HB 1819

1
A bill to be entitled
2An act relating to procurement; amending s. 20.22, F.S.;
3providing for a Center for Efficient Government within
4the Department of Management Services; amending s.
5255.0525, F.S.; providing for electronic website posting
6of certain solicitations; amending s. 287.012, F.S.;
7revising definitions; providing additional definitions;
8renumbering and amending s. 287.017, F.S., as s. 287.028,
9F.S.; specifying procurement categories and threshold
10amounts; requiring use of certain methodologies to value
11contracts or arrangements for certain purposes; providing
12requirements; creating s. 287.019, F.S.; providing for
13eligibility to contract or subcontract; creating s.
14287.0265, F.S.; creating the Center for Efficient
15Government for certain purposes; establishing a board for
16the center; providing for membership; providing
17responsibilities of the center and the board; providing
18requirements for a review and approval process for
19procurements; requiring agencies to provide certain
20information; creating s. 287.0330, F.S.; specifying
21methods for source selection; authorizing the Department
22of Management Services to adopt rules; creating s.
23287.0331, F.S.; providing for invitations to bid;
24creating s. 287.0332, F.S.; providing for requests for
25proposals; requiring procurement by competitive sealed
26proposals for certain procurement contracts under certain
27circumstances; creating s. 287.0333, F.S.; providing for
28invitations to negotiate; creating s. 287.03335, F.S.;
29providing for award of certain contracts to be awarded by
30reverse auction; providing for invitations to
31participate; providing procedures, requirements, and
32limitations; creating s. 287.0334, F.S.; requiring the
33department to adopt rules establishing small purchase
34procedures; creating s. 287.0335, F.S.; providing for
35single source procurement; creating s. 287.0336, F.S.;
36providing for emergency procurements; creating s.
37287.0337, F.S.; providing for state term contracts for
38certain commodities or contractual services; authorizing
39the department to restrict certain purchases from term
40contracts under certain circumstances; creating s.
41287.0341, F.S.; providing general provisions; specifying
42department responsibilities; requiring agencies to use
43department definitions and classes of commodities and
44contractual services in procurement; creating s. 287.036,
45F.S.; providing for evaluation teams and certified
46negotiators; requiring a certified negotiator for certain
47contracts; creating s. 287.037, F.S.; providing for
48vendors to provide certain financial information for
49certain contracts; providing procedures and requirements;
50providing for audit of a contractor's books and records;
51providing for modifying contracts under certain
52circumstances; providing definitions; creating s.
53287.038, F.S.; providing for a review and approval
54process; creating s. 287.026, F.S.; revising the powers,
55duties, and functions of the department; deleting a
56provision authorizing the department to collect certain
57fees; requiring the department to adopt rules for use by
58agencies for share-in-savings contracts; creating s.
59287.027, F.S.; providing for online procurement of
60commodities and services; renumbering and amending s.
61287.045, F.S., as s. 287.128, F.S.; revising provisions
62relating to procurement of products and materials with
63recycled content; creating ss. 287.0439, 287.044,
64287.046, 287.047, and 287.048, F.S.; providing
65definitions; providing for outsourcing or privatizing
66certain functions or responsibilities of agencies;
67providing criteria, requirements, procedures,
68limitations, and exceptions; requiring agencies to
69develop a business case for certain purposes; providing
70requirements; providing contract requirements; requiring
71reports and information to be provided to the Legislature
72for certain outsourcing or privatization initiatives;
73providing for contract review and objections; providing
74for independence of Cabinet agencies for certain
75purposes; requiring contractors to provide agency access
76to certain records; specifying that agency actions are
77not grounds for an administrative protest; creating s.
78287.122, F.S.; providing for purchases from correctional
79industry programs and from qualified nonprofit agencies
80for persons with disabilities; providing requirements and
81procedures; creating s. 287.123, F.S.; exempting certain
82contractual service and commodity purchases from
83competitive solicitation requirements; renumbering and
84amending s. 287.025, F.S., as s. 287.1241, F.S., to
85conform; renumbering and amending s. 287.055, F.S., as s.
86287.125, F.S., to conform; renumbering and amending s.
87287.058, F.S., as s. 287.31, F.S.; revising contract
88document requirements; authorizing agencies or
89contractors to levy or impose fees, taxes, or charges on
90persons not parties to a contract only pursuant to law;
91providing share-in-savings contract requirements;
92creating s. 287.321, F.S.; providing for a contract
93manager, contract administrator, and contract files;
94creating s. 287.34, F.S.; prohibiting agencies from
95approving accounts or requesting payments from accounts
96except pursuant to rule; creating s. 287.55, F.S.;
97providing for bid protests; renumbering and amending s.
98287.132, F.S., as s. 287.561, F.S.; requiring public
99employees to discharge duties to assure fair competitive
100access to procurement; renumbering and amending s.
101287.133, F.S., as s. 287.562, F.S., to conform; creating
102s. 287.57, F.S.; providing for cooperative purchasing;
103renumbering and amending s. 287.16, F.S., as s. 287.65,
104F.S., to conform; renumbering and amending s. 287.161,
105F.S., as s. 287.655, F.S., to conform; renumbering and
106amending s. 287.17, F.S., as s. 287.66, F.S., to conform;
107amending s. 287.057, F.S., to conform; amending s.
108119.0721, F.S.; providing a definition; correcting a
109cross reference; repealing s. 14.203, F.S., relating to
110the State Council on Competitive Government; repealing s.
111283.30, F.S., relating to definitions; repealing s.
112283.31, F.S., relating to records of executive agency
113publications; repealing s. 283.32, F.S., relating to use
114of recycled paper; repealing s. 283.33, F.S., relating to
115printing of publications and lowest bidder awards;
116repealing s. 283.34, F.S., relating to state officer
117prohibition against interests in certain printing
118contracts; repealing s. 283.43, F.S., relating to public
119information printing services; repealing s. 283.56, F.S.,
120relating to preparation of agency publications; repealing
121s. 287.0731, F.S., relating to a team for certain
122contract negotiations; repealing s. 287.1345, F.S.,
123relating to a surcharge on users of certain state term
124contracts; providing an effective date.
125
126Be It Enacted by the Legislature of the State of Florida:
127
128     Section 1.  Paragraph (d) of subsection (2) of section
12920.22, Florida Statutes, is amended to read:
130     20.22  Department of Management Services.--There is created
131a Department of Management Services.
132     (2)  The following divisions and programs within the
133Department of Management Services are established:
134     (d)1.  Support Program.
135     2.  Federal Property Assistance Program.
136     3.  The Center for Efficient Government.
137     Section 2.  Subsections (1) and (2) of section 255.0525,
138Florida Statutes, are amended to read:
139     255.0525  Advertising for competitive bids or proposals.--
140     (1)  The solicitation of competitive bids or proposals for
141any state construction project that is projected to cost more
142than $200,000 shall be publicly advertised once in the Florida
143Administrative Weekly at least 21 days prior to the established
144bid opening. For state construction projects that are projected
145to cost more than $500,000, the advertisement shall be published
146in the Florida Administrative Weekly at least 30 days prior to
147the established bid opening and at least once in a newspaper of
148general circulation in the county where the project is located
149at least 30 days prior to the established bid opening and at
150least 5 days prior to any scheduled prebid conference. In
151addition to advertisement in the Florida Administrative Weekly
152and, as appropriate, a newspaper of general circulation, as
153provided in this subsection, such solicitations may be
154electronically posted as defined in s. 287.012(14), on a
155centralized Internet website designated by the Department of
156Management Services for this purpose at least 21 or 30 days, as
157appropriate, prior to the established bid opening. The bids or
158proposals shall be received and opened publicly at the location,
159date, and time established in the bid or proposal advertisement.
160In cases of emergency, the Secretary of Management Services may
161alter the procedures required in this section in any manner that
162is reasonable under the emergency circumstances.
163     (2)  The solicitation of competitive bids or proposals for
164any county, municipality, or other political subdivision
165construction project that is projected to cost more than
166$200,000 shall be publicly advertised at least once in a
167newspaper of general circulation in the county where the project
168is located at least 21 days prior to the established bid opening
169and at least 5 days prior to any scheduled prebid conference.
170The solicitation of competitive bids or proposals for any
171county, municipality, or other political subdivision
172construction project that is projected to cost more than
173$500,000 shall be publicly advertised at least once in a
174newspaper of general circulation in the county where the project
175is located at least 30 days prior to the established bid opening
176and at least 5 days prior to any scheduled prebid conference. In
177addition to an advertisement in a newspaper of general
178circulation as provided in this subsection, solicitations may be
179electronically posted on a centralized Internet website
180designated by the county, municipality, or other political
181subdivision. Bids or proposals shall be received and opened at
182the location, date, and time established in the bid or proposal
183advertisement. In cases of emergency, the procedures required in
184this section may be altered by the local governmental entity in
185any manner that is reasonable under the emergency circumstances.
186     Section 3.  Section 287.012, Florida Statutes, is amended
187to read:
188     287.012  Definitions.--As used in parts I-VII this part,
189unless the context clearly indicates otherwise, the term:
190     (1)  "Agency" means any of the various state officers,
191departments, boards, commissions, divisions, bureaus, and
192councils and any other unit of organization, however designated,
193of the executive branch of state government. "Agency" does not
194include the university and college boards of trustees or the
195state universities and colleges.
196     (2)  "Agency head" means, with respect to an agency headed
197by a collegial body, the executive director or chief
198administrative officer of the agency.
199     (3)  "Artist" means an individual or group of individuals
200who profess and practice a demonstrated creative talent and
201skill in the area of music, dance, drama, folk art, creative
202writing, painting, sculpture, photography, graphic arts, craft
203arts, industrial design, costume design, fashion design, motion
204pictures, television, radio, or tape and sound recording or in
205any other related field.
206     (4)  "Best value" means the highest overall value to the
207state based on objective factors that include, but are not
208limited to, consideration, price, quality, design,
209functionality, and workmanship.
210     (5)  "Board" means the board of the center.
211     (6)  "Center" means the Center for Efficient Government
212created within the department.
213     (7)(5)  "Commodity" means any of the various supplies,
214materials, goods, merchandise, food, equipment, information
215technology, duplicating, printing of publications, forms and
216related materials, and other personal property, including a
217mobile home, trailer, or other portable structure with floor
218space of less than 5,000 square feet, purchased, leased, or
219otherwise contracted for by the state and its agencies.
220"Commodity" also includes interest on deferred-payment commodity
221contracts approved pursuant to s. 287.137 287.063 entered into
222by an agency for the purchase of other commodities. However,
223commodities purchased for resale are excluded from this
224definition. Further, a prescribed drug, medical supply, or
225device required by a licensed health care provider as a part of
226providing health services involving examination, diagnosis,
227treatment, prevention, medical consultation, or administration
228for clients at the time the service is provided is not
229considered to be a "commodity." The provisions of s. 946.515(4)
230shall not apply to purchases of printing. Printing of
231publications shall be considered a commodity when let upon
232contract pursuant to s. 283.33, whether purchased for resale or
233not.
234     (8)(6)  "Competitive sealed bids," "competitive sealed
235proposals," or "competitive sealed replies" means the process of
236receiving two or more sealed bids, proposals, or replies
237submitted by responsive vendors and includes bids, proposals, or
238replies transmitted by electronic means in lieu of or in
239addition to written bids, proposals, or replies.
240     (9)(7)  "Competitive solicitation" or "solicitation" means
241an invitation to bid, a request for proposals, or an invitation
242to negotiate.
243     (10)  "Consideration" means something of value provided to
244a contractor in exchange for commodities or contractual
245services. The term may include, but is not limited to, one or
246more of following:
247     (a)  State moneys; or
248     (b)  An authorization for a contractor to:
249     1.  Act on behalf of the state;
250     2.  Use the state's assets or resources;
251     3.  Receive revenue or shared savings generated by the
252contractual arrangement;
253     4.  Use taxes or licenses; or
254     5.  Collect or use fees.
255     (11)(8)  "Contractor" means a person who contracts to sell
256commodities or contractual services to an agency or the public
257on behalf of or in cooperation with an agency. The term also
258refers to a person who enters into an arrangement, such as an
259alliance, partnership, or consortium with an agency, the purpose
260of which arrangement is to acquire commodities or contractual
261services. The term also refers to the entity created by such
262arrangement.
263     (12)(9)  "Contractual service" means the rendering by a
264contractor of its time and effort rather than the furnishing of
265specific commodities. The term includes the acquisition by an
266agency of anything other than a commodity and applies only to
267those services rendered by individuals and firms who are
268independent contractors, and such services may include, but is
269are not limited to, evaluations; consultations; maintenance;
270accounting; security; management systems; management consulting;
271educational training programs; research and development studies
272or reports on the findings of consultants engaged thereunder;
273concessions or contracts which generate revenue for the state;
274and professional, technical, and social services. "Contractual
275service" does not include any contract for the furnishing of
276labor or materials for the construction, renovation, repair,
277modification, or demolition of any facility, building, portion
278of building, utility, park, parking lot, or structure or other
279improvement to real property entered into pursuant to chapter
280255 and rules adopted thereunder.
281     (13)(10)  "Department" means the Department of Management
282Services.
283     (14)(11)  "Electronic posting" or "electronically post"
284means the posting of solicitations, agency decisions or intended
285decisions, or other matters relating to procurement on a
286centralized Internet website designated by the department for
287this purpose.
288     (15)(12)  "Eligible user" means any person or entity
289authorized by the department pursuant to rule to purchase from
290state term contracts or to use the on-line procurement system.
291     (16)(13)  "Exceptional purchase" means any purchase of
292commodities or contractual services excepted by law or rule from
293the requirements for competitive solicitation, including, but
294not limited to, purchases from a single source; purchases upon
295receipt of less than two responsive bids, proposals, or replies;
296purchases made by an agency, after receiving approval from the
297department, from a contract procured, pursuant to s. 287.0331,
298s. 287.0332, or s. 287.0333 287.057(1), (2), or (3), by another
299agency; and purchases made without advertisement in the manner
300required by s. 287.0341(1)(a) and (b) 287.042(3)(b). The term
301"exceptional purchase" does not include purchases made pursuant
302to s. 287.123.
303     (17)(14)  "Extension" means an increase in the time allowed
304for the contract period due to circumstances which, without
305fault of either party, make performance impracticable or
306impossible, or which prevent a new contract from being executed,
307with or without a proportional increase in the total dollar
308amount, with any increase to be based on the method and rate
309previously established in the contract.
310     (18)(15)  "Information technology" has the meaning ascribed
311in s. 282.0041.
312     (19)(16)  "Invitation to bid" means a written solicitation
313for competitive sealed bids. The invitation to bid is used when
314the agency is capable of specifically defining the scope of work
315for which a contractual service is required or when the agency
316is capable of establishing precise specifications defining the
317actual commodity or group of commodities required. A written
318solicitation includes a solicitation that is electronically
319posted.
320     (20)(17)  "Invitation to negotiate" means a written
321solicitation for competitive sealed replies to select one or
322more vendors with which to commence negotiations for the
323procurement of commodities or contractual services. The
324invitation to negotiate is used when the agency determines that
325negotiations may be necessary for the state to receive the best
326value. A written solicitation includes a solicitation that is
327electronically posted.
328     (21)  "Invitation to participate" means a written
329solicitation for bids during participation in a reverse auction.
330A written solicitation includes a solicitation that is
331electronically posted.
332     (22)(18)  "Minority business enterprise" has the meaning
333ascribed in s. 288.703.
334     (23)(19)  "Office" means the Office of Supplier Diversity
335of the Department of Management Services.
336     (24)  "Outsource" means to create a contractual
337relationship between an agency and another entity for the
338provision in whole or in part of a public function or
339responsibility whereby the agency is accountable for the
340provision of the function or responsibility and the entity
341performs the function or responsibility.
342     (25)  "Privatize" means to shift completely an agency-
343controlled and agency-operated service to private sector
344control, operation, and ownership, such that the private sector
345is solely and fully responsible for the provision of the
346affected service.
347     (26)  "Procurement of commodities or contractual services"
348means the providing of state moneys or consideration for the
349acquisition by an agency of any commodity or contractual
350service, whether for use by or benefit to the agency or for sale
351or other conveyance to a person who is not a party to the
352contract.
353     (27)(20)  "Renewal" means contracting with the same
354contractor for an additional contract period after the initial
355contract period, only if pursuant to contract terms specifically
356providing for such renewal.
357     (28)(21)  "Request for information" means a written request
358made by an agency to vendors for information concerning
359commodities or contractual services. Responses to these requests
360are not offers and may not be accepted by the agency to form a
361binding contract.
362     (29)(22)  "Request for proposals" means a written
363solicitation for competitive sealed proposals. The request for
364proposals is used when it is not practicable for the agency to
365specifically define the scope of work for which the commodity,
366group of commodities, or contractual service is required and
367when the agency is requesting that a responsible vendor propose
368a commodity, group of commodities, or contractual service to
369meet the specifications of the solicitation document. A written
370solicitation includes a solicitation that is electronically
371posted.
372     (30)(23)  "Request for a quote" means an oral or written
373request for written pricing or services information from a state
374term contract vendor for commodities or contractual services
375available on a state term contract from that vendor.
376     (31)(24)  "Responsible vendor" means a vendor who has the
377capability in all respects to fully perform the contract
378requirements and the integrity and reliability that will assure
379good faith performance.
380     (32)(25)  "Responsive bid," "responsive proposal," or
381"responsive reply" means a bid, or proposal, or reply submitted
382by a responsive and responsible vendor that conforms in all
383material respects to the solicitation.
384     (33)(26)  "Responsive vendor" means a vendor that has
385submitted a bid, proposal, or reply that conforms in all
386material respects to the solicitation.
387     (34)  "Reverse auction" means an on-line purchasing process
388in which vendors compete to provide commodities or contractual
389services at the lowest price in an open and interactive
390environment wherein vendors may submit pricing multiple times
391during a specified time period.
392     (35)  "Secretary" means the Secretary of Management
393Services.
394     (36)(27)  "State term contract" means a term contract that
395is competitively procured by the department pursuant to s.
396287.057 and that is used by agencies and eligible users pursuant
397to s. 287.056.
398     (37)(28)  "Term contract" means an indefinite quantity
399contract to furnish commodities or contractual services during a
400defined period.
401     Section 4.  Section 287.017, Florida Statutes, is
402renumbered as section 287.028, Florida Statutes, and amended to
403read:
404     287.028 287.017  Procurement Purchasing categories,
405threshold amounts; procedures for automatic adjustment by
406department.--
407     (1)(a)  The following procurement purchasing categories and
408corresponding threshold amounts are hereby created:
409     1.(a)  CATEGORY ONE: $15,000.
410     2.(b)  CATEGORY TWO: $25,000.
411     3.(c)  CATEGORY THREE: $50,000.
412     4.(d)  CATEGORY FOUR: $150,000.
413     5.(e)  CATEGORY FIVE: $250,000.
414     (b)(2)  The department shall adopt rules to adjust the
415amounts provided in paragraph (a) subsection (1) based upon the
416rate of change of a nationally recognized price index. Such
417rules shall include, but not be limited to, the following:
418     1.(a)  Designation of the nationally recognized price index
419or component thereof used to calculate the proper adjustment
420authorized in this section.
421     2.(b)  The procedure for rounding results.
422     3.(c)  The effective date of each adjustment based upon the
423previous calendar year data.
424     (2)(a)  The following methodologies shall be used to value
425the contract to determine the appropriate procurement category
426in this subsection for any procurement of commodities or
427contractual services:
428     1.  If state moneys are the exclusive consideration to be
429provided by an agency, the procurement category shall be based
430upon the total of state moneys to be expended by the agency over
431the term of the contract; or
432     2.  If state moneys are not the exclusive consideration to
433be provided by an agency, the procurement category shall be
434based upon the greater of the following totals:
435     a.  The sum of gross revenues or shared savings to be
436generated for the state and contractor over the term of the
437contract added to the sum of state moneys, if any, that the
438agency may be required to expend over the term of the contract;
439or
440     b.  The costs avoided by the state over the term of the
441contract, added to the sum of state moneys, if any, that the
442agency may be required to expend over the term of the contract.
443     (b)  If none of the methodologies set forth in paragraph
444(a) are applicable to a procurement of commodities or
445contractual services, the agency shall develop an alternative
446methodology to determine the appropriate procurement category.
447Prior to proceeding with such a procurement, the methodology
448developed by the agency must be approved in writing by the
449agency head and the secretary.
450     Section 5.  Subsection (18) of section 287.057, Florida
451Statutes, is transferred to section 287.019, Florida Statutes,
452which is created, and amended to read:
453     287.019  Eligibility to contract or subcontract.--
454     (18)  A person who receives a contract that has not been
455procured pursuant to ss. 287.0331-287.0333 subsections (1)
456through (5) to perform a feasibility study of the potential
457implementation of a subsequent contract, who participates in the
458drafting of a solicitation or who develops a program for future
459implementation, is not eligible to contract or subcontract,
460directly or indirectly, with the agency for any other contracts
461dealing with that specific subject matter, and any firm in which
462such person has any interest is not eligible to receive such
463contract or subcontract. However, this prohibition does not
464prevent a vendor who responds to a request for information from
465being eligible to contract with an agency.
466     Section 6.  Section 287.0265, Florida Statutes, is created
467to read:
468     287.0265  Center for Efficient Government.--
469     (1)  The Center for Efficient Government is created in the
470department to establish and promote best business practices in
471procurement in order to improve the delivery of services to
472citizens by agencies under the control of the Governor. Cabinet
473agencies are encouraged, but shall not be required, to comply
474with this section. The secretary or his or her designee shall
475serve as the head of the center.
476     (2)  A board is established within the center to oversee
477agency procurement. The secretary shall serve as chair of the
478board. The Governor shall appoint four other agency heads to
479serve on the board, who shall serve on the board at the pleasure
480of the Governor. No member of the board shall be disqualified
481from participating in board review of a procurement solely
482because the member's agency is involved in the procurement. The
483members of the board may not delegate their membership to a
484subordinate.
485     (3)  The center shall:
486     (a)  Create a centralized process for initiating,
487reviewing, and evaluating agency procurements. The center and
488any agency may initiate procurements.
489     (b)  Develop standards, processes, templates, and
490guidelines for use by agencies during the procurement process.
491     (c)  Implement a system for providing information and
492documentation to the Legislature and Governor on behalf of
493agencies and in compliance with the provisions of this chapter.
494     (d)  Assist agencies in the procurement process, including
495but not limited to, developing and updating business cases and
496solicitation documents and supporting contract negotiations,
497contract drafting, change management, performance measurement,
498and contract management.
499     (e)  Create and maintain a database of new and existing
500state procurements which shall include, but not be limited to,
501those subject to part III. At a minimum, the database shall
502contain the following information in regard to contractual
503services:
504     1.  The agency name, the name and description of the
505contractual service procured, and the names of the prime
506contractor and any subcontractors.
507     2.  Projected and actual completion dates by project phase.
508     3.  A description of performance measures contained in the
509contract, projected performance, and actual performance.
510     4.  Projected costs and revenues, as applicable, and actual
511costs and revenues.
512     (f)  Submit to the Governor, the President of the Senate,
513and the Speaker of the House of Representatives, by July 1,
5142004, by September 15, 2005, and by September 15 annually
515thereafter, a list of potential outsourcing initiatives
516identified by agencies and the center.
517     (g)   Develop and implement, in consultation with the
518Agency for Workforce Innovation, a program for assisting
519employees whose jobs are eliminated because of procurements.
520     (4)  The board shall:
521     (a)  Oversee the center.
522     (b)  Implement a process for review and approval of the
523business aspects of a proposed new or renewal procurement at
524specific points in the procurement process, as required by part
525III.
526     (c)  Implement any other process for review of procurements
527that do not require review under part III.
528     (d)  Oversee the implementation of procurements after
529contract execution, including, but not limited to, change
530management, contract management, and performance measurement.
531     (5)  The process for review of state procurements shall
532require:
533     (a)  Board review at the conclusion of important stages in
534the procurement process for those procurements subject to review
535by law.
536     (b)  The center, at the board's direction, to furnish to
537the President of the Senate and the Speaker of the House of
538Representatives all documents required by part III at each of
539the important stages in the procurement process, together with
540the board's certification that the requirements of this section,
541the center, and the board have been met.
542     (6)  Agencies shall submit to the center all information,
543documents, or other materials required by center or board policy
544or this chapter. Agencies required by part III, or by board
545policy, to cooperate with the center shall do so.
546     Section 7.  Subsection (1) of section 287.056, Florida
547Statutes, is transferred to section 287.0330, Florida Statutes,
548which is created, and amended to read:
549     287.0330  Method of source selection.--
550     (1)  Unless otherwise authorized by law, all agency
551procurements of commodities or contractual services shall be
552made using one of the following methods:
553     (a)  Invitation to bid;
554     (b)  Request for proposals;
555     (c)  Invitation to negotiate;
556     (d)  Invitation to participate;
557     (e)  Small procurement procedures;
558     (f)  Single source procurement;
559     (g)  Emergency procurement; or
560     (h)  State term contracts and purchasing agreements.
561     (2)(1)  Agencies shall, and eligible users may, procure
562purchase commodities and contractual services from purchasing
563agreements established and state term contracts procured,
564pursuant to s. 287.057, by the department. The department may
565adopt rules, pursuant to ss. 120.536(1) and 120.54, which exempt
566agencies from this subsection when commodities and contractual
567services available from such purchasing agreements and state
568term contracts cannot meet agency needs.
569     (3)  Unless otherwise authorized by law, all contracts for
570the procurement of commodities or contractual services valued in
571excess of the threshold amount provided in s. 287.028 for
572CATEGORY TWO shall be awarded by competitive solicitation.
573     Section 8.  Subsection (1) of section 287.057, Florida
574Statutes, is transferred to section 287.0331, Florida Statutes,
575which is created, and amended to read:
576     287.0331  Invitation to bid.--
577     (1)(a)  Unless otherwise authorized by law, all contracts
578required to be awarded by competitive solicitation for the
579purchase of commodities or contractual services in excess of the
580threshold amount provided in s. 287.017 for CATEGORY TWO shall
581be awarded by competitive sealed bidding. An invitation to bid
582shall be made available simultaneously to all vendors and must
583include a detailed description of the commodities or contractual
584services sought; the time and date for the receipt of bids and
585of the public opening; and all contractual terms and conditions
586applicable to the procurement, including the criteria to be used
587in determining acceptability of the bid. If the agency
588contemplates renewal of the contract, that fact must be stated
589in the invitation to bid. The bid shall include the
590consideration or price for each year for which the contract may
591be renewed. Evaluation of bids shall take into account include
592consideration of the total cost for each year as submitted by
593the vendor. Criteria that were not set forth in the invitation
594to bid may not be used in determining acceptability of the bid.
595     (2)(b)  The contract shall be awarded with reasonable
596promptness by written notice to the responsible and responsive
597vendor that submits the lowest responsive bid. This bid must be
598determined in writing to meet the requirements and criteria set
599forth in the invitation to bid.
600     Section 9.  Subsection (2) of section 287.057, Florida
601Statutes, is transferred to section 287.0332, Florida Statutes,
602which is created, and amended to read:
603     287.0332  Request for proposals.--
604     (1)(2)(a)  If an agency determines in writing that the use
605of an invitation to bid is not practicable, commodities or
606contractual services required to be awarded by competitive
607solicitation shall be procured by competitive sealed proposals.
608A request for proposals shall be made available simultaneously
609to all vendors, and must include a statement of the commodities
610or contractual services sought; the time and date for the
611receipt of proposals and of the public opening; and all
612contractual terms and conditions applicable to the procurement,
613including the criteria, which shall include, but is need not be
614limited to, consideration or price, to be used in determining
615acceptability of the proposal. The relative importance of
616consideration or price and other evaluation criteria shall be
617indicated. If the agency contemplates renewal of the commodities
618or contractual services contract, that fact must be stated in
619the request for proposals. The proposal shall include the price
620for each year for which the contract may be renewed. Evaluation
621of proposals shall take into account include consideration of
622the total consideration or price cost for each year as submitted
623by the vendor.
624     (2)(b)  The contract shall be awarded to the responsible
625and responsive vendor whose proposal is determined in writing to
626result in the best value be the most advantageous to the state,
627taking into account consideration the consideration or price and
628the other criteria set forth in the request for proposals. The
629contract file shall contain documentation supporting the basis
630on which the award is made.
631     Section 10.  Subsection (3) of section 287.057, Florida
632Statutes, is transferred to section 287.0333, Florida Statutes,
633which is created, and amended to read:
634     287.0333  Invitation to negotiate.--
635     (1)(3)(a)  If the agency determines in writing that the use
636of an invitation to bid or a request for proposals is not likely
637to will not result in the best value to the state, the agency
638may procure commodities and contractual services by competitive
639sealed replies. The agency's written determination must specify
640reasons that explain why negotiation may be necessary in order
641for the state to achieve the best value and must be approved in
642writing by the agency head or his or her designee prior to the
643advertisement of an invitation to negotiate. An invitation to
644negotiate shall be made available to all vendors simultaneously
645and must include a statement of the commodities or contractual
646services sought; the time and date for the receipt of replies
647and of the public opening; and all terms and conditions
648applicable to the procurement, including the criteria to be used
649in determining the acceptability of the reply. If the agency
650contemplates renewal of the contract, that fact must be stated
651in the invitation to negotiate. The reply shall include the
652consideration or price for each year for which the contract may
653be renewed.
654     (2)(b)  The agency shall evaluate and rank responsive
655replies against all evaluation criteria set forth in the
656invitation to negotiate and shall select, based on the ranking,
657one or more vendors with which to commence negotiations. After
658negotiations are conducted, the agency shall award the contract
659to the responsible and responsive vendor that the agency
660determines will provide the best value to the state. The
661contract file must contain a short plain statement that explains
662the basis for vendor selection and that sets forth the vendor's
663deliverables and price, pursuant to the contract, with an
664explanation of how these deliverables and price provide the best
665value to the state.
666     Section 11.  Section 287.03335, Florida Statutes, is
667created to read:
668     287.03335  Invitation to participate.--
669     (1)(a)  Unless otherwise authorized by law, contracts for the
670procurement of commodities or contractual services valued in
671excess of the threshold amount provided in s. 287.028 for
672CATEGORY TWO may be awarded by reverse auction. An invitation to
673participate shall be made available simultaneously to all
674vendors and must include:
675     1.  A detailed description of the commodities or contractual
676services sought.
677     2.  The date of and the specific time period during which
678price or consideration offers may be submitted.
679     3.  The date and time for the public opening.
680     4.  All contractual terms and conditions applicable to the
681procurement, including the criteria to be used in determining
682acceptability of the offer.
683     (b)  If the agency contemplates renewal of the contract, that
684fact must be stated in the invitation to participate. The offer
685shall include the consideration or price for each year for which
686the contract may be renewed. Evaluation of offers shall take
687into account the total cost for each year as submitted by the
688vendor. Criteria that were not set forth in the invitation to
689participate may not be used in determining acceptability of the
690offer.
691     (2)  The contract shall be awarded with reasonable promptness
692by written notice to the responsible and responsive vendor that
693submits the responsive offer that provides for the lowest price
694or amount of consideration to be provided by the state. This
695offer must be determined in writing to meet the requirements and
696criteria set forth in the invitation to participate.
697     Section 12.  Subsection (10) of section 287.057, Florida
698Statutes, is transferred to section 287.0334, Florida Statutes,
699which is created, and amended to read:
700     287.0334  Small procurement procedures.--In order to obtain
701the best value to the state, the department shall adopt rules,
702pursuant to ss. 120.536(1) and 120.54, which prescribe the
703methods for the procurement of commodities or contractual
704services which do not exceed the threshold amount provided in s.
705287.028 for CATEGORY TWO.
706     (10)  An agency shall not divide the procurement of
707commodities or contractual services so as to avoid the
708requirements of ss. 287.0331-287.0333 subsections (1) through
709(5).
710     Section 13.  Paragraph (c) of subsection (5) of section
711287.057, Florida Statutes, is transferred to section 287.0335,
712Florida Statutes, which is created, and amended to read:
713     287.0335  Single source procurement.--
714     (c)  Commodities or contractual services available only
715from a single source may be excepted from the competitive-
716solicitation requirements. When an agency believes that
717commodities or contractual services are available only from a
718single source, the agency shall electronically post a
719description, in a form prescribed by the department, of the
720commodities or contractual services sought for a period of at
721least 7 business days. The description must include a request
722that prospective vendors provide information regarding their
723ability to supply the commodities or contractual services
724described. If it is determined in writing by the agency, after
725reviewing any information received from prospective vendors,
726that the commodities or contractual services are available only
727from a single source, the agency shall:
728     (1)1.  Provide notice, in a form prescribed by the
729department, of its intended decision to enter a single-source
730procurement purchase contract in the manner specified in s.
731120.57(3), if the value amount of the contract does not exceed
732the threshold amount provided in s. 287.028 287.017 for CATEGORY
733FOUR.
734     (2)2.  Request approval from the department for the single-
735source purchase, if the value amount of the contract exceeds the
736threshold amount provided in s. 287.028 287.017 for CATEGORY
737FOUR. The agency shall initiate its request for approval in a
738form prescribed by the department, which request may be
739electronically transmitted. The failure of the department to
740approve or disapprove the agency's request for approval within
74121 days after receiving such request shall constitute prior
742approval of the department. If the department approves the
743agency's request, the agency shall provide notice of its
744intended decision to enter a single-source contract in the
745manner specified in s. 120.57(3).
746     Section 14.  The introductory paragraph and paragraph (a)
747of subsection (5) of section 287.057, Florida Statutes, are
748transferred to section 287.0336, Florida Statutes, which is
749created, and amended to read:
750     287.0336  Emergency procurements.--
751     (5)  When the purchase price of commodities or contractual
752services exceeds the threshold amount provided in s. 287.028
753287.017 for CATEGORY TWO, a procurement no purchase of
754commodities or contractual services may be excepted from
755competitive solicitation requirements if made without receiving
756competitive sealed bids, competitive sealed proposals, or
757competitive sealed replies unless:
758     (a)  the agency head determines in writing that an
759immediate danger to the public health, safety, or welfare or
760other substantial loss to the state requires emergency action.
761After the agency head makes such a written determination, the
762agency may proceed with the procurement of commodities or
763contractual services necessitated by the immediate danger,
764without receiving competitive sealed bids, competitive sealed
765proposals, or competitive sealed replies. However, such
766emergency procurement shall be made by obtaining pricing
767information from at least two prospective vendors, which must be
768retained in the contract file, unless the agency determines in
769writing that the time required to obtain pricing information
770will increase the immediate danger to the public health, safety,
771or welfare or other substantial loss to the state. The agency
772shall furnish copies of all written determinations certified
773under oath and any other documents relating to the emergency
774action to the department. A copy of the statement shall be
775furnished to the Chief Financial Officer with the voucher
776authorizing payment. The individual purchase of personal
777clothing, shelter, or supplies which are needed on an emergency
778basis to avoid institutionalization or placement in a more
779restrictive setting is an emergency for the purposes of this
780section paragraph, and the filing with the department of such
781statement is not required in such circumstances. In the case of
782the emergency purchase of insurance, the period of coverage of
783such insurance shall not exceed a period of 30 days, and all
784such emergency purchases shall be reported to the department.
785     Section 15.  Paragraph (b) of subsection (5) of section
786287.057, Florida Statutes, and subsection (3) of section
787287.056, Florida Statutes, are transferred to section 287.0337,
788Florida Statutes, which is created, and amended to read:
789     287.0337  State term contract.--
790     (1)  Commodities or contractual services with a value
791exceeding the threshold amount provided in s. 287.028 for
792CATEGORY TWO shall be excepted from competitive solicitation
793requirements if procured
794     (b)  The purchase is made by an agency from a state term
795contract procured, pursuant to s. 287.0331, s. 287.0332, or s.
796287.0333 this section, by the department or by an agency, after
797receiving approval from the department, from a contract
798procured, pursuant to s. 287.0331 subsection (1), s. 287.0332
799subsection (2), or s. 287.0333 subsection (3), by another
800agency.
801     (2)(3)  Agencies and eligible users may use a request for
802quote to obtain written pricing or services information from a
803state term contract vendor for commodities or contractual
804services available on state term contract from that vendor. The
805purpose of a request for quote is to determine whether a price,
806term, or condition more favorable to the agency or eligible user
807than that provided in the state term contract is available. Use
808of a request for quote does not constitute a decision or
809intended decision that is subject to protest under s. 120.57(3).
810     (3)  The department may restrict purchases from term
811contracts to state agencies only for those term contracts for
812which the inclusion of other governmental entities will have an
813adverse effect on competition or to those federal facilities
814located in this state.
815     (4)  When procuring state term contracts, the department
816shall obtain expert advice and assistance from personnel of
817using agencies in the development of specifications.
818     Section 16.  Paragraphs (b), (c), (d), (f), and (g) of
819subsection (3) and subsection (13) of section 287.042, Florida
820Statutes, and subsections (4), (6), (7), and (20) of section
821287.057, Florida Statutes, are transferred to section 287.0341,
822Florida Statutes, which is created, and amended to read:
823     287.0341  General provisions.--
824     (1)  The department shall develop:
825     (a)(b)1.  Development of Procedures for advertising
826solicitations. These procedures must provide for electronic
827posting of solicitations for at least 10 days before the date
828set for receipt of bids, proposals, or replies, unless the
829department or other agency determines in writing that a shorter
830period of time is necessary to avoid harming the interests of
831the state. The Office of Supplier Diversity may consult with the
832department regarding the development of solicitation
833distribution procedures to ensure that maximum distribution is
834afforded to certified minority business enterprises as defined
835in s. 288.703.
836     (b)2.  Development of Procedures for electronic posting.
837The department shall designate a centralized website on the
838Internet for the department and other agencies to electronically
839post solicitations, decisions or intended decisions, and other
840matters relating to procurement. From July 1, 2002, until July
8411, 2003, the department shall publish a notice in each edition
842of the Florida Administrative Weekly which indicates the
843specific URL or Internet address for the centralized website.
844     (c)  Development of Procedures for the receipt and opening
845of bids, proposals, or replies by an agency. Such procedures
846shall provide the Office of Supplier Diversity an opportunity to
847monitor and ensure that the contract award is consistent with
848the requirements of s. 287.4471 287.09451.
849     (d)  Development of Procedures to be used by an agency in
850deciding to contract, including, but not limited to, identifying
851and assessing in writing project needs and requirements,
852availability of agency employees, budgetary constraints or
853availability, facility equipment availability, current and
854projected agency workload capabilities, and the ability of any
855other state agency to perform the services.
856     (e)(f)  Development of Procedures to be used by an agency
857for issuing solicitations that include requirements to describe
858commodities, services, scope of work, and deliverables in a
859manner that promotes competition.
860     (f)(g)  Development of Procedures to be used by an agency
861when issuing requests for information and requests for quotes.
862     (2)  Agencies shall use the definitions and classes of
863commodities and contractual services established by the
864department in acquiring or purchasing commodities or contractual
865services.
866     (3)(4)  Prior to the time for receipt of bids, proposals,
867or replies, an agency may conduct a conference or written
868question and answer period for purposes of assuring the vendor's
869full understanding of the solicitation requirements. The vendors
870shall be accorded fair and equal treatment.
871     (4)(6)  If less than two responsive bids, proposals, or
872replies for commodity or contractual services purchases are
873received, the department or other agency may negotiate on the
874best terms and conditions. The department or other agency shall
875document the reasons that such action is in the best interest of
876the state in lieu of resoliciting competitive sealed bids,
877proposals, or replies. Each agency shall report all such actions
878to the department on a quarterly basis, in a manner and form
879prescribed by the department.
880     (5)(7)  Upon issuance of any solicitation, an agency shall,
881upon request by the department, forward to the department one
882copy of each solicitation for all commodity and contractual
883services purchases in excess of the threshold amount provided in
884s. 287.028 287.017 for CATEGORY TWO. An agency shall also, upon
885request, furnish a copy of all competitive-solicitation
886tabulations. The Office of Supplier Diversity may also request
887from the agencies any information submitted to the department
888pursuant to this subsection.
889     (6)(20)  In any procurement with a value exceeding that
890costs more than the threshold amount provided for in s. 287.028
891287.017 for CATEGORY TWO and is accomplished without
892competition, the individuals taking part in the development or
893selection of criteria for evaluation, the evaluation process,
894and the award process shall attest in writing that they are
895independent of, and have no conflict of interest in, the
896entities evaluated and selected.
897     (7)(13)  If the department determines in writing that it is
898in the best interest of the state, the department may to award
899to multiple suppliers contracts for commodities and contractual
900services established by the department for use by all agencies.
901Such awards may be on a statewide or regional basis. If regional
902contracts are established by the department, multiple supplier
903awards may be based upon multiple awards for regions. Agencies
904may award contracts to a responsible and responsive vendor on a
905statewide or regional basis.
906     Section 17.  Subsection (17) of section 287.057, Florida
907Statutes, is transferred to section 287.036, Florida Statutes,
908which is created, and amended to read:
909     287.036  Evaluation teams; certified negotiators.--
910     (17)  For a contract the value of which is in excess of the
911threshold amount provided in s. 287.028 287.017 for CATEGORY
912FOUR, the agency head shall appoint:
913     (1)(a)  At least three persons to evaluate proposals and
914replies who collectively have experience and knowledge in the
915program areas and service requirements for which commodities or
916contractual services are sought.
917     (2)(b)  At least three persons to conduct negotiations
918during a competitive sealed reply procurement who collectively
919have experience and knowledge in negotiating contracts, contract
920procurement, and the program areas and service requirements for
921which commodities or contractual services are sought. When the
922value of the procurement is in excess of $1 million, at least
923one of the persons conducting negotiations must be a certified
924negotiator as established by the department in rule. If the
925agency does not have an employee who has the requisite
926certification, the department shall select a certified
927negotiator from another agency to participate in the
928negotiations on behalf of the procuring agency.
929     Section 18.  Section 287.037, Florida Statutes, is created
930to read:
931     287.037  Cost or pricing data; truth-in-negotiation
932certificate.--
933     (1)  The head of the procuring agency shall require vendors
934or contractors to provide data regarding cost, pricing, or
935consideration available prior to the award of a contract or
936modification of a contract if the price, cost, or consideration
937required by the contract exceeds $1 million and the price, cost,
938or consideration is not:
939     (a)  Based on adequate price competition;
940     (b)  Based on established catalog or market prices; or
941     (c)  Set by law or regulation.
942     (2)  Notwithstanding subsection (1), the head of the
943procuring agency may require a vendor to submit data about cost,
944pricing, or consideration if the head of the procuring agency
945determines that such data are necessary for the evaluation by
946the agency of the reasonableness of the price, cost, or
947consideration required by a contract or a modification to a
948contract. The procuring agency shall document in writing the
949reason for such requirement.
950     (3)  Data about cost, pricing, or consideration required by
951this section shall be submitted to the procuring agency within
95210 calendar days after the request, unless an extension is
953granted in writing by the head of the procuring agency. The
954vendor or contractor shall be required to execute a sworn truth-
955in-negotiation certificate stating that the data about cost,
956pricing, or consideration submitted is accurate, complete, and
957current.
958     (4)(a)  The agency may, at reasonable times and places,
959audit the books and records of any contractor who has submitted
960data about cost, pricing, or consideration pursuant to this
961section to the extent that such books and records relate to that
962data. A request by the agency to audit the contractor's books
963and records pursuant to this subsection may be made no later
964than 1 year after the termination of the contract.
965     (b)  Except as provided in the contract or otherwise by
966law, any contractor who receives a contract or contract
967modification for which such data is required shall maintain such
968books and records that relate to such data:
969     1.  If no request to audit is made by the agency within 1
970year after the date of contract termination, for 1 year after
971contract termination; or
972     2.  If a request to audit is made by the agency within 1
973year after the date of contract termination:
974     a.  Until notice is received by the contractor that the
975agency will not demand a contract adjustment pursuant to
976subsection (5); or
977     b.  Until resolution of any contract adjustment demanded by
978an agency according to the provision of subsection (5),
979
980whichever is later.
981     (5)  A contract or contract modification under which sworn
982data about cost, pricing, or consideration is required shall
983contain a provision that the price, cost, or consideration
984required by the contract to the state, including any profit or
985fee, shall be adjusted to exclude any significant sums by which
986the agency determines the contract price was increased due to
987inaccurate, incomplete, or noncurrent data about cost, pricing,
988or consideration. The procuring agency may demand such a
989contract adjustment within 1 year after complete and accurate
990data is obtained by the agency about actual prices, costs, or
991consideration following the termination of the contract.
992     (6)  As used in this section, the term "data about cost,
993pricing, or consideration" means all facts that a prudent buyer
994or seller would reasonably expect to affect price, cost, or
995consideration negotiations as of the date of the agreement on
996the price of a contract, the date of the contract modification,
997or another date agreed upon between the parties. The term does
998not include information that is in the form of opinion or
999conjecture, but does include factual information from which an
1000opinion or conjecture regarding cost, pricing, or consideration
1001may be derived.
1002     Section 19.  Subsection (19) of section 287.057, Florida
1003Statutes, is transferred to section 287.038, Florida Statutes,
1004which is created, and amended to read:
1005     287.038  Review and approval process.--
1006     (19)  Each agency shall establish a review and approval
1007process for all contractual services contracts valued in excess
1008of costing more than the threshold amount provided for in s.
1009287.028 287.017 for CATEGORY THREE which shall include, but not
1010be limited to, program, financial, and legal review and
1011approval. Such reviews and approvals shall be obtained before
1012the contract is executed.
1013     Section 20.  The section number, catchline, introductory
1014paragraph, paragraphs (a), (b), and (h) of subsection (1),
1015paragraph (a) of subsection (2), subsection (3), paragraph (a)
1016of subsection (4), subsections (5), (6), (7), (8), (9), (10),
1017(11), (12), and (14) of section 287.042, Florida Statutes, are
1018transferred to section 287.026, Florida Statutes, which is
1019created, and amended to read:
1020     287.026 287.042  Powers, duties, and functions.--The
1021department shall have the following powers, duties, and
1022functions:
1023     (1)(a)  To canvass all sources of supply, establish and
1024maintain a vendor list to be maintained by classes of
1025commodities and contractual services, and contract for the
1026purchase, lease, or acquisition, including purchase by
1027installment sales or lease-purchase contracts which may provide
1028for the payment of interest on unpaid portions of the purchase
1029price, of all commodities and contractual services required by
1030any agency under this chapter. Any contract providing for
1031deferred payments and the payment of interest shall be subject
1032to specific rules adopted by the department.
1033     (b)  The department may remove from its vendor list any
1034source of supply which fails to fulfill any of its duties
1035specified in a contract with the state. It may reinstate any
1036such source of supply when it is satisfied that further
1037instances of default will not occur.
1038     (h)  The department may collect fees for the use of its
1039electronic information services. The fees may be imposed on an
1040individual transaction basis or as a fixed subscription for a
1041designated period of time. At a minimum, the fees shall be
1042determined in an amount sufficient to cover the department's
1043projected costs of such services, including overhead in
1044accordance with the policies of the Department of Management
1045Services for computing its administrative assessment. All fees
1046collected pursuant to this paragraph shall be deposited in the
1047Grants and Donations Trust Fund for disbursement as provided by
1048law.
1049     (2)(a)  To establish purchasing agreements and procure
1050state term contracts for commodities and contractual services,
1051pursuant to ss. 287.0331-287.03335 s. 287.057, under which state
1052agencies shall, and eligible users may, make purchases pursuant
1053to ss. 287.0330 and 287.0337 s. 287.056. The department may
1054restrict purchases from some term contracts to state agencies
1055only for those term contracts where the inclusion of other
1056governmental entities will have an adverse effect on competition
1057or to those federal facilities located in this state. In such
1058planning or purchasing the Office of Supplier Diversity may
1059monitor to ensure that opportunities are afforded for
1060contracting with minority business enterprises. The department,
1061for state term contracts, and all agencies, for multiyear
1062contractual services or term contracts, shall explore reasonable
1063and economical means to utilize certified minority business
1064enterprises. Purchases by any county, municipality, private
1065nonprofit community transportation coordinator designated
1066pursuant to chapter 427, while conducting business related
1067solely to the Commission for the Transportation Disadvantaged,
1068or other local public agency under the provisions in the state
1069purchasing contracts, and purchases, from the corporation
1070operating the correctional work programs, of products or
1071services that are subject to s. 287.122(1)(c) paragraph (1)(f),
1072are exempt from the competitive solicitation requirements
1073otherwise applying to their purchases.
1074     (3)  To establish a system of coordinated, uniform
1075procurement policies, procedures, and practices to be used by
1076agencies in acquiring commodities and contractual services,
1077which shall include, but not be limited to:
1078     (a)  Development of a list of interested vendors to be
1079maintained by classes of commodities and contractual services.
1080This list shall not be used to prequalify vendors or to exclude
1081any interested vendor from bidding.
1082     (b)1.  Development of procedures for advertising
1083solicitations. These procedures must provide for electronic
1084posting of solicitations for at least 10 days before the date
1085set for receipt of bids, proposals, or replies, unless the
1086department or other agency determines in writing that a shorter
1087period of time is necessary to avoid harming the interests of
1088the state. The Office of Supplier Diversity may consult with the
1089department regarding the development of solicitation
1090distribution procedures to ensure that maximum distribution is
1091afforded to certified minority business enterprises as defined
1092in s. 288.703.
1093     2.  Development of procedures for electronic posting. The
1094department shall designate a centralized website on the Internet
1095for the department and other agencies to electronically post
1096solicitations, decisions or intended decisions, and other
1097matters relating to procurement. From July 1, 2002, until July
10981, 2003, the department shall publish a notice in each edition
1099of the Florida Administrative Weekly which indicates the
1100specific URL or Internet address for the centralized website.
1101     (c)  Development of procedures for the receipt and opening
1102of bids, proposals, or replies by an agency. Such procedures
1103shall provide the Office of Supplier Diversity an opportunity to
1104monitor and ensure that the contract award is consistent with
1105the requirements of s. 287.09451.
1106     (d)  Development of procedures to be used by an agency in
1107deciding to contract, including, but not limited to, identifying
1108and assessing in writing project needs and requirements,
1109availability of agency employees, budgetary constraints or
1110availability, facility equipment availability, current and
1111projected agency workload capabilities, and the ability of any
1112other state agency to perform the services.
1113     (e)  Development of procedures to be used by an agency in
1114maintaining a contract file for each contract which shall
1115include, but not be limited to, all pertinent information
1116relating to the contract during the preparatory stages; a copy
1117of the solicitation; documentation relating to the solicitation
1118process; opening of bids, proposals, or replies; evaluation and
1119tabulation of bids, proposals, or replies; and determination and
1120notice of award of contract.
1121     (f)  Development of procedures to be used by an agency for
1122issuing solicitations that include requirements to describe
1123commodities, services, scope of work, and deliverables in a
1124manner that promotes competition.
1125     (g)  Development of procedures to be used by an agency when
1126issuing requests for information and requests for quotes.
1127     (4)(a)  To prescribe the methods of securing competitive
1128sealed bids, proposals, and replies. Such methods may include,
1129but are not limited to, procedures for identifying vendors;
1130setting qualifications; conducting conferences or written
1131question and answer periods for purposes of responding to vendor
1132questions; evaluating bids, proposals, and replies; ranking and
1133selecting vendors; and conducting negotiations.
1134     (5)  To prescribe specific commodities and quantities to be
1135purchased locally.
1136     (6)(a)  To govern the purchase by any agency of any
1137commodity or contractual service and to establish standards and
1138specifications for any commodity.
1139     (b)  Except for the purchase of insurance, the department
1140may delegate to agencies the authority for the procurement of
1141and contracting for commodities or contractual services.
1142     (7)  To establish definitions and classes of commodities
1143and contractual services. Agencies shall follow the definitions
1144and classes of commodities and contractual services established
1145by the department in acquiring or purchasing commodities or
1146contractual services. The authority of the department under this
1147section shall not be construed to impair or interfere with the
1148determination by state agencies of their need for, or their use
1149of, services including particular specifications.
1150     (8)  To provide any commodity and contractual service
1151purchasing rules to the Chief Financial Officer and all agencies
1152through an electronic medium or other means. Agencies may not
1153approve any account or request any payment of any account for
1154the purchase of any commodity or the procurement of any
1155contractual service covered by a purchasing or contractual
1156service rule except as authorized therein. The department shall
1157furnish copies of rules adopted by the department to any county,
1158municipality, or other local public agency requesting them.
1159     (8)(9)  To require that every agency furnish information
1160relative to its commodity and contractual services purchases and
1161methods of purchasing commodities and contractual services to
1162the department when so requested.
1163     (9)(10)  To prepare statistical data concerning the method
1164of procurement, terms, usage, and disposition of commodities and
1165contractual services by agencies. All agencies shall furnish
1166such information for this purpose to the office and to the
1167department, as the department or office may call for, but no
1168less frequently than annually, on such forms or in such manner
1169as the department may prescribe.
1170     (10)(11)  To establish and maintain programs for the
1171purpose of disseminating information to government, industry,
1172educational institutions, and the general public concerning
1173policies, procedures, rules, and forms for the procurement of
1174commodities and contractual services. The department shall
1175furnish copies of rules adopted by the department to any county,
1176municipality, or other local public agency requesting them.
1177     (11)(12)  Except as otherwise provided herein, to adopt
1178rules necessary to carry out the purposes of this chapter
1179section, including the authority to delegate to any agency any
1180and all of the responsibility conferred by this chapter unless
1181otherwise provided by law section, retaining to the department
1182any and all authority for supervision thereof. Such purchasing
1183of commodities and procurement of contractual services by state
1184agencies shall be in strict accordance with the rules and
1185procedures prescribed by the department.
1186     (12)(14)  To procure and distribute federal surplus
1187tangible personal property allocated to the state by the Federal
1188Government.
1189     (13)  To develop, in consultation with the Department of
1190Financial Services, rules for use by agencies for share-in-
1191savings contracts in which the contractor receives a percentage
1192of the savings that the contractor generates.
1193     Section 21.  Subsection (23) of section 287.057, Florida
1194Statutes, is transferred to section 287.027, Florida Statutes,
1195which is created, and amended to read:
1196     287.027  Online procurement of commodities and services.--
1197     (23)(a)  The department, in consultation with the State
1198Technology Office and the Chief Financial Officer Comptroller,
1199shall develop a program for on-line procurement of commodities
1200and contractual services. To enable the state to promote open
1201competition and to leverage its buying power, agencies shall,
1202and eligible users may, procure commodities and contractual
1203services through participate in the on-line procurement program,
1204and eligible users may participate in the program. Only vendors
1205prequalified as meeting mandatory requirements and
1206qualifications criteria shall be permitted to participate in on-
1207line procurement. The department, in consultation with the State
1208Technology Office, may contract for equipment and services
1209necessary to develop and implement on-line procurement.
1210     (1)(b)  The department, in consultation with the State
1211Technology Office, shall adopt rules, pursuant to ss. 120.536(1)
1212and 120.54, to administer the program for on-line procurement.
1213The rules shall include, but not be limited to:
1214     (a)1.  Determining the requirements and qualification
1215criteria for prequalifying vendors.
1216     (b)2.  Establishing the procedures for conducting on-line
1217procurement.
1218     3.  Establishing the criteria for eligible commodities and
1219contractual services.
1220     (c)4.  Establishing the procedures for providing access to
1221on-line procurement.
1222     (d)5.  Determining the criteria warranting any exceptions
1223to the requirement that agencies procure commodities and
1224contractual services through participation in the on-line
1225procurement program.
1226     (2)(c)  The department may collect fees for the use of the
1227on-line procurement systems. The fees may be imposed on an
1228individual transaction basis or as a fixed percentage of the
1229cost savings generated. At a minimum, the fees must be set in an
1230amount sufficient to cover the projected costs of such services,
1231including administrative and project service costs in accordance
1232with the policies of the department; however, fees imposed on an
1233individual transaction basis may not exceed 1 percent of the
1234transaction amount. For the purposes of compensating the
1235provider, the department may authorize the provider to collect
1236and retain a portion of the fees. The providers may withhold the
1237portion retained from the amount of fees to be remitted to the
1238department. The department may negotiate the retainage as a
1239percentage of such fees charged to users, as a flat amount, or
1240as any other method the department deems feasible. All fees and
1241surcharges collected under this subsection paragraph shall be
1242deposited in the Grants and Donation Trust Fund as provided by
1243law.
1244     Section 22.  Section 287.045, Florida Statutes, is
1245renumbered as section 287.128, Florida Statutes, and amended to
1246read:
1247     287.128 287.045  Procurement of products and materials with
1248recycled content.--
1249     (1)(a)  The department, in cooperation with the Department
1250of Environmental Protection, shall adopt rules, pursuant to ss.
1251120.536(1) and 120.54, which provide review and revise existing
1252procurement procedures and specifications for the purchase and
1253use by the department, agencies, and contractors contracting
1254with agencies of products and materials to eliminate any
1255procedures and specifications that explicitly discriminate
1256against products and materials with recycled content or that may
1257be recycled or reused when these products or materials are
1258discarded. Such rules shall encourage the use of such products
1259or materials except in cases in which use would be detrimental
1260to where such procedures and specifications are necessary to
1261protect the public health, safety, and welfare.
1262     (b)  Each agency shall review and revise its procurement
1263procedures and specifications for the purchase of products and
1264materials to eliminate any procedures and specifications that
1265explicitly discriminate against products and materials with
1266recycled content, except if such procedures and specifications
1267are necessary to protect the public health, safety, and welfare.
1268     (2)(a)  The department and each agency shall review and
1269revise its procurement procedures and specifications for the
1270purchase of products and materials to ensure to the maximum
1271extent feasible that each agency uses state contracts to
1272purchase products or materials that may be recycled or reused
1273when these products or materials are discarded.
1274     (b)  The Auditor General shall assist in monitoring the
1275product procurement requirements.
1276     (3)  As part of the review and revision required in
1277subsection (2), the department and each agency shall review its
1278procurement provisions and specifications for the purchase of
1279products and materials to determine which products or materials
1280with recycled content could be procured by the department or
1281other agencies and the amount of recycled content that can
1282technologically be contained in such products or materials. The
1283department and other agencies must use the amounts of recycled
1284content and postconsumer recovered material determined by the
1285department in issuing solicitations for contracts for the
1286purchase of such products or materials.
1287     (4)  Upon completion of the review required in subsection
1288(3), the department and other agencies shall require that a
1289person who submits a bid, proposal, or reply for a contract for
1290the purchase of products or materials identified in subsection
1291(3) and who wishes to be considered for the price preference
1292described in subsection (5) certify in writing the percentage of
1293recycled content in the product or material that is subject to
1294the bid, proposal, or reply. A person may certify that the
1295product or material contains no recycled content.
1296     (5)  Upon evaluation of bids, proposals, or replies for
1297every public contract that involves the purchase of products or
1298materials identified in subsection (3), the department or other
1299agency shall identify the lowest responsible and responsive
1300vendor and other responsible and responsive vendors who have
1301certified that the products or materials contain at least the
1302minimum percentage of recycled content and postconsumer
1303recovered material that is set forth in the solicitation.
1304     (2)  The department or agency may consider life-cycle
1305costing when evaluating a bid, proposal, or reply on a product
1306that consists of recycled materials. The department shall adopt
1307rules that specify the criteria to be used when considering
1308life-cycle costing in evaluating bids, proposals, or replies.
1309The rules must take into account consideration the specified
1310warranty periods for products and the comparative expected
1311service life relative to the cost of the products.
1312     (3)  The rules may allow In awarding a contract for the
1313purchase of products or materials, the department or other
1314agency to grant may allow up to a 10-percent price preference to
1315a responsible and responsive vendor who has certified that the
1316products or materials contain at least the minimum percentage of
1317recycled content and postconsumer recovered material and up to
1318an additional 5-percent price preference to a responsible and
1319responsive vendor who has certified that the products or
1320material are made of materials recovered in this state. The
1321amount of the price preference must be commensurate with the
1322certified amounts of recycled material and postconsumer
1323recovered material and materials recycled from products in this
1324state, contained in the product or materials on a sliding scale
1325as established by department rule, which rule shall not become
1326effective prior to November 1, 1994. Reusable materials and
1327products shall be used where economically and technically
1328feasible. If no vendors offer products or materials with
1329measurable life-cycle costing factors or the minimum prescribed
1330recycled and postconsumer content, the contract must be awarded
1331to the lowest qualified responsible and responsive vendor.
1332     (6)  For the purposes of this section, the term "recycled
1333content" means materials that have been recycled that are
1334contained in the products or materials to be procured,
1335including, but not limited to, paper, aluminum, steel, glass,
1336plastics, and composted material. The term does not include the
1337virgin component of internally generated scrap that is commonly
1338used in industrial or manufacturing processes or such waste or
1339scrap purchased from another manufacturer who manufactures the
1340same or a closely related product. Recycled content printing and
1341fine writing grades of paper shall contain at least 10 percent
1342postconsumer recovered materials.
1343     (7)  Any person may request the department to evaluate a
1344product or material with recycled content if the product or
1345material is eligible for inclusion under state contracts. The
1346department shall review each reasonable proposal to determine
1347its merit and, if it finds that the product or material may be
1348used beneficially, it may incorporate that product or material
1349into its procurement procedures.
1350     (8)  The department and each agency shall review and revise
1351its procedures and specifications on a continuing basis to
1352encourage the use of products and materials with recycled
1353content and postconsumer recovered material and shall, in
1354developing new procedures and specifications, encourage the use
1355of products and materials with recycled content and postconsumer
1356recovered material.
1357     (9)  After November 1, 1994, the department may discontinue
1358contracting for products or materials the recycled content of
1359which does not meet the requirements of subsection (3) if it
1360determines that products or materials meeting those requirements
1361are available at a cost not to exceed an additional 10 percent
1362of comparable virgin products.
1363     (10)  An agency, or a vendor contracting with such agency
1364with respect to work performed under contract, must procure
1365products or materials with recycled content if the department
1366determines that those products or materials are available
1367pursuant to subsection (5). Notwithstanding any other provision
1368to the contrary, for the purpose of this section, the term
1369"agency" means any of the various state officers, departments,
1370boards, commissions, divisions, bureaus, and councils and any
1371other unit of organization, however designated, of the executive
1372branch including the Department of the Lottery, the legislative
1373branch, the judicial branch, the university and college boards
1374of trustees, and the state universities and colleges. A decision
1375not to procure such items must be based on the department's
1376determination that such procurement is not reasonably available
1377within an acceptable period of time or fails to meet the
1378performance standards set forth in the applicable specifications
1379or fails to meet the performance standards of the agency.
1380     (11)  Each agency shall report annually to the department
1381its total expenditures on, and use of, products with recycled
1382content and the percentage of its budget that represents
1383purchases of similar products made from virgin materials. The
1384department shall design a uniform reporting mechanism and
1385prepare annual summaries of statewide purchases delineating
1386those with recycled content to be submitted to the Governor, the
1387President of the Senate, and the Speaker of the House of
1388Representatives.
1389     Section 23.  Part III of chapter 287, Florida Statutes,
1390consisting of sections 287.0439, 287.044, 287.046, 287.047, and
1391287.048, Florida Statutes, is created to read:
1392
PART III
1393
OUTSOURCING
1394     287.0439  Definitions.--As used in this part, the term:
1395     (1)  "Cost" means the reasonable, relevant, and verifiable
1396cost, which may include, but not be limited to, such elements as
1397personnel costs, materials and supplies, services, equipment,
1398capital depreciation cost, rent, maintenance and repairs,
1399utilities, insurance, personnel travel, overhead, profit, and
1400interim and final payments. The appropriate elements shall
1401depend on the nature of the specific outsourcing or
1402privatization initiative.
1403     (2)  "Savings" means the difference between the recurring
1404operating appropriations or actual expenditures, whichever is
1405less, in the full fiscal year immediately prior to the signing
1406of the contract for outsourcing compared to the cost for the
1407outsourced functions or programs in any succeeding state fiscal
1408year during the term of the contract.
1409     287.044  General requirements.--
1410     (1)  An agency seeking to, or directed by the Legislature
1411to, outsource or privatize a function or a responsibility,
1412whether initially or after the expiration of a contract to
1413outsource or privatize, must comply with the requirements of
1414this part and the requirements of the Center for Efficient
1415Government as specified in part I if:
1416     (a)1.  The proposed outsourcing or privatization initiative
1417will transfer or shift work currently performed by state
1418employees to another entity, resulting in those state employees
1419no longer performing the work;
1420     2.  A current outsourcing or privatization initiative has
1421transferred or shifted work that had previously been performed
1422by state employees to another entity; or
1423     3.  The outsourcing or privatization initiative involves a
1424function or responsibility that is not currently being performed
1425by the state either by state employees or by a contractor; and
1426     (b)  The outsourcing or privatization initiative meets one
1427of the following criteria:
1428     1.  The value of the contract, as provided in s. 287.028,
1429over the proposed term of the contract is projected to exceed
1430the lesser of 5 percent of the implementing agency or agencies'
1431total budget or $10 million;
1432     2.  Reductions during the proposed term of the contract are
1433projected to exceed the lesser of 50 full-time-equivalent
1434positions, 5 percent of the agency's or agencies' authorized
1435full-time-equivalent positions, or 5 percent of the agency's or
1436agencies' authorized salaries and benefits; or
1437     3.  The Legislature directs that the outsourcing or
1438privatization initiative comply with this part.
1439
1440An agency or agencies shall not divide the outsourcing
1441initiative so as to avoid being subject to this part.
1442     (2)  Notwithstanding subsection (1), an outsourcing or
1443privatization initiative is not subject to this part if the
1444agency seeking to or directed by the Legislature to continue
1445outsourcing or privatizing a function or responsibility executed
1446a contract prior to July 1, 1994, to outsource or privatize that
1447function or responsibility and such continued outsourcing or
1448privatization would be substantially similar in nature and
1449purpose to the original outsourcing or privatization.
1450     287.046  Outsourcing or privatizing of functions or
1451responsibilities.--No agency may outsource or privatize any
1452function or responsibility without having or seeking authority
1453except as authorized by general law, the General Appropriations
1454Act, legislation implementing the General Appropriations Act, or
1455special appropriations acts, as needed. Prior to outsourcing or
1456privatizing a function or responsibility subject to this part,
1457the agency shall comply with the requirements of the center and
1458the board as specified in s. 287.0265 and the following
1459requirements:
1460     (1)  BUSINESS CASE.--The agency shall develop a business
1461case describing and analyzing the outsourcing or privatization
1462initiative. A business case is part of the solicitation process
1463and is not a rule subject to challenge pursuant to s. 120.54.
1464The business case shall include, but not be limited to, the
1465following information:
1466     (a)  A detailed description of the function or
1467responsibility to be outsourced or privatized, a description and
1468analysis of the agency's current performance, a rationale for
1469the proposed outsourcing or privatization initiative, and a
1470citation of the existing or proposed legal authority for
1471outsourcing or privatizing the function or responsibility.
1472     (b)  A cost-benefit analysis describing the estimated
1473specific tangible and intangible costs, savings, performance
1474improvements, risks, and qualitative and quantitative benefits
1475involved in or resulting from the outsourcing or privatization.
1476All elements of cost shall be clearly identified in the cost-
1477benefit analysis and described in the business case. The agency
1478shall certify that all costs, savings, and benefits are valid
1479and achievable.
1480     (c)  A statement of the potential impact on state revenues
1481and expenditures. The statement shall specifically address the
1482impact on general revenue, trust funds, general revenue service
1483charges, and interest on trust funds together with the potential
1484direct or indirect impact on federal funding and cost
1485allocations.
1486     (d)  A plan regarding compliance with public records law,
1487including:
1488     1.  A plan for providing public access to public records at
1489a cost that does not exceed that provided in chapter 119.
1490     2.  A plan ensuring the confidentiality of records which
1491are exempt or confidential and exempt under law.
1492     3.  A plan for meeting all requirements for record
1493retention provided by law.
1494     4.  A plan for transfer to the state, at no cost, all
1495public records in possession of the contractor upon termination
1496of the contract.
1497     (e)  An agency transition plan for addressing changes in
1498organizational structure, affected business processes, and
1499employee transition issues.
1500     (f)  A listing of assets proposed for transfer to or use by
1501a contractor, a description of the proposed requirements for
1502maintenance of those assets by the contractor or the agency in
1503accord with chapter 273, a plan for the disposition of such
1504assets upon termination of the contract, and a description of
1505how the planned asset transfer or use by a contractor is in the
1506best interests of the state.
1507
1508If an outsourcing or privatization initiative would require
1509integration with or would in any way impact other state
1510information technology systems, the agency shall submit the
1511feasibility study documentation as required by the legislative
1512budget request instructions established pursuant to s. 216.023.
1513     (2)  CONTRACT REQUIREMENTS.--Each outsourcing initiative,
1514and when appropriate a privatization initiative, shall be
1515memorialized in a written contract. At a minimum, the contract
1516shall include:
1517     (a)  For an outsourcing contract only, retention of
1518ultimate responsibility for the function or responsibility by
1519the agency.
1520     (b)  Clear and specific terms and conditions providing a
1521clearly defined scope of work that is directly related to the
1522goals and objectives of the outsourcing or privatization
1523initiative. The terms must include:
1524     1.  A detailed scope of work that clearly specifies each
1525service and deliverable to be provided.
1526     2.  All service-level agreements describing all necessary
1527performance requirements and state and contractor
1528responsibilities.
1529     3.  Associated costs and savings, specific payment terms,
1530including incentive and penalty provisions, criteria governing
1531payment, and a clear and specific schedule that will be
1532implemented in order to complete all required outsourcing
1533activities needed to transition the outsourced function or
1534responsibility from the state to the contractor and operate the
1535outsourced function or responsibility successfully.
1536     (c)  Clear and specific identification of all required
1537performance measures and levels that shall include, but not be
1538limited to:
1539     1.  Detailed measurable acceptance criteria for each
1540deliverable and service to be provided to the state under the
1541terms of the contract.
1542     2.  A method for monitoring and reporting progress in
1543achieving specified performance outcomes and associated
1544performance incentives.
1545     3.  The sanctions or penalties that shall be assessed for
1546contractor nonperformance.
1547     (d)  A description of deliverables, activities, or events
1548that are directly related to the scope of work that are
1549quantifiable, measurable, and verifiable.
1550     (e)  An organizational change management plan that clearly
1551identifies any changes in organizational structure, including
1552staffing and personnel changes in all affected agencies.
1553     (f)  A requirement that the contractor maintain adequate
1554accounting records.
1555     (g)  A requirement authorizing state access to and audit of
1556all records related to the contract and outsourced
1557responsibilities or functions for state audit purposes and the
1558audit of such responsibilities and functions, and a requirement
1559for Statement on Auditing Standards 70 audits, if appropriate.
1560     (h)  A requirement that ownership of any intellectual
1561property critical for the assumption of the outsourced function
1562or program by the state or another vendor shall transfer to the
1563state in the event a contractor ceases to provide the outsourced
1564function or responsibility.
1565     (i)  A requirement describing the timing, nature, and
1566substance of all status or progress reports that are to be
1567provided.
1568     (j)  A requirement that the contractor comply with public
1569records law. The contractor shall:
1570     1.  Keep and maintain the public records that ordinarily
1571and necessarily would be required by an agency to perform the
1572function or service.
1573     2.  Provide public access to such public records on the
1574same terms and conditions that an agency would and at a cost
1575that does not exceed that provided in chapter 119.
1576     3.  Ensure the confidentiality of records which are exempt
1577or confidential and exempt under law.
1578     4.  Meet all legal requirements for record retention.
1579     5.  Transfer to the state, at no cost to the state, all
1580public records in possession of the contractor upon termination
1581of the contract. All records stored electronically must be
1582provided to the state in a format compatible with state
1583information technology systems.
1584     (k)  Provisions that venue of any action regarding the
1585contract shall be in this state and that the contract shall be
1586interpreted according to the laws of this state.
1587     (3)  REPORTS TO THE LEGISLATURE.--The following reports and
1588information shall be furnished to the President of the Senate
1589and the Speaker of the House of Representatives by the center on
1590behalf of the agency for outsourcing or privatization
1591initiatives subject to this part:
1592     (a)  When an agency is seeking authority by law to
1593outsource or privatize a function or responsibility, the
1594business case shall be furnished at least 60 days prior to the
1595first day of the regular legislative session.
1596     (b)  When an agency has authority provided by law or is
1597required by legislative action to outsource or privatize a
1598function or responsibility and no business case was furnished
1599under paragraph (a), the business case shall be furnished at
1600least 30 days prior to the issuance of a solicitation to
1601outsource or privatize that function or responsibility.
1602     (c)  The solicitation documents for the outsourcing or
1603privatization initiative, a current and updated business case,
1604and a detailed listing of the changes to the business case in
1605the update shall be furnished at the time the solicitation is
1606advertised.
1607     (d)  A current and updated business case reflecting the
1608proposed contract, together with a detailed listing of the
1609changes to the business case in the update, shall be furnished
1610at least 15 days prior to contract execution if the quantitative
1611aspects of the updated business case's objectives, business
1612benefits, costs, savings, and benefits, project scope,
1613implementation approach, or timeline, as compared to those in
1614the business case provided with the solicitation documents, have
1615changed by 10 percent or more or the qualitative aspects have
1616changed significantly.
1617     (e)  An executed contract, a current and updated business
1618case, and a detailed listing of the changes to the business case
1619in the update shall be furnished no later than 15 days after
1620execution.
1621     (f)  Upon request by the Legislature, the agency shall
1622furnish a project status report for the outsourcing or
1623privatization initiative describing the progress made to date,
1624actual completion dates, actual costs incurred, current issues
1625requiring resolution, and planned project milestones,
1626deliverables, expenditures or consideration for the next
1627reporting period, and any other information the Legislature may
1628request.
1629     (g)  Notice of a proposed renewal of a contract for
1630outsourcing or privatization shall be furnished at least 15 days
1631prior to the execution of the contract for renewal, which notice
1632shall include a copy of the proposed renewal contract and an
1633updated business case complying with subsection (1).
1634     (4)  CONTRACT REVIEW AND OBJECTION.--If the proposed
1635contract terms result in a change in the updated business case
1636as compared to the business case provided with the solicitation
1637documents such that the quantitative aspects have changed by 10
1638percent or more as provided in paragraph (3)(d), or the
1639qualitative aspects have changed significantly, the Legislature
1640may object to the procurement as provided in s. 216.177(2)(b)
1641within 15 days after the receipt of the updated business case
1642reflecting the proposed final contract. Any such objection shall
1643be transmitted to the center and the agency. An agency shall not
1644execute the proposed final contract unless the objection is
1645withdrawn.
1646     (5)  CABINET AGENCIES.--Cabinet agencies may act on their
1647own behalf without the involvement or assistance of the center
1648when complying with this part.
1649     287.047  Access to records.--A contractor shall make
1650available for review any program-related records that it
1651produces or collects to the same extent those records would be
1652available from a state agency.
1653     287.048  Agency actions.--The actions of agencies in
1654accordance with this part are not grounds for protest under
1655chapter 120.
1656     Section 24.  Paragraphs (d), (e), (f), and (g) of
1657subsection (1) of section 287.042, Florida Statutes, are
1658transferred to section 287.122, Florida Statutes, which is
1659created, and amended to read:
1660     287.122  Purchases from correctional industry programs;
1661purchases from qualified nonprofit agencies for persons with
1662disabilities.--
1663     (1)(d)  With regard to the corporation operating the
1664correctional industry program provided for in s. 946.502, the
1665department shall: The department shall issue commodity numbers
1666for all products of the corporation operating the correctional
1667industry program which meet or exceed department specifications.
1668     (a)  Issue commodity numbers for all products of the
1669corporation operating the correctional industry program which
1670meet or exceed department specifications.
1671     (b)(e)  The department shall Include the products offered
1672by the corporation on any listing prepared by the department
1673which lists state term contracts executed by the department. The
1674products offered by the corporation and listed by the department
1675may be listed on a state term contract or listed as an exception
1676to the state term contract as determined by the department. The
1677products or services shall be placed on such list in a category
1678based upon specification criteria developed through a joint
1679effort of the department and the corporation and approved by the
1680department.
1681     (c)(f)  Allow the corporation to may submit products and
1682services to the department for testing, analysis, and review
1683relating to the quality and cost comparability. If, after review
1684and testing, the department approves of the products and
1685services, the department shall give written notice thereof to
1686the corporation. The corporation shall pay a reasonable fee
1687charged for testing its products by the Department of
1688Agriculture and Consumer Services.
1689     (2)(g)  The department shall include products and services
1690that are offered by a qualified nonprofit agency for persons
1691with disabilities the blind or for the other severely
1692handicapped organized pursuant to chapter 413 and that have been
1693determined to be suitable for purchase pursuant to s. 413.035 on
1694any department listing of state term contracts. The products and
1695services shall be placed on such list in a category based upon
1696specification criteria developed by the department in
1697consultation with the qualified nonprofit agency. The products
1698offered by a qualified nonprofit agency for persons with
1699disabilities and listed by the department may be listed on a
1700state term contract or listed as an exception to the state term
1701contract as determined by the department.
1702     Section 25.  Paragraphs (e), (f), and (g) of subsection (5)
1703and subsection (11) of section 287.057, Florida Statutes, are
1704transferred to section 287.123, Florida Statutes, which is
1705created, and amended to read:
1706     287.123  Purchases exempt from competitive solicitation
1707requirements.--The following contractual services and
1708commodities are not subject to the competitive-solicitation
1709requirements of part II:
1710     (1)(e)  Prescriptive assistive devices for the purpose of
1711medical, developmental, or vocational rehabilitation of clients,
1712which are excepted from competitive-solicitation requirements
1713and shall be procured pursuant to an established fee schedule or
1714by any other method which ensures the best price for the state,
1715taking into account consideration the needs of the client.
1716Prescriptive assistive devices include, but are not limited to,
1717prosthetics, orthotics, and wheelchairs. For purchases made
1718pursuant to this subsection paragraph, state agencies shall
1719annually file with the department a description of the purchases
1720and methods of procurement.
1721     (f)  The following contractual services and commodities are
1722not subject to the competitive-solicitation requirements of this
1723section:
1724     (2)1.  Artistic services.
1725     (3)2.  Academic program reviews.
1726     (4)3.  Lectures by individuals.
1727     (5)4.  Auditing services.
1728     (6)5.  Legal services, including attorney, paralegal,
1729expert witness, appraisal, or mediator services.
1730     (7)6.  Health services involving examination, diagnosis,
1731treatment, prevention, medical consultation, or administration.
1732     (8)7.  Services provided to persons with mental or physical
1733disabilities by not-for-profit corporations which have obtained
1734exemptions under the provisions of s. 501(c)(3) of the United
1735States Internal Revenue Code or when such services are governed
1736by the provisions of Office of Management and Budget Circular A-
1737122. However, in acquiring such services, the agency shall
1738consider the ability of the vendor, past performance,
1739willingness to meet time requirements, and price.
1740     (9)8.  Medicaid services delivered to an eligible Medicaid
1741recipient by a health care provider who has not previously
1742applied for and received a Medicaid provider number from the
1743Agency for Health Care Administration. However, this exception
1744shall be valid for a period not to exceed 90 days after the date
1745of delivery to the Medicaid recipient and shall not be renewed
1746by the agency.
1747     (10)9.  Family placement services.
1748     (11)10.  Prevention services related to mental health,
1749including drug abuse prevention programs, child abuse prevention
1750programs, and shelters for runaways, operated by not-for-profit
1751corporations. However, in acquiring such services, the agency
1752shall consider the ability of the vendor, past performance,
1753willingness to meet time requirements, and price.
1754     (12)11.  Training and education services provided to
1755injured employees pursuant to s. 440.49(1).
1756     (13)12.  Contracts entered into pursuant to s. 337.11.
1757     (14)13.  Services or commodities provided by political
1758subdivisions of the state, governmental agencies, state
1759universities and colleges, independent nonprofit colleges or
1760universities located within the state and accredited by the
1761Southern Association of Colleges and Schools, the Federal
1762Government or any department, commission, agency, or other
1763instrumentality thereof, and other states and their agencies.
1764     (15)(g)  Continuing education events or programs that are
1765offered to the general public and for which fees have been
1766collected that pay all expenses associated with the event or
1767program are exempt from requirements for competitive
1768solicitation.
1769     (16)(11)  A contract for commodities or contractual
1770services may be awarded without competition if state or federal
1771law prescribes with whom the agency must contract or if the rate
1772of payment is established during the appropriations process.
1773     Section 26.  Section 287.025, Florida Statutes, is
1774renumbered as section 287.1241, Florida Statutes, and amended to
1775read:
1776     287.1241 287.025  Prohibition against certain insurance
1777coverage on specified state property or insurable subjects.--
1778     (1)  No primary contract of insurance shall be procured
1779purchased on insurable subjects or property titled in the name
1780of the state or its departments, divisions, bureaus,
1781commissions, or agencies with respect to any of the following
1782properties, coverages, or insurable subjects:
1783     (a)  Physical damage insurance on motor vehicles which are
1784licensed for use on the public highways of this state. For the
1785purpose of this chapter, the term "physical damage insurance"
1786means coverage against collision, upset or overturn, fire,
1787theft, combined additional coverage, or comprehensive;
1788     (b)  Physical damage insurance on watercraft and related
1789equipment;
1790     (c)  Loss of rental income on any buildings unless the
1791buildings are financed in whole or in part by revenue bonds or
1792certificates the terms of which require such coverage or unless
1793otherwise authorized by law;
1794     (d)  Miscellaneous equipment which is subject to a
1795transportation feature and subject to ordinarily being covered
1796by an inland marine insurance floater. The term "miscellaneous
1797equipment" does not include boilers and machinery or nuclear
1798equipment;
1799     (e)  Museum collections, artifacts, relics, or fine arts;
1800     (e)(f)  Hull coverage on aircraft;
1801     (f)(g)  Glass insurance;
1802     (g)(h)  Coverage for loss against vandalism or malicious
1803mischief unless these perils are included within an all-risks-
1804of-physical-loss form; and
1805     (h)(i)  Insurance against loss or damage to livestock and
1806services of a veterinary for such animals.
1807     (2)  Excess insurance may be procured purchased to cover
1808loss for physical damage on the above-described properties or
1809risk if the aggregate exposure at any one location or actual
1810cash value of any one item exceeds the sum of $10,000. However,
1811no excess insurance shall be purchased on any items listed in
1812paragraphs (1)(c), (f)(e), (g), and (h), and (i), regardless of
1813value or risk.
1814     (3)  Any items, property, or insurable subjects titled in
1815the name of the state or its departments, divisions, bureaus,
1816commissions, or agencies which are not included or insured by
1817the State Risk Management Trust Fund under chapter 284 or
1818specifically designated not to be insured by this section shall
1819be eligible subjects for insurance coverage through commercial
1820insurance carriers as otherwise provided by law.
1821     (4)  No primary insurance contracts shall be procured
1822purchased on any property or insurable subjects when the same is
1823loaned to, leased by, or intended to be leased by, the state or
1824its departments, divisions, bureaus, commissions, or agencies
1825unless such coverage is required by the terms of the lease
1826agreement and unless the insurance coverages required by the
1827provisions of the lease are approved in writing by the
1828Department of Management Services.
1829     Section 27.  Section 287.055, Florida Statutes, is
1830renumbered as section 287.125, Florida Statutes, and subsections
1831(2) and (7) and paragraph (c) of subsection (9) of said section
1832are amended, to read:
1833     287.125 287.055  Acquisition of professional architectural,
1834engineering, landscape architectural, or surveying and mapping
1835services; definitions; procedures; contingent fees prohibited;
1836penalties.--
1837     (2)  DEFINITIONS.--For purposes of this section:
1838     (a)(b)  "Agency" means the state, a state agency, a
1839municipality, a political subdivision, a school district, or a
1840school board. The term "agency" does not extend to a
1841nongovernmental developer that contributes public facilities to
1842a political subdivision under s. 380.06 or ss. 163.3220-
1843163.3243.
1844     (b)(e)  "Agency official" means any elected or appointed
1845officeholder, employee, consultant, person in the category of
1846other personal service or any other person receiving
1847compensation from the state, a state agency, municipality, or
1848political subdivision, a school district or a school board.
1849     (c)(d)  "Compensation" means the total amount paid by the
1850agency for professional services.
1851     (d)(g)  A "Continuing contract" means is a contract for
1852professional services entered into in accordance with all the
1853procedures of this act between an agency and a firm whereby the
1854firm provides professional services to the agency for projects
1855in which construction costs do not exceed $1 million, for study
1856activity when the fee for such professional service does not
1857exceed $50,000, or for work of a specified nature as outlined in
1858the contract required by the agency, with no time limitation
1859except that the contract must provide a termination clause.
1860     (e)  "Department" means the Department of Management
1861Services.
1862     (f)(i)  A "Design-build contract" means a single contract
1863with a design-build firm for the design and construction of a
1864public construction project.
1865     (g)(h)  A "Design-build firm" means a partnership,
1866corporation, or other legal entity that:
1867     1.  Is certified under s. 489.119 to engage in contracting
1868through a certified or registered general contractor or a
1869certified or registered building contractor as the qualifying
1870agent; or
1871     2.  Is certified under s. 471.023 to practice or to offer
1872to practice engineering; certified under s. 481.219 to practice
1873or to offer to practice architecture; or certified under s.
1874481.319 to practice or to offer to practice landscape
1875architecture.
1876     (h)(j)  A "Design criteria package" means concise,
1877performance-oriented drawings or specifications of the public
1878construction project. The purpose of the design criteria package
1879is to furnish sufficient information to permit design-build
1880firms to prepare a bid or a response to an agency's request for
1881proposal, or to permit an agency to enter into a negotiated
1882design-build contract. The design criteria package must specify
1883performance-based criteria for the public construction project,
1884including the legal description of the site, survey information
1885concerning the site, interior space requirements, material
1886quality standards, schematic layouts and conceptual design
1887criteria of the project, cost or budget estimates, design and
1888construction schedules, site development requirements,
1889provisions for utilities, stormwater retention and disposal, and
1890parking requirements applicable to the project.
1891     (i)(k)  A "Design criteria professional" means a firm who
1892holds a current certificate of registration under chapter 481 to
1893practice architecture or landscape architecture or a firm who
1894holds a current certificate as a registered engineer under
1895chapter 471 to practice engineering and who is employed by or
1896under contract to the agency for the providing of professional
1897architect services, landscape architect services, or engineering
1898services in connection with the preparation of the design
1899criteria package.
1900     (j)(c)  "Firm" means any individual, firm, partnership,
1901corporation, association, or other legal entity permitted by law
1902to practice architecture, engineering, or surveying and mapping
1903in the state.
1904     (k)(a)  "Professional services" means those services within
1905the scope of the practice of architecture, professional
1906engineering, landscape architecture, or registered surveying and
1907mapping, as defined by the laws of the state, or those performed
1908by any architect, professional engineer, landscape architect, or
1909registered surveyor and mapper in connection with his or her
1910professional employment or practice.
1911     (l)(f)  "Project" means that fixed capital outlay study or
1912planning activity described in the public notice of the state or
1913a state agency under paragraph (3)(a). A project may include:
1914     1.  A grouping of minor construction, rehabilitation, or
1915renovation activities.
1916     2.  A grouping of substantially similar construction,
1917rehabilitation, or renovation activities.
1918     (7)  AUTHORITY OF DEPARTMENT OF MANAGEMENT
1919SERVICES.--Notwithstanding any other provision of this section,
1920Notwithstanding any other provision of this section, the
1921department of Management Services shall be the agency of state
1922government which is solely and exclusively authorized and
1923empowered to administer and perform the functions described in
1924subsections (3), (4), and (5) respecting all projects for which
1925the funds necessary to complete same are appropriated to the
1926department of Management Services, irrespective of whether such
1927projects are intended for the use and benefit of the department
1928of Management Services or any other agency of government.
1929However, nothing herein shall be construed to be in derogation
1930of any authority conferred on the department of Management
1931Services by other express provisions of law. Additionally, any
1932agency of government may, with the approval of the department of
1933Management Services, delegate to the department of Management
1934Services authority to administer and perform the functions
1935described in subsections (3), (4), and (5). Under the terms of
1936the delegation, the agency may reserve its right to accept or
1937reject a proposed contract.
1938     (9)  APPLICABILITY TO DESIGN-BUILD CONTRACTS.--
1939     (c)  Except as otherwise provided in s. 337.11(7), the
1940department of Management Services shall adopt rules for the
1941award of design-build contracts to be followed by state
1942agencies. Each other agency must adopt rules or ordinances for
1943the award of design-build contracts. Municipalities, political
1944subdivisions, school districts, and school boards shall award
1945design-build contracts by the use of a competitive proposal
1946selection process as described in this subsection, or by the use
1947of a qualifications-based selection process pursuant to
1948subsections (3), (4), and (5) for entering into a contract
1949whereby the selected firm will subsequently establish a
1950guaranteed maximum price and guaranteed completion date. If the
1951procuring agency elects the option of qualifications-based
1952selection, during the selection of the design-build firm the
1953procuring agency shall employ or retain a licensed design
1954professional appropriate to the project to serve as the agency's
1955representative. Procedures for the use of a competitive proposal
1956selection process must include as a minimum the following:
1957     1.  The preparation of a design criteria package for the
1958design and construction of the public construction project.
1959     2.  The qualification and selection of no fewer than three
1960design-build firms as the most qualified, based on the
1961qualifications, availability, and past work of the firms,
1962including the partners or members thereof.
1963     3.  The criteria, procedures, and standards for the
1964evaluation of design-build contract proposals or bids, based on
1965price, technical, and design aspects of the public construction
1966project, weighted for the project.
1967     4.  The solicitation of competitive proposals, pursuant to
1968a design criteria package, from those qualified design-build
1969firms and the evaluation of the responses or bids submitted by
1970those firms based on the evaluation criteria and procedures
1971established prior to the solicitation of competitive proposals.
1972     5.  For consultation with the employed or retained design
1973criteria professional concerning the evaluation of the responses
1974or bids submitted by the design-build firms, the supervision or
1975approval by the agency of the detailed working drawings of the
1976project; and for evaluation of the compliance of the project
1977construction with the design criteria package by the design
1978criteria professional.
1979     6.  In the case of public emergencies, for the agency head
1980to declare an emergency and authorize negotiations with the best
1981qualified design-build firm available at that time.
1982     Section 28.  Section 287.058, Florida Statutes, is
1983renumbered as section 287.31, Florida Statutes, and amended to
1984read:
1985     287.31 287.058  Contract document.--
1986     (1)  Every procurement of contractual services valued in
1987excess of the threshold amount provided in s. 287.028 287.017
1988for CATEGORY TWO, except for the providing of health and mental
1989health services or drugs in the examination, diagnosis, or
1990treatment of sick or injured state employees or the providing of
1991other benefits as required by the provisions of chapter 440,
1992shall be evidenced by a written agreement embodying all
1993provisions and conditions of the procurement of such services,
1994which provisions and conditions shall, where applicable,
1995include, but shall not be limited to:
1996     (a)  A provision that bills for fees or other compensation
1997for services or expenses be submitted in detail sufficient for a
1998proper preaudit and postaudit thereof.
1999     (b)  A provision that bills for any travel expenses be
2000submitted in accordance with s. 112.061. A state agency may
2001establish rates lower than the maximum provided in s. 112.061.
2002     (c)  A provision allowing unilateral cancellation by the
2003agency for refusal by the contractor to allow public access to
2004all documents, papers, letters, or other material made or
2005received by the contractor in conjunction with the contract,
2006unless the records are exempt from s. 24(a) of Art. I of the
2007State Constitution and s. 119.07(1).
2008     (d)  A provision dividing the contract into units of
2009deliverables, which shall include, but not be limited to,
2010reports, findings, and drafts, that must be received and
2011accepted in writing by the contract manager prior to payment.
2012     (e)  A provision specifying the criteria and the final date
2013by which such criteria must be met for completion of the
2014contract.
2015     (f)  A provision specifying that the contract may be
2016renewed for a period that may not exceed 3 years or the term of
2017the original contract, whichever period is longer, specifying
2018the renewal price for the contractual service as set forth in
2019the bid, proposal, or reply, specifying that costs for the
2020renewal may not be charged, and specifying that renewals shall
2021be contingent upon satisfactory performance evaluations by the
2022agency and subject to the availability of funds. Exceptional
2023purchase contracts pursuant to ss. 287.0335 and 287.0336 s.
2024287.057(5)(a) and (c) may not be renewed.
2025
2026In lieu of a written agreement, the department may authorize the
2027use of a purchase order for classes of contractual services, if
2028the provisions of paragraphs (a)-(f) are included in the
2029purchase order or solicitation. The purchase order must include,
2030but need not be limited to, an adequate description of the
2031services, the contract period, and the method of payment. In
2032lieu of printing the provisions of paragraphs (a)-(f) in the
2033contract document or purchase order, agencies may incorporate
2034the requirements of paragraphs (a)-(f) by reference.
2035     (2)  The written agreement shall be signed by the agency
2036head and the contractor prior to the rendering of any
2037contractual service the value of which is in excess of the
2038threshold amount provided in s. 287.028 287.017 for CATEGORY
2039TWO, except in the case of a valid emergency as certified by the
2040agency head. The certification of an emergency shall be prepared
2041within 30 days after the contractor begins rendering the service
2042and shall state the particular facts and circumstances which
2043precluded the execution of the written agreement prior to the
2044rendering of the service. If the agency fails to have the
2045contract signed by the agency head and the contractor prior to
2046rendering the contractual service, and if an emergency does not
2047exist, the agency head shall, no later than 30 days after the
2048contractor begins rendering the service, certify the specific
2049conditions and circumstances to the department as well as
2050describe actions taken to prevent recurrence of such
2051noncompliance. The agency head may delegate the certification
2052only to other senior management agency personnel. A copy of the
2053certification shall be furnished to the Chief Financial Officer
2054with the voucher authorizing payment. The department shall
2055report repeated instances of noncompliance by an agency to the
2056Auditor General. Nothing in this subsection shall be deemed to
2057authorize additional compensation prohibited by s. 215.425. The
2058procurement of contractual services shall not be divided so as
2059to avoid the provisions of this section.
2060     (3)  Notwithstanding the provisions of subsections (1) and
2061(2), in those cases in which state agencies are unable to
2062procure a written agreement for the providing of health and
2063mental health services or drugs in the examination, diagnosis,
2064or treatment of sick or injured persons in the care or custody
2065of a state agency, those services and drugs may be obtained by
2066purchase order. The purchase order shall contain sufficient
2067detail for a proper audit and shall be signed by purchasing or
2068contracting personnel acting on behalf of the agency.
2069     (4)  Every procurement of contractual services of the value
2070of the threshold amount provided in s. 287.028 287.017 for
2071CATEGORY TWO or less, except for the providing of health and
2072mental health services or drugs in the examination, diagnosis,
2073or treatment of sick or injured state employees or the providing
2074of other benefits as required by the provisions of chapter 440,
2075shall be evidenced by a written agreement or purchase order. The
2076written agreement or purchase order must contain sufficient
2077detail for a proper audit, must be signed by purchasing or
2078contracting personnel acting on behalf of the agency, and may
2079contain the provisions and conditions provided in subsection
2080(1).
2081     (5)  An agency or contractor may, directly or indirectly,
2082require from or levy or impose upon a person who is not a party
2083to a contract a fee, tax, or other charge only if specifically
2084authorized by law to do so.
2085     (6)  For share-in-savings contracts as defined in s.
2086287.026(13), the contract shall include, but not be limited to:
2087     (a)  Clearly defined outcomes.
2088     (b)  A relevant, objective, and reliable baseline that
2089incorporates a measure of the costs incurred during the baseline
2090period as well as  a measure of the operating efficiency and
2091effectiveness of the baseline period for comparison purposes to
2092the costs and operating efficiencies and effectiveness
2093experienced after project implementation. The baseline shall be
2094established prior to the signing of the contract and be reviewed
2095and approved by the department and the Chief Financial Officer
2096for relevance, accuracy, and completeness.
2097     (c)  A provision establishing the methodology for
2098calculating and documenting savings to be produced by the
2099project. The methodology shall require that the calculation be
2100documented and supported by verifiable information included in
2101the agency's records and shall include amounts paid to the
2102contractor.
2103     (d)  A provision specifying the financial arrangement if
2104certain savings or revenues are not realized as expected.
2105     (e)  A compensation cap, if appropriate to ensure that the
2106amount paid is reasonable in relation to the value of the
2107services received by the state.
2108     (f)  A clause describing the steps that will be taken to
2109settle disputes over share-in-savings payments.
2110     (g)  A provision identifying agency staff responsible for
2111maintaining the baseline and monitoring cost savings
2112calculations.
2113     (7)(5)  Unless otherwise provided in the General
2114Appropriations Act or the substantive bill implementing the
2115General Appropriations Act, the Chief Financial Officer may
2116waive the requirements of subsections (1)?(4) this section for
2117services which are included in s. 287.123(2)-(14) 287.057(5)(f).
2118     Section 29.  Subsections (15) and (16) of section 287.0567,
2119Florida Statutes, and paragraph (e) of subsection (3) of section
2120287.042, Florida Statutes, are transferred to section 287.321,
2121Florida Statutes, which is created, and amended to read:
2122     287.321  Contract manager; contract administrator; contract
2123file.--
2124     (1)(15)  For each contractual services contract, the agency
2125shall designate an employee to function as contract manager who
2126shall be responsible for enforcing performance of the contract
2127terms and conditions and serve as a liaison with the contractor.
2128The agency shall establish procedures to ensure that contractual
2129services have been rendered in accordance with the contract
2130terms prior to processing the invoice for payment.
2131     (2)(16)  Each agency shall designate at least one employee
2132who shall serve as a contract administrator responsible for
2133maintaining a contract file and financial information on all
2134contractual services contracts and who shall serve as a liaison
2135with the contract managers and the department.
2136     (3)(e)  The department shall develop Development of
2137procedures to be used by an agency in maintaining a contract
2138file for each contract which shall include, but not be limited
2139to, all pertinent information relating to the contract during
2140the preparatory stages; a copy of the solicitation;
2141documentation relating to the solicitation process; opening of
2142bids, proposals, or replies; evaluation and tabulation of bids,
2143proposals, or replies; and determination and notice of award of
2144contract.
2145     Section 30.  Section 287.34, Florida Statutes, is created
2146to read:
2147     287.34  Approval of accounts; request for
2148payment.--Agencies may not approve any account or request any
2149Agencies may not approve any account or request any payment of
2150any account for the procurement of any commodity or contractual
2151service covered by a purchasing or contractual service rule
2152except as authorized in the rule.
2153     Section 31.  Paragraphs (b) and (c) of subsection (2) of
2154section 287.042, Florida Statutes, are transferred to section
2155287.55, which is created, and amended to read:
2156     287.55  Bid protests.--
2157     (1)(b)  As an alternative to any provision in s.
2158120.57(3)(c), the department or agency may proceed with the
2159competitive solicitation or contract award process of a term
2160contract when the secretary of the department, the agency head,
2161or his or her designee sets forth in writing particular facts
2162and circumstances which demonstrate that the delay incident to
2163staying the solicitation or contract award process would be
2164detrimental to the interests of the state. After the award of a
2165contract resulting from a competitive solicitation in which a
2166timely protest was received and in which the state did not
2167prevail, the contract may be canceled and reawarded.
2168     (2)(c)  Any person who files an action protesting a
2169decision or intended decision pertaining to contracts
2170administered by the department, a water management district, or
2171an agency pursuant to s. 120.57(3)(b) shall post with the
2172department, the water management district, or the agency at the
2173time of filing the formal written protest a bond payable to the
2174department, the water management district, or agency in an
2175amount equal to 1 percent of the estimated contract amount. For
2176protests of decisions or intended decisions pertaining to
2177exceptional purchases, the bond shall be in an amount equal to 1
2178percent of the estimated contract amount for the exceptional
2179purchase. The estimated contract amount shall be based upon the
2180contract price submitted by the protestor or, if no contract
2181price was submitted, the department, water management district,
2182or agency shall estimate the contract amount based on factors
2183including, but not limited to, the price of previous or existing
2184contracts for similar commodities or contractual services, the
2185amount appropriated by the Legislature for the contract, or the
2186fair market value of similar commodities or contractual
2187services. The agency shall provide the estimated contract amount
2188to the vendor within 72 hours, excluding Saturdays, Sundays, and
2189state holidays, after the filing of the notice of protest by the
2190vendor. The estimated contract amount is not subject to protest
2191pursuant to s. 120.57(3). The bond shall be conditioned upon the
2192payment of all costs and charges that are adjudged against the
2193protestor in the administrative hearing in which the action is
2194brought and in any subsequent appellate court proceeding. In
2195lieu of a bond, the department, the water management district,
2196or agency may, in either case, accept a cashier's check,
2197official bank check, or money order in the amount of the bond.
2198If, after completion of the administrative hearing process and
2199any appellate court proceedings, the department, water
2200management district, or agency prevails, it shall recover all
2201costs and charges which shall be included in the final order or
2202judgment, excluding attorney's fees. This section shall not
2203apply to protests filed by the Office of Supplier Diversity.
2204Upon payment of such costs and charges by the protestor, the
2205bond, cashier's check, official bank check, or money order shall
2206be returned to the protestor. If, after the completion of the
2207administrative hearing process and any appellate court
2208proceedings, the protestor prevails, the protestor shall recover
2209from the department, water management district, or agency all
2210costs and charges which shall be included in the final order or
2211judgment, excluding attorney's fees.
2212     Section 32.  Section 287.132, Florida Statutes, is
2213renumbered as section 287.561, Florida Statutes, and amended to
2214read:
2215     287.561 287.132  Legislative intent with respect to
2216integrity of public contracting and purchasing
2217process.--Recognizing that the preservation of the integrity of
2218Recognizing that the preservation of the integrity of the public
2219contracting and purchasing process of the state is vital and is
2220a matter of interest to all the people of the state, the
2221Legislature determines and declares that:
2222     (1)  The procedures of public entities for determining with
2223whom they transact business exist to secure for the public the
2224benefits of free, fair, and open competition among those persons
2225whose conduct reflects good citizenship.
2226     (2)  Public employees must discharge their duties
2227impartially so as to assure fair competitive access to
2228governmental procurement by responsible vendors and contractors.
2229Moreover, public employees should conduct themselves in such a
2230manner as to foster public confidence in the integrity of the
2231procurement process.
2232     (3)(2)  The opportunity to bid on public entity contracts
2233or to supply goods and services to public entities or to
2234otherwise transact business with public entities is a privilege,
2235not a right.
2236     (4)(3)  In order to preserve the integrity of the public
2237contracting and purchasing process, the privilege of transacting
2238business with public entities should be denied to persons
2239involved in certain crimes.
2240     (5)(4)  Persons involved in certain crimes should be denied
2241the privilege of transacting business with public entities and
2242the opportunity of obtaining economic benefit through the
2243transaction of business of any kind with public entities.
2244
2245To these ends, it is the intent of the Legislature to provide
2246sufficient authority to the state, its departments and agencies,
2247and political subdivisions to ensure the integrity of public
2248contracting and purchasing.
2249     Section 33.  Section 287.133, Florida Statutes, is
2250renumbered as section 287.562, Florida Statutes, and paragraph
2251(f) of subsection (3) of said section is amended, to read:
2252     287.562 287.133  Public entity crime; denial or revocation
2253of the right to transact business with public entities.--
2254     (3)
2255     (f)1.  A person on the convicted vendor list may petition
2256for removal from the list no sooner than 6 months from the date
2257a final order is entered disqualifying that person from the
2258public purchasing and contracting process pursuant to this
2259section, but may petition for removal at any time if the
2260petition is based upon a reversal of the conviction on appellate
2261review or pardon. The petition shall be filed with the
2262department, and the proceeding shall be conducted pursuant to
2263the procedures and requirements of this subsection.
2264     2.  A person may be removed from the convicted vendor list
2265subject to such terms and conditions as may be prescribed by the
2266administrative law judge upon a determination that removal is in
2267the public interest. In determining whether removal would be in
2268the public interest, the administrative law judge shall take
2269into account give consideration to any relevant factors,
2270including, but not limited to, the factors identified in
2271subparagraph (e)3. Upon proof that a person's conviction has
2272been reversed on appellate review or that he or she has been
2273pardoned, the administrative law judge shall determine that
2274removal of the person or an affiliate of that person from the
2275convicted vendor list is in the public interest.
2276     3.  If a petition for removal is denied, the person or
2277affiliate may not petition for another hearing on removal for a
2278period of 9 months after the date of denial, unless the petition
2279is based upon a reversal of the conviction on appellate review
2280or a pardon. The department may petition for removal prior to
2281the expiration of such period if, in its discretion, it
2282determines that removal would be in the public interest.
2283     Section 34.  Subsections (15) and (16) of section 287.042,
2284Florida Statutes, are transferred to section 287.57, Florida
2285Statutes, which is created, and amended to read:
2286     287.57  Cooperative purchasing.--The department may:
2287     (1)(15)(a)  To Enter into joint agreements with
2288governmental agencies, as defined in s. 163.3164(10), for the
2289purpose of pooling funds for the purchase of commodities or
2290information technology that can be used by multiple agencies.
2291However, the department shall consult with the State Technology
2292Office on joint agreements that involve the purchase of
2293information technology. Agencies entering into joint purchasing
2294agreements with the department or the State Technology Office
2295shall authorize the department or the State Technology Office to
2296contract for such purchases on their behalf.
2297     (b)  Each agency that has been appropriated or has existing
2298funds for such purchases, shall, upon contract award by the
2299department, transfer their portion of the funds into the
2300department's Grants and Donations Trust Fund for payment by the
2301department. These funds shall be transferred by the Executive
2302Office of the Governor pursuant to the agency budget amendment
2303request provisions in chapter 216.
2304     (c)  Agencies that sign such joint agreements are
2305financially obligated for their portion of the agreed-upon
2306funds. If any agency becomes more than 90 days delinquent in
2307paying such funds, the department shall certify to the Chief
2308Financial Officer the amount due, and the Chief Financial
2309Officer shall transfer the amount due to the Grants and
2310Donations Trust Fund of the department from any of the agency's
2311available funds. The Chief Financial Officer shall report all
2312such transfers and the reasons for such transfers to the
2313Executive Office of the Governor and the legislative
2314appropriations committees.
2315     (2)(16)(a)  To Evaluate contracts let by the Federal
2316Government, another state, or a political subdivision for the
2317provision of commodities and contractual contract services, and,
2318when it is determined in writing to be cost-effective and in the
2319best interest of the state, to enter into a written agreement
2320authorizing an agency to make purchases under a contract
2321approved by the department and let by the Federal Government,
2322another state, or a political subdivision.
2323     (b)  For contracts pertaining to the provision of
2324information technology, the State Technology Office, in
2325consultation with the department, shall assess the technological
2326needs of a particular agency, evaluate the contracts, and
2327determine whether to enter into a written agreement with the
2328letting federal, state, or political subdivision body to provide
2329information technology for a particular agency.
2330     Section 35.  Section 287.16, Florida Statutes, is
2331renumbered as section 287.65, Florida Statutes, and subsection
2332(2) of said section is amended, to read:
2333     287.65 287.16  Powers and duties of department.--The
2334Department of Management Services shall have the following
2335powers, duties, and responsibilities:
2336     (2)  To establish and operate central facilities for the
2337acquisition, disposal, operation, maintenance, repair, storage,
2338supervision, control, and regulation of all state-owned or
2339state-leased aircraft, watercraft, and motor vehicles and to
2340operate any state facilities for those purposes. Acquisition may
2341be by purchase, lease, loan, or in any other legal manner. The
2342department may contract for the maintenance of motor vehicles.
2343     Section 36.  Section 287.161, Florida Statutes, is
2344renumbered as section 287.655, Florida Statutes, and amended to
2345read:
2346     287.655 287.161  Executive aircraft pool; assignment of
2347aircraft; charge for transportation.--
2348     (1)  There is created within the Department of Management
2349Services an executive aircraft pool consisting of state-owned or
2350leased aircraft for the purpose of furnishing executive air
2351travel. Such aircraft shall not be a model in excess of a two-
2352engine jet. Aircraft included in the executive aircraft pool may
2353not be specifically assigned to any department or agency on any
2354basis.
2355     (2)  The Department of Management Services shall charge all
2356persons receiving transportation from the executive aircraft
2357pool a rate not less than the mileage allowance fixed by the
2358Legislature for the use of privately owned vehicles. However,
2359state employees traveling on a space-available basis may not be
2360charged more than the vehicle mileage allowance.
2361     (3)  Fees collected for persons traveling by aircraft in
2362the executive aircraft pool shall be deposited into the Bureau
2363of Aircraft Trust Fund and shall be expended for fuel,
2364maintenance, or other costs incurred to operate the aircraft
2365management activities of the department. It is the intent of the
2366Legislature that the executive aircraft pool be operated on a
2367full cost-recovery basis, less available funds in accordance
2368with rules adopted pursuant to s. 287.16.
2369     (4)  Notwithstanding the requirements of subsections (2)
2370and (3) and for the 2003-2004 fiscal year only, the Department
2371of Management Services shall charge all persons receiving
2372transportation from the executive aircraft pool a rate not less
2373than the mileage allowance fixed by the Legislature for the use
2374of privately owned vehicles. Fees collected for persons
2375traveling by aircraft in the executive aircraft pool shall be
2376deposited into the Bureau of Aircraft Trust Fund and shall be
2377expended for costs incurred to operate the aircraft management
2378activities of the department. It is the intent of the
2379Legislature that the executive aircraft pool be operated on a
2380full cost recovery basis, less available funds. This subsection
2381expires July 1, 2004.
2382     Section 37.  Section 287.17, Florida Statutes, is
2383renumbered as section 287.66, Florida Statutes, and subsection
2384(5) of said section is amended, to read:
2385     287.66 287.17  Limitation on use of motor vehicles and
2386aircraft.--
2387     (5)  Each state agency's head shall, by December 31 of each
2388year, 2000, conduct a review of motor vehicle utilization with
2389oversight from the agency's inspector general. This review shall
2390consist of two parts. The first part of the review shall
2391determine the number of miles that each assigned motor vehicle
2392has been driven on official state business in the past fiscal
2393year. Commuting mileage shall be excluded from calculating
2394vehicle use. The purpose of this review is to determine whether
2395employees with assigned motor vehicles are driving the vehicles
2396a sufficient number of miles to warrant continued vehicle
2397assignment. The second part of the review shall identify
2398employees who have driven personal vehicles extensively on state
2399business in the past fiscal year. The purpose of this review is
2400to determine whether it would be cost-effective to provide state
2401motor vehicles to such employees. In making this determination,
2402the inspector general shall use the break-even mileage criteria
2403developed by the Department of Management Services. A copy of
2404the review shall be presented to the department Office of
2405Program Policy Analysis and Government Accountability.
2406     Section 38.  The section number, catchline, and subsections
2407(21) and (22) of section 287.057, Florida Statutes, are amended
2408to read:
2409     287.057  Procurement of commodities or contractual
2410services.--
2411     (21)  Nothing in this section shall affect the validity or
2412effect of any contract in existence on October 1, 1990.
2413     (22)  An agency may contract for services with any
2414independent, nonprofit college or university which is located
2415within the state and is accredited by the Southern Association
2416of Colleges and Schools, on the same basis as it may contract
2417with any state university and college.
2418     Section 39.  Subsection (3) of section 119.0721, Florida
2419Statutes, is amended to read:
2420     119.0721  Social security number exemption.--
2421     (3)  An agency shall not deny a commercial entity engaged
2422in the performance of a commercial activity, which for purposes
2423of this subsection means an activity that provides a product or
2424service that is available from a private source, as defined in
2425s. 14.203 or its agents, employees, or contractors, access to
2426social security numbers, provided the social security numbers
2427will be used only in the normal course of business for
2428legitimate business purposes, and provided the commercial entity
2429makes a written request for social security numbers, verified as
2430provided in s. 92.525, legibly signed by an authorized officer,
2431employee, or agent of the commercial entity. The verified
2432written request must contain the commercial entity's name,
2433business mailing and location addresses, business telephone
2434number, and a statement of the specific purposes for which it
2435needs the social security numbers and how the social security
2436numbers will be used in the normal course of business for
2437legitimate business purposes. The aggregate of these requests
2438shall serve as the basis for the agency report required in
2439subsection (7). An agency may request any other information as
2440may be reasonably necessary to verify the identity of the entity
2441requesting the social security numbers and the specific purposes
2442for which such numbers will be used; however, an agency has no
2443duty to inquire beyond the information contained in the verified
2444written request. A legitimate business purpose includes
2445verification of the accuracy of personal information received by
2446a commercial entity in the normal course of its business; use in
2447a civil, criminal, or administrative proceeding; use for
2448insurance purposes; use in law enforcement and investigation of
2449crimes; use in identifying and preventing fraud; use in
2450matching, verifying, or retrieving information; and use in
2451research activities. A legitimate business purpose does not
2452include the display or bulk sale of social security numbers to
2453the general public or the distribution of such numbers to any
2454customer that is not identifiable by the distributor.
2455     Section 40.  Sections 14.203, 283.30, 283.31, 287.32,
2456283.33, 283.34, 283.43, 283.56, 287.0731, and 287.1345, Florida
2457Statutes, are repealed.
2458     Section 41.  This act shall take effect July 1, 2004.


CODING: Words stricken are deletions; words underlined are additions.