Chapter 357 |
2025 -- S 0945 SUBSTITUTE A Enacted 06/30/2025 |
A N A C T |
RELATING TO PUBLIC PROPERTY AND WORKS -- RHODE ISLAND ANTI-BID-RIGGING ACT |
Introduced By: Senators DiPalma, Lauria, de la Cruz, Raptakis, McKenney, LaMountain, Bissaillon, Lawson, Sosnowski, and Murray |
Date Introduced: April 04, 2025 |
It is enacted by the General Assembly as follows: |
SECTION 1. Title 37 of the General Laws entitled "PUBLIC PROPERTY AND WORKS" |
is hereby amended by adding thereto the following chapter: |
CHAPTER 27 |
RHODE ISLAND ANTI-BID-RIGGING ACT |
37-27-1. Short title. |
This chapter shall be known and may be cited as the “Rhode Island Anti-Bid-Rigging Act.” |
37-27-2. Definitions. |
For the purposes of this chapter, unless the context clearly requires otherwise: |
(1) “Bid rigging” means an intentional and concerted activity of two (2) or more persons |
to predetermine the winning bidder of a contract proposed, offered, or otherwise submitted for |
competitive bidding by a government entity including, but not limited to, a contract proposed, |
offered, or otherwise submitted for competitive bidding in violation of processes set forth pursuant |
to law, regulation or ordinance including, but not limited to, procurement processes established |
pursuant to chapter 2 of this title37or chapter 55 of title 45, or regulations promulgated thereto: |
(i) “Bid rigging” includes, but is not limited to, any one or more of the following: |
(A) Price fixing; |
(B) Submitting identical bids; |
(C) Rotating bids; |
(D) Sharing profits with a contractor who does not submit the low bid; |
(E) Submitting prearranged bids, agreed-upon higher or lower bids, or other |
complementary bids; |
(F) Dividing up territories to restrict competition; and/or |
(G) Not submitting a bid; |
(ii) Notwithstanding other provisions of this chapter, it is not unlawful for the same person |
to simultaneously submit bids for the same work, or a portion thereof, as a proposed prime |
contractor and subcontractor. |
(2) “Debarment” means the exclusion from all state procurements and termination of |
existing or outstanding contracts. |
(3) “Person” means an individual or a firm, association, organization, business trust, |
company, corporation, joint venture, partnership, proprietorship, or other business entity, whether |
or not for profit, and any government or public entity. |
(4) “Government entity” means any department, commission, council, board, bureau, |
committee, institution, legislative body, agency, or government corporation of the executive, |
legislative, or judicial branches of state, and/or local governments including, but not limited to, |
those entities defined in § 37-2-7 relating to state governmental entities, public agencies, state |
agencies, and governmental entities. |
(5) “Prime contractor” means any person who has entered into a public contract. |
37-27-3. Bid rigging prohibited. |
It is unlawful for any person to knowingly conspire, collude, combine, or agree with |
another to commit or attempt to commit bid rigging involving: |
(1) A contract for the purchase of equipment, goods, services, or materials or a contract for |
construction or repair proposed, offered, or otherwise submitted by a government entity; or |
(2) A subcontract for the purchase of equipment, goods, services, or materials or for |
construction or repair with a prime contractor or proposed prime contractor for a government entity. |
37-27-4. Intentional interference with contract submission and award by public |
official. |
(a) It is unlawful for any person who is an official of or employed by any unit of state or |
local government, or any public officers who are subject to the code of ethics set forth in § 36-14- |
4, to knowingly and willfully convey, outside of any official procurement process adopted pursuant |
to law, regulation or ordinance by that unit of government including, but not limited, to |
procurement processes established pursuant to chapter 2 of this title37or chapter 55 of title 45, or |
regulations promulgated thereto, to any person any information concerning the specifications for |
such contract or the identity of any particular potential subcontractors, when conveyance of such |
information concerning the specifications or contractors in the bid or offer is intended to improperly |
influence acceptance of such bid or offer in contravention of the official procurement process. It |
shall not constitute a violation of this subsection to convey information intended to clarify plans or |
specifications regarding a public contract where such disclosure of information is also made |
generally available to the public. |
(b) It is unlawful for any person who is an official of or employed by any unit of state or |
local government, or any public officers who are subject to the code of ethics set forth in § 36-14- |
4, to knowingly and willfully take any action to deliberately and improperly influence the award in |
favor of a particular bidder, prime contractor or subcontractor in contravention of official |
procurement processes set forth pursuant to law, regulation, or ordinance including, but not limited, |
to procurement processes established pursuant to chapter 2 of this title37or chapter 55 of title 45, |
or regulations promulgated thereto, when such invitation to bid is required by law, regulation, or |
ordinance. |
37-27-5. Penalties. |
(a) Unless otherwise specified, any violation of §§ 37-27-3 or 37-27-4 shall be deemed a |
felony punishable by imprisonment not exceeding three (3) years and by a fine of up to one million |
dollars ($1,000,000) or three (3) times the value of the submitted award or bid, whichever is greater. |
Any criminal proceeding brought pursuant to this chapter must be commenced within three (3) |
years after the alleged criminal act occurred. |
(b) It shall not constitute a violation of this chapter when any person who is an official of |
or employed by any unit of state or local government follows procedures established by federal, |
state or local laws or regulations including, but not limited, to processes established pursuant to |
chapter 2 of this title37or chapter 55 of title 45, or regulations promulgated thereto. |
(c) It shall not constitute a violation of this chapter for any person who is an official of or |
employed by any unit of state or local government to provide to any person a copy of the transcript |
or other summary of any pre-bid conference when such transcript or summary is also made |
generally available to the public. |
37-27-6. Debarment. |
(a) Any vendor debarred pursuant to this chapter shall not perform work as a prime |
contractor, consultant, subcontractor, or subconsultant for the state and shall be excluded from all |
state procurements and any contract between the state and the vendor shall be terminated. |
(b) Any person who is found to be in violation of any provision of this chapter shall be |
subject to debarment, pursuant to chapter 2 of this title37or any regulations promulgated thereto, |
from state contracting for a period of up to five (5) years. |
(c) A government entity that proposes, offers, or otherwise submits a contract for |
competitive bidding shall maintain a current list of persons excluded or ineligible, by reason of |
debarment, for participation in contracts or subcontracts with that government entity. |
37-27-7. Severability. |
Should any part of this chapter be declared invalid or unenforceable, or the enforcement or |
compliance with it is suspended, restrained, or barred, either by the state or by the final judgment |
of a court of competent jurisdiction, the remainder of this chapter shall remain in full force and |
effect. |
SECTION 2. This act shall take effect upon passage. |
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LC002535/SUB A |
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