FINAL BILL REPORT

                 ESHB 2815

                         C 300 L 94

                     Synopsis as Enacted

 

Brief Description:  Reforming state procurement practices.

 

By House Committee on State Government (originally sponsored by Representatives Anderson, Veloria, Caver, Wolfe, Romero, Reams, Bray, Ballard, Pruitt, Jones and Quall; by request of Department of General Administration).

 

House Committee on State Government

Senate Committee on Government Operations

 

Background:  State procurement contracts cover a wide variety of goods and services, ranging from office supplies and equipment to prescription drugs for state institutions and repairs of mechanical equipment.  Under current law, formal sealed bid procedures are not required for state purchases of $5,000 or less.  The Office of Financial Management is authorized to adjust that limit to reflect changes in the Consumer Price Index.  The limit is currently at $6,000.  For purchases of $400 to $6,000, agencies are required to secure enough quotations to ensure a competitive price.

 

For institutions of higher education, the sealed bid limit is currently $15,000.  For purchases between $2,500 and $15,000, institutions are required to secure enough quotations to secure a competitive price, and a record of competition must be documented.

 

Under current law, agency solicitation of bids must be by mail or in person.  The electronic solicitation of bids is not authorized.

 

Summary:  The sealed bid limit for state agency and higher education procurement contracts is raised to $35,000.  Bids must be secured from at least three vendors.  For purchases of $35,000 or less, the agency or institution of higher education is required to invite at least one quotation each from a certified minority-owned contractor and a certified women-owned contractor.  Bids may be solicited by electronic transmission.

 

Votes on Final Passage:

 

House  94 0

Senate 49 0 (Senate amended)

House            (House refused to concur)

 

Conference Committee

 

Senate 46 1

House  93 2

 

Effective:  June 9, 1994