exempt

                                                 (Reprinted with amendments adopted on April 11, 2003)

 

Senate Bill No. 280–Senator Tiffany

 

March 13, 2003

____________

 

Referred to Committee on Government Affairs

 

SUMMARY—Revises provisions governing awarding of state purchasing contracts. (BDR 27‑846)

 

FISCAL NOTE:    Effect on Local Government: No.

                             Effect on the State: Yes.

 

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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; imposing in certain circumstances an inverse preference with respect to bids and proposals submitted by bidders and contractors who are residents of another state; 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. Chapter 333 of NRS is hereby amended by adding

1-2  thereto a new section to read as follows:

1-3  For the purpose of awarding a contract pursuant to this

1-4  chapter, if a person who submits a bid or proposal:

1-5  1.  Is a resident of a state other than the State of Nevada; and

1-6  2.  That other state, with respect to contracts awarded by that

1-7  other state or agencies of that other state, applies to bidders or

1-8  contractors who are residents of that state a preference which is

1-9  not afforded to bidders or contractors who are residents of the

1-10  State of Nevada,

1-11  the person or entity responsible for awarding the contract

1-12  pursuant to this chapter shall, insofar as is practicable, increase

1-13  the person’s bid or proposal by an amount that is substantially

1-14  equivalent to the preference that the other state of which the

1-15  person is a resident denies to bidders or contractors who are

1-16  residents of the State of Nevada.

 

 

2-1  Sec. 2.  NRS 333.310 is hereby amended to read as follows:

2-2  333.310  1.  An advertisement must contain a general

2-3  description of the classes of commodities or services for which a bid

2-4  or proposal is wanted and must state:

2-5  (a) The name and location of the department, agency, local

2-6  government, district or institution for which the purchase is to be

2-7  made.

2-8  (b) Where and how specifications and quotation forms may be

2-9  obtained.

2-10      (c) If the advertisement is for bids, whether the Chief is

2-11  authorized by the using agency to be supplied to consider a bid for

2-12  an article that is an alternative to the article listed in the original

2-13  request for bids if:

2-14          (1) The specifications of the alternative article meet or

2-15  exceed the specifications of the article listed in the original request

2-16  for bids;

2-17          (2) The purchase of the alternative article results in a lower

2-18  price; and

2-19          (3) The Chief deems the purchase of the alternative article to

2-20  be in the best interests of the State of Nevada.

2-21      (d) A summary of the provisions of section 1 of this act.

2-22      (e) The date and time not later than which responses must be

2-23  received by the Purchasing Division.

2-24      [(e)](f) The date and time when responses will be opened.

2-25  The Chief or his designated agent shall approve the copy for the

2-26  advertisement.

2-27      2.  Each advertisement must be published in at least one

2-28  newspaper of general circulation in the State. The selection of the

2-29  newspaper to carry the advertisement must be made in the manner

2-30  provided by this chapter for other purchases, on the basis of the

2-31  lowest price to be secured in relation to the paid circulation.

2-32      Sec. 3.  NRS 333.335 is hereby amended to read as follows:

2-33      333.335  1.  Each proposal must be evaluated by:

2-34      (a) The chief of the using agency, or a committee appointed by

2-35  the chief of the using agency in accordance with the regulations

2-36  adopted pursuant to NRS 333.135, if the proposal is for a using

2-37  agency; or

2-38      (b) The Chief of the Purchasing Division, or a committee

2-39  appointed by the Chief in accordance with the regulations adopted

2-40  pursuant to NRS 333.135, if he is responsible for administering the

2-41  proposal.

2-42      2.  A committee appointed pursuant to subsection 1 must

2-43  consist of not less than two members. A majority of the members of

2-44  the committee must be state officers or employees. The committee

2-45  may include persons who are not state officers or employees and

3-1  possess expert knowledge or special expertise that the chief of the

3-2  using agency or the Chief of the Purchasing Division determines is

3-3  necessary to evaluate a proposal. The members of the committee are

3-4  not entitled to compensation for their service on the committee,

3-5  except that members of the committee who are state officers or

3-6  employees are entitled to receive their salaries as state officers and

3-7  employees. No member of the committee may have a financial

3-8  interest in a proposal.

3-9  3.  In making an award, the chief of the using agency, the Chief

3-10  of the Purchasing Division or each member of the committee, if a

3-11  committee is established, shall consider and assign a score for each

3-12  of the following factors for determining whether the proposal is in

3-13  the best interests of the State of Nevada:

3-14      (a) The experience and financial stability of the person

3-15  submitting [a] the proposal;

3-16      (b) Whether the proposal complies with the requirements of the

3-17  request for proposals as prescribed in NRS 333.311;

3-18      (c) The price of the proposal [;] including the imposition of an

3-19  inverse preference described in section 1 of this act, if applicable;

3-20  and

3-21      (d) Any other factor disclosed in the request for proposals.

3-22      4.  The chief of the using agency, the Chief of the Purchasing

3-23  Division or the committee, if a committee is established, shall

3-24  determine the relative weight of each factor set forth in subsection 3

3-25  before a request for proposals is advertised. The weight of each

3-26  factor must not be disclosed before the date proposals are required

3-27  to be submitted.

3-28      5.  The chief of the using agency, the Chief of the Purchasing

3-29  Division or the committee, if a committee is established, shall award

3-30  the contract based on the best interests of the State, as determined by

3-31  the total scores assigned pursuant to subsection 3, and is not

3-32  required to accept the lowest-priced proposal.

3-33      6.  Each proposal evaluated pursuant to the provisions of this

3-34  section is confidential and may not be disclosed until the contract is

3-35  awarded.

3-36      Sec. 4.  NRS 333.340 is hereby amended to read as follows:

3-37      333.340  1.  Every contract or order for goods must be awarded

3-38  to the lowest responsible bidder. To determine the lowest

3-39  responsible bidder, the Chief : [may consider:]

3-40      (a) Shall consider, if applicable, the imposition of the inverse

3-41  preference described in section 1 of this act.

3-42      (b) May consider:

3-43          (1) The location of the using agency to be supplied.

3-44      [(b)](2) The qualities of the articles to be supplied.

4-1  [(c)](3) The total cost of ownership of the articles to be

4-2  supplied.

4-3  [(d)](4) Except as otherwise provided in [paragraph (e),]

4-4  subparagraph (5), the conformity of the articles to be supplied with

4-5  the specifications.

4-6  [(e)](5) If the articles are an alternative to the articles listed in

4-7  the original request for bids, whether the advertisement for bids

4-8  included a statement that bids for an alternative article will be

4-9  considered if:

4-10          [(1)](I) The specifications of the alternative article meet or

4-11  exceed the specifications of the article listed in the original request

4-12  for bids;

4-13          [(2)](II) The purchase of the alternative article results in a

4-14  lower price; and

4-15          [(3)](III) The Chief deems the purchase of the alternative

4-16  article to be in the best interests of the State of Nevada.

4-17      [(f)](6) The purposes for which the articles to be supplied are

4-18  required.

4-19      [(g)](7) The dates of delivery of the articles to be supplied.

4-20      2.  If a contract or an order is not awarded to the lowest bidder,

4-21  the Chief shall provide the lowest bidder with a written statement

4-22  which sets forth the specific reasons that the contract or order was

4-23  not awarded to him.

4-24      3.  As used in this section, “total cost of ownership” includes,

4-25  but is not limited to:

4-26      (a) The history of maintenance or repair of the articles;

4-27      (b) The cost of routine maintenance and repair of the articles;

4-28      (c) Any warranties provided in connection with the articles;

4-29      (d) The cost of replacement parts for the articles; and

4-30      (e) The value of the articles as used articles when given in trade

4-31  on a subsequent purchase.

4-32      Sec. 5.  This act becomes effective on July 1, 2003.

 

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