This document includes Senate 2nd Reading Floor Amendments incorporated into the bill on Tue, Feb 11, 2020 at 3:31 PM by lpoole.
This document includes House Committee Amendments incorporated into the bill on Thu, Feb 20, 2020 at 8:14 AM by pflowers.
Senator David G. Buxton proposes the following substitute bill:


1     
PROCUREMENT CODE AMENDMENTS

2     
2020 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: David G. Buxton

5     
House Sponsor: Val L. Peterson

6     

7     LONG TITLE
8     General Description:
9          This bill modifies the Utah Procurement Code.
10     Highlighted Provisions:
11          This bill:
12          ▸     modifies and enacts definitions applicable to the Utah Procurement Code;
13          ▸     modifies provisions relating to procurement units with independent procurement
14     authority;
15          ▸     reorganizes and modifies provisions relating to the applicability of and exemptions
16     from the Utah Procurement Code;
17          ▸     makes technical changes to eliminate a redundancy resulting from a reference to a
18     public transit district separate from a local district, which includes a public transit
19     district;
20          ▸     modifies notice provisions;
21          ▸     modifies provisions relating to correcting immaterial errors or clarifying
22     information in a solicitation response;
23          ▸     reorganizes and modifies provisions relating to procurement rules;
24          ▸     enacts provisions relating to cancelling a solicitation and rejecting solicitation
25     responses;

26          ▸     modifies provisions relating to the request for statement of qualifications process;
27          ▸     modifies small purchase provisions;
28          ▸     modifies provisions relating to the approved vendor list process;
29          ▸     modifies provisions relating to the invitation for bids process;
30          ▸     modifies and enacts provisions relating to the request for proposals process;
31          ▸     modifies provisions relating to trial use contracts;
32          ▸     modifies provisions relating to the purchase of goods from the correctional
33     industries division;
34          ▸     authorizes a procurement unit to procure professional services by using the design
35     professional procurement process;
36          ▸     modifies records retention provisions;
37          ▸     modifies provisions relating to agreements and purchases between public entities;
38          ▸     repeals provisions relating to:
39               •     the bidding process; and
40               •     the request for proposals process; and
41          ▸     makes technical and conforming changes.
42     Money Appropriated in this Bill:
43          None
44     Other Special Clauses:
45          None
46     Utah Code Sections Affected:
47     AMENDS:
48          63G-6a-103, as last amended by Laws of Utah 2019, Chapters 136, 170, 314, and 456
49          63G-6a-106, as last amended by Laws of Utah 2018, Second Special Session, Chapter
50     4
51          63G-6a-109, as last amended by Laws of Utah 2016, Chapter 355
52          63G-6a-112, as last amended by Laws of Utah 2017, Chapter 348
53          63G-6a-114, as enacted by Laws of Utah 2016, Chapter 355
54          63G-6a-115, as enacted by Laws of Utah 2016, Chapter 355
55          63G-6a-203, as last amended by Laws of Utah 2016, Chapter 355
56          63G-6a-204, as last amended by Laws of Utah 2019, Chapter 454

57          63G-6a-302, as last amended by Laws of Utah 2017, Chapter 348
58          63G-6a-303, as last amended by Laws of Utah 2018, Chapter 200
59          63G-6a-409, as renumbered and amended by Laws of Utah 2016, Chapter 355
60          63G-6a-410, as last amended by Laws of Utah 2017, Chapter 348
61          63G-6a-506, as last amended by Laws of Utah 2017, Chapter 348
62          63G-6a-507, as last amended by Laws of Utah 2017, Chapter 348
63          63G-6a-602, as last amended by Laws of Utah 2017, Chapter 348
64          63G-6a-603, as last amended by Laws of Utah 2017, Chapter 348
65          63G-6a-606, as last amended by Laws of Utah 2017, Chapter 348
66          63G-6a-702, as last amended by Laws of Utah 2017, Chapters 348, 376 and last
67     amended by Coordination Clause, Laws of Utah 2017, Chapter 348
68          63G-6a-703, as last amended by Laws of Utah 2017, Chapters 154, 348, and 376
69          63G-6a-707, as last amended by Laws of Utah 2017, Chapters 154, 348, and 376
70          63G-6a-707.5, as repealed and reenacted by Laws of Utah 2017, Chapter 348
71          63G-6a-712, as enacted by Laws of Utah 2018, Chapter 352
72          63G-6a-802, as last amended by Laws of Utah 2016, Chapter 355
73          63G-6a-802.3, as enacted by Laws of Utah 2016, Chapter 355
74          63G-6a-802.7, as last amended by Laws of Utah 2017, Chapter 348
75          63G-6a-803, as last amended by Laws of Utah 2016, Chapter 355
76          63G-6a-804, as last amended by Laws of Utah 2019, Chapter 314
77          63G-6a-806, as last amended by Laws of Utah 2016, Chapter 355
78          63G-6a-902, as last amended by Laws of Utah 2013, Chapter 445
79          63G-6a-903, as last amended by Laws of Utah 2017, Chapter 348
80          63G-6a-904, as last amended by Laws of Utah 2017, Chapter 348
81          63G-6a-1002, as last amended by Laws of Utah 2017, Chapter 348
82          63G-6a-1003, as last amended by Laws of Utah 2017, Chapter 348
83          63G-6a-1102, as last amended by Laws of Utah 2013, Chapter 445
84          63G-6a-1103, as last amended by Laws of Utah 2014, Chapter 196
85          63G-6a-1105, as last amended by Laws of Utah 2014, Chapter 196
86          63G-6a-1204.5, as last amended by Laws of Utah 2017, Chapter 348
87          63G-6a-1205, as last amended by Laws of Utah 2014, Chapter 196

88          63G-6a-1206, as last amended by Laws of Utah 2016, Chapter 355
89          63G-6a-1208, as enacted by Laws of Utah 2013, Chapter 445
90          63G-6a-1302, as last amended by Laws of Utah 2013, Chapter 445
91          63G-6a-1303, as last amended by Laws of Utah 2013, Chapter 445
92          63G-6a-1502, as last amended by Laws of Utah 2016, Chapter 355
93          63G-6a-1503.5, as last amended by Laws of Utah 2016, Chapter 355
94          63G-6a-1506, as last amended by Laws of Utah 2015, Chapter 218
95          63G-6a-1603, as last amended by Laws of Utah 2017, Chapter 348
96          63G-6a-1903, as last amended by Laws of Utah 2016, Chapter 355
97          63G-6a-1911, as last amended by Laws of Utah 2013, Chapter 445
98          63G-6a-2002, as last amended by Laws of Utah 2016, Chapter 355
99          63G-6a-2003, as last amended by Laws of Utah 2016, Chapter 355
100          63G-6a-2102, as last amended by Laws of Utah 2013, Chapter 445
101          63G-6a-2103, as last amended by Laws of Utah 2014, Chapter 196
102     ENACTS:
103          63G-6a-107.2, Utah Code Annotated 1953
104          63G-6a-107.4, Utah Code Annotated 1953
105          63G-6a-107.6, Utah Code Annotated 1953
106          63G-6a-107.7, Utah Code Annotated 1953
107          63G-6a-107.8, Utah Code Annotated 1953
108          63G-6a-118, Utah Code Annotated 1953
109          63G-6a-119, Utah Code Annotated 1953
110          63G-6a-120, Utah Code Annotated 1953
111          63G-6a-704.4, Utah Code Annotated 1953
112          63G-6a-704.6, Utah Code Annotated 1953
113     REPEALS AND REENACTS:
114          63G-6a-604, as last amended by Laws of Utah 2016, Chapter 355
115          63G-6a-608, as last amended by Laws of Utah 2017, Chapter 348
116          63G-6a-704, as last amended by Laws of Utah 2014, Chapter 196
117     REPEALS:
118          63G-6a-105, as last amended by Laws of Utah 2016, Chapter 355

119          63G-6a-107, as last amended by Laws of Utah 2016, Chapter 355
120          63G-6a-110, as renumbered and amended by Laws of Utah 2016, Chapter 355
121          63G-6a-601, as enacted by Laws of Utah 2012, Chapter 347
122          63G-6a-605, as repealed and reenacted by Laws of Utah 2016, Chapter 355
123          63G-6a-607, as last amended by Laws of Utah 2017, Chapter 348
124          63G-6a-609, as last amended by Laws of Utah 2016, Chapter 355
125          63G-6a-610, as last amended by Laws of Utah 2013, Chapter 445
126          63G-6a-611, as last amended by Laws of Utah 2016, Chapter 355
127          63G-6a-612, as last amended by Laws of Utah 2017, Chapter 348
128          63G-6a-706, as repealed and reenacted by Laws of Utah 2016, Chapter 355
129          63G-6a-708, as last amended by Laws of Utah 2016, Chapter 355
130          63G-6a-709, as last amended by Laws of Utah 2017, Chapter 348
131          63G-6a-709.5, as last amended by Laws of Utah 2014, Chapter 196
132          63G-6a-710, as last amended by Laws of Utah 2013, Chapter 445
133     

134     Be it enacted by the Legislature of the state of Utah:
135          Section 1. Section 63G-6a-103 is amended to read:
136          63G-6a-103. Definitions.
137          As used in this chapter:
138          [(1) "Applicable rulemaking authority" means:]
139          [(a) for a legislative procurement unit, the Legislative Management Committee;]
140          [(b) for a judicial procurement unit, the Judicial Council;]
141          [(c) (i) only to the extent of the procurement authority expressly granted to the
142     procurement unit by statute:]
143          [(A) for the building board or the Division of Facilities Construction and Management,
144     created in Section 63A-5-201, the building board;]
145          [(B) for the Office of the Attorney General, the attorney general; and]
146          [(C) for the Department of Transportation created in Section 72-1-201, the executive
147     director of the Department of Transportation; and]
148          [(ii) for each other executive branch procurement unit, the board;]
149          [(d) for a local government procurement unit:]

150          [(i) the legislative body of the local government procurement unit; or]
151          [(ii) an individual or body designated by the legislative body of the local government
152     procurement unit;]
153          [(e) for a school district or a public school, the board, except to the extent of a school
154     district's own nonadministrative rules that do not conflict with the provisions of this chapter;]
155          [(f) for a state institution of higher education described in:]
156          [(i) Subsections 53B-1-102(1)(a) and (c), the State Board of Regents; or]
157          [(ii) Subsection 53B-1-102(1)(b), the Utah System of Technical Colleges Board of
158     Trustees;]
159          [(g) for the State Board of Education or the Utah Schools for the Deaf and the Blind,
160     the State Board of Education;]
161          [(h) for a public transit district, the chief executive of the public transit district;]
162          [(i) for a local district other than a public transit district or for a special service
163     district:]
164          [(i) before January 1, 2015, the board of trustees of the local district or the governing
165     body of the special service district; or]
166          [(ii) on or after January 1, 2015, the board, except to the extent that the board of
167     trustees of the local district or the governing body of the special service district makes its own
168     rules:]
169          [(A) with respect to a subject addressed by board rules; or]
170          [(B) that are in addition to board rules;]
171          [(j) for the Utah Educational Savings Plan, created in Section 53B-8a-103, the board of
172     directors of the Utah Educational Savings Plan;]
173          [(k) for the School and Institutional Trust Lands Administration, created in Section
174     53C-1-201, the School and Institutional Trust Lands Board of Trustees;]
175          [(l) for the School and Institutional Trust Fund Office, created in Section 53D-1-201,
176     the School and Institutional Trust Fund Board of Trustees;]
177          [(m) for the Utah Communications Authority, established in Section 63H-7a-201, the
178     Utah Communications Authority Board, created in Section 63H-7a-203; or]
179          [(n) for any other procurement unit, the board.]
180          [(2)] (1) "Approved vendor" means a person who has been approved for inclusion on

181     an approved vendor list through the approved vendor list process.
182          [(3)] (2) "Approved vendor list" means a list of approved vendors established under
183     Section 63G-6a-507.
184          [(4)] (3) "Approved vendor list process" means the procurement process described in
185     Section 63G-6a-507.
186          [(5)] (4) "Bidder" means a person who submits a bid or price quote in response to an
187     invitation for bids.
188          [(6)] (5) "Bidding process" means the procurement process described in Part 6,
189     Bidding.
190          [(7)] (6) "Board" means the Utah State Procurement Policy Board, created in Section
191     63G-6a-202.
192          [(8)] (7) "Building board" means the State Building Board, created in Section
193     63A-5-101.
194          [(9)] (8) "Change directive" means a written order signed by the procurement officer
195     that directs the contractor to suspend work or make changes, as authorized by contract, without
196     the consent of the contractor.
197          [(10)] (9) "Change order" means a written alteration in specifications, delivery point,
198     rate of delivery, period of performance, price, quantity, or other provisions of a contract, upon
199     mutual agreement of the parties to the contract.
200          [(11)] (10) "Chief procurement officer" means the [chief procurement officer]
201     individual appointed under Subsection 63G-6a-302(1).
202          [(12)] (11) "Conducting procurement unit" means a procurement unit that conducts all
203     aspects of a procurement:
204          (a) except:
205          (i) reviewing a solicitation to verify that it is in proper form; and
206          (ii) causing the publication of a notice of a solicitation; and
207          (b) including:
208          (i) preparing any solicitation document;
209          (ii) appointing an evaluation committee;
210          (iii) conducting the evaluation process, except [as provided in Subsection
211     63G-6a-707(6)(b)] the process relating to scores calculated for costs of proposals;

212          (iv) selecting and recommending the person to be awarded a contract;
213          (v) negotiating the terms and conditions of a contract, subject to the issuing
214     procurement unit's approval; and
215          (vi) contract administration.
216          [(13)] (12) "Conservation district" means the same as that term is defined in Section
217     17D-3-102.
218          [(14)] (13) "Construction project":
219          (a) means [services, including work, and supplies for] a project for the construction,
220     renovation, alteration, improvement, or repair of a public facility on real property, including all
221     services, labor, supplies, and materials for the project; and
222          (b) does not include services and supplies for the routine, day-to-day operation, repair,
223     or maintenance of an existing public facility.
224          [(15)] (14) "Construction manager/general contractor":
225          (a) means a contractor who enters into a contract:
226          (i) for the management of a construction project; and
227          (ii) that allows the contractor to subcontract for additional labor and materials that are
228     not included in the contractor's cost proposal submitted at the time of the procurement of the
229     contractor's services; and
230          (b) does not include a contractor whose only subcontract work not included in the
231     contractor's cost proposal submitted as part of the procurement of the contractor's services is to
232     meet subcontracted portions of change orders approved within the scope of the project.
233          [(16)] (15) "Construction subcontractor":
234          (a) means a person under contract with a contractor or another subcontractor to provide
235     services or labor for the design or construction of a construction project;
236          (b) includes a general contractor or specialty contractor licensed or exempt from
237     licensing under Title 58, Chapter 55, Utah Construction Trades Licensing Act; and
238          (c) does not include a supplier who provides only materials, equipment, or supplies to a
239     contractor or subcontractor for a construction project.
240          [(17)] (16) "Contract" means an agreement for a procurement.
241          [(18)] (17) "Contract administration" means all functions, duties, and responsibilities
242     associated with managing, overseeing, and carrying out a contract between a procurement unit

243     and a contractor, including:
244          (a) implementing the contract;
245          (b) ensuring compliance with the contract terms and conditions by the conducting
246     procurement unit and the contractor;
247          (c) executing change orders;
248          (d) processing contract amendments;
249          (e) resolving, to the extent practicable, contract disputes;
250          (f) curing contract errors and deficiencies;
251          (g) terminating a contract;
252          (h) measuring or evaluating completed work and contractor performance;
253          (i) computing payments under the contract; and
254          (j) closing out a contract.
255          [(19)] (18) "Contractor" means a person who is awarded a contract with a procurement
256     unit.
257          [(20)] (19) "Cooperative procurement" means procurement conducted by, or on behalf
258     of:
259          (a) more than one procurement unit; or
260          (b) a procurement unit and a cooperative purchasing organization.
261          [(21)] (20) "Cooperative purchasing organization" means an organization, association,
262     or alliance of purchasers established to combine purchasing power in order to obtain the best
263     value for the purchasers by engaging in procurements in accordance with Section 63G-6a-2105.
264          [(22)] (21) "Cost-plus-a-percentage-of-cost contract" means a contract under which the
265     contractor is paid a percentage of the total actual expenses or costs in addition to the
266     contractor's actual expenses or costs.
267          [(23)] (22) "Cost-reimbursement contract" means a contract under which a contractor
268     is reimbursed for costs which are allowed and allocated in accordance with the contract terms
269     and the provisions of this chapter, and a fee, if any.
270          [(24)] (23) "Days" means calendar days, unless expressly provided otherwise.
271          [(25)] (24) "Definite quantity contract" means a fixed price contract that provides for a
272     specified amount of supplies over a specified period, with deliveries scheduled according to a
273     specified schedule.

274          [(26)] (25) "Design professional" means:
275          (a) an individual licensed as an architect under Title 58, Chapter 3a, Architects
276     Licensing Act;
277          (b) an individual licensed as a professional engineer or professional land surveyor
278     under Title 58, Chapter 22, Professional Engineers and Professional Land Surveyors Licensing
279     Act; or
280          (c) an individual certified as a commercial interior designer under Title 58, Chapter 86,
281     State Certification of Commercial Interior Designers Act.
282          [(27)] (26) "Design professional procurement process" means the procurement process
283     described in Part 15, Design Professional Services.
284          [(28)] (27) "Design professional services" means:
285          (a) professional services within the scope of the practice of architecture as defined in
286     Section 58-3a-102;
287          (b) professional engineering as defined in Section 58-22-102;
288          (c) master planning and programming services; or
289          (d) services within the scope of the practice of commercial interior design, as defined
290     in Section 58-86-102.
291          [(29)] (28) "Design-build" means the procurement of design professional services and
292     construction by the use of a single contract.
293          [(30) "Director" means the director of the division.]
294          [(31)] (29) "Division" means the Division of Purchasing and General Services, created
295     in Section 63A-2-101.
296          [(32)] (30) "Educational procurement unit" means:
297          (a) a school district;
298          (b) a public school, including a local school board or a charter school;
299          (c) the Utah Schools for the Deaf and the Blind;
300          (d) the Utah Education and Telehealth Network;
301          (e) an institution of higher education of the state described in Section 53B-1-102; or
302          (f) the State Board of Education.
303          [(33)] (31) "Established catalogue price" means the price included in a catalogue, price
304     list, schedule, or other form that:

305          (a) is regularly maintained by a manufacturer or contractor;
306          (b) is published or otherwise available for inspection by customers; and
307          (c) states prices at which sales are currently or were last made to a significant number
308     of any category of buyers or buyers constituting the general buying public for the supplies or
309     services involved.
310          [(34)] (32) "Executive branch procurement unit" means a department, division, office,
311     bureau, agency, or other organization within the state executive branch.
312          (33) "Facilities division" means the Division of Facilities Construction and
313     Management, created in Section 63A-5-201.
314          [(35)] (34) "Fixed price contract" means a contract that provides a price, for each
315     procurement item obtained under the contract, that is not subject to adjustment except to the
316     extent that:
317          (a) the contract provides, under circumstances specified in the contract, for an
318     adjustment in price that is not based on cost to the contractor; or
319          (b) an adjustment is required by law.
320          [(36)] (35) "Fixed price contract with price adjustment" means a fixed price contract
321     that provides for an upward or downward revision of price, precisely described in the contract,
322     that:
323          (a) is based on the consumer price index or another commercially acceptable index,
324     source, or formula; and
325          (b) is not based on a percentage of the cost to the contractor.
326          [(37)] (36) "Grant" means an expenditure of public funds or other assistance, or an
327     agreement to expend public funds or other assistance, for a public purpose authorized by law,
328     without acquiring a procurement item in exchange.
329          [(38) "Head of a procurement unit" means:]
330          [(a) for a legislative procurement unit, any person designated by rule made by the
331     applicable rulemaking authority;]
332          [(b) for an executive branch procurement unit:]
333          [(i) the director of the division; or]
334          [(ii) any other person designated by the board, by rule;]
335          [(c) for a judicial procurement unit:]

336          [(i) the Judicial Council; or]
337          [(ii) any other person designated by the Judicial Council, by rule;]
338          [(d) for a local government procurement unit:]
339          [(i) the legislative body of the local government procurement unit; or]
340          [(ii) any other person designated by the local government procurement unit;]
341          [(e) for a local district other than a public transit district, the board of trustees of the
342     local district or a designee of the board of trustees;]
343          [(f) for a special service district, the governing body of the special service district or a
344     designee of the governing body;]
345          [(g) for a local building authority, the board of directors of the local building authority
346     or a designee of the board of directors;]
347          [(h) for a conservation district, the board of supervisors of the conservation district or a
348     designee of the board of supervisors;]
349          [(i) for a public corporation, the board of directors of the public corporation or a
350     designee of the board of directors;]
351          [(j) for a school district or any school or entity within a school district, the board of the
352     school district, or the board's designee;]
353          [(k) for a charter school, the individual or body with executive authority over the
354     charter school, or the individual's or body's designee;]
355          [(l) for an institution of higher education described in Section 53B-2-101, the president
356     of the institution of higher education, or the president's designee;]
357          [(m) for a public transit district, the board of trustees or a designee of the board of
358     trustees;]
359          [(n) for the State Board of Education, the State Board of Education or a designee of the
360     State Board of Education; or]
361          [(o) for the Utah Communications Authority, established in Section 63H-7a-201, the
362     executive director of the Utah Communications Authority or a designee of the executive
363     director.]
364          [(39)] (37) "Immaterial error":
365          (a) means an irregularity or abnormality that is:
366          (i) a matter of form that does not affect substance; or

367          (ii) an inconsequential variation from a requirement of a solicitation that has no, little,
368     or a trivial effect on the procurement process and that is not prejudicial to other vendors; and
369          (b) includes:
370          (i) a missing signature, missing acknowledgment of an addendum, or missing copy of a
371     professional license, bond, or insurance certificate;
372          (ii) a typographical error;
373          (iii) an error resulting from an inaccuracy or omission in the solicitation; and
374          (iv) any other error that the [chief procurement officer or the head of a procurement
375     unit with independent procurement authority] procurement official reasonably considers to be
376     immaterial.
377          [(40)] (38) "Indefinite quantity contract" means a fixed price contract that:
378          (a) is for an indefinite amount of procurement items to be supplied as ordered by a
379     procurement unit; and
380          (b) (i) does not require a minimum purchase amount; or
381          (ii) provides a maximum purchase limit.
382          [(41) "Independent procurement authority" means authority granted to a procurement
383     unit under Subsection 63G-6a-106(4)(a).]
384          (39) "Independent procurement unit" means:
385          (a) (i) a legislative procurement unit;
386          (ii) a judicial branch procurement unit;
387          (iii) an educational procurement unit;
388          (iv) a local government procurement unit;
389          (v) a conservation district;
390          (vi) a local building authority;
391          (vii) a local district;
392          (viii) a public corporation;
393          (ix) a special service district; or
394          (x) the Utah Communications Authority, established in Section 63H-7a-201;
395          (b) the building board or the facilities division, but only to the extent of the
396     procurement authority provided under Title 63A, Chapter 5, State Building Board - Division of
397     Facilities Construction and Management;

398          (c) the attorney general, but only to the extent of the procurement authority provided
399     under Title 67, Chapter 5, Attorney General;
400          (d) the Department of Transportation, but only to the extent of the procurement
401     authority provided under Title 72, Transportation Code; or
402          (e) any other executive branch department, division, office, or entity that has statutory
403     procurement authority outside this chapter, but only to the extent of that statutory procurement
404     authority.
405          [(42)] (40) "Invitation for bids":
406          (a) means a document used to solicit:
407          (i) bids to provide a procurement item to a procurement unit; or
408          (ii) quotes for a price of a procurement item to be provided to a procurement unit; and
409          (b) includes all documents attached to or incorporated by reference in a document
410     described in Subsection [(42)] (40)(a).
411          [(43)] (41) "Issuing procurement unit" means a procurement unit that:
412          (a) reviews a solicitation to verify that it is in proper form;
413          (b) causes the notice of a solicitation to be published; and
414          (c) negotiates and approves the terms and conditions of a contract.
415          [(44)] (42) "Judicial procurement unit" means:
416          (a) the Utah Supreme Court;
417          (b) the Utah Court of Appeals;
418          (c) the Judicial Council;
419          (d) a state judicial district; or
420          (e) an office, committee, subcommittee, or other organization within the state judicial
421     branch.
422          [(45)] (43) "Labor hour contract" is a contract under which:
423          (a) the supplies and materials are not provided by, or through, the contractor; and
424          (b) the contractor is paid a fixed rate that includes the cost of labor, overhead, and
425     profit for a specified number of labor hours or days.
426          [(46)] (44) "Legislative procurement unit" means:
427          (a) the Legislature;
428          (b) the Senate;

429          (c) the House of Representatives;
430          (d) a staff office of the Legislature, the Senate, or the House of Representatives; or
431          (e) a committee, subcommittee, commission, or other organization:
432          (i) within the state legislative branch; or
433          (ii) (A) that is created by statute to advise or make recommendations to the Legislature;
434          (B) the membership of which includes legislators; and
435          (C) for which the Office of Legislative Research and General Counsel provides staff
436     support.
437          [(47)] (45) "Local building authority" means the same as that term is defined in Section
438     17D-2-102.
439          [(48)] (46) "Local district" means the same as that term is defined in Section
440     17B-1-102.
441          [(49)] (47) "Local government procurement unit" means:
442          (a) a county or municipality, and each office or agency of the county or municipality,
443     unless the county or municipality adopts its own procurement code by ordinance;
444          (b) a county or municipality that has adopted this entire chapter by ordinance, and each
445     office or agency of that county or municipality; or
446          (c) a county or municipality that has adopted a portion of this chapter by ordinance, to
447     the extent that a term in the ordinance is used in the adopted portion of this chapter, and each
448     office or agency of that county or municipality.
449          [(50)] (48) "Multiple award contracts" means the award of a contract for an indefinite
450     quantity of a procurement item to more than one person.
451          [(51)] (49) "Multiyear contract" means a contract that extends beyond a one-year
452     period, including a contract that permits renewal of the contract, without competition, beyond
453     the first year of the contract.
454          [(52)] (50) "Municipality" means a city, town, or metro township.
455          [(53)] (51) "Nonadopting local government procurement unit" means:
456          (a) a county or municipality that has not adopted Part 16, Protests, Part 17,
457     Procurement Appeals Board, Part 18, Appeals to Court and Court Proceedings, and Part 19,
458     General Provisions Related to Protest or Appeal; and
459          (b) each office or agency of a county or municipality described in Subsection [(53)]

460     (51)(a).
461          [(54)] (52) "Offeror" means a person who submits a proposal in response to a request
462     for proposals.
463          [(55)] (53) "Preferred bidder" means a bidder that is entitled to receive a reciprocal
464     preference under the requirements of this chapter.
465          [(56)] (54) "Procure" means to acquire a procurement item through a procurement.
466          [(57)] (55) "Procurement"[: (a) means a procurement unit's] means the acquisition of a
467     procurement item through an expenditure of public funds, or an agreement to expend public
468     funds, including an acquisition through a public-private partnership[;].
469          [(b) includes all functions that pertain to the acquisition of a procurement item,
470     including:]
471          [(i) preparing and issuing a solicitation; and]
472          [(ii) (A) conducting a standard procurement process; or]
473          [(B) conducting a procurement process that is an exception to a standard procurement
474     process under Part 8, Exceptions to Procurement Requirements; and]
475          [(c) does not include a grant.]
476          [(58)] (56) "Procurement item" means [a supply] an item of personal property, a
477     technology, a service, or a construction project.
478          [(59) "Procurement officer" means:]
479          [(a) for a procurement unit with independent procurement authority:]
480          [(i) the head of the procurement unit;]
481          [(ii) a designee of the head of the procurement unit; or]
482          [(iii) a person designated by rule made by the applicable rulemaking authority; or]
483          [(b) for the division or a procurement unit without independent procurement authority,
484     the chief procurement officer.]
485          (57) "Procurement official" means:
486          (a) for a procurement unit other than an independent procurement unit, the chief
487     procurement officer;
488          (b) for a legislative procurement unit, the individual, individuals, or body designated in
489     a policy adopted by the Legislative Management Committee;
490          (c) for a judicial procurement unit, the Judicial Council or an individual or body

491     designated by the Judicial Council by rule;
492          (d) for a local government procurement unit:
493          (i) the legislative body of the local government procurement unit; or
494          (ii) an individual or body designated by the local government procurement unit;
495          (e) for a local district, the board of trustees of the local district or the board of trustees'
496     designee;
497          (f) for a special service district, the governing body of the special service district or the
498     governing body's designee;
499          (g) for a local building authority, the board of directors of the local building authority
500     or the board of directors' designee;
501          (h) for a conservation district, the board of supervisors of the conservation district or
502     the board of supervisors' designee;
503          (i) for a public corporation, the board of directors of the public corporation or the board
504     of directors' designee;
505          (j) for a school district or any school or entity within a school district, the board of the
506     school district or the board's designee;
507          (k) for a charter school, the individual or body with executive authority over the charter
508     school or the designee of the individual or body;
509          (l) for an institution of higher education described in Section 53B-2-101, the president
510     of the institution of higher education or the president's designee;
511          (m) for the State Board of Education, the State Board of Education or the State Board
512     of Education's designee;
513          (n) for the State Board of Regents, the Commissioner of Higher Education or the
514     designee of the Commissioner of Higher Education;
515          (o) for the Utah Communications Authority, established in Section 63H-7a-201, the
516     executive director of the Utah Communications Authority or the executive director's designee;
517     or
518          (p) (i) for the building board, and only to the extent of procurement activities of the
519     building board as an independent procurement unit under the procurement authority provided
520     under Title 63A, Chapter 5, State Building Board - Division of Facilities Construction and
521     Management, the director of the building board or the director's designee;

522          (ii) for the facilities division, and only to the extent of procurement activities of the
523     facilities division as an independent procurement unit under the procurement authority
524     provided under Title 63A, Chapter 5, State Building Board - Division of Facilities Construction
525     and Management, the director of the facilities division or the director's designee;
526          (iii) for the attorney general, and only to the extent of procurement activities of the
527     attorney general as an independent procurement unit under the procurement authority provided
528     under Title 67, Chapter 5, Attorney General, the attorney general or the attorney general's
529     designee;
530          (iv) for the Department of Transportation created in Section 72-1-201, and only to the
531     extent of procurement activities of the Department of Transportation as an independent
532     procurement unit under the procurement authority provided under Title 72, Transportation
533     Code, the executive director of the Department of Transportation or the executive director's
534     designee; or
535          (v) for any other executive branch department, division, office, or entity that has
536     statutory procurement authority outside this chapter, and only to the extent of the procurement
537     activities of the department, division, office, or entity as an independent procurement unit
538     under the procurement authority provided outside this chapter for the department, division,
539     office, or entity, the chief executive officer of the department, division, office, or entity or the
540     chief executive officer's designee.
541          [(60)] (58) "Procurement unit":
542          (a) means:
543          (i) a legislative procurement unit;
544          (ii) an executive branch procurement unit;
545          (iii) a judicial procurement unit;
546          (iv) an educational procurement unit;
547          (v) the Utah Communications Authority, established in Section 63H-7a-201;
548          (vi) a local government procurement unit;
549          (vii) a local district;
550          (viii) a special service district;
551          (ix) a local building authority;
552          (x) a conservation district;

553          [(xi)] (xi) a public corporation; [or] and
554          [(xii) a public transit district; and]
555          (b) does not include a political subdivision created under Title 11, Chapter 13,
556     Interlocal Cooperation Act.
557          [(61)] (59) "Professional service" means labor, effort, or work that requires [an
558     elevated degree of] specialized knowledge, expertise, and discretion, including labor, effort, or
559     work in the field of:
560          (a) accounting;
561          (b) administrative law judge service;
562          (c) architecture;
563          (d) construction design and management;
564          (e) engineering;
565          (f) financial services;
566          (g) information technology;
567          (h) the law;
568          (i) medicine;
569          (j) psychiatry; or
570          (k) underwriting.
571          [(62)] (60) "Protest officer" means:
572          (a) for the division or [a procurement unit with] an independent procurement
573     [authority] unit:
574          (i) the [head of the] procurement [unit] official;
575          (ii) the [head of the procurement unit's] procurement official's designee who is an
576     employee of the procurement unit; or
577          (iii) a person designated by rule made by the [applicable] rulemaking authority; or
578          (b) for a procurement unit [without] other than an independent procurement [authority]
579     unit, the chief procurement officer or the chief procurement officer's designee who is an
580     employee of the division .
581          [(63)] (61) "Public corporation" means the same as that term is defined in Section
582     63E-1-102.
583          [(64)] (62) "Public entity" means the state or any other government entity [of the state

584     or political subdivision of the state, including:] within the state that expends public funds.
585          [(a) a procurement unit;]
586          [(b) a municipality or county, regardless of whether the municipality or county has
587     adopted this chapter or any part of this chapter; and]
588          [(c) any other government entity located in the state that expends public funds.]
589          [(65)] (63) "Public facility" means a building, structure, infrastructure, improvement,
590     or other facility of a public entity.
591          [(66)] (64) "Public funds" means money, regardless of its source, including from the
592     federal government, that is owned or held by a procurement unit.
593          [(67)] (65) "Public transit district" means a public transit district organized under Title
594     17B, Chapter 2a, Part 8, Public Transit District Act.
595          [(68)] (66) "Public-private partnership" means an arrangement or agreement, occurring
596     on or after January 1, 2017, between a procurement unit and one or more contractors to provide
597     for a public need through the development or operation of a project in which the contractor or
598     contractors share with the procurement unit the responsibility or risk of developing, owning,
599     maintaining, financing, or operating the project.
600          [(69)] (67) "Qualified vendor" means a vendor who:
601          (a) is responsible; and
602          (b) submits a responsive statement of qualifications under Section 63G-6a-410 that
603     meets the minimum mandatory requirements, evaluation criteria, and any applicable score
604     thresholds set forth in the request for statement of qualifications.
605          [(70)] (68) "Real property" means land and any building, fixture, improvement,
606     appurtenance, structure, or other development that is permanently affixed to land.
607          [(71)] (69) "Request for information" means a nonbinding process through which a
608     procurement unit requests information relating to a procurement item.
609          [(72)] (70) "Request for proposals" means a document used to solicit proposals to
610     provide a procurement item to a procurement unit, including all other documents that are
611     attached to that document or incorporated in that document by reference.
612          [(73)] (71) "Request for proposals process" means the procurement process described
613     in Part 7, Request for Proposals.
614          [(74)] (72) "Request for statement of qualifications" means a document used to solicit

615     information about the qualifications of a person interested in responding to a potential
616     procurement, including all other documents attached to that document or incorporated in that
617     document by reference.
618          [(75)] (73) "Requirements contract" means a contract:
619          (a) under which a contractor agrees to provide a procurement unit's entire requirements
620     for certain procurement items at prices specified in the contract during the contract period; and
621          (b) that:
622          (i) does not require a minimum purchase amount; or
623          (ii) provides a maximum purchase limit.
624          [(76)] (74) "Responsible" means being capable, in all respects, of:
625          (a) meeting all the requirements of a solicitation; and
626          (b) fully performing all the requirements of the contract resulting from the solicitation,
627     including being financially solvent with sufficient financial resources to perform the contract.
628          [(77)] (75) "Responsive" means conforming in all material respects to the requirements
629     of a solicitation.
630          [(78) "Sealed" means manually or electronically secured to prevent disclosure.]
631          (76) "Rule" includes a policy or regulation adopted by the rulemaking authority, if
632     adopting a policy or regulation is the method the rulemaking authority uses to adopt provisions
633     that govern the applicable procurement unit.
634          (77) "Rulemaking authority" means:
635          (a) for a legislative procurement unit, the Legislative Management Committee;
636          (b) for a judicial procurement unit, the Judicial Council;
637          (c) (i) only to the extent of the procurement authority expressly granted to the
638     procurement unit by statute:
639          (A) for the building board or the facilities division, the building board;
640          (B) for the Office of the Attorney General, the attorney general; and
641          (C) for the Department of Transportation created in Section 72-1-201, the executive
642     director of the Department of Transportation; and
643          (D) for any other executive branch department, division, office, or entity that has
644     statutory procurement authority outside this chapter, the governing authority of the department,
645     division, office, or entity; and

646          (ii) for each other executive branch procurement unit, the board;
647          (d) for a local government procurement unit:
648          (i) the governing body of the local government unit; or
649          (ii) an individual or body designated by the local government procurement unit;
650          (e) for a school district or a public school, the board, except to the extent of a school
651     district's own nonadministrative rules that do not conflict with the provisions of this chapter;
652          (f) for a state institution of higher education described in Subsection 53B-1-102(1)(a)
653     or (c), the State Board of Regents;
654          (g) for a state institution of higher education described in Subsection 53B-1-102(1)(b),
655     the Utah System of Technical Colleges Board of Trustees;
656          (h) for the State Board of Education or the Utah Schools for the Deaf and the Blind, the
657     State Board of Education;
658          (i) for a public transit district, the chief executive of the public transit district;
659          (j) for a local district other than a public transit district or for a special service district,
660     the board, except to the extent that the board of trustees of the local district or the governing
661     body of the special service district makes its own rules:
662          (i) with respect to a subject addressed by board rules; or
663          (ii) that are in addition to board rules;
664          (k) for the Utah Educational Savings Plan, created in Section 53B-8a-103, the Ŝ→ [
board of
665     directors of the Utah Educational Savings Plan
] State Board of Regents ←Ŝ
;
666          (l) for the School and Institutional Trust Lands Administration, created in Section
667     53C-1-201, the School and Institutional Trust Lands Board of Trustees;
668          (m) for the School and Institutional Trust Fund Office, created in Section 53D-1-201,
669     the School and Institutional Trust Fund Board of Trustees;
670          (n) for the Utah Communications Authority, established in Section 63H-7a-201, the
671     Utah Communications Authority Board, created in Section 63H-7a-203; or
672          (o) for any other procurement unit, the board.
673          [(79)] (78) "Service":
674          (a) means labor, effort, or work to produce a result that is beneficial to a procurement
675     unit;
676          (b) includes a professional service; and

677          (c) does not include labor, effort, or work provided under an employment agreement or
678     a collective bargaining agreement.
679          [(80)] (79) "Small purchase process" means the procurement process described in
680     Section 63G-6a-506.
681          [(81)] (80) "Sole source contract" means a contract resulting from a sole source
682     procurement.
683          [(82)] (81) "Sole source procurement" means a procurement without competition
684     pursuant to a determination under Subsection 63G-6a-802(1)(a) that there is only one source
685     for the procurement item.
686          [(83)] (82) "Solicitation" means an invitation for bids, request for proposals, or request
687     for statement of qualifications[, or request for information].
688          [(84)] (83) "Solicitation response" means:
689          (a) a bid submitted in response to an invitation for bids;
690          (b) a proposal submitted in response to a request for proposals; or
691          (c) a statement of qualifications submitted in response to a request for statement of
692     qualifications.
693          [(85)] (84) "Special service district" means the same as that term is defined in Section
694     17D-1-102.
695          [(86)] (85) "Specification" means any description of the physical or functional
696     characteristics or of the nature of a procurement item included in an invitation for bids or a
697     request for proposals, or otherwise specified or agreed to by a procurement unit, including a
698     description of:
699          (a) a requirement for inspecting or testing a procurement item; or
700          (b) preparing a procurement item for delivery.
701          [(87)] (86) "Standard procurement process" means:
702          (a) the bidding process;
703          (b) the request for proposals process;
704          (c) the approved vendor list process;
705          (d) the small purchase process; or
706          (e) the design professional procurement process.
707          [(88)] (87) "State cooperative contract" means a contract awarded by the division for

708     and in behalf of all public entities.
709          [(89)] (88) "Statement of qualifications" means a written statement submitted to a
710     procurement unit in response to a request for statement of qualifications.
711          [(90)] (89) "Subcontractor":
712          (a) means a person under contract to perform part of a contractual obligation under the
713     control of the contractor, whether the person's contract is with the contractor directly or with
714     another person who is under contract to perform part of a contractual obligation under the
715     control of the contractor; and
716          (b) includes a supplier, distributor, or other vendor that furnishes supplies or services
717     to a contractor.
718          [(91) "Supply" means a good, material, technology, piece of equipment, or any other
719     item of personal property.]
720          (90) "Technology" means the same as "information technology," as defined in Section
721     63F-1-102.
722          [(92)] (91) "Tie bid" means that the lowest responsive bids of responsible bidders are
723     identical in price.
724          [(93)] (92) "Time and materials contract" means a contract under which the contractor
725     is paid:
726          (a) the actual cost of direct labor at specified hourly rates;
727          (b) the actual cost of materials and equipment usage; and
728          (c) an additional amount, expressly described in the contract, to cover overhead and
729     profit, that is not based on a percentage of the cost to the contractor.
730          [(94)] (93) "Transitional costs":
731          (a) means the costs of changing:
732          (i) from an existing provider of a procurement item to another provider of that
733     procurement item; or
734          (ii) from an existing type of procurement item to another type;
735          (b) includes:
736          (i) training costs;
737          (ii) conversion costs;
738          (iii) compatibility costs;

739          (iv) costs associated with system downtime;
740          (v) disruption of service costs;
741          (vi) staff time necessary to implement the change;
742          (vii) installation costs; and
743          (viii) ancillary software, hardware, equipment, or construction costs; and
744          (c) does not include:
745          (i) the costs of preparing for or engaging in a procurement process; or
746          (ii) contract negotiation or drafting costs.
747          [(95) "Trial use contract" means a contract for a procurement item that the procurement
748     unit acquires for a trial use or testing to determine whether the procurement item will benefit
749     the procurement unit.]
750          [(96)] (94) "Vendor":
751          (a) means a person who is seeking to enter into a contract with a procurement unit to
752     provide a procurement item; and
753          (b) includes:
754          (i) a bidder;
755          (ii) an offeror;
756          (iii) an approved vendor;
757          (iv) a design professional; and
758          (v) a person who submits an unsolicited proposal under Section 63G-6a-712.
759          Section 2. Section 63G-6a-106 is amended to read:
760          63G-6a-106. Independent procurement units.
761          [(1) A procurement unit with procurement authority under the following provisions has
762     independent procurement authority to the extent of the applicable provisions and for the
763     procurement items specified in the applicable provisions:]
764          [(a) Title 53B, State System of Higher Education;]
765          [(b) Title 63A, Chapter 5, State Building Board - Division of Facilities Construction
766     and Management;]
767          [(c) Title 67, Chapter 5, Attorney General;]
768          [(d) Title 72, Transportation Code; and]
769          [(e) Title 78A, Chapter 5, District Court.]

770          [(2) Except as otherwise provided in Sections 63G-6a-105 and 63G-6a-107, a
771     procurement unit shall conduct a procurement in accordance with this chapter.]
772          [(3) (a) The Department of Transportation may make rules governing the procurement
773     of highway construction or improvement.]
774          [(b) The applicable rulemaking authority for a public transit district may make rules
775     governing the procurement of a transit construction project or a transit improvement project.]
776          [(4) (a)] (1) [A] An independent procurement unit [listed in Subsection (4)(b)] may,
777     without the supervision, interference, oversight, control, or involvement of the division or the
778     chief procurement officer, but in accordance with the requirements of this chapter:
779          [(i)] (a) engage in a standard procurement process;
780          [(ii) procure an]
781          (b) acquire a procurement item under an exception, as provided in this chapter, to the
782     requirement to use a standard procurement process; or
783          [(iii)] (c) otherwise engage in an act authorized or required by this chapter.
784          [(b) The procurement units to which Subsection (4)(a) applies are:]
785          [(i) a legislative procurement unit;]
786          [(ii) a judicial procurement unit;]
787          [(iii) an educational procurement unit;]
788          [(iv) a local government procurement unit;]
789          [(v) a conservation district;]
790          [(vi) a local building authority;]
791          [(vii) a local district;]
792          [(viii) a public corporation;]
793          [(ix) a special service district;]
794          [(x) a public transit district;]
795          [(xi) the Utah Communications Authority, established in Section 63H-7a-201; and]
796          [(xii) a procurement unit referred to in Subsection (1), to the extent authorized in
797     Subsection (1).]
798          [(c) A procurement unit with independent procurement authority shall comply with the
799     requirements of this chapter.]
800          [(d)] (2) Notwithstanding Subsection [(4)(a), a procurement unit with] (1), an

801     independent procurement [authority] unit may agree in writing with the division to extend the
802     authority of the division or the chief procurement officer to the procurement unit, as provided
803     in the agreement.
804          [(e)] (3) With respect to a procurement or contract over which [the head of a
805     procurement unit with] an independent procurement [authority] unit's procurement official has
806     authority, the [head of the procurement unit with independent procurement authority]
807     procurement official may:
808          [(i)] (a) manage and supervise the procurement to ensure to the extent practicable that
809     taxpayers receive the best value;
810          [(ii)] (b) prepare and issue standard specifications for procurement items;
811          [(iii)] (c) review contracts, coordinate contract compliance, conduct contract audits,
812     and approve change orders;
813          [(iv)] (d) delegate duties and authority to an employee of the procurement unit, as the
814     [head of the procurement unit with] independent procurement [authority] unit's procurement
815     official considers appropriate;
816          [(v)] (e) for the [head] procurement official of an executive branch procurement unit
817     [with] that is an independent procurement [authority] unit, coordinate with the Department of
818     Technology Services, created in Section 63F-1-103, with respect to the procurement unit's
819     procurement of information technology services;
820          [(vi)] (f) correct, amend, or cancel a procurement at any stage of the procurement
821     process if the procurement is out of compliance with this chapter or a rule adopted by the
822     [applicable] rulemaking authority;
823          [(vii) after consultation with, as applicable, the attorney general's office or the
824     procurement unit's legal counsel, correct, amend, or cancel a contract at any time during the
825     term of the contract if:]
826          [(A) the contract is out of compliance with this chapter or a board rule; and]
827          [(B) the head of the procurement unit with independent procurement authority
828     determines that correcting, amending, or canceling the contract is in the best interest of the
829     procurement unit; and]
830          [(viii)] (g) attempt to resolve a contract dispute in coordination with the legal counsel
831     of the [procurement unit with] independent procurement [authority.] unit; and

832          (h) at any time during the term of a contract awarded by the independent procurement
833     unit, correct or amend a contract to bring it into compliance or cancel the contract:
834          (i) if the procurement official determines that correcting, amending, or canceling the
835     contract is in the best interest of the procurement unit; and
836          (ii) after consulting with, as applicable, the attorney general's office or the procurement
837     unit's legal counsel.
838          [(f) The head of a procurement unit with independent procurement authority serves as
839     the protest officer for a protest involving the procurement unit.]
840          [(g) If, at any time during the term of a contract awarded by a procurement unit with
841     independent procurement authority, the head of the procurement unit determines that the
842     contract is out of compliance with this chapter or applicable rules, the head of the procurement
843     unit may correct or amend the contract to bring it into compliance or cancel the contract:]
844          [(i) if the head of the procurement unit determines that correcting, amending, or
845     canceling the contract is in the best interest of the procurement unit; and]
846          [(ii) after consulting with legal counsel.]
847          [(5) (a)] (4) The attorney general may, in accordance with the provisions of this
848     chapter, but without involvement by the division or the chief procurement officer:
849          [(i)] (a) retain outside counsel, subject to Section 67-5-33 if the attorney general retains
850     outside counsel under a contingent fee contract, as defined in that section; or
851          [(ii)] (b) procure litigation support services, including retaining an expert witness.
852          [(b) A procurement unit with]
853          (5) An independent procurement [authority] unit that is not represented by the attorney
854     general's office may, in accordance with the provisions of this chapter, but without involvement
855     by the division or the chief procurement officer:
856          [(i)] (a) retain outside counsel; or
857          [(ii)] (b) procure litigation support services, including retaining an expert witness.
858          (6) The state auditor's office may, in accordance with the provisions of this chapter, but
859     without involvement by the division or the chief procurement officer, procure audit services.
860          (7) The state treasurer may, in accordance with the provisions of this chapter, but
861     without involvement by the division or the chief procurement officer, procure:
862          (a) deposit services; and

863          (b) services related to issuing bonds.
864          Section 3. Section 63G-6a-107.2 is enacted to read:
865          63G-6a-107.2. Application of chapter in general.
866          (1) Except as provided in Section 63G-6a-107.6, this chapter applies to every
867     procurement.
868          (2) Notwithstanding any other provision of this chapter:
869          (a) a procurement unit may administer a procurement in accordance with the
870     requirements imposed by the source of the funds used to procure the procurement item; and
871          (b) if a procurement involves the expenditure of federal or state assistance, federal
872     contract funds, local matching funds, or federal financial participation funds, the procurement
873     unit shall comply with mandatory applicable federal or state law and regulations not reflected
874     in this chapter.
875          (3) A procurement unit that is subject to this chapter may not obtain a procurement
876     item unless:
877          (a) the procurement unit complies with:
878          (i) all applicable requirements of this chapter; and
879          (ii) the applicable rules that the rulemaking authority makes pursuant to this chapter;
880     and
881          (b) if the procurement unit is not the division or an independent procurement unit, the
882     procurement unit obtains the procurement item under the direction and approval of the
883     division, unless otherwise provided by a rule made by the board.
884          Section 4. Section 63G-6a-107.4 is enacted to read:
885          63G-6a-107.4. Application of chapter to counties and municipalities and the Utah
886     Housing Corporation.
887          A county or municipality or the Utah Housing Corporation:
888          (1) may adopt:
889          (a) any or all provisions of this chapter; or
890          (b) any or all rules adopted by the board under this chapter; and
891          (2) is subject to and shall comply with the provisions of this chapter and the rules that
892     are adopted by the county or municipality or the Utah Housing Corporation, respectively.
893          Section 5. Section 63G-6a-107.6 is enacted to read:

894          63G-6a-107.6. Exemptions from chapter.
895          (1) Except for this Subsection (1), the provisions of this chapter do not apply to:
896          (a) a public entity's acquisition of a procurement item from another public entity; or
897          (b) a public entity that is not a procurement unit.
898          (2) Unless otherwise provided by statute and except for this Subsection (2), the
899     provisions of this chapter do not apply to the acquisition or disposal of real property or an
900     interest in real property.
901          (3) Except for this Subsection (3) and Part 24, Unlawful Conduct and Penalties, the
902     provisions of this chapter do not apply to:
903          (a) funds administered under the Percent-for-Art Program of the Utah Percent-for-Art
904     Act;
905          (b) a grant;
906          (c) medical supplies or medical equipment, including service agreements for medical
907     equipment, obtained by the University of Utah Hospital through a purchasing consortium if:
908          (i) the consortium uses a competitive procurement process; and
909          (ii) the chief administrative officer of the hospital makes a written finding that the
910     prices for purchasing medical supplies and medical equipment through the consortium are
911     competitive with market prices;
912          (d) the purchase of firefighting supplies or equipment by the Division of Forestry, Fire,
913     and State Lands, created in Section 65A-1-4, through the federal General Services
914     Administration or the National Fire Cache system;
915          (e) supplies purchased for resale to the public; or
916          (f) activities related to the management of investments by a public entity granted
917     investment authority by law.
918          (4) This chapter does not supersede the requirements for retention or withholding of
919     construction proceeds and release of construction proceeds as provided in Section 13-8-5.
920          (5) Except for this Subsection (5), the provisions of this chapter do not apply to a
921     procurement unit's hiring a mediator, arbitrator, or arbitration panel member to participate in
922     the procurement unit's dispute resolution efforts.
923          Section 6. Section 63G-6a-107.7 is enacted to read:
924          63G-6a-107.7. Procurement rules.

925          (1) (a) Subject to Subsection (1)(b), the rulemaking authority for a procurement unit
926     shall make rules relating to the management and control of procurements and procurement
927     procedures by the procurement unit.
928          (b) Building board rules governing procurement of construction projects, design
929     professional services, and leases apply to the procurement of construction projects, design
930     professional services, and leases of real property, respectively, by the Division of Facilities
931     Construction and Management.
932          (2) A rulemaking authority may not adopt rules, policies, or regulations that are
933     inconsistent with this chapter.
934          (3) An individual or body that makes rules as required or authorized in this chapter
935     shall make the rules:
936          (a) in accordance with Chapter 3, Utah Administrative Rulemaking Act, if the
937     individual or body is subject to Chapter 3, Utah Administrative Rulemaking Act; or
938          (b) in accordance with the established process for making rules or their equivalent, if
939     the individual or body is not subject to Chapter 3, Utah Administrative Rulemaking Act.
940          (4) The rules of the rulemaking authority for the executive branch procurement unit
941     shall require, for each contract and request for proposals, the inclusion of a clause that requires
942     the issuing procurement unit, for the duration of the contract, to make available contact
943     information of the winning contractor to the Department of Workforce Services in accordance
944     with Section 35A-2-203. This requirement does not preclude a contractor from advertising job
945     openings in other forums throughout the state.
946          (5) The Department of Transportation may make rules governing the procurement of a
947     highway construction project or highway improvement project.
948          (6) The rulemaking authority for a public transit district may make rules governing the
949     procurement of a transit construction project or a transit improvement project.
950          Section 7. Section 63G-6a-107.8 is enacted to read:
951          63G-6a-107.8. Building board report to legislative interim committee.
952          The building board shall make a report on or before July 1 of each year to a legislative
953     interim committee designated by the Legislative Management Committee, created under
954     Section 36-12-6, on the establishment, implementation, and enforcement of the rules made by
955     the building board under this chapter.

956          Section 8. Section 63G-6a-109 is amended to read:
957          63G-6a-109. Issuing procurement unit and conducting procurement unit.
958          (1) With respect to a procurement by an executive branch procurement unit, except for
959     a procurement by an executive branch procurement unit that, under Subsection
960     63G-6a-103 Ĥ→ [
(40)] (39) ←Ĥ (b), (c), (d), or (e), is designated as an independent procurement
960a     unit:
961          (a) the division is the issuing procurement unit; and
962          (b) the executive branch procurement unit is the conducting procurement unit and is
963     responsible to ensure that the procurement is conducted in compliance with this chapter.
964          (2) With respect to a procurement by any other procurement unit, the procurement unit
965     is both the issuing procurement unit and the conducting procurement unit.
966          (3) A conducting procurement unit is responsible for contract administration.
967          Section 9. Section 63G-6a-112 is amended to read:
968          63G-6a-112. Required public notice.
969          [(1) The division or a procurement unit with independent procurement authority that
970     issues a solicitation required to be published in accordance with this section, shall provide
971     public notice that includes:]
972          [(a) the name of the procurement unit acquiring the procurement item;]
973          [(b) information on how to contact the issuing procurement unit;]
974          [(c) the date of the opening and closing of the solicitation;]
975          [(d) information on how to obtain a copy of the procurement documents;]
976          [(e) a general description of the procurement items that will be obtained through the
977     standard procurement process or procurement under Section 63G-6a-802; and]
978          [(f) for a notice of a procurement under Section 63G-6a-802:]
979          [(i) contact information and other information relating to contesting or obtaining
980     additional information relating to the procurement; and]
981          [(ii) the earliest date that the procurement unit may make the procurement.]
982          [(2) Except as provided in Subsection (4), the issuing procurement unit]
983          (1) A procurement unit that issues a solicitation shall publish [the] notice [described in
984     Subsection (1)] of the solicitation:
985          (a) at least seven days before the day of the deadline for submission of a [bid or other]
986     solicitation response; and

987          (b) (i) in a newspaper of general circulation in the state;
988          (ii) in a newspaper of local circulation in the area:
989          (A) directly impacted by the procurement; or
990          (B) over which the procurement unit has jurisdiction;
991          (iii) on the main website for the [issuing] procurement unit [or the procurement unit
992     acquiring the procurement item]; or
993          (iv) on a state website that is owned, managed by, or provided under contract with, the
994     division for posting a public procurement notice.
995          [(3) Except as provided in Subsection (4), for a procurement under Section 63G-6a-802
996     for which notice is required to be published in accordance with this section, the issuing
997     procurement unit shall publish the notice described in Subsection (1):]
998          [(a) at least seven days before the acquisition of the procurement item; and]
999          [(b) (i) in a newspaper of general circulation in the state;]
1000          [(ii) in a newspaper of local circulation in the area:]
1001          [(A) directly impacted by the procurement; or]
1002          [(B) over which the procurement unit has jurisdiction;]
1003          [(iii) on the main website for the procurement unit acquiring the procurement item; or]
1004          [(iv) on a state website that is owned by, managed by, or provided under contract with,
1005     the division for posting a procurement notice.]
1006          [(4) An issuing]
1007          (2) A procurement unit may reduce the seven-day period described in Subsection [(2)
1008     or (3)] (1), if the procurement [officer or the procurement officer's designee] unit's procurement
1009     official signs a written statement that:
1010          (a) states that a shorter time is needed; and
1011          (b) determines that competition from multiple sources may be obtained within the
1012     shorter period of time.
1013          [(5) (a) An issuing procurement unit shall make a copy of the solicitation documents
1014     available for public inspection at the main office of the issuing procurement unit or on the
1015     website described in Subsection (2)(b) until the award of the contract or the cancellation of the
1016     procurement.]
1017          [(b) A procurement unit issuing a procurement under Section 63G-6a-802 shall make a

1018     copy of information related to the procurement available for public inspection at the main
1019     office of the procurement unit or on the website described in Subsection (3)(b) until the award
1020     of the contract or the cancellation of the procurement.]
1021          [(c) A procurement unit shall maintain all records in accordance with Part 20,
1022     Records.]
1023          [(6) A procurement unit that issues a request for statement of qualifications as part of
1024     an approved vendor list process that results in the establishment of an open-ended vendor list,
1025     as defined in Section 63G-6a-507, shall keep the request for statement of qualifications posted
1026     on a website described in Subsection (2)(b)(iii) or (iv) during the entire period of the
1027     open-ended vendor list.]
1028          [(7)] (3) (a) It is the responsibility of a person seeking information provided by a
1029     [public] notice published under this section to seek out, find, and respond to [a public] the
1030     notice [issued by a procurement unit].
1031          (b) As a courtesy and in order to promote competition, a procurement unit may
1032     provide, but is not required to provide, individual notice.
1033          Section 10. Section 63G-6a-114 is amended to read:
1034          63G-6a-114. Correcting an immaterial error in a solicitation response.
1035          (1) [The chief procurement officer or the head of a procurement unit with independent
1036     procurement authority: (a) ] A procurement unit may allow a vendor to correct an immaterial
1037     error in a responsive solicitation response as provided in this section[; and].
1038          [(b) may not allow a vendor to:]
1039          [(i) correct a deficiency, inaccuracy, or mistake in a responsive solicitation response
1040     that is not an immaterial error;]
1041          [(ii) correct an incomplete submission of documents that the solicitation required to be
1042     submitted with the solicitation response;]
1043          [(iii) correct a failure to submit a timely solicitation response;]
1044          [(iv) substitute or alter a required form or other document specified in the solicitation;]
1045          [(v) remedy a cause for a vendor being considered to be not responsible or a
1046     solicitation response not responsive; or]
1047          [(vi) correct a defect or inadequacy resulting in a determination that a vendor's
1048     solicitation response does not meet the mandatory minimum requirements, evaluation criteria,

1049     or applicable score thresholds established in the solicitation.]
1050          [(2) (a) The chief procurement officer or the head of a procurement unit with
1051     independent procurement authority shall establish a deadline by which a vendor is required to
1052     submit a correction under this section.]
1053          [(b) The chief procurement officer or the head of a procurement unit with independent
1054     procurement authority may not allow a vendor to correct an immaterial error in a solicitation
1055     response if the vendor submits the correction after the deadline established under Subsection
1056     (2)(a).]
1057          [(3) If the chief procurement officer or the head of a procurement unit with
1058     independent procurement authority allows a vendor to correct an immaterial error in a
1059     solicitation response, the chief procurement officer or head shall prepare and sign a written
1060     document supporting the reason for allowing the correction.]
1061          (2) (a) A procurement unit that allows a vendor to correct an immaterial error in a
1062     responsive solicitation response shall:
1063          (i) require the vendor to submit the correction in writing; and
1064          (ii) establish a deadline by which the vendor is required to correct the immaterial error.
1065          (b) A procurement unit may not allow a vendor to correct an immaterial error in a
1066     responsive solicitation response after the deadline established under Subsection (2)(a).
1067          Section 11. Section 63G-6a-115 is amended to read:
1068          63G-6a-115. Clarifying information in a solicitation response.
1069          (1) A procurement unit may at any time make a written request to a vendor to:
1070          (a) clarify information contained in a responsive solicitation response[.]; or
1071          (b) provide additional information that the procurement unit determines the
1072     procurement unit needs to determine whether the vendor is responsible.
1073          [(2) A procurement unit may allow a vendor to respond to a request under Subsection
1074     (1):]
1075          [(a) in writing; or]
1076          [(b) by submitting a printed document.]
1077          [(3)] (2) (a) A procurement unit that requests a vendor to clarify or provide additional
1078     information [contained in a responsive solicitation response] under this section shall establish a
1079     deadline by which the vendor is required to submit the clarifying or additional information.

1080          (b) A procurement unit may not allow a vendor to submit clarifying or additional
1081     information after the deadline established under Subsection [(3)] (2)(a).
1082          [(4) A vendor's response to a request under this section:]
1083          [(a) may only explain, illustrate, or interpret the contents of the vendor's original
1084     solicitation response;]
1085          [(b) may not be used to address criteria or specifications not contained in the vendor's
1086     original solicitation response; and]
1087          [(c) may not be used to:]
1088          [(i) correct a deficiency, inaccuracy, or mistake in a solicitation response that is not an
1089     immaterial error;]
1090          [(ii) correct an incomplete submission of documents that the solicitation required to be
1091     submitted with the solicitation response;]
1092          [(iii) correct a failure to submit a timely solicitation response;]
1093          [(iv) substitute or alter a required form or other document specified in the solicitation;]
1094          [(v) remedy a cause for a vendor being considered to be not responsible or a
1095     solicitation response not responsive; or]
1096          [(vi) correct a defect or inadequacy resulting in a determination that a vendor does not
1097     meet the mandatory minimum requirements, evaluation criteria, or applicable score thresholds
1098     established in the solicitation.]
1099          Section 12. Section 63G-6a-118 is enacted to read:
1100          63G-6a-118. Adoption of ordinance, resolution, rule, or policy relating to the
1101     procurement of design professional services.
1102          Each of the following shall adopt a rule relating to the procurement of design
1103     professional services, not inconsistent with the provisions of Part 15, Design Professional
1104     Services:
1105          (1) an educational procurement unit;
1106          (2) a conservation district;
1107          (3) a local building authority;
1108          (4) a local district;
1109          (5) a special service district; and
1110          (6) a public corporation.

1111          Section 13. Section 63G-6a-119 is enacted to read:
1112          63G-6a-119. Cancelling a solicitation.
1113          (1) A procurement unit may cancel a solicitation if the procurement official determines
1114     that cancellation is in the best interests of the procurement unit.
1115          (2) If a procurement unit cancels a solicitation:
1116          (a) the procurement official shall explain in writing the reasons for the cancellation;
1117     and
1118          (b) the procurement unit shall make the written explanation described in Subsection
1119     (2)(a) available to the public for a period of one year after the cancellation.
1120          Section 14. Section 63G-6a-120 is enacted to read:
1121          63G-6a-120. Rejecting a solicitation response.
1122          (1) A procurement unit may reject a solicitation response if:
1123          (a) the solicitation response:
1124          (i) is not responsive;
1125          (ii) violates a requirement of the solicitation; or
1126          (iii) is not submitted before the deadline specified in the solicitation;
1127          (b) the vendor who submitted the solicitation response:
1128          (i) is not responsible;
1129          (ii) is in violation of a provision of this chapter;
1130          (iii) has had a previous contract with the procurement unit canceled;
1131          (iv) has engaged in unethical conduct;
1132          (v) is subject to an outstanding tax lien; or
1133          (vi) fails to sign a contract awarded as a result of the solicitation response within:
1134          (A) 90 days after the contract award, if the solicitation does not specify a deadline for
1135     the signing of the contract; or
1136          (B) the time specified in the solicitation, if the solicitation specifies a deadline for the
1137     signing of the contract; or
1138          (c) after the vendor submits a solicitation response there is a change in the vendor's
1139     circumstances that, if known at the time the solicitation response was submitted, would have
1140     caused the procurement unit to reject the solicitation response.
1141          (2) A procurement unit that rejects a solicitation response under Subsection (1) shall

1142     provide the vendor who submitted the rejected solicitation response a written statement of the
1143     reasons for the rejection.
1144          Section 15. Section 63G-6a-203 is amended to read:
1145          63G-6a-203. Powers and duties of board.
1146          (1) In addition to making rules in accordance with Section [63G-6a-110] 63G-6a-107.7
1147     and the other provisions of this chapter, the board shall consider and decide matters of policy
1148     within the provisions of this chapter, including those referred to it by the chief procurement
1149     officer.
1150          (2) (a) The board may:
1151          (i) audit and monitor the implementation of its rules and the requirements of this
1152     chapter;
1153          (ii) upon the request of a procurement unit with [an applicable] a rulemaking authority
1154     other than the board, review the procurement unit's proposed rules to ensure that they are not
1155     inconsistent with the provisions of this chapter or rules made by the board; and
1156          (iii) approve the use of innovative procurement processes.
1157          (b) Except as provided in Section 63G-6a-1702, the board may not exercise authority
1158     over:
1159          (i) the award or administration of any particular contract; or
1160          (ii) any dispute, claim, or litigation pertaining to any particular contract.
1161          (3) Except as otherwise expressly provided in this chapter, the board does not have
1162     authority over a matter involving [a] an independent procurement unit [with independent
1163     procurement authority].
1164          Section 16. Section 63G-6a-204 is amended to read:
1165          63G-6a-204. Applicability of rules and regulations of Utah State Procurement
1166     Policy Board and State Building Board -- Report to interim committee.
1167          (1) Except as provided in Subsection (2), rules made by the board under this chapter
1168     shall govern all procurement units for which the board is the [applicable] rulemaking authority.
1169          (2) The building board rules governing procurement of construction, design
1170     professional services, and leases apply to the procurement of construction, design professional
1171     services, and leases of real property by the [Division of Facilities Construction and
1172     Management] facilities division.

1173          (3) [An applicable] A rulemaking authority may make its own rules, consistent with
1174     this chapter, governing procurement by a person over which the [applicable] rulemaking
1175     authority has rulemaking authority.
1176          (4) The board shall make a report on or before July 1 of each year to a legislative
1177     interim committee, designated by the Legislative Management Committee created under
1178     Section 36-12-6, on the establishment, implementation, and enforcement of the rules made
1179     under Section 63G-6a-203.
1180          [(5) Notwithstanding Subsection 63G-3-301(15)(b), an applicable rulemaking authority
1181     is required to initiate rulemaking proceedings, for rules required to be made under this chapter,
1182     on or before:]
1183          [(a) May 13, 2014, if the applicable rulemaking authority is the board; or]
1184          [(b) January 1, 2015, for each other applicable rulemaking authority.]
1185          Section 17. Section 63G-6a-302 is amended to read:
1186          63G-6a-302. Chief procurement officer -- Appointment -- Qualifications --
1187     Authority.
1188          (1) The executive director of the Department of Administrative Services, with the
1189     consent of the governor, shall appoint the chief procurement officer after considering
1190     recommendations from the board.
1191          (2) The chief procurement officer shall:
1192          (a) have a minimum of eight years' experience:
1193          (i) (A) in the large-scale procurement of supplies, services, or construction; or
1194          (B) negotiating contract terms and conditions; and
1195          (ii) at least five years of which shall have been in public or comparable private
1196     procurement within 12 years preceding the date of appointment; and
1197          (b) be a person with demonstrated executive and organizational ability.
1198          (3) The chief procurement officer appointed under Subsection (1) is also the director of
1199     the Division of Purchasing and General Services.
1200          (4) The chief procurement officer has authority over a procurement by a procurement
1201     unit, except:
1202          (a) [a] an independent procurement unit [with independent procurement authority]; or
1203          (b) as otherwise expressly provided in this chapter.

1204          Section 18. Section 63G-6a-303 is amended to read:
1205          63G-6a-303. Duties and authority of chief procurement officer.
1206          (1) The chief procurement officer:
1207          (a) is the director of the division;
1208          (b) serves as the central procurement officer of the state;
1209          (c) serves as a voting member of the board; and
1210          (d) serves as the protest officer for a protest relating to a procurement of an executive
1211     branch procurement [unit without independent procurement authority], except an executive
1212     branch procurement unit designated under Subsection 63G-6a-103 Ĥ→ [
(40)] (39) ←Ĥ (b), (c), (d),
1212a     or (e) as an
1213     independent procurement unit, or a state cooperative contract procurement, unless the chief
1214     procurement officer designates another to serve as protest officer, as authorized in this chapter.
1215          (2) Except as otherwise provided in this chapter, the chief procurement officer shall:
1216          (a) develop procurement policies and procedures supporting ethical procurement
1217     practices, fair and open competition among vendors, and transparency within the state's
1218     procurement process;
1219          (b) administer the state's cooperative purchasing program, including state cooperative
1220     contracts and associated administrative fees;
1221          (c) enter into an agreement with a public entity for services provided by the division, if
1222     the agreement is in the best interest of the state;
1223          (d) ensure the division's compliance with any applicable law, rule, or policy, including
1224     a law, rule, or policy applicable to the division's role as an issuing procurement unit or
1225     conducting procurement unit, or as the state's central procurement organization;
1226          (e) manage the division's electronic procurement system;
1227          (f) oversee the recruitment, training, career development, certification requirements,
1228     and performance evaluation of the division's procurement personnel;
1229          (g) make procurement training available to procurement units and persons who do
1230     business with procurement units;
1231          (h) provide exemplary customer service and continually improve the division's
1232     procurement operations;
1233          (i) exercise all other authority, fulfill all other duties and responsibilities, and perform
1234     all other functions authorized under this chapter; and

1235          (j) ensure that any training described in this Subsection (2) complies with Title 63G,
1236     Chapter 22, State Training and Certification Requirements.
1237          (3) With respect to a procurement or contract over which the chief procurement officer
1238     has authority under this chapter, the chief procurement officer, except as otherwise provided in
1239     this chapter:
1240          (a) shall:
1241          (i) manage and supervise a procurement to ensure to the extent practicable that
1242     taxpayers receive the best value;
1243          (ii) prepare and issue standard specifications for procurement items;
1244          (iii) review contracts, coordinate contract compliance, conduct contract audits, and
1245     approve change orders;
1246          (iv) in accordance with Section 63F-1-205, coordinate with the Department of
1247     Technology Services, created in Section 63F-1-103, with respect to the procurement of
1248     information technology services by an executive branch procurement unit;
1249          (v) correct, amend, or cancel a procurement at any stage of the procurement process if
1250     the procurement is out of compliance with this chapter or a board rule;
1251          (vi) after consultation with the attorney general's office, correct, amend, or cancel a
1252     contract at any time during the term of the contract if:
1253          (A) the contract is out of compliance with this chapter or a board rule; and
1254          (B) the chief procurement officer determines that correcting, amending, or canceling
1255     the contract is in the best interest of the state; and
1256          (vii) make a reasonable attempt to resolve a contract dispute, in coordination with the
1257     attorney general's office; and
1258          (b) may:
1259          (i) delegate limited purchasing authority to a state agency, with appropriate oversight
1260     and control to ensure compliance with this chapter;
1261          (ii) delegate duties and authority to an employee of the division, as the chief
1262     procurement officer considers appropriate;
1263          (iii) negotiate and settle contract overcharges, undercharges, and claims, in accordance
1264     with the law and after consultation with the attorney general's office;
1265          (iv) authorize a procurement unit to make a procurement pursuant to a regional

1266     solicitation, as defined in Subsection 63G-6a-2105(7), even if the procurement item is also
1267     offered under a state cooperative contract, if the chief procurement officer determines that the
1268     procurement pursuant to a regional solicitation is in the best interest of the acquiring
1269     procurement unit; and
1270          (v) remove an individual from the procurement process or contract administration for:
1271          (A) having a conflict of interest or the appearance of a conflict of interest with a person
1272     responding to a solicitation or with a contractor;
1273          (B) having a bias or the appearance of bias for or against a person responding to a
1274     solicitation or for or against a contractor;
1275          (C) making an inconsistent or unexplainable score for a solicitation response;
1276          (D) having inappropriate contact or communication with a person responding to a
1277     solicitation;
1278          (E) socializing inappropriately with a person responding to a solicitation or with a
1279     contractor;
1280          (F) engaging in any other action or having any other association that causes the chief
1281     procurement officer to conclude that the individual cannot fairly evaluate a solicitation
1282     response or administer a contract; or
1283          (G) any other violation of a law, rule, or policy.
1284          (4) The chief procurement officer may not delegate to an individual outside the
1285     division the chief procurement officer's authority over a procurement described in Subsection
1286     (3)(a)(iv).
1287          (5) The chief procurement officer has final authority to determine whether an executive
1288     branch procurement unit's anticipated expenditure of public funds, anticipated agreement to
1289     expend public funds, or provision of a benefit constitutes a procurement that is subject to this
1290     chapter.
1291          (6) Except as otherwise provided in this chapter, the chief procurement officer shall
1292     review, monitor, and audit the procurement activities and delegated procurement authority of
1293     an executive branch procurement unit [without independent procurement authority], except to
1294     the extent that an executive branch procurement unit is designated under Subsection
1295     63G-6a-103 Ĥ→ [
(40)] (39) ←Ĥ (b), (c), (d), or (e) as an independent procurement unit, to ensure
1295a     compliance
1296     with this chapter, rules made by the applicable rulemaking authority, and division policies.

1297          Section 19. Section 63G-6a-409 is amended to read:
1298          63G-6a-409. Request for information.
1299          (1) [The purpose of] A procurement unit may issue a request for information [is]
1300     to[:(a)] obtain information, comments, or suggestions [from potential bidders or offerors]
1301     before issuing [an invitation for bids or request for proposals;] a solicitation.
1302          [(b) determine whether to issue an invitation for bids or a request for proposals; and]
1303          [(c) generate interest in a potential invitation for bids or request for proposals.]
1304          [(2) A request for information may be useful in order to:]
1305          [(a) prepare to issue an invitation for bids or request for proposals for an unfamiliar or
1306     complex procurement;]
1307          [(b) determine the market availability of a procurement item; or]
1308          [(c) determine best practices, industry standards, performance standards, product
1309     specifications, and innovations relating to a procurement item.]
1310          [(3)] (2) (a) A request for information is not a procurement process and may not be
1311     used to:
1312          [(i) solicit cost, pricing, or rate information;]
1313          [(ii)] (i) negotiate fees;
1314          [(iii)] (ii) make a purchase; [or]
1315          (iii) determine whether a procurement may be made under Part 8, Exceptions to
1316     Procurement Requirements; or
1317          (iv) enter into a contract.
1318          (b) To make a purchase or enter into a contract, a procurement unit is required to:
1319          (i) use a standard procurement process; or
1320          (ii) comply with an exception to the requirement to use a standard procurement
1321     process, as described in Part 8, Exceptions to Procurement Requirements.
1322          [(4)] (3) A response to a request for information is not an offer and may not be
1323     accepted to form a binding contract.
1324          [(5) A request for information may seek a wide range of information, including:]
1325          [(a) availability of a procurement item;]
1326          [(b) delivery schedules;]
1327          [(c) industry standards and practices;]

1328          [(d) product specifications;]
1329          [(e) training;]
1330          [(f) new technologies;]
1331          [(g) capabilities of potential providers of a procurement item; and]
1332          [(h) alternate solutions.]
1333          (4) A procurement unit that receives pricing information in response to a request for
1334     information shall ensure that an individual who serves on an evaluation committee to evaluate
1335     proposals that include a proposal as to which the pricing information applies does not have
1336     access to the pricing information, except as provided in Subsection 63G-6a-707(7).
1337          [(6)] (5) A record containing information submitted to or by a governmental entity in
1338     response to a request for information is a protected record under Section 63G-2-305.
1339          Section 20. Section 63G-6a-410 is amended to read:
1340          63G-6a-410. Request for statement of qualifications -- Process.
1341          (1) (a) A procurement unit may use the process described in this section:
1342          (i) as one of the stages of a multiple-stage[:] standard procurement process; and
1343          [(A) bidding process;]
1344          [(B) request for proposals process; or]
1345          [(C) design professional procurement process; and]
1346          (ii) to identify qualified vendors to participate in other stages of the multiple-stage
1347     procurement process.
1348          (b) A procurement unit shall use the process described in this section as part of the
1349     approved vendor list process, if the procurement unit intends to establish an approved vendor
1350     list.
1351          (2) A procurement unit may not:
1352          (a) award a contract based solely on the process described in this section; or
1353          (b) solicit costs, pricing, or rates or negotiate fees through the process described in this
1354     section.
1355          (3) The process of identifying qualified vendors in a multiple-stage standard
1356     procurement process or of establishing an approved vendor list under Section 63G-6a-507 is
1357     initiated by a procurement unit issuing a request for statement of qualifications.
1358          (4) A request for statement of qualifications in a multiple-stage standard procurement

1359     process shall include:
1360          (a) a statement indicating that participation in other stages of the multiple-stage
1361     standard procurement process will be limited to qualified vendors;
1362          (b) the minimum mandatory requirements, evaluation criteria, and applicable score
1363     thresholds that will be used to identify qualified vendors, including, as applicable:
1364          (i) experience and work history;
1365          (ii) management and staff requirements or standards;
1366          (iii) licenses, certifications, and other qualifications;
1367          (iv) performance ratings or references;
1368          (v) financial stability; and
1369          (vi) other information pertaining to vendor qualifications that the [chief procurement
1370     officer or the head of a procurement unit with independent procurement authority] procurement
1371     official considers relevant or important; and
1372          (c) the deadline by which a vendor is required to submit a statement of qualifications.
1373          (5) A request for statement of qualifications in an approved vendor list process under
1374     Section 63G-6a-507 shall include:
1375          (a) a general description of, as applicable:
1376          (i) the procurement item that the procurement unit seeks to acquire;
1377          (ii) the type of project or scope or category of work that will be the subject of a
1378     procurement by the procurement unit;
1379          (iii) the procurement process the procurement unit will use to acquire the procurement
1380     item; and
1381          (iv) the type of vendor the procurement unit seeks to provide the procurement item;
1382          (b) the minimum mandatory requirements, evaluation criteria, and applicable score
1383     thresholds that vendors are required to meet to be included on the approved vendor list;
1384          (c) a statement indicating that the approved vendor list will include only responsible
1385     vendors that:
1386          (i) submit a responsive statement of qualifications; and
1387          (ii) meet the minimum mandatory requirements, evaluation criteria, and applicable
1388     score thresholds described in the request for statement of qualifications;
1389          (d) a statement indicating that only vendors on the approved vendor list will be able to

1390     participate in the procurements identified in the request for statement of qualifications;
1391          (e) a statement indicating whether the procurement unit will use a performance rating
1392     system for evaluating the performance of vendors on the approved vendor list, including
1393     whether a vendor on the approved vendor list may be disqualified and removed from the list;
1394          (f) (i) a statement indicating whether the procurement unit uses a closed-ended
1395     approved vendor list, as defined in Section 63G-6a-507, or an open-ended approved vendor
1396     list, as defined in Section 63G-6a-507; and
1397          (ii) (A) if the procurement unit uses a closed-ended approved vendor list, the deadline
1398     by which a vendor is required to submit a statement of qualifications and a specified period of
1399     time after which the approved vendor list will expire; or
1400          (B) if the procurement unit uses an open-ended approved vendor list, the deadline by
1401     which a vendor is required to submit a statement of qualifications to be considered for the
1402     initial approved vendor list, a schedule indicating when a vendor not on the initial approved
1403     vendor list may submit a statement of qualifications to be considered to be added to the
1404     approved vendor list, and the specified period of time after which a vendor is required to
1405     submit a new statement of qualifications for evaluation before the vendor's status as an
1406     approved vendor on the approved vendor list may be renewed; and
1407          (g) a description of any other criteria or requirements specific to the procurement item
1408     or scope of work that is the subject of the procurement.
1409          (6) A procurement unit issuing a request for statement of qualifications shall publish
1410     the request as provided in Section 63G-6a-112.
1411          (7) After the deadline for submitting a statement of qualifications, the [chief
1412     procurement officer or the head of a procurement unit with independent procurement authority]
1413     procurement official may allow a vendor to correct an immaterial error in a statement of
1414     qualifications, as provided in Section 63G-6a-114.
1415          (8) (a) A conducting procurement unit may reject a statement of qualifications if the
1416     conducting procurement unit determines that:
1417          (i) the vendor who submitted the statement of qualifications:
1418          (A) is not responsible;
1419          (B) is in violation of a provision of this chapter;
1420          (C) has engaged in unethical conduct; or

1421          (D) receives a performance rating below the satisfactory performance threshold
1422     specified in the request for statement of qualifications;
1423          (ii) there has been a change in the vendor's circumstances after the vendor submits a
1424     statement of qualifications that, if the change had been known at the time the statement of
1425     qualifications was evaluated, would have caused the statement of qualifications not to have
1426     received a qualifying score; or
1427          (iii) the statement of qualifications:
1428          (A) is not responsive; or
1429          (B) does not meet the mandatory minimum requirements, evaluation criteria, or
1430     applicable score thresholds stated in the request for statement of qualifications.
1431          (b) A procurement unit that rejects a statement of qualifications under Subsection
1432     (8)(a) shall:
1433          (i) make a written finding, stating the reasons for the rejection; and
1434          (ii) provide a copy of the written finding to the vendor that submitted the rejected
1435     statement of qualifications.
1436          (9) (a) (i) After the issuance of a request for statement of qualifications, the conducting
1437     procurement unit shall appoint an evaluation committee consisting, subject to Subsection
1438     (9)(b), of at least three individuals with at least a general familiarity with or basic
1439     understanding of:
1440          (A) the technical requirements relating to the type of procurement item that is the
1441     subject of the request for statement of qualifications; or
1442          (B) the need that the procurement item is intended to address.
1443          (ii) The conducting procurement unit shall ensure that each member of an evaluation
1444     committee and each individual participating in the evaluation committee process:
1445          (A) does not have a conflict of interest with any vendor that submits a statement of
1446     qualifications;
1447          (B) can fairly evaluate each statement of qualifications;
1448          (C) does not contact or communicate with a vendor concerning the evaluation process
1449     or procurement outside the official evaluation committee process; and
1450          (D) conducts or participates in the evaluation in a manner that ensures a fair and
1451     competitive process and avoids the appearance of impropriety.

1452          (b) A procurement unit may reduce the number of individuals appointed to an
1453     evaluation committee if the procurement official determines in writing that the evaluation
1454     criteria:
1455          (i) consist of only objective criteria; and
1456          (ii) do not include any subjective criterion that requires analysis, assessment, or
1457     deliberation.
1458          [(b)] (c) A conducting procurement unit may authorize an evaluation committee to
1459     receive assistance:
1460          (i) from an expert or consultant who:
1461          (A) is not a member of the evaluation committee; and
1462          (B) does not participate in the evaluation scoring; and
1463          (ii) to better understand a technical issue involved in the procurement.
1464          [(c)] (d) An evaluation committee appointed under this Subsection (9):
1465          (i) shall evaluate and score statements of qualifications submitted in response to a
1466     request for statement of qualifications using the minimum mandatory requirements, evaluation
1467     criteria, and applicable score thresholds set forth in the request for statement of qualifications;
1468          (ii) may not evaluate or score a statement of qualifications using criteria not included in
1469     the request for statement of qualifications; and
1470          (iii) may, with the approval of the [head of the conducting procurement unit]
1471     procurement official, enter into discussions or conduct interviews with or attend presentations
1472     by vendors, for the purpose of clarifying information contained in statements of qualifications.
1473          [(d)] (e) In a discussion, interview, or presentation under Subsection (9)(c)(iii), a
1474     vendor:
1475          (i) may only explain, illustrate, or interpret the contents of the vendor's original
1476     statement of qualifications; and
1477          (ii) may not:
1478          (A) address criteria or specifications not contained in the vendor's original statement of
1479     qualifications;
1480          (B) correct a deficiency, inaccuracy, or mistake in a statement of qualifications that is
1481     not an immaterial error;
1482          (C) correct an incomplete submission of documents that the request for statement of

1483     qualifications required to be submitted with the statement of qualifications;
1484          (D) correct a failure to submit a timely statement of qualifications;
1485          (E) substitute or alter a required form or other document specified in the statement of
1486     qualifications;
1487          (F) remedy a cause for a vendor being considered to be not responsible or a statement
1488     of qualifications not responsive; or
1489          (G) correct a defect or inadequacy resulting in a determination that a vendor does not
1490     meet the mandatory minimum requirements, evaluation criteria, or applicable score thresholds
1491     established in the statement of qualifications.
1492          [(e)] (f) After the evaluation committee completes its evaluation and scoring of the
1493     statements of qualifications, the evaluation committee shall submit the statements of
1494     qualifications and evaluation scores to the [head of the procurement unit] procurement official
1495     for review and final determination of:
1496          (i) qualified vendors, if the request for statement of qualifications process is used as
1497     one of the stages of a multiple-stage process; or
1498          (ii) vendors to be included on an approved vendor list, if the request for statement of
1499     qualifications process is used as part of the approved vendor list process.
1500          [(f)] (g) The issuing procurement unit shall review the evaluation committee's scores
1501     and correct any errors, scoring inconsistencies, and reported noncompliance with this chapter.
1502          [(g)] (h) (i) The deliberations of an evaluation committee under this Subsection (9)
1503     may be held in private.
1504          (ii) If the evaluation committee is a public body, as defined in Section 52-4-103, the
1505     evaluation committee shall comply with Section 52-4-205 in closing a meeting for its
1506     deliberations.
1507          (10) A procurement unit may at any time request a vendor to clarify information
1508     contained in a statement of qualifications, as provided in Section 63G-6a-115.
1509          (11) A vendor may voluntarily withdraw a statement of qualifications at any time
1510     before a contract is awarded with respect to which the statement of qualifications was
1511     submitted.
1512          (12) If only one vendor meets the minimum qualifications, evaluation criteria, and
1513     applicable score thresholds set forth in the request for statement of qualifications that the

1514     procurement unit is using as part of an approved vendor list process, the conducting
1515     procurement unit may:
1516          (a) [shall] cancel the request for statement of qualifications; [and] or
1517          [(b) may not establish an approved vendor list based on the canceled request for
1518     statement of qualifications or on statements of qualifications submitted in response to the
1519     request for statement of qualifications.]
1520          (b) establish an approved vendor list that includes the one vendor if the procurement
1521     unit continues to try to identify more vendors to be included on the approved vendor list by:
1522          (i) keeping the request for statement of qualifications open; or
1523          (ii) immediately reissuing the request for statement of qualifications and repeating the
1524     process under this section.
1525          (13) If a conducting procurement unit cancels a request for statement of qualifications,
1526     the conducting procurement unit shall make available for public inspection a written
1527     justification for the cancellation.
1528          (14) After receiving and reviewing the statements of qualifications and evaluation
1529     scores submitted by the evaluation committee, the [head] procurement official of the
1530     procurement unit using the request for statement of qualifications process under this section as
1531     one of the stages of a multiple-stage procurement process shall identify those vendors meeting
1532     the minimum mandatory requirements, evaluation criteria, and applicable score thresholds as
1533     qualified vendors who are allowed to participate in the remaining stages of the multiple-stage
1534     procurement process.
1535          (15) The [applicable] rulemaking authority may make rules pertaining to the request
1536     for statement of qualifications and the process described in this section.
1537          Section 21. Section 63G-6a-506 is amended to read:
1538          63G-6a-506. Small purchases.
1539          (1) As used in this section:
1540          (a) "Annual cumulative threshold" means the maximum total annual amount,
1541     established by the [applicable] rulemaking authority under Subsection (2), that a procurement
1542     unit may expend to obtain procurement items from the same source under this section.
1543          (b) "Individual procurement threshold" means the maximum amount, established by
1544     the [applicable] rulemaking authority under Subsection (2), for which a procurement unit may

1545     purchase a procurement item under this section.
1546          (c) "Single procurement aggregate threshold" means the maximum total amount,
1547     established by the [applicable] rulemaking authority under Subsection (2), that a procurement
1548     unit may expend to obtain multiple procurement items from one source at one time under this
1549     section.
1550          (2) (a) The [applicable] rulemaking authority may make rules governing small
1551     purchases of any procurement item, including construction, job order contracting, design
1552     professional services, other professional services, information technology, and goods.
1553          (b) Rules under Subsection (2)(a) may include provisions:
1554          (i) establishing expenditure thresholds, including:
1555          (A) an annual cumulative threshold;
1556          (B) an individual procurement threshold; and
1557          (C) a single procurement aggregate threshold;
1558          (ii) establishing procurement requirements relating to the thresholds described in
1559     Subsection (2)(b)(i); and
1560          (iii) providing for the use of electronic, telephone, or written quotes.
1561          (c) If a procurement unit obtains administrative law judge service through a small
1562     purchase standard procurement process, rules made under Subsection (2)(a) shall provide that
1563     the process for the procurement of administrative law judge service include an evaluation
1564     committee described in Subsection 63G-6a-116(3).
1565          (3) Expenditures made under this section by a procurement unit may not exceed a
1566     threshold established by the [applicable] rulemaking authority, unless the [chief procurement
1567     officer or the head of a procurement unit with independent procurement authority] procurement
1568     official gives written authorization to exceed the threshold that includes the reasons for
1569     exceeding the threshold.
1570          (4) Except as provided in Subsection (5), an executive branch procurement unit may
1571     not obtain a procurement item through a small purchase standard procurement process if the
1572     procurement item may be obtained through a state cooperative contract or a contract awarded
1573     by the chief procurement officer under Subsection 63G-6a-2105(1).
1574          (5) Subsection (4) does not apply if:
1575          (a) the procurement item is obtained for an unanticipated, urgent, or emergency

1576     condition, including:
1577          (i) an item needed to avoid stopping a public construction project;
1578          (ii) an immediate repair to a facility or equipment; or
1579          (iii) another emergency condition; or
1580          (b) the chief procurement officer or the [head] procurement official of a procurement
1581     unit that is an executive branch procurement unit with independent procurement authority:
1582          (i) determines in writing that it is in the best interest of the procurement unit to obtain
1583     an individual procurement item outside of the state contract, comparing:
1584          (A) the contract terms and conditions applicable to the procurement item under the
1585     state contract with the contract terms and conditions applicable to the procurement item if the
1586     procurement item is obtained outside of the state contract;
1587          (B) the maintenance and service applicable to the procurement item under the state
1588     contract with the maintenance and service applicable to the procurement item if the
1589     procurement item is obtained outside of the state contract;
1590          (C) the warranties applicable to the procurement item under the state contract with the
1591     warranties applicable to the procurement item if the procurement item is obtained outside of
1592     the state contract;
1593          (D) the quality of the procurement item under the state contract with the quality of the
1594     procurement item if the procurement item is obtained outside of the state contract; and
1595          (E) the [cost of the procurement item] ability of the vendor under the state contract
1596     [with the] to match the quoted cost of the procurement item if the procurement item is obtained
1597     outside of the state contract;
1598          (ii) for a procurement item that, if defective in its manufacture, installation, or
1599     performance, may result in serious physical injury, death, or substantial property damage,
1600     determines in writing that the terms and conditions, relating to liability for injury, death, or
1601     property damage, available from the source other than the contractor who holds the state
1602     contract, are similar to, or better than, the terms and conditions available under the state
1603     contract; and
1604          (iii) grants an exception, in writing, to the requirement described in Subsection (4).
1605          (6) Except as otherwise expressly provided in this section, a procurement unit:
1606          (a) may not use the small purchase standard procurement process described in this

1607     section for ongoing, continuous, and regularly scheduled procurements that exceed the annual
1608     cumulative threshold; and
1609          (b) shall make its ongoing, continuous, and regularly scheduled procurements that
1610     exceed the annual cumulative threshold through a contract awarded through another standard
1611     procurement process described in this chapter or an applicable exception to another standard
1612     procurement process, described in Part 8, Exceptions to Procurement Requirements.
1613          (7) This section does not prohibit regularly scheduled payments for a procurement item
1614     obtained under another provision of this chapter.
1615          (8) (a) It is unlawful for a person knowingly to divide a single procurement into
1616     multiple smaller procurements, including by dividing an invoice or purchase order into
1617     multiple invoices or purchase orders, if:
1618          (i) the single procurement would not have qualified as a small purchase under this
1619     section;
1620          (ii) one or more of the multiple smaller procurements qualify as a small purchase under
1621     this section; and
1622          (iii) the division is done with the intent to:
1623          (A) avoid having to use a standard procurement process, other than the small purchase
1624     process, that the person would otherwise be required to use for the single procurement; or
1625          (B) make one or more of the multiple smaller procurements fall below a small
1626     purchase expenditure threshold established by rule under Subsection (2)(b) that the single
1627     procurement would not have fallen below without the division.
1628          (b) A violation of Subsection (8)(a) is subject to penalties as provided in Subsection
1629     63G-6a-2404.3(2).
1630          (9) The Division of Finance within the Department of Administrative Services may
1631     conduct an audit of an executive branch procurement unit to verify compliance with the
1632     requirements of this section.
1633          (10) An executive branch procurement unit may not make a small purchase after
1634     January 1, 2014, unless the chief procurement officer certifies that the person responsible for
1635     procurements in the procurement unit has satisfactorily completed training on this section and
1636     the rules made under this section.
1637          Section 22. Section 63G-6a-507 is amended to read:

1638          63G-6a-507. Approved vendor list procurement process.
1639          (1) As used in this section:
1640          (a) "Closed-ended approved vendor list" means an approved vendor list that is subject
1641     to:
1642          (i) a short period of time, specified by the procurement unit, during which vendors may
1643     be added to the list; and
1644          (ii) a specified period of time after which the list will expire.
1645          (b) "Open-ended approved vendor list" means an approved vendor list that is subject
1646     to:
1647          (i) an indeterminate period of time during which vendors may be added to the list;
1648          (ii) the addition of vendors to the list throughout the term of the list; and
1649          (iii) a specified period of time after which [a vendor on the list is required to submit the
1650     vendor's qualifications for evaluation before the vendor may be renewed as an approved
1651     vendor] the procurement unit is required to verify that vendors on the list continue to meet the
1652     minimum mandatory requirements, evaluation criteria, and applicable score thresholds.
1653          (2) A procurement unit may not establish an approved vendor list unless the
1654     procurement unit has first completed the statement of qualifications process described in
1655     Section 63G-6a-410.
1656          (3) (a) A procurement unit may establish an approved vendor list for:
1657          (i) a specific, fully defined procurement item; or
1658          (ii) a future procurement item that is not specifically and fully defined, if the request
1659     for statement of qualifications contains a general description of:
1660          (A) the procurement item; and
1661          (B) the type of vendor that the procurement unit seeks to provide the procurement item.
1662          (b) A procurement unit may not award a contract to a vendor on an approved vendor
1663     list for a procurement item that is outside the scope of the general description of the
1664     procurement item contained in the request for statement of qualifications.
1665          (4) After receiving the statements of qualifications and evaluation scores submitted by
1666     the evaluation committee under Subsection 63G-6a-410(9)[(e)](f), the [head of the conducting]
1667     procurement official of the procurement unit using the request for statement of qualifications
1668     process under Section 63G-6a-410 as part of an approved vendor list process shall:

1669          (a) include on an approved vendor list those vendors meeting the minimum mandatory
1670     requirements, evaluation criteria, and applicable score thresholds; and
1671          (b) reject any vendor not meeting the minimum mandatory requirements, evaluation
1672     criteria, and applicable score thresholds as ineligible for inclusion on the approved vendor list.
1673          (5) (a) A procurement unit shall include approved vendors on a closed-ended approved
1674     vendor list or an open-ended approved vendor list.
1675          (b) (i) A closed-ended approved vendor list shall expire no later than 18 months after
1676     the publication of the closed-ended approved vendor list.
1677          (ii) A procurement unit shall [require a vendor on an open-ended approved vendor list,
1678     in order to remain on the approved vendor list, to submit an updated statement of qualifications
1679     for evaluation no later than 18 months after the vendor was added to the list as an approved
1680     vendor] verify, no less frequently than every 18 months, by a method approved by the
1681     procurement official, that each vendor on an open-ended approved vendor list continues to
1682     meet the minimum mandatory requirements, evaluation criteria, and applicable score
1683     thresholds.
1684          (6) A procurement unit may:
1685          (a) (i) using a bidding process, request for proposals process, small purchase process,
1686     or design professional procurement process, award a contract to a vendor on an approved
1687     vendor list for any procurement item or type of procurement item specified by the procurement
1688     unit in the request for statement of qualifications, including procurement items that the
1689     procurement unit intends to acquire in a series of future procurements described in the request
1690     for statement of qualifications; and
1691          (ii) limit participation in a bidding process, request for proposals process, small
1692     purchase process, or design professional procurement process to vendors on an approved
1693     vendor list; or
1694          (b) award a contract to a vendor on an approved vendor list at a price established as
1695     provided in Section 63G-6a-113.
1696          (7) (a) After establishing an approved vendor list as provided in this section, [the] a
1697     conducting procurement unit shall, before using the approved vendor list, submit the approved
1698     vendor list to the issuing procurement unit [for publication by the issuing procurement unit].
1699          (b) An issuing procurement unit that receives an approved vendor list under Subsection

1700     (7)(a) shall make the approved vendor list available to the public.
1701          (8) A conducting procurement unit administering an open-ended approved vendor list
1702     shall:
1703          (a) require a vendor seeking inclusion on the approved vendor list to submit a
1704     statement of qualifications that complies with all requirements applicable at the time of the
1705     initial request for statement of qualifications; and
1706          (b) if modifying the requirements for inclusion on the approved vendor list, apply any
1707     new or additional requirement to all vendors equally, whether a vendor is seeking inclusion on
1708     the approved vendor list for the first time or is already included on the approved vendor list[;
1709     and].
1710          [(c) keep the request for statement of qualifications posted on a website as required
1711     under Subsection 63G-6a-112(6).]
1712          (9) [The applicable] A rulemaking authority shall make rules pertaining to an approved
1713     vendor list process, including:
1714          (a) procedures to ensure that all vendors on an approved vendor list have a fair and
1715     equitable opportunity to compete for a contract for a procurement item; and
1716          (b) requirements for using an approved vendor list with the small purchase process.
1717          Section 23. Section 63G-6a-602 is amended to read:
1718          63G-6a-602. Contracts awarded by bidding.
1719          [(1) The division or a] A procurement unit [with independent procurement authority]
1720     may award a contract for a procurement item by the bidding process, in accordance with the
1721     rules of the [applicable] rulemaking authority.
1722          [(2) The bidding standard procurement process is appropriate to use when cost is the
1723     major factor in determining the award of a procurement.]
1724          Section 24. Section 63G-6a-603 is amended to read:
1725          63G-6a-603. Invitation for bids -- Requirements -- Publication.
1726          [(1) The bidding standard procurement process begins when the issuing procurement
1727     unit issues an invitation for bids.]
1728          [(2) An invitation for bids shall:]
1729          [(a) state the period of time during which bids will be accepted;]
1730          [(b) describe the manner in which a bid shall be submitted;]

1731          [(c) state the place where a bid shall be submitted; and]
1732          [(d) include, or incorporate by reference:]
1733          [(i) to the extent practicable, a full description of the procurement items sought and the
1734     full scope of work ;]
1735          [(ii) the objective criteria that will be used to evaluate the bids; and]
1736          [(iii) the required contractual terms and conditions.]
1737          (1) A procurement unit that intends to award a contract for a procurement item using
1738     the bidding process shall issue an invitation for bids.
1739          (2) A procurement unit shall include in an invitation for bids:
1740          (a) a description of the procurement item that the procurement unit seeks;
1741          (b) instructions for submitting a bid, including the deadline for submitting a bid;
1742          (c) the objective criteria that the procurement unit will use to evaluate bids;
1743          (d) information about the time and manner of opening bids; and
1744          (e) terms and conditions that the procurement unit intends to include in a contract
1745     resulting from the bidding process.
1746          (3) [An issuing] A procurement unit shall publish an invitation for bids in accordance
1747     with the requirements of Section 63G-6a-112.
1748          Section 25. Section 63G-6a-604 is repealed and reenacted to read:
1749          63G-6a-604. Processing of bids -- Changes to bids not allowed.
1750          (1) A procurement unit:
1751          (a) shall accept bids as provided in the invitation for bids; and
1752          (b) may not open a bid until after the deadline for submitting bids.
1753          (2) A person who submits a bid may not, after the deadline for submitting bids, make a
1754     change to the bid if the change is prejudicial to:
1755          (a) the interest of the procurement unit; or
1756          (b) fair competition.
1757          Section 26. Section 63G-6a-606 is amended to read:
1758          63G-6a-606. Evaluation of bids -- Award -- Cancellation.
1759          (1) A procurement unit that conducts a procurement using a bidding process shall
1760     evaluate each bid using the objective criteria described in the invitation for bids[, which may
1761     include:].

1762          [(a) experience;]
1763          [(b) performance ratings;]
1764          [(c) inspection;]
1765          [(d) testing;]
1766          [(e) quality;]
1767          [(f) workmanship;]
1768          [(g) time and manner of delivery;]
1769          [(h) references;]
1770          [(i) financial stability;]
1771          [(j) cost;]
1772          [(k) suitability for a particular purpose;]
1773          [(l) the contractor's work site safety program, including any requirement that the
1774     contractor imposes on subcontractors for a work site safety program; or]
1775          [(m) other objective criteria specified in the invitation for bids.]
1776          (2) Criteria not described in the invitation for bids may not be used to evaluate a bid.
1777          [(3) The conducting procurement unit shall:]
1778          [(a) subject to the provisions of Section 63G-6a-1204.5 for multiple award contracts,
1779     award the contract as soon as practicable to:]
1780          [(i) the responsible bidder who submits the lowest responsive bid that meets the
1781     objective criteria described in the invitation for bids; or]
1782          [(ii) if, in accordance with Subsection (4), the procurement officer or the head of the
1783     conducting procurement unit rejects a bid described in Subsection (3)(a)(i), the responsible
1784     bidder who submits the next lowest responsive bid that meets the objective criteria described in
1785     the invitation for bids; or]
1786          [(b) cancel the invitation for bids without awarding a contract.]
1787          [(4) In accordance with Subsection (5), the procurement officer or the head of the
1788     conducting procurement unit may reject a bid for:]
1789          [(a) a violation of this chapter by the bidder who submitted the bid;]
1790          [(b) a violation of a requirement of the invitation for bids;]
1791          [(c) unlawful or unethical conduct by the bidder who submitted the bid; or]
1792          [(d) a change in a bidder's circumstance that, had the change been known at the time

1793     the bid was submitted, would have caused the bid to be rejected.]
1794          [(5) A procurement officer or head of a conducting procurement unit who rejects a bid
1795     under Subsection (4) shall:]
1796          [(a) make a written finding, stating the reasons for the rejection; and]
1797          [(b) provide a copy of the written finding to the bidder who submitted the rejected bid.]
1798          [(6) If a conducting procurement unit cancels an invitation for bids without awarding a
1799     contract, the conducting procurement unit shall make available for public inspection a written
1800     justification for the cancellation.]
1801          (3) After evaluating bids, the procurement unit shall:
1802          (a) (i) award a contract as soon as practicable to the responsible bidder who submits the
1803     lowest responsive bid; and
1804          (ii) publish the name and bid amount of the bidder to whom the contract is awarded; or
1805          (b) (i) cancel the invitation for bids without awarding a contract; and
1806          (ii) publish a notice of the cancellation that includes an explanation of the reasons for
1807     cancelling the invitation for bids.
1808          Section 27. Section 63G-6a-608 is repealed and reenacted to read:
1809          63G-6a-608. Tie bids.
1810          A procurement unit shall resolve a tie bid in a fair manner, as determined in writing by
1811     the procurement official.
1812          Section 28. Section 63G-6a-702 is amended to read:
1813          63G-6a-702. Contracts awarded by request for proposals.
1814          (1) [The division or a] A procurement unit [with independent procurement authority]
1815     may award a contract for a procurement item by the request for proposals process, in
1816     accordance with [the rules of the applicable] rulemaking authority rules.
1817          [(2) (a) The request for proposals process is appropriate for a procurement unit to use
1818     in selecting the proposal that provides the best value or is the most advantageous to the
1819     procurement unit, including when:]
1820          [(i) the procurement involves a contract whose terms and conditions are to be
1821     negotiated in order to achieve the result that is the most advantageous to the procurement unit;]
1822          [(ii) cost is not the most important factor to be considered in making the selection that
1823     is most advantageous to the procurement unit;]

1824          [(iii) factors, apart from or in addition to cost, are highly significant in making the
1825     selection that is most advantageous to the procurement unit; or]
1826          [(iv) the procurement unit anticipates entering into a public-private partnership.]
1827          [(b) The types of procurements for which it is appropriate to use the request for
1828     proposals process include:]
1829          [(i) a procurement of professional services; and]
1830          [(ii) a procurement of design-build or construction manager/general contractor
1831     services.]
1832          [(3)] (2) The procurement of architect-engineer services is governed by Part 15, Design
1833     Professional Services.
1834          Section 29. Section 63G-6a-703 is amended to read:
1835          63G-6a-703. Request for proposals -- Requirements -- Publication of request.
1836          (1) [The request for proposals standard procurement process begins when the division
1837     or a procurement unit with independent procurement authority issues] A procurement unit that
1838     intends to award a contract for a procurement item using the request for proposals process shall
1839     issue a request for proposals.
1840          [(2) A request for proposals shall:]
1841          [(a) state the period of time during which a proposal will be accepted;]
1842          [(b) describe the manner in which a proposal shall be submitted;]
1843          [(c) state the place where a proposal shall be submitted;]
1844          [(d) include, or incorporate by reference:]
1845          [(i) to the extent practicable, a full description of the procurement items sought and the
1846     full scope of work;]
1847          [(ii) a description of the subjective and objective criteria that will be used to evaluate
1848     the proposal; and]
1849          [(iii) the standard contractual terms and conditions required by the authorized
1850     purchasing entity;]
1851          [(e) if the request for proposals is for a construction project, require each offeror to
1852     include in a proposal a description of the offeror's company safety plan and the offeror's safety
1853     plan for the specific project that is the subject of the proposal;]
1854          [(f) state the relative weight that will be given to each score for the criteria described in

1855     Subsection (2)(d)(ii), including cost;]
1856          [(g) state the formula that will be used to determine the score awarded for the cost of
1857     each proposal;]
1858          [(h) if the request for proposals will be conducted in multiple stages, as described in
1859     Section 63G-6a-710, include a description of the stages and the criteria and scoring that will be
1860     used to screen offerors at each stage;]
1861          [(i) state that best and final offers may be allowed, as provided in Section
1862     63G-6a-707.5, from responsible offerors who submit responsive proposals that meet minimum
1863     qualifications, evaluation criteria, or applicable score thresholds identified in the request for
1864     proposals; and]
1865          [(j) if the procurement unit anticipates the procurement process to result in a
1866     public-private partnership, state that the procurement unit anticipates entering into a
1867     public-private partnership.]
1868          (2) A procurement unit shall include in a request for proposals:
1869          (a) a description of the procurement item that the procurement unit seeks;
1870          (b) instructions for submitting a proposal, including the deadline for submitting a
1871     proposal;
1872          (c) the objective criteria, including, if applicable, cost, and subjective criteria that the
1873     procurement unit will use to evaluate proposals;
1874          (d) information about the time and manner of opening proposals; and
1875          (e) terms and conditions that the procurement unit intends to include in a contract
1876     resulting from the request for proposals process.
1877          (3) [The division or a] A procurement unit [with independent procurement authority]
1878     shall publish a request for proposals in accordance with the requirements of Section
1879     63G-6a-112.
1880          Section 30. Section 63G-6a-704 is repealed and reenacted to read:
1881          63G-6a-704. Processing of proposals -- Changes to proposals not allowed.
1882          (1) A procurement unit:
1883          (a) shall accept proposals as provided in the request for proposals;
1884          (b) may not open a proposal until after the deadline for submitting proposals; and
1885          (c) may not disclose the contents of a proposal to the public or to another offeror,

1886     except as provided in Subsection 63G-2-305(6).
1887          (2) A person who submits a proposal may not, after the deadline for submitting
1888     proposals, make a change to the proposal if the change is prejudicial to:
1889          (a) the interest of the procurement unit; or
1890          (b) fair competition.
1891          Section 31. Section 63G-6a-704.4 is enacted to read:
1892          63G-6a-704.4. Limited addenda to requests for proposals.
1893          After the deadline for submitting proposals, a procurement unit may, at the discretion of
1894     the procurement official, issue a request for proposals addendum that has limited application
1895     only to offerors that have submitted proposals, if the addendum does not change the request for
1896     proposals in a way that, in the opinion of the procurement official, would likely have affected
1897     the number of proposals submitted in response to the request for proposals had the addendum
1898     been included in the original request for proposals.
1899          Section 32. Section 63G-6a-704.6 is enacted to read:
1900          63G-6a-704.6. Discussions with persons who submit a proposal.
1901          (1) A procurement unit may have discussions with an offeror to obtain a more
1902     complete understanding of whether the offeror is responsible or the offeror's proposal is
1903     responsive.
1904          (2) A procurement unit may reject a proposal following discussions under Subsection
1905     (1) if the procurement unit determines that the offeror is not responsible or the proposal is not
1906     responsive.
1907          Section 33. Section 63G-6a-707 is amended to read:
1908          63G-6a-707. Evaluation committee -- Evaluation of proposals.
1909          (1) A procurement unit shall appoint an evaluation committee of at least three members
1910     to evaluate proposals received in response to a request for proposals issued by the procurement
1911     unit.
1912          (2) The evaluation committee shall evaluate proposals in accordance with the process
1913     described in the request for proposals.
1914          [(1) (a)] (3) To determine which proposal provides the best value to the procurement
1915     unit, the evaluation committee shall evaluate each responsible offeror's responsive proposal
1916     that has not been disqualified from consideration under the provisions of this chapter, using the

1917     evaluation criteria described in the request for proposals.
1918          [(b) The criteria in a request for proposals may include:]
1919          [(i) experience;]
1920          [(ii) performance ratings;]
1921          [(iii) inspection;]
1922          [(iv) testing;]
1923          [(v) quality;]
1924          [(vi) workmanship;]
1925          [(vii) time, manner, or schedule of delivery;]
1926          [(viii) references;]
1927          [(ix) financial solvency;]
1928          [(x) suitability for a particular purpose;]
1929          [(xi) management plans;]
1930          [(xii) cost;]
1931          [(xiii) if applicable, the offeror's willingness and capability to enter into a
1932     public-private partnership; or]
1933          [(xiv) other subjective or objective criteria specified in the request for proposals.]
1934          [(c) The criteria in a request for proposals for a construction project shall include the
1935     existence and quality of:]
1936          [(i) an offeror's company safety plan; and]
1937          [(ii) the offeror's safety plan for the specific project that is the subject of the proposal.]
1938          [(2)] (4) Criteria not described in the request for proposals may not be used to evaluate
1939     a proposal.
1940          [(3) The conducting]
1941          (5) A procurement unit shall:
1942          (a) appoint [an] evaluation committee [consisting of at least three individuals with]
1943     members who have at least a general familiarity with or basic understanding of:
1944          (i) the technical requirements relating to the type of procurement item that is the
1945     subject of the procurement; or
1946          (ii) the need that the procurement item is intended to address; and
1947          (b) ensure that the evaluation committee and each individual participating in the

1948     evaluation committee process:
1949          (i) does not have a conflict of interest with any of the offerors;
1950          (ii) can fairly evaluate each proposal;
1951          (iii) does not contact or communicate with an offeror concerning the procurement
1952     outside the official evaluation committee process; and
1953          (iv) conducts or participates in the evaluation in a manner that ensures a fair and
1954     competitive process and avoids the appearance of impropriety.
1955          [(4) A conducting]
1956          (6) A procurement unit may authorize an evaluation committee to receive assistance[:
1957     (a) ] from an expert or consultant [who: (i) is not a member of the evaluation committee; and
1958     (ii) does not participate in the evaluation scoring; and (b) ] to better understand a technical
1959     issue involved in the procurement.
1960          [(5) (a) An evaluation committee may, with the approval of the head of the conducting
1961     procurement unit, enter into discussions or conduct interviews with, or attend presentations by,
1962     the offerors, for the purpose of clarifying information contained in proposals.]
1963          [(b) In a discussion, interview, or presentation under Subsection (5)(a), an offeror:]
1964          [(i) may only explain, illustrate, or interpret the contents of the offeror's original
1965     proposal; and]
1966          [(ii) may not:]
1967          [(A) address criteria or specifications not contained in the offeror's original proposal;]
1968          [(B) correct a deficiency, inaccuracy, or mistake in a proposal that is not an immaterial
1969     error;]
1970          [(C) correct an incomplete submission of documents that the solicitation required to be
1971     submitted with the proposal;]
1972          [(D) correct a failure to submit a timely proposal;]
1973          [(E) substitute or alter a required form or other document specified in the solicitation;]
1974          [(F) remedy a cause for an offeror being considered to be not responsible or a proposal
1975     not responsive; or]
1976          [(G) correct a defect or inadequacy resulting in a determination that an offeror does not
1977     meet the mandatory minimum requirements, evaluation criteria, or applicable score thresholds
1978     established in the solicitation.]

1979          [(6) (a) Except as provided in Subsection (7)(b) relating to access to management fee
1980     information, and except as provided in Subsection (9), each member of the evaluation
1981     committee is prohibited from knowing, or having access to, any information relating to the
1982     cost, or the scoring of the cost, of a proposal until after the evaluation committee submits its
1983     final recommended scores on all other criteria to the issuing procurement unit.]
1984          [(b) The issuing procurement unit shall:]
1985          [(i) if applicable, assign an individual who is not a member of the evaluation
1986     committee to calculate scores for cost based on the applicable scoring formula, weighting, and
1987     other scoring procedures contained in the request for proposals;]
1988          [(ii) review the evaluation committee's scores and correct any errors, scoring
1989     inconsistencies, and reported noncompliance with this chapter;]
1990          [(iii) add the scores calculated for cost, if applicable, to the evaluation committee's
1991     final recommended scores on criteria other than cost to derive the total combined score for each
1992     responsive proposal from a responsible offeror; and]
1993          [(iv) provide to the evaluation committee the total combined score calculated for each
1994     responsive proposal from a responsible offeror, including any applicable cost formula,
1995     weighting, and scoring procedures used to calculate the total combined scores.]
1996          (7) (a) Except as provided in Subsection (7)(b), an evaluation committee member is
1997     prohibited from knowing or having access to information relating to the cost of a proposal until
1998     after the evaluation committee submits its recommendation to the procurement unit based on
1999     the scores of all criteria other than cost.
2000          (b) A procurement official may waive the prohibition of Subsection (7)(a) by signing a
2001     written statement indicating why waiving the prohibition is in the best interests of the
2002     procurement unit.
2003          [(c) The] (8) An evaluation committee may [not: (i) ] change its final recommended
2004     scores [described in Subsection (6)(a)] after the evaluation committee has submitted those
2005     scores to the [issuing] procurement unit[; or].
2006          [(ii) change cost scores calculated by the issuing procurement unit.]
2007          [(7) (a) As used in this Subsection (7), "management fee" includes only the following
2008     fees of the construction manager/general contractor:]
2009          [(i) preconstruction phase services;]

2010          [(ii) monthly supervision fees for the construction phase; and]
2011          [(iii) overhead and profit for the construction phase.]
2012          [(b) When selecting a construction manager/general contractor for a construction
2013     project, the evaluation committee:]
2014          [(i) may score a construction manager/general contractor based upon criteria contained
2015     in the solicitation, including qualifications, performance ratings, references, management plan,
2016     certifications, and other project specific criteria described in the solicitation;]
2017          [(ii) may, as described in the solicitation, weight and score the management fee as a
2018     fixed rate or as a fixed percentage of the estimated contract value;]
2019          [(iii) may, at any time after the opening of the responses to the request for proposals,
2020     have access to, and consider, the management fee proposed by the offerors; and]
2021          [(iv) except as provided in Subsection (9), may not know or have access to any other
2022     information relating to the cost of construction submitted by the offerors, until after the
2023     evaluation committee submits its final recommended scores on all other criteria to the issuing
2024     procurement unit.]
2025          [(8)] (9) (a) The deliberations and other proceedings of an evaluation committee may
2026     be held in private.
2027          (b) If the evaluation committee is a public body, as defined in Section 52-4-103, the
2028     evaluation committee shall comply with Section 52-4-205 in closing a meeting for its
2029     deliberations and other proceedings.
2030          [(9) An issuing procurement unit is not required to comply with Subsection (6) or
2031     (7)(b)(iv), as applicable, if the head of the issuing procurement unit or a person designated by
2032     rule made by the applicable rulemaking authority:]
2033          [(a) signs a written statement:]
2034          [(i) indicating that, due to the nature of the proposal or other circumstances, it is in the
2035     best interest of the procurement unit to waive compliance with Subsection (6) or (7)(b)(iv), as
2036     the case may be; and]
2037          [(ii) describing the nature of the proposal and the other circumstances relied upon to
2038     waive compliance with Subsection (6) or (7)(b)(iv); and]
2039          [(b) makes the written statement available to the public, upon request.]
2040          (10) (a) At the conclusion of the evaluation process, an evaluation committee shall

2041     prepare and submit to the procurement unit a written statement that:
2042          (i) recommends a proposal for an award of a contract, if the evaluation committee
2043     decides to recommend a proposal;
2044          (ii) contains the score awarded to the recommended proposal based on the criteria
2045     stated in the request for proposals; and
2046          (iii) explains how the recommended proposal provides the best value to the
2047     procurement unit.
2048          (b) A procurement unit is not required to comply with Subsection (10)(a) for a contract
2049     with a construction manager/general contractor if the contract is awarded based solely on:
2050          (i) the qualifications of the construction manager/general contractor; and
2051          (ii) the management fee to be paid to the construction manager/general contractor.
2052          Section 34. Section 63G-6a-707.5 is amended to read:
2053          63G-6a-707.5. Best and final offers.
2054          (1) The best and final offer process described in this section:
2055          (a) may be used only in a request for proposals process, whether the request for
2056     proposals process is used independently or after the establishment of an approved vendor list
2057     through the approved vendor list process; and
2058          (b) may not be used in any other standard procurement process, whether the other
2059     standard procurement process is used independently or after the establishment of an approved
2060     vendor list through the approved vendor list process.
2061          (2) Subject to Subsection (3), a conducting procurement unit may request best and final
2062     offers from responsible offerors:
2063          (a) only with the approval of the [chief procurement officer or the head of the issuing
2064     procurement unit] procurement official; and
2065          (b) if:
2066          (i) no single proposal adequately addresses all the specifications stated in the request
2067     for proposals;
2068          (ii) all proposals are unclear or deficient in one or more respects;
2069          (iii) all cost proposals exceed the identified budget or the procurement unit's available
2070     funding; or
2071          (iv) two or more proposals receive an identical evaluation score that is the highest

2072     score.
2073          (3) A conducting procurement unit may request a best and final offer from, and a best
2074     and final offer may be submitted to the conducting procurement unit by, only a responsible
2075     offeror that has submitted a responsive proposal that meets the minimum mandatory criteria
2076     stated in the request for proposals required to be considered in the stage of the procurement
2077     process at which best and final offers are being requested.
2078          (4) The best and final offer process may not be used to change:
2079          (a) a determination that an offeror is not responsible to a determination that the offeror
2080     is responsible; or
2081          (b) a determination that a proposal is not responsive to a determination that the
2082     proposal is responsive.
2083          (5) (a) This Subsection (5) applies if a request for best and final offers is issued
2084     because all cost proposals exceed the identified budget or the procurement unit's available
2085     funding.
2086          (b) (i) The conducting procurement unit may, in the request for best and final offers:
2087          (A) specify the scope of work reductions the procurement unit is making in order to
2088     generate proposals that are within the identified budget or the procurement unit's available
2089     funding; or
2090          (B) invite offerors submitting best and final offers to specify the scope of work
2091     reductions being made so that the reduced cost proposal is within the identified budget or the
2092     procurement unit's available funding.
2093          (ii) The conducting procurement unit is not required to accept a scope of work
2094     reduction that an offeror has specified in the offeror's best and final offer.
2095          (c) A best and final offer submitted with a reduced cost proposal shall include an
2096     itemized list identifying specific reductions in the offeror's proposed scope of work that
2097     correspond to the offeror's reduced cost proposal.
2098          (d) A reduction in the scope of work may not:
2099          (i) eliminate a component identified in the request for proposals as a minimum
2100     mandatory requirement; or
2101          (ii) alter the nature of the original request for proposals to the extent that a request for
2102     proposals for the reduced scope of work would have likely attracted a significantly different set

2103     of offerors submitting proposals in response to the request for proposals.
2104          (6) If a request for best and final offers is issued because two or more proposals
2105     received an identical evaluation score that is the highest score:
2106          (a) the request may be issued only to offerors who submitted a proposal receiving the
2107     highest score; and
2108          (b) an offeror submitting a best and final offer may revise:
2109          (i) the technical aspects of the offeror's proposal;
2110          (ii) the offeror's cost proposal, as provided in Subsection (5); or
2111          (iii) both the technical aspects of the offeror's proposal and, as provided in Subsection
2112     (5), the offeror's cost proposal.
2113          (7) In a request for best and final offers, the conducting procurement unit shall:
2114          (a) clearly specify:
2115          (i) the issues that the procurement unit requests the offerors to address in their best and
2116     final offers; and
2117          (ii) how best and final offers will be evaluated and scored in accordance with Section
2118     [63G-6a-707] 63G-6a-707.5;
2119          (b) establish a deadline for an offeror to submit a best and final offer; and
2120          (c) if applicable, establish a schedule and procedure for conducting discussions with
2121     offerors concerning the best and final offers.
2122          (8) In conducting a best and final offer process under this section, a conducting
2123     procurement unit shall:
2124          (a) maintain confidential the information the procurement unit receives from an
2125     offeror, including any cost information, until a contract has been awarded or the request for
2126     proposals canceled;
2127          (b) ensure that each offeror receives fair and equal treatment; and
2128          (c) safeguard the integrity of the scope of the original request for proposals, except as
2129     specifically provided otherwise in this section.
2130          (9) In a best and final offer, an offeror:
2131          (a) may address only the issues described in the request for best and final offers; and
2132          (b) may not correct a material error or deficiency in the offeror's proposal or address
2133     any issue not described in the request for best and final offers.

2134          (10) If an offeror fails to submit a best and final offer, the conducting procurement unit
2135     shall treat the offeror's original proposal as the offeror's best and final offer.
2136          (11) After the deadline for submitting best and final offers has passed, the evaluation
2137     committee shall evaluate the best and final offers submitted using the criteria described in the
2138     request for proposals.
2139          (12) An offeror may not make and a conducting procurement unit may not consider a
2140     best and final offer that the conducting procurement unit has not requested under this section.
2141          (13) To implement the best and final offer process described in this section, [an
2142     applicable] a rulemaking authority may make rules consistent with this section and the other
2143     provisions of this chapter.
2144          Section 35. Section 63G-6a-712 is amended to read:
2145          63G-6a-712. Unsolicited proposals.
2146          (1) As used in this section, "unsolicited proposal"[: (a)] means a written proposal:
2147          [(i)] (a) for a public-private partnership for:
2148          [(A)] (i) an infrastructure project; or
2149          [(B)] (ii) a project to collect, analyze, and distribute health data to improve health and
2150     health care and to facilitate interaction regarding health and health care issues; and
2151          [(ii)] (b) that is not submitted in response to a solicitation[; and].
2152          [(b) does not include an initial proposal, as defined in Section 63G-6a-711.]
2153          (2) (a) Subject to Subsection (2)(b), a person may submit an unsolicited proposal to a
2154     procurement unit at any time.
2155          (b) An unsolicited proposal may not be used to seek a procurement unit's consideration
2156     of a proposal after the expiration of the time for submitting proposals in response to a request
2157     for proposals.
2158          (3) An unsolicited proposal shall include:
2159          (a) a reference to this section and a statement that the unsolicited proposal is submitted
2160     under this section;
2161          (b) a conceptual description of the project that constitutes the procurement item that is
2162     the subject of the proposed public-private partnership;
2163          (c) a description of the economic benefit of the project to the state and the procurement
2164     unit;

2165          (d) information concerning the services or facilities currently being provided by the
2166     state or procurement unit that are similar to the project;
2167          (e) an estimate of the project costs for:
2168          (i) design;
2169          (ii) implementation;
2170          (iii) operation and maintenance; and
2171          (iv) any other related project cost; and
2172          (f) the name, address, telephone number, and email address of an individual who may
2173     be contacted for further information concerning the unsolicited proposal.
2174          (4) A procurement unit is not required to consider an unsolicited proposal.
2175          (5) A procurement unit may charge a person submitting an unsolicited proposal a fee to
2176     cover the actual cost of processing, considering, and evaluating the unsolicited proposal.
2177          (6) A procurement unit that receives an unsolicited proposal may not award a contract
2178     for the procurement item described in the unsolicited proposal unless:
2179          (a) the procurement unit first engages in a standard procurement process for proposals
2180     to provide the procurement item described in the unsolicited proposal; or
2181          (b) awarding the contract without the procurement unit engaging in a standard
2182     procurement process is allowed under Section 63G-6a-802.
2183          (7) If a procurement unit engages in a standard procurement process pursuant to
2184     Subsection (6)(a):
2185          (a) the procurement unit shall treat an unsolicited proposal as though it were submitted
2186     as a proposal in response to the solicitation; and
2187          (b) a person who has submitted an unsolicited proposal may, within the time provided
2188     in the solicitation for the submission of proposals, modify the unsolicited proposal to the extent
2189     necessary to address matters raised in the solicitation that were not addressed in the initial
2190     unsolicited proposal.
2191          (8) [An applicable] A rulemaking authority may make rules to govern the submission,
2192     processing, consideration, and evaluation of an unsolicited proposal, including fees relating to
2193     the unsolicited proposal.
2194          (9) An unsolicited proposal is subject to Chapter 2, Government Records Access and
2195     Management Act, including, if applicable, provisions relating to a written claim of business

2196     confidentiality, as provided in Section 63G-2-309, for trade secrets, commercial information, or
2197     nonindividual financial information described in Subsection 63G-2-305(1) or (2).
2198          Section 36. Section 63G-6a-802 is amended to read:
2199          63G-6a-802. Award of contract without engaging in a standard procurement
2200     process -- Notice -- Duty to negotiate contract terms in best interest of procurement unit.
2201          (1) [The chief procurement officer or the head of a procurement unit with independent
2202     procurement authority] A procurement unit may award a contract for a procurement item
2203     without engaging in a standard procurement process if the [chief procurement officer or the
2204     head of the procurement unit with independent procurement authority] procurement official
2205     determines in writing that:
2206          (a) there is only one source for the procurement item;
2207          (b) (i) transitional costs are a significant consideration in selecting a procurement item;
2208     and
2209          (ii) the results of a cost-benefit analysis demonstrate that transitional costs are
2210     unreasonable or cost-prohibitive, and that the award of a contract without engaging in a
2211     standard procurement process is in the best interest of the procurement unit; or
2212          (c) the award of a contract is under circumstances, described in rules adopted by the
2213     [applicable] rulemaking authority, that make awarding the contract through a standard
2214     procurement process impractical and not in the best interest of the procurement unit.
2215          (2) Transitional costs associated with a trial use or testing of a procurement item under
2216     a trial use contract awarded under Section 63G-6a-802.3 may not be included in a
2217     consideration of transitional costs under Subsection (1)(b).
2218          (3) (a) Subject to Subsection (3)(b), [the applicable] a rulemaking authority shall make
2219     rules regarding the publication of notice for a procurement under this section that, at a
2220     minimum, require publication of notice of the procurement, in accordance with Section
2221     63G-6a-112, if the cost of the procurement exceeds $50,000.
2222          (b) Publication of notice under Section 63G-6a-112 is not required for:
2223          (i) the procurement of public utility services pursuant to a sole source contract; or
2224          (ii) other procurements under this section for which an applicable rule provides that
2225     notice is not required.
2226          (4) [The chief procurement officer or the head of a procurement unit with independent

2227     procurement authority] A procurement official who awards a contract under this section shall
2228     negotiate with the contractor to ensure that the terms of the contract, including price and
2229     delivery, are in the best interest of the procurement unit.
2230          Section 37. Section 63G-6a-802.3 is amended to read:
2231          63G-6a-802.3. Trial use contracts.
2232          (1) A procurement unit may award a trial use contract without engaging in a standard
2233     procurement process if:
2234          (a) the purpose of the contract is to:
2235          (i) determine whether the procurement item will benefit the procurement unit;
2236          (ii) assess the feasibility of a procurement item that:
2237          (A) is new or innovative; or
2238          (B) has a proposed use or application that is novel or unproven; or
2239          (iii) evaluate whether to conduct a standard procurement process for the procurement
2240     item being tested; and
2241          (b) the contract is:
2242          [(a)] (i) awarded for a procurement item that is not already available to the
2243     procurement unit under an existing contract;
2244          [(b)] (ii) restricted to the procurement of a procurement item in the minimum quantity
2245     and for the minimum period of time necessary to test the procurement item;
2246          [(c)] (iii) the only trial use contract for that procurement unit for the same procurement
2247     item; and
2248          [(d)] (iv) not used to circumvent the purposes and policies of this chapter as set forth in
2249     Section 63G-6a-102.
2250          (2) The period of trial use or testing of a procurement item under a trial use contract
2251     may not exceed [18] 24 months, unless the procurement [officer] official provides a written
2252     exception documenting the reason for a longer period.
2253          (3) A trial use contract shall:
2254          (a) state that the contract is strictly for the trial use or testing of a procurement item;
2255          (b) state that the contract terminates upon completion of the trial use or testing period;
2256          (c) state that the procurement unit is not obligated to purchase or enter into a contract
2257     for the procurement item, regardless of the trial use or testing result;

2258          (d) state that any purchase of the procurement item that is the subject of the trial use
2259     contract will be made in accordance with this chapter; and
2260          (e) include, as applicable:
2261          (i) test schedules;
2262          (ii) deadlines and a termination date;
2263          (iii) measures that will be used to evaluate the performance of the procurement item;
2264          (iv) any fees and associated expenses or an explanation of the circumstances
2265     warranting a waiver of those fees and expenses;
2266          (v) the obligations of the procurement unit and vendor;
2267          (vi) provisions regarding the ownership of the procurement item during and after the
2268     trial use or testing period;
2269          (vii) an explanation of the grounds upon which the contract may be terminated;
2270          (viii) a provision relating to any required bond or security deposit; and
2271          (ix) other requirements unique to the procurement item for trial use or testing.
2272          (4) Publication of notice under Section 63G-6a-112 is not required for a trial use
2273     contract.
2274          (5) [The applicable] A rulemaking authority may make rules pertaining to a trial use
2275     contract.
2276          Section 38. Section 63G-6a-802.7 is amended to read:
2277          63G-6a-802.7. Extension of a contract without engaging in a standard
2278     procurement process.
2279          [The chief procurement officer or the head of a procurement unit with independent
2280     procurement authority] A procurement official may extend an existing contract without
2281     engaging in a standard procurement process:
2282          (1) for a period of time not to exceed 120 days, if:
2283          (a) an extension of the contract is necessary to:
2284          (i) avoid a lapse in a critical government service; or
2285          (ii) to mitigate a circumstance that is likely to have a negative impact on public health,
2286     safety, welfare, or property; and
2287          (b) (i) (A) the procurement unit is engaged in a standard procurement process for a
2288     procurement item that is the subject of the contract being extended; and

2289          (B) the standard procurement process is delayed due to an unintentional error;
2290          (ii) a change in an industry standard requires one or more significant changes to
2291     specifications for the procurement item; or
2292          (iii) an extension is necessary:
2293          (A) to prevent the loss of federal funds;
2294          (B) to mitigate the effects of a delay of a state or federal appropriation;
2295          (C) to enable the procurement unit to continue to receive a procurement item during a
2296     delay in the implementation of a contract awarded pursuant to a procurement that has already
2297     been conducted; or
2298          (D) to enable the procurement unit to continue to receive a procurement item during a
2299     period of time during which negotiations with a vendor under a new contract for the
2300     procurement item are being conducted;
2301          (2) for the period of a protest, appeal, or court action, if the protest, appeal, or court
2302     action is the reason for delaying the award of a new contract; or
2303          (3) for a period of time exceeding 120 days, if, after consulting with the attorney
2304     general or the procurement unit's attorney, the [chief procurement officer or head of a
2305     procurement unit with independent procurement authority] procurement official determines in
2306     writing that the contract extension does not violate state or federal antitrust laws and is
2307     consistent with the purpose of ensuring the fair and equitable treatment of all persons who deal
2308     with the procurement system.
2309          Section 39. Section 63G-6a-803 is amended to read:
2310          63G-6a-803. Emergency procurement.
2311          (1) Notwithstanding any other provision of this chapter, [the chief procurement officer
2312     or the head of a procurement unit with independent procurement authority] a procurement
2313     official may authorize a procurement unit to engage in an emergency procurement without
2314     using a standard procurement process if the procurement is necessary to:
2315          (a) avoid a lapse in a critical government service;
2316          (b) mitigate a circumstance that is likely to have a negative impact on public health,
2317     safety, welfare, or property; or
2318          (c) protect the legal interests of a public entity.
2319          (2) A procurement unit conducting an emergency procurement under Subsection (1)

2320     shall:
2321          (a) ensure that the procurement is made with as much competition as reasonably
2322     practicable while:
2323          (i) avoiding a lapse in a critical government service;
2324          (ii) avoiding harm, or a risk of harm, to the public health, safety, welfare, or property;
2325     or
2326          (iii) protecting the legal interests of a public entity; and
2327          (b) after the emergency has abated, prepare a written document explaining the
2328     emergency condition that necessitated the emergency procurement under Subsection (1).
2329          Section 40. Section 63G-6a-804 is amended to read:
2330          63G-6a-804. Purchase of prison industry goods.
2331          (1) As used in this section[, "applicable]:
2332          (a) "Applicable procurement unit" means a procurement unit that is not:
2333          [(a)] (i) a political subdivision of the state; or
2334          [(b)] (ii) the Utah Schools for the Deaf and the Blind.
2335          (b) "Correctional industries division" means the Division of Correctional Industries,
2336     created in Section 64-13a-4.
2337          (c) "Correctional industries director" means the director of the correctional industries
2338     division, appointed under Section 64-13a-4.
2339          (2) (a) An applicable procurement unit shall purchase goods and services produced by
2340     the [Utah Correctional Industries Division] correctional industries division as provided in this
2341     section.
2342          (b) A procurement unit that is not an applicable procurement unit may, and is
2343     encouraged to, purchase goods and services under this section.
2344          (c) A procurement unit is not required to use a standard procurement process to
2345     purchase goods or services under this section.
2346          (3) On or before July 1 of each year, the correctional industries director [of the Utah
2347     Correctional Industries] shall:
2348          (a) publish and distribute to all procurement units and other interested public entities a
2349     catalog of goods and services [provided] produced by the [Correctional Industries Division]
2350     correctional industries division, including a description and price of each item offered for sale;

2351     and
2352          (b) update and revise the catalog described in Subsection (3)(a) during the year as the
2353     correctional industries director considers necessary.
2354          (4) (a) An applicable procurement unit may not purchase any goods or services
2355     provided by the [Correctional Industries Division] correctional industries division from any
2356     other source unless [it has been determined in writing by the director of Correctional Industries
2357     and by the] the correctional industries director and the procurement [officer] official or, in the
2358     case of institutions of higher education, the institutional procurement officer, determine in
2359     writing that purchase from the [Correctional Industries Division] correctional industries
2360     division is not feasible due to one of the following circumstances:
2361          (i) the good or service offered by the correctional industries division does not meet the
2362     reasonable requirements of the procurement unit;
2363          (ii) the good or service cannot be supplied within a reasonable time by the correctional
2364     industries division; or
2365          (iii) the cost of the good or service, including basic price, transportation costs, and
2366     other expenses of acquisition, is not competitive with the cost of procuring the item from
2367     another source.
2368          (b) In cases of disagreement under Subsection (4)(a):
2369          (i) the decision may be appealed to a board consisting of:
2370          (A) the director of the Department of Corrections;
2371          (B) the director of Administrative Services; and
2372          (C) a neutral third party agreed upon by the other two members of the board;
2373          (ii) in the case of an institution of higher education of the state, the president of the
2374     institution, or the president's designee, shall make the final decision; or
2375          (iii) in the case of any of the following entities, a person designated by the [applicable]
2376     rulemaking authority shall make the final decision:
2377          (A) a legislative procurement unit;
2378          (B) a judicial procurement unit; or
2379          (C) a public transit district.
2380          Section 41. Section 63G-6a-806 is amended to read:
2381          63G-6a-806. Exception for public transit district contracting with a county or

2382     municipality.
2383          A public transit district, organized under Title 17B, Chapter 2a, Part 8, Public Transit
2384     District Act, may, without going through a standard procurement process or another exception
2385     to a standard procurement process described in this part:
2386          (1) contract with a county or municipality to receive money from the county or
2387     municipality; and
2388          (2) use the money described in Subsection (1) to fund a transportation project or a
2389     transit-related program in accordance with rules made by the [applicable] rulemaking authority.
2390          Section 42. Section 63G-6a-902 is amended to read:
2391          63G-6a-902. Cancellation and rejection of bids and proposals.
2392          (1) An issuing procurement unit may cancel an invitation for bids, a request for
2393     proposals, or other solicitation or reject any or all bids or proposal responses, in whole or in
2394     part, as may be specified in the solicitation, when it is in the best interests of the procurement
2395     unit in accordance with the rules of the [applicable] rulemaking authority.
2396          (2) The reasons for a cancellation or rejection described in Subsection (1) shall be
2397     made part of the contract file.
2398          Section 43. Section 63G-6a-903 is amended to read:
2399          63G-6a-903. Determination of nonresponsibility.
2400          (1) A determination of nonresponsibility of a person made by an issuing procurement
2401     unit shall be made in writing, in accordance with the rules of the [applicable] rulemaking
2402     authority.
2403          (2) A person's unreasonable failure to promptly supply information in connection with
2404     an inquiry with respect to responsibility may be grounds for a determination of
2405     nonresponsibility with respect to the person.
2406          (3) Subject to Title 63G, Chapter 2, Government Records Access and Management
2407     Act, information furnished by a person pursuant to this section may not be disclosed outside of
2408     a procurement unit without the person's prior written consent.
2409          Section 44. Section 63G-6a-904 is amended to read:
2410          63G-6a-904. Debarment or suspension from consideration for award of contracts
2411     -- Process -- Causes for debarment -- Judicial review.
2412          (1) (a) Subject to Subsection (1)(b), [the chief procurement officer or the head of a

2413     procurement unit with independent procurement authority] a procurement official may:
2414          (i) debar a person for cause from consideration for award of contracts for a period not
2415     to exceed three years; or
2416          (ii) suspend a person from consideration for award of contracts if there is cause to
2417     believe that the person has engaged in any activity that might lead to debarment.
2418          (b) Before debarring or suspending a person under Subsection (1)(a), [the chief
2419     procurement officer or head of a procurement unit with independent procurement authority] a
2420     procurement official shall:
2421          (i) consult with:
2422          (A) the procurement unit involved in the matter for which debarment or suspension is
2423     sought; and
2424          (B) the attorney general, if the procurement unit is in the state executive branch, or the
2425     procurement unit's attorney, if the procurement unit is not in the state executive branch;
2426          (ii) give the person at least 10 days' prior written notice of:
2427          (A) the reasons for which debarment or suspension is being considered; and
2428          (B) the hearing under Subsection (1)(b)(iii); and
2429          (iii) hold an informal hearing in accordance with Subsection (1)(c).
2430          (c) (i) At an informal hearing under Subsection (1)(b)(iii), [the chief procurement
2431     officer or head of a procurement unit with independent procurement authority] a procurement
2432     official may:
2433          (A) subpoena witnesses and compel their attendance at the hearing;
2434          (B) subpoena documents for production at the hearing;
2435          (C) obtain additional factual information; and
2436          (D) obtain testimony from experts, the person who is the subject of the proposed
2437     debarment or suspension, representatives of the procurement unit, or others to assist the [chief
2438     procurement officer or head of a procurement unit with independent procurement authority]
2439     procurement official to make a decision on the proposed debarment or suspension.
2440          (ii) The Rules of Evidence do not apply to an informal hearing under Subsection
2441     (1)(b)(iii).
2442          [(iii) The chief procurement officer or head of a procurement unit with independent
2443     procurement authority]

2444          (iii) A procurement official shall:
2445          (A) record a hearing under Subsection (1)(b)(iii); and
2446          (B) preserve all records and other evidence relied upon in reaching a decision until the
2447     decision becomes final.
2448          (iv) The holding of an informal hearing under Subsection (1)(b)(iii) or the issuing of a
2449     decision under Subsection (1)(c)(v) does not affect a person's right to later question or
2450     challenge the jurisdiction of the [chief procurement officer or head of a procurement unit with
2451     independent procurement authority] procurement official to hold a hearing or issue a decision.
2452          [(v) The chief procurement officer or head of a procurement unit with independent
2453     procurement authority]
2454          (v) A procurement official shall:
2455          (A) promptly issue a written decision regarding a proposed debarment or suspension,
2456     unless the matter is settled by mutual agreement; and
2457          (B) mail, email, or otherwise immediately furnish a copy of the decision to the person
2458     who is the subject of the decision.
2459          (vi) A written decision under Subsection (1)(c)(v) shall:
2460          (A) state the reasons for the debarment or suspension, if debarment or suspension is
2461     ordered; and
2462          (B) inform the person who is debarred or suspended of the right to judicial review as
2463     provided in this chapter.
2464          (vii) A decision of debarment or suspension is final and conclusive unless the decision
2465     is overturned by a court under Subsection (4).
2466          (2) A suspension under this section may not be for a period exceeding three months,
2467     unless an indictment has been issued for an offense which would be a cause for debarment
2468     under Subsection (3), in which case the suspension shall, at the request of the attorney general,
2469     if the procurement unit is in the state executive branch, or the procurement unit's attorney, if
2470     the procurement unit is not in the state executive branch, remain in effect until after the trial of
2471     the suspended person.
2472          (3) The causes for debarment include the following:
2473          (a) conviction of a criminal offense as an incident to obtaining or attempting to obtain a
2474     public or private contract or subcontract or in the performance of a public or private contract or

2475     subcontract;
2476          (b) conviction under state or federal statutes of embezzlement, theft, forgery, bribery,
2477     falsification or destruction of records, receiving stolen property, or any other offense indicating
2478     a lack of business integrity or business honesty which currently, seriously, and directly affects
2479     responsibility as a contractor for the procurement unit;
2480          (c) conviction under state or federal antitrust statutes;
2481          (d) failure without good cause to perform in accordance with the terms of the contract;
2482          (e) a violation of this chapter; or
2483          (f) any other cause that the [chief procurement officer or the head of a procurement unit
2484     with independent procurement authority] procurement official determines to be so serious and
2485     compelling as to affect responsibility as a contractor for the procurement unit, including
2486     debarment by another governmental entity.
2487          (4) (a) A person who is debarred or suspended under this section may seek judicial
2488     review of the debarment or suspension by filing a petition for judicial review in district court.
2489          (b) A petition under Subsection (4)(a):
2490          (i) is a complaint governed by the Utah Rules of Civil Procedure;
2491          (ii) shall name the procurement unit as respondent;
2492          (iii) shall be accompanied by a copy of the written decision as to which judicial review
2493     is sought; and
2494          (iv) is barred unless filed in district court within 30 days after the date of the issuance
2495     of the written decision of suspension or debarment under Subsection (1)(c)(v).
2496          (c) A district court's review of a petition under Subsection (4)(a) shall be de novo.
2497          (d) A district court shall, without a jury, determine all questions of fact and law,
2498     including any constitutional issue, presented in the pleadings.
2499          (5) A procurement unit may consider a cause for debarment under Subsection (3) as the
2500     basis for determining that a person responding to a solicitation is not responsible:
2501          (a) independent of any effort or proceeding under this section to debar or suspend the
2502     person; and
2503          (b) even if the procurement unit does not choose to seek debarment or suspension.
2504          (6) [An applicable] A rulemaking authority may make rules pertaining to the
2505     suspension and debarment process under this section, including rules governing an informal

2506     hearing under Subsection (1)(b)(iii).
2507          Section 45. Section 63G-6a-1002 is amended to read:
2508          63G-6a-1002. Reciprocal preference for providers of state products.
2509          (1) (a) An issuing procurement unit shall, for all procurements, give a reciprocal
2510     preference to those bidders offering procurement items that are produced, manufactured,
2511     mined, grown, or performed in Utah over those bidders offering procurement items that are
2512     produced, manufactured, mined, grown, or performed in any state that gives or requires a
2513     preference to procurement items that are produced, manufactured, mined, grown, or performed
2514     in that state.
2515          (b) The amount of reciprocal preference shall be equal to the amount of the preference
2516     applied by the other state for that particular procurement item.
2517          (c) In order to receive a reciprocal preference under this section, the bidder shall certify
2518     on the bid that the procurement items offered are produced, manufactured, mined, grown, or
2519     performed in Utah.
2520          (d) The reciprocal preference is waived if the certification described in Subsection
2521     (1)(c) does not appear on the bid.
2522          (2) (a) If the responsible bidder submitting the lowest responsive bid offers
2523     procurement items that are produced, manufactured, mined, grown, or performed in a state that
2524     gives or requires a preference, and if another responsible bidder has submitted a responsive bid
2525     offering procurement items that are produced, manufactured, mined, grown, or performed in
2526     Utah, and with the benefit of the reciprocal preference, the bid of the other bidder is equal to or
2527     less than the original lowest bid, the issuing procurement unit shall:
2528          (i) give notice to the bidder offering procurement items that are produced,
2529     manufactured, mined, grown, or performed in Utah that the bidder qualifies as a preferred
2530     bidder; and
2531          (ii) make the purchase from the preferred bidder if the bidder agrees, in writing, to
2532     meet the low bid within 72 hours after notification that the bidder is a preferred bidder.
2533          (b) The issuing procurement unit shall include the exact price submitted by the lowest
2534     bidder in the notice the issuing procurement unit submits to the preferred bidder.
2535          (c) The issuing procurement unit may not enter into a contract with any other bidder for
2536     the purchase until 72 hours have elapsed after notification to the preferred bidder.

2537          (3) (a) If there is more than one preferred bidder, the issuing procurement unit shall
2538     award the contract to the willing preferred bidder who was the lowest preferred bidder
2539     originally.
2540          (b) If there were two or more equally low preferred bidders, the issuing procurement
2541     unit shall comply with the rules of the [applicable] rulemaking authority to determine which
2542     bidder should be awarded the contract.
2543          (4) The provisions of this section do not apply if application of this section might
2544     jeopardize the receipt of federal funds.
2545          Section 46. Section 63G-6a-1003 is amended to read:
2546          63G-6a-1003. Preference for resident contractors.
2547          (1) As used in this section, "resident contractor" means a person, partnership,
2548     corporation, or other business entity that:
2549          (a) either has its principal place of business in Utah or that employs workers who are
2550     residents of this state when available; and
2551          (b) was transacting business on the date when bids for the public contract were first
2552     solicited.
2553          (2) (a) When awarding contracts for construction, an issuing procurement unit shall
2554     grant a resident contractor a reciprocal preference over a nonresident contractor from any state
2555     that gives or requires a preference to contractors from that state.
2556          (b) The amount of the reciprocal preference shall be equal to the amount of the
2557     preference applied by the state of the nonresident contractor.
2558          (3) (a) In order to receive the reciprocal preference under this section, the bidder shall
2559     certify on the bid that the bidder qualifies as a resident contractor.
2560          (b) The reciprocal preference is waived if the certification described in Subsection
2561     (2)(a) does not appear on the bid.
2562          (4) (a) If the responsible contractor submitting the lowest responsive bid is not a
2563     resident contractor whose principal place of business is in a state that gives or requires a
2564     preference to contractors from that state, and if a resident responsible contractor has also
2565     submitted a responsive bid, and, with the benefit of the reciprocal preference, the resident
2566     contractor's bid is equal to or less than the original lowest bid, the issuing procurement unit
2567     shall:

2568          (i) give notice to the resident contractor that the resident contractor qualifies as a
2569     preferred resident contractor; and
2570          (ii) issue the contract to the resident contractor if the resident contractor agrees, in
2571     writing, to meet the low bid within 72 hours after notification that the resident contractor is a
2572     preferred resident contractor.
2573          (b) The issuing procurement unit shall include the exact price submitted by the lowest
2574     bidder in the notice that the issuing procurement unit submits to the preferred resident
2575     contractor.
2576          (c) The issuing procurement unit may not enter into a contract with any other bidder for
2577     the construction until 72 hours have elapsed after notification to the preferred resident
2578     contractor.
2579          (5) (a) If there is more than one preferred resident contractor, the issuing procurement
2580     unit shall award the contract to the willing preferred resident contractor who was the lowest
2581     preferred resident contractor originally.
2582          (b) If there were two or more equally low preferred resident contractors, the issuing
2583     procurement unit shall comply with the rules of the [applicable] rulemaking authority to
2584     determine which bidder should be awarded the contract.
2585          (6) The provisions of this section do not apply if application of this section might
2586     jeopardize the receipt of federal funds.
2587          Section 47. Section 63G-6a-1102 is amended to read:
2588          63G-6a-1102. Bid security requirements -- Directed suretyship prohibited --
2589     Penalty.
2590          (1) Bid security in an amount equal to at least 5% of the amount of the bid shall be
2591     required for all competitive bidding for construction contracts. Bid security shall be a bond
2592     provided by a surety company authorized to do business in this state, the equivalent in cash, or
2593     any other form satisfactory to the state.
2594          (2) When a bidder fails to comply with the requirement for bid security described in the
2595     invitation for bids, the bid shall be rejected unless, pursuant to rules of the [applicable]
2596     rulemaking authority, the issuing procurement unit determines that the failure to comply with
2597     the security requirements is nonsubstantial.
2598          (3) After the bids are opened, they shall be irrevocable for the period specified in the

2599     invitation for bids[, except as provided in Section 63G-6a-605]. If a bidder is permitted to
2600     withdraw a bid before award, no action shall be taken against the bidder or the bid security.
2601          (4) (a) When issuing an invitation for a bid under this chapter, the procurement [officer
2602     or the head of an issuing procurement unit] official responsible for carrying out a construction
2603     project may not require a person or entity who is bidding for a contract to obtain a bond of the
2604     type described in Subsection (1) from a specific insurance or surety company, producer, agent,
2605     or broker.
2606          (b) A person who violates Subsection (4)(a) is guilty of an infraction.
2607          Section 48. Section 63G-6a-1103 is amended to read:
2608          63G-6a-1103. Bonds or security necessary when contract is awarded -- Waiver --
2609     Action -- Attorney fees.
2610          (1) When a construction contract is awarded under this chapter, the contractor to whom
2611     the contract is awarded shall deliver the following bonds or security to the procurement unit,
2612     which shall become binding on the parties upon the execution of the contract:
2613          (a) a performance bond satisfactory to the procurement unit that is in an amount equal
2614     to 100% of the price specified in the contract and is executed by a surety company authorized
2615     to do business in the state or any other form satisfactory to the procurement unit; and
2616          (b) a payment bond satisfactory to the procurement unit that is in an amount equal to
2617     100% of the price specified in the contract and is executed by a surety company authorized to
2618     do business in the state or any other form satisfactory to the procurement unit, which is for the
2619     protection of each person supplying labor, service, equipment, or material for the performance
2620     of the work provided for in the contract.
2621          (2) (a) When a construction contract is awarded under this chapter, the procurement
2622     [officer or the head of the issuing procurement unit] official responsible for carrying out the
2623     construction project may not require a contractor to whom a contract is awarded to obtain a
2624     bond of the types referred to in Subsection (1) from a specific insurance or surety company,
2625     producer, agent, or broker.
2626          (b) A person who violates Subsection (2)(a) is guilty of an infraction.
2627          (3) Rules of [the applicable] a rulemaking authority may provide for waiver of the
2628     requirement of a bid, performance, or payment bond for circumstances in which the
2629     procurement [officer] official considers any or all of the bonds to be unnecessary to protect the

2630     procurement unit.
2631          (4) A person [shall have] has a right of action on a payment bond under this section for
2632     any unpaid amount due to the person if:
2633          (a) the person has furnished labor, service, equipment, or material for the work
2634     provided for in the contract for which the payment bond is furnished under this section; and
2635          (b) the person has not been paid in full within 90 days after the last day on which the
2636     person performed the labor or service or supplied the equipment or material for which the
2637     claim is made.
2638          (5) An action upon a payment bond may only be brought in a court of competent
2639     jurisdiction in a county where the construction contract was to be performed. The action is
2640     barred if not commenced within one year after the last day on which the claimant performed
2641     the labor or service or supplied the equipment or material on which the claim is based. The
2642     obligee named in the bond need not be joined as a party to the action.
2643          (6) In any suit upon a payment bond, the court shall award reasonable attorney fees to
2644     the prevailing party, which fees shall be taxed as costs in the action.
2645          Section 49. Section 63G-6a-1105 is amended to read:
2646          63G-6a-1105. Form of bonds -- Effect of certified copy.
2647          (1) The form of the bonds required by this part shall be established by rule made by the
2648     [applicable] rulemaking authority.
2649          (2) Any person may obtain from the procurement unit a certified copy of a bond upon
2650     payment of the cost of reproduction of the bond and postage, if any.
2651          (3) A certified copy of a bond is prima facie evidence of the contents, execution, and
2652     delivery of the original.
2653          Section 50. Section 63G-6a-1204.5 is amended to read:
2654          63G-6a-1204.5. Multiple award contracts.
2655          (1) (a) Through a standard procurement process, the division or [a] an independent
2656     procurement unit [with independent procurement authority] may enter into multiple award
2657     contracts with multiple persons.
2658          (b) The applicable rulemaking authority may make rules, consistent with this section,
2659     regulating the use of multiple award contracts.
2660          (2) Multiple award contracts may be in a procurement unit's best interest if award to

2661     two or more bidders or offerors for similar procurement items is needed or desired for adequate
2662     delivery, service, availability, or product compatibility.
2663          (3) A procurement unit that enters into multiple award contracts under this section
2664     shall:
2665          (a) exercise care to protect and promote competition among bidders or offerors when
2666     seeking to enter into multiple award contracts;
2667          (b) name all eligible users of the multiple award contracts in the invitation for bids or
2668     request for proposals; and
2669          (c) if the procurement unit anticipates entering into multiple award contracts before
2670     issuing the invitation for bids or request for proposals, state in the invitation for bids or request
2671     for proposals that the procurement unit may enter into multiple award contracts at the end of
2672     the procurement process.
2673          (4) A procurement unit that enters into multiple award contracts under this section
2674     shall:
2675          (a) obtain, under the multiple award contracts, all of its normal, recurring requirements
2676     for the procurement items that are the subject of the contracts until the contracts terminate; and
2677          (b) reserve the right to obtain the procurement items described in Subsection (4)(a)
2678     separately from the contracts if:
2679          (i) there is a need to obtain a quantity of the procurement items that exceeds the
2680     amount specified in the contracts; or
2681          (ii) the procurement officer makes a written finding that the procurement items
2682     available under the contract will not effectively or efficiently meet a nonrecurring special need
2683     of a procurement unit.
2684          (5) An applicable rulemaking authority may make rules to further regulate a
2685     procurement under this section.
2686          Section 51. Section 63G-6a-1205 is amended to read:
2687          63G-6a-1205. Regulation of contract types -- Permitted and prohibited contract
2688     types.
2689          (1) Except as otherwise provided in this section, and subject to rules made under this
2690     section by the [applicable] rulemaking authority, a procurement unit may use any type of
2691     contract that will promote the best interests of the procurement unit.

2692          (2) [An applicable] A rulemaking authority:
2693          (a) may make rules governing, placing restrictions on, or prohibiting the use of any
2694     type of contract; and
2695          (b) may not make rules that permit the use of a contract:
2696          (i) that is prohibited under this section; or
2697          (ii) in a manner that is prohibited under this section.
2698          (3) A procurement [officer, the head of an issuing procurement unit, or a designee of
2699     either,] official may not use a type of contract, other than a firm fixed price contract, unless the
2700     procurement [officer] official makes a written determination that:
2701          (a) the proposed contractor's accounting system will permit timely development of all
2702     necessary cost data in the form required by the specific contract type contemplated;
2703          (b) the proposed contractor's accounting system is adequate to allocate costs in
2704     accordance with generally accepted accounting principles; and
2705          (c) the use of a specified type of contract, other than a firm fixed price contract, is in
2706     the best interest of the procurement unit, taking into consideration the following criteria:
2707          (i) the type and complexity of the procurement item;
2708          (ii) the difficulty of estimating performance costs at the time the contract is entered
2709     into, due to factors that may include:
2710          (A) the difficulty of determining definitive specifications;
2711          (B) the difficulty of determining the risks, to the contractor, that are inherent in the
2712     nature of the work to be performed; or
2713          (C) the difficulty to clearly determine other factors necessary to enter into an accurate
2714     firm fixed price contract;
2715          (iii) the administrative costs to the procurement unit and the contractor;
2716          (iv) the degree to which the procurement unit is required to provide technical
2717     coordination during performance of the contract;
2718          (v) the impact that the choice of contract type may have upon the level of competition
2719     for award of the contract;
2720          (vi) the stability of material prices, commodity prices, and wage rates in the applicable
2721     market;
2722          (vii) the impact of the contract type on the level of urgency related to obtaining the

2723     procurement item;
2724          (viii) the impact of any applicable governmental regulation relating to the contract; and
2725          (ix) other criteria that the procurement officer determines may relate to determining the
2726     contract type that is in the best interest of the procurement unit.
2727          (4) Contract types that, subject to the provisions of this section and rules made under
2728     this section, may be used by a procurement unit include the following:
2729          (a) a fixed price contract;
2730          (b) a fixed price contract with price adjustment;
2731          (c) a time and materials contract;
2732          (d) a labor hour contract;
2733          (e) a definite quantity contract;
2734          (f) an indefinite quantity contract;
2735          (g) a requirements contract;
2736          (h) a contract based on a rate table in accordance with industry standards; or
2737          (i) a contract that includes one of the following construction delivery methods:
2738          (i) design-build;
2739          (ii) design-bid-build; or
2740          (iii) construction manager/general contractor.
2741          (5) Except as it applies to a change order, a procurement unit may not enter into a
2742     cost-plus-percentage-of-cost contract, unless:
2743          (a) use of a cost-plus-percentage-of-cost contract is approved by the procurement
2744     officer;
2745          (b) it is standard practice in the industry to obtain the procurement item through a
2746     cost-plus-percentage-of-cost contract; and
2747          (c) the percentage and the method of calculating costs in the contract are in accordance
2748     with industry standards.
2749          (6) A procurement unit may not enter into a cost-reimbursement contract, unless the
2750     procurement [officer] official makes a written determination that:
2751          (a) (i) a cost-reimbursement contract is likely to cost less than any other type of
2752     permitted contract; or
2753          (ii) it is impracticable to obtain the procurement item under any other type of permitted

2754     contract; and
2755          (b) the proposed contractor's accounting system:
2756          (i) will timely develop the cost data in the form necessary for the procurement unit to
2757     timely and accurately make payments under the contract; and
2758          (ii) will allocate costs in accordance with generally accepted accounting principles.
2759          Section 52. Section 63G-6a-1206 is amended to read:
2760          63G-6a-1206. Rules and regulations to determine allowable incurred costs --
2761     Required information.
2762          (1) (a) [The applicable] A rulemaking authority may, by rule, establish the cost
2763     principles to be included in a cost-reimbursement contract to determine incurred costs for the
2764     purpose of calculating a reimbursement.
2765          (b) The cost principles established by rule under Subsection (1)(a) may be modified, by
2766     contract, if the procurement [officer or the head of the issuing procurement unit] official
2767     approves the modification.
2768          (2) Except as provided in Subsection (5), a person who seeks to be, or is, a party in a
2769     cost-based contract with a procurement unit shall:
2770          (a) submit cost or pricing data relating to determining the cost or pricing amount; and
2771          (b) certify that, to the best of the contractor's knowledge and belief, the cost or pricing
2772     data submitted is accurate and complete as of the date specified by the procurement unit.
2773          (3) The procurement [officer] official shall ensure that the date specified under
2774     Subsection (2)(b) is before:
2775          (a) the pricing of any contract awarded by a standard procurement process or pursuant
2776     to a sole source procurement, if the total contract price is expected to exceed an amount
2777     established by rule made by the [applicable] rulemaking authority; or
2778          (b) the pricing of any change order that is expected to exceed an amount established by
2779     rule made by the [applicable] rulemaking authority.
2780          (4) A contract or change order that requires a certification described in Subsection (2)
2781     shall include a provision that the price to the procurement unit, including profit or fee, shall be
2782     adjusted to exclude any significant sums by which the procurement unit finds that the price was
2783     increased because the contractor provided cost or pricing data that was inaccurate, incomplete,
2784     or not current as of the date specified by the procurement officer.

2785          (5) A procurement unit is not required to comply with Subsection (2) if:
2786          (a) the contract price is based on adequate price competition;
2787          (b) the contract price is based on established catalogue prices or market prices;
2788          (c) the contract price is set by law or rule; or
2789          (d) the procurement states, in writing:
2790          (i) that, in accordance with rules made by the [applicable] rulemaking authority, the
2791     requirements of Subsection (2) may be waived; and
2792          (ii) the reasons for the waiver.
2793          Section 53. Section 63G-6a-1208 is amended to read:
2794          63G-6a-1208. Installment payments -- Contract prepayments.
2795          (1) A contract entered into by a procurement unit may provide for installment
2796     payments, including interest charges, over a period of time, if the procurement [officer] official
2797     makes a written finding that:
2798          (a) the use of installment payments are in the interest of the procurement unit;
2799          (b) installment payments are not used as a method of avoiding budgetary constraints;
2800          (c) the procurement unit has obtained all budgetary approvals and other approvals
2801     required for making the installment payments;
2802          (d) all aspects of the installment payments required in the contract are in accordance
2803     with the requirements of law; and
2804          (e) for a contract awarded through an invitation for bids or a request for proposals, the
2805     invitation for bids or request for proposals indicates that installment payments are required or
2806     permitted.
2807          (2) (a) A procurement unit may not pay for a procurement item before the procurement
2808     unit receives the procurement item [is received by the procurement unit], unless the
2809     procurement [officer makes a written finding] official determines that it is necessary or
2810     beneficial for the procurement unit to pay for the procurement item before the procurement unit
2811     receives the procurement item[ is received by the procurement unit].
2812          (b) A procurement official's determination under Subsection (2)(a) shall be in writing,
2813     unless:
2814          (i) the rulemaking authority has adopted a rule describing one or more circumstances
2815     under which a written determination is not necessary; and

2816          (ii) the procurement official's determination is under one of those circumstances.
2817          (3) Circumstances where prepayment may be necessary for, or beneficial to, the
2818     procurement unit include:
2819          (a) when it is customary in the industry to prepay for the procurement item;
2820          (b) if the procurement unit will receive an identifiable benefit by prepaying, including
2821     reduced costs, additional procurement items, early delivery, better service, or better contract
2822     terms; or
2823          (c) other circumstances permitted by rule made by the [applicable] rulemaking
2824     authority.
2825          (4) The [applicable] rulemaking authority may make rules governing prepayments.
2826          (5) A prepaid expenditure shall be supported by documentation indicating:
2827          (a) the amount of the prepayment;
2828          (b) the prepayment schedule;
2829          (c) the procurement items to which each prepayment relates;
2830          (d) the remedies for a contractor's noncompliance with requirements relating to the
2831     provision of the procurement items; and
2832          (e) all other terms and conditions relating to the payments and the procurement items.
2833          (6) The procurement [officer] official or the procurement [officer's] official's designee
2834     may require a performance bond, of up to 100% of the prepayment amount, from the person to
2835     whom the prepayments are made.
2836          Section 54. Section 63G-6a-1302 is amended to read:
2837          63G-6a-1302. Alternative methods of construction contracting management.
2838          (1) [The applicable] A rulemaking authority shall, by rule provide as many alternative
2839     methods of construction contracting management as determined to be feasible.
2840          (2) The rules described in Subsection (1) shall:
2841          (a) grant to the procurement [officer or the head of the issuing procurement unit]
2842     official responsible for carrying out the construction project the discretion to select the
2843     appropriate method of construction contracting management for a particular project; and
2844          (b) require the procurement [officer] official to execute and include in the contract file
2845     a written statement describing the facts that led to the selection of a particular method of
2846     construction contracting management for each project.

2847          (3) Before choosing a construction contracting management method, the procurement
2848     [officer or the head of the issuing procurement unit] official responsible for carrying out the
2849     construction project shall consider the following factors:
2850          (a) when the project must be ready to be occupied;
2851          (b) the type of project;
2852          (c) the extent to which the requirements of the procurement unit, and the way they are
2853     to be met are known;
2854          (d) the location of the project;
2855          (e) the size, scope, complexity, and economics of the project;
2856          (f) the source of funding and any resulting constraints necessitated by the funding
2857     source;
2858          (g) the availability, qualification, and experience of public personnel to be assigned to
2859     the project and the amount of time that the public personnel can devote to the project; and
2860          (h) the availability, qualifications, and experience of outside consultants and
2861     contractors to complete the project under the various methods being considered.
2862          (4) [An applicable] A rulemaking authority may make rules that authorize the use of a
2863     construction manager/general contractor as one method of construction contracting
2864     management.
2865          (5) The rules described in Subsection (2) shall require that:
2866          (a) the construction manager/general contractor be selected using:
2867          (i) a standard procurement process; or
2868          (ii) an exception to the requirement to use a standard procurement process, described in
2869     Part 8, Exceptions to Procurement Requirements; and
2870          (b) when entering into a subcontract that was not specifically included in the
2871     construction manager/general contractor's cost proposal, the construction manager/general
2872     contractor shall procure the subcontractor by using a standard procurement process, or an
2873     exception to the requirement to use a standard procurement process, described in Part 8,
2874     Exceptions to Procurement Requirements, in the same manner as if the subcontract work was
2875     procured directly by the procurement unit.
2876          (6) Procurement rules adopted by the [State Building Board] building board under
2877     Subsections (1) through (3) for state building construction projects may authorize the use of a

2878     design-build provider as one method of construction contracting management.
2879          (7) A design-build contract may include a provision for obtaining the site for the
2880     construction project.
2881          (8) A design-build contract or a construction manager/general contractor contract may
2882     include provision by the contractor of operations, maintenance, or financing.
2883          Section 55. Section 63G-6a-1303 is amended to read:
2884          63G-6a-1303. Drug and alcohol testing required for state construction contracts.
2885          (1) As used in this section:
2886          (a) "Contractor" means a person who is or may be awarded a state construction
2887     contract.
2888          (b) "Covered individual" means an individual who:
2889          (i) on behalf of a contractor or subcontractor provides services directly related to
2890     design or construction under a state construction contract; and
2891          (ii) is in a safety sensitive position, including a design position that has responsibilities
2892     that directly affect the safety of an improvement to real property that is the subject of a state
2893     construction contract.
2894          (c) "Drug and alcohol testing policy" means a policy under which a contractor or
2895     subcontractor tests a covered individual to establish, maintain, or enforce the prohibition of:
2896          (i) the manufacture, distribution, dispensing, possession, or use of drugs or alcohol,
2897     except the medically prescribed possession and use of a drug; or
2898          (ii) the impairment of judgment or physical abilities due to the use of drugs or alcohol.
2899          (d) "Random testing" means that a covered individual is subject to periodic testing for
2900     drugs and alcohol:
2901          (i) in accordance with a drug and alcohol testing policy; and
2902          (ii) on the basis of a random selection process.
2903          (e) "State executive entity" means:
2904          (i) a state executive branch:
2905          (A) department;
2906          (B) division;
2907          (C) agency;
2908          (D) board;

2909          (E) commission;
2910          (F) council;
2911          (G) committee; or
2912          (H) institution; or
2913          (ii) a state institution of higher education, as defined in Section 53B-3-102.
2914          (f) "State construction contract" means a contract for design or construction entered
2915     into by a state executive entity.
2916          (2) Except as provided in Subsection (7), a state executive entity may not enter into a
2917     state construction contract unless the public construction contract requires that the contractor
2918     demonstrate to the state executive entity that the contractor:
2919          (a) has and will maintain a drug and alcohol testing policy during the period of the state
2920     construction contract that applies to the covered individuals hired by the contractor;
2921          (b) posts in one or more conspicuous places notice to covered individuals hired by the
2922     contractor that the contractor has the drug and alcohol testing policy described in Subsection
2923     (2)(a);
2924          (c) subjects the covered individuals to random testing under the drug and alcohol
2925     testing policy described in Subsection (2)(a) if at any time during the period of the state
2926     construction contract there are 10 or more individuals who are covered individuals hired by the
2927     contractor; and
2928          (d) requires that as a condition of contracting with the contractor, a subcontractor:
2929          (i) has and will maintain a drug and alcohol testing policy during the period of the state
2930     construction contract that applies to the covered individuals hired by the subcontractor;
2931          (ii) posts in one or more conspicuous places notice to covered individuals hired by the
2932     subcontractor that the subcontractor has the drug and alcohol testing policy described in
2933     Subsection (2)(d)(i); and
2934          (iii) subjects the covered individuals hired by the subcontractor to random testing under
2935     the drug and alcohol testing policy described in Subsection (2)(d)(i) if at any time during the
2936     period of the state construction contract there are 10 or more individuals who are covered
2937     individuals hired by the subcontractor.
2938          (3) (a) Except as otherwise provided in this Subsection (3), if a contractor or
2939     subcontractor fails to comply with Subsection (2), the contractor or subcontractor may be

2940     suspended or debarred in accordance with this chapter.
2941          (b) A state executive entity shall include in a state construction contract:
2942          (i) a reference to the rules described in Subsection (4)(b); or
2943          (ii) if the [applicable] rulemaking authority has not made the rules described in
2944     Subsection (4)(b), a process that provides a contractor or subcontractor reasonable notice and
2945     opportunity to cure a violation of this section before suspension or debarment of the contractor
2946     or subcontractor in light of the circumstances of the state construction contract or the violation.
2947          (c) (i) A contractor is not subject to penalties for the failure of a subcontractor to
2948     comply with Subsection (2).
2949          (ii) A subcontractor is not subject to penalties for the failure of a contractor to comply
2950     with Subsection (2).
2951          (4) [An applicable] A rulemaking authority:
2952          (a) may make rules that establish the requirements and procedures a contractor is
2953     required to follow to comply with Subsection (2); and
2954          (b) shall make rules that establish:
2955          (i) the penalties that may be imposed in accordance with Subsection (3); and
2956          (ii) a process that provides a contractor or subcontractor reasonable notice and
2957     opportunity to cure a violation of this section before suspension or debarment of the contractor
2958     or subcontractor in light of the circumstances of the state construction contract or the violation.
2959          (5) The failure of a contractor or subcontractor to meet the requirements of Subsection
2960     (2):
2961          (a) may not be the basis for a protest or other action from a prospective bidder, offeror,
2962     or contractor under Part 17, Procurement Appeals Board, or Part 18, Appeals to Court and
2963     Court Proceedings; and
2964          (b) may not be used by a state executive entity, a prospective bidder, an offeror, a
2965     contractor, or a subcontractor as a basis for an action that would suspend, disrupt, or terminate
2966     the design or construction under a state construction contract.
2967          (6) (a) After a state executive entity enters into a state construction contract in
2968     compliance with this section, the state is not required to audit, monitor, or take any other action
2969     to ensure compliance with this section.
2970          (b) The state is not liable in any action related to this section, including not being liable

2971     in relation to:
2972          (i) a contractor or subcontractor having or not having a drug and alcohol testing policy;
2973          (ii) failure to test for a drug or alcohol under a contractor's or subcontractor's drug and
2974     alcohol testing policy;
2975          (iii) the requirements of a contractor's or subcontractor's drug and alcohol testing
2976     policy;
2977          (iv) a contractor's or subcontractor's implementation of a drug and alcohol testing
2978     policy, including procedures for:
2979          (A) collection of a sample;
2980          (B) testing of a sample;
2981          (C) evaluation of a test; or
2982          (D) disciplinary or rehabilitative action on the basis of a test result;
2983          (v) an individual being under the influence of drugs or alcohol; or
2984          (vi) an individual under the influence of drugs or alcohol harming another person or
2985     causing property damage.
2986          (7) This section does not apply if the state executive entity determines that the
2987     application of this section would severely disrupt the operation of a procurement unit to the
2988     detriment of the procurement unit or the general public, including:
2989          (a) jeopardizing the receipt of federal funds;
2990          (b) causing the state construction contract to be a sole source contract; or
2991          (c) causing the state construction contract to be an emergency procurement.
2992          (8) If a contractor or subcontractor meets the requirements of this section, this section
2993     may not be construed to restrict the contractor's or subcontractor's ability to impose or
2994     implement an otherwise lawful provision as part of a drug and alcohol testing policy.
2995          Section 56. Section 63G-6a-1502 is amended to read:
2996          63G-6a-1502. Requirements regarding procurement of design professional
2997     services.
2998          (1) A procurement unit seeking to procure design professional services shall:
2999          (a) publicly announce all requirements for those services through a request for
3000     statement of qualifications, as provided in this part; and
3001          (b) negotiate contracts for design professional services:

3002          (i) on the basis of demonstrated competence and qualification for the type of services
3003     required; and
3004          (ii) at fair and reasonable prices.
3005          (2) A procurement unit shall procure design professional services as provided in this
3006     part, except as otherwise provided in Sections 63G-6a-506, 63G-6a-802, and 63G-6a-803.
3007          (3) A procurement unit may procure professional services, other than design
3008     professional services, as provided in this part.
3009          [(3)] (4) This part does not affect the authority of, and does not apply to procedures
3010     undertaken by, a procurement unit to obtain the services of architects or engineers in the
3011     capacity of employees of the procurement unit.
3012          Section 57. Section 63G-6a-1503.5 is amended to read:
3013          63G-6a-1503.5. Evaluation of statements of qualifications.
3014          (1) An evaluation committee appointed under Section 63G-6a-1503 shall evaluate and
3015     score each responsive statement of qualifications that has not been eliminated from
3016     consideration under this chapter, using the criteria described in the request for statement of
3017     qualifications.
3018          (2) Criteria not described in the request for statement of qualifications may not be used
3019     to evaluate a statement of qualifications.
3020          (3) An evaluation committee may enter into discussions or conduct interviews with, or
3021     attend presentations by, the design professionals whose statements of qualifications are under
3022     consideration.
3023          (4) An evaluation committee shall rank the top three highest scoring design
3024     professionals, in order of their scores, for the purpose of entering into fee negotiations as
3025     provided in Section 63G-6a-1505.
3026          (5) If fewer than three responsible design professionals submit statements of
3027     qualifications that are determined to be responsive, the [chief procurement officer or head of a
3028     procurement unit with independent procurement authority] procurement official shall issue a
3029     written determination explaining why it is in the best interest of the procurement unit to
3030     continue the fee negotiation and the contracting process with less than three design
3031     professionals.
3032          (6) (a) The deliberations of an evaluation committee may be held in private.

3033          (b) If the evaluation committee is a public body, as defined in Section 52-4-103, the
3034     evaluation committee shall comply with Section 52-4-205 in closing a meeting for its
3035     deliberations.
3036          Section 58. Section 63G-6a-1506 is amended to read:
3037          63G-6a-1506. Restrictions on procurement of design professional services.
3038          (1) Except as provided in Subsection (2), if the division or [a] an independent
3039     procurement unit [with independent procurement authority], in accordance with Section
3040     63G-6a-1502, issues a request for statement of qualifications to procure design professional
3041     services and provides public notice of the request for statement of qualifications:
3042          (a) a public entity inside or outside the state may not submit a proposal in response to
3043     the procurement unit's request for statement of qualifications; and
3044          (b) the procurement unit may not award a contract to a public entity inside or outside
3045     the state to perform the design professional services solicited in the request for statement of
3046     qualifications.
3047          (2) Subsection (1) does not apply when the procurement unit is procuring design
3048     professional services for contracts related to research activities and technology transfer.
3049          Section 59. Section 63G-6a-1603 is amended to read:
3050          63G-6a-1603. Protest officer responsibilities and authority -- Proceedings on
3051     protest -- Effect of decision.
3052          (1) After a protest is filed, the protest officer shall determine whether the protest is
3053     timely filed and complies fully with the requirements of Section 63G-6a-1602.
3054          (2) If the protest officer determines that the protest is not timely filed or that the protest
3055     does not fully comply with Section 63G-6a-1602, the protest officer shall dismiss the protest
3056     without holding a hearing.
3057          (3) If the protest officer determines that the protest is timely filed and complies fully
3058     with Section 63G-6a-1602, the protest officer shall:
3059          (a) dismiss the protest without holding a hearing if the protest officer determines that
3060     the protest alleges facts that, if true, do not provide an adequate basis for the protest;
3061          (b) uphold the protest without holding a hearing if the protest officer determines that
3062     the undisputed facts of the protest indicate that the protest should be upheld; or
3063          (c) hold a hearing on the protest if there is a genuine issue of material fact or law that

3064     needs to be resolved in order to determine whether the protest should be upheld.
3065          (4) (a) If a hearing is held on a protest, the protest officer may:
3066          (i) subpoena witnesses and compel their attendance at the protest hearing;
3067          (ii) subpoena documents for production at the protest hearing;
3068          (iii) obtain additional factual information; and
3069          (iv) obtain testimony from experts, the person filing the protest, representatives of the
3070     procurement unit, or others to assist the protest officer to make a decision on the protest.
3071          (b) The Rules of Evidence do not apply to a protest hearing.
3072          (c) [The applicable] A rulemaking authority shall make rules relating to intervention in
3073     a protest, including designating:
3074          (i) who may intervene; and
3075          (ii) the time and manner of intervention.
3076          (d) A protest officer shall:
3077          (i) record each hearing held on a protest under this section;
3078          (ii) regardless of whether a hearing on a protest is held under this section, preserve all
3079     records and other evidence relied upon in reaching the protest officer's written decision until
3080     the decision, and any appeal of the decision, becomes final; and
3081          (iii) if the protestor appeals the protest officer's decision, submit the protest appeal
3082     record to the procurement policy board chair within seven days after receiving:
3083          (A) notice that an appeal of the protest officer's decision has been filed under Section
3084     63G-6a-1702; or
3085          (B) a request for the protest appeal record from the chair of the procurement policy
3086     board.
3087          (e) A protest officer's holding a hearing, considering a protest, or issuing a written
3088     decision under this section does not affect a person's right to later question or challenge the
3089     protest officer's jurisdiction to hold the hearing, consider the protest, or issue the decision.
3090          (5) (a) The deliberations of a protest officer may be held in private.
3091          (b) If the protest officer is a public body, as defined in Section 52-4-103, the protest
3092     officer shall comply with Section 52-4-205 in closing a meeting for its deliberations.
3093          (6) (a) A protest officer shall promptly issue a written decision regarding any protest,
3094     unless the protest is settled by mutual agreement.

3095          (b) The decision shall:
3096          (i) state the reasons for the action taken;
3097          (ii) inform the protestor of the right to judicial or administrative review as provided in
3098     this chapter; and
3099          (iii) indicate the amount of the security deposit or bond required under Section
3100     63G-6a-1703.
3101          (c) A person who issues a decision under Subsection (6)(a) shall mail, email, or
3102     otherwise immediately furnish a copy of the decision to the protestor.
3103          (7) A decision described in this section is effective until stayed or reversed on appeal,
3104     except to the extent provided in Section 63G-6a-1903.
3105          (8) (a) A decision described in Subsection (6)(a) that is issued in relation to a
3106     procurement unit other than a legislative procurement unit, a judicial procurement unit, a
3107     nonadopting local government procurement unit, or a public transit district is final and
3108     conclusive unless the protestor files an appeal under Section 63G-6a-1702.
3109          (b) A decision described in Subsection (6)(a) that is issued in relation to a legislative
3110     procurement unit, a judicial procurement unit, a nonadopting local government procurement
3111     unit, or a public transit district is final and conclusive unless the protestor files an appeal under
3112     Section 63G-6a-1802.
3113          (9) If the protest officer does not issue the written decision regarding a protest within
3114     30 calendar days after the day on which the protest was filed with the protest officer, or within
3115     a longer period as may be agreed upon by the parties, the protester may proceed as if an adverse
3116     decision had been received.
3117          (10) A determination under this section by the protest officer regarding an issue of fact
3118     may not be overturned on appeal unless the decision is arbitrary and capricious or clearly
3119     erroneous.
3120          (11) An individual is not precluded from acting, and may not be disqualified or
3121     required to be recused from acting, as a protest officer because the individual also acted in
3122     another capacity during the procurement process, as required or allowed in this chapter.
3123          Section 60. Section 63G-6a-1903 is amended to read:
3124          63G-6a-1903. Effect of timely protest or appeal.
3125          A procurement unit, other than a legislative procurement unit, a judicial procurement

3126     unit, a nonadopting local government procurement unit, or a public transit district, may not
3127     proceed further with a solicitation or with the award of a contract:
3128          (1) during the pendency of a timely:
3129          (a) protest under Section 63G-6a-1602;
3130          (b) appeal of a protest under Section 63G-6a-1702; or
3131          (c) appeal of a procurement appeals panel decision under Section 63G-6a-1802; and
3132          (2) until:
3133          (a) all administrative and judicial remedies are exhausted;
3134          (b) for a protest under Section 63G-6a-1602 or an appeal under Section 63G-6a-1702:
3135          (i) the chief procurement officer, after consultation with the attorney general's office
3136     and the head of the using agency, makes a written determination that award of the contract
3137     without delay is in the best interest of the procurement unit or the state;
3138          (ii) the [head of a procurement unit with independent procurement authority]
3139     procurement official of an independent procurement unit, after consultation with the
3140     procurement unit's attorney, makes a written determination that award of the contract without
3141     delay is in the best interest of the procurement unit or the state; or
3142          (iii) for a procurement unit that is not represented by the attorney general's office, the
3143     procurement [unit] official, after consulting with the attorney for the procurement unit, makes a
3144     written determination that award of the contract without delay is in the best interest of the
3145     procurement unit or the state; or
3146          (c) for an appeal under Section 63G-6a-1802, or an appeal to a higher court than
3147     district court:
3148          (i) the chief procurement officer, after consultation with the attorney general's office
3149     and the head of the using agency, makes a written determination that award of the contract
3150     without delay is in the best interest of the procurement unit or the state;
3151          (ii) the [head of a procurement unit with independent procurement authority]
3152     procurement official of an independent procurement unit, after consultation with the
3153     procurement unit's attorney, makes a written determination that award of the contract without
3154     delay is in the best interest of the procurement unit or the state; or
3155          (iii) for a procurement unit that is not represented by the attorney general's office, the
3156     procurement [unit] official, after consulting with the attorney for the procurement unit, makes a

3157     written determination that award of the contract without delay is necessary to protect the best
3158     interest of the procurement unit or the state.
3159          Section 61. Section 63G-6a-1911 is amended to read:
3160          63G-6a-1911. Determinations final except when arbitrary and capricious.
3161          The determinations required under the following provisions are final and conclusive
3162     unless they are arbitrary and capricious or clearly erroneous:
3163          (1) Section [63G-6a-605] 63G-6a-114;
3164          (2) Section 63G-6a-115;
3165          [(2)] (3) Section 63G-6a-702;
3166          [(3) Section 63G-6a-708;]
3167          [(4) Subsection 63G-6a-709(1);]
3168          (4) Section 63G-6a-707;
3169          (5) Section 63G-6a-803;
3170          (6) Section 63G-6a-804;
3171          (7) Section 63G-6a-903;
3172          (8) Subsection 63G-6a-1204(1) or (2);
3173          (9) Subsection 63G-6a-1204(5);
3174          (10) Section 63G-6a-1205; or
3175          (11) Subsection 63G-6a-1206(5).
3176          Section 62. Section 63G-6a-2002 is amended to read:
3177          63G-6a-2002. Records -- Retention.
3178          (1) All procurement records shall be retained and disposed of in accordance with Title
3179     63G, Chapter 2, Government Records Access and Management Act.
3180          (2) Written determinations required by this chapter shall be retained in the appropriate
3181     official contract file of:
3182          (a) the division;
3183          (b) except as provided in Subsection (2)(c), the independent procurement unit [with
3184     independent procurement authority]; or
3185          (c) for a legislative procurement unit or a judicial procurement unit, the person
3186     designated by rule made by the [applicable] rulemaking authority.
3187          (3) A procurement unit shall keep, and make available to the public, upon request,

3188     written records of procurements for which an expenditure of [$50] $100 or more is made, for
3189     the longer of:
3190          (a) six years;
3191          (b) the time otherwise required by law; or
3192          (c) the time period provided by rule made by the [applicable] rulemaking authority.
3193          (4) The written record described in Subsection (3) shall include:
3194          (a) the name of the provider from whom the procurement was made;
3195          (b) a description of the procurement item;
3196          (c) the date of the procurement; and
3197          (d) the expenditure made for the procurement.
3198          Section 63. Section 63G-6a-2003 is amended to read:
3199          63G-6a-2003. Record of contracts made.
3200          [The chief procurement officer, the procurement officer, or the head of a procurement
3201     unit with independent procurement authority] A procurement official shall maintain a record of
3202     all contracts made under Section 63G-6a-506, 63G-6a-802, or 63G-6a-803, in accordance with
3203     Title 63G, Chapter 2, Government Records Access and Management Act. The record shall
3204     contain each contractor's name, the amount and type of each contract, and a listing of the
3205     procurement items to which the contract relates.
3206          Section 64. Section 63G-6a-2102 is amended to read:
3207          63G-6a-2102. Agreements between public entities.
3208          A [procurement unit] public entity may enter into an agreement with one or more other
3209     [procurement units] public entities to:
3210          (1) sponsor, conduct, or administer a cooperative agreement for:
3211          (a) the procurement of a procurement item, in accordance with the requirements of
3212     Section 63G-6a-2105; or
3213          (b) the disposal of a procurement item;
3214          (2) cooperatively use a procurement item;
3215          (3) commonly use or share warehousing facilities, capital equipment, and other
3216     facilities;
3217          (4) provide personnel, if the receiving [procurement unit] public entity pays the
3218     [procurement unit] public entity providing the personnel the direct and indirect cost of

3219     providing the personnel, in accordance with the agreement; or
3220          [(5) make available informational, technical, and other services, if:]
3221          [(a) the requirements of the procurement unit tendering the services have precedence
3222     over the procurement unit that receives the services; and]
3223          [(b) the receiving procurement unit pays the expenses of the services provided, in
3224     accordance with the agreement.]
3225          (5) purchase from, contribute to, or otherwise participate in a pooled governmental
3226     funds program for the purpose of acquiring or sharing information, data, reports, or other
3227     services in accordance with the terms of the agreement.
3228          Section 65. Section 63G-6a-2103 is amended to read:
3229          63G-6a-2103. Purchases between public entities.
3230          [(1) (a) A procurement unit may, without using a standard procurement process,
3231     purchase from another procurement unit]
3232          (1) (a) (i) A public entity may purchase a procurement item [that the other procurement
3233     unit itself produces or provides] from another public entity.
3234          (ii) Subsection (1)(a)(i) may not be construed to require a public entity to sell a
3235     procurement item to another public entity.
3236          (b) As provided in Subsection 63G-6a-107.6(1)(a), a purchase under Subsection (1)(a)
3237     is not subject to the procurement requirements of this chapter.
3238          [(b)] (c) (i) Subsection (1)(a) does not authorize a [procurement unit] public entity to
3239     obtain a procurement item under a contract of another [procurement unit] public entity.
3240          (ii) Subsection (1)[(b)](c)(i) does not affect the authority of a procurement unit relating
3241     to a cooperative procurement under Subsection 63G-6a-2105(4)(b).
3242          (2) A [procurement unit] public entity may publish a schedule of costs or fees for
3243     procurement items available for purchase by another [procurement unit] public entity.
3244          Section 66. Repealer.
3245          This bill repeals:
3246          Section 63G-6a-105, Application of chapter -- Ordinances or resolutions relating to
3247     procurement of design professional services -- Rules.
3248          Section 63G-6a-107, Exemptions from chapter -- Compliance with other
3249     provisions.

3250          Section 63G-6a-110, Procurement unit required to comply with Utah Procurement
3251     Code and applicable rules -- Rulemaking authority -- Reporting.
3252          Section 63G-6a-601, Title.
3253          Section 63G-6a-605, Correction or clarification of bids.
3254          Section 63G-6a-607, Action if all bids exceed available funds -- Exemption.
3255          Section 63G-6a-609, Multiple stage bidding process.
3256          Section 63G-6a-610, Contracts awarded by reverse auction.
3257          Section 63G-6a-611, Invitation for bids for reverse auction -- Requirements --
3258     Publication of invitation.
3259          Section 63G-6a-612, Conduct of reverse auction.
3260          Section 63G-6a-706, Correction or clarification of proposal.
3261          Section 63G-6a-708, Justification statement -- Cost-benefit analysis.
3262          Section 63G-6a-709, Award of contract -- Cancellation -- Rejection of proposal.
3263          Section 63G-6a-709.5, Publication of award and scores.
3264          Section 63G-6a-710, Multiple stage process.