1     
UTAH COMMUNICATIONS AUTHORITY - PROCUREMENT

2     
2018 SECOND SPECIAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Stephen G. Handy

5     
Senate Sponsor: David G. Buxton

6     

7     LONG TITLE
8     General Description:
9          This bill modifies provisions related to procurement and the Utah Communications
10     Authority.
11     Highlighted Provisions:
12          This bill:
13          ▸     incorporates the Utah Communications Authority into the Utah Procurement Code
14     with independent procurement authority; and
15          ▸     makes technical changes.
16     Money Appropriated in this Bill:
17          None
18     Other Special Clauses:
19          This bill provides a special effective date.
20     Utah Code Sections Affected:
21     AMENDS:
22          63G-6a-103, as last amended by Laws of Utah 2018, Chapter 352 and last amended by
23     Coordination Clause, Laws of Utah 2018, Chapter 315
24          63G-6a-106, as last amended by Laws of Utah 2016, Chapter 355
25     

26     Be it enacted by the Legislature of the state of Utah:
27          Section 1. Section 63G-6a-103 is amended to read:
28          63G-6a-103. Definitions.
29          As used in this chapter:

30          (1) "Applicable rulemaking authority" means:
31          (a) for a legislative procurement unit, the Legislative Management Committee;
32          (b) for a judicial procurement unit, the Judicial Council;
33          (c) (i) only to the extent of the procurement authority expressly granted to the
34     procurement unit by statute:
35          (A) for the building board or the Division of Facilities Construction and Management,
36     created in Section 63A-5-201, the building board;
37          (B) for the Office of the Attorney General, the attorney general; and
38          (C) for the Department of Transportation created in Section 72-1-201, the executive
39     director of the Department of Transportation; and
40          (ii) for each other executive branch procurement unit, the board;
41          (d) for a local government procurement unit:
42          (i) the legislative body of the local government procurement unit; or
43          (ii) an individual or body designated by the legislative body of the local government
44     procurement unit;
45          (e) for a school district or a public school, the board, except to the extent of a school
46     district's own nonadministrative rules that do not conflict with the provisions of this chapter;
47          (f) for a state institution of higher education described in:
48          (i) Subsections 53B-1-102(1)(a) and (c), the State Board of Regents; or
49          (ii) Subsection 53B-1-102(1)(b), the Utah System of Technical Colleges Board of
50     Trustees;
51          (g) for the State Board of Education, the State Board of Education;
52          (h) for a public transit district, the chief executive of the public transit district;
53          (i) for a local district other than a public transit district or for a special service district:
54          (i) before January 1, 2015, the board of trustees of the local district or the governing
55     body of the special service district; or
56          (ii) on or after January 1, 2015, the board, except to the extent that the board of trustees
57     of the local district or the governing body of the special service district makes its own rules:

58          (A) with respect to a subject addressed by board rules; or
59          (B) that are in addition to board rules; [or]
60          (j) for the Utah Communications Authority, established in Section 63H-7a-201, the
61     Utah Communications Authority Board, created in Section 63H-7a-203; or
62          [(j)] (k) for any other procurement unit, the board.
63          (2) "Approved vendor" means a person who has been approved for inclusion on an
64     approved vendor list through the approved vendor list process.
65          (3) "Approved vendor list" means a list of approved vendors established under Section
66     63G-6a-507.
67          (4) "Approved vendor list process" means the procurement process described in
68     Section 63G-6a-507.
69          (5) "Bidder" means a person who submits a bid or price quote in response to an
70     invitation for bids.
71          (6) "Bidding process" means the procurement process described in Part 6, Bidding.
72          (7) "Board" means the Utah State Procurement Policy Board, created in Section
73     63G-6a-202.
74          (8) "Building board" means the State Building Board, created in Section 63A-5-101.
75          (9) "Change directive" means a written order signed by the procurement officer that
76     directs the contractor to suspend work or make changes, as authorized by contract, without the
77     consent of the contractor.
78          (10) "Change order" means a written alteration in specifications, delivery point, rate of
79     delivery, period of performance, price, quantity, or other provisions of a contract, upon mutual
80     agreement of the parties to the contract.
81          (11) "Chief procurement officer" means the chief procurement officer appointed under
82     Subsection 63G-6a-302(1).
83          (12) "Conducting procurement unit" means a procurement unit that conducts all
84     aspects of a procurement:
85          (a) except:

86          (i) reviewing a solicitation to verify that it is in proper form; and
87          (ii) causing the publication of a notice of a solicitation; and
88          (b) including:
89          (i) preparing any solicitation document;
90          (ii) appointing an evaluation committee;
91          (iii) conducting the evaluation process, except as provided in Subsection
92     63G-6a-707(6)(b) relating to scores calculated for costs of proposals;
93          (iv) selecting and recommending the person to be awarded a contract;
94          (v) negotiating the terms and conditions of a contract, subject to the issuing
95     procurement unit's approval; and
96          (vi) contract administration.
97          (13) "Conservation district" means the same as that term is defined in Section
98     17D-3-102.
99          (14) "Construction":
100          (a) means services, including work, and supplies for a project for the construction,
101     renovation, alteration, improvement, or repair of a public facility on real property; and
102          (b) does not include services and supplies for the routine, day-to-day operation, repair,
103     or maintenance of an existing public facility.
104          (15) "Construction manager/general contractor":
105          (a) means a contractor who enters into a contract:
106          (i) for the management of a construction project; and
107          (ii) that allows the contractor to subcontract for additional labor and materials that are
108     not included in the contractor's cost proposal submitted at the time of the procurement of the
109     contractor's services; and
110          (b) does not include a contractor whose only subcontract work not included in the
111     contractor's cost proposal submitted as part of the procurement of the contractor's services is to
112     meet subcontracted portions of change orders approved within the scope of the project.
113          (16) "Construction subcontractor":

114          (a) means a person under contract with a contractor or another subcontractor to provide
115     services or labor for the design or construction of a construction project;
116          (b) includes a general contractor or specialty contractor licensed or exempt from
117     licensing under Title 58, Chapter 55, Utah Construction Trades Licensing Act; and
118          (c) does not include a supplier who provides only materials, equipment, or supplies to a
119     contractor or subcontractor for a construction project.
120          (17) "Contract" means an agreement for a procurement.
121          (18) "Contract administration" means all functions, duties, and responsibilities
122     associated with managing, overseeing, and carrying out a contract between a procurement unit
123     and a contractor, including:
124          (a) implementing the contract;
125          (b) ensuring compliance with the contract terms and conditions by the conducting
126     procurement unit and the contractor;
127          (c) executing change orders;
128          (d) processing contract amendments;
129          (e) resolving, to the extent practicable, contract disputes;
130          (f) curing contract errors and deficiencies;
131          (g) terminating a contract;
132          (h) measuring or evaluating completed work and contractor performance;
133          (i) computing payments under the contract; and
134          (j) closing out a contract.
135          (19) "Contractor" means a person who is awarded a contract with a procurement unit.
136          (20) "Cooperative procurement" means procurement conducted by, or on behalf of:
137          (a) more than one procurement unit; or
138          (b) a procurement unit and a cooperative purchasing organization.
139          (21) "Cooperative purchasing organization" means an organization, association, or
140     alliance of purchasers established to combine purchasing power in order to obtain the best
141     value for the purchasers by engaging in procurements in accordance with Section 63G-6a-2105.

142          (22) "Cost-plus-a-percentage-of-cost contract" means a contract under which the
143     contractor is paid a percentage of the total actual expenses or costs in addition to the
144     contractor's actual expenses or costs.
145          (23) "Cost-reimbursement contract" means a contract under which a contractor is
146     reimbursed for costs which are allowed and allocated in accordance with the contract terms and
147     the provisions of this chapter, and a fee, if any.
148          (24) "Days" means calendar days, unless expressly provided otherwise.
149          (25) "Definite quantity contract" means a fixed price contract that provides for a
150     specified amount of supplies over a specified period, with deliveries scheduled according to a
151     specified schedule.
152          (26) "Design professional" means:
153          (a) an individual licensed as an architect under Title 58, Chapter 3a, Architects
154     Licensing Act; or
155          (b) an individual licensed as a professional engineer or professional land surveyor
156     under Title 58, Chapter 22, Professional Engineers and Professional Land Surveyors Licensing
157     Act.
158          (27) "Design professional procurement process" means the procurement process
159     described in Part 15, Design Professional Services.
160          (28) "Design-build" means the procurement of design professional services and
161     construction by the use of a single contract.
162          (29) "Design professional services" means:
163          (a) professional services within the scope of the practice of architecture as defined in
164     Section 58-3a-102;
165          (b) professional engineering as defined in Section 58-22-102; or
166          (c) master planning and programming services.
167          (30) "Director" means the director of the division.
168          (31) "Division" means the Division of Purchasing and General Services, created in
169     Section 63A-2-101.

170          (32) "Educational procurement unit" means:
171          (a) a school district;
172          (b) a public school, including a local school board or a charter school;
173          (c) the Utah Schools for the Deaf and Blind;
174          (d) the Utah Education and Telehealth Network;
175          (e) an institution of higher education of the state described in Section 53B-1-102; or
176          (f) the State Board of Education.
177          (33) "Established catalogue price" means the price included in a catalogue, price list,
178     schedule, or other form that:
179          (a) is regularly maintained by a manufacturer or contractor;
180          (b) is published or otherwise available for inspection by customers; and
181          (c) states prices at which sales are currently or were last made to a significant number
182     of any category of buyers or buyers constituting the general buying public for the supplies or
183     services involved.
184          (34) "Executive branch procurement unit" means a department, division, office,
185     bureau, agency, or other organization within the state executive branch.
186          (35) "Fixed price contract" means a contract that provides a price, for each
187     procurement item obtained under the contract, that is not subject to adjustment except to the
188     extent that:
189          (a) the contract provides, under circumstances specified in the contract, for an
190     adjustment in price that is not based on cost to the contractor; or
191          (b) an adjustment is required by law.
192          (36) "Fixed price contract with price adjustment" means a fixed price contract that
193     provides for an upward or downward revision of price, precisely described in the contract, that:
194          (a) is based on the consumer price index or another commercially acceptable index,
195     source, or formula; and
196          (b) is not based on a percentage of the cost to the contractor.
197          (37) "Grant" means an expenditure of public funds or other assistance, or an agreement

198     to expend public funds or other assistance, for a public purpose authorized by law, without
199     acquiring a procurement item in exchange.
200          (38) "Head of a procurement unit" means:
201          (a) for a legislative procurement unit, any person designated by rule made by the
202     applicable rulemaking authority;
203          (b) for an executive branch procurement unit:
204          (i) the director of the division; or
205          (ii) any other person designated by the board, by rule;
206          (c) for a judicial procurement unit:
207          (i) the Judicial Council; or
208          (ii) any other person designated by the Judicial Council, by rule;
209          (d) for a local government procurement unit:
210          (i) the legislative body of the local government procurement unit; or
211          (ii) any other person designated by the local government procurement unit;
212          (e) for a local district other than a public transit district, the board of trustees of the
213     local district or a designee of the board of trustees;
214          (f) for a special service district, the governing body of the special service district or a
215     designee of the governing body;
216          (g) for a local building authority, the board of directors of the local building authority
217     or a designee of the board of directors;
218          (h) for a conservation district, the board of supervisors of the conservation district or a
219     designee of the board of supervisors;
220          (i) for a public corporation, the board of directors of the public corporation or a
221     designee of the board of directors;
222          (j) for a school district or any school or entity within a school district, the board of the
223     school district, or the board's designee;
224          (k) for a charter school, the individual or body with executive authority over the charter
225     school, or the individual's or body's designee;

226          (l) for an institution of higher education described in Section 53B-2-101, the president
227     of the institution of higher education, or the president's designee;
228          (m) for a public transit district, the board of trustees or a designee of the board of
229     trustees; [or]
230          (n) for the State Board of Education, the State Board of Education or a designee of the
231     State Board of Education[.]; or
232          (o) for the Utah Communications Authority, established in Section 63H-7a-201, the
233     executive director of the Utah Communications Authority or a designee of the executive
234     director.
235          (39) "Immaterial error":
236          (a) means an irregularity or abnormality that is:
237          (i) a matter of form that does not affect substance; or
238          (ii) an inconsequential variation from a requirement of a solicitation that has no, little,
239     or a trivial effect on the procurement process and that is not prejudicial to other vendors; and
240          (b) includes:
241          (i) a missing signature, missing acknowledgment of an addendum, or missing copy of a
242     professional license, bond, or insurance certificate;
243          (ii) a typographical error;
244          (iii) an error resulting from an inaccuracy or omission in the solicitation; and
245          (iv) any other error that the chief procurement officer or the head of a procurement unit
246     with independent procurement authority reasonably considers to be immaterial.
247          (40) "Indefinite quantity contract" means a fixed price contract that:
248          (a) is for an indefinite amount of procurement items to be supplied as ordered by a
249     procurement unit; and
250          (b) (i) does not require a minimum purchase amount; or
251          (ii) provides a maximum purchase limit.
252          (41) "Independent procurement authority" means authority granted to a procurement
253     unit under Subsection 63G-6a-106(4)(a).

254          (42) "Invitation for bids":
255          (a) means a document used to solicit:
256          (i) bids to provide a procurement item to a procurement unit; or
257          (ii) quotes for a price of a procurement item to be provided to a procurement unit; and
258          (b) includes all documents attached to or incorporated by reference in a document
259     described in Subsection (42)(a).
260          (43) "Issuing procurement unit" means a procurement unit that:
261          (a) reviews a solicitation to verify that it is in proper form;
262          (b) causes the notice of a solicitation to be published; and
263          (c) negotiates and approves the terms and conditions of a contract.
264          (44) "Judicial procurement unit" means:
265          (a) the Utah Supreme Court;
266          (b) the Utah Court of Appeals;
267          (c) the Judicial Council;
268          (d) a state judicial district; or
269          (e) an office, committee, subcommittee, or other organization within the state judicial
270     branch.
271          (45) "Labor hour contract" is a contract under which:
272          (a) the supplies and materials are not provided by, or through, the contractor; and
273          (b) the contractor is paid a fixed rate that includes the cost of labor, overhead, and
274     profit for a specified number of labor hours or days.
275          (46) "Legislative procurement unit" means:
276          (a) the Legislature;
277          (b) the Senate;
278          (c) the House of Representatives;
279          (d) a staff office of the Legislature, the Senate, or the House of Representatives; or
280          (e) a committee, subcommittee, commission, or other organization:
281          (i) within the state legislative branch; or

282          (ii) (A) that is created by statute to advise or make recommendations to the Legislature;
283          (B) the membership of which includes legislators; and
284          (C) for which the Office of Legislative Research and General Counsel provides staff
285     support.
286          (47) "Local building authority" means the same as that term is defined in Section
287     17D-2-102.
288          (48) "Local district" means the same as that term is defined in Section 17B-1-102.
289          (49) "Local government procurement unit" means:
290          (a) a county or municipality, and each office or agency of the county or municipality,
291     unless the county or municipality adopts its own procurement code by ordinance;
292          (b) a county or municipality that has adopted this entire chapter by ordinance, and each
293     office or agency of that county or municipality; or
294          (c) a county or municipality that has adopted a portion of this chapter by ordinance, to
295     the extent that a term in the ordinance is used in the adopted portion of this chapter, and each
296     office or agency of that county or municipality.
297          (50) "Multiple award contracts" means the award of a contract for an indefinite
298     quantity of a procurement item to more than one person.
299          (51) "Multiyear contract" means a contract that extends beyond a one-year period,
300     including a contract that permits renewal of the contract, without competition, beyond the first
301     year of the contract.
302          (52) "Municipality" means a city, town, or metro township.
303          (53) "Nonadopting local government procurement unit" means:
304          (a) a county or municipality that has not adopted Part 16, Protests, Part 17,
305     Procurement Appeals Board, Part 18, Appeals to Court and Court Proceedings, and Part 19,
306     General Provisions Related to Protest or Appeal; and
307          (b) each office or agency of a county or municipality described in Subsection (53)(a).
308          (54) "Offeror" means a person who submits a proposal in response to a request for
309     proposals.

310          (55) "Preferred bidder" means a bidder that is entitled to receive a reciprocal preference
311     under the requirements of this chapter.
312          (56) "Procure" means to acquire a procurement item through a procurement.
313          (57) "Procurement":
314          (a) means a procurement unit's acquisition of a procurement item through an
315     expenditure of public funds, or an agreement to expend public funds, including an acquisition
316     through a public-private partnership;
317          (b) includes all functions that pertain to the acquisition of a procurement item,
318     including:
319          (i) preparing and issuing a solicitation; and
320          (ii) (A) conducting a standard procurement process; or
321          (B) conducting a procurement process that is an exception to a standard procurement
322     process under Part 8, Exceptions to Procurement Requirements; and
323          (c) does not include a grant.
324          (58) "Procurement item" means a supply, a service, or construction.
325          (59) "Procurement officer" means:
326          (a) for a procurement unit with independent procurement authority:
327          (i) the head of the procurement unit;
328          (ii) a designee of the head of the procurement unit; or
329          (iii) a person designated by rule made by the applicable rulemaking authority; or
330          (b) for the division or a procurement unit without independent procurement authority,
331     the chief procurement officer.
332          (60) "Procurement unit":
333          (a) means:
334          (i) a legislative procurement unit;
335          (ii) an executive branch procurement unit;
336          (iii) a judicial procurement unit;
337          (iv) an educational procurement unit;

338          (v) the Utah Communications Authority, established in Section 63H-7a-201;
339          [(v)] (vi) a local government procurement unit;
340          [(vi)] (vii) a local district;
341          [(vii)] (viii) a special service district;
342          [(viii)] (ix) a local building authority;
343          [(ix)] (x) a conservation district;
344          [(x)] (xi) a public corporation; or
345          [(xi)] (xii) a public transit district; and
346          (b) does not include a political subdivision created under Title 11, Chapter 13,
347     Interlocal Cooperation Act.
348          (61) "Professional service" means labor, effort, or work that requires an elevated
349     degree of specialized knowledge and discretion, including labor, effort, or work in the field of:
350          (a) accounting;
351          (b) administrative law judge service;
352          (c) architecture;
353          (d) construction design and management;
354          (e) engineering;
355          (f) financial services;
356          (g) information technology;
357          (h) the law;
358          (i) medicine;
359          (j) psychiatry; or
360          (k) underwriting.
361          (62) "Protest officer" means:
362          (a) for the division or a procurement unit with independent procurement authority:
363          (i) the head of the procurement unit;
364          (ii) the head of the procurement unit's designee who is an employee of the procurement
365     unit; or

366          (iii) a person designated by rule made by the applicable rulemaking authority; or
367          (b) for a procurement unit without independent procurement authority, the chief
368     procurement officer or the chief procurement officer's designee who is an employee of the
369     division .
370          (63) "Public corporation" means the same as that term is defined in Section 63E-1-102.
371          (64) "Public entity" means any government entity of the state or political subdivision of
372     the state, including:
373          (a) a procurement unit;
374          (b) a municipality or county, regardless of whether the municipality or county has
375     adopted this chapter or any part of this chapter; and
376          (c) any other government entity located in the state that expends public funds.
377          (65) "Public facility" means a building, structure, infrastructure, improvement, or other
378     facility of a public entity.
379          (66) "Public funds" means money, regardless of its source, including from the federal
380     government, that is owned or held by a procurement unit.
381          (67) "Public transit district" means a public transit district organized under Title 17B,
382     Chapter 2a, Part 8, Public Transit District Act.
383          (68) "Public-private partnership" means an arrangement or agreement, occurring on or
384     after January 1, 2017, between a procurement unit and one or more contractors to provide for a
385     public need through the development or operation of a project in which the contractor or
386     contractors share with the procurement unit the responsibility or risk of developing, owning,
387     maintaining, financing, or operating the project.
388          (69) "Qualified vendor" means a vendor who:
389          (a) is responsible; and
390          (b) submits a responsive statement of qualifications under Section 63G-6a-410 that
391     meets the minimum mandatory requirements, evaluation criteria, and any applicable score
392     thresholds set forth in the request for statement of qualifications.
393          (70) "Real property" means land and any building, fixture, improvement, appurtenance,

394     structure, or other development that is permanently affixed to land.
395          (71) "Request for information" means a nonbinding process through which a
396     procurement unit requests information relating to a procurement item.
397          (72) "Request for proposals" means a document used to solicit proposals to provide a
398     procurement item to a procurement unit, including all other documents that are attached to that
399     document or incorporated in that document by reference.
400          (73) "Request for proposals process" means the procurement process described in Part
401     7, Request for Proposals.
402          (74) "Request for statement of qualifications" means a document used to solicit
403     information about the qualifications of a person interested in responding to a potential
404     procurement, including all other documents attached to that document or incorporated in that
405     document by reference.
406          (75) "Requirements contract" means a contract:
407          (a) under which a contractor agrees to provide a procurement unit's entire requirements
408     for certain procurement items at prices specified in the contract during the contract period; and
409          (b) that:
410          (i) does not require a minimum purchase amount; or
411          (ii) provides a maximum purchase limit.
412          (76) "Responsible" means being capable, in all respects, of:
413          (a) meeting all the requirements of a solicitation; and
414          (b) fully performing all the requirements of the contract resulting from the solicitation,
415     including being financially solvent with sufficient financial resources to perform the contract.
416          (77) "Responsive" means conforming in all material respects to the requirements of a
417     solicitation.
418          (78) "Sealed" means manually or electronically secured to prevent disclosure.
419          (79) "Service":
420          (a) means labor, effort, or work to produce a result that is beneficial to a procurement
421     unit;

422          (b) includes a professional service; and
423          (c) does not include labor, effort, or work provided under an employment agreement or
424     a collective bargaining agreement.
425          (80) "Small purchase process" means the procurement process described in Section
426     63G-6a-506.
427          (81) "Sole source contract" means a contract resulting from a sole source procurement.
428          (82) "Sole source procurement" means a procurement without competition pursuant to
429     a determination under Subsection 63G-6a-802(1)(a) that there is only one source for the
430     procurement item.
431          (83) "Solicitation" means an invitation for bids, request for proposals, request for
432     statement of qualifications, or request for information.
433          (84) "Solicitation response" means:
434          (a) a bid submitted in response to an invitation for bids;
435          (b) a proposal submitted in response to a request for proposals; or
436          (c) a statement of qualifications submitted in response to a request for statement of
437     qualifications.
438          (85) "Special service district" means the same as that term is defined in Section
439     17D-1-102.
440          (86) "Specification" means any description of the physical or functional characteristics
441     or of the nature of a procurement item included in an invitation for bids or a request for
442     proposals, or otherwise specified or agreed to by a procurement unit, including a description of:
443          (a) a requirement for inspecting or testing a procurement item; or
444          (b) preparing a procurement item for delivery.
445          (87) "Standard procurement process" means:
446          (a) the bidding process;
447          (b) the request for proposals process;
448          (c) the approved vendor list process;
449          (d) the small purchase process; or

450          (e) the design professional procurement process.
451          (88) "State cooperative contract" means a contract awarded by the division for and in
452     behalf of all public entities.
453          (89) "Statement of qualifications" means a written statement submitted to a
454     procurement unit in response to a request for statement of qualifications.
455          (90) "Subcontractor":
456          (a) means a person under contract to perform part of a contractual obligation under the
457     control of the contractor, whether the person's contract is with the contractor directly or with
458     another person who is under contract to perform part of a contractual obligation under the
459     control of the contractor; and
460          (b) includes a supplier, distributor, or other vendor that furnishes supplies or services
461     to a contractor.
462          (91) "Supply" means a good, material, technology, piece of equipment, or any other
463     item of personal property.
464          (92) "Tie bid" means that the lowest responsive bids of responsible bidders are
465     identical in price.
466          (93) "Time and materials contract" means a contract under which the contractor is paid:
467          (a) the actual cost of direct labor at specified hourly rates;
468          (b) the actual cost of materials and equipment usage; and
469          (c) an additional amount, expressly described in the contract, to cover overhead and
470     profit, that is not based on a percentage of the cost to the contractor.
471          (94) "Transitional costs":
472          (a) means the costs of changing:
473          (i) from an existing provider of a procurement item to another provider of that
474     procurement item; or
475          (ii) from an existing type of procurement item to another type;
476          (b) includes:
477          (i) training costs;

478          (ii) conversion costs;
479          (iii) compatibility costs;
480          (iv) costs associated with system downtime;
481          (v) disruption of service costs;
482          (vi) staff time necessary to implement the change;
483          (vii) installation costs; and
484          (viii) ancillary software, hardware, equipment, or construction costs; and
485          (c) does not include:
486          (i) the costs of preparing for or engaging in a procurement process; or
487          (ii) contract negotiation or drafting costs.
488          (95) "Trial use contract" means a contract for a procurement item that the procurement
489     unit acquires for a trial use or testing to determine whether the procurement item will benefit
490     the procurement unit.
491          (96) "Vendor":
492          (a) means a person who is seeking to enter into a contract with a procurement unit to
493     provide a procurement item; and
494          (b) includes:
495          (i) a bidder;
496          (ii) an offeror;
497          (iii) an approved vendor;
498          (iv) a design professional; and
499          (v) a person who submits an unsolicited proposal under Section 63G-6a-712.
500          Section 2. Section 63G-6a-106 is amended to read:
501          63G-6a-106. Procurement units with specific statutory procurement authority --
502     Independent procurement authority -- Authority of head of a procurement unit with
503     independent procurement authority.
504          (1) A procurement unit with procurement authority under the following provisions has
505     independent procurement authority to the extent of the applicable provisions and for the

506     procurement items specified in the applicable provisions:
507          (a) Title 53B, State System of Higher Education;
508          (b) Title 63A, Chapter 5, State Building Board - Division of Facilities Construction
509     and Management;
510          (c) Title 67, Chapter 5, Attorney General;
511          (d) Title 72, Transportation Code; and
512          (e) Title 78A, Chapter 5, District Court.
513          (2) Except as otherwise provided in Sections 63G-6a-105 and 63G-6a-107, a
514     procurement unit shall conduct a procurement in accordance with this chapter.
515          (3) (a) The Department of Transportation may make rules governing the procurement
516     of highway construction or improvement.
517          (b) The applicable rulemaking authority for a public transit district may make rules
518     governing the procurement of a transit construction project or a transit improvement project.
519          (4) (a) A procurement unit listed in Subsection (4)(b) may, without the supervision,
520     interference, oversight, control, or involvement of the division or the chief procurement officer,
521     but in accordance with the requirements of this chapter:
522          (i) engage in a standard procurement process;
523          (ii) procure an item under an exception, as provided in this chapter, to the requirement
524     to use a standard procurement process; or
525          (iii) otherwise engage in an act authorized or required by this chapter.
526          (b) The procurement units to which Subsection (4)(a) applies are:
527          (i) a legislative procurement unit;
528          (ii) a judicial procurement unit;
529          (iii) an educational procurement unit;
530          (iv) a local government procurement unit;
531          (v) a conservation district;
532          (vi) a local building authority;
533          (vii) a local district;

534          (viii) a public corporation;
535          (ix) a special service district;
536          (x) a public transit district; [and]
537          (xi) the Utah Communications Authority, established in Section 63H-7a-201; and
538          [(xi)] (xii) a procurement unit referred to in Subsection (1), to the extent authorized in
539     Subsection (1).
540          (c) A procurement unit with independent procurement authority shall comply with the
541     requirements of this chapter.
542          (d) Notwithstanding Subsection (4)(a), a procurement unit with independent
543     procurement authority may agree in writing with the division to extend the authority of the
544     division or the chief procurement officer to the procurement unit, as provided in the agreement.
545          (e) With respect to a procurement or contract over which the head of a procurement
546     unit with independent procurement authority has authority, the head of the procurement unit
547     with independent procurement authority may:
548          (i) manage and supervise the procurement to ensure to the extent practicable that
549     taxpayers receive the best value;
550          (ii) prepare and issue standard specifications for procurement items;
551          (iii) review contracts, coordinate contract compliance, conduct contract audits, and
552     approve change orders;
553          (iv) delegate duties and authority to an employee of the procurement unit, as the head
554     of the procurement unit with independent procurement authority considers appropriate;
555          (v) for the head of an executive branch procurement unit with independent
556     procurement authority, coordinate with the Department of Technology Services, created in
557     Section 63F-1-103, with respect to the procurement unit's procurement of information
558     technology services;
559          (vi) correct, amend, or cancel a procurement at any stage of the procurement process if
560     the procurement is out of compliance with this chapter or a rule adopted by the applicable
561     rulemaking authority;

562          (vii) after consultation with, as applicable, the attorney general's office or the
563     procurement unit's legal counsel, correct, amend, or cancel a contract at any time during the
564     term of the contract if:
565          (A) the contract is out of compliance with this chapter or a board rule; and
566          (B) the head of the procurement unit with independent procurement authority
567     determines that correcting, amending, or canceling the contract is in the best interest of the
568     procurement unit; and
569          (viii) attempt to resolve a contract dispute in coordination with the legal counsel of the
570     procurement unit with independent procurement authority.
571          (f) The head of a procurement unit with independent procurement authority serves as
572     the protest officer for a protest involving the procurement unit.
573          (g) If, at any time during the term of a contract awarded by a procurement unit with
574     independent procurement authority, the head of the procurement unit determines that the
575     contract is out of compliance with this chapter or applicable rules, the head of the procurement
576     unit may correct or amend the contract to bring it into compliance or cancel the contract:
577          (i) if the head of the procurement unit determines that correcting, amending, or
578     canceling the contract is in the best interest of the procurement unit; and
579          (ii) after consulting with legal counsel.
580          (5) (a) The attorney general may, in accordance with the provisions of this chapter, but
581     without involvement by the division or the chief procurement officer:
582          (i) retain outside counsel, subject to Section 67-5-33 if the attorney general retains
583     outside counsel under a contingent fee contract, as defined in that section; or
584          (ii) procure litigation support services, including retaining an expert witness.
585          (b) A procurement unit with independent procurement authority that is not represented
586     by the attorney general's office may, in accordance with the provisions of this chapter, but
587     without involvement by the division or the chief procurement officer:
588          (i) retain outside counsel; or
589          (ii) procure litigation support services, including retaining an expert witness.

590          (6) The state auditor's office may, in accordance with the provisions of this chapter, but
591     without involvement by the division or the chief procurement officer, procure audit services.
592          (7) The state treasurer may, in accordance with the provisions of this chapter, but
593     without involvement by the division or the chief procurement officer, procure:
594          (a) deposit services; and
595          (b) services related to issuing bonds.
596          Section 3. Effective date.
597          If approved by two-thirds of all the members elected to each house, this bill takes effect
598     upon approval by the governor, or the day following the constitutional time limit of Utah
599     Constitution, Article VII, Section 8, without the governor's signature, or in the case of a veto,
600     the date of veto override.