SENATE BILL REPORT

2SHB 2100

As Reported By Senate Committee On:

State & Local Government, February 20, 2002

Title:  An act relating to increasing bid limits for the alternative bid procedure under RCW 39.04.190.

Brief Description:  Increasing bid limits for PUDs using the alternative bid procedure under RCW 39.04.190.

Sponsors:  House Committee on State Government (originally sponsored by Representatives Dunshee, Mulliken and Berkey).

Brief History:

Committee Activity:  State & Local Government:  2/20/02 [DP].

SENATE COMMITTEE ON STATE & LOCAL GOVERNMENT

Majority Report:  Do pass.

Signed by Senators Gardner, Chair; Hale, Haugen, Horn, Keiser, Kline, Roach, T. Sheldon and Swecker.

Staff:  Mac Nicholson (786‑7445)

Background:  Generally a public utility district (PUD) purchasing materials, equipment, or supplies in the excess of $5,000 must do so by contract and comply with competitive bidding requirements.  For purchase contracts exceeding $5,000 but less than $35,000, the PUD commission may use the vendor list process in lieu of the competitive bidding procedure, whereby the commission need only solicit telephone or written quotations from at least three vendors on a maintained list.    

Summary of Bill:  The maximum cost of materials, supplies, and equipment that may be purchased by a PUD without bidding is increased from $5,000 to $10,000, excluding sales tax.  A PUD may use the vendor list process to award purchase contracts exceeding $10,000 but less than $50,000.

Appropriation:  None.

Fiscal Note:  Not requested.

Effective Date:  Ninety days after adjournment of session in which bill is passed.

Testimony For:  Increasing the dollar range for the alternative bid process will allow PUDs to streamline purchases, provide greater flexibility, and encourage small and medium-sized businesses to become vendors.

Testimony Against:  None.

Testified:  Judy Spence, Al Aldrich, Dana LeTandre, Snohomish County PUD.