Bill Text: IA SF465 | 2019-2020 | 88th General Assembly | Introduced
Bill Title: A bill for an act relating to the awarding of contracts for public improvement projects.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2019-03-06 - Subcommittee: Whiting, Celsi, and Schultz. S.J. 485. [SF465 Detail]
Download: Iowa-2019-SF465-Introduced.html
Senate
File
465
-
Introduced
SENATE
FILE
465
BY
QUIRMBACH
A
BILL
FOR
An
Act
relating
to
the
awarding
of
contracts
for
public
1
improvement
projects.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
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Section
1.
Section
26.7,
subsection
2,
Code
2019,
is
amended
1
to
read
as
follows:
2
2.
The
notice
to
bidders
may
provide
that
bids
will
be
3
received
for
the
furnishing
of
all
labor
and
materials
and
4
furnishing
or
installing
equipment
under
one
contract,
or
for
5
parts
thereof
in
separate
sections.
If
the
notice
provides
for
6
bids
for
separate
parts
of
a
project,
the
notice
shall
also
7
provide
that
bids
shall
be
accepted
for
any
combination
of
8
parts,
including
for
the
whole
project.
9
Sec.
2.
Section
26.9,
subsection
1,
Code
2019,
is
amended
10
to
read
as
follows:
11
1.
The
contract
or
contracts
for
the
public
improvement
12
must
be
awarded
to
the
lowest
responsive,
responsible
bidder
or
13
combination
of
responsible
bidders
whose
bid
or
bids
minimize
14
the
total
cost
of
the
award
.
However,
contracts
relating
to
15
public
utilities
or
extensions
or
improvements
thereof,
as
16
described
in
sections
384.80
through
384.94
,
may
be
awarded
by
17
the
city
as
it
deems
to
be
in
the
best
interests
of
the
city.
18
This
section
shall
not
be
construed
to
prohibit
a
governmental
19
entity
in
the
award
of
a
contract
for
a
public
improvement
20
or
a
governing
body
of
a
city
utility
from
providing,
in
the
21
award
of
a
contract
for
a
public
improvement,
an
enhancement
22
of
payments
upon
early
completion
of
the
public
improvement
if
23
the
availability
of
the
enhancement
payments
is
included
in
the
24
notice
to
bidders,
the
enhancement
payments
are
competitively
25
neutral
to
potential
bidders,
the
enhancement
payments
are
26
considered
as
a
separate
item
in
the
public
hearing
on
the
27
award
of
contract,
and
the
total
value
of
the
enhancement
28
payments
does
not
exceed
ten
percent
of
the
value
of
the
29
contract.
30
Sec.
3.
Section
26.10,
subsection
1,
Code
2019,
is
amended
31
to
read
as
follows:
32
1.
The
date
and
time
that
each
bid
is
received
by
the
33
governmental
entity,
together
with
the
name
of
the
person
34
receiving
the
bid,
shall
be
recorded
on
the
envelope
containing
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the
bid.
All
bids
received
after
the
deadlines
for
submission
1
of
bids
as
stated
in
the
project
specifications
shall
not
be
2
considered
and
shall
be
returned
to
the
late
bidder
unopened.
3
The
governmental
entity
shall
open,
announce
the
amount
of
the
4
bids,
and
file
all
proposals
received,
at
the
time
and
place
5
specified
in
the
notice
to
bidders.
The
governmental
entity
6
may,
by
resolution,
award
the
contract
or
contracts
for
the
7
public
improvement
to
the
bidder
or
combination
of
responsible
8
bidders
submitting
the
lowest
responsive,
total
responsible
bid
9
or
bids
to
minimize
the
total
cost
of
the
award
,
determined
10
as
provided
in
section
26.9
,
or
the
governmental
entity
11
may
reject
all
bids
received,
fix
a
new
date
for
receiving
12
bids,
and
order
publication
of
a
new
notice
to
bidders.
The
13
governmental
entity
shall
retain
the
bid
security
furnished
by
14
the
successful
bidder
until
the
approved
contract
form
has
been
15
executed,
a
bond
has
been
filed
by
the
bidder
guaranteeing
the
16
performance
of
the
contract,
and
the
contract
and
bond
have
17
been
approved
by
the
governmental
entity.
The
provisions
of
18
chapter
573
,
where
applicable,
apply
to
contracts
awarded
under
19
this
chapter
.
20
Sec.
4.
Section
26.14,
subsection
3,
paragraphs
a
and
b,
21
Code
2019,
are
amended
to
read
as
follows:
22
a.
When
a
competitive
quotation
is
required,
the
23
governmental
entity
shall
make
a
good
faith
effort
to
obtain
24
quotations
for
the
work
from
at
least
two
contractors
regularly
25
engaged
in
such
work
prior
to
letting
a
contract.
Good
26
faith
effort
shall
include
advising
all
contractors
who
have
27
filed
with
the
governmental
entity
a
request
for
notice
of
28
projects.
The
governmental
entity
shall
provide
such
notice
29
in
a
timely
manner
so
that
a
requesting
contractor
will
have
30
a
reasonable
opportunity
to
submit
a
competitive
quotation.
31
If
the
notice
provides
for
quotations
for
separate
parts
of
a
32
project,
the
notice
shall
also
provide
that
quotations
shall
33
be
accepted
for
any
combination
of
parts,
including
for
the
34
whole
project.
Quotations
may
be
obtained
from
contractors
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after
the
governmental
entity
provides
a
description
of
the
1
work
to
be
performed,
including
the
plans
and
specifications
2
prepared
by
an
architect,
landscape
architect,
or
engineer,
if
3
required
under
chapter
542B
,
544B
,
or
544A
,
and
an
opportunity
4
to
inspect
the
work
site.
The
contractor
shall
include
in
5
the
quotation
the
price
for
labor,
materials,
equipment,
and
6
supplies
required
to
perform
the
work.
If
the
work
can
be
7
performed
by
an
employee
or
employees
of
the
governmental
8
entity,
the
governmental
entity
may
file
a
quotation
for
the
9
work
to
be
performed
in
the
same
manner
as
a
contractor.
If
the
10
governmental
entity
receives
no
quotations
after
making
a
good
11
faith
effort
to
obtain
quotations
from
at
least
two
contractors
12
regularly
engaged
in
such
work,
the
governmental
entity
may
13
negotiate
a
contract
with
a
contractor
regularly
engaged
in
14
such
work.
15
b.
The
governmental
entity
shall
designate
the
time,
place,
16
and
manner
for
filing
quotations,
which
may
be
received
by
17
mail,
facsimile,
or
electronic
mail.
The
governmental
entity
18
shall
award
the
contract
or
contracts
to
the
contractor
or
19
contractors
submitting
the
lowest
responsive,
total
responsible
20
quotation
or
quotations
to
minimize
the
total
cost
of
the
21
award
subject
to
section
26.9
,
or
the
governmental
entity
may
22
reject
all
of
the
quotations.
The
unconditional
acceptance
and
23
approval
of
the
lowest
responsive,
responsible
quotation
shall
24
constitute
the
award
of
a
contract.
The
governmental
entity
25
shall
record
the
approved
quotation
in
its
meeting
minutes.
26
The
contractor
awarded
the
contract
shall
not
commence
work
27
until
the
contractor’s
performance
and
payment
bond
has
been
28
approved
by
the
governmental
entity.
A
governmental
entity
29
may
delegate
the
authority
to
award
a
contract,
to
execute
30
a
contract,
to
authorize
work
to
proceed
under
a
contract,
31
or
to
approve
the
contractor’s
performance
and
payment
bond
32
to
an
officer
or
employee
of
the
governmental
entity.
A
33
quotation
approved
outside
a
meeting
of
the
governing
body
of
34
a
governmental
entity
shall
be
included
in
the
minutes
of
the
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next
regular
or
special
meeting
of
the
governing
body.
1
EXPLANATION
2
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
3
the
explanation’s
substance
by
the
members
of
the
general
assembly.
4
This
bill
relates
to
the
awarding
of
contracts
for
public
5
improvement
projects.
6
The
bill
provides
that
if
a
governmental
entity
states
7
in
a
notice
that
the
governmental
entity
is
accepting
bids
8
or
quotations
for
multiple
parts
of
a
project
for
public
9
improvement,
then
the
entity
shall
accept
bids
or
quotations
10
for
any
combination
of
parts
of
the
project,
including
bids
11
or
quotations
for
the
whole
project.
Under
the
bill,
the
12
governmental
entity
shall
award
a
contract
or
multiple
13
contracts
to
the
combination
of
bidders
or
contractors
that
14
minimizes
the
total
cost
of
the
award.
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