SB 5741-S - DIGEST

 

              (DIGEST OF PROPOSED 1ST SUBSTITUTE)

 

     Authorizes the department of transportation to purchase services, including services that have been customarily and historically provided by employees in the classified service, by contracting with individuals, nonprofit organizations, businesses, employee business units, or other entities if the following criteria are met:

     (1) The invitation for bid or request for proposal contains measurable standards for the performance of the contract;

     (2) Employees in the classified service whose positions or work would be displaced by the contract are provided an opportunity to offer alternatives to purchasing services by contract and, if these alternatives are not accepted, compete for the contract under competitive contracting procedures in this act;

     (3) The contract with an entity other than an employee business unit includes a provision requiring the entity to consider employment of state employees who may be displaced by the contract;

     (4) The department has established a contract monitoring process to measure contract performance, costs, service delivery quality, and other contract standards, and to cancel contracts that do not meet those standards; and

     (5) The department has demonstrated that the contract results in savings or efficiency improvements.  The department must consider the consequences and potential mitigation of improper or failed performance by the contractor.

     Declares that since managed competition is a relatively new, untested concept at the state level, it is the intent of the legislature that managed competition for transportation operations and maintenance functions will occur contingent upon civil service reform legislation becoming law.