2022 -- S 2601

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LC004943

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2022

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A N   A C T

RELATING TO PUBLIC PROPERTY AND WORKS -- STATE PURCHASES

     Introduced By: Senators DiPalma, Pearson, Acosta, Murray, Burke, Kallman, Ciccone,
Seveney, Euer, and de la Cruz

     Date Introduced: March 10, 2022

     Referred To: Senate Finance

     It is enacted by the General Assembly as follows:

     SECTION 1. Section 37-2-54 of the General Laws in Chapter 37-2 entitled "State

Purchases" is hereby amended to read as follows:

     37-2-54. Chief purchasing officer -- Purchases.

     (a) The chief purchasing officer, except as otherwise provided by law, shall purchase, or

delegate and control the purchase of, the combined requirements of all spending agencies of the

state including, but not limited to, interests in real property, contractual services, rentals of all types,

supplies, materials, equipment, and services, except that competitive bids may not be required:

     (1) For contractual services where no competition exists such as sewage treatment, water,

and other public utility services;

     (2) When, in the judgment of the department of administration, food, clothing, equipment,

supplies, or other materials to be used in laboratory and experimental studies can be purchased

otherwise to the best advantage of the state;

     (3) When instructional materials are available from only one source;

     (4) Where rates are fixed by law or ordinance;

     (5) For library books;

     (6) For commercial items that are purchased for resale;

     (7) For professional, technical, or artistic services;

     (8) For all other commodities, equipment, and services which, in the reasonable discretion

of the chief purchasing officer, are available from only one source;

     (9) For interests in real property.

     (10) For works of art for museum and public display;

     (11) For published books, maps, periodicals, newspaper or journal subscriptions, and

technical pamphlets;

     (12) For licenses for use of proprietary or patented systems; and

     (13) For services of visiting speakers, professors, performing artists, and expert witnesses.

     (b) Nothing in this section shall deprive the chief purchasing officer from negotiating with

vendors who maintain a general service administration price agreement with the United States of

America or any agency thereof or other governmental entities, provided, however, that no contract

executed under this provision shall authorize a price higher than is contained in the contract

between the general service administration and the vendor affected.

     (c) The department of administration shall have supervision over all purchases by the

various spending agencies, except as otherwise provided by law, and shall prescribe rules and

regulations to govern purchasing by or for all spending agencies, subject to the approval of the

chief purchasing officer; and shall publish a manual of procedures to be distributed to agencies and

to be revised upon issuance of amendments to the procedures. No purchase or contract shall be

binding on the state or any agency thereof unless approved by the department or made under general

regulations which the chief purchasing officer may prescribe.

     (d) The chief purchasing officer shall adopt regulations to require agencies to take and

maintain inventories of plant and equipment. The department of administration shall conduct

periodic physical audits of inventories. The following shall apply with respect to requests for

proposals:

     (1) The chief purchasing officer shall require all requests for proposals include approval:

for the request for proposal from the agency director with authority over the funds to be spent on

the contracted goods or services; the primary contact person for any request for proposal issued;

and the employee of the spending agency who shall manage any resulting contract; and

     (2) The chief purchasing officer shall confirm there is no conflict of interest, nor an

appearance of a conflict, between the interests of an individual appointed to the technical evaluation

committee for a request for proposal and the interests of the state.

     (e) The department of administration shall require all agencies to furnish an estimate of

specific needs for supplies, materials, and equipment to be purchased by competitive bidding for

the purpose of permitting scheduling of purchasing in large volume. It shall establish and enforce

schedules for purchasing supplies, materials, and equipment. In addition, all agencies shall submit

to the department of administration, prior to the beginning of each fiscal year, an estimate of all

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needs for supplies, materials, and equipment during that year which will have to be acquired

through competitive bidding.

     (f) The director of the department of administration shall have the power: to transfer

between departments; to salvage; to exchange; and to condemn supplies and equipment.

     (g) Unless the chief purchasing officer deems it is in the best interest of the state to proceed

otherwise, all property (including any interest in real property) shall be sold either by invitation of

sealed bids or by public auction; provided, however, that the selling price of any interest in real

property shall not be less than the appraised value thereof as determined by the department of

administration or the department of transportation for the requirements of that department.

     (h) Subject to the provisions of this chapter, the chief purchasing officer shall purchase, or

otherwise acquire, all real property determined to be needed for state use, upon the approval of the

state properties committee as to the determination of need and as to the action of purchase or other

acquisition, provided that the amount paid shall not exceed the appraised value as determined by

the department of transportation (for such requirements of that department) or value set by eminent

domain procedure.

     (i) The department of administration shall maintain records of all purchases and sales made

under its authority and shall make periodic summary reports of all transactions to the chief

purchasing officer, the governor, and the general assembly. The chief purchasing officer shall also

report trends in costs and prices, including savings realized through improved practices, to the

governor and general assembly.

     (j) The chief purchasing officer shall attempt in every practicable way to insure that the

state is supplying its real needs at the lowest possible cost. Further, to assure that the lowest possible

cost is achieved, the chief purchasing officer may enter into cooperative purchasing agreements

with other governmental entities.

     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO PUBLIC PROPERTY AND WORKS -- STATE PURCHASES

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     This act would establish requirements with respect to requests for proposals submitted to

the chief purchasing officer for review and ensure that the chief purchasing officer confirms that

there are no conflicts or appearances of conflicts of interest between the interests of any individual

appointed to the technical evaluation committee and the interests of the state.

     This act would take effect upon passage.

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LC004943

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