02/08/1994 01:30 PM Senate L&C

 SENATOR KELLY returned SB 212 (STATE PROCUREMENTS AND PUBLICATIONS)           
 to committee and asked his Aide, JOSH FINK, to explain the proposed           
 committee substitute for the bill.                                            
                                                                               
 MR. FINK explained the changes beginning on page 2, in the                    
 FINDINGS, PURPOSE, AND INTENT on line 10, and he read the changes,            
 including the suggestion from SENATOR LINCOLN to include "resident"           
 businesses.  On page 6, lines 16 and 17, MR. FINK described the               
 changes to satisfy the report the Commissioner for the Department             
 of Transportation has to submit on the pilot bonus program fifteen            
 and twenty seven months after the program is initiated.  At SENATOR           
 LINCOLN'S request it was added to cover the geographical region               
 where the construction is to be performed, and a listing as to                
 whether the contractor is classified as a minority contractor.                
                                                                               
 Number 059                                                                    
                                                                               
 SENATOR LINCOLN directed attention to page 5, Section 8, INNOVATIVE           
 CONSTRUCTION PROCUREMENT METHODS PILOT PROGRAM, and noted the bonus           
 is an incentive throughout the life of the contract, while the                
 previous preference ends at the time of the bid.                              
                                                                               
 MR. FINK explained the bidding process and the awarding of the                
 bonus on the contract award amount, making the incentive throughout           
 the entire life of the contract.                                              
                                                                               
 SENATOR LINCOLN continue to question the bonus and the timing of              
 the incentives, and she quoted MR. RASMUSSEN on the stronger                  
 incentives at the end of a contract to hire more local people,                
 while being sure to use Alaskan products to qualify for the bonus.            
                                                                               
 Number 094                                                                    
                                                                               
 SENATOR SHARP moved to adopt the new committee substitute for                 
 Senate Bill 212.  SENATOR LINCOLN was assured her changes were                
 included.  Without objections, so ordered.                                    
                                                                               
 SENATOR SHARP moved to pass the CS FOR SENATE BILL NO. 212(L&C)               
 (STATE PROCUREMENTS AND PUBLICATIONS) from committee with                     
 individual recommendations and accompanying fiscal notes. Without             
 objections, so ordered.