SENATE AMENDMENT
    Bill No. CS for SB 466
    Amendment No. ___   Barcode 075914
                            CHAMBER ACTION
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11  Senator Mitchell moved the following amendment to amendment
12  (755104):
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14         Senate Amendment (with title amendment) 
15         On page 59, between lines 12 and 13,
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17  insert:  
18         Section 49.  (1)  It is the policy of this state that
19  all state services be performed in the most effective and
20  efficient manner in order to provide the best value to the
21  public. Further, the state recognizes that competition among
22  service providers may improve the quality of the service
23  provided. Therefore, any state agency may identify services
24  provided by the state which are available commercially from a
25  private source or through other alternative means; examine the
26  current method of service delivery; assess the feasibility of
27  privatization, outsourcing, or other alternative means for
28  providing the services; and provide its findings to the
29  Legislative Budget Commission. If the agency recommends to the
30  Legislative Budget Commission that a service may be better
31  provided through private sources or other alternative means,
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    3:37 PM   05/01/01                              s0466c1c-04110

SENATE AMENDMENT Bill No. CS for SB 466 Amendment No. ___ Barcode 075914 1 the state agency shall develop methods to accurately and 2 fairly estimate and account for the cost of providing an 3 identified state service and engage in the following process 4 for evaluating proposals for privatization, outsourcing, or 5 other alternative means for providing the service: 6 (a) Conduct an agency in-house cost estimate; a 7 management study; or any other hearing, study, review, or cost 8 estimate concerning any aspect of the identified state 9 service. 10 (b) Review the efficiency of the agency in-house state 11 service. 12 (c) Require that the identified state service be 13 submitted to competitive bidding or another process that 14 creates competition with private sources and encourage state 15 employees to organize and submit a bid for the identified 16 service. 17 (d) Compare the cost of the most efficient agency 18 in-house state service with the cost of private-sector bids. 19 In comparing costs, the state agency must consider the cost of 20 supervising the work of any private contractor. All bids or 21 contracts must include an analysis of health care benefits, 22 retirement, and workers' compensation insurance for employees 23 of the contractor which are reasonably comparable to those 24 provided by the state. 25 (e) Compare the total, accurate, and fair estimated 26 cost to the agency, including all indirect costs related to 27 that agency and costs of agencies such as the Comptroller, the 28 Treasurer, and Attorney General, and other such support 29 agencies. 30 (f) Compare the quality of service in order to 31 determine if the overall quality of the service will increase 2 3:37 PM 05/01/01 s0466c1c-04110
SENATE AMENDMENT Bill No. CS for SB 466 Amendment No. ___ Barcode 075914 1 or decrease with privatization, outsourcing, or other 2 alternative means. 3 (g) Determine the net effect on state employees. 4 (h) Determine the risk and consequences associated 5 with privatization, outsourcing, or alternative means for 6 providing the state service. 7 (2) Upon completion of the process and prior to the 8 transfer of any appropriated funds to implement a contract or 9 memorandum of agreement related to privatization, outsourcing, 10 or alternative means of providing state services, the state 11 agency shall provide to the Legislative Budget Commission its 12 recommendations and documentation of the process. Any contract 13 or memorandum of agreement recommended by the state agency 14 related to the delivery of a state service pursuant to this 15 section which requires the transfer of any appropriated funds 16 shall be implemented pursuant to chapter 216, Florida 17 Statutes, and is subject to the approval of the Legislative 18 Budget Commission. 19 (3) If the documentation submitted to the Legislative 20 Budget Commission pursuant to this section fails to 21 demonstrate that the proposed contract or memorandum of 22 agreement will result in an ongoing net cost savings to the 23 state, the Legislative Budget Commission shall deny the 24 transfer of funds proposed to implement the contract or 25 memorandum of agreement. 26 27 (Redesignate subsequent sections.) 28 29 30 ================ T I T L E A M E N D M E N T =============== 31 And the title is amended as follows: 3 3:37 PM 05/01/01 s0466c1c-04110
SENATE AMENDMENT Bill No. CS for SB 466 Amendment No. ___ Barcode 075914 1 On page 65, line 1, after the semicolon, 2 3 insert: 4 authorizing state agencies to identify state 5 services that are available commercially or 6 through an alternative means, assess the 7 feasibility of privatization or outsourcing, 8 and provide its findings to the Legislative 9 Budget Commission; providing a process for 10 evaluating proposals for privatization, 11 outsourcing, or other alternative means for 12 providing services; requiring that a contract 13 or memorandum of agreement that requires the 14 transfer of appropriated funds to be subject to 15 approval of the Legislative Budget Commission; 16 requiring the commission to deny the transfer 17 of funds if documentation fails to demonstrate 18 an ongoing net cost savings to the state; 19 20 21 22 23 24 25 26 27 28 29 30 31 4 3:37 PM 05/01/01 s0466c1c-04110