Appropriation Amendment: j:\web\itdreview\session\2001\Senate\appbills\html\SB2000am995000.html
995000
GENERAL APPROPRIATIONS BILL Committee Amendment
SB2000 GG 17
Senator(s): Mitchell
moved the following amendment:
Section: EXPLANATION:
On Page: 357 This provides a process for evaluating agency proposals
to privatize or outsource state services.
Spec App:
NET IMPACT ON: Total Funds General Revenue Trust Funds
Recurring - 0 0 0
Non-Recurring - 0 0 0
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Positions & Amount Positions & Amount
DELETE INSERT
In Section On Page 357
After Section 25, add the following Section, and Renumber Subsequent
Sections:
It is the policy of the state with the funds appropriated for FY
2001-02, that all state services be performed in the most effective and
efficient manner in order to provide the best value to the public.
Further, the state recognizes that competition among service providers
may improve the quality of service provided. Therefore, any state
agency may identify services provided by the state that are available
commercially from a private source or through other alternative means
for the provision of services, examine the current method of service
delivery, assess the feasibility of privatization, outsourcing, or other
alternative means for the provision of services, and provide its
findings to the Legislative Budget Commission. If the agency recommends
to the Legislative Budget Commission that such services may be better
provided through private sources or other alternative means, the state
agency shall develop methods to accurately and fairly estimate and
account for the cost of providing an identified state service and engage
in the following process for evaluating proposals for privatization,
outsourcing, or other alternative means for the provision of services
1. Conduct an agency in-house cost estimate, a management study, or
any other hearing, study, review, or cost estimate concerning any
aspect of an identified state service.
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2. Review the efficiency of the agency in-house state service.
3. Require that an identified state service be submitted to
competitive bidding or another process that creates competition
with private sources and encourage state employees to organize
and submit a bid for the identified service.
4. Compare the cost of the most efficient agency in-house state
service with the cost of private sector bids. In comparing
costs, the state agency must consider the cost of supervising the
work of any private contractor. All bids or contracts must
include an analysis of health care benefits, retirement, and
workers' compensation insurance for employees of the contractor
which are reasonably comparable to those provided by the state.
5. Compare the total accurate and fair estimated cost to the agency
to include all indirect costs related to that agency and include
costs of such agencies as the Comptroller, the Treasurer, the
Attorney General, and other such support agencies.
6. Compare the quality of service to determine if the overall quality
of the service will increase or decrease with privatization,
outsourcing, or other alternative means.
7. Determine the net effect on state employees.
8. Determine the risk and consequences associated with privatization,
outsourcing, or alternative means for provision of state
services.
Upon completion of the process and prior to the transfer of any
appropriated funds to implement a contract or memorandum of agreement
related to privatization, outsourcing, or alternative means of provision
of state services, the state agency shall provide to the Legislative
Budget Commission its recommendations and documentation of the process.
Any contract or memorandum of agreement recommended by the state agency
related to delivery of a state service pursuant to this section that
requires the transfer of any appropriated funds shall be implemented
pursuant to the provisions of Chapter 216, Florida Statutes, and subject
to the approval of the Legislative Budget Commission.
In the event that the documentation submitted to the Legislative Budget
Commission pursuant to the provisions of this section fails to
demonstrate that the proposed contract or memorandum of agreement will
result in an ongoing net cost savings to the state, the Legislative
Budget Commission shall deny the transfer of funds proposed to implement
the contract or memorandum of agreement.
| Line item amendments are accepted as part of the amendatory process. However, due to the necessity of using computerized systems this may entail a different placement
within a budget entity or the renumbering of the specific appropriation items. |
995000 Log:0042 BJH/CCM 03/28/01 05:17:50 PM Senate Page: 2
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