Washington State House of Representatives Office of Program Research | BILL ANALYSIS |
State Government & Tribal Affairs Committee |
HB 1648
This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent. |
Brief Description: Increasing state contracts with veteran-owned businesses.
Sponsors: Representatives Hope, Liias, O'Brien, Rodne, Haler, Priest, Kelley, Smith and Morrell.
Brief Summary of Bill |
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Hearing Date: 2/3/09
Staff: Marsha Reilly (786-7135)
Background:
State law provides for various programs or procedures to enable women and minorities to effectively compete for contracts or services. For example, when agencies make purchases of goods and services that require solicitation of quotes from the vendor list maintained by the Department of General Administration (GA), quotes must be secured from certified minority and women-owned vendors. In addition, state agencies are required to have plans to increase the participation of certified minority and women-owned businesses in public contracts for goods and services and public works.
In 2007 the Legislature enacted a bill requiring the Department of Veterans Affairs (DVA) to develop and maintain a list of veteran-owned businesses and to make that list available on the DVA website. The DVA also is required to create a decal to identify a business as veteran-owned and distribute the decals to veteran-owned businesses. To qualify as a veteran-owned business, the business must be 51 percent owned and controlled by a veteran or an active or reserve member in any branch of the armed forces of the United States, including the National Guard, Coast Guard, and Armed Forces Reserves.
Summary of Bill:
State agencies are encouraged to award 3 percent of certain contracts of purchases, and contracts for personal services, public works, and leasing or renting to certified veteran-owned businesses. State agencies must perform outreach to veteran-owned businesses, keep records of contracts awarded to those businesses, and report to the DVA by October 2010, and every two years thereafter, on progress made in implementing the requirements of the act.
The GA must identify the DVA-certified, veteran-owned businesses in its vendor registry for state agency purchasing.
Agency plans to ensure that minority and women-owned firms have the maximum practicable opportunity to compete for and obtain contracts for architectural and engineering services are extended to include veteran-owned businesses. The Department of Transportation is required to include veteran contractors in bids and awards of contracts for the performance of work or furnishing equipment, materials, supplies, or operating services whenever the estimated cost of the work does not exceed $100,000.
The DVA is required to develop a procedure to certify veteran-owned businesses, maintain a list of veteran-owned businesses on its public website, adopt rules for the program, and report to the Legislature by December 1, 2010, and each even-numbered year thereafter, on implementation of the act. The DVA also is directed to collaborate with and assist agencies in implementing outreach to veteran-owned businesses.
The act is not intended to create a cause of action or entitlement in an individual or class of individuals.
Appropriation: None.
Fiscal Note: Requested on January 31, 2009.
Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.