1     
PROCUREMENT CODE AMENDMENTS

2     
2024 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Anthony E. Loubet

5     
Senate Sponsor: Chris H. Wilson

6     

7     LONG TITLE
8     General Description:
9          This bill modifies provisions of the Utah Procurement Code.
10     Highlighted Provisions:
11          This bill:
12          ▸     modifies the definition of "procurement unit," for purposes of the Utah Procurement
13     Code, to include political subdivisions created under the Interlocal Cooperation Act,
14     with an exception; and
15          ▸     makes technical changes.
16     Money Appropriated in this Bill:
17          None
18     Other Special Clauses:
19          None
20     Utah Code Sections Affected:
21     AMENDS:
22          63G-6a-103, as last amended by Laws of Utah 2023, Chapter 16
23     

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

28          (1) "Approved vendor" means a person who has been approved for inclusion on an
29     approved vendor list through the approved vendor list process.
30          (2) "Approved vendor list" means a list of approved vendors established under Section
31     63G-6a-507.
32          (3) "Approved vendor list process" means the procurement process described in
33     Section 63G-6a-507.
34          (4) "Bidder" means a person who submits a bid or price quote in response to an
35     invitation for bids.
36          (5) "Bidding process" means the procurement process described in Part 6, Bidding.
37          (6) "Board" means the Utah State Procurement Policy Board, created in Section
38     63G-6a-202.
39          (7) "Change directive" means a written order signed by the procurement officer that
40     directs the contractor to suspend work or make changes, as authorized by contract, without the
41     consent of the contractor.
42          (8) "Change order" means a written alteration in specifications, delivery point, rate of
43     delivery, period of performance, price, quantity, or other provisions of a contract, upon mutual
44     agreement of the parties to the contract.
45          (9) "Chief procurement officer" means the individual appointed under Section
46     63A-2-102.
47          (10) "Conducting procurement unit" means a procurement unit that conducts all
48     aspects of a procurement:
49          (a) except:
50          (i) reviewing a solicitation to verify that it is in proper form; and
51          (ii) causing the publication of a notice of a solicitation; and
52          (b) including:
53          (i) preparing any solicitation document;
54          (ii) appointing an evaluation committee;
55          (iii) conducting the evaluation process, except the process relating to scores calculated
56     for costs of proposals;
57          (iv) selecting and recommending the person to be awarded a contract;
58          (v) negotiating the terms and conditions of a contract, subject to the issuing

59     procurement unit's approval; and
60          (vi) contract administration.
61          (11) "Conservation district" means the same as that term is defined in Section
62     17D-3-102.
63          (12) "Construction project":
64          (a) means a project for the construction, renovation, alteration, improvement, or repair
65     of a public facility on real property, including all services, labor, supplies, and materials for the
66     project; and
67          (b) does not include services and supplies for the routine, day-to-day operation, repair,
68     or maintenance of an existing public facility.
69          (13) "Construction manager/general contractor":
70          (a) means a contractor who enters into a contract:
71          (i) for the management of a construction project; and
72          (ii) that allows the contractor to subcontract for additional labor and materials that are
73     not included in the contractor's cost proposal submitted at the time of the procurement of the
74     contractor's services; and
75          (b) does not include a contractor whose only subcontract work not included in the
76     contractor's cost proposal submitted as part of the procurement of the contractor's services is to
77     meet subcontracted portions of change orders approved within the scope of the project.
78          (14) "Construction subcontractor":
79          (a) means a person under contract with a contractor or another subcontractor to provide
80     services or labor for the design or construction of a construction project;
81          (b) includes a general contractor or specialty contractor licensed or exempt from
82     licensing under Title 58, Chapter 55, Utah Construction Trades Licensing Act; and
83          (c) does not include a supplier who provides only materials, equipment, or supplies to a
84     contractor or subcontractor for a construction project.
85          (15) "Contract" means an agreement for a procurement.
86          (16) "Contract administration" means all functions, duties, and responsibilities
87     associated with managing, overseeing, and carrying out a contract between a procurement unit
88     and a contractor, including:
89          (a) implementing the contract;

90          (b) ensuring compliance with the contract terms and conditions by the conducting
91     procurement unit and the contractor;
92          (c) executing change orders;
93          (d) processing contract amendments;
94          (e) resolving, to the extent practicable, contract disputes;
95          (f) curing contract errors and deficiencies;
96          (g) terminating a contract;
97          (h) measuring or evaluating completed work and contractor performance;
98          (i) computing payments under the contract; and
99          (j) closing out a contract.
100          (17) "Contractor" means a person who is awarded a contract with a procurement unit.
101          (18) "Cooperative procurement" means procurement conducted by, or on behalf of:
102          (a) more than one procurement unit; or
103          (b) a procurement unit and a cooperative purchasing organization.
104          (19) "Cooperative purchasing organization" means an organization, association, or
105     alliance of purchasers established to combine purchasing power in order to obtain the best
106     value for the purchasers by engaging in procurements in accordance with Section 63G-6a-2105.
107          (20) "Cost-plus-a-percentage-of-cost contract" means a contract under which the
108     contractor is paid a percentage of the total actual expenses or costs in addition to the
109     contractor's actual expenses or costs.
110          (21) "Cost-reimbursement contract" means a contract under which a contractor is
111     reimbursed for costs which are allowed and allocated in accordance with the contract terms and
112     the provisions of this chapter, and a fee, if any.
113          (22) "Days" means calendar days, unless expressly provided otherwise.
114          (23) "Definite quantity contract" means a fixed price contract that provides for a
115     specified amount of supplies over a specified period, with deliveries scheduled according to a
116     specified schedule.
117          (24) "Design professional" means:
118          (a) an individual licensed as an architect under Title 58, Chapter 3a, Architects
119     Licensing Act;
120          (b) an individual licensed as a professional engineer or professional land surveyor

121     under Title 58, Chapter 22, Professional Engineers and Professional Land Surveyors Licensing
122     Act; or
123          (c) an individual certified as a commercial interior designer under Title 58, Chapter 86,
124     State Certification of Commercial Interior Designers Act.
125          (25) "Design professional procurement process" means the procurement process
126     described in Part 15, Design Professional Services.
127          (26) "Design professional services" means:
128          (a) professional services within the scope of the practice of architecture as defined in
129     Section 58-3a-102;
130          (b) professional engineering as defined in Section 58-22-102;
131          (c) master planning and programming services; or
132          (d) services within the scope of the practice of commercial interior design, as defined
133     in Section 58-86-102.
134          (27) "Design-build" means the procurement of design professional services and
135     construction by the use of a single contract.
136          (28) "Division" means the Division of Purchasing and General Services, created in
137     Section 63A-2-101.
138          (29) "Educational procurement unit" means:
139          (a) a school district;
140          (b) a public school, including a local school board or a charter school;
141          (c) the Utah Schools for the Deaf and the Blind;
142          (d) the Utah Education and Telehealth Network;
143          (e) an institution of higher education of the state described in Section 53B-1-102; or
144          (f) the State Board of Education.
145          (30) "Established catalogue price" means the price included in a catalogue, price list,
146     schedule, or other form that:
147          (a) is regularly maintained by a manufacturer or contractor;
148          (b) is published or otherwise available for inspection by customers; and
149          (c) states prices at which sales are currently or were last made to a significant number
150     of any category of buyers or buyers constituting the general buying public for the supplies or
151     services involved.

152          (31) (a) "Executive branch procurement unit" means a department, division, office,
153     bureau, agency, or other organization within the state executive branch.
154          (b) "Executive branch procurement unit" does not include the Colorado River
155     Authority of Utah as provided in Section 63M-14-210.
156          (32) "Facilities division" means the Division of Facilities Construction and
157     Management, created in Section 63A-5b-301.
158          (33) "Fixed price contract" means a contract that provides a price, for each
159     procurement item obtained under the contract, that is not subject to adjustment except to the
160     extent that:
161          (a) the contract provides, under circumstances specified in the contract, for an
162     adjustment in price that is not based on cost to the contractor; or
163          (b) an adjustment is required by law.
164          (34) "Fixed price contract with price adjustment" means a fixed price contract that
165     provides for an upward or downward revision of price, precisely described in the contract, that:
166          (a) is based on the consumer price index or another commercially acceptable index,
167     source, or formula; and
168          (b) is not based on a percentage of the cost to the contractor.
169          (35) "Grant" means an expenditure of public funds or other assistance, or an agreement
170     to expend public funds or other assistance, for a public purpose authorized by law, without
171     acquiring a procurement item in exchange.
172          (36) "Immaterial error":
173          (a) means an irregularity or abnormality that is:
174          (i) a matter of form that does not affect substance; or
175          (ii) an inconsequential variation from a requirement of a solicitation that has no, little,
176     or a trivial effect on the procurement process and that is not prejudicial to other vendors; and
177          (b) includes:
178          (i) a missing signature, missing acknowledgment of an addendum, or missing copy of a
179     professional license, bond, or insurance certificate;
180          (ii) a typographical error;
181          (iii) an error resulting from an inaccuracy or omission in the solicitation; and
182          (iv) any other error that the procurement official reasonably considers to be immaterial.

183          (37) "Indefinite quantity contract" means a fixed price contract that:
184          (a) is for an indefinite amount of procurement items to be supplied as ordered by a
185     procurement unit; and
186          (b) (i) does not require a minimum purchase amount; or
187          (ii) provides a maximum purchase limit.
188          (38) "Independent procurement unit" means:
189          (a) (i) a legislative procurement unit;
190          (ii) a judicial branch procurement unit;
191          (iii) an educational procurement unit;
192          (iv) a local government procurement unit;
193          (v) a conservation district;
194          (vi) a local building authority;
195          (vii) a special district;
196          (viii) a public corporation;
197          (ix) a special service district; or
198          (x) the Utah Communications Authority, established in Section 63H-7a-201;
199          (b) the facilities division, but only to the extent of the procurement authority provided
200     under Title 63A, Chapter 5b, Administration of State Facilities;
201          (c) the attorney general, but only to the extent of the procurement authority provided
202     under Title 67, Chapter 5, Attorney General;
203          (d) the Department of Transportation, but only to the extent of the procurement
204     authority provided under Title 72, Transportation Code; or
205          (e) any other executive branch department, division, office, or entity that has statutory
206     procurement authority outside this chapter, but only to the extent of that statutory procurement
207     authority.
208          (39) "Invitation for bids":
209          (a) means a document used to solicit:
210          (i) bids to provide a procurement item to a procurement unit; or
211          (ii) quotes for a price of a procurement item to be provided to a procurement unit; and
212          (b) includes all documents attached to or incorporated by reference in a document
213     described in Subsection (39)(a).

214          (40) "Issuing procurement unit" means a procurement unit that:
215          (a) reviews a solicitation to verify that it is in proper form;
216          (b) causes the notice of a solicitation to be published; and
217          (c) negotiates and approves the terms and conditions of a contract.
218          (41) "Judicial procurement unit" means:
219          (a) the Utah Supreme Court;
220          (b) the Utah Court of Appeals;
221          (c) the Judicial Council;
222          (d) a state judicial district; or
223          (e) an office, committee, subcommittee, or other organization within the state judicial
224     branch.
225          (42) "Labor hour contract" is a contract under which:
226          (a) the supplies and materials are not provided by, or through, the contractor; and
227          (b) the contractor is paid a fixed rate that includes the cost of labor, overhead, and
228     profit for a specified number of labor hours or days.
229          (43) "Legislative procurement unit" means:
230          (a) the Legislature;
231          (b) the Senate;
232          (c) the House of Representatives;
233          (d) a staff office of the Legislature, the Senate, or the House of Representatives; or
234          (e) a committee, subcommittee, commission, or other organization:
235          (i) within the state legislative branch; or
236          (ii) (A) that is created by statute to advise or make recommendations to the Legislature;
237          (B) the membership of which includes legislators; and
238          (C) for which the Office of Legislative Research and General Counsel provides staff
239     support.
240          (44) "Local building authority" means the same as that term is defined in Section
241     17D-2-102.
242          (45) "Local government procurement unit" means:
243          (a) a county, municipality, or project entity, and each office of the county, municipality,
244     or project entity, unless:

245          (i) the county or municipality adopts a procurement code by ordinance; or
246          (ii) the project entity adopts a procurement code through the process described in
247     Section 11-13-316;
248          (b) (i) a county or municipality that has adopted this entire chapter by ordinance, and
249     each office or agency of that county or municipality; and
250          (ii) a project entity that has adopted this entire chapter through the process described in
251     Subsection 11-13-316; or
252          (c) a county, municipality, or project entity, and each office of the county, municipality,
253     or project entity that has adopted a portion of this chapter to the extent that:
254          (i) a term in the ordinance is used in the adopted chapter; or
255          (ii) a term in the ordinance is used in the language a project entity adopts in its
256     procurement code through the process described in Section 11-13-316.
257          (46) "Multiple award contracts" means the award of a contract for an indefinite
258     quantity of a procurement item to more than one person.
259          (47) "Multiyear contract" means a contract that extends beyond a one-year period,
260     including a contract that permits renewal of the contract, without competition, beyond the first
261     year of the contract.
262          (48) "Municipality" means a city, town, or metro township.
263          (49) "Nonadopting local government procurement unit" means:
264          (a) a county or municipality that has not adopted Part 16, Protests, Part 17,
265     Procurement Appeals Board, Part 18, Appeals to Court and Court Proceedings, and Part 19,
266     General Provisions Related to Protest or Appeal; and
267          (b) each office or agency of a county or municipality described in Subsection (49)(a).
268          (50) "Offeror" means a person who submits a proposal in response to a request for
269     proposals.
270          (51) "Preferred bidder" means a bidder that is entitled to receive a reciprocal preference
271     under the requirements of this chapter.
272          (52) "Procure" means to acquire a procurement item through a procurement.
273          (53) "Procurement" means the acquisition of a procurement item through an
274     expenditure of public funds, or an agreement to expend public funds, including an acquisition
275     through a public-private partnership.

276          (54) "Procurement item" means an item of personal property, a technology, a service,
277     or a construction project.
278          (55) "Procurement official" means:
279          (a) for a procurement unit other than an independent procurement unit, the chief
280     procurement officer;
281          (b) for a legislative procurement unit, the individual, individuals, or body designated in
282     a policy adopted by the Legislative Management Committee;
283          (c) for a judicial procurement unit, the Judicial Council or an individual or body
284     designated by the Judicial Council by rule;
285          (d) for a local government procurement unit:
286          (i) the legislative body of the local government procurement unit; or
287          (ii) an individual or body designated by the local government procurement unit;
288          (e) for a special district, the board of trustees of the special district or the board of
289     trustees' designee;
290          (f) for a special service district, the governing body of the special service district or the
291     governing body's designee;
292          (g) for a local building authority, the board of directors of the local building authority
293     or the board of directors' designee;
294          (h) for a conservation district, the board of supervisors of the conservation district or
295     the board of supervisors' designee;
296          (i) for a public corporation, the board of directors of the public corporation or the board
297     of directors' designee;
298          (j) for a school district or any school or entity within a school district, the board of the
299     school district or the board's designee;
300          (k) for a charter school, the individual or body with executive authority over the charter
301     school or the designee of the individual or body;
302          (l) for an institution of higher education described in Section 53B-2-101, the president
303     of the institution of higher education or the president's designee;
304          (m) for the State Board of Education, the State Board of Education or the State Board
305     of Education's designee;
306          (n) for the Utah Board of Higher Education, the Commissioner of Higher Education or

307     the designee of the Commissioner of Higher Education;
308          (o) for the Utah Communications Authority, established in Section 63H-7a-201, the
309     executive director of the Utah Communications Authority or the executive director's designee;
310     or
311          (p) (i) for the facilities division, and only to the extent of procurement activities of the
312     facilities division as an independent procurement unit under the procurement authority
313     provided under Title 63A, Chapter 5b, Administration of State Facilities, the director of the
314     facilities division or the director's designee;
315          (ii) for the attorney general, and only to the extent of procurement activities of the
316     attorney general as an independent procurement unit under the procurement authority provided
317     under Title 67, Chapter 5, Attorney General, the attorney general or the attorney general's
318     designee;
319          (iii) for the Department of Transportation created in Section 72-1-201, and only to the
320     extent of procurement activities of the Department of Transportation as an independent
321     procurement unit under the procurement authority provided under Title 72, Transportation
322     Code, the executive director of the Department of Transportation or the executive director's
323     designee; or
324          (iv) for any other executive branch department, division, office, or entity that has
325     statutory procurement authority outside this chapter, and only to the extent of the procurement
326     activities of the department, division, office, or entity as an independent procurement unit
327     under the procurement authority provided outside this chapter for the department, division,
328     office, or entity, the chief executive officer of the department, division, office, or entity or the
329     chief executive officer's designee.
330          (56) (a) "Procurement unit"[: (a)] means:
331          (i) a legislative procurement unit;
332          (ii) an executive branch procurement unit;
333          (iii) a judicial procurement unit;
334          (iv) an educational procurement unit;
335          (v) the Utah Communications Authority, established in Section 63H-7a-201;
336          (vi) a local government procurement unit;
337          (vii) a special district;

338          (viii) a special service district;
339          (ix) a local building authority;
340          (x) a conservation district; [and]
341          (xi) a public corporation; [and] or
342          (xii) except as provided in Subsection (56)(b), a political subdivision created under
343     Title 11, Chapter 13, Interlocal Cooperation Act.
344          [(b) except for a project entity, to the extent that a project entity is subject to this
345     chapter as described in Section 11-13-316, does not include a political subdivision created
346     under Title 11, Chapter 13, Interlocal Cooperation Act.]
347          (b) "Procurement unit" does not include a project entity, except to the extent that a
348     project entity is subject to this chapter as provided in Section 11-13-316.
349          (57) "Professional service" means labor, effort, or work that requires specialized
350     knowledge, expertise, and discretion, including labor, effort, or work in the field of:
351          (a) accounting;
352          (b) administrative law judge service;
353          (c) architecture;
354          (d) construction design and management;
355          (e) engineering;
356          (f) financial services;
357          (g) information technology;
358          (h) the law;
359          (i) medicine;
360          (j) psychiatry; or
361          (k) underwriting.
362          (58) "Project entity" means the same as that term is defined in Section 11-13-103.
363          [(58)] (59) "Protest officer" means:
364          (a) for the division or an independent procurement unit:
365          (i) the procurement official;
366          (ii) the procurement official's designee who is an employee of the procurement unit; or
367          (iii) a person designated by rule made by the rulemaking authority; or
368          (b) for a procurement unit other than an independent procurement unit, the chief

369     procurement officer or the chief procurement officer's designee who is an employee of the
370     division .
371          [(59)] (60) "Public corporation" means the same as that term is defined in Section
372     63E-1-102.
373          [(60) "Project entity" means the same as that term is defined in Section 11-13-103.]
374          (61) "Public entity" means the state or any other government entity within the state that
375     expends public funds.
376          (62) "Public facility" means a building, structure, infrastructure, improvement, or other
377     facility of a public entity.
378          (63) "Public funds" means money, regardless of its source, including from the federal
379     government, that is owned or held by a procurement unit.
380          (64) "Public transit district" means a public transit district organized under Title 17B,
381     Chapter 2a, Part 8, Public Transit District Act.
382          (65) "Public-private partnership" means an arrangement or agreement, occurring on or
383     after January 1, 2017, between a procurement unit and one or more contractors to provide for a
384     public need through the development or operation of a project in which the contractor or
385     contractors share with the procurement unit the responsibility or risk of developing, owning,
386     maintaining, financing, or operating the project.
387          (66) "Qualified vendor" means a vendor who:
388          (a) is responsible; and
389          (b) submits a responsive statement of qualifications under Section 63G-6a-410 that
390     meets the minimum mandatory requirements, evaluation criteria, and any applicable score
391     thresholds set forth in the request for statement of qualifications.
392          (67) "Real property" means land and any building, fixture, improvement, appurtenance,
393     structure, or other development that is permanently affixed to land.
394          (68) "Request for information" means a nonbinding process through which a
395     procurement unit requests information relating to a procurement item.
396          (69) "Request for proposals" means a document used to solicit proposals to provide a
397     procurement item to a procurement unit, including all other documents that are attached to that
398     document or incorporated in that document by reference.
399          (70) "Request for proposals process" means the procurement process described in Part

400     7, Request for Proposals.
401          (71) "Request for statement of qualifications" means a document used to solicit
402     information about the qualifications of a person interested in responding to a potential
403     procurement, including all other documents attached to that document or incorporated in that
404     document by reference.
405          (72) "Requirements contract" means a contract:
406          (a) under which a contractor agrees to provide a procurement unit's entire requirements
407     for certain procurement items at prices specified in the contract during the contract period; and
408          (b) that:
409          (i) does not require a minimum purchase amount; or
410          (ii) provides a maximum purchase limit.
411          (73) "Responsible" means being capable, in all respects, of:
412          (a) meeting all the requirements of a solicitation; and
413          (b) fully performing all the requirements of the contract resulting from the solicitation,
414     including being financially solvent with sufficient financial resources to perform the contract.
415          (74) "Responsive" means conforming in all material respects to the requirements of a
416     solicitation.
417          (75) "Rule" includes a policy or regulation adopted by the rulemaking authority, if
418     adopting a policy or regulation is the method the rulemaking authority uses to adopt provisions
419     that govern the applicable procurement unit.
420          (76) "Rulemaking authority" means:
421          (a) for a legislative procurement unit, the Legislative Management Committee;
422          (b) for a judicial procurement unit, the Judicial Council;
423          (c) (i) only to the extent of the procurement authority expressly granted to the
424     procurement unit by statute:
425          (A) for the facilities division, the facilities division;
426          (B) for the Office of the Attorney General, the attorney general;
427          (C) for the Department of Transportation created in Section 72-1-201, the executive
428     director of the Department of Transportation; and
429          (D) for any other executive branch department, division, office, or entity that has
430     statutory procurement authority outside this chapter, the governing authority of the department,

431     division, office, or entity; and
432          (ii) for each other executive branch procurement unit, the board;
433          (d) for a local government procurement unit:
434          (i) the governing body of the local government unit; or
435          (ii) an individual or body designated by the local government procurement unit;
436          (e) for a school district or a public school, the board, except to the extent of a school
437     district's own nonadministrative rules that do not conflict with the provisions of this chapter;
438          (f) for a state institution of higher education, the Utah Board of Higher Education;
439          (g) for the State Board of Education or the Utah Schools for the Deaf and the Blind, the
440     State Board of Education;
441          (h) for a public transit district, the chief executive of the public transit district;
442          (i) for a special district other than a public transit district or for a special service
443     district, the board, except to the extent that the board of trustees of the special district or the
444     governing body of the special service district makes its own rules:
445          (i) with respect to a subject addressed by board rules; or
446          (ii) that are in addition to board rules;
447          (j) for the Utah Educational Savings Plan, created in Section 53B-8a-103, the Utah
448     Board of Higher Education;
449          (k) for the School and Institutional Trust Lands Administration, created in Section
450     53C-1-201, the School and Institutional Trust Lands Board of Trustees;
451          (l) for the School and Institutional Trust Fund Office, created in Section 53D-1-201,
452     the School and Institutional Trust Fund Board of Trustees;
453          (m) for the Utah Communications Authority, established in Section 63H-7a-201, the
454     Utah Communications Authority board, created in Section 63H-7a-203; or
455          (n) for any other procurement unit, the board.
456          (77) "Service":
457          (a) means labor, effort, or work to produce a result that is beneficial to a procurement
458     unit;
459          (b) includes a professional service; and
460          (c) does not include labor, effort, or work provided under an employment agreement or
461     a collective bargaining agreement.

462          (78) "Small purchase process" means the procurement process described in Section
463     63G-6a-506.
464          (79) "Sole source contract" means a contract resulting from a sole source procurement.
465          (80) "Sole source procurement" means a procurement without competition pursuant to
466     a determination under Subsection 63G-6a-802(1)(a) that there is only one source for the
467     procurement item.
468          (81) "Solicitation" means an invitation for bids, request for proposals, or request for
469     statement of qualifications.
470          (82) "Solicitation response" means:
471          (a) a bid submitted in response to an invitation for bids;
472          (b) a proposal submitted in response to a request for proposals; or
473          (c) a statement of qualifications submitted in response to a request for statement of
474     qualifications.
475          (83) "Special district" means the same as that term is defined in Section 17B-1-102.
476          (84) "Special service district" means the same as that term is defined in Section
477     17D-1-102.
478          (85) "Specification" means any description of the physical or functional characteristics
479     or of the nature of a procurement item included in an invitation for bids or a request for
480     proposals, or otherwise specified or agreed to by a procurement unit, including a description of:
481          (a) a requirement for inspecting or testing a procurement item; or
482          (b) preparing a procurement item for delivery.
483          (86) "Standard procurement process" means:
484          (a) the bidding process;
485          (b) the request for proposals process;
486          (c) the approved vendor list process;
487          (d) the small purchase process; or
488          (e) the design professional procurement process.
489          (87) "State cooperative contract" means a contract awarded by the division for and in
490     behalf of all public entities.
491          (88) "Statement of qualifications" means a written statement submitted to a
492     procurement unit in response to a request for statement of qualifications.

493          (89) "Subcontractor":
494          (a) means a person under contract to perform part of a contractual obligation under the
495     control of the contractor, whether the person's contract is with the contractor directly or with
496     another person who is under contract to perform part of a contractual obligation under the
497     control of the contractor; and
498          (b) includes a supplier, distributor, or other vendor that furnishes supplies or services
499     to a contractor.
500          (90) "Technology" means the same as "information technology," as defined in Section
501     63A-16-102.
502          (91) "Tie bid" means that the lowest responsive bids of responsible bidders are
503     identical in price.
504          (92) "Time and materials contract" means a contract under which the contractor is paid:
505          (a) the actual cost of direct labor at specified hourly rates;
506          (b) the actual cost of materials and equipment usage; and
507          (c) an additional amount, expressly described in the contract, to cover overhead and
508     profit, that is not based on a percentage of the cost to the contractor.
509          (93) "Transitional costs":
510          (a) means the costs of changing:
511          (i) from an existing provider of a procurement item to another provider of that
512     procurement item; or
513          (ii) from an existing type of procurement item to another type;
514          (b) includes:
515          (i) training costs;
516          (ii) conversion costs;
517          (iii) compatibility costs;
518          (iv) costs associated with system downtime;
519          (v) disruption of service costs;
520          (vi) staff time necessary to implement the change;
521          (vii) installation costs; and
522          (viii) ancillary software, hardware, equipment, or construction costs; and
523          (c) does not include:

524          (i) the costs of preparing for or engaging in a procurement process; or
525          (ii) contract negotiation or drafting costs.
526          (94) "Vendor":
527          (a) means a person who is seeking to enter into a contract with a procurement unit to
528     provide a procurement item; and
529          (b) includes:
530          (i) a bidder;
531          (ii) an offeror;
532          (iii) an approved vendor;
533          (iv) a design professional; and
534          (v) a person who submits an unsolicited proposal under Section 63G-6a-712.
535          Section 2. Effective date.
536          This bill takes effect on May 1, 2024.