HOUSE BILL REPORT

HB 2771

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.

As Reported by House Committee On:

Capital Budget

Title: An act relating to public hospital district contracts for material and work.

Brief Description: Concerning public hospital district contracts for material and work.

Sponsors: Representatives Bergquist and Johnson.

Brief History:

Committee Activity:

Capital Budget: 1/29/16, 2/2/16 [DP].

Brief Summary of Bill

  • Authorizes Public Hospital Districts to award public works contracts for more than the estimated cost.

HOUSE COMMITTEE ON CAPITAL BUDGET

Majority Report: Do pass. Signed by 9 members: Representatives Tharinger, Chair; Stanford, Vice Chair; DeBolt, Ranking Minority Member; Smith, Assistant Ranking Minority Member; Kilduff, Kochmar, Peterson, Riccelli and Walsh.

Staff: Steve Masse (786-7115).

Background:

Public Hospital Districts (PHDs) are authorized to enter into contracts for materials and labor for construction or repair projects at PHD facilities. For projects over $75,000 the PHDs are required to publish notice for sealed bids. The contract may be awarded to the lowest responsible bidder or to the best bidder. The PHDs cannot award a contract for more than the amount of the estimated cost of the materials and labor.

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Summary of Bill:

The PHDs are authorized to enter into contracts for more than the amount of the estimated cost of materials and labor for projects over $75,000.

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Appropriation: None.

Fiscal Note: Not requested.

Effective Date: The bill takes effect 90 days after adjournment of the session in which the bill is passed.

Staff Summary of Public Testimony:

(In support) This bill will prevent the time and cost to have to rebid a project if the bid is even a little bit over the estimate.

(Opposed) None.

Persons Testifying: Representative Johnson, prime sponsor; Ben Lindekugel, Association of Public Hospital Districts; Bob Maruska, Capital Projects Review Board; Bill Frare, Washington Department of Enterprise Services; and Mike Glenn, Jefferson Healthcare.

Persons Signed In To Testify But Not Testifying: None.