Assembly Bill No. 542–Committee on Government Affairs

 

(On Behalf of Department of Administration—Budget Division)

 

March 22, 2001

____________

 

Referred to Committee on Government Affairs

 

SUMMARY—Makes various changes relating to personal property of state. (BDR 27‑528)

 

FISCAL NOTE:            Effect on Local Government: No.

                                    Effect on the State: No.

 

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EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to state purchasing; requiring the state board of examiners to establish, by regulation, the original cost of certain personal property of the state; creating the surplus property administration account in the state purchasing fund; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1    Section 1. NRS 333.220 is hereby amended to read as follows:

1-2    333.220  1.  The chief shall:

1-3    (a) Provide for classification of the personal property of the state in the

1-4  possession of the using agencies.

1-5    (b) Establish a process for identification of all such property.

1-6    (c) Maintain records of [such] that property.

1-7    (d) Except as otherwise provided in this paragraph, determine which

1-8  items of [such] that property must be listed by each using agency pursuant

1-9  to subsection 4. Any item which had an original cost of [$500 or more] not

1-10  less than the amount established by regulation of the state board of

1-11  examiners and which has a useful life of more than 2 years must be

1-12  included on the list.

1-13    2.  Each using agency shall submit to the purchasing division a list on

1-14  or before the last day of each month of all personal property for which it is

1-15  responsible which was lost, stolen, exchanged or deemed excess. The list

1-16  must include all forfeited personal property which was received by the

1-17  using agency and all personal property which was donated to the using

1-18  agency within the previous month. The list must be prepared by the officer

1-19  entrusted with custody of the property and be approved by the officer’s

2-1  supervisor or the head of his department or agency. A monthly physical

2-2  count is not required for the preparation of the list.

2-3    3.  The chief may transfer any personal property or forfeited personal

2-4  property in the possession of a using agency to another governmental

2-5  agency within the state or to an entity that is eligible to acquire federal

2-6  donable surplus property, if that property is not necessary for the use of the

2-7  using agency.

2-8    4.  The records of personal property of the state must be maintained at

2-9  all times to show the officers entrusted with the custody thereof and

2-10  transfers of [such] that property between those officers. Each using agency

2-11  shall conduct an annual physical count of all personal property charged to

2-12  it and reconcile the results of the annual physical count with the records of

2-13  inventory maintained by the chief. The chief shall maintain the current

2-14  records of inventory for each state agency.

2-15    5.  The chief shall adopt regulations which:

2-16    (a) Prescribe the procedure by which personal property may be

2-17  condemned and disposed of, if of no further use to the state.

2-18    (b) Provide that condemned property which the chief has not transferred

2-19  to another governmental agency or entity that is eligible to acquire federal

2-20  donable surplus property and which has an appraised value over $1,000

2-21  may be sold at a public auction. At least once within 15 days before the

2-22  auction, the chief shall publish or cause to be published in a newspaper

2-23  circulated in the area in which the sale is made a notice of the auction and a

2-24  description of the property to be sold.

2-25    6.  For the purposes of sale, the chief or his designated agent shall

2-26  determine the value of personal property which is of no further use to the

2-27  state. The chief may request the assistance of any department or officer

2-28  having technical expertise regarding any such property to determine the

2-29  value of the property.

2-30    7.  The chief may elect to refurbish, in whole or in part, personal

2-31  property which is of no further use to the state if the chief determines that

2-32  refurbishment will increase the value of the property in an amount that

2-33  exceeds the cost of the refurbishment. The purchasing division is entitled to

2-34  reimbursement for the cost of refurbishment from the proceeds of the sale

2-35  of the property.

2-36    Sec. 2.  NRS 333.300 is hereby amended to read as follows:

2-37    333.300  1.  Except as otherwise provided in NRS 333.375, the chief

2-38  shall give reasonable notice, by advertising and by written notice [mailed]

2-39  provided to persons[, firms or corporations] in a position to furnish the

2-40  classes of commodities involved, as shown by its records, of all proposed

2-41  purchases of supplies, materials and equipment to be purchased in

2-42  accordance with a schedule prepared in conformity with the provisions of

2-43  NRS 333.250.

2-44    2.  All such materials, supplies and equipment, except as otherwise

2-45  provided in this section, [when] if the estimated cost thereof exceeds

2-46  $25,000, must be purchased by formal contract from the lowest responsible

2-47  bidder after [due] notice inviting the submission of sealed proposals to the

2-48  chief of the purchasing division at the date, hour and location set forth in

2-49  the proposal, and at that date, hour and location the proposals must be

3-1  publicly opened. The purchasing division may reject any or all proposals,

3-2  or may accept the proposal determined best for the interest of the state. The

3-3  notice must be published as [outlined] prescribed in NRS 333.310.

3-4    3.  In case of emergencies caused by acts of God or the national

3-5  defense or other unforeseeable circumstances, the provisions for

3-6  advertisements on competitive bids may be waived by the chief, but every

3-7  effort must be made to secure the maximum competitive bidding under the

3-8  circumstances. In no case may contracts be awarded until every possible

3-9  effort has been made to secure at least three bona fide competitive bids.

3-10    4.  In awarding contracts for the purchase of supplies, materials and

3-11  equipment, [whenever] if two or more lowest bids are identical, the chief

3-12  shall:

3-13    (a) If the lowest bids are by bidders resident in the State of Nevada,

3-14  accept the proposal which, in his discretion, is in the best interests of this

3-15  state.

3-16    (b) If the lowest bids are by bidders resident outside the State of

3-17  Nevada:

3-18      (1) Accept the proposal of the bidder who will furnish goods or

3-19  commodities produced or manufactured in this state; or

3-20      (2) Accept the proposal of the bidder who will furnish goods or

3-21  commodities supplied by a dealer resident in the State of Nevada.

3-22    Sec. 3. NRS 333.490 is hereby amended to read as follows:

3-23    333.490  1.  The chief shall secure, warehouse and distribute

3-24  throughout the state federal donable surplus property to tax-supported or

3-25  nonprofit schools and other health and educational institutions, to

3-26  organizations for emergency management, to volunteer fire departments,

3-27  and to such other institutions or activities as are eligible pursuant to federal

3-28  law to acquire such property. The chief may make such certifications,

3-29  develop and sign such plans of operation, take such action and enter into

3-30  such contracts and undertakings for and in the name of the state as are

3-31  authorized or required by federal law or regulations in connection with the

3-32  receipt, warehousing and distribution of federal donable surplus property

3-33  received by him. [He] The chief may adopt regulations, prescribe

3-34  requirements[,] and take the necessary action to [assure] ensure maximum

3-35  utilization by and benefit to eligible institutions and organizations from the

3-36  federal donable surplus property. [He] The chief shall charge the schools

3-37  and institutions receiving donable surplus property secured through the

3-38  purchasing division, the charge to be a percentage of the cost of acquisition

3-39  or of the fair value of the item requested that is sufficient to repay part or

3-40  all of the cost of transportation and other costs incurred in acquisition of

3-41  the property.

3-42    2.  All money received by the chief pursuant to this section must be

3-43  deposited in the state treasury for credit to the surplus property

3-44  administration account, which is hereby created in the state [general]

3-45  purchasing fund. The interest and income earned on the money in the

3-46  account must be credited to the account. All expenses for the distribution

3-47  of federal surplus property must be paid from the account as other claims

3-48  against the state are paid.

4-1    3.  The chief may discontinue temporarily or terminate entirely the

4-2  operation of purchasing and distributing donable surplus property at any

4-3  time [when] if there is not a sufficient flow of property to make continued

4-4  employment of personnel for this purpose beneficial to the state.

4-5    Sec. 4.  On July 1, 2001, or as soon thereafter as is practicable, the

4-6  state controller shall transfer the balance in the surplus property

4-7  administration account in the state general fund to the surplus property

4-8  administration account in the state purchasing fund.

4-9    Sec. 5.  This act becomes effective on July 1, 2001.

 

4-10  H