Legislatures to fund projects initiated from this authorization.
             664          Section 9. Section 63B-6-102 is amended to read:
             665           63B-6-102. Maximum amount -- Projects authorized.
             666          (1) The total amount of bonds issued under this part may not exceed $57,000,000.
             667          (2) (a) Proceeds from the issuance of bonds shall be provided to the division to provide
             668      funds to pay all or part of the cost of acquiring and constructing the projects listed in this
             669      Subsection (2).
             670          (b) These costs may include the cost of acquiring land, interests in land, easements and
             671      rights-of-way, improving sites, and acquiring, constructing, equipping, and furnishing facilities
             672      and all structures, roads, parking facilities, utilities, and improvements necessary, incidental, or
             673      convenient to the facilities, interest estimated to accrue on these bonds during the period to be
             674      covered by construction of the projects plus a period of six months after the end of the
             675      construction period, and all related engineering, architectural, and legal fees.
             676          (c) For the division, proceeds shall be provided for the following:
             677      CAPITAL AND ECONOMIC DEVELOPMENT
             678     


PROJECT DESCRIPTION


AMOUNT
FUNDED
ESTIMATED
OPERATIONS
AND
MAINTENANCE
             679      Youth Corrections - Carbon / Emery (18 beds) $2,298,100 $70,000
             680      State Hospital - 100 bed Forensic Facility $13,800,700 $320,600
             681      Utah State University - Widtsoe Hall $23,986,700 $750,200
             682      Davis Applied Technology Center - Medical/Health
Tech Addition
$6,344,900 $144,000
             683      Southern Utah University -- Physical Education
Building (Design)
$1,100,000 $456,100
             684      Salt Lake Community College -- High Technology
Building, 90th So. Campus (Design)
$1,165,000 $718,500
             685      Department of Natural Resources - Antelope Island
Road
$3,600,000 None
             686      Youth Corrections - Region 1 72 Secured Bed
Facility
$1,500,000 None
             687      Department of Natural Resources - Dead Horse
Point Visitors Center
$1,350,000 $5,700
             688      TOTAL CAPITAL AND ECONOMIC
DEVELOPMENT
$55,145,400
             689          (d) For purposes of this section, operations and maintenance costs:
             690          (i) are estimates only;
             691          (ii) may include any operations and maintenance costs already funded in existing
             692      agency budgets; and
             693          (iii) are not commitments by this Legislature or future Legislatures to fund those
             694      operations and maintenance costs.
             695          (3) (a) The amounts funded as listed in Subsection (2) are estimates only and do not
             696      constitute a limitation on the amount that may be expended for any project.
             697          (b) The board may revise these estimates and redistribute the amount estimated for a
             698      project among the projects authorized.
             699          (c) The commission, by resolution and in consultation with the board, may delete one


             700      or more projects from this list if the inclusion of that project or those projects in the list could
             701      be construed to violate state law or federal law or regulation.
             702          (4) (a) The division may enter into agreements related to these projects before the
             703      receipt of proceeds of bonds issued under this chapter.
             704          (b) The division shall make those expenditures from unexpended and unencumbered
             705      building funds already appropriated to the Capital Projects Fund.
             706          (c) The division shall reimburse the Capital Projects Fund upon receipt of the proceeds
             707      of bonds issued under this chapter.
             708          (d) The commission may, by resolution, make any statement of intent relating to that
             709      reimbursement that is necessary or desirable to comply with federal tax law.
             710          (5) (a) For those projects for which only partial funding is provided in Subsection (2),
             711      it is the intent of the Legislature that the balance necessary to complete the projects be
             712      addressed by future Legislatures, either through appropriations or through the issuance or sale
             713      of bonds.
             714          (b) For those phased projects, the division may enter into contracts for amounts not to
             715      exceed the anticipated full project funding but may not allow work to be performed on those
             716      contracts in excess of the funding already authorized by the Legislature.
             717          (c) Those contracts shall contain a provision for termination of the contract for the
             718      convenience of the state [as required by Section 63G-6a-1202 ].
             719          (d) It is also the intent of the Legislature that this authorization to the division does not
             720      bind future Legislatures to fund projects initiated from this authorization.
             721          Section 10. Section 63B-6-402 is amended to read:
             722           63B-6-402. Maximum amount -- Projects authorized.
             723          (1) The total amount of bonds issued under this part may not exceed $9,000,000.
             724          (2) (a) Proceeds from the issuance of bonds shall be provided to the State Tax
             725      Commission to provide funds to pay all or part of the cost of the project described in this
             726      Subsection (2).
             727          (b) These costs may include:


             728          (i) the cost of acquisition, development, and conversion of computer hardware and
             729      software for motor vehicle fee systems and tax collection and accounting systems of the state;
             730          (ii) interest estimated to accrue on these bonds during the period to be covered by that
             731      development and conversion, plus a period of six months following the completion of the
             732      development and conversion; and
             733          (iii) all related engineering, consulting, and legal fees.
             734          (c) For the State Tax Commission, proceeds shall be provided for the following:
             735      PROJECT
DESCRIPTION
AMOUNT
FUNDED
             736      UTAX SYSTEMS ACQUISITION AND
DEVELOPMENT
$8,500,000
             737          (3) The commission, by resolution may decline to issue bonds if the project could be
             738      construed to violate state law or federal law or regulation.
             739          (4) (a) For this project, for which only partial funding is provided in Subsection (2), it
             740      is the intent of the Legislature that the balance necessary to complete the project be addressed
             741      by future Legislatures, either through appropriations or through the issuance or sale of bonds.
             742          (b) The State Tax Commission may enter into contracts for amounts not to exceed the
             743      anticipated full project funding but may not allow work to be performed on those contracts in
             744      excess of the funding already authorized by the Legislature.
             745          (c) Those contracts shall contain a provision for termination of the contract for the
             746      convenience of the state [as required by Section 63G-6a-1202 ].
             747          (d) It is also the intent of the Legislature that this authorization to the State Tax
             748      Commission does not bind future Legislatures to fund projects initiated from this authorization.
             749          Section 11. Section 63B-7-102 is amended to read:
             750           63B-7-102. Maximum amount -- Projects authorized.
             751          (1) The total amount of bonds issued under this part may not exceed $33,600,000.
             752          (2) (a) Proceeds from the issuance of bonds shall be provided to the division to provide
             753      funds to pay all or part of the cost of acquiring and constructing the projects listed in this


             754      Subsection (2).
             755          (b) These costs may include the cost of acquiring land, interests in land, easements and
             756      rights-of-way, improving sites, and acquiring, constructing, equipping, and furnishing facilities
             757      and all structures, roads, parking facilities, utilities, and improvements necessary, incidental, or
             758      convenient to the facilities, interest estimated to accrue on these bonds during the period to be
             759      covered by construction of the projects plus a period of six months after the end of the
             760      construction period, and all related engineering, architectural, and legal fees.
             761          (c) For the division, proceeds shall be provided for the following:
             762     

PROJECT
DESCRIPTION


AMOUNT
FUNDED
ESTIMATED
OPERATIONS
AND
MAINTENANCE
             763      Southern Utah University Land Purchase $4,600,000 $0
             764      Salt Lake Community College High Tech Center
- Jordan Campus
$3,980,700 $507,900
             765      Children's Special Health Care Needs Clinic $755,400 $247,600
             766      Youth Corrections - 2 @ 32 beds
(Vernal / Logan)
$419,500 $276,000
             767      Corrections - Gunnison 288 bed and Lagoon
Expansion
$8,425,600 $0
             768      University of Utah - Cowles Building $445,500 $101,700
             769      Utah Valley State College - Technical Building $1,166,300 $391,000
             770      Sevier Valley Applied Technology Center - Shop
Expansion
$3,014,300 $443,300
             771      Division of Parks and Recreation Statewide
Restrooms
$1,000,000 $22,700
             772      Murray Highway Patrol Office $2,300,000 $81,000
             773      Department of Workforce Services - Davis
County Employment Center
$2,780,000 $128,100
             774      State Hospital - Rampton II $1,600,000 $462,000
             775      Courts - 4th District Land - Provo $1,368,000 $0
             776      Dixie College - Land $1,000,000 $0
             777      TOTAL CAPITAL AND ECONOMIC
DEVELOPMENT
$32,855,300
             778          (d) For purposes of this section, operations and maintenance costs:
             779          (i) are estimates only;
             780          (ii) may include any operations and maintenance costs already funded in existing
             781      agency budgets; and
             782          (iii) are not commitments by this Legislature or future Legislatures to fund those
             783      operations and maintenance costs.
             784          (3) (a) The amounts funded as listed in Subsection (2) are estimates only and do not
             785      constitute a limitation on the amount that may be expended for any project.
             786          (b) The board may revise these estimates and redistribute the amount estimated for a
             787      project among the projects authorized.
             788          (c) The commission, by resolution and in consultation with the board, may delete one
             789      or more projects from this list if the inclusion of that project or those projects in the list could
             790      be construed to violate state law or federal law or regulation.
             791          (4) (a) The division may enter into agreements related to these projects before the
             792      receipt of proceeds of bonds issued under this chapter.
             793          (b) The division shall make those expenditures from unexpended and unencumbered
             794      building funds already appropriated to the Capital Projects Fund.
             795          (c) The division shall reimburse the Capital Projects Fund upon receipt of the proceeds
             796      of bonds issued under this chapter.
             797          (d) The commission may, by resolution, make any statement of intent relating to that


             798      reimbursement that is necessary or desirable to comply with federal tax law.
             799          (5) (a) For those projects for which only partial funding is provided in Subsection (2),
             800      it is the intent of the Legislature that the balance necessary to complete the projects be
             801      addressed by future Legislatures, either through appropriations or through the issuance or sale
             802      of bonds.
             803          (b) For those phased projects, the division may enter into contracts for amounts not to
             804      exceed the anticipated full project funding but may not allow work to be performed on those
             805      contracts in excess of the funding already authorized by the Legislature.
             806          (c) Those contracts shall contain a provision for termination of the contract for the
             807      convenience of the state [as required by Section 63G-6a-1202 ].
             808          (d) It is also the intent of the Legislature that this authorization to the division does not
             809      bind future Legislatures to fund projects initiated from this authorization.
             810          Section 12. Section 63B-7-402 is amended to read:
             811           63B-7-402. Maximum amount -- Projects authorized.
             812          (1) The total amount of bonds issued under this part may not exceed $16,500,000.
             813          (2) (a) Proceeds from the issuance of bonds shall be provided to the State Tax
             814      Commission to provide funds to pay all or part of the cost of the project described in this
             815      Subsection (2).
             816          (b) These costs may include:
             817          (i) the cost of acquisition, development, and conversion of computer hardware and
             818      software for motor vehicle fee systems and tax collection and accounting systems of the state;
             819          (ii) interest estimated to accrue on these bonds during the period to be covered by that
             820      development and conversion, plus a period of six months following the completion of the
             821      development and conversion; and
             822          (iii) all related engineering, consulting, and legal fees.
             823          (c) For the State Tax Commission, proceeds shall be provided for the following:
             824      PROJECT
DESCRIPTION
AMOUNT
FUNDED
             825      UTAX SYSTEMS ACQUISITION AND
DEVELOPMENT
$15,650,000
             826          (3) The commission, by resolution may decline to issue bonds if the project could be
             827      construed to violate state law or federal law or regulation.
             828          (4) (a) For this project, for which only partial funding is provided in Subsection (2), it
             829      is the intent of the Legislature that the balance necessary to complete the project be addressed
             830      by future Legislatures, either through appropriations or through the issuance or sale of bonds.
             831          (b) The State Tax Commission may enter into contracts for amounts not to exceed the
             832      anticipated full project funding but may not allow work to be performed on those contracts in
             833      excess of the funding already authorized by the Legislature.
             834          (c) Those contracts shall contain a provision for termination of the contract for the
             835      convenience of the state [as required by Section 63G-6a-1202 ].
             836          (d) It is also the intent of the Legislature that this authorization to the State Tax
             837      Commission does not bind future Legislatures to fund projects initiated from this authorization.
             838          Section 13. Section 63B-8-102 is amended to read:
             839           63B-8-102. Maximum amount -- Projects authorized.
             840          (1) The total amount of bonds issued under this part may not exceed $48,500,000.
             841          (2) (a) Proceeds from the issuance of bonds shall be provided to the division to provide
             842      funds to pay all or part of the cost of acquiring and constructing the projects listed in this
             843      Subsection (2).
             844          (b) These costs may include the cost of acquiring land, interests in land, easements and
             845      rights-of-way, improving sites, and acquiring, constructing, equipping, and furnishing facilities
             846      and all structures, roads, parking facilities, utilities, and improvements necessary, incidental, or
             847      convenient to the facilities, interest estimated to accrue on these bonds during the period to be
             848      covered by construction of the projects plus a period of six months after the end of the
             849      construction period, and all related engineering, architectural, and legal fees.
             850          (c) For the division, proceeds shall be provided for the following:


             851     

PROJECT
DESCRIPTION


AMOUNT
FUNDED
ESTIMATED
OPERATIONS
AND
MAINTENANCE
             852      Southern Utah University - Physical Education
Building
$2,493,200 $447,744
             853      Utah Valley State College - Information Sciences
Building
$29,000,000 $721,875
             854      University of Utah - Cowles Building Renovation $7,268,500 $140,217
             855      Vernal District Court $4,539,500 $149,989
             856      Salt Lake Community College - Applied Education
Center
$4,200,000 $281,784
             857      TOTAL CAPITAL AND ECONOMIC
DEVELOPMENT
$47,501,200
             858          (d) For purposes of this section, operations and maintenance costs:
             859          (i) are estimates only;
             860          (ii) may include any operations and maintenance costs already funded in existing
             861      agency budgets; and
             862          (iii) are not commitments by this Legislature or future Legislatures to fund those
             863      operations and maintenance costs.
             864          (3) (a) The amounts funded as listed in Subsection (2) are estimates only and do not
             865      constitute a limitation on the amount that may be expended for any project.
             866          (b) The board may revise these estimates and redistribute the amount estimated for a
             867      project among the projects authorized.
             868          (c) The commission, by resolution and in consultation with the board, may delete one
             869      or more projects from this list if the inclusion of that project or those projects in the list could
             870      be construed to violate state law or federal law or regulation.


             871          (4) (a) The division may enter into agreements related to these projects before the
             872      receipt of proceeds of bonds issued under this chapter.
             873          (b) The division shall make those expenditures from unexpended and unencumbered
             874      building funds already appropriated to the Capital Projects Fund.
             875          (c) The division shall reimburse the Capital Projects Fund upon receipt of the proceeds
             876      of bonds issued under this chapter.
             877          (d) The commission may, by resolution, make any statement of intent relating to that
             878      reimbursement that is necessary or desirable to comply with federal tax law.
             879          (5) (a) For those projects for which only partial funding is provided in Subsection (2),
             880      it is the intent of the Legislature that the balance necessary to complete the projects be
             881      addressed by future Legislatures, either through appropriations or through the issuance or sale
             882      of bonds.
             883          (b) For those phased projects, the division may enter into contracts for amounts not to
             884      exceed the anticipated full project funding but may not allow work to be performed on those
             885      contracts in excess of the funding already authorized by the Legislature.
             886          (c) Those contracts shall contain a provision for termination of the contract for the
             887      convenience of the state [as required by Section 63G-6a-1202 ].
             888          (d) It is also the intent of the Legislature that this authorization to the division does not
             889      bind future Legislatures to fund projects initiated from this authorization.
             890          Section 14. Section 63B-8-402 is amended to read:
             891           63B-8-402. Maximum amount -- Projects authorized.
             892          (1) The total amount of bonds issued under this part may not exceed $7,400,000.
             893          (2) (a) Proceeds from the issuance of bonds shall be provided to the division to provide
             894      funds to pay all or part of the cost of acquiring and constructing the project listed in this
             895      Subsection (2).
             896          (b) These costs may include the cost of acquiring land, interests in land, easements and
             897      rights-of-way, improving sites, and acquiring, constructing, equipping, and furnishing facilities
             898      and all structures, roads, parking facilities, utilities, and improvements necessary, incidental, or


             899      convenient to the facilities, interest estimated to accrue on these bonds during the period to be
             900      covered by construction of the projects plus a period of six months after the end of the
             901      construction period, and all related engineering, architectural, and legal fees.
             902          (c) For the division, proceeds shall be provided for the following:
             903     

PROJECT
DESCRIPTION


AMOUNT
FUNDED
ESTIMATED
OPERATIONS
AND
MAINTENANCE
             904      State Hospital - Rampton II $7,000,000 $462,000
             905          (d) For purposes of this section, operations and maintenance costs:
             906          (i) are estimates only;
             907          (ii) may include any operations and maintenance costs already funded in existing
             908      agency budgets; and
             909          (iii) are not commitments by this Legislature or future Legislatures to fund those
             910      operations and maintenance costs.
             911          (3) (a) The amounts funded as listed in Subsection (2) are estimates only and do not
             912      constitute a limitation on the amount that may be expended for any project.
             913          (b) The board may revise these estimates and redistribute the amount estimated for a
             914      project among the projects authorized.
             915          (c) The commission, by resolution and in consultation with the board, may delete one
             916      or more projects from this list if the inclusion of that project or those projects in the list could
             917      be construed to violate state law or federal law or regulation.
             918          (4) (a) The division may enter into agreements related to these projects before the
             919      receipt of proceeds of bonds issued under this chapter.
             920          (b) The division shall make those expenditures from unexpended and unencumbered
             921      building funds already appropriated to the Capital Projects Fund.
             922          (c) The division shall reimburse the Capital Projects Fund upon receipt of the proceeds
             923      of bonds issued under this chapter.


             924          (d) The commission may, by resolution, make any statement of intent relating to that
             925      reimbursement that is necessary or desirable to comply with federal tax law.
             926          (5) (a) For those projects for which only partial funding is provided in Subsection (2),
             927      it is the intent of the Legislature that the balance necessary to complete the projects be
             928      addressed by future Legislatures, either through appropriations or through the issuance or sale
             929      of bonds.
             930          (b) For those phased projects, the division may enter into contracts for amounts not to
             931      exceed the anticipated full project funding but may not allow work to be performed on those
             932      contracts in excess of the funding already authorized by the Legislature.
             933          (c) Those contracts shall contain a provision for termination of the contract for the
             934      convenience of the state [as required by Section 63G-6a-1202 ].
             935          (d) It is also the intent of the Legislature that this authorization to the division does not
             936      bind future Legislatures to fund projects initiated from this authorization.
             937          Section 15. Section 63B-9-103 is amended to read:
             938           63B-9-103. Other capital facility authorizations and intent language.
             939          (1) It is the intent of the Legislature that:
             940          (a) Utah State University use institutional funds to plan, design, and construct a
             941      renovation and expansion of the Edith Bowen School under the direction of the director of the
             942      Division of Facilities Construction and Management unless supervisory authority has been
             943      delegated;
             944          (b) no state funds be used for any portion of this project; and
             945          (c) the university may request state funds for operations and maintenance to the extent
             946      that the university is able to demonstrate to the Board of Regents that the facility meets
             947      approved academic and training purposes under Board of Regents policy R710.
             948          (2) It is the intent of the Legislature that:
             949          (a) the University of Utah use institutional funds to plan, design, and construct a
             950      College of Science Math Center under the direction of the director of the Division of Facilities
             951      Construction and Management unless supervisory authority has been delegated;


             952          (b) no state funds be used for any portion of this project; and
             953          (c) the university may request state funds for operations and maintenance to the extent
             954      that the university is able to demonstrate to the Board of Regents that the facility meets
             955      approved academic and training purposes under Board of Regents policy R710.
             956          (3) It is the intent of the Legislature that:
             957          (a) the University of Utah use institutional funds to plan, design, and construct a
             958      Burbidge Athletics and Academics Building under the direction of the director of the Division
             959      of Facilities Construction and Management unless supervisory authority has been delegated;
             960          (b) no state funds be used for any portion of this project; and
             961          (c) the university may not request state funds for operations and maintenance.
             962          (4) It is the intent of the Legislature that:
             963          (a) the University of Utah use institutional funds to plan, design, and construct an
             964      expansion to the bookstore under the direction of the director of the Division of Facilities
             965      Construction and Management unless supervisory authority has been delegated;
             966          (b) no state funds be used for any portion of this project; and
             967          (c) the university may not request state funds for operations and maintenance.
             968          (5) It is the intent of the Legislature that:
             969          (a) the University of Utah use institutional funds to plan, design, and construct a Health
             970      Sciences/Basic Sciences Building under the direction of the director of the Division of
             971      Facilities Construction and Management unless supervisory authority has been delegated;
             972          (b) no state funds be used for any portion of this project; and
             973          (c) the university may request state funds for operations and maintenance to the extent
             974      that the university is able to demonstrate to the Board of Regents that the facility meets
             975      approved academic and training purposes under Board of Regents policy R710.
             976          (6) It is the intent of the Legislature that:
             977          (a) Weber State University use institutional funds to plan, design, and construct an
             978      expansion to the stadium under the direction of the director of the Division of Facilities
             979      Construction and Management unless supervisory authority has been delegated;


             980          (b) no state funds be used for any portion of this project; and
             981          (c) the university may not request state funds for operations and maintenance.
             982          (7) It is the intent of the Legislature that:
             983          (a) Utah Valley State College use institutional funds to plan, design, and construct a
             984      baseball stadium under the direction of the director of the Division of Facilities Construction
             985      and Management unless supervisory authority has been delegated;
             986          (b) no state funds be used for any portion of this project; and
             987          (c) the college may not request state funds for operations and maintenance.
             988          (8) It is the intent of the Legislature that:
             989          (a) Southern Utah University use institutional funds to plan, design, and construct a
             990      weight training room under the direction of the director of the Division of Facilities
             991      Construction and Management unless supervisory authority has been delegated;
             992          (b) no state funds be used for any portion of this project; and
             993          (c) the university may not request state funds for operations and maintenance.
             994          (9) It is the intent of the Legislature that:
             995          (a) Snow College may lease land at the Snow College Richfield campus to a private
             996      developer for the construction and operation of student housing;
             997          (b) the oversight and inspection of the construction comply with Section 63A-5-206 ;
             998          (c) no state funds be used for any portion of this project; and
             999          (d) the college may not request state funds for operations and maintenance.
             1000          (10) It is the intent of the Legislature that:
             1001          (a) Salt Lake Community College may lease land at the Jordan campus to Jordan
             1002      School District for the construction and operation of an Applied Technology Education Center;
             1003          (b) the oversight and inspection of the construction comply with Section 63A-5-206 ;
             1004          (c) no state funds be used for any portion of this project; and
             1005          (d) the college may not request state funds for operations and maintenance.
             1006          (11) It is the intent of the Legislature that:
             1007          (a) the Department of Transportation exchange its maintenance station at Kimball


             1008      Junction for property located near Highway 40 in Summit County; and
             1009          (b) the Department of Transportation use federal funds, rent paid by the Salt Lake
             1010      Organizing Committee for the use of the maintenance station, and any net proceeds resulting
             1011      from the exchange of property to construct a replacement facility under the direction of the
             1012      director of the Division of Facilities Construction and Management unless supervisory
             1013      authority has been delegated.
             1014          (12) It is the intent of the Legislature that:
             1015          (a) the Department of Transportation sell surplus property in Utah County;
             1016          (b) the Department of Transportation use funds from that sale to remodel existing
             1017      space and add an addition to the Region 3 Complex; and
             1018          (c) the project cost not exceed the funds received through sale of property.
             1019          (13) It is the intent of the Legislature that the Department of Workforce Services use
             1020      proceeds from property sales to purchase additional property adjacent to its state-owned facility
             1021      in Logan.
             1022          (14) (a) It is the intent of the Legislature that, because only partial funding is provided
             1023      for the Heat Plant/Infrastructure Project at Utah State University, the balance necessary to
             1024      complete this project be addressed by future Legislatures, either through appropriations or
             1025      through the issuance of bonds.
             1026          (b) (i) In compliance with Section 63A-5-207 , the division may enter into contracts for
             1027      amounts not to exceed the anticipated full project funding but may not allow work to be
             1028      performed on those contracts in excess of the funding already authorized by the Legislature.
             1029          (ii) Those contracts shall contain a provision for termination of the contract for the
             1030      convenience of the state [as required by Section 63G-6a-1202 ].
             1031          (c) It is also the intent of the Legislature that this authorization to the division does not
             1032      bind future Legislatures to fund the Heat Plant/Infrastructure Project at Utah State University.
             1033          Section 16. Section 63B-11-202 is amended to read:
             1034           63B-11-202. Maximum amount -- Projects authorized.
             1035          (1) (a) The total amount of bonds issued under this part may not exceed $21,250,000.


             1036          (b) When Utah State University certifies to the commission that the university has
             1037      obtained reliable commitments, convertible to cash, of $5,000,000 or more in nonstate funds to
             1038      construct an addition to the new engineering building and demolish the existing engineering
             1039      classroom building, the commission may issue and sell general obligation bonds in a total
             1040      amount not to exceed $6,100,000.
             1041          (c) When the University of Utah certifies to the commission that the university has
             1042      obtained reliable commitments, convertible to cash, of $13,000,000 or more in nonstate funds
             1043      to construct a new engineering building, the commission may issue and sell general obligation
             1044      bonds in a total amount not to exceed $15,150,000.
             1045          (2) (a) Proceeds from the issuance of bonds shall be provided to the division to provide
             1046      funds to pay all or part of the cost of acquiring and constructing the projects listed in this
             1047      Subsection (2).
             1048          (b) These costs may include the cost of acquiring land, interests in land, easements and
             1049      rights-of-way, improving sites, and acquiring, constructing, equipping, and furnishing facilities
             1050      and all structures, roads, parking facilities, utilities, and improvements necessary, incidental, or
             1051      convenient to the facilities, interest estimated to accrue on these bonds during the period to be
             1052      covered by construction of the projects plus a period of six months after the end of the
             1053      construction period, and all related engineering, architectural, and legal fees.
             1054          (c) For the division, proceeds shall be provided for the following:
             1055     


PROJECT
DESCRIPTION



AMOUNT
FUNDED
ESTIMATED
OPERATING
AND
MAINTENANCE
COSTS
             1056      1. Utah State University Engineering Building
Renovation
$5,943,500 $425,000
             1057      2. University of Utah New Engineering Building $15,000,000 $489,000
             1058      COSTS OF ISSUANCE $306,500
             1059      TOTAL CAPITAL AND ECONOMIC DEVELOPMENT $21,250,000
             1060          (d) For purposes of this section, operations and maintenance costs:
             1061          (i) are estimates only;
             1062          (ii) may include any operations and maintenance costs already funded in existing
             1063      agency budgets; and
             1064          (iii) are not commitments by this Legislature or future Legislatures to fund those
             1065      operations and maintenance costs.
             1066          (3) (a) The amounts funded as listed in Subsection (2) are estimates only and do not
             1067      constitute a limitation on the amount that may be expended for any project.
             1068          (b) The board may revise these estimates and redistribute the amount estimated for a
             1069      project among the projects authorized.
             1070          (c) The commission, by resolution and in consultation with the board, may delete one
             1071      or more projects from this list if the inclusion of that project or those projects in the list could
             1072      be construed to violate state law or federal law or regulation.
             1073          (4) (a) The division may enter into agreements related to these projects before the
             1074      receipt of proceeds of bonds issued under this chapter.
             1075          (b) The division shall make those expenditures from unexpended and unencumbered
             1076      building funds already appropriated to the Capital Projects Fund.
             1077          (c) The division shall reimburse the Capital Projects Fund upon receipt of the proceeds
             1078      of bonds issued under this chapter.
             1079          (d) The commission may, by resolution, make any statement of intent relating to that
             1080      reimbursement that is necessary or desirable to comply with federal tax law.
             1081          (5) (a) For those projects for which only partial funding is provided in Subsection (2),
             1082      it is the intent of the Legislature that the balance necessary to complete the projects be
             1083      addressed by future Legislatures, either through appropriations or through the issuance or sale
             1084      of bonds.
             1085          (b) For those phased projects, the division may enter into contracts for amounts not to


             1086      exceed the anticipated full project funding but may not allow work to be performed on those
             1087      contracts in excess of the funding already authorized by the Legislature.
             1088          (c) Those contracts shall contain a provision for termination of the contract for the
             1089      convenience of the state [as required by Section 63G-6a-1202 ].
             1090          (d) It is also the intent of the Legislature that this authorization to the division does not
             1091      bind future Legislatures to fund projects initiated from this authorization.
             1092          Section 17. Section 63F-1-205 is amended to read:
             1093           63F-1-205. Approval of acquisitions of information technology.
             1094          (1) (a) Except as provided in Title 63M, Chapter 1, Part 26, Government Procurement
             1095      Private Proposal Program, in accordance with Subsection (2), the chief information officer
             1096      shall approve the acquisition by an executive branch agency of:
             1097          (i) information technology equipment;
             1098          (ii) telecommunications equipment;
             1099          (iii) software;
             1100          (iv) services related to the items listed in Subsections (1)(a)(i) through (iii); and
             1101          (v) data acquisition.
             1102          (b) The chief information officer may negotiate the purchase, lease, or rental of private
             1103      or public information technology or telecommunication services or facilities in accordance with
             1104      this section.
             1105          (c) Where practical, efficient, and economically beneficial, the chief information
             1106      officer shall use existing private and public information technology or telecommunication
             1107      resources.
             1108          (d) Notwithstanding another provision of this section, an acquisition authorized by this
             1109      section shall comply with rules made by the applicable rulemaking authority under Title 63G,
             1110      Chapter 6a, Utah Procurement Code.
             1111          (2) Before negotiating a purchase, lease, or rental under Subsection (1) for an amount
             1112      that exceeds the value established by the chief information officer by rule in accordance with
             1113      Section 63F-1-206 , the chief information officer shall:


             1114          (a) conduct an analysis of the needs of executive branch agencies and subscribers of
             1115      services and the ability of the proposed information technology or telecommunications services
             1116      or supplies to meet those needs; and
             1117          (b) for purchases, leases, or rentals not covered by an existing statewide contract,
             1118      provide in writing to the chief procurement officer in the Division of Purchasing and General
             1119      Services that:
             1120          (i) the analysis required in Subsection (2)(a) was completed; and
             1121          (ii) based on the analysis, the proposed purchase, lease, rental, or master contract of
             1122      services, products, or supplies is practical, efficient, and economically beneficial to the state
             1123      and the executive branch agency or subscriber of services.
             1124          (3) In approving an acquisition described in Subsections (1) and (2), the chief
             1125      information officer shall:
             1126          (a) establish by administrative rule, in accordance with Section 63F-1-206 , standards
             1127      under which an agency must obtain approval from the chief information officer before
             1128      acquiring the items listed in Subsections (1) and (2);
             1129          (b) for those acquisitions requiring approval, determine whether the acquisition is in
             1130      compliance with:
             1131          (i) the executive branch strategic plan;
             1132          (ii) the applicable agency information technology plan;
             1133          (iii) the budget for the executive branch agency or department as adopted by the
             1134      Legislature; and
             1135          (iv) Title 63G, Chapter 6a, Utah Procurement Code; and
             1136          (c) in accordance with Section 63F-1-207 , require coordination of acquisitions between
             1137      two or more executive branch agencies if it is in the best interests of the state.
             1138          (4) (a) Each executive branch agency shall provide the chief information officer with
             1139      complete access to all information technology records, documents, and reports:
             1140          (i) at the request of the chief information officer; and
             1141          (ii) related to the executive branch agency's acquisition of any item listed in Subsection


             1142      (1).
             1143          (b) Beginning July 1, 2006 and in accordance with administrative rules established by
             1144      the department under Section 63F-1-206 , no new technology projects may be initiated by an
             1145      executive branch agency or the department unless the technology project is described in a
             1146      formal project plan and the business case analysis has been approved by the chief information
             1147      officer and agency head. The project plan and business case analysis required by this
             1148      Subsection (4) shall be in the form required by the chief information officer, and shall include:
             1149          (i) a statement of work to be done and existing work to be modified or displaced;
             1150          (ii) total cost of system development and conversion effort, including system analysis
             1151      and programming costs, establishment of master files, testing, documentation, special
             1152      equipment cost and all other costs, including overhead;
             1153          (iii) savings or added operating costs that will result after conversion;
             1154          (iv) other advantages or reasons that justify the work;
             1155          (v) source of funding of the work, including ongoing costs;
             1156          (vi) consistency with budget submissions and planning components of budgets; and
             1157          (vii) whether the work is within the scope of projects or initiatives envisioned when the
             1158      current fiscal year budget was approved.
             1159          (5) (a) The chief information officer and the Division of Purchasing and General
             1160      Services shall work cooperatively to establish procedures under which the chief information
             1161      officer shall monitor and approve acquisitions as provided in this section.
             1162          (b) The procedures established under this section shall include at least the written
             1163      certification required by Subsection 63G-6a-303 [(5)](1)(e).
             1164          Section 18. Section 63G-6a-102 is amended to read:
             1165           63G-6a-102. Purpose of chapter.
             1166          The underlying purposes and policies of this chapter are:
             1167          (1) to simplify, clarify, and modernize the law governing procurement [by this] in the
             1168      state;
             1169          (2) to ensure the fair and equitable treatment of all persons who deal with the


             1170      procurement system [of this state];
             1171          (3) to provide increased economy in state procurement activities; and
             1172          (4) to foster effective broad-based competition within the free enterprise system.
             1173          Section 19. Section 63G-6a-103 is amended to read:
             1174           63G-6a-103. Definitions.
             1175          As used in this chapter:
             1176          (1) "Architect-engineer services" means:
             1177          (a) professional services within the scope of the practice of architecture as defined in
             1178      Section 58-3a-102 ; [or]
             1179          (b) professional engineering as defined in Section 58-22-102 [.]; or
             1180          (c) master planning and programming services.
             1181          (2) "Bidder" means a person who responds to an invitation for bids.
             1182          (3) "Change directive" means a written order signed by the procurement officer that
             1183      directs the contractor to suspend work or make changes, as authorized by contract, without the
             1184      consent of the contractor.
             1185          (4) "Change order" means a written alteration in specifications, delivery point, rate of
             1186      delivery, period of performance, price, quantity, or other provisions of a contract, upon mutual
             1187      agreement of the parties to the contract.
             1188          (5) "Chief procurement officer" means the chief procurement officer appointed under
             1189      Subsection 63G-6a-302 (1).
             1190          (6) "Conducting procurement unit" means a procurement unit that conducts all aspects
             1191      of a procurement:
             1192          (a) except:
             1193          (i) reviewing a solicitation to verify that it is in proper form; and
             1194          (ii) causing the publication of a notice of a solicitation; and
             1195          (b) including:
             1196          (i) preparing any solicitation document;
             1197          (ii) appointing an evaluation committee;


             1198          (iii) conducting the evaluation process, except as provided in Subsection
             1199      63G-6a-707 (5)(b) relating to scores calculated for costs of proposals;
             1200          (iv) selecting and recommending the person to be awarded a contract;
             1201          (v) negotiating the terms and conditions of a contract, subject to the issuing
             1202      procurement unit's approval; and
             1203          (vi) administering a contract.
             1204          [(6)] (7) (a) "Construction" means the process of building, renovating, altering,
             1205      improving, or repairing a public building or public work.
             1206          (b) "Construction" does not include the routine operation, routine repair, or routine
             1207      maintenance of an existing structure, building, or real property.
             1208          [(7)] (8) (a) "Construction manager/general contractor" means a contractor who enters
             1209      into a contract for the management of a construction project when the contract allows the
             1210      contractor to subcontract for additional labor and materials that are not included in the
             1211      contractor's cost proposal submitted at the time of the procurement of the contractor's services.
             1212          (b) "Construction manager/general contractor" does not include a contractor whose
             1213      only subcontract work not included in the contractor's cost proposal submitted as part of the
             1214      procurement of the contractor's services is to meet subcontracted portions of change orders
             1215      approved within the scope of the project.
             1216          [(8)] (9) "Contract" means an agreement for the procurement or disposal of a
             1217      procurement item.
             1218          [(9)] (10) "Contractor" means a person who is awarded a contract with a procurement
             1219      unit.
             1220          [(10)] (11) "Cooperative procurement" means procurement conducted by, or on behalf
             1221      of[,]:
             1222          (a) more than one procurement unit[,]; or [by]
             1223          (b) a procurement unit [and an external procurement unit.] and a cooperative
             1224      purchasing organization.
             1225          [(11)] (12) "Cost-plus-a-percentage-of-cost contract" means a contract where the


             1226      contractor is paid a percentage over and above the contractor's actual expenses or costs.
             1227          [(12)] (13) "Cost-reimbursement contract" means a contract under which a contractor
             1228      is reimbursed for costs which are allowed and allocated in accordance with the contract terms
             1229      and the provisions of this chapter, and a fee, if any.
             1230          [(13)] (14) "Days" means calendar days, unless expressly provided otherwise.
             1231          [(14)] (15) "Definite quantity contract" means a fixed price contract that provides for
             1232      the supply of a specified amount of goods over a specified period, with deliveries scheduled
             1233      according to a specified schedule.
             1234          [(15)] (16) "Design-build" means the procurement of architect-engineer services and
             1235      construction by the use of a single contract with the design-build provider.
             1236          [(16)] (17) "Director" means the director of the division.
             1237          [(17)] (18) "Established catalogue price" means the price included in a catalogue, price
             1238      list, schedule, or other form that:
             1239          (a) is regularly maintained by a manufacturer or contractor;
             1240          (b) is either published or otherwise available for inspection by customers; and
             1241          (c) states prices at which sales are currently or were last made to a significant number
             1242      of any category of buyers or buyers constituting the general buying public for the supplies or
             1243      services involved.
             1244          [(18)] (19) "Fixed price contract" means a contract that provides a price, for each
             1245      procurement item obtained under the contract, that is not subject to adjustment except to the
             1246      extent that:
             1247          (a) the contract provides, under circumstances specified in the contract, for an
             1248      adjustment in price that is not based on cost to the contractor; or
             1249          (b) an adjustment is required by law.
             1250          [(19)] (20) "Fixed price contract with price adjustment" means a fixed price contract
             1251      that provides for an upward or downward revision of price, precisely described in the contract,
             1252      that:
             1253          (a) is based on the consumer price index or another commercially acceptable index,


             1254      source, or formula; and
             1255          (b) is not based on a percentage of the cost to the contractor.
             1256          [(20)] (21) (a) "Grant" means furnishing, by a public entity or by any other public or
             1257      private source, financial or other assistance to a person to support a program authorized by law.
             1258          (b) "Grant" does not include:
             1259          (i) an award whose primary purpose is to procure an end product or procurement item;
             1260      or
             1261          (ii) a contract that is awarded as a result of a procurement or a procurement process.
             1262          [(21)] (22) "Head of a procurement unit" means:
             1263          (a) as it relates to a legislative procurement unit, any person designated by rule made
             1264      by the applicable rulemaking authority;
             1265          (b) as it relates to an executive branch procurement unit:
             1266          (i) the director of a division; or
             1267          (ii) any other person designated by the board, by rule;
             1268          (c) as it relates to a judicial procurement unit:
             1269          (i) the Judicial Council; or
             1270          (ii) any other person designated by the Judicial Council, by rule;
             1271          (d) as it relates to a local government procurement unit:
             1272          (i) the legislative body of the local government procurement unit; or
             1273          (ii) any other person designated by the local government procurement unit;
             1274          (e) as it relates to a local district, the board of trustees of the local district or a designee
             1275      of the board of trustees;
             1276          (f) as it relates to a special service district, the governing body of the special service
             1277      district or a designee of the governing body;
             1278          (g) as it relates to a local building authority, the board of directors of the local building
             1279      authority or a designee of the board of directors;
             1280          (h) as it relates to a conservation district, the board of supervisors of the conservation
             1281      district or a designee of the board of supervisors;


             1282          (i) as it relates to a public corporation, the board of directors of the public corporation
             1283      or a designee of the board of directors;
             1284          (j) as it relates to a school district or any school or entity within a school district, the
             1285      board of the school district, or the board's designee;
             1286          (k) as it relates to a charter school, the individual or body with executive authority over
             1287      the charter school, or the individual's or body's designee;
             1288          (l) as it relates to an institution of higher education of the state, the president of the
             1289      institution of higher education, or the president's designee; or
             1290          (m) as it relates to a public transit district, the board of trustees or a designee of the
             1291      board of trustees.
             1292          [(22)] (23) "Indefinite quantity contract" means a fixed price contract that:
             1293          (a) is for an indefinite amount of procurement items to be supplied as ordered by a
             1294      procurement unit; and
             1295          (b) (i) does not require a minimum purchase amount; or
             1296          (ii) provides a maximum purchase limit.
             1297          [(23)] (24) "Independent procurement authority" means authority granted to a
             1298      procurement unit[,] under Subsection [ 63G-6a-108 (2), to engage in a procurement without
             1299      oversight or control of the division] 63G-6a-106(4)(a).
             1300          [(24)] (25) "Invitation for bids" includes all documents, including documents that are
             1301      attached or incorporated by reference, used for soliciting bids to provide a procurement item to
             1302      a procurement unit.
             1303          [(25)] (26) "Issuing procurement unit" means a procurement unit that:
             1304          [(a) the division, if the division issues the invitation for bids or the request for
             1305      proposals; or]
             1306          [(b) the procurement unit, with independent procurement authority, that issues the
             1307      invitation for bids or the request for proposals.]
             1308          (a) reviews a solicitation to verify that it is in proper form;
             1309          (b) causes the notice of a solicitation to be published; and


             1310          (c) negotiates the terms and conditions of a contract.
             1311          [(26)] (27) "Labor hour contract" is a contract where:
             1312          (a) the supplies and materials are not provided by, or through, the contractor; and
             1313          (b) the contractor is paid a fixed rate that includes the cost of labor, overhead, and
             1314      profit for a specified number of labor hours or days.
             1315          [(27)] (28) "Multiple award contracts" means the award of a contract for an indefinite
             1316      quantity of a procurement item to more than one bidder or offeror.
             1317          [(28)] (29) "Multiyear contract" means a contract that extends beyond a one-year
             1318      period, including a contract that permits renewal of the contract, without competition, beyond
             1319      the first year of the contract.
             1320          [(29)] (30) "Municipality" means a city or a town.
             1321          [(30)] (31) "Offeror" means a person who responds to a request for proposals.
             1322          [(31)] (32) "Preferred bidder" means a bidder that is entitled to receive a reciprocal
             1323      preference under the requirements of this chapter.
             1324          [(32)] (33) (a) "Procure" or "procurement" means buying, purchasing, renting, leasing,
             1325      leasing with an option to purchase, or otherwise acquiring a procurement item.
             1326          (b) "Procure" or "procurement" includes all functions that pertain to the obtaining of a
             1327      procurement item, including:
             1328          (i) the description of requirements;
             1329          (ii) the selection process;
             1330          (iii) solicitation of sources;
             1331          (iv) the preparation for soliciting a procurement item; and
             1332          (v) the award of a contract[; and].
             1333          [(vi) all phases of contract administration.]
             1334          [(33)] (34) "Procurement item" means a supply, a service, construction, or technology.
             1335          [(34)] (35) "Procurement officer" means:
             1336          (a) as it relates to a procurement unit with independent procurement authority:
             1337          (i) the head of the procurement unit;


             1338          (ii) a designee of the head of the procurement unit; or
             1339          (iii) a person designated by rule made by the applicable rulemaking authority; or
             1340          (b) as it relates to the division or a procurement unit without independent procurement
             1341      authority, the chief procurement officer.
             1342          [(35)] (36) "Professional service" means a service that requires a high degree of
             1343      specialized knowledge and discretion in the performance of the service, including:
             1344          (a) legal services;
             1345          (b) consultation services;
             1346          (c) architectural services;
             1347          (d) engineering;
             1348          (e) design;
             1349          (f) underwriting;
             1350          (g) bond counsel;
             1351          (h) financial advice;
             1352          (i) construction management;
             1353          (j) medical services;
             1354          (k) psychiatric services; or
             1355          (l) counseling services.
             1356          [(36)] (37) "Protest officer" means:
             1357          (a) as it relates to the division or a procurement unit with independent procurement
             1358      authority:
             1359          (i) the head of the procurement unit;
             1360          (ii) a designee of the head of the procurement unit; or
             1361          (iii) a person designated by rule made by the applicable rulemaking authority; or
             1362          (b) as it relates to a procurement unit without independent procurement authority, the
             1363      chief procurement officer or the chief procurement officer's designee.
             1364          [(37)] (38) "Request for information" means a nonbinding process where a
             1365      procurement unit requests information relating to a procurement item.


             1366          [(38)] (39) "Request for proposals" includes all documents, including documents that
             1367      are attached or incorporated by reference, used for soliciting proposals to provide a
             1368      procurement item to a procurement unit.
             1369          (40) "Request for statement of qualifications" means all documents used to solicit
             1370      information about the qualifications of the person interested in responding to a potential
             1371      procurement, including documents attached or incorporated by reference.
             1372          [(39)] (41) "Requirements contract" means a contract:
             1373          (a) where a contractor agrees to provide a procurement unit's entire requirements for
             1374      certain procurement items at prices specified in the contract during the contract period; and
             1375          (b) that:
             1376          (i) does not require a minimum purchase amount; or
             1377          (ii) provides a maximum purchase limit.
             1378          [(40)] (42) "Responsible" means [that a bidder or offeror: (a) is] being capable, in all
             1379      respects, of: [to fully perform the contract requirements solicited in an invitation for bids or a
             1380      request for proposals; and]
             1381          [(b) has the integrity and reliability to ensure good faith performance.]
             1382          (a) meeting all the requirements of a solicitation; and
             1383          (b) fully performing all the requirements of the contract resulting from the solicitation,
             1384      including being financially solvent with sufficient financial resources to perform the contract.
             1385          [(41)] (43) "Responsive" means [that a bidder or offeror submits a response to an
             1386      invitation for bids or a request for proposals that conforms] conforming in all material respects
             1387      to the invitation for bids or request for proposals.
             1388          [(42)] (44) "Sealed" means manually or electronically sealed and submitted bids or
             1389      proposals.
             1390          [(43)] (45) (a) "Services" means the furnishing of labor, time, or effort by a contractor,
             1391      not involving the delivery of a specific end product other than a report that is incidental to the
             1392      required performance.
             1393          (b) "Services" does not include an employment agreement or a collective bargaining


             1394      agreement.
             1395          (46) "Sole source contract" means a contract resulting from a sole source procurement.
             1396          (47) "Sole source procurement" means a procurement without competition pursuant to
             1397      a determination under Subsection 63G-6a-802 (2)(a) that there is only one source for the
             1398      procurement item.
             1399          (48) "Solicitation" means an invitation for bids, request for proposals, notice of a sole
             1400      source procurement, request for statement of qualifications, request for information, or any
             1401      document used to obtain bids, proposals, pricing, qualifications, or information for the purpose
             1402      of entering into a procurement contract.
             1403          [(44)] (49) "Specification" means any description of the physical or functional
             1404      characteristics, or nature of a procurement item included in an invitation for bids or a request
             1405      for proposals, or otherwise specified or agreed to by a procurement unit, including a description
             1406      of:
             1407          (a) a requirement for inspecting or testing a procurement item; or
             1408          (b) preparing a procurement item for delivery.
             1409          [(45)] (50) "Standard procurement process" means one of the following methods of
             1410      obtaining a procurement item:
             1411          (a) bidding, as described in Part 6, Bidding;
             1412          (b) request for proposals, as described in Part 7, Request for Proposals; or
             1413          (c) small purchases, in accordance with the requirements established under Section
             1414      63G-6a-408 .
             1415          [(46)] (51) "State cooperative contract" means a contract awarded by the division for
             1416      and in behalf of all public entities.
             1417          (52) "Statement of qualifications" means a written statement submitted to a
             1418      procurement unit in response to a request for statement of qualifications.
             1419          [(47)] (53) (a) "Subcontractor" means a person under contract with a contractor or
             1420      another subcontractor to provide services or labor for design or construction.
             1421          (b) "Subcontractor" includes a trade contractor or specialty contractor.


             1422          (c) "Subcontractor" does not include a supplier who provides only materials,
             1423      equipment, or supplies to a contractor or subcontractor.
             1424          [(48)] (54) "Supplies" means all property, including equipment, materials, and printing.
             1425          [(49)] (55) "Tie bid" means that the lowest responsive and responsible bids are
             1426      identical in price.
             1427          [(50)] (56) "Time and materials contract" means a contract where the contractor is
             1428      paid:
             1429          (a) the actual cost of direct labor at specified hourly rates;
             1430          (b) the actual cost of materials and equipment usage; and
             1431          (c) an additional amount, expressly described in the contract, to cover overhead and
             1432      profit, that is not based on a percentage of the cost to the contractor.
             1433          Section 20. Section 63G-6a-104 is amended to read:
             1434           63G-6a-104. Definitions of government entities.
             1435          As used in this chapter:
             1436          (1) "Applicable rulemaking authority" means:
             1437          (a) as it relates to a legislative procurement unit, the Legislative Management
             1438      Committee, which shall adopt a policy establishing requirements applicable to a legislative
             1439      procurement unit;
             1440          (b) as it relates to a judicial procurement unit, the Judicial Council;
             1441          (c) as it relates to an executive branch procurement unit, except to the extent provided
             1442      in Subsections (1)(d) through (g), the board;
             1443          (d) as it relates to the State Building Board, created in Section 63A-5-101 , the State
             1444      Building Board, but only to the extent that the rules relate to procurement authority expressly
             1445      granted to the State Building Board by statute;
             1446          (e) as it relates to the Division of Facilities Construction and Management, created in
             1447      Section 63A-5-201 , the director of the Division of Facilities Construction and Management,
             1448      but only to the extent that the rules relate to procurement authority expressly granted to the
             1449      Division of Facilities Construction and Management by statute;


             1450          (f) as it relates to the Office of the Attorney General, the attorney general, but only to
             1451      the extent that the rules relate to procurement authority expressly granted to the attorney
             1452      general by statute;
             1453          (g) as it relates to the Department of Transportation, created in Section 72-1-201 , the
             1454      executive director of the Department of Transportation, but only to the extent that the rules
             1455      relate to procurement authority expressly granted to the Department of Transportation by
             1456      statute;
             1457          (h) as it relates to a local government procurement unit, the legislative body of the local
             1458      government procurement unit, not as a delegation of authority from the Legislature, but under
             1459      the local government procurement unit's own legislative authority;
             1460          (i) as it relates to a school district or a public school, the Utah State Procurement Policy
             1461      Board, except to the extent that a school district makes its own nonadministrative rules, with
             1462      respect to a particular subject, that do not conflict with the provisions of this chapter;
             1463          (j) as it relates to a state institution of higher education, the State Board of Regents;
             1464          (k) as it relates to a public transit district, the chief executive of the public transit
             1465      district;
             1466          (l) as it relates to a local district or a special service district:
             1467          (i) before [May 13, 2014] January 1, 2015, the board of trustees of the local district or
             1468      the governing body of the special service district; or
             1469          (ii) on or after [May 13, 2014] January 1, 2015, the board, except to the extent that the
             1470      board of trustees of the local district or the governing body of the special service district makes
             1471      its own rules:
             1472          (A) with respect to a subject addressed by board rules; or
             1473          (B) that are in addition to board rules; or
             1474          (m) as it relates to a procurement unit, other than a procurement unit described in
             1475      Subsections (1)(a) through (l), the board.
             1476          (2) "Board" means the Utah State Procurement Policy Board, created in Section
             1477      63G-6a-202 .


             1478          (3) "Building board" means the State Building Board created in Section 63A-5-101 .
             1479          (4) "Conservation district" is as defined in Section 17D-3-102 .
             1480          (5) "Cooperative purchasing organization" means an organization, association, or
             1481      alliance of purchasers established to combine purchasing power in order to obtain the best
             1482      value for the purchasers by engaging in procurements in accordance with Section 63G-6a-2105 .
             1483          [(5)] (6) "Division" means the Division of Purchasing and General Services.
             1484          [(6)] (7) "Educational procurement unit" means:
             1485          (a) a school district;
             1486          (b) a public school, including a local school board or a charter school;
             1487          (c) Utah Schools for the Deaf and Blind;
             1488          (d) the Utah Education Network; or
             1489          (e) an institution of higher education of the state.
             1490          [(7)] (8) "Executive branch procurement unit" means each department, division, office,
             1491      bureau, agency, or other organization within the state executive branch, including the division
             1492      and the attorney general's office.
             1493          [(8) "External procurement unit" means:]
             1494          [(a) a buying organization not located in this state which, if located in this state, would
             1495      qualify as a procurement unit; or]
             1496          [(b) an agency of the United States.]
             1497          (9) "Judicial procurement unit" means:
             1498          (a) the Utah Supreme Court;
             1499          (b) the Utah Court of Appeals;
             1500          (c) the Judicial Council;
             1501          (d) a state judicial district; or
             1502          (e) each office, committee, subcommittee, or other organization within the state
             1503      judicial branch.
             1504          (10) "Legislative procurement unit" means:
             1505          (a) the Legislature;


             1506          (b) the Senate;
             1507          (c) the House of Representatives;
             1508          (d) a staff office of an entity described in Subsection (10)(a), (b), or (c); or
             1509          (e) each office, committee, subcommittee, or other organization within the state
             1510      legislative branch.
             1511          (11) "Local building authority" is as defined in Section 17D-2-102 .
             1512          (12) "Local district" is as defined in Section 17B-1-102 .
             1513          (13) "Local government procurement unit" means:
             1514          (a) a county or municipality, and each office or agency of the county or municipality,
             1515      unless the county or municipality adopts its own procurement code by ordinance;
             1516          (b) a county or municipality, and each office or agency of the county or municipality,
             1517      that has adopted this entire chapter by ordinance; or
             1518          (c) a county or municipality, and each office or agency of the county or municipality,
             1519      that has adopted a portion of this chapter by ordinance, to the extent that the term is used in the
             1520      adopted portion of this chapter.
             1521          (14) (a) "Procurement unit" means:
             1522          (i) a legislative procurement unit;
             1523          (ii) an executive branch procurement unit;
             1524          (iii) a judicial procurement unit;
             1525          (iv) an educational procurement unit;
             1526          (v) a local government procurement unit;
             1527          (vi) a local district;
             1528          (vii) a special service district;
             1529          (viii) a local building authority;
             1530          (ix) a conservation district;
             1531          (x) a public corporation; or
             1532          (xi) a public transit district.
             1533          (b) "Procurement unit" does not include a political subdivision created under Title 11,


             1534      Chapter 13, Interlocal Cooperation Act.
             1535          (15) "Public corporation" is as defined in Section 63E-1-102 .
             1536          (16) "Public entity" means any state government entity or a political subdivision of the
             1537      state, including:
             1538          (a) a procurement unit;
             1539          (b) a municipality or county, regardless of whether the municipality or county has
             1540      adopted this chapter or any part of this chapter; and
             1541          (c) any other government entity located in Utah that expends public funds.
             1542          (17) "Public transit district" means a public transit district organized under Title 17B,
             1543      Chapter 2a, Part 8, Public Transit District Act.
             1544          (18) "Special service district" is as defined in Section 17D-1-102 .
             1545          Section 21. Section 63G-6a-106 is amended to read:
             1546           63G-6a-106. Procurement units with specific statutory procurement authority --
             1547      Independent procurement authority.
             1548          [(1) The procurement authority given to a procurement unit under the following
             1549      provisions shall be retained, and shall be applied only to the extent described in those
             1550      provisions:]
             1551          (1) A procurement unit with procurement authority under the following provisions has
             1552      independent procurement authority to the extent of the applicable provisions and for the
             1553      procurement items specified in the applicable provisions:
             1554          (a) Title 53B, State System of Higher Education;
             1555          (b) Title 63A, Chapter 5, State Building Board - Division of Facilities Construction
             1556      and Management;
             1557          (c) Title 67, Chapter 5, Attorney General;
             1558          (d) Title 72, Transportation Code; and
             1559          (e) Title 78A, Chapter 5, District [Courts] Court.
             1560          (2) Except as otherwise provided in Sections 63G-6a-105 and 63G-6a-107 , a
             1561      procurement unit shall conduct a procurement in accordance with this chapter.


             1562          (3) (a) The Department of Transportation may make rules governing the procurement
             1563      of highway construction or improvement.
             1564          (b) The applicable rulemaking authority for a public transit district may make rules
             1565      governing the procurement of a transit construction project or a transit improvement project.
             1566          (c) This Subsection (3) supersedes Subsections (1) and (2).
             1567          [(4) Except to the extent otherwise agreed to in a memorandum of understanding
             1568      between the division and the following entities, the authority of the chief procurement officer
             1569      and of the division does not extend to a procurement unit with independent procurement
             1570      authority.]
             1571          [(5) An entity described in Subsection (4) may, without supervision, interference, or
             1572      involvement by the chief procurement officer or the division, but consistent with the
             1573      requirements of this chapter:]
             1574          (4) (a) A procurement unit listed in Subsection (4)(b) may, without the supervision,
             1575      interference, oversight, control, or involvement of the division or the chief procurement officer,
             1576      but in accordance with the requirements of this chapter:
             1577          [(a)] (i) engage in a standard procurement process;
             1578          [(b)] (ii) procure an item under an exception, as provided in this chapter, to the
             1579      requirement to use a standard procurement process; or
             1580          [(c)] (iii) otherwise engage in an act authorized or required by this chapter.
             1581          (b) The procurement units to which Subsection (4)(a) applies are:
             1582          (i) a legislative procurement unit;
             1583          (ii) a judicial procurement unit;
             1584          (iii) an educational procurement unit;
             1585          (iv) a local government procurement unit;
             1586          (v) a conservation district;
             1587          (vi) a local building authority;
             1588          (vii) a local district;
             1589          (viii) a public corporation;


             1590          (ix) a special service district;
             1591          (x) a public transit district; and
             1592          (xi) a procurement unit referred to in Subsection (1), to the extent authorized in
             1593      Subsection (1).
             1594          (c) A procurement unit with independent procurement authority shall comply with the
             1595      requirements of this chapter.
             1596          (d) Notwithstanding Subsection (4)(a), a procurement unit with independent
             1597      procurement authority may agree in writing with the division to extend the authority of the
             1598      division or the chief procurement officer to the procurement unit, as provided in the agreement.
             1599          [(6)] (5) (a) The attorney general may, in accordance with the provisions of this
             1600      chapter, but without involvement by the division or the chief procurement officer:
             1601          [(a)] (i) retain outside counsel; or
             1602          [(b)] (ii) procure litigation support services, including retaining an expert witness.
             1603          [(7) An entity described in Subsection (4)]
             1604          (b) A procurement unit with independent procurement authority that is not represented
             1605      by the attorney general's office may, in accordance with the provisions of this chapter, but
             1606      without involvement by the division or the chief procurement officer:
             1607          [(a)] (i) retain outside counsel; or
             1608          [(b)] (ii) procure litigation support services, including retaining an expert witness.
             1609          [(8)] (6) The state auditor's office may, in accordance with the provisions of this
             1610      chapter, but without involvement by the division or the chief procurement officer, procure audit
             1611      services.
             1612          [(9)] (7) The state treasurer may, in accordance with the provisions of this chapter, but
             1613      without involvement by the division or the chief procurement officer, procure:
             1614          (a) deposit and investment services; and
             1615          (b) services related to issuing bonds.
             1616          Section 22. Section 63G-6a-107 is amended to read:
             1617           63G-6a-107. Exemptions from chapter -- Compliance with federal law.


             1618          (1) Except for Part [23] 24, Unlawful Conduct and Penalties, the provisions of this
             1619      chapter [are not applicable] do not apply to:
             1620          (a) funds administered under the Percent-for-Art Program of the Utah Percent-for-Art
             1621      Act;
             1622          (b) grants awarded by the state or contracts between the state and any of the following:
             1623          (i) an educational procurement unit;
             1624          (ii) a conservation district;
             1625          (iii) a local building authority;
             1626          (iv) a local district;
             1627          (v) a public corporation;
             1628          (vi) a special service district;
             1629          (vii) a public transit district; or
             1630          (viii) two or more of the entities described in Subsections (1)(b)(i) through (vii), acting
             1631      under legislation that authorizes intergovernmental cooperation;
             1632          (c) medical supplies or medical equipment, including service agreements for medical
             1633      equipment, obtained through a purchasing consortium by the Utah State Hospital, the Utah
             1634      State Developmental Center, the University of Utah Hospital, or any other hospital owned by
             1635      the state or a political subdivision of the state, if:
             1636          (i) the consortium uses a competitive procurement process; and
             1637          (ii) the chief administrative officer of the hospital makes a written finding that the
             1638      prices for purchasing medical supplies and medical equipment through the consortium are
             1639      competitive with market prices; or
             1640          (d) goods purchased for resale[; or] to the public.
             1641          [(e) any action taken by a majority of both houses of the Legislature.]
             1642          [(2) (a) Notwithstanding Subsection (1), the provisions of Part 23, Unlawful Conduct
             1643      and Penalties, are not applicable to an entity described in Subsection (1)(b)(ii), (iii), (iv), (vi),
             1644      (vii), or (viii).]
             1645          [(b)] (2) This chapter does not prevent a procurement unit from complying with the


             1646      terms and conditions of any grant, gift, or bequest that is otherwise consistent with law.
             1647          (3) This chapter does not apply to any action taken by a majority of both houses of the
             1648      Legislature.
             1649          [(3)] (4) Notwithstanding any conflicting provision of this chapter, when a
             1650      procurement involves the expenditure of federal assistance, federal contract funds, local
             1651      matching funds, or federal financial participation funds, the procurement unit shall comply
             1652      with mandatory applicable federal law and regulations not reflected in this chapter.
             1653          [(4)] (5) This chapter does not supersede the requirements for retention or withholding
             1654      of construction proceeds and release of construction proceeds as provided in Section 13-8-5 .
             1655          Section 23. Section 63G-6a-108 is amended to read:
             1656           63G-6a-108. Limitations on and responsibility of executive branch procurement
             1657      units.
             1658          (1) [Except as provided in Subsection (2), a] An executive branch procurement unit
             1659      may not engage in a procurement unless:
             1660          (a) the procurement is made under the direction and control of the division; or
             1661          [(b) the division, pursuant to rules made by the board, permits the procurement unit to
             1662      make the procurement on its own.]
             1663          [(2) Subsection (1) does not apply to the following procurement units, all of which
             1664      have independent procurement authority:]
             1665          [(a) a legislative procurement unit;]
             1666          [(b) a judicial procurement unit;]
             1667          [(c) an educational procurement unit;]
             1668          [(d) a local government procurement unit;]
             1669          [(e) a conservation district;]
             1670          [(f) a local building authority;]
             1671          [(g) a local district;]
             1672          [(h) a public corporation;]
             1673          [(i) a special service district;]


             1674          [(j) the Utah Housing Corporation; or]
             1675          [(k) a public transit district.]
             1676          [(3) A procurement unit with independent procurement authority is not exempt from
             1677      complying with the requirements of this chapter.]
             1678          (b) the procurement is made under Section 63G-6a-106 .
             1679          (2) An executive branch procurement unit that conducts any part of a procurement
             1680      under this chapter is responsible to conduct that part of the procurement in compliance with
             1681      this chapter.
             1682          Section 24. Section 63G-6a-109 is enacted to read:
             1683          63G-6a-109. Issuing procurement unit and conducting procurement unit.
             1684          (1) With respect to a procurement by an executive branch procurement unit:
             1685          (a) the division is the issuing procurement unit; and
             1686          (b) the executive branch procurement unit is the conducting procurement unit and is
             1687      responsible to ensure that the procurement is conducted in compliance with this chapter.
             1688          (2) With respect to a procurement by any other procurement unit, the procurement unit
             1689      is both the issuing procurement unit and the conducting procurement unit.
             1690          Section 25. Section 63G-6a-204 is amended to read:
             1691           63G-6a-204. Applicability of rules and regulations of Utah State Procurement
             1692      Policy Board and State Building Board -- Report to interim committee.
             1693          (1) Except as provided in Subsection (2), rules made by the board under this chapter
             1694      shall govern all procurement units for which the board is the applicable rulemaking authority.
             1695          (2) The building board rules governing procurement of construction, architect-engineer
             1696      services, and leases apply to the procurement of construction, architect-engineer services, and
             1697      leases of real property by the Division of Facilities Construction and Management.
             1698          (3) An applicable rulemaking authority may make its own rules, consistent with this
             1699      chapter, governing procurement by a person over which the applicable rulemaking authority
             1700      has rulemaking authority.
             1701          (4) The board shall make a report on or before July 1 of each year to a legislative


             1702      interim committee, designated by the Legislative Management Committee created under
             1703      Section 36-12-6 , on the establishment, implementation, and enforcement of the rules made
             1704      under Section 63G-6a-203 .
             1705          (5) Notwithstanding Subsection 63G-3-301 (13)(b), an applicable rulemaking authority
             1706      is[, on or before May 13, 2014,] required to initiate rulemaking proceedings, for rules required
             1707      to be made under this chapter[.], on or before:
             1708          (a) May 13, 2014, if the applicable rulemaking authority is the board; or
             1709          (b) January 1, 2015, for each other applicable rulemaking authority.
             1710          Section 26. Section 63G-6a-303 is amended to read:
             1711           63G-6a-303. Duties and authority of chief procurement officer.
             1712          (1) Except as otherwise specifically provided in this chapter, the chief procurement
             1713      officer serves as the central procurement officer of the state and shall:
             1714          [(1)] (a) adopt office policies governing the internal functions of the division;
             1715          [(2)] (b) procure or supervise each procurement over which the chief procurement
             1716      officer has authority;
             1717          [(3)] (c) establish and maintain programs for the inspection, testing, and acceptance of
             1718      each procurement item over which the chief procurement officer has authority;
             1719          [(4)] (d) prepare statistical data concerning each procurement and procurement usage
             1720      of a state procurement unit;
             1721          [(5)] (e) ensure that:
             1722          [(a)] (i) before approving a procurement not covered by an existing statewide contract
             1723      for information technology or telecommunications supplies or services, the chief information
             1724      officer and the agency have stated in writing to the division that the needs analysis required in
             1725      Section 63F-1-205 was completed, unless the procurement is approved in accordance with
             1726      Title 63M, Chapter 1, Part 26, Government Procurement Private Proposal Program; and
             1727          [(b)] (ii) the oversight authority required by Subsection (5)(a) is not delegated outside
             1728      the division; [and]
             1729          [(6)] (f) provide training to procurement units and to persons who do business with


             1730      procurement units[.];
             1731          (g) if the chief procurement officer determines that a procurement over which the chief
             1732      procurement officer has authority is out of compliance with this chapter or board rules:
             1733          (i) correct or amend the procurement to bring it into compliance; or
             1734          (ii) cancel the procurement, if:
             1735          (A) it is not feasible to bring the procurement into compliance; or
             1736          (B) the chief procurement officer determines that it is in the best interest of the state to
             1737      cancel the procurement; and
             1738          (h) if the chief procurement officer determines that a contract over which the chief
             1739      procurement officer has authority is out of compliance with this chapter or board rules, correct
             1740      or amend the contract to bring it into compliance or cancel the contract:
             1741          (i) if the chief procurement officer determines that correcting, amending, or canceling
             1742      the contract is in the best interest of the state; and
             1743          (ii) after consultation with the attorney general's office.
             1744          (2) The chief procurement officer may:
             1745          (a) correct, amend, or cancel a procurement as provided in Subsection (1)(g) at any
             1746      stage of the procurement process; and
             1747          (b) correct, amend, or cancel a contract as provided in Subsection (1)(h) at any time
             1748      during the term of the contract.
             1749          Section 27. Section 63G-6a-402 is amended to read:
             1750           63G-6a-402. Obtaining a procurement item -- Applicable requirements --
             1751      Procurement rules -- State Building Board report.
             1752          (1) Except as otherwise provided in Section 63G-6a-107 , Section 63G-6a-403 , Part 8,
             1753      Exceptions to Procurement Requirements, or elsewhere in this chapter, a procurement unit may
             1754      not obtain a procurement item, unless:
             1755          (a) if the procurement unit is the division or a procurement unit with independent
             1756      procurement authority, the procurement unit:
             1757          (i) uses a standard procurement process or an exception to a standard procurement


             1758      process, described in Part 8, Exceptions to Procurement Requirements; and
             1759          (ii) complies with:
             1760          (A) the requirements of this chapter; and
             1761          (B) the rules made pursuant to this chapter by the applicable rulemaking authority;
             1762          (b) if the procurement unit is a county, a municipality, or the Utah Housing
             1763      Corporation, the procurement unit complies with:
             1764          (i) the requirements of this chapter that are adopted by the procurement unit; and
             1765          (ii) all other procurement requirements that the procurement unit is required to comply
             1766      with; or
             1767          (c) if the procurement unit is not a procurement unit described in [Subsections]
             1768      Subsection (1)(a) or (b), the procurement unit:
             1769          (i) obtains the procurement item under the direction and approval of the division,
             1770      unless otherwise provided by a rule made by the board;
             1771          (ii) uses a standard procurement process; and
             1772          (iii) complies with:
             1773          (A) the requirements of this chapter; and
             1774          (B) the rules made pursuant to this chapter by the applicable rulemaking authority.
             1775          (2) Subject to Subsection (3), the applicable rulemaking authority shall make rules
             1776      relating to the management and control of procurements and procurement procedures by a
             1777      procurement unit.
             1778          (3) (a) Rules made under Subsection (2) shall ensure compliance with the federal
             1779      contract prohibition provisions of the Sudan Accountability and Divestment Act of 2007 (Pub.
             1780      L. No. 110-174) that prohibit contracting with a person doing business in Sudan.
             1781          (b) The State Building Board rules governing procurement of construction,
             1782      architect-engineer services, and leases apply to the procurement of construction,
             1783      architect-engineer services, and leases of real property by the Division of Facilities
             1784      Construction and Management.
             1785          (4) An applicable rulemaking authority that is subject to Title 63G, Chapter 3, Utah


             1786      Administrative Rulemaking Act, shall make the rules described in this chapter in accordance
             1787      with the provisions of Title 63G, Chapter 3, Utah Administrative Rulemaking Act.
             1788          (5) The State Building Board shall make a report on or before July 1 of each year to a
             1789      legislative interim committee, designated by the Legislative Management Committee created
             1790      under Section 36-12-6 , on the establishment, implementation, and enforcement of the rules
             1791      made by the State Building Board under this chapter.
             1792          Section 28. Section 63G-6a-403 is amended to read:
             1793           63G-6a-403. Prequalification of potential vendors.
             1794          (1) [(a)] As used in this section[, "vendor" means]:
             1795          (a) "Closed-ended prequalification process" means a process to prequalify potential
             1796      vendors under this section that is characterized by:
             1797          (i) a short, specified period of time during which potential vendors may be
             1798      prequalified; and
             1799          (ii) a specified date at which prequalifications expire.
             1800          (b) "Open-ended prequalification process" means a process to prequalify vendors and
             1801      potential vendors under this section that is characterized by an indeterminate period of time
             1802      during any part of which vendors or potential vendors may be prequalified and the
             1803      prequalification of previously prequalified vendors or potential vendors may be periodically
             1804      renewed.
             1805          (c) "Vendor" means:
             1806          (i) a bidder;
             1807          (ii) an offeror; or
             1808          (iii) a contractor, including an architect or an engineer.
             1809          [(b)] (2) A procurement unit may, in accordance with this section:
             1810          [(i)] (a) using a closed-ended prequalification process or an open-ended
             1811      prequalification process:
             1812          (i) prequalify potential vendors to provide any procurement item or type of
             1813      procurement item specified by the procurement unit; [and] or


             1814          (ii) rank architects, engineers, or other professional service providers to begin the fee
             1815      negotiation process, as provided in this chapter; and
             1816          [(ii)] (b) limit participation in [an invitation for bids, a request for proposals, or an
             1817      approved vendor list] a standard procurement process to the prequalified potential vendors for
             1818      the specified procurement item or type of procurement item.
             1819          [(2)] (3) To prequalify potential vendors [to provide a specified type of procurement
             1820      item] or rank professional service providers, a procurement unit shall issue a request for
             1821      statement of qualifications.
             1822          [(3)] (4) A procurement unit that issues a request for statement of qualifications:
             1823          (a) shall:
             1824          [(a)] (i) publish the request for statement of qualifications in accordance with the
             1825      requirements of Section [ 63G-6a-402 ] 63G-6a-406 ; and
             1826          [(b)] (ii) state in the request for statement of qualifications:
             1827          [(i)] (A) the procurement item or type of procurement item to which the request for
             1828      statement of qualifications relates;
             1829          [(ii)] (B) the scope of work to be performed;
             1830          [(iii)] (C) the instructions and [the] deadline for [ providing information in response to
             1831      the request for] submitting a statement of qualifications;
             1832          [(iv)] (D) the [minimum] criteria [for prequalification] by which the procurement unit
             1833      will evaluate statements of qualifications;
             1834          (E) whether the prequalification process is a closed-ended prequalification process or
             1835      an open-ended prequalification process;
             1836          [(v)] (F) if the prequalification process is a closed-ended prequalification process, the
             1837      period of time during which the list of prequalified potential vendors will remain in effect,
             1838      which may not be longer than 18 months after the list of prequalified potential vendors is made
             1839      available to the public under Subsection [(8)] (11)(b); [and]
             1840          (G) if the prequalification process is an open-ended prequalification process, when a
             1841      potential vendor may submit a statement of qualifications for the potential vendor to be


             1842      considered for inclusion on the list of prequalified potential vendors; and
             1843          [(vi)] (H) that a procurement unit may limit participation in an invitation for bids or a
             1844      request for proposals[, during the time period described in Subsection (3)(b)(v),] to the
             1845      potential vendors that are prequalified to provide the specified procurement item or type of
             1846      procurement item[.]; and
             1847          (b) may request the person submitting a statement of qualifications to provide:
             1848          (i) basic information about the person;
             1849          (ii) the person's experience and work history;
             1850          (iii) information about the person's management and staff;
             1851          (iv) information about the person's licenses, certifications, and other qualifications;
             1852          (v) any applicable performance ratings;
             1853          (vi) financial statements reporting the person's financial condition; and
             1854          (vii) any other pertinent information.
             1855          (5) (a) In order to renew a prequalification, a vendor or potential vendor that has been
             1856      previously prequalified through an open-ended prequalification process shall submit a
             1857      statement of qualifications no more than 18 months after the previous prequalification of that
             1858      vendor or potential vendor.
             1859          (b) A previously prequalified vendor or potential vendor submitting a statement of
             1860      qualifications under Subsection (5)(a) shall comply with all requirements applicable at that
             1861      time to a potential vendor seeking prequalification for the first time.
             1862          (6) A procurement unit may at any time modify prequalification requirements of an
             1863      open-ended prequalification process.
             1864          [(4)] (7) The [minimum] criteria described in Subsection [(3)(b)(iv)] (4)(a)(ii)(D):
             1865          (a) shall include the prequalification requirements unique to the procurement;
             1866          (b) may include performance rating criteria; and
             1867          (c) may not be so restrictive that the criteria unreasonably limit competition.
             1868          [(5)] (8) A procurement unit may, before making a final list of prequalified vendors,
             1869      request additional information to clarify responses made to the request for statement of


             1870      qualifications.
             1871          [(6)] (9) A potential vendor shall be included on the list of prequalified potential
             1872      vendors if the potential vendor:
             1873          (a) submits a timely, responsive response to the request for statement of qualifications;
             1874      and
             1875          (b) meets the [minimum] criteria for qualification described in Subsection [(3)(b)(iv)]
             1876      (4)(a)(ii)(D).
             1877          [(7)] (10) If a request for statement of qualifications will result in only one potential
             1878      vendor being placed on the list of prequalified potential vendors:
             1879          (a) the procurement unit shall cancel the request for statement of qualifications; and
             1880          (b) the list may not be used by the procurement unit.
             1881          [(8)] (11) The procurement unit shall:
             1882          (a) before making the list of prequalified potential vendors available to the public,
             1883      provide each potential vendor who provided information in response to the request, but who
             1884      did not meet the minimum qualifications for placement on the list, a written justification
             1885      statement describing why the potential vendor did not meet the criteria for inclusion on the list;
             1886      and
             1887          (b) [within 30 days after the day of the deadline described in Subsection (3)(b)(iii),]
             1888      make the list of prequalified potential vendors available to the public[.] within 30 days after:
             1889          (i) completing the evaluation process, if the prequalification process is a closed-ended
             1890      prequalification process; or
             1891          (ii) updating the list of prequalified potential vendors, if the prequalification process is
             1892      an open-ended prequalification process.
             1893          Section 29. Section 63G-6a-404 is amended to read:
             1894           63G-6a-404. Approved vendor list.
             1895          (1) (a) As used in this section, "vendor" [is] has the same meaning as defined in
             1896      [Subsection] Section 63G-6a-403 [(1)(a)].
             1897          (b) The process described in this section may not be used for construction projects that


             1898      cost more than an amount specified by the applicable rulemaking authority.
             1899          (c) The division or a procurement unit with independent procurement authority may
             1900      compile a list of approved vendors from which procurement items may be obtained.
             1901          (2) An approved vendor list may only be compiled from timely, responsive responses
             1902      received under Section 63G-6a-403 or the process described in Part 15, Architect-Engineer
             1903      Services.
             1904          (3) In order to ensure equal treatment of vendors on an approved vendor list, for
             1905      services other than the services described in Subsection (4) or (5) the procurement unit shall
             1906      use one of the following methods in an unbiased manner:
             1907          (a) a rotation system, organized alphabetically, numerically, or randomly;
             1908          (b) assigning vendors to a specified geographical area; or
             1909          (c) classifying each vendor based on each vendor's particular expertise, qualifications,
             1910      or field.
             1911          (4) (a) For a construction project that costs less than the amount established by the
             1912      applicable rulemaking authority, under Subsection (1)(b), a procurement unit shall select a
             1913      potential construction contractor from an approved potential contractor list, using an invitation
             1914      for bids or a request for proposals.
             1915          (b) For architectural or engineering services for a construction project described in
             1916      Subsection (4)(a), a procurement unit shall select a potential contractor from an approved
             1917      potential contractor list:
             1918          (i) using a rotation system, organized alphabetically, numerically, or randomly;
             1919          (ii) assigning a potential contractor to a specified geographical area; or
             1920          (iii) classifying each potential contractor based on the potential contractor's field or
             1921      area of expertise.
             1922          (5) A procurement unit may not use an approved vendor list described in this section
             1923      for a construction project with a cost that is equal to or greater than the amount established by
             1924      the applicable rulemaking authority under Subsection (1)(b).
             1925          (6) (a) After selecting a potential contractor under Subsection (4)(b), a procurement


             1926      unit shall enter into fee negotiations with the potential contractor.
             1927          (b) If, after good faith negotiations, the procurement unit and the potential contractor
             1928      are unable to negotiate a fee that is acceptable to both parties, the procurement unit shall select
             1929      another contractor under Subsection (4)(b) and enter into fee negotiations with that potential
             1930      contractor.
             1931          Section 30. Section 63G-6a-406 is amended to read:
             1932           63G-6a-406. Public notice of certain solicitations.
             1933          (1) The division or a procurement unit with independent procurement authority that
             1934      issues [an invitation for bids, a request for proposals, or a notice of sole source procurement] a
             1935      solicitation required to be published in accordance with this section, shall provide public notice
             1936      that includes:
             1937          (a) [for an invitation for bids or a request for proposals,] the name of the [issuing]
             1938      conducting procurement unit;
             1939          (b) the name of the procurement unit acquiring the procurement item;
             1940          (c) [for an invitation for bids or a request for proposals,] information on how to contact
             1941      the issuing procurement unit [in relation to the invitation for bids or request for proposals];
             1942          [(d) for a notice of sole source procurement, contact information and other information
             1943      relating to contesting, or obtaining additional information in relation to, the sole source
             1944      procurement;]
             1945          [(e) for an invitation for bids or a request for proposals, the date of the opening and
             1946      closing of the invitation for bids or request for proposals;]
             1947          [(f) for a notice of sole source procurement, the earliest date that the procurement unit
             1948      may make the sole source procurement;]
             1949          (d) the date of the opening and closing of the solicitation;
             1950          [(g)] (e) information on how to obtain a copy of the [invitation for bids, request for
             1951      proposals, or further information related to the sole source procurement; and] procurement
             1952      documents;
             1953          [(h)] (f) a general description of the procurement items that will be obtained through


             1954      the standard procurement process or sole source procurement[.]; and
             1955          (g) for a notice of a sole source procurement:
             1956          (i) contact information and other information relating to contesting or obtaining
             1957      additional information relating to the sole source procurement; and
             1958          (ii) the earliest date that the procurement unit may make the sole source procurement.
             1959          (2) Except as provided in Subsection (4), [for an invitation for bids or a request for
             1960      proposals,] the issuing procurement unit shall publish the notice described in Subsection (1)[,
             1961      using at least one of the following methods]:
             1962          (a) at least seven days before the day of the deadline for submission of a bid or other
             1963      response[, publish the notice:]; and
             1964          (b) (i) in a newspaper of general circulation in the state; [or]
             1965          (ii) in a newspaper of local circulation in the area:
             1966          (A) directly impacted by the procurement; or
             1967          (B) over which the procurement unit has jurisdiction; [or]
             1968          [(b) at least seven consecutive days before the day of the deadline for submission of a
             1969      bid or other response, publish the notice:]
             1970          [(i)] (iii) on the main website for the issuing procurement unit or the procurement unit
             1971      acquiring the procurement item; or
             1972          [(ii)] (iv) on a state website that is owned, managed by, or provided under contract
             1973      with, the division for posting a public procurement notice.
             1974          (3) Except as provided in Subsection (4), for a sole source procurement for which
             1975      notice is required to be published in accordance with this section, the issuing procurement unit
             1976      [making the sole source procurement] shall publish the notice described in Subsection (1)[,
             1977      using at least one of the following methods]:
             1978          (a) at least seven days before the [day on which the procurement unit makes the]
             1979      acquisition of the sole source procurement[, publish the notice:] item; and
             1980          (b) (i) in a newspaper of general circulation in the state; [or]
             1981          (ii) in a newspaper of local circulation in the area:


             1982          (A) directly impacted by the procurement; or
             1983          (B) over which the procurement unit has jurisdiction; [or]
             1984          [(b) at least seven consecutive days before the day on which the procurement unit
             1985      makes the sole source procurement, publish the notice:]
             1986          [(i)] (iii) on the main website for the procurement unit acquiring the procurement item;
             1987      or
             1988          [(ii)] (iv) on a state website that is owned by, managed by, or provided under contract
             1989      with, the division for posting a procurement notice.
             1990          (4) An issuing procurement unit[, or the procurement unit making a sole source
             1991      procurement] may reduce the seven-day period described in Subsection (2) or (3), if the
             1992      procurement officer or the procurement officer's designee signs a written statement that:
             1993          (a) states that a shorter time is needed; and
             1994          (b) [as it relates to an invitation for bids or a request for proposals,] determines that
             1995      competition from multiple sources may be obtained within the shorter period of time.
             1996          (5) (a) An issuing procurement unit shall make a copy of [an invitation for bids or a
             1997      request for proposals] the solicitation documents available for public inspection at the main
             1998      office of the issuing procurement unit or on the website described in Subsection (2)(b) until the
             1999      award of the contract or the cancellation of the procurement.
             2000          (b) A procurement unit [making] issuing a sole source procurement shall make a copy
             2001      of information related to the sole source procurement available for public inspection at the
             2002      main office of the procurement unit or on the website described in Subsection (3)(b) until the
             2003      award of the contract or the cancellation of the procurement.
             2004          (c) A procurement unit shall maintain all records in accordance with Part 20, Records.
             2005          Section 31. Section 63G-6a-408 is amended to read:
             2006           63G-6a-408. Small purchases.
             2007          (1) As used in this section:
             2008          (a) "Annual cumulative threshold" means the maximum total annual amount,
             2009      established by the applicable rulemaking authority under Subsection (2)(a)(i), that a


             2010      procurement unit may expend to obtain procurement items from the same source under this
             2011      section.
             2012          (b) "Individual procurement threshold" means the maximum amount, established by
             2013      the applicable rulemaking authority under Subsection (2)(a)(ii), for which a procurement unit
             2014      may purchase a procurement item under this section.
             2015          (c) "Single procurement aggregate threshold" means the maximum total amount,
             2016      established by the applicable rulemaking authority under Subsection (2)(a)(iii), that a
             2017      procurement unit may expend to obtain multiple procurement items from one source at one
             2018      time under this section.
             2019          (2) The applicable rulemaking authority may make rules governing small purchases,
             2020      including:
             2021          (a) establishing expenditure thresholds, including:
             2022          (i) an annual cumulative threshold;
             2023          (ii) an individual procurement threshold; and
             2024          (iii) a single procurement aggregate threshold;
             2025          (b) establishing procurement requirements relating to the thresholds described in
             2026      Subsection (2)(a); and
             2027          (c) the use of electronic, telephone, or written quotes.
             2028          (3) Expenditures made under this section by a procurement unit may not exceed a
             2029      threshold established by the applicable rulemaking authority, unless the chief procurement
             2030      officer or the head of a procurement unit with independent procurement authority gives written
             2031      authorization to exceed the threshold that includes the reasons for exceeding the threshold.
             2032          (4) Except as provided in Subsection (5), an executive branch procurement unit may
             2033      not obtain a procurement item through a small purchase standard procurement process if the
             2034      procurement item may be obtained through a state cooperative contract or a contract awarded
             2035      by the chief procurement officer under Subsection 63G-6a-2105 (1).
             2036          (5) Subsection (4) does not apply if:
             2037          (a) the procurement item is obtained for an unanticipated, urgent or unanticipated,


             2038      emergency condition, including:
             2039          (i) an item needed to avoid stopping a public construction project;
             2040          (ii) an immediate repair to a facility or equipment; or
             2041          (iii) another emergency condition; or
             2042          (b) the chief procurement officer or the head of a procurement unit that is an executive
             2043      branch procurement unit with independent procurement authority:
             2044          (i) determines in writing that it is in the best interest of the procurement unit to obtain
             2045      an individual procurement item outside of the state contract, comparing:
             2046          (A) the contract terms and conditions applicable to the procurement item under the
             2047      state contract with the contract terms and conditions applicable to the procurement item if the
             2048      procurement item is obtained outside of the state contract;
             2049          (B) the maintenance and service applicable to the procurement item under the state
             2050      contract with the maintenance and service applicable to the procurement item if the
             2051      procurement item is obtained outside of the state contract;
             2052          (C) the warranties applicable to the procurement item under the state contract with the
             2053      warranties applicable to the procurement item if the procurement item is obtained outside of
             2054      the state contract;
             2055          (D) the quality of the procurement item under the state contract with the quality of the
             2056      procurement item if the procurement item is obtained outside of the state contract; and
             2057          (E) the cost of the procurement item under the state contract with the cost of the
             2058      procurement item if the procurement item is obtained outside of the state contract;
             2059          (ii) for a procurement item that, if defective in its manufacture, installation, or
             2060      performance, may result in serious physical injury, death, or substantial property damage,
             2061      determines in writing that the terms and conditions, relating to liability for injury, death, or
             2062      property damage, available from the source other than the contractor who holds the state
             2063      contract, are similar to, or better than, the terms and conditions available under the state
             2064      contract; and
             2065          (iii) grants an exception, in writing, to the requirement described in Subsection (4).


             2066          (6) Except as otherwise expressly provided in this section, a procurement unit:
             2067          (a) may not use the small purchase standard procurement process described in this
             2068      section for ongoing, continuous, and regularly scheduled procurements that exceed the annual
             2069      cumulative threshold; and
             2070          (b) shall make its ongoing, continuous, and regularly scheduled procurements that
             2071      exceed the annual cumulative threshold through a contract awarded through another standard
             2072      procurement process described in this chapter or an applicable exception to another standard
             2073      procurement process, described in Part 8, Exceptions to Procurement Requirements.
             2074          (7) This section does not prohibit regularly scheduled payments for a procurement item
             2075      obtained under another provision of this chapter.
             2076          (8) (a) It is unlawful for a person to intentionally or knowingly divide a procurement
             2077      into one or more smaller procurements with the intent to make a procurement:
             2078          [(a)] (i) qualify as a small purchase, if, before dividing the procurement, it would not
             2079      have qualified as a small purchase; or
             2080          [(b)] (ii) meet a threshold established by rule made by the applicable rulemaking
             2081      authority, if, before dividing the procurement, it would not have met the threshold.
             2082          (b) A person who engages in the conduct made unlawful under Subsection (8)(a) is
             2083      guilty of:
             2084          (i) a second degree felony, if the value of the procurement before being divided is
             2085      $1,000,000 or more;
             2086          (ii) a third degree felony, if the value of the procurement before being divided is
             2087      $250,000 or more but less than $1,000,000;
             2088          (iii) a class A misdemeanor, if the value of the procurement before being divided is
             2089      $100,000 or more but less than $250,000; or
             2090          (iv) a class B misdemeanor, if the value of the procurement before being divided is less
             2091      than $100,000.
             2092          (9) A division of a procurement that is prohibited under Subsection (8) includes doing
             2093      any of the following with the intent or knowledge described in Subsection (8):


             2094          (a) making two or more separate purchases;
             2095          (b) dividing an invoice or purchase order into two or more invoices or purchase orders;
             2096      or
             2097          (c) making smaller purchases over a period of time.
             2098          (10) A person who violates Subsection (8) is subject to the criminal penalties described
             2099      in Section [ 63G-6a-2305 ] 63G-6a-2405 .
             2100          (11) The Division of Finance within the Department of Administrative Services may
             2101      conduct an audit of an executive branch procurement unit to verify compliance with the
             2102      requirements of this section.
             2103          (12) An executive branch procurement unit may not make a small purchase after
             2104      January 1, 2014, unless the chief procurement officer certifies that the person responsible for
             2105      procurements in the procurement unit has satisfactorily completed training on this section and
             2106      the rules made under this section.
             2107          Section 32. Section 63G-6a-603 is amended to read:
             2108           63G-6a-603. Invitation for bids -- Requirements -- Publication.
             2109          (1) The bidding standard procurement process begins when the [division or a
             2110      procurement unit with independent procurement authority] issuing procurement unit issues an
             2111      invitation for bids.
             2112          (2) An invitation for bids shall:
             2113          (a) state the period of time during which bids will be accepted;
             2114          (b) describe the manner in which a bid shall be submitted;
             2115          (c) state the place where a bid shall be submitted; and
             2116          (d) include, or incorporate by reference:
             2117          (i) a description of the procurement items sought;
             2118          (ii) the objective criteria that will be used to evaluate the bids; and
             2119          (iii) the required contractual terms and conditions.
             2120          (3) An issuing procurement unit shall publish an invitation for bids in accordance with
             2121      the requirements of Section 63G-6a-406 .


             2122          Section 33. Section 63G-6a-606 is amended to read:
             2123           63G-6a-606. Evaluation of bids -- Award -- Cancellation -- Disqualification.
             2124          (1) [The division or a] A procurement unit [with independent procurement authority]
             2125      that conducts a procurement using a bidding standard procurement process shall evaluate each
             2126      bid using the objective criteria described in the invitation for bids, which may include:
             2127          (a) experience;
             2128          (b) performance ratings;
             2129          (c) inspection;
             2130          (d) testing;
             2131          (e) quality;
             2132          (f) workmanship;
             2133          (g) time and manner of delivery;
             2134          (h) references;
             2135          (i) financial stability;
             2136          (j) cost;
             2137          (k) suitability for a particular purpose; or
             2138          (l) other objective criteria specified in the invitation for bids.
             2139          (2) Criteria not described in the invitation for bids may not be used to evaluate a bid.
             2140          (3) The conducting procurement unit shall:
             2141          (a) award the contract as soon as practicable to:
             2142          (i) the lowest responsive and responsible bidder who meets the objective criteria
             2143      described in the invitation for bids; or
             2144          (ii) if, in accordance with Subsection (4), the procurement officer or the head of the
             2145      conducting procurement unit disqualifies the bidder described in Subsection (3)(a)(i), the next
             2146      lowest responsive and responsible bidder who meets the objective criteria described in the
             2147      invitation for bids; or
             2148          (b) cancel the invitation for bids without awarding a contract.
             2149          (4) In accordance with Subsection (5), the procurement officer or the head of the


             2150      conducting procurement unit may disqualify a bidder for:
             2151          (a) a violation of this chapter;
             2152          (b) a violation of a requirement of the invitation for bids;
             2153          (c) unlawful or unethical conduct; or
             2154          (d) a change in circumstance that, had the change been known at the time the bid was
             2155      submitted, would have caused the bidder to not be the lowest responsive and responsible bidder
             2156      who meets the objective criteria described in the invitation for bids.
             2157          (5) A procurement officer or head of a conducting procurement unit who disqualifies a
             2158      bidder under Subsection (4) shall:
             2159          (a) make a written finding, stating the reasons for disqualification; and
             2160          (b) provide a copy of the written finding to the disqualified bidder.
             2161          (6) If a conducting procurement unit cancels an invitation for bids without awarding a
             2162      contract, the conducting procurement unit shall make available for public inspection a written
             2163      justification for the cancellation.
             2164          Section 34. Section 63G-6a-607 is amended to read:
             2165           63G-6a-607. Action if all bids exceed available funds -- Exemption.
             2166          (1) Except as provided in Subsection (2) or (3), if the fiscal officer for the conducting
             2167      procurement unit certifies that all accepted bids exceed available funds and that the lowest
             2168      responsive and responsible bidder does not exceed the available funds by more than 5%, the
             2169      procurement officer may negotiate an adjustment of the bid price and bid requirements with the
             2170      lowest responsive and responsible bidder in order to bring the bid within the amount of
             2171      available funds.
             2172          (2) A procurement officer may not adjust the bid requirements under Subsection (1) if
             2173      there is a substantial likelihood that, had the adjustment been included in the invitation for
             2174      bids, a person that did not submit a bid would have submitted a responsive, responsible, and
             2175      competitive bid.
             2176          (3) The Division of Facilities Construction and Management is exempt from the
             2177      requirements of this section if:


             2178          (a) the building board adopts rules governing procedures when all accepted bids exceed
             2179      available funds; and
             2180          (b) the Division of Facilities Construction and Management complies with the rules
             2181      described in Subsection (3)(a).
             2182          Section 35. Section 63G-6a-609 is amended to read:
             2183           63G-6a-609. Multiple stage bidding process.
             2184          (1) [The division or a] A procurement unit [with independent procurement authority]
             2185      that conducts a procurement using a bidding standard procurement process may [conduct a bid
             2186      in] use multiple stages[,] to:
             2187          (a) narrow the number of bidders who will progress to a subsequent stage;
             2188          (b) prequalify bidders for subsequent stages, in accordance with Section 63G-6a-403 ;
             2189          (c) enter into a contract for a single procurement; or
             2190          (d) award multiple contracts for a series of upcoming procurements.
             2191          (2) The invitation for bids for a multiple stage bidding process shall:
             2192          (a) describe the requirements for, and purpose of, each stage of the process;
             2193          (b) indicate whether the procurement unit intends to award:
             2194          (i) a single contract; or
             2195          (ii) multiple contracts for a series of upcoming procurements; and
             2196          (c) state that:
             2197          (i) the first stage is for prequalification only;
             2198          (ii) a bidder may not submit any pricing information in the first stage of the process;
             2199      and
             2200          (iii) bids in the second stage will only be accepted from a person who prequalifies in
             2201      the first stage.
             2202          (3) During the first stage, the conducting procurement unit:
             2203          (a) shall prequalify bidders to participate in subsequent stages, in accordance with
             2204      Section 63G-6a-403 ;
             2205          (b) shall prohibit the submission of pricing information until the final stage; and


             2206          (c) may, before beginning the second stage, request additional information to clarify
             2207      the qualifications of the bidders who submit timely responses.
             2208          (4) Contracts may only be awarded for a procurement item described in stage one of
             2209      the invitation for bids.
             2210          (5) The [division or a] conducting procurement unit [with independent procurement
             2211      authority may conduct a bid in] may use as many stages as it determines to be appropriate.
             2212          (6) Except as otherwise expressly provided in this section, [the division or] a
             2213      procurement unit [with independent procurement authority shall conduct] conducting a
             2214      multiple stage bidding process [in accordance] under this section shall ensure compliance with
             2215      this part.
             2216          (7) The applicable rulemaking authority may make rules governing the use of a
             2217      multiple stage process described in this section.
             2218          Section 36. Section 63G-6a-611 is amended to read:
             2219           63G-6a-611. Invitation for bids for reverse auction -- Requirements -- Publication
             2220      of invitation.
             2221          (1) The reverse auction bidding process begins when the [division or a] issuing
             2222      procurement unit [with independent procurement authority] issues an invitation for bids to
             2223      prequalify bidders to participate in the reverse auction.
             2224          (2) The invitation for bids shall:
             2225          (a) state the period of time during which bids will be accepted;
             2226          (b) state that the bid will be conducted by reverse auction;
             2227          (c) describe the procurement items sought;
             2228          (d) describe the minimum requirements to become prequalified;
             2229          (e) state the required contractual terms and conditions; and
             2230          (f) describe the procedure that the [division or the] conducting procurement unit [with
             2231      independent procurement authority] will follow in [conducting] the reverse auction.
             2232          (3) In order to participate in a reverse auction, a bidder shall agree to:
             2233          (a) the specifications, and contractual terms and conditions, of the procurement; and


             2234          (b) be trained in, and abide by, the procedure that the division or the procurement unit
             2235      with independent procurement authority will follow in conducting the reverse auction.
             2236          (4) The division or a procurement unit with independent procurement authority shall
             2237      publish an invitation for bids for a reverse auction in accordance with the requirements of
             2238      Section 63G-6a-406 .
             2239          Section 37. Section 63G-6a-612 is amended to read:
             2240           63G-6a-612. Conduct of reverse auction.
             2241          (1) [When] A procurement unit conducting a reverse auction[, the division or a
             2242      procurement unit with independent procurement authority]:
             2243          (a) may conduct the reverse auction at a physical location or by electronic means;
             2244          (b) shall permit all prequalified bidders to participate in the reverse auction;
             2245          (c) may not permit a bidder to participate in the reverse auction if the bidder did not
             2246      prequalify to participate in the reverse auction;
             2247          (d) may not accept a bid after the time for submission of a bid has expired;
             2248          (e) shall update the bids on a real time basis; and
             2249          (f) shall conduct the reverse auction in a manner that permits each bidder to:
             2250          (i) bid against each other; and
             2251          (ii) lower the bidder's price below the lowest bid before the reverse auction closes.
             2252          (2) At the end of the reverse auction, the conducting procurement unit shall:
             2253          (a) award the contract as soon as practicable to the lowest responsive and responsible
             2254      bidder who meets the objective criteria described in the invitation for bids; or
             2255          (b) cancel the reverse auction without awarding a contract.
             2256          (3) After the reverse auction is finished, the conducting procurement [officer] unit shall
             2257      make publicly available:
             2258          (a) (i) the amount of the final bid submitted by each bidder during the reverse auction;
             2259      and
             2260          (ii) the identity of the bidder that submitted each final bid; and
             2261          (b) if practicable:


             2262          (i) the amount of each bid submitted during the reverse auction; and
             2263          (ii) the identity of the bidder that submitted each bid.
             2264          Section 38. Section 63G-6a-702 is amended to read:
             2265           63G-6a-702. Contracts awarded by request for proposals.
             2266          (1) A request for proposals standard procurement process may be used instead of
             2267      bidding if the procurement officer determines, in writing, that the request for proposals
             2268      standard procurement process will provide the best value to the procurement unit.
             2269          (2) The request for proposals standard procurement process is appropriate to use for:
             2270          (a) the procurement of professional services;
             2271          (b) a design-build procurement;
             2272          (c) when cost is not the most important factor to be considered in making the selection
             2273      that is most advantageous to the procurement unit; or
             2274          (d) when factors, in addition to cost, are highly significant in making the selection that
             2275      is most advantageous to the procurement unit.
             2276          (3) The procurement of architect-engineer services is governed by Part 15,
             2277      Architect-Engineer Services.
             2278          Section 39. Section 63G-6a-703 is amended to read:
             2279           63G-6a-703. Request for proposals -- Requirements -- Publication of request.
             2280          (1) The request for proposals standard procurement process begins when the division
             2281      or a procurement unit with independent procurement authority issues a request for proposals.
             2282          (2) A request for proposals shall:
             2283          (a) state the period of time during which a proposal will be accepted;
             2284          (b) describe the manner in which a proposal shall be submitted;
             2285          (c) state the place where a proposal shall be submitted;
             2286          (d) include, or incorporate by reference:
             2287          (i) a description of the procurement items sought;
             2288          (ii) a description of the subjective and objective criteria that will be used to evaluate
             2289      the proposal; and


             2290          (iii) the standard contractual terms and conditions required by the authorized
             2291      purchasing entity;
             2292          (e) state the relative weight that will be given to each score [awarded] for the criteria
             2293      described in Subsection (2)(d)(ii), including cost;
             2294          (f) state the formula that will be used to determine the score awarded for the cost of
             2295      each proposal;
             2296          (g) if the request for proposals will be conducted in multiple stages, as described in
             2297      Section 63G-6a-710 , include a description of the stages and the criteria and scoring that will be
             2298      used to screen offerors at each stage; and
             2299          (h) state that discussions may be conducted with offerors who submit proposals
             2300      determined to be reasonably susceptible of being selected for award, followed by an
             2301      opportunity to make best and final offers, but that proposals may be accepted without
             2302      discussions.
             2303          (3) The division or a procurement unit with independent procurement authority shall
             2304      publish a request for proposals in accordance with the requirements of Section 63G-6a-406 .
             2305          Section 40. Section 63G-6a-704 is amended to read:
             2306           63G-6a-704. Opening of proposals -- Limitation on accepting a proposal --
             2307      Rejecting a proposal.
             2308          (1) An issuing procurement unit shall ensure that proposals are opened in a manner that
             2309      avoids disclosing the contents to competing offerors during the evaluation process.
             2310          (2) An issuing procurement unit may not accept a proposal[: (a)] after the time for
             2311      submission of a proposal has expired[; or].
             2312          [(b) that is not responsive to the request for proposals.]
             2313          (3) At any time during the request for proposals standard procurement process, a
             2314      conducting procurement unit may reject a proposal if the conducting procurement unit
             2315      determines that:
             2316          (a) the person submitting the proposal is not responsible; or
             2317          (b) the proposal is not responsive or does not meet mandatory minimum requirements


             2318      stated in the request for proposals.
             2319          Section 41. Section 63G-6a-707 is amended to read:
             2320           63G-6a-707. Evaluation of proposals -- Evaluation committee.
             2321          (1) [Each proposal shall be evaluated] To determine which proposal provides the best
             2322      value to the procurement unit, the evaluation committee shall evaluate each responsive and
             2323      responsible proposal that has not been disqualified from consideration under the provisions of
             2324      this chapter, using the criteria described in the request for proposals, which may include:
             2325          (a) experience;
             2326          (b) performance ratings;
             2327          (c) inspection;
             2328          (d) testing;
             2329          (e) quality;
             2330          (f) workmanship;
             2331          (g) time, manner, or schedule of delivery;
             2332          (h) references;
             2333          (i) financial [stability] solvency;
             2334          (j) suitability for a particular purpose;
             2335          (k) management plans;
             2336          (l) cost; or
             2337          (m) other subjective or objective criteria specified in the request for proposals.
             2338          (2) Criteria not described in the request for proposals may not be used to evaluate a
             2339      proposal.
             2340          (3) The [issuing] conducting procurement unit shall:
             2341          (a) appoint an evaluation committee consisting of at least three individuals; and
             2342          (b) ensure that the evaluation committee and each member of the evaluation
             2343      committee:
             2344          (i) does not have a conflict of interest with any of the offerors;
             2345          (ii) can fairly evaluate each proposal;


             2346          (iii) does not contact or communicate with an offeror [for any reason other than
             2347      conducting the standard procurement process] concerning the procurement outside the official
             2348      evaluation committee process; and
             2349          (iv) conducts the evaluation in a manner that ensures a fair and competitive process
             2350      and avoids the appearance of impropriety.
             2351          (4) The evaluation committee may, with the approval of the head of the conducting
             2352      procurement unit, enter into discussions or conduct interviews with, or [participate in] attend
             2353      presentations by, the offerors.
             2354          (5) (a) Except as provided in [Subsection (6) or] Subsections (5)(b) and (7), each
             2355      member of the evaluation committee is prohibited from knowing, or having access to, any
             2356      information relating to the cost, or the scoring of the cost, of a proposal until after the
             2357      evaluation committee submits its final recommended scores on all other criteria to the issuing
             2358      procurement unit.
             2359          (b) The issuing procurement unit shall:
             2360          (i) if applicable, assign an individual who is not a member of the evaluation committee
             2361      to calculate scores for cost based on the applicable scoring formula, weighting, and other
             2362      scoring procedures contained in the request for proposals;
             2363          (ii) review the evaluation committee's scores and correct any errors, scoring
             2364      inconsistencies, and reported noncompliance with this chapter;
             2365          (iii) add the scores calculated for cost, if applicable, to the evaluation committee's final
             2366      recommended scores on criteria other than cost to derive the total combined score for each
             2367      responsive and responsible proposal; and
             2368          (iv) provide to the evaluation committee the total combined score calculated for each
             2369      responsive and responsible proposal, including any applicable cost formula, weighting, and
             2370      scoring procedures used to calculate the total combined scores.
             2371          (c) The evaluation committee may not:
             2372          (i) change its final recommended scores described in Subsection (5)(a) after the
             2373      evaluation committee has submitted those scores to the issuing procurement unit; or


             2374          (ii) change cost scores calculated by the issuing procurement unit.
             2375          (6) (a) As used in this Subsection (6), "management fee" includes only the following
             2376      fees of the construction manager/general contractor:
             2377          (i) preconstruction phase services;
             2378          (ii) monthly supervision fees for the construction phase; and
             2379          (iii) overhead and profit for the construction phase.
             2380          (b) When selecting a construction manager/general contractor for a construction
             2381      project, the evaluation committee:
             2382          (i) may score a construction manager/general contractor based upon criteria contained
             2383      in the solicitation, including qualifications, performance ratings, references, management plan,
             2384      certifications, and other project specific criteria described in the solicitation;
             2385          (ii) may, as described in the solicitation, weight and score the management fee as a
             2386      fixed rate or as a fixed percentage of the estimated contract value;
             2387          [(i)] (iii) may, at any time after the opening of the responses to the request for
             2388      proposals, have access to, and consider, the management fee proposed by the offerors; and
             2389          [(ii)] (iv) except as provided in Subsection (7), may not know or have access to any
             2390      other information relating to the cost of construction submitted by the offerors, until after the
             2391      evaluation committee submits its final recommended scores on all other criteria to the issuing
             2392      procurement unit.
             2393          (7) (a) The deliberations of an evaluation committee may be held in private.
             2394          (b) If the evaluation committee is a public body, as defined in Section 52-4-103 , the
             2395      evaluation committee shall comply with Section 52-4-205 in closing a meeting for its
             2396      deliberations.
             2397          [(7)] (8) An issuing procurement unit is not required to comply with Subsection (5) if[,
             2398      before opening the responses to the request for proposals,] the head of the issuing procurement
             2399      unit or a person designated by rule made by the applicable rulemaking authority:
             2400          (a) signs a written statement:
             2401          (i) indicating that, due to the nature of the proposal or other circumstances, it is in the


             2402      best interest of the procurement unit to waive compliance with Subsection (5); and
             2403          (ii) describing the nature of the proposal and the other circumstances relied upon to
             2404      waive compliance with Subsection (5); and
             2405          (b) makes the written statement available to the public, upon request.
             2406          [(8) The evaluation committee shall award scores to each responsive and responsible
             2407      proposal that has not been disqualified from consideration under the provisions of this chapter.]
             2408          Section 42. Section 63G-6a-707.5 , which is renumbered from Section 63G-6a-705 is
             2409      renumbered and amended to read:
             2410           [63G-6a-705].     63G-6a-707.5. Best and final offers.
             2411          [(1) After proposals are received and opened, the issuing procurement unit may
             2412      conduct discussions with the offerors and allow the offerors to make best and final offers after
             2413      the discussions.]
             2414          (1) At any time during the evaluation process, the evaluation committee, with the
             2415      approval of the director or head of the issuing procurement unit, may:
             2416          (a) request best and final offers from responsible and responsive offerors; and
             2417          (b) evaluate those offers.
             2418          (2) [The issuing procurement unit] In requesting and evaluating best and final offers
             2419      under Subsection (1), the evaluation committee shall:
             2420          (a) ensure that each offeror receives fair and equal treatment with respect to the other
             2421      offerors;
             2422          (b) establish a schedule and procedures for conducting discussions;
             2423          (c) ensure that information in each proposal and information gathered during
             2424      discussions is not shared with other offerors until the contract is awarded;
             2425          (d) ensure that auction tactics are not used in the discussion process, including
             2426      discussing and comparing the costs and features of other proposals; and
             2427          (e) set a common date and time for the submission of best and final offers.
             2428          (3) If an offeror chooses not to participate in a discussion or does not make a timely
             2429      best and final offer, the offer submitted by the [offerors] offeror before the conduct of


             2430      discussions shall be treated as the offeror's best and final offer.
             2431          Section 43. Section 63G-6a-708 is amended to read:
             2432           63G-6a-708. Justification statement -- Cost-benefit analysis.
             2433          (1) (a) In determining which proposal provides the best value to the procurement unit,
             2434      the evaluation committee and the conducting procurement unit shall prepare a written
             2435      justification statement that:
             2436          (i) explains the score assigned to each evaluation category;
             2437          (ii) explains how the proposal with the highest total combined score provides the best
             2438      value to the procurement unit in comparison to the other proposals;
             2439          (iii) if applicable, includes the cost-benefit analysis described in Subsection (2) and
             2440      how the cost-benefit analysis relates to the best value to the procurement unit; and
             2441          (iv) if applicable, includes the written determination described in Subsection (5).
             2442          (b) An explanation under Subsection (1)(a)(i) need not address each criterion within
             2443      each category.
             2444          [(1)] (2) If, in determining the best value to the procurement unit, the evaluation
             2445      committee awards the highest score [awarded by the evaluation committee], including the score
             2446      for cost, [is awarded] to a proposal other than the lowest cost proposal, and the difference
             2447      between the cost of the highest scored proposal and the lowest cost proposal exceeds the
             2448      greater of $10,000 or 5% of the lowest cost proposal, the [issuing procurement unit shall make]
             2449      evaluation committee and the conducting procurement unit shall prepare an informal written
             2450      cost-benefit analysis that:
             2451          (a) explains, in general terms, the advantage to the procurement unit of awarding the
             2452      contract to the higher cost offeror; and
             2453          (b) [includes,] except as provided in Subsection [(1)(c),] (5):
             2454          (i) includes the estimated added financial value to the procurement unit of each
             2455      [criteria] criterion that justifies awarding the contract to the higher cost offeror; and
             2456          [(c) includes, to the extent that assigning a financial value to a particular criteria is not
             2457      practicable, a statement describing:]


             2458          [(i) why it is not practicable to assign a financial value to the criteria; and]
             2459          [(ii) in nonfinancial terms, the advantage to the procurement unit, based on the
             2460      particular criteria, of awarding the contract to the higher cost offeror;]
             2461          [(d)] (ii) demonstrates that the value of the advantage to the procurement unit of
             2462      awarding the contract to the higher cost offeror exceeds the value of the difference between the
             2463      cost of the higher cost proposal and the cost of the lower cost proposals[; and].
             2464          [(e) includes any other information required by rule made by the applicable rulemaking
             2465      authority.]
             2466          [(2)] (3) If the informal cost-benefit analysis described in Subsection [(1)] (2) does not
             2467      justify [award of] awarding the contract to the offeror that received the highest score, the
             2468      issuing procurement unit:
             2469          (a) may not award the contract to the offeror that received the highest score; and
             2470          (b) may award the contract to the offeror that received the next highest score, unless:
             2471          (i) an informal cost-benefit analysis is required, because the difference between the
             2472      cost proposed by the offeror that received the next highest score and the lowest cost proposal
             2473      exceeds the greater of $10,000 or 5% of the lowest cost proposal; and
             2474          (ii) the informal cost-benefit analysis does not justify award of the contract to the
             2475      offeror that received the next highest score.
             2476          [(3)] (4) If the informal cost-benefit analysis described in Subsection [(1)] (2) does not
             2477      justify award of the contract to the offeror, described in Subsection [(2)] (3), that received the
             2478      next highest score, the issuing procurement unit:
             2479          (a) may not award the contract to the offeror that received the next highest score; and
             2480          (b) shall continue with the process described in Subsection [(2)] (3) for each offeror
             2481      that received the next highest score, until the issuing procurement unit:
             2482          (i) awards the contract in accordance with the provisions of this section; or
             2483          (ii) cancels the request for proposals.
             2484          (5) (a) The evaluation committee, with the issuing procurement unit's approval, may
             2485      waive, in whole or in part, a requirement under Subsection (2)(b) if the evaluation committee


             2486      determines in writing that assigning a financial value to a particular procurement item or
             2487      evaluation criterion is not practicable.
             2488          (b) A written determination under Subsection (5)(a):
             2489          (i) shall explain:
             2490          (A) why it is not practicable to assign a financial value to the procurement item or
             2491      evaluation criterion; and
             2492          (B) in nonfinancial terms, why awarding the contract to the higher cost offeror
             2493      provides the best value to the procurement unit; and
             2494          (ii) may be included as part of the justification statement.
             2495          [(4)] (6) (a) An issuing procurement unit is not required to make the cost-benefit
             2496      analysis described in this section for a contract with a construction manager/general contractor
             2497      if the contract is awarded based solely on the qualifications of the construction
             2498      manager/general contractor and the management fee described in Subsection [ 63G-6a-706 ]
             2499      63G-6a-707 (6).
             2500          (b) The applicable rulemaking authority shall make rules that establish procedures and
             2501      criteria for awarding a contract described in Subsection [(4)] (6)(a) to ensure that:
             2502          (i) a competitive process is maintained; and
             2503          (ii) the contract awarded is in the best interest of the procurement unit.
             2504          Section 44. Section 63G-6a-709 is amended to read:
             2505           63G-6a-709. Award of contract -- Cancellation -- Disqualification.
             2506          (1) After the completion of the evaluation and scoring of proposals [is completed, the
             2507      issuing procurement unit shall:] and the justification statement, including any required
             2508      cost-benefit analysis, the evaluation committee shall submit the proposals, evaluation scores,
             2509      and justification statement to the head of the procurement unit or designee for review and final
             2510      determination of a contract award.
             2511          (2) After reviewing the proposals, evaluation scores, and justification statement,
             2512      including any required cost-benefit analysis, the head of the issuing procurement unit or
             2513      designee shall:


             2514          (a) [except as provided in Section 63G-6a-708 ,] award the contract as soon as
             2515      practicable to:
             2516          (i) the responsive and responsible offeror with the highest total score; or
             2517          (ii) if, in accordance with Subsection [(2)] (3), the procurement officer or the head of
             2518      the issuing procurement unit disqualifies the offeror described in Subsection [(1)] (2)(a)(i), the
             2519      responsive and responsible offeror with the next highest total score; or
             2520          (b) cancel the request for proposals without awarding a contract.
             2521          [(2)] (3) In accordance with Subsection [(3)] (4), the procurement officer or the head of
             2522      the issuing procurement unit may disqualify an offeror for:
             2523          (a) a violation of this chapter;
             2524          (b) not being responsive or responsible;
             2525          [(b)] (c) a violation of a requirement of the request for proposals;
             2526          [(c)] (d) unlawful or unethical conduct; or
             2527          [(d)] (e) a change in circumstance that, had the change been known at the time the
             2528      proposal was submitted, would have caused the proposal to not have the highest score.
             2529          [(3)] (4) A procurement officer or head of an issuing procurement unit who disqualifies
             2530      an offeror under Subsection [(2)] (3) shall:
             2531          (a) make a written finding, stating the reasons for disqualification; and
             2532          (b) provide a copy of the written finding to the disqualified offeror.
             2533          [(4)] (5) If an issuing procurement unit cancels a request for proposals without
             2534      awarding a contract, the issuing procurement unit shall make available for public inspection a
             2535      written justification for the cancellation.
             2536          Section 45. Section 63G-6a-709.5 is amended to read:
             2537           63G-6a-709.5. Publication of award and scores.
             2538          (1) The issuing procurement unit shall, on the next business day [on which] after the
             2539      award of a contract is announced, make available to each offeror and to the public a written
             2540      statement that includes:
             2541          [(1)] (a) the name of the offeror to which the contract is awarded and the total score


             2542      awarded by the evaluation committee to that offeror;
             2543          (b) the justification statement under Section 63G-6a-708 , including any required
             2544      cost-benefit analysis; and
             2545          [(2)] (c) the total score awarded by the evaluation committee to each offeror to which
             2546      the contract is not awarded, without identifying which offeror received which score[; and].
             2547          [(3) any cost-benefit analysis made, under Section 63G-6a-708 , in relation to the
             2548      request for proposals.]
             2549          (2) Subsection (1)(a) does not prevent the issuing procurement unit from using codes
             2550      or another method in a statement under Subsection (1) to distinguish offerors to which the
             2551      contract is not awarded and to indicate their scores, as long as an offeror cannot be matched
             2552      with the score awarded to that offeror.
             2553          Section 46. Section 63G-6a-802 is amended to read:
             2554           63G-6a-802. Award of contract without competition -- Notice -- Extension of
             2555      contract without engaging in standard procurement process.
             2556          (1) As used in this section:
             2557          (a) "Transitional costs" mean the costs of changing from an existing provider of, or
             2558      type of, a procurement item to another provider of, or type of, procurement item.
             2559          (b) "Transitional costs" include:
             2560          (i) training costs;
             2561          (ii) conversion costs;
             2562          (iii) compatibility costs;
             2563          (iv) system downtime;
             2564          (v) disruption of service;
             2565          (vi) staff time necessary to put the transition into effect;
             2566          (vii) installation costs; and
             2567          (viii) ancillary software, hardware, equipment, or construction costs.
             2568          (c) "Transitional costs" do not include:
             2569          (i) the costs of preparing for or engaging in a procurement process; or


             2570          (ii) contract negotiation or contract drafting costs.
             2571          (d) "Trial use contract" means a contract between a procurement unit and a vendor for
             2572      a procurement item that the procurement unit acquires for trial use or testing to determine
             2573      whether the procurement item will benefit the procurement unit.
             2574          (2) The division or a procurement unit with independent procurement authority may
             2575      award a contract for a procurement item without competition if the procurement officer, the
             2576      head of the procurement unit, or a designee of either who is senior to the procurement officer
             2577      or the head of the procurement unit, determines in writing that:
             2578          (a) there is only one source for the procurement item; [or]
             2579          (b) the award to a specific supplier, service provider, or contractor is a condition of a
             2580      donation that will fund the full cost of the supply, service, or construction item[.]; or
             2581          (c) the procurement item is needed for trial use or testing to determine whether the
             2582      procurement item will benefit the procurement unit.
             2583          (3) Circumstances under which there is only one source for a procurement item may
             2584      include:
             2585          (a) where the most important consideration in obtaining a procurement item is the
             2586      compatibility of equipment, technology, software, accessories, replacement parts, or service;
             2587          [(b) where a procurement item is needed for trial use or testing;]
             2588          [(c)] (b) where transitional costs are unreasonable or cost prohibitive; or
             2589          [(d)] (c) procurement of public utility services.
             2590          (4) (a) [The] Subject to Subsection (4)(b), the applicable rulemaking authority shall
             2591      make rules regarding the publication of notice for a sole source procurement that, at a
             2592      minimum, require publication of notice of a sole source procurement, in accordance with
             2593      Section 63G-6a-406 , if the cost of the procurement exceeds $50,000.
             2594          (b) Publication of notice under Section 63G-6a-406 is not required for:
             2595          (i) the procurement of public utility services pursuant to a sole source contract; or
             2596          (ii) other sole source procurements provided by rule.
             2597          (5) The division or a procurement unit with independent procurement authority who


             2598      awards a sole source contract on behalf of another procurement unit shall negotiate with the
             2599      contractor to ensure that the terms of the contract, including price and delivery, are in the best
             2600      interest of the procurement unit.
             2601          (6) (a) The period of trial use or testing of a procurement item under a trial use contract
             2602      may not exceed 18 months, unless the procurement officer provides a written exception
             2603      documenting the reason for a longer period.
             2604          (b) A trial use contract shall:
             2605          (i) state that the purpose of the contract is strictly for the purpose of the trial use or
             2606      testing of a procurement item;
             2607          (ii) state that the contract terminates upon completion of the trial use or testing period;
             2608          (iii) state that, after the trial use or testing period, the procurement unit is not obligated
             2609      to purchase or enter into a contract for the procurement item, regardless of the trial use or
             2610      testing result;
             2611          (iv) state that any purchase of the procurement item beyond the terms of the trial use
             2612      contract will be made in accordance with this chapter; and
             2613          (v) include, as applicable:
             2614          (A) test schedules;
             2615          (B) deadlines and a termination date;
             2616          (C) measures that will be used to evaluate the performance of the procurement item;
             2617          (D) any fees and associated expenses or an explanation of the circumstances
             2618      warranting a waiver of those fees and expenses;
             2619          (E) the obligations of the procurement unit and vendor;
             2620          (F) provisions regarding the ownership of the procurement item during and after the
             2621      trial use or testing period;
             2622          (G) an explanation of the grounds upon which the contract may be terminated;
             2623          (H) a limitation of liability;
             2624          (I) a consequential damage waiver provision;
             2625          (J) a statement regarding the confidentiality or nondisclosure of information;


             2626          (K) a provision relating to any required bond or security deposit; and
             2627          (L) other requirements unique to the procurement item for trial use or testing.
             2628          (c) Publication of notice under Section 63G-6a-406 is not required for a procurement
             2629      pursuant to a trial use contract.
             2630          [(6)] (7) The division or a procurement unit with independent procurement authority
             2631      may extend a contract for a reasonable period of time without engaging in a standard
             2632      procurement process, if:
             2633          (a) the award of a new contract for the procurement item is delayed due to a protest or
             2634      appeal;
             2635          (b) the standard procurement process is delayed due to unintentional error;
             2636          (c) changes in industry standards require significant changes to specifications for the
             2637      procurement item;
             2638          (d) the extension is necessary to prevent the loss of federal funds;
             2639          (e) the extension is necessary to address a circumstance where the appropriation of
             2640      state or federal funds has been delayed; [or]
             2641          (f) the extension covers the period of time during which contract negotiations with a
             2642      new provider are being conducted[.]; or
             2643          (g) the extension is necessary to avoid a lapse in critical governmental services that
             2644      may negatively impact public health, safety, or welfare.
             2645          Section 47. Section 63G-6a-904 is amended to read:
             2646           63G-6a-904. Debarment or suspension from consideration for award of contracts
             2647      -- Process -- Causes for debarment -- Appeal.
             2648          (1) (a) [After reasonable notice to the person involved and reasonable opportunity for
             2649      that person to be heard] Subject to Subsection (1)(b), the chief procurement officer[, a
             2650      procurement officer,] or the head of a procurement unit with independent procurement
             2651      authority may[, after consultation with the procurement unit involved in the matter for which
             2652      debarment is sought and, if the procurement unit is in the state executive branch, the attorney
             2653      general]:


             2654          [(a)] (i) debar a person for cause from consideration for award of contracts for a period
             2655      not to exceed three years; or
             2656          [(b)] (ii) suspend a person from consideration for award of contracts if there is
             2657      probable cause to believe that the person has engaged in any activity that might lead to
             2658      debarment.
             2659          (b) Before debarring or suspending a person under Subsection (1)(a), the chief
             2660      procurement officer or head of a procurement unit with independent procurement authority
             2661      shall:
             2662          (i) consult with:
             2663          (A) the procurement unit involved in the matter for which debarment or suspension is
             2664      sought; and
             2665          (B) the attorney general, if the procurement unit is in the state executive branch, or the
             2666      procurement unit's attorney, if the procurement unit is not in the state executive branch;
             2667          (ii) give the person at least 10 days' prior written notice of:
             2668          (A) the reasons for which debarment or suspension is being considered; and
             2669          (B) the hearing under Subsection (1)(b)(iii); and
             2670          (iii) hold a hearing in accordance with Subsection (1)(c).
             2671          (c) (i) At a hearing under Subsection (1)(b)(iii), the chief procurement officer or head
             2672      of a procurement unit with independent procurement authority may:
             2673          (A) subpoena witnesses and compel their attendance at the hearing;
             2674          (B) subpoena documents for production at the hearing;
             2675          (C) obtain additional factual information; and
             2676          (D) obtain testimony from experts, the person who is the subject of the proposed
             2677      debarment or suspension, representatives of the procurement unit, or others to assist the chief
             2678      procurement officer or head of a procurement unit with independent procurement authority to
             2679      make a decision on the proposed debarment or suspension.
             2680          (ii) The Rules of Evidence do not apply to a hearing under Subsection (1)(b)(iii).
             2681          (iii) The chief procurement officer or head of a procurement unit with independent


             2682      procurement authority shall:
             2683          (A) record a hearing under Subsection (1)(b)(iii);
             2684          (B) preserve all records and other evidence relied upon in reaching a decision until the
             2685      decision becomes final;
             2686          (C) for an appeal of a debarment or suspension by a procurement unit other than a
             2687      legislative procurement unit, a judicial procurement unit, a local government procurement unit,
             2688      or a public transit district, submit to the procurement policy board chair a copy of the written
             2689      decision and all records and other evidence relied upon in reaching the decision, within seven
             2690      days after receiving a notice that an appeal of a debarment or suspension has been filed under
             2691      Section 63G-6a-1702 or after receiving a request from the procurement policy board chair; and
             2692          (D) for an appeal of a debarment or suspension by a legislative procurement unit, a
             2693      judicial procurement unit, a local government procurement unit, or a public transit district,
             2694      submit to the Utah Court of Appeals a copy of the written decision and all records and other
             2695      evidence relied upon in reaching the decision, within seven days after receiving a notice that an
             2696      appeal of a debarment or suspension has been filed under Section 63G-6a-1802 .
             2697          (iv) The holding of a hearing under Subsection (1)(b)(iii) or the issuing of a decision
             2698      under Subsection (1)(b)(v) does not affect a person's right to later question or challenge the
             2699      jurisdiction of the chief procurement officer or head of a procurement unit with independent
             2700      procurement authority to hold a hearing or issue a decision.
             2701          (v) The chief procurement officer or head of a procurement unit with independent
             2702      procurement authority shall:
             2703          (A) promptly issue a written decision regarding a proposed debarment or suspension,
             2704      unless the matter is settled by mutual agreement; and
             2705          (B) mail, email, or otherwise immediately furnish a copy of the decision to the person
             2706      who is the subject of the decision.
             2707          (vi) A written decision under Subsection (1)(b)(v) shall:
             2708          (A) state the reasons for the debarment or suspension, if debarment or suspension is
             2709      ordered;


             2710          (B) inform the person who is debarred or suspended of the right to judicial or
             2711      administrative review as provided in this chapter; and
             2712          (C) indicate the amount of the security deposit or bond required under Section
             2713      63G-6a-1703 and how that amount was calculated.
             2714          (vii) (A) A decision of debarment or suspension issued by a procurement unit other
             2715      than a legislative procurement unit, a judicial procurement unit, a local government
             2716      procurement unit, or a public transit district is final and conclusive unless the person who is
             2717      debarred or suspended files an appeal of the decision under Section 63G-6a-1702 .
             2718          (B) A decision of debarment or suspension issued by a legislative procurement unit, a
             2719      judicial procurement unit, a local government procurement unit, or a public transit district is
             2720      final and conclusive unless the person who is debarred or suspended files an appeal of the
             2721      decision under Section 63G-6a-1802 .
             2722          (2) A suspension [described in Subsection (1)(b)] under this section may not be for a
             2723      period exceeding three months, unless an indictment has been issued for an offense which
             2724      would be a cause for debarment under Subsection (3), in which case the suspension shall, at the
             2725      request of the attorney general, if the procurement unit is in the state executive branch, or the
             2726      procurement unit's attorney, if the procurement unit is not in the state executive branch, remain
             2727      in effect until after the trial of the suspended person.
             2728          (3) The causes for debarment include the following:
             2729          (a) conviction of a criminal offense as an incident to obtaining or attempting to obtain a
             2730      public or private contract or subcontract or in the performance of a public or private contract or
             2731      subcontract;
             2732          (b) conviction under state or federal statutes of embezzlement, theft, forgery, bribery,
             2733      falsification or destruction of records, receiving stolen property, or any other offense indicating
             2734      a lack of business integrity or business honesty which currently, seriously, and directly affects
             2735      responsibility as a [state] contractor for the procurement unit;
             2736          (c) conviction under state or federal antitrust statutes;
             2737          (d) failure without good cause to perform in accordance with the terms of the contract;


             2738          (e) a violation of this chapter; or
             2739          (f) any other cause that the chief procurement officer[, the procurement officer,] or the
             2740      head of a procurement unit with independent procurement authority determines to be so serious
             2741      and compelling as to affect responsibility as a [state] contractor for the procurement unit,
             2742      including debarment by another governmental entity.
             2743          (4) A person who is debarred or suspended under this section may appeal the
             2744      debarment or suspension:
             2745          (a) as provided in Section 63G-6a-1702 , if the debarment or suspension is by a
             2746      procurement unit other than a legislative procurement unit, a judicial procurement unit, a local
             2747      government procurement unit, or a public transit district; or
             2748          (b) as provided in Section 63G-6a-1802 , if the debarment or suspension is by a
             2749      legislative procurement unit, a judicial procurement unit, a local government procurement unit,
             2750      or a public transit district.
             2751          (5) A procurement unit may consider a cause for debarment under Subsection (3) as the
             2752      basis for determining that a person responding to a solicitation is not responsible:
             2753          (a) independent of any effort or proceeding under this section to debar or suspend the
             2754      person; and
             2755          (b) even if the procurement unit does not choose to seek debarment or suspension.
             2756          Section 48. Section 63G-6a-1103 is amended to read:
             2757           63G-6a-1103. Bonds or security necessary when contract is awarded -- Waiver --
             2758      Action -- Attorney fees.
             2759          (1) When a construction contract is awarded under this chapter, the contractor to whom
             2760      the contract is awarded shall deliver the following bonds or security to the [state] procurement
             2761      unit, which shall become binding on the parties upon the execution of the contract:
             2762          (a) a performance bond satisfactory to the [state] procurement unit that is in an amount
             2763      equal to 100% of the price specified in the contract and is executed by a surety company
             2764      authorized to do business in [this] the state or any other form satisfactory to the [state]
             2765      procurement unit; and


             2766          (b) a payment bond satisfactory to the [state] procurement unit that is in an amount
             2767      equal to 100% of the price specified in the contract and is executed by a surety company
             2768      authorized to do business in [this] the state or any other form satisfactory to the [state]
             2769      procurement unit, which is for the protection of each person supplying labor, service,
             2770      equipment, or material for the performance of the work provided for in the contract.
             2771          (2) (a) When a construction contract is awarded under this chapter, the procurement
             2772      officer or the head of the issuing procurement unit responsible for carrying out the construction
             2773      project may not require a contractor to whom a contract is awarded to obtain a bond of the
             2774      types referred to in Subsection (1) from a specific insurance or surety company, producer,
             2775      agent, or broker.
             2776          (b) A person who violates Subsection (2)(a) is guilty of an infraction.
             2777          (3) Rules of the applicable rulemaking authority may provide for waiver of the
             2778      requirement of a bid, performance, or payment bond for circumstances in which the
             2779      procurement officer considers any or all of the bonds to be unnecessary to protect the
             2780      procurement unit.
             2781          (4) A person shall have a right of action on a payment bond under this section for any
             2782      unpaid amount due to the person if:
             2783          (a) the person has furnished labor, service, equipment, or material for the work
             2784      provided for in the contract for which the payment bond is furnished under this section; and
             2785          (b) the person has not been paid in full within 90 days after the last day on which the
             2786      person performed the labor or service or supplied the equipment or material for which the
             2787      claim is made.
             2788          (5) An action upon a payment bond may only be brought in a court of competent
             2789      jurisdiction in a county where the construction contract was to be performed. The action is
             2790      barred if not commenced within one year after the last day on which the claimant performed
             2791      the labor or service or supplied the equipment or material on which the claim is based. The
             2792      obligee named in the bond need not be joined as a party to the action.
             2793          (6) In any suit upon a payment bond, the court shall award reasonable attorney fees to


             2794      the prevailing party, which fees shall be taxed as costs in the action.
             2795          Section 49. Section 63G-6a-1105 is amended to read:
             2796           63G-6a-1105. Form of bonds -- Effect of certified copy.
             2797          (1) The form of the bonds required by this part shall be established by rule made by the
             2798      applicable rulemaking authority.
             2799          (2) Any person may obtain from the [state] procurement unit a certified copy of a bond
             2800      upon payment of the cost of reproduction of the bond and postage, if any.
             2801          (3) A certified copy of a bond [shall be] is prima facie evidence of the contents,
             2802      execution, and delivery of the original.
             2803          Section 50. Section 63G-6a-1202 is repealed and reenacted to read:
             2804          63G-6a-1202. Standard contract clauses encouraged.
             2805          A procurement unit is encouraged to establish standard contract clauses to assist the
             2806      procurement unit and to help contractors and potential contractors to understand applicable
             2807      requirements.
             2808          Section 51. Section 63G-6a-1204 is amended to read:
             2809           63G-6a-1204. Multiyear contracts.
             2810          (1) Except as provided in Subsection (7), a procurement unit may enter into a multiyear
             2811      contract resulting from an invitation for bids or a request for proposals, if:
             2812          (a) the procurement officer determines, in the discretion of the procurement officer,
             2813      that entering into a multiyear contract is in the best interest of the procurement unit; and
             2814          (b) the invitation for bids or request for proposals:
             2815          (i) states the term of the contract, including all possible renewals of the contract;
             2816          (ii) states the conditions for renewal of the contract; and
             2817          (iii) includes the provisions of Subsections (3) through (5) that are applicable to the
             2818      contract.
             2819          (2) In making the determination described in Subsection (1)(a), the procurement officer
             2820      shall consider whether entering into a multiyear contract will:
             2821          (a) result in significant savings to the procurement unit, including:


             2822          (i) reduction of the administrative burden in procuring, negotiating, or administering
             2823      contracts;
             2824          (ii) continuity in operations of the procurement unit; or
             2825          (iii) the ability to obtain a volume or term discount;
             2826          (b) encourage participation by a person who might not otherwise be willing or able to
             2827      compete for a shorter term contract; or
             2828          (c) provide an incentive for a bidder or offeror to improve productivity through capital
             2829      investment or better technology.
             2830          (3) (a) The determination described in Subsection (1)(a) is discretionary and is not
             2831      required to be in writing or otherwise recorded.
             2832          (b) Except as provided in Subsections (4) and (5), notwithstanding any provision of an
             2833      invitation for bids, a request for proposals, or a contract to the contrary, a multiyear contract,
             2834      including a contract that was awarded outside of an invitation for bids or request for proposals
             2835      process, may not continue or be renewed for any year after the first year of the multiyear
             2836      contract if adequate funds are not appropriated or otherwise available to continue or renew the
             2837      contract.
             2838          (4) A multiyear contract that is funded solely by federal funds may be continued or
             2839      renewed for any year after the first year of the multiyear contract if:
             2840          (a) adequate funds to continue or renew the contract have not been, but are expected to
             2841      be appropriated by, and received from, the federal government;
             2842          (b) continuation or renewal of the contract before the money is appropriated or
             2843      received is permitted by the federal government; and
             2844          (c) the contract states that it may be cancelled or suspended, without penalty, if the
             2845      anticipated federal funds are not appropriated or received.
             2846          (5) A multiyear contract that is funded in part by federal funds may be continued or
             2847      renewed for any year after the first year of the multiyear contract if:
             2848          (a) the portion of the contract that is to be funded by funds of a public entity are
             2849      appropriated;


             2850          (b) adequate federal funds to continue or renew the contract have not been, but are
             2851      expected to be, appropriated by, and received from, the federal government;
             2852          (c) continuation or renewal of the contract before the federal money is appropriated or
             2853      received is permitted by the federal government; and
             2854          (d) the contract states that it may be cancelled or suspended, without penalty, if the
             2855      anticipated federal funds are not appropriated or received.
             2856          (6) A procurement unit may not continue or renew a multiyear contract after the end of
             2857      the multiyear contract term or the renewal periods described in the contract, unless the
             2858      procurement unit engages in a new standard procurement process or complies with an
             2859      exception, described in this chapter, to using a standard procurement process.
             2860          (7) A multiyear contract, including any renewal periods, may not exceed a period of
             2861      five years, unless:
             2862          (a) the procurement officer determines, in writing, that:
             2863          (i) a longer period is necessary in order to obtain the procurement item;
             2864          (ii) a longer period is customary for industry standards; or
             2865          (iii) a longer period is in the best interest of the procur