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SB 275: "An Act relating to state procurement practices and procedures; and providing for an effective date."

00SENATE BILL NO. 275 01 "An Act relating to state procurement practices and procedures; and providing 02 for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 36.30.040(b)(4) is amended to read: 05  (4) conditions and procedures for the use of source selection methods 06 authorized by this chapter, including single [SOLE] source procurements, emergency 07 procurements, and small procurements; 08 * Sec. 2. AS 36.30.040(b)(15) is amended to read: 09  (15) a bidder's or offeror's duties under this chapter [AS 36.30.115 10 AND 36.30.210]; and 11 * Sec. 3. AS 36.30.050(a) is amended to read: 12  (a) Except for persons debarred or suspended under AS 36.30.635 - 13 36.30.655, the [THE] commissioner shall establish and maintain current lists of 14 persons who desire to provide supplies, services, professional services, or construction

01 services to the state. 02 * Sec. 4. AS. 36.30.080 is amended by adding a new subsection to read: 03  (f) When the department is acquiring leased space of 5,000 square feet or less, 04 the department may procure the leased space using the procedures for small 05 procurements under AS 36.30.320. 06 * Sec. 5. AS 36.30 is amended by adding a new section to read: 07  Sec. 36.30.083. LEASE EXTENSIONS AUTHORIZED. (a) Notwithstanding 08 any other provision of this chapter, the department, the Board of Regents of the 09 University of Alaska, the legislative council, or the court system may extend, for up 10 to a maximum extension of 10 years, a real property lease that is entered into under 11 this chapter including procedures and regulations adopted under AS 36.30.005(c), 12 36.30.020, and 36.30.030, if a minimum cost savings of 13  (1) 10 percent can be achieved on the rent due under the lease; or 14  (2) five percent can be achieved on the rent due under the lease and the 15 lessor agrees to make modifications of the leased real property to bring the real 16 property into compliance with the requirements of 42 U.S.C. 12101 - 12213 17 (Americans with Disabilities Act of 1990). 18  (b) The cost savings under (a) of this section shall be calculated on the 19 remaining term of the lease and any renewals, including extensions allowed under (a) 20 of this section. 21  (c) The department, the University of Alaska, the court system, and the 22 Legislative Affairs Agency shall submit individually an annual report to the Legislative 23 Budget and Audit Committee detailing the leases extended and the cost savings 24 achieved by that entity under (a) or (b) of this section. The first report is due 25 August 31, 1997, and must cover fiscal year 1997. Subsequent reports are due 26 August 31 of each succeeding year. 27 * Sec. 6. AS 36.30.085(d) is amended to read: 28  (d) If the department, Board of Regents, legislative council, or supreme court 29 intends to enter into or renew a lease-purchase agreement for real property with an 30 annual rent to the department, University of Alaska, legislative council, or 31 supreme court that is anticipated to exceed $500,000, or with total lease payments

01 that exceed $2,500,000 for the full term of the lease-purchase agreement, the 02 department, Board of Regents, legislative council, or supreme court shall provide 03 notice to the legislature. The notice must include the 04  (1) anticipated total construction, acquisition, or other costs of the 05 project; 06  (2) anticipated annual amount of the rental obligation; and 07  (3) total lease payments for the full term of the lease-purchase 08 agreement. 09 * Sec. 7. AS 36.30.085(e) is amended to read: 10  (e) The department, the Board of Regents, the legislative council, or the 11 supreme court may not enter into a lease-purchase agreement to acquire real property 12 with an annual rent to the department, University of Alaska, legislative council, 13 or supreme court that is anticipated to exceed $500,000, or with total lease 14 payments that exceed $2,500,000 for the full term of the lease-purchase 15 agreement, unless the agreement has been approved by the legislature by law. 16 * Sec. 8. AS 36.30.115 is amended to read: 17  Sec. 36.30.115. SUBCONTRACTORS FOR CONSTRUCTION 18 CONTRACTS. (a) Within five working days after the identification of the apparent 19 low bidder for a construction contract, the apparent low bidder shall submit a list of 20 the subcontractors the bidder proposes to use in the performance of the construction 21 contract. The list must include the name and location of the place of business for each 22 subcontractor, [AND] evidence of each [THE] subcontractor's valid Alaska business 23 license, and [. A BIDDER FOR A CONSTRUCTION CONTRACT SHALL ALSO 24 SUBMIT] evidence of each subcontractor's registration under AS 08.18. If a 25 subcontractor on the list did not have a valid Alaska business license and valid 26 certificate of registration under AS 08.18 at the time the bid was opened, the bidder 27 may not use the subcontractor in the performance of the contract, and shall replace the 28 subcontractor with a subcontractor who had a valid Alaska business license and a valid 29 certificate of registration under AS 08.18 at the time the bid was opened. 30  (b) The apparent low [A] bidder for a construction contract may replace 31 a listed subcontractor if the subcontractor

01  (1) fails to comply with AS 08.18; 02  (2) files for bankruptcy or becomes insolvent; 03  (3) fails to execute a contract with the bidder involving performance 04 of the work for which the subcontractor was listed and the bidder acted in good faith; 05  (4) fails to obtain bonding; 06  (5) fails to obtain insurance acceptable to the state; 07  (6) fails to perform the contract with the bidder involving work for 08 which the subcontractor was listed; 09  (7) must be substituted in order for the prime contractor to satisfy 10 required state and federal affirmative action requirements; 11  (8) refuses to agree or abide with the bidder's labor agreement; or 12  (9) is determined by the procurement officer not to be a responsible 13 subcontractor. 14  (c) If a bidder for a construction contract fails to list a subcontractor or lists 15 more than one subcontractor for the same portion of work and the value of that work 16 is in excess of half of one percent of the total bid, the bidder shall be considered to 17 have agreed to perform that portion of work without the use of a subcontractor and to 18 have represented the bidder to be qualified to perform that work. 19  (d) A bidder for a construction contract who attempts to circumvent the 20 requirements of this section by listing as a subcontractor another contractor, who, in 21 turn, sublets the majority of the work required under the contract violates this section. 22  (e) If a construction contract is awarded to a bidder who violates this section, 23 the procurement [PURCHASING] officer may 24  (1) cancel the contract; or 25  (2) after notice and a hearing, assess a penalty on the bidder in an 26 amount that does not exceed 10 percent of the value of the subcontract at issue. 27 * Sec. 9. AS 36.30.130(a) is amended to read: 28  (a) The procurement officer shall give adequate public notice of the invitation 29 to bid at least 21 days before the date for the opening of bids. If the procurement 30 officer determines [A DETERMINATION IS MADE] in writing that a shorter notice 31 period is advantageous [NECESSARY] for a particular bid and adequate

01 competition is anticipated, the 21-day period may be shortened. [THE 02 DETERMINATION SHALL BE MADE BY THE CHIEF PROCUREMENT OFFICER 03 FOR BIDS FOR SUPPLIES, SERVICES, OR PROFESSIONAL SERVICES. THE 04 DETERMINATION SHALL BE MADE BY THE COMMISSIONER OF 05 TRANSPORTATION AND PUBLIC FACILITIES FOR BIDS FOR 06 CONSTRUCTION OR ACQUISITION OF PROPERTY FOR THE STATE 07 EQUIPMENT FLEET.] Notice shall be published in the Alaska Administrative 08 Journal. The time and manner of notice must be in accordance with regulations 09 adopted by the commissioner of administration. When practicable, notice may include 10  (1) publication in a newspaper calculated to reach prospective bidders 11 located in the state; 12  (2) notices posted in public places within the area where the work is 13 to be performed or the material furnished; and 14  (3) notices mailed to all active prospective contractors on the 15 appropriate list maintained under AS 36.30.050 16  (A) if the contractors are located in the state; 17  (B) upon request, if the contractors are not located in the state. 18 * Sec. 10. AS 36.30.170(b) is amended to read: 19  (b) The procurement officer shall award a contract based on solicited bids to 20 the lowest responsive and responsible bidder after an Alaska bidder preference of five 21 percent, an Alaska products preference as described in AS 36.30.322 - 36.30.338, and 22 a recycled products preference under AS 36.30.339 have been applied. In this 23 subsection, "Alaska bidder" means a person who 24  (1) holds a current Alaska business license; 25  (2) submits a bid for goods, services, or construction under the name 26 as appearing on the person's current Alaska business license; 27  (3) has maintained, for a period of six months immediately before 28 the date of the bid, a place of business within the state that regularly provides in 29 the normal course of business the supplies, services, or construction of the general 30 nature solicited by the agency and that is staffed by the bidder or an employee of 31 the bidder [FOR A PERIOD OF SIX MONTHS IMMEDIATELY PRECEDING THE

01 DATE OF THE BID]; 02  (4) is incorporated or qualified to do business under the laws of the 03 state, is a sole proprietorship and the proprietor is a resident of the state, or is a 04 partnership and all partners are residents of the state; and 05  (5) if a joint venture, is composed entirely of ventures that qualify 06 under (1) - (4) of this subsection. 07 * Sec. 11. AS 36.30.200 is amended to read: 08  Sec. 36.30.200. CONDITIONS FOR USE. (a) Except as otherwise provided 09 in this chapter, or unless specifically exempted by law, an agency contract shall be 10 awarded by competitive sealed proposals if it is not awarded by competitive sealed 11 bidding. [CONSTRUCTION MAY ONLY BE PROCURED BY COMPETITIVE 12 SEALED PROPOSALS IF THE CONDITIONS UNDER (c) OF THIS SECTION ARE 13 MET.] 14  (b) The commissioner may provide by regulation that it is either not 15 practicable or not advantageous to the state to procure specified types of supplies, 16 services, or construction by competitive sealed bidding that would otherwise be 17 procured by that method. When the [CHIEF] procurement officer[, OR FOR 18 CONSTRUCTION CONTRACTS OR PROCUREMENTS FOR THE STATE 19 EQUIPMENT FLEET, THE COMMISSIONER OF TRANSPORTATION AND 20 PUBLIC FACILITIES,] determines in writing with particularity that the use of 21 competitive sealed proposals is more [BIDDING IS EITHER NOT PRACTICABLE 22 OR NOT] advantageous to the state than competitive sealed bidding, a contract may 23 be entered into by competitive sealed proposals [IN ACCORDANCE WITH THE 24 REGULATIONS. WHEN IT IS DETERMINED THAT IT IS PRACTICABLE BUT 25 NOT ADVANTAGEOUS TO USE COMPETITIVE SEALED BIDDING, THE CHIEF 26 PROCUREMENT OFFICER OR COMMISSIONER OF TRANSPORTATION AND 27 PUBLIC FACILITIES SHALL SPECIFY WITH PARTICULARITY THE BASIS FOR 28 THE DETERMINATION]. 29  (c) When the commissioner of transportation and public facilities [CHIEF 30 PROCUREMENT OFFICER] determines that it is advantageous to the state, a 31 procurement officer may issue a request for proposals requesting the submission of

01 offers to provide construction in accordance with a design provided by the offeror. 02 The request for proposals shall require that each proposal submitted contain a single 03 price that includes the design/build. 04 * Sec. 12. AS 36.30.210 is repealed and reenacted to read: 05  Sec. 36.30.210. REQUEST FOR PROPOSALS. (a) A request for competitive 06 sealed proposals must contain the date, time, and place for delivering proposals, a 07 specific description of the supplies, construction, services, or professional services to 08 be provided under the contract, and the terms under which the supplies, construction, 09 services, or professional services are to be provided. 10  (b) An offeror for a construction contract shall submit evidence of the offeror's 11 registration under AS 08.18. A request for sealed proposals for a construction contract 12 must require the offeror, no later than five working days after the proposal that is the 13 most advantageous to the state is identified, to list subcontractors the offeror proposes 14 to use in the performance of the construction contract. The list must include the 15 information required under AS 36.30.115(a). The provisions of AS 36.30.115(b) - (e) 16 apply to competitive sealed proposals for construction contracts. 17  (c) A request for proposals must contain that information necessary for an 18 offeror to submit a proposal or contain references to any information that cannot 19 reasonably be included with the request. The request must provide a description of the 20 factors that will be considered by the procurement officer when evaluating the 21 proposals received, including the relative importance of price and other evaluation 22 factors. 23  (d) Notice of a request for proposals shall be given in accordance with 24 procedures under AS 36.30.130. The procurement officer may use additional means 25 considered appropriate to notify prospective offerors of the intent to enter into a 26 contract through competitive sealed proposals. 27  (e) The offeror must have a valid Alaska business license at the time 28 designated, in the request for proposals, for opening of the proposals. 29 * Sec. 13. AS 36.30.230 is amended to read: 30  Sec. 36.30.230. DISCLOSURE OF PROPOSALS. The procurement officer 31 shall open proposals so as to avoid disclosure of contents to competing offerors before

01 notice of intent to award a contract is issued [DURING THE PROCESS OF 02 NEGOTIATION]. A register of proposals containing the name and address of each 03 offeror shall be prepared in accordance with regulations adopted by the commissioner. 04 The register and the proposals are open for public inspection after the notice of intent 05 to award a contract is issued under AS 36.30.365. To the extent that the offeror 06 designates and the procurement officer concurs, trade secrets and other proprietary data 07 contained in the proposal documents are confidential. 08 * Sec. 14. AS 36.30.230 is amended by adding a new subsection to read: 09  (b) If a solicitation is cancelled under AS 36.30.350 after proposals are 10 received but before a notice of intent to award a contract has been issued under 11 AS 36.30.365, a protest of the solicitation or of the cancellation of the solicitation has 12 not been filed by an interested party under AS 36.30.560, and the time specified in 13 AS 36.30.565(a) for filing such a protest has expired, the procurement officer may 14 return a proposal to the offeror that made the proposal. The procurement officer shall 15 keep a list of returned proposals in the file for the solicitation. 16 * Sec. 15. AS 36.30.260 is amended to read: 17  Sec. 36.30.260. CONTRACT EXECUTION. A contract awarded under 18 competitive sealed proposals must contain 19  (1) a statement of the amount of the contract [STATED ON ITS 20 FIRST PAGE]; 21  (2) the date for the supplies to be delivered or the dates for 22 construction, services, or professional services to begin and be completed; 23  (3) a description of the supplies, construction, services, or professional 24 services to be provided; and 25  (4) certification by the project director for the contracting agency, the 26 head of the contracting agency, or a designee that sufficient money is [FUNDS ARE] 27 available in an appropriation to be encumbered for the amount of the contract. 28 * Sec. 16. AS 36.30.300 is repealed and reenacted to read: 29  Sec. 36.30.300 SINGLE SOURCE PROCUREMENTS. (a) A contract may 30 be awarded for supplies, services, professional services, or construction without 31 competitive sealed bidding, competitive sealed proposals, or other competition in

01 accordance with regulations adopted by the commissioner. A contract may be awarded 02 under this section only when the chief procurement officer or, for construction 03 contracts or procurements for the state equipment fleet, the commissioner of 04 transportation and public facilities determines in writing that 05  (1) it is not practicable to award a contract by competitive sealed 06 bidding under AS 36.30.100, competitive sealed proposals under AS 36.30.200, or 07 limited competition under AS 36.30.305; and 08  (2) award of the contract under this section is in the state's best interest. 09  (b) The using agency shall submit written evidence to support a request for a 10 single source procurement. The commissioner of administration or the commissioner 11 of transportation and public facilities, as appropriate, may also require the submission 12 of cost or pricing data in connection with an award under this section. 13  (c) To the extent practicable, the procurement officer shall negotiate with the 14 single source to obtain contract terms advantageous to the state. 15  (d) Procurement requirements may not be aggregated or structured so as to 16 constitute a purchase under this section or to circumvent the source selection 17 procedures required by AS 36.30.100 - 36.30.270. 18 * Sec. 17. AS 36.30.305(a) is amended to read: 19  (a) A contract for supplies, services, professional services, or a construction 20 contract under $100,000, may be awarded without competitive sealed bidding or 21 competitive sealed proposals, in accordance with regulations adopted by the 22 commissioner. A contract may be awarded under this section only when the chief 23 procurement officer or, for construction contracts under $100,000 or procurements for 24 the state equipment fleet, the commissioner of transportation and public facilities, or, 25 for services of legal counsel, the attorney general, determines in writing that a 26 situation exists that makes competitive sealed bidding or competitive sealed proposals 27 impractical or contrary to the public interest. Procurements under this section shall be 28 made with competition that is practicable under the circumstances 29 [CIRCUMSTANCE. EXCEPT FOR PROCUREMENTS OF SUPPLIES, SERVICES, 30 PROFESSIONAL SERVICES, OR CONSTRUCTION THAT DO NOT EXCEED THE 31 AMOUNT FOR SMALL PROCUREMENTS UNDER AS 36.30.320(a) OR (b), AS

01 APPLICABLE, THE AUTHORITY TO MAKE A DETERMINATION REQUIRED 02 BY THIS SECTION MAY NOT BE DELEGATED]. 03 * Sec. 18. AS 36.30.305(d) is amended to read: 04  (d) Single [SOLE] source procurements may not be made under this section. 05 * Sec. 19. AS 36.30 is amended by adding a new section to read: 06  Sec. 36.30.308. INNOVATIVE PROCUREMENTS. (a) A contract may be 07 awarded for supplies, services, professional services, or construction using an 08 innovative procurement process, with or without competitive sealed bidding or 09 competitive sealed proposals, in accordance with regulations adopted by the 10 commissioner. A contract may be awarded under this section only when the chief 11 procurement officer, or, for construction contracts or procurements of the state 12 equipment fleet, the commissioner of transportation and public facilities, determines 13 in writing that it is advantageous to the state to use an innovative competitive 14 procurement process in the procurement of new or unique requirements of the state, 15 new technologies, or to achieve best value. 16  (b) The procurement officer shall submit a procurement plan to the Department 17 of Law for review and approval as to form before issuing the notice required by (c) 18 of this section. 19  (c) A procurement under this section is subject to the requirements of 20 AS 36.30.130. 21  (d) Nothing in this section precludes the adoption of regulations providing for 22 the use of bonuses instead of preferences in a procurement of construction. 23 * Sec. 20. AS 36.30 is amended by adding a new section to read: 24  Sec. 36.30.311. EMPLOYMENT PROGRAM PROCUREMENTS. A 25 procurement of products manufactured or services provided by an employment 26 program of the state may be made without competitive sealed bidding or competitive 27 sealed proposals, in accordance with regulations adopted by the commissioner. 28 * Sec. 21. AS 36.30 is amended by adding a new section to read: 29  Sec. 36.30.313. CORRECTIONAL INDUSTRIES PROCUREMENTS. A 30 procurement of products or services provided by the correctional industries program 31 established under AS 33.32 may be made without competitive sealed bidding or

01 competitive sealed proposals, in accordance with regulations adopted by the 02 commissioner. 03 * Sec. 22. AS 36.30.315 is amended to read: 04  Sec. 36.30.315. FALSE STATEMENTS IN DETERMINATIONS [BY 05 CHIEF PROCUREMENT OFFICER]; CRIMINAL PENALTY. (a) In a 06 determination made by a state official [THE CHIEF PROCUREMENT OFFICER] 07 under AS 36.30.300 - 36.30.310, the state official making the determination [CHIEF 08 PROCUREMENT OFFICER] shall independently examine the material facts of the 09 procurement and independently determine whether the procurement is eligible for the 10 procurement method requested. 11  (b) If a state official [THE CHIEF PROCUREMENT OFFICER] knowingly 12 makes a false statement in a determination made [BY THE CHIEF PROCUREMENT 13 OFFICER] under AS 36.30.300 - 36.30.310, the state official [CHIEF 14 PROCUREMENT OFFICER] is guilty of a class A misdemeanor. 15 * Sec. 23. AS 36.30.320(a) is amended to read: 16  (a) A procurement for supplies, services, or professional services 17 [CONSTRUCTION] that does not exceed an aggregate dollar amount of $50,000, 18 construction that does not exceed an aggregate dollar amount of $100,000, or 19 lease of space that does not exceed 5,000 square feet [$25,000] may be made in 20 accordance with regulations adopted by the commissioner for small procurements. 21 * Sec. 24. AS 36.30 is amended by adding a new section to read: 22  Sec. 36.30.331. DELIVERY OF SUPPLIES. Supplies purchased under this 23 chapter shall be delivered at a location within the state unless the department 24 determines that a point of delivery outside the state would be in the best interest of the 25 state. A bid or proposal involving the procurement of supplies shall specify the 26 delivery location and shall state that the price is the delivered price at that location. 27 * Sec. 25. AS 36.30 is amended by adding a new section to read: 28  Sec. 36.30.333. PROCUREMENT OF PAPER. Except as otherwise required 29 under AS 36.15.050, AS 36.30.322 - 36.30.332, and 36.30.334 - 36.30.338, when a 30 state agency purchases paper, at least 25 percent of the quantity purchased must be 31 recycled paper unless recycled paper is not available for the purchase or unless, after

01 application of the procurement preference under AS 36.30.339, the recycled paper is 02 more expensive than the nonrecycled paper. 03 * Sec. 26. AS 36.30 is amended by adding a new section to read: 04  Sec. 36.30.335. PRODUCT PREFERENCES. This chapter does not modify 05 AS 36.15.010 and 36.15.020 regarding preference for Alaska forest products, or 06 AS 36.15.050 and 36.15.060 regarding preference for Alaska agricultural and fisheries 07 products, except as provided in AS 36.30.170(b), (c), and (e) - (h), and 36.30.339. 08 * Sec. 27. AS 36.30.520(a) is amended to read: 09  (a) The commissioner shall maintain for a minimum of five years a record 10 listing all single [SOLE] source procurement contracts made under AS 36.30.300 and 11 emergency procurements made under AS 36.30.310. The record must contain 12  (1) each contractor's name; 13  (2) the amount and type of each contract; and 14  (3) a listing of the supplies, services, professional services, or 15 construction procured under each contract. 16 * Sec. 28. AS 36.30 is amended by adding a new section to read: 17  Sec. 36.30.522. RECORDS OF INNOVATIVE PROCUREMENTS. The 18 commissioner and the contracting agency shall keep a file for each contract awarded 19 under an innovative procurement process under AS 36.30.308. The file is subject to 20 inspection under the same standards as described in AS 36.30.140(b) and 36.30.230. 21 The file kept by the commissioner must contain a summary of the information in the 22 file of the contracting agency. The file kept by the contracting agency must contain 23  (1) a copy of the contract; 24  (2) the written determination under AS 36.30.308(a); 25  (3) the procurement plan as approved as to form by the Department of 26 Law; 27  (4) the record of notice under AS 36.30.130; and 28  (5) the record of respondents to solicitation. 29 * Sec. 29. AS 36.30 is amended by adding a new section to article 9 to read: 30  Sec. 36.30.550. APPLICABILITY OF PROTEST AND APPEAL 31 PROCEDURES. (a) Except for small procurements made under AS 36.30.320, the

01 provisions of AS 36.30.560 - 36.30.615 apply to a solicitation, a proposed contract 02 award, and a contract for supplies, services, professional services, or construction. 03  (b) The commissioner shall adopt regulations providing for protest and appeal 04 procedures of small procurements made under AS 36.30.320. 05 * Sec. 30. AS 36.30.565(a) is amended to read: 06  (a) A protest based upon alleged improprieties or ambiguities in a 07 solicitation must be filed at least 10 days before the due date of the bid or 08 proposal as stated in the solicitation. A protest based upon alleged improprieties in 09 an award of a contract or a proposed award of a contract must be filed within 10 days 10 after a notice of intent to award the contract is issued by the procurement officer. 11 * Sec. 31. AS 36.30.580(a) is amended to read: 12  (a) The procurement officer of the contracting agency shall issue a written 13 decision containing the basis of the decision within 15 [14] days after a protest has 14 been filed. A copy of the decision shall be furnished to the protester by certified mail 15 or other method that provides evidence of receipt. 16 * Sec. 32. AS 36.30.580(b) is amended to read: 17  (b) The time for a decision may be extended up to 30 [26] days for good cause 18 by the commissioner of administration, or for protests involving construction or 19 procurements for the state equipment fleet, the commissioner of transportation and 20 public facilities. If an extension is granted, the procurement officer shall notify the 21 protester in writing of the date that [OF] the decision is due. 22 * Sec. 33. AS 36.30.585 is amended by adding a new subsection to read: 23  (c) Notwithstanding (a) and (b) of this section, if a protest is sustained in 24 whole or part, the protester's damages are limited to reasonable bid or proposal 25 preparation costs. 26 * Sec. 34. AS 36.30.605(a) is amended to read: 27  (a) The procurement officer of the contracting agency shall file a complete 28 report on the protest and decision with the commissioner of administration or the 29 commissioner of transportation and public facilities, as appropriate, within 10 [SEVEN] 30 days after a protest appeal is filed. The procurement officer shall furnish a copy of the 31 report to the protester and to interested parties that have requested a copy of the appeal

01 under AS 36.30.595(b). 02 * Sec. 35. AS 36.30.605(c) is amended to read: 03  (c) The protester may file comments on the protest report with the 04 commissioner of administration or the commissioner of transportation and public 05 facilities, as appropriate, within 10 [SEVEN] days after the report is received. The 06 protester shall provide copies of the comments to the procurement officer and to 07 interested parties that have requested a copy of the appeal under AS 36.30.595(b). 08 * Sec. 36. AS 36.30.620(a) is amended to read: 09  (a) A contractor shall file a claim concerning a contract awarded under this 10 chapter with the procurement officer. The contractor shall certify that the claim is 11 made in good faith, that the supporting data are accurate and complete to the best of 12 the contractor's knowledge and belief, and that the amount requested accurately 13 reflects the contract adjustment for which the contractor believes the state is liable. 14 A claim under this section must be filed within 30 days after the contractor 15 becomes aware of the basis of the claim or should have known the basis of the 16 claim, whichever is earlier. 17 * Sec. 37. AS 36.30.620 is amended by adding a new subsection to read: 18  (g) This section does not apply to payment disputes governed by 19 AS 37.05.285. 20 * Sec. 38. AS 36.30.655 is amended to read: 21  Sec. 36.30.655. LIST OF PERSONS DEBARRED OR SUSPENDED. The 22 commissioner shall maintain a list of all persons debarred or suspended from 23 consideration for award of contracts. The commissioner shall remove a person 24 debarred or suspended from the lists of contractors under AS 36.30.050 for the 25 period of debarment or suspension. 26 * Sec. 39. AS 36.30.850(b)(23) is amended to read: 27  (23) operation and protection of assets or disposals of equipment 28 and supplies acquired through foreclosure or other legal proceedings relating to [OF] 29 loans issued under AS 03.10; 30 * Sec. 40. AS 36.30.850(b) is amended by adding new paragraphs to read: 31  (34) procurements by the Office of the Governor for lobbying, public

01 relations, or advertising; 02  (35) purchases of livestock by a correctional industries program 03 established under AS 33.32. 04 * Sec. 41. AS 36.30.910 is amended to read: 05  Sec. 36.30.910. PURCHASES THROUGH GENERAL SERVICES 06 ADMINISTRATION. Notwithstanding any other provision of this chapter, [THIS 07 CHAPTER DOES NOT PREVENT] purchasing through the general services 08 administration or from federal supply schedules of the general services 09 administration may be made without competitive sealed bidding, competitive 10 sealed proposals, or other competition, so long as the purchasing is made in 11 accordance with regulations adopted by the commissioner for purchases under 12 this section and as provided by federal law. 13 * Sec. 42. AS 36.30.990 is amended by adding a new paragraph to read: 14  (22) "state official" means a public employee, public officer, or official 15 of an agency. 16 * Sec. 43. Section 3, ch. 59, SLA 1994, is amended to read: 17  Sec. 3. AS 36.30.130(a) is repealed and reenacted to read: 18  (a) The procurement officer shall give adequate public notice of the invitation 19 to bid at least 21 days before the date for the opening of bids. If the procurement 20 officer determines [A DETERMINATION IS MADE] in writing that a shorter notice 21 period is advantageous [NECESSARY] for a particular bid and adequate 22 competition is anticipated, the 21-day period may be shortened. [THE 23 DETERMINATION SHALL BE MADE BY THE CHIEF PROCUREMENT OFFICER 24 FOR BIDS FOR SUPPLIES, SERVICES, OR PROFESSIONAL SERVICES. THE 25 DETERMINATION SHALL BE MADE BY THE COMMISSIONER OF 26 TRANSPORTATION AND PUBLIC FACILITIES FOR BIDS FOR 27 CONSTRUCTION OR ACQUISITION OF PROPERTY FOR THE STATE 28 EQUIPMENT FLEET.] Notice shall be published in the Alaska Administrative 29 Journal. The time and manner of notice must be in accordance with regulations 30 adopted by the commissioner of administration. When practicable, notice may include 31  (1) publication in a newspaper calculated to reach prospective bidders;

01  (2) notices posted in public places within the area where the work is 02 to be performed or the material furnished; and 03  (3) notices mailed to all active prospective contractors on the 04 appropriate list maintained under AS 36.30.050. 05 * Sec. 44. (a) AS 36.30.015(c), 36.30.090, 36.30.095, 36.30.100(b), 36.30.850(b)(14), 06 and 36.30.900 are repealed. 07 (b) AS 36.30.320(b) is repealed. 08 * Sec. 45. REVISOR'S CHANGES. The revisor of statutes is requested to change the 09 heading of article 5 of AS 36.30 from "Article 5. Preference for Alaska Products." to 10 "Article 5. Preferences.". Additionally, the revisor of statutes is requested to renumber 11 AS 36.30.339 to AS 36.30.337, to place that section in article 5 of AS 36.30. 12 * Sec. 46. TRANSITION: REGULATIONS. Notwithstanding secs. 49 - 51 of this Act, 13 the commissioner of administration and the commissioner of transportation and public facilities 14 may proceed to adopt regulations necessary to implement respective changes in law enacted 15 by this Act. The regulations take effect under AS 44.62 (Administrative Procedure Act), but 16 not before the effective date of the change in law in this Act. 17 * Sec. 47. APPLICABILITY. Notwithstanding the changes in law made by this Act, the 18 state agencies may continue to act on or consider a provision of a solicitation, notice of intent 19 to award, or response to solicitation made before the effective date of the relevant change in 20 law enacted by this Act, to the extent that the provision is not inconsistent with a provision 21 of this Act. 22 * Sec. 48. Sections 2 - 9, 11, 15, 20 - 22, 24 - 26, 38 - 40, 42, 44(a), and 45 - 47 of this 23 Act take effect immediately under AS 01.10.070(c). 24 * Sec. 49. Sections 1, 10, 12 - 14, 16 - 19, 23, 27, 28, 30 - 37, 41, and 44(b) of this Act 25 take effect September 30, 1996. 26 * Sec. 50. Section 29 of this Act takes effect January 1, 1997. 27 * Sec. 51. Section 43 of this Act takes effect August 22, 1998.