CSHB 225(FIN)(Corrected): "An Act relating to the State Procurement Code; relating to the procurement of supplies, services, professional services, construction services, state fisheries products, state agricultural products, state timber, and state lumber; relating to procurement preferences; relating to procurement by the office of the ombudsman, the Alaska Industrial Development and Export Authority, the Alaska Energy Authority, and other state agencies and public corporations; and providing for an effective date."
00 CS FOR HOUSE BILL NO. 225(FIN)(Corrected) 01 "An Act relating to the State Procurement Code; relating to the procurement of 02 supplies, services, professional services, construction services, state fisheries products, 03 state agricultural products, state timber, and state lumber; relating to procurement 04 preferences; relating to procurement by the office of the ombudsman, the Alaska 05 Industrial Development and Export Authority, the Alaska Energy Authority, and other 06 state agencies and public corporations; and providing for an effective date." 07 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 08 * Section 1. AS 24.55.275 is amended to read: 09 Sec. 24.55.275. Contract procedures. The ombudsman shall adopt by 10 regulation procedures consistent with AS 36.30 to be followed by the office of the 11 ombudsman in contracting for services. However, the procedure for requests for 12 proposals does not apply to contracts for investigations under AS 24.55.100, and the 13 office of the ombudsman shall comply with the five percent preference for bidders
01 under AS 36.30.321(a) [AS 36.30.170(b)]. 02 * Sec. 2. AS 36.15.050(a) is amended to read: 03 (a) When agricultural products are purchased by the state or by a school 04 district that receives state money, a seven percent preference shall be applied to the 05 price of the products harvested in the state [ONLY AGRICULTURAL 06 PRODUCTS HARVESTED IN THE STATE SHALL BE PURCHASED 07 WHENEVER PRICED NO MORE THAN SEVEN PERCENT ABOVE PRODUCTS 08 HARVESTED OUTSIDE THE STATE, AVAILABLE, AND OF LIKE QUALITY 09 COMPARED WITH AGRICULTURAL PRODUCTS HARVESTED OUTSIDE 10 THE STATE]. 11 * Sec. 3. AS 36.15.050(b) is amended to read: 12 (b) When fisheries products are purchased by the state or by a school district 13 that receives state money, a seven percent preference shall be applied to the price 14 of the products harvested or processed within the jurisdiction of the state [ONLY 15 FISHERIES PRODUCTS HARVESTED OR PROCESSED WITHIN THE 16 JURISDICTION OF THE STATE SHALL BE PURCHASED WHENEVER PRICED 17 NO MORE THAN SEVEN PERCENT ABOVE PRODUCTS HARVESTED OR 18 PROCESSED OUTSIDE THE JURISDICTION OF THE STATE, AVAILABLE, 19 AND OF LIKE QUALITY COMPARED WITH FISHERIES PRODUCTS 20 HARVESTED OR PROCESSED OUTSIDE THE JURISDICTION OF THE 21 STATE]. 22 * Sec. 4. AS 36.15.050 is amended by adding a new subsection to read: 23 (h) A bidder receiving a preference under this section may not receive a 24 preference under AS 36.30.322. 25 * Sec. 5. AS 36.30.015(e) is amended to read: 26 (e) The board of directors of the Alaska Railroad Corporation and the board of 27 directors of the Alaska Aerospace Corporation shall adopt procedures to govern the 28 procurement of supplies, services, professional services, and construction. The 29 procedures must be substantially equivalent to the procedures prescribed in this 30 chapter and in regulations adopted under this chapter. Notwithstanding the other 31 provisions of this subsection, the Alaska Railroad Corporation and the Alaska
01 Aerospace Corporation shall apply the five percent preference for bidders under 02 AS 36.30.321(a) [COMPLY WITH AS 36.30.170(b)], and, when the Department of 03 Transportation and Public Facilities authorizes the Alaska Railroad Corporation to 04 perform construction work instead of the Department of Transportation and Public 05 Facilities, the Alaska Railroad Corporation shall use competitive sealed bidding or 06 competitive sealed proposals under AS 36.30.100 - 36.30.270 to procure the supplies, 07 services, professional services, and construction services necessary for the work and, 08 to ensure the state obtains the lowest cost for the project, may submit a bid or proposal 09 for the work. 10 * Sec. 6. AS 36.30.015(f) is amended to read: 11 (f) The board of directors of the Alaska Housing Finance Corporation, 12 notwithstanding AS 18.56.088, members of the Alaska Industrial Development and 13 Export Authority, [AND] the board of directors of the Knik Arm Bridge and Toll 14 Authority under AS 19.75.111, and the board of directors of the Alaska Energy 15 Authority under AS 44.83.080 shall adopt regulations under AS 44.62 16 (Administrative Procedure Act) and the board of trustees of the Alaska Retirement 17 Management Board shall adopt regulations under AS 37.10.240 to govern the 18 procurement of supplies, services, professional services, and construction for the 19 respective public corporation and board. The regulations must reflect competitive 20 bidding principles and provide vendors reasonable and equitable opportunities to 21 participate in the procurement process and must include procurement methods to meet 22 emergency and extraordinary circumstances. Notwithstanding the other provisions of 23 this subsection, the Alaska Housing Finance Corporation, the Alaska Industrial 24 Development and Export Authority, the Knik Arm Bridge and Toll Authority, the 25 Alaska Energy Authority, and the Alaska Retirement Management Board shall 26 comply with the five percent preference for bidders under AS 36.30.321(a) 27 [AS 36.30.170(b)]. 28 * Sec. 7. AS 36.30.015(h) is amended to read: 29 (h) The board of directors of the Alaska Seafood Marketing Institute shall 30 adopt procedures to govern the procurement of supplies, services, and professional 31 services. The procedures must be similar to the procedures prescribed in this chapter
01 and in regulations adopted under this chapter, except that the Alaska Seafood 02 Marketing Institute shall comply with the five percent preference for bidders under 03 AS 36.30.321(a) [AS 36.30.170(b)]. 04 * Sec. 8. AS 36.30.020 is amended to read: 05 Sec. 36.30.020. Legislature. The legislative council shall adopt and publish 06 procedures to govern the procurement of supplies, services, professional services, and 07 construction by the legislative branch. The procedures must be based on the 08 competitive principles consistent with this chapter and must be adapted to the special 09 needs of the legislative branch as determined by the legislative council. The 10 procedures must contain provisions for prohibiting procurement from a person that has 11 headquarters in a country listed in Tier 3 of the most recent Trafficking in Persons 12 Report published by the United States Secretary of State under 22 U.S.C. 13 7107(b)(1)(C). The procedures may contain provisions for restricting procurement 14 from a person that conducts business in but does not have headquarters in a country 15 listed in Tier 3 of the most recent Trafficking in Persons Report published by the 16 United States Secretary of State under 22 U.S.C. 7107(b)(1)(C). The procedures must 17 be consistent with the provisions of AS 36.30.080(c) - (e) and 36.30.085. 18 Notwithstanding the other provisions of this section, the legislative agencies subject to 19 the legislative council's regulations shall comply with the five percent preference for 20 bidders under AS 36.30.321(a) [AS 36.30.170(b)]. 21 * Sec. 9. AS 36.30.030 is amended to read: 22 Sec. 36.30.030. Court system. The administrative director of courts shall 23 adopt and publish procedures to govern the procurement of supplies, services, 24 professional services, and construction by the judicial branch. The procedures must be 25 based on the competitive principles consistent with this chapter and must be adapted to 26 the special needs of the judicial branch as determined by the administrative director of 27 courts. The procedures must contain provisions for prohibiting procurement from a 28 person that has headquarters in a country listed in Tier 3 of the most recent Trafficking 29 in Persons Report published by the United States Secretary of State under 22 U.S.C. 30 7107(b)(1)(C). The procedures may contain provisions for restricting procurement 31 from a person that conducts business in but does not have headquarters in a country
01 listed in Tier 3 of the most recent Trafficking in Persons Report published by the 02 United States Secretary of State under 22 U.S.C. 7107(b)(1)(C). The procedures must 03 be consistent with the provisions of AS 36.30.080(c) - (e) and 36.30.085. 04 Notwithstanding the other provisions of this section, the judicial branch shall comply 05 with the five percent preference for bidders under AS 36.30.321(a) 06 [AS 36.30.170(b)]. 07 * Sec. 10. AS 36.30.080(f) is amended to read: 08 (f) When the department is acquiring leased space of 7,000 [3,000] square feet 09 or less, the department may procure the leased space using the procedures for small 10 procurements under AS 36.30.320, providing public notice is given to prospective 11 offerors in the market area. 12 * Sec. 11. AS 36.30.110(b) is amended to read: 13 (b) The bidder shall [MUST] have a valid Alaska business license at the time 14 designated in the invitation to bid for bid opening in order to qualify as an Alaska 15 bidder and to receive a preference under AS 36.30.321. If a bidder does not have 16 a valid Alaska business license at the time designated in the invitation to bid for 17 bid opening, the bidder shall provide proof that the bidder has a valid Alaska 18 business license before the contract may be awarded, but does not qualify for a 19 preference under AS 36.30.321. A bidder for a construction contract shall also 20 submit proof [EVIDENCE] of the bidder's registration under AS 08.18 before the 21 contract may be awarded. 22 * Sec. 12. AS 36.30.130(a) is amended to read: 23 (a) The procurement officer shall give adequate public notice of the invitation 24 to bid at least 21 days before the date for the opening of bids. If the procurement 25 officer determines in writing that a shorter notice period is advantageous for a 26 particular bid and adequate competition is anticipated, the 21-day period may be 27 shortened. Notice shall be posted on the Alaska Online Public Notice System 28 (AS 44.62.175). The time and manner of notice must be in accordance with 29 regulations adopted by the commissioner of administration. When practicable, notice 30 may include 31 (1) publication in a newspaper calculated to reach prospective bidders;
01 and 02 (2) notices posted in public places within the area where the work is to 03 be performed or the material furnished [; AND 04 (3) NOTICES MAILED TO ALL ACTIVE PROSPECTIVE 05 CONTRACTORS ON THE APPROPRIATE LIST MAINTAINED UNDER 06 AS 36.30.050]. 07 * Sec. 13. AS 36.30.170 is repealed and reenacted to read: 08 Sec. 36.30.170. Contract award after bids. After applying any preferences 09 that apply under AS 36.15.050 and AS 36.30.321 - 36.30.338, a procurement officer 10 shall award a contract based on the solicited bids with reasonable promptness by 11 written notice to the lowest responsible and responsive bidder whose bid conforms in 12 all material respects to the requirements and criteria set out in the invitation to bid. 13 * Sec. 14. AS 36.30 is amended by adding a new section to article 2 to read: 14 Sec. 36.30.195. Multi-step revised sealed bidding. (a) As provided in an 15 invitation to bid and as conducted by a procurement officer under regulations adopted 16 by the commissioner, a multi-step process that begins with an initial round of 17 competitive sealed bidding may, when approved by the chief procurement officer, 18 include successive steps of sealed bidding to obtain the best and final bid price from 19 responsible bidders for the purpose of award. 20 (b) The provisions of (a) of this section do not apply to a procurement for a 21 construction contract. 22 * Sec. 15. AS 36.30.200(b) is amended to read: 23 (b) The commissioner may provide by regulation that it is either not 24 practicable or not advantageous to the state to procure [SPECIFIED TYPES OF] 25 supplies, services, or construction by competitive sealed bidding that would otherwise 26 be procured by that method. When the procurement officer determines in writing with 27 particularity that the use of competitive sealed proposals is more advantageous to the 28 state than competitive sealed bidding, a contract may be entered into by competitive 29 sealed proposals. 30 * Sec. 16. AS 36.30.210(b) is amended to read: 31 (b) An offeror for a construction contract shall submit proof [EVIDENCE] of
01 the offeror's registration as a contractor under AS 08.18 before the contract may be 02 awarded. A request for sealed proposals for a construction contract, except a design- 03 build construction contract, must require the offeror, no later than five working days 04 after the proposal that is the most advantageous to the state is identified, to list 05 subcontractors the offeror proposes to use in the performance of the construction 06 contract. The list must include the information required under AS 36.30.115(a). The 07 provisions of AS 36.30.115(b) - (g) that apply to a construction contractor or an 08 apparent low bidder apply to offerors submitting competitive sealed proposals for 09 construction contracts, except design-build construction contracts. 10 * Sec. 17. AS 36.30.210(e) is amended to read: 11 (e) The offeror shall [MUST] have a valid Alaska business license at the time 12 designated[,] in the request for proposals[,] for opening of the proposals in order to 13 qualify as an Alaska bidder and to receive a preference under AS 36.30.321. If an 14 offeror does not have a valid Alaska business license at the time designated in the 15 request for proposals for proposal opening, the offeror shall provide proof that 16 the offeror has a valid Alaska business license before the contract may be 17 awarded, but does not qualify for a preference under AS 36.30.321. 18 * Sec. 18. AS 36.30 is amended by adding a new section to read: 19 Sec. 36.30.245. Multiple submissions and negotiations. (a) In a procurement 20 that uses competitive sealed proposals, in order to obtain the best proposal for 21 purposes of award, an agency may require more than one submission of proposals and 22 may negotiate after each submission with the offerors whose proposals from that 23 submission are reasonably susceptible of being selected for award. The negotiations 24 conducted under this section may cover price, specifications, terms, or conditions or a 25 combination of these items, and these items may be negotiated separately or in any 26 combination. The submissions and negotiations allowed under this section are in 27 addition to any discussions and revisions allowed under AS 36.30.240. The 28 requirements for submissions and negotiations under this section shall be established 29 by the department by regulation and in the request for proposals. 30 (b) The provisions of (a) of this section do not apply to a procurement for a 31 construction contract.
01 * Sec. 19. AS 36.30.250(a) is amended to read: 02 (a) The procurement officer shall award a contract under competitive sealed 03 proposals to the responsible and responsive offeror whose proposal is determined in 04 writing to be the most advantageous to the state taking into consideration price and the 05 evaluation factors set out in the request for proposals. Except as provided by 06 AS 36.30.255 and 36.30.336, other [OTHER] factors and criteria may not be used in 07 the evaluation. The contract file must contain the basis on which the award is made. 08 * Sec. 20. AS 36.30 is amended by adding a new section to read: 09 Sec. 36.30.255. Preferences applied to competitive sealed proposals. When 10 determining which proposal is most advantageous to the state under a competitive 11 sealed proposal solicitation, the procurement officer shall apply the preferences 12 provided in AS 36.15.050 and AS 36.30.321 - 36.30.338, but may not apply other 13 preferences. The preferences shall be applied only to the price portion of a proposal. 14 * Sec. 21. AS 36.30 is amended by adding a new section to article 4 to read: 15 Sec. 36.30.290. Electronic bids. An agency may allow bids or proposals to be 16 submitted in electronic form under AS 09.80.010 - 09.80.195 (Uniform Electronic 17 Transactions Act). 18 * Sec. 22. AS 36.30.310 is amended to read: 19 Sec. 36.30.310. Emergency procurements. Procurements may be made under 20 emergency conditions as defined in regulations adopted by the commissioner of 21 administration when there exists a threat to public health, welfare, or safety, when a 22 situation exists that makes a procurement through competitive sealed bidding or 23 competitive sealed proposals impracticable or contrary to the public interest, or to 24 protect public or private property. An emergency procurement need not be made 25 through competitive sealed bidding or competitive sealed proposals but shall be made 26 with competition that is practicable under the circumstances. A written determination 27 by the chief procurement officer or, for construction contracts or procurements of 28 the state equipment fleet, the commissioner of transportation and public facilities 29 of the basis for the emergency and for the selection of the particular contractor shall be 30 included in the contract file. The written determination must include findings of fact 31 that support the determination. Except when there is insufficient time for the chief
01 procurement officer or the commissioner of transportation and public facilities, as 02 appropriate, to make the written determination required by this section, the authority 03 to make the determination [CHIEF PROCUREMENT OFFICER] may not be 04 delegated [DELEGATE THE AUTHORITY TO MAKE THE DETERMINATION]. 05 * Sec. 23. AS 36.30.320(a) is amended to read: 06 (a) A procurement for supplies, services, or professional services that does not 07 exceed an aggregate dollar amount of $100,000 [$50,000], construction that does not 08 exceed an aggregate dollar amount of $200,000 [$100,000], or lease of space that does 09 not exceed 7,000 [3,000] square feet shall [MAY] be made under [IN 10 ACCORDANCE WITH] regulations adopted by the commissioner for small 11 procurements. 12 * Sec. 24. AS 36.30 is amended by adding a new section to article 5 to read: 13 Sec. 36.30.321. Alaska bidder and related preferences. (a) If the bidder or 14 offeror is an Alaska bidder, a preference of five percent shall be applied to the price in 15 the bid or proposal. 16 (b) Except as otherwise provided under (d), (e), or (g) of this section, if a 17 bidder or offeror qualifies as an Alaska bidder and is offering services through an 18 employment program, a 15 percent preference shall be applied to the price in the bid 19 or proposal. 20 (c) If a bidder or offeror qualifies as an Alaska bidder and is an Alaska 21 domestic insurer, and if the procurement is for an insurance-related contract, a five 22 percent preference shall be applied to the price in the bid or proposal. 23 (d) A 10 percent preference shall be applied to a price in a bid or proposal if 24 the bidder or offeror qualifies as an Alaska bidder and is a 25 (1) sole proprietorship owned by a person with a disability; 26 (2) partnership under AS 32.06, or AS 32.11 if each of the partners is a 27 person with a disability; 28 (3) limited liability company organized under AS 10.50 if each of the 29 members is a person with a disability; 30 (4) corporation that is wholly owned by individuals and each of the 31 individuals is a person with a disability; or
01 (5) a joint venture that is composed of ventures that qualify under (1) - 02 (4) of this subsection. 03 (e) The division of vocational rehabilitation in the Department of Labor and 04 Workforce Development shall add to its current list of qualified employment programs 05 a list of individuals who qualify as persons with a disability under (d) of this section. 06 A person must be on this list at the time the bid or proposal is opened in order to 07 qualify for a preference under (d) of this section. 08 (f) If a bidder or offeror qualifies as an Alaska bidder and is a qualifying 09 entity, a five percent preference shall be applied to the price in the bid or proposal. 10 The preference may not exceed $5,000. In this subsection, 11 (1) "Alaska veteran" means an individual who is both a resident of the 12 state and a veteran; 13 (2) "qualifying entity" means a 14 (A) sole proprietorship owned by an Alaska veteran; 15 (B) partnership under AS 32.06 or AS 32.11 if a majority of the 16 partners are Alaska veterans; 17 (C) limited liability company organized under AS 10.50 if a 18 majority of the members are Alaska veterans; or 19 (D) corporation that is wholly owned by individuals and a 20 majority of the individuals are Alaska veterans; 21 (3) "veteran" means an individual who 22 (A) served in the 23 (i) armed forces of the United States, including a 24 reserve unit of the United States armed forces; or 25 (ii) Alaska Territorial Guard, the Alaska Army National 26 Guard, the Alaska Air National Guard, or the Alaska Naval Militia; and 27 (B) was separated from service under a condition that was not 28 dishonorable. 29 (g) A bidder or offeror may not receive a preference under both (b) and (d) of 30 this section for the same contract. 31 (h) Except as provided by (j) of this section, this section applies to all
01 insurance contracts involving state money. In this subsection, "state money" has the 02 meaning given in AS 36.30.990, but also includes state grants and reimbursements to 03 municipalities, school districts, and other entities. 04 (i) In order to qualify for a preference under (b), (d), or (f) of this section, a 05 bidder or offeror must add value by actually performing, controlling, managing, and 06 supervising the services provided, or the bidder or offeror must have sold supplies of 07 the general nature solicited to other state agencies, governments, or the general public. 08 (j) This section does not apply to solicitations or contracts for lease space 09 under AS 36.30.080, to procurements under AS 36.30.305 - 36.30.310, or, except as 10 provided otherwise by regulation under AS 36.30.320, to small procurements under 11 AS 36.30.320. 12 (k) In this section, "person with a disability" means an individual who 13 (1) has been determined to be permanently disabled by the 14 (A) United States Social Security Administration under 42 15 U.S.C. 1381 - 1385 (Social Security Act) or 42 U.S.C. 423 (Social Security 16 Act); 17 (B) the teachers' retirement system under AS 14.25, the judicial 18 retirement system under AS 22.25, the public employees' retirement system 19 under AS 39.35, or the elected public officers' retirement system under former 20 AS 39.37; 21 (C) federal civil service retirement system under 5 U.S.C. 22 2107, 3323, and 8331 - 8351; 23 (D) federal employees' retirement system under 5 U.S.C. 8401 24 - 8479; or 25 (E) division of vocational rehabilitation in the Department of 26 Labor and Workforce Development using disability standards under 42 U.S.C. 27 1381 - 1385 (Social Security Act) for eligibility for certain state disability 28 program purposes; 29 (2) is receiving permanent total disability under AS 23.30 (Alaska 30 Workers' Compensation Act); 31 (3) has been discharged from military service under honorable
01 conditions and is certified by the United States Department of Veterans Affairs as 02 having incurred a 50 percent or greater disability during military service; or 03 (4) has served in the Alaska Territorial Guard and incurred a 50 04 percent or greater disability while serving in the Alaska Territorial Guard. 05 * Sec. 25. AS 36.30.322(a) is amended to read: 06 (a) Only timber, lumber, and manufactured lumber products originating in this 07 state from Alaska forests may be procured by an agency or used in construction 08 projects of an agency unless the manufacturers and suppliers who have notified the 09 commissioner of commerce, community, and economic development of their 10 willingness to manufacture or supply Alaska forest products 11 (1) have been given reasonable notice of the forest product needs of 12 the procurement or project; and 13 (2) are not the low bidder after all applicable preferences have 14 been applied to the price of the qualifying forest product under AS 36.30.336 15 [ARE UNABLE TO SUPPLY THE PRODUCTS AT A COST THAT IS WITHIN 16 SEVEN PERCENT OF THE PRICE OFFERED BY A MANUFACTURER OR 17 SUPPLIER OF NON-ALASKA FOREST PRODUCTS]. 18 * Sec. 26. AS 36.30.336 is repealed and reenacted to read: 19 Sec. 36.30.336. Application of preferences. (a) Except as provided in 20 AS 36.15.050(h) and AS 36.30.321(g), the preferences provided in AS 36.15.050 and 21 AS 36.30.321 - 36.30.338 are cumulative. A bidder who would otherwise qualify for 22 preferences under AS 36.30.321 may not be given a preference over another bidder 23 who qualifies for the same preferences. 24 (b) Notwithstanding the other provisions of this chapter, AS 36.30.321 - 25 36.30.338 apply to all procurements subject to this chapter, except as provided in 26 AS 36.15.050 and AS 36.30.322(b). 27 * Sec. 27. AS 36.30 is amended by adding a new section to read: 28 Sec. 36.30.364. Renegotiation. (a) The chief procurement officer may 29 renegotiate the terms and conditions, including the contract period of performance and 30 price, of a contract without using an additional competitive process, and may amend 31 the contract if the procurement officer determines that
01 (1) the amendment is in the best interest of the state; 02 (2) the renegotiated contract is at least as favorable to the state as the 03 original contract; and 04 (3) the additional period of performance of the renegotiated contract 05 does not exceed five years, or, if an innovative procurement process under 06 AS 36.30.308 was used to procure the original contract, does not exceed the approval 07 under AS 36.30.308(b). 08 (b) The chief procurement officer, under regulations adopted by the 09 commissioner, may delegate the authority to make the determination under (a) of this 10 section to a state procurement officer. 11 (c) This section does not apply to lease extensions under AS 36.30.083. 12 * Sec. 28. AS 36.30.560 is amended to read: 13 Sec. 36.30.560. Filing of a protest. An interested party may protest the award 14 of a contract, the proposed award of a contract, or a solicitation for supplies, services, 15 professional services, or construction by an agency. The protest shall be filed with the 16 procurement officer of the contracting agency in writing within the time period 17 provided in AS 36.30.565, and include the following information: 18 (1) the name, address, and telephone number of the protester; 19 (2) the signature of the protester or the protester's representative; 20 (3) identification of the contracting agency and the solicitation or 21 contract at issue; 22 (4) a detailed statement of the legal and factual grounds of the protest, 23 including copies of relevant documents; [AND] 24 (5) the form of relief requested; and 25 (6) the protest filing fee required under AS 36.30.567. 26 * Sec. 29. AS 36.30.565(b) is amended to read: 27 (b) If the protester shows good cause why the protestor did not file a protest 28 by the deadline established under (a) of this section, the procurement officer of the 29 contracting agency may consider a filed protest that is not timely. 30 * Sec. 30. AS 36.30 is amended by adding a new section to read: 31 Sec. 36.30.567. Protest filing fee. To file a protest under AS 36.30.560, the
01 protester shall pay a $250 filing fee to the agency that conducted the procurement. The 02 filing fee shall be refunded if the protest is sustained by the procurement officer under 03 AS 36.30.585 or if the protest is withdrawn by the protester before an appeal is filed 04 under AS 36.30.590. 05 * Sec. 31. AS 36.30 is amended by adding a new section to read: 06 Sec. 36.30.572. Temporary delay of award. (a) If a protest of a proposed 07 award of a contract is filed timely under AS 36.30.565, the procurement officer may 08 temporarily delay the award of the contract in order to make a decision under 09 AS 36.30.580, extend the time for making the decision under AS 36.30.580, or address 10 other circumstances that warrant temporarily delaying the award. 11 (b) Notice of a temporary delay of a contract award under (a) of this section 12 shall be provided in writing to the protester and all other interested parties. The written 13 notice must indicate when the temporary delay of the award will expire. 14 (c) A temporary delay of a contract award under this section does not 15 constitute a stay of award under AS 36.30.575. 16 * Sec. 32. AS 36.30.655 is amended to read: 17 Sec. 36.30.655. List of persons debarred or suspended; removal from 18 contractor lists. The commissioner shall maintain a list of all persons debarred or 19 suspended from consideration for the award of contracts. [THE COMMISSIONER 20 SHALL REMOVE A PERSON DEBARRED OR SUSPENDED FROM THE LISTS 21 OF CONTRACTORS UNDER AS 36.30.050 FOR THE PERIOD OF DEBARMENT 22 OR SUSPENSION.] 23 * Sec. 33. AS 36.30.700 is amended to read: 24 Sec. 36.30.700. Cooperative purchasing authorized. A public procurement 25 unit may [EITHER] participate in, sponsor, conduct, or administer a cooperative 26 purchasing agreement for the procurement of supplies, services, professional services, 27 or construction with one or more public procurement units or external procurement 28 activities in accordance with an agreement entered into between the participants. 29 Cooperative purchasing may include joint or multi-party contracts between public 30 procurement units and open-ended state public procurement units contracts that are 31 made available to local public procurement units. A state public procurement unit
01 may use or participate in a contract procured by another public procurement 02 unit or external procurement activity without being named in the solicitation for 03 the contract. 04 * Sec. 34. AS 36.30.700 is amended by adding a new subsection to read: 05 (b) When, under AS 36.30.700 - 36.30.790, a state public procurement unit 06 participates with a public procurement unit or external procurement activity in 07 cooperative purchasing or participates in a contract procured by an external 08 procurement activity, the state public procurement unit is considered to have complied 09 with AS 36.30.005 - 36.30.540, and AS 36.15 and AS 36.30.321 - 36.30.338 do not 10 apply. 11 * Sec. 35. AS 36.30.850(b) is amended by adding new paragraphs to read: 12 (48) contracts for lease space for an agency's offices that are located in 13 other states, the District of Columbia, or foreign countries; 14 (49) contracts for investigative services entered into by the department 15 for the state personnel board established under AS 39.25.030, the office of public 16 advocacy created under AS 44.21.400, or the Alaska Public Offices Commission 17 created under AS 15.13.020; 18 (50) purchases of commodities used in the manufacture of products 19 sold through an employment program of prison inmates subject to AS 23.15.580; 20 (51) contracts for training services provided by a professional 21 organization. 22 * Sec. 36. AS 36.30.990(1) is amended to read: 23 (1) "agency" 24 (A) means a department, institution, board, commission, 25 division, authority, public corporation, the Alaska Pioneers' Home, the Alaska 26 Veterans' Home, or other administrative unit of the executive branch of state 27 government; 28 (B) does not include 29 (i) the University of Alaska; 30 (ii) the Alaska Railroad Corporation; 31 (iii) the Alaska Housing Finance Corporation;
01 (iv) a regional Native housing authority created under 02 AS 18.55.996 or a regional electrical authority created under 03 AS 18.57.020; 04 (v) the Department of Transportation and Public 05 Facilities, in regard to the repair, maintenance, and reconstruction of 06 vessels, docking facilities, and passenger and vehicle transfer facilities 07 of the Alaska marine highway system; 08 (vi) the Alaska Aerospace Corporation; 09 (vii) the Alaska Retirement Management Board; 10 (viii) the Alaska Seafood Marketing Institute; 11 (ix) the Alaska Industrial Development and Export 12 Authority; 13 (x) the Alaska Energy Authority; 14 * Sec. 37. AS 36.30.990 is amended by adding new paragraphs to read: 15 (25) "Alaska bidder" means a person who 16 (A) holds a current Alaska business license; 17 (B) submits a bid or proposal for goods, services, or 18 construction under the name as appearing on the person's current Alaska 19 business license; 20 (C) has maintained a place of business within the state staffed 21 by the bidder or offeror or an employee of the bidder or offeror for a period of 22 six months immediately preceding the date of the bid or proposal; 23 (D) is incorporated or qualified to do business under the laws 24 of the state, is a sole proprietorship and the proprietor is a resident of the state, 25 is a limited liability company organized under AS 10.50 and all members are 26 residents of the state, or is a partnership under former AS 32.05, AS 32.06, or 27 AS 32.11 and all partners are residents of the state; and 28 (E) if a joint venture, is composed entirely of ventures that 29 qualify under (A) - (D) of this subsection; 30 (26) "in writing" has the meaning given to "written" in this section; 31 (27) "signature" means a manual identifier or electronic signature
01 attached to or logically associated with a record that is intended by the person using it 02 to have the same force and effect as a manual signature; in this paragraph, "electronic 03 signature" has the meaning given in AS 09.80.190; 04 (28) "written" means the product of forming characters on paper, other 05 materials, or viewable screens, that can be read, retrieved, and reproduced, including 06 information that is electronically transmitted and stored. 07 * Sec. 38. AS 36.90.049(a) is amended to read: 08 (a) A marine vessel owned by the state shall be maintained and repaired at a 09 shipyard facility located in the state unless the commissioner of the department that 10 operates the marine vessel determines in writing that there is no shipyard facility 11 located in the state that is equipped or qualified to perform the particular maintenance 12 or repair required, or, after taking into consideration the five percent Alaska bidder 13 preference for bidders under AS 36.30.321(a) [SET OUT IN AS 36.30.170] and the 14 interport differential, that the proposed cost of the maintenance or repair work is 15 unreasonable. A detailed list of the costs and factors considered in calculating the 16 interport differential must be provided to each person who expresses an interest in 17 submitting a bid to perform maintenance or repair work on a marine vessel owned by 18 the state. 19 * Sec. 39. AS 38.35.017(a) is amended to read: 20 (a) Consistent with and in furtherance of the statements of general state policy 21 guiding resource development set out in art. VIII, sec. 1, Constitution of the State of 22 Alaska, that the resources of the state be developed "by making them available for 23 maximum use consistent with the public interest" and in art. VIII, sec. 2, Constitution 24 of the State of Alaska, directing that provision shall be made by the legislature for "the 25 utilization, development, and conservation of all natural resources belonging to the 26 State . . . for the maximum benefit of its people," and consistent with and in 27 furtherance of the general legislative declaration of policy for this chapter set out in 28 AS 38.35.010, it is the policy of this state that the overall strategy for development, 29 use, and control of a pipeline or pipelines to develop the state's substantial North Slope 30 natural gas resources be directed 31 (1) to enhance the standard of living of state residents by
01 (A) ensuring that, in conjunction with out-of-state market 02 driven commercial demand for North Slope natural gas, state residents and 03 businesses will have access, directly or indirectly, to that portion of the gas that 04 will meet the reasonably foreseeable in-state demands for it, including 05 substitution of the North Slope natural gas for depleting gas reserves in 06 Southcentral Alaska in order to maintain a vital domestic and industrial energy 07 source, and ensuring that the pipeline or pipelines for the transportation of 08 North Slope natural gas will be designed and located to be responsive to these 09 requirements; 10 (B) making the maximum contribution to the development of 11 job opportunities in this state by 12 (i) providing direct short-term construction and long- 13 term operation- and maintenance-related employment on the pipeline or 14 pipelines, to the end that the resources be developed with qualified 15 contractors and firms in this state for work to be performed, including 16 the fabrication and installation of required facilities, and that state 17 residents be employed, consistent with law; for purposes of this sub- 18 subparagraph, a person is considered a resident if the person is 19 physically present in the state with the intent to remain in the state 20 indefinitely and has a home in the state, and a contractor or firm is 21 considered as qualified if the contractor or firm qualifies as an Alaska 22 bidder; in this sub-subparagraph, "Alaska bidder" has the meaning 23 given in AS 36.30.990 [UNDER AS 36.30.170(b)]; and 24 (ii) providing necessary support services; and 25 (C) adding significant long-term property value to the tax base 26 of the state and local governments, thereby providing the means to support 27 public education, public health, transportation, and other essential state and 28 local government projects and services; 29 (2) to ensure that the design, location, and construction of a pipeline or 30 pipelines for delivery of North Slope natural gas to North American markets through 31 connection to the North American natural gas pipeline network enhance opportunities
01 for implementing gas deliveries using alternative technologies and the construction of 02 other pipelines to deliver North Slope natural gas to foreign and domestic markets; and 03 (3) to ensure construction of the pipeline or pipelines consistent with 04 careful protection of the state's natural environment, with minimum environmental 05 degradation, to the greatest extent possible, and with protection of fish, wildlife, and 06 biotic resources for the use of persons who depend upon them by using available 07 transportation infrastructure to initiate and complete project construction and 08 maintenance and by avoiding duplication of facilities. 09 * Sec. 40. AS 44.62.310(d) is amended to read: 10 (d) This section does not apply to 11 (1) a governmental body performing a judicial or quasi-judicial 12 function when holding a meeting solely to make a decision in an adjudicatory 13 proceeding; 14 (2) juries; 15 (3) parole or pardon boards; 16 (4) meetings of a hospital medical staff; 17 (5) meetings of the governmental body or any committee of a hospital 18 when holding a meeting solely to act upon matters of professional qualifications, 19 privileges, or discipline; 20 (6) staff meetings or other gatherings of the employees of a public 21 entity, including meetings of an employee group established by policy of the Board of 22 Regents of the University of Alaska or held while acting in an advisory capacity to the 23 Board of Regents; 24 (7) meetings held for the purpose of participating in or attending a 25 gathering of a national, state, or regional organization of which the public entity, 26 governmental body, or member of the governmental body is a member, but only if no 27 action is taken and no business of the governmental body is conducted at the meetings; 28 [OR] 29 (8) meetings of municipal service area boards established under 30 AS 29.35.450 - 29.35.490 when meeting solely to act on matters that are 31 administrative or managerial in nature; or
01 (9) meetings with offerors in negotiations for state procurement 02 under AS 36.30.245, or meetings to renegotiate a contract under AS 36.30.364. 03 * Sec. 41. AS 44.88.085(a) is amended to read: 04 (a) Except for AS 44.62.310 and 44.62.312 regarding public meetings and 05 AS 36.30.015(f) regarding procurement, the provisions of the Administrative 06 Procedure Act regarding the adoption of regulations (AS 44.62.040 - 44.62.320) do 07 not apply to the authority. The authority shall make available to members of the public 08 copies of the regulations adopted under this section. Within 45 days after adoption of a 09 regulation under this section, the chair [CHAIRMAN] of the authority shall submit 10 the regulation adopted to the chair [CHAIRMAN] of the Administrative Regulation 11 Review Committee under AS 24.20.400 - 24.20.460. 12 * Sec. 42. AS 36.30.050, 36.30.250(b), 36.30.335, 36.30.362, 36.30.850(b)(22), and 13 36.30.850(b)(34) are repealed. 14 * Sec. 43. The uncodified law of the State of Alaska is amended by adding a new section to 15 read: 16 TRANSITION: PENDING SOLICITATIONS FOR PROCUREMENTS AND 17 CONTRACTS. (a) This Act does not apply to 18 (1) solicitations for procurement and the resulting contracts, if the solicitations 19 are pending on the effective date of this Act and if the invitation to bid or other solicitation 20 was issued before the effective date of this Act; and 21 (2) procurement contracts entered into before the effective date of this Act, 22 including extensions of those contracts. 23 (b) Notwithstanding (a) of this section, this Act applies to procurements or contracts 24 described in (a)(1) of this section if all parties to the procurement or contract agree in writing 25 that the applicable provisions of this Act apply to the solicitation or contract. 26 * Sec. 44. The uncodified law of the State of Alaska is amended by adding a new section to 27 read: 28 TRANSITION: INFORMATION IN BIENNIAL REPORTS. In addition to the 29 information that must be included in the biennial report under AS 36.30.540, the Department 30 of Administration shall include in the two successive biennial reports that are prepared under 31 AS 36.30.540 after the effective date of this Act information on the savings that have been
01 achieved during the reporting period by using AS 36.30.195, enacted by sec. 14 of this Act, 02 and AS 36.30.364, enacted by sec. 27 of this Act. 03 * Sec. 45. The uncodified law of the State of Alaska is amended by adding a new section to 04 read: 05 REVISOR'S INSTRUCTION. The revisor of statutes shall change the catch line of 06 AS 36.30.360 from "Determination of responsibility" to "Determination of nonresponsibility." 07 * Sec. 46. This Act takes effect immediately under AS 01.10.070(c).