AB40: Bill Text

AB40,88,3 16.75 (2m) (c) When the estimated cost is $25,000 $50,000 or less, the department or delegated agency may award the order or contract in accordance with simplified procedures established by the department for such transactions.

AB40,107 Section 107. 16.75 (2m) (d) of the statutes is amended to read:

AB40,88,8 16.75 (2m) (d) For purposes of clarification, the department or delegated agency may discuss the requirements of the proposed order or contract with any person who submits a proposal and shall permit any offerer to revise his or her proposal to ensure its responsiveness to those requirements.

AB40,108 Section 108. 16.75 (2m) (e) of the statutes is amended to read:

AB40,88,17 16.75 (2m) (e) The department or delegated agency shall determine which proposals are reasonably apt to be awarded the order or contract and shall provide each offerer of such a proposal a fair and equal opportunity to discuss the proposal. The department or delegated agency may negotiate with each offerer in order to obtain terms that are advantageous to this state. Prior to the award of the order or contract, any offerer may revise his or her proposal. The department or delegated agency shall keep a written record of all meetings, conferences, oral presentations, discussions, negotiations, and evaluations of proposals under this section.

AB40,109 Section 109. 16.75 (2m) (f) of the statutes is amended to read:

AB40,88,21 16.75 (2m) (f) In opening, discussing, and negotiating proposals, the department or delegated agency may not disclose any information that would reveal the terms of a competing proposal.

AB40,110 Section 110. 16.75 (2m) (g) of the statutes is amended to read:

AB40,89,5 16.75 (2m) (g) After receiving each offerer's best and final offer, the department or delegated agency shall determine which proposal is most advantageous and shall award the order or contract to the person who offered it. The department's department or delegated agency shall base its determination shall be based only on price and the other evaluation factors specified in the request for proposals. The department or delegated agency shall state in writing the reason for the award and shall place the statement in the contract file. This paragraph does not apply to procurements under s. 16.751.

AB40,111 Section 111. 16.75 (3m) (b) 1. of the statutes is amended to read:

AB40,89,9 16.75 (3m) (b) 1. The department, a delegated agency, and any agency making purchases under s. 16.74 shall attempt to ensure that 5 percent of the total amount expended under this subchapter in each fiscal year is paid to minority businesses.

AB40,112 Section 112. 16.75 (3m) (b) 2. of the statutes is amended to read:

AB40,89,14 16.75 (3m) (b) 2. The department, a delegated agency, and any agency making purchases under s. 16.74 shall make efforts to ensure that a portion of the total amount expended under this subchapter in each fiscal year is paid to disabled veteran-owned businesses.

AB40,113 Section 113. 16.75 (3m) (b) 3. of the statutes is amended to read:

AB40,90,3 16.75 (3m) (b) 3. Except as provided under sub. (7), the department, a delegated agency, and any agency making purchases under s. 16.74 may purchase materials, supplies, equipment, and contractual services from any minority business or disabled veteran-owned business, or a business that is both a minority business and a disabled veteran-owned business, submitting a qualified responsible competitive bid that is no more than 5 percent higher than the apparent low bid or competitive proposal that is no more than 5 percent higher than the most advantageous proposal. In administering the preference for minority businesses or disabled veteran-owned businesses established in this paragraph, the department, a delegated agency, and any agency making purchases under s. 16.74 shall maximize the use of minority businesses or disabled veteran-owned businesses which are incorporated under ch. 180 or which have their principal place of business in this state.

AB40,114 Section 114. 16.75 (3t) (c) (intro.) of the statutes is amended to read:

AB40,90,23 16.75 (3t) (c) (intro.) The department of corrections shall periodically provide to the department of administration a current list of all materials, supplies, equipment, or contractual services, excluding commodities, that are supplied by prison industries, as created under s. 303.01. The department of administration shall distribute the list to all designated purchasing agents under s. 16.71 (1) delegated agencies. Except as otherwise provided in sub. (6) (am), prior to seeking bids or competitive sealed proposals with respect to the purchase of any materials, supplies, equipment, or contractual services enumerated in the list, the department of administration or any other designated purchasing agent under s. 16.71 (1) delegated agency shall offer prison industries the opportunity to supply the materials, supplies, equipment, or contractual services if the department of corrections is able to provide them at a price that is equal to or lower than one which may be obtained through competitive bidding or competitive sealed proposals and is able to conform to the specifications. If the department of administration or other purchasing agent delegated agency is unable to determine whether the price of prison industries is equal to or lower than one obtained through competitive bidding or competitive sealed proposals, it may solicit bids or competitive proposals before awarding the order or contract. This paragraph does not apply to the printing of the following forms:

AB40,115 Section 115. 16.75 (5) of the statutes is amended to read:

AB40,91,6 16.75 (5) The department or delegated agency may require of bidders, persons making proposals under sub. (2m) or contractors such sureties as, in its judgment, are deemed advisable and may decide as to their responsibility and competency. The department or delegated agency may require a contractor to provide a bond furnished by a surety company authorized to do business in this state, for the proper performance of each contract.

AB40,116 Section 116. 16.75 (6) (c) of the statutes is amended to read:

AB40,91,20 16.75 (6) (c) If the governor or, if acting as the governor's designee, the secretary determines that it is in the best interest of this state to do so, he or she may, with the approval of the governor, waive the requirements of subs. (1) to (5) and may purchase supplies, material materials, equipment, or contractual services, other than printing and stationery, from a private source other than a source specified in par. (b). Except as provided in sub. (2g) (c), if the cost of the purchase is expected to exceed $25,000 $50,000, the department shall first publish a class 2 notice under ch. 985 or post a notice on the Internet at the site determined or approved by the department under sub. (1) (b) describing the materials, supplies, equipment, or contractual services to be purchased, stating the intent to make the purchase from a private source without soliciting bids or competitive sealed proposals and stating the date on which the contract or purchase order will be awarded. The date of the award shall be at least 7 days after the date of the last insertion or the date of posting on the Internet.

AB40,117 Section 117. 16.75 (6) (d) of the statutes is amended to read:

AB40,92,3 16.75 (6) (d) If the governor or, if acting as the governor's designee, the secretary determines that it is in the best interest of this state to do so, he or she may issue a general waiver of the requirements of subs. (1) to (5) permitting the purchase of specified materials, supplies, equipment, or contractual services, except printing and stationery, from a private source. A general waiver may be issued for any period up to one year. The governor or, if acting as the governor's designee, the secretary may impose any necessary or appropriate condition or restriction on the waiver.

AB40,118 Section 118. 16.75 (8) (a) 1. of the statutes is amended to read:

AB40,92,11 16.75 (8) (a) 1. The department, any other designated purchasing agent under s. 16.71 (1) delegated agency, any agency making purchases under s. 16.74, and each authority other than the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, and the Health Insurance Risk-Sharing Plan Authority shall, to the extent practicable, make purchasing selections using specifications developed under s. 16.72 (2) (e) to maximize the purchase of materials utilizing recycled materials and recovered materials.

AB40,119 Section 119. 16.75 (9) of the statutes is amended to read:

AB40,92,18 16.75 (9) The department, any other designated purchasing agent under s. 16.71 (1) delegated agency, any agency making purchases under s. 16.74, and any authority other than the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, and the Health Insurance Risk-Sharing Plan Authority shall, to the extent practicable, make purchasing selections using specifications prepared under s. 16.72 (2) (f).

AB40,120 Section 120. 16.75 (10e) (a) of the statutes is amended to read:

AB40,92,22 16.75 (10e) (a) In this subsection, "energy consuming equipment" means any equipment that is designed for heating, ventilation, air conditioning, water heating or cooling, lighting, or refrigeration, or any other function, and that consumes energy.

AB40,121 Section 121. 16.75 (10e) (b) of the statutes is amended to read:

AB40,93,17 16.75 (10e) (b) If s. 16.855 (10s) (a) provides an applicable standard for the type of agency energy consuming equipment being purchased and the purchase will cost more than $5,000 per unit the department, any other designated purchasing agent under s. 16.71 (1) delegated agency, any agency making purchases under s. 16.74, and any authority may not purchase that type of energy consuming equipment unless the specifications for the equipment meet the applicable standards. If there is an applicable standard under s. 16.855 (10s) (a), but the energy consuming equipment meeting that standard is not reasonably available, the department, purchasing agent delegated agency, agency, or authority shall ensure, for purchases over $5,000 per unit, that the energy consuming equipment that is purchased maximizes energy efficiency to the extent technically and economically feasible. The department, purchasing agent delegated agency, agency, or authority shall not determine that energy consuming equipment that meets the applicable standard under s. 16.855 (10s) (a) either is not reasonably available on the basis of cost alone or is not cost-effective unless the difference in the cost of the purchase and installation of the equipment that meets the standard and the equipment that would otherwise be installed is greater than the difference in the cost of operating the equipment that meets the standard and the equipment that would otherwise be installed over the anticipated life of the equipment.

AB40,122 Section 122. 16.75 (10m) of the statutes is amended to read:

AB40,93,24 16.75 (10m) The department, any other designated purchasing agent under s. 16.71 (1) delegated agency, any agency making purchases under s. 16.74, and any authority shall not enter into any contract or order for the purchase of materials, supplies, equipment, or contractual services with a person if the name of the person, or the name of an affiliate of that person, is certified to the department by the secretary of revenue under s. 77.66.

AB40,123 Section 123. 16.84 (1) of the statutes is amended to read:

AB40,94,12 16.84 (1) Have charge of, operate, maintain and keep in repair the state capitol building, the executive residence, the light, heat and power plant, any heating, cooling, and power plants serving state properties that are not operated by an agency, as defined in s. 16.52 (7), or by a purchaser, lessee, or contractor under s. 13.48 (14) or 16.848 (1), the state office buildings and their power plants, the grounds connected therewith, and such other state properties as are designated by law. All costs of such operation and maintenance shall be paid from the appropriations under s. 20.505 (5) (ka) and (kb), except for debt service costs paid under s. 20.866 (1) (u). The department shall transfer moneys from the appropriation under s. 20.505 (5) (ka) to the appropriation account under s. 20.505 (5) (kc) sufficient to make principal and interest payments on state facilities and payments to the United States under s. 13.488 (1) (m).

AB40,124 Section 124. 16.848 (title) of the statutes is amended to read:

AB40,94,15 16.848 (title) Sale, lease, or contractual operation of certain state property or facilities.

AB40,125 Section 125. 16.848 (1) of the statutes is amended to read:

AB40,95,19 16.848 (1) Except as provided in sub. (2), the department may offer for sale or lease any state-owned real property, if the department determines that the sale or lease is in the best interest of the state, unless prohibited under the state or federal constitution or federal law or the sale is conducted as a part of a procedure to enforce an obligation to this state. Any sale may be either on the basis of public bids, with the department reserving the right to reject any bid in the best interest of the state, or on the basis of negotiated prices as determined through a competitive or transparent process. If the department receives an offer to purchase property offered under this subsection, the department may submit a report to the building commission recommending acceptance of the offer. The report shall contain a description of the property and the reasons for the recommendation. The department may recommend the sale of a parcel of property with or without the approval of the agency, as defined in s. 16.52 (7), having jurisdiction of over the property and regardless of whether the property is included in an inventory submitted under s. 13.48 (14) (d). If the building commission approves the proposed sale, the department may sell the property. Except with respect to property identified in sub. (2), if any agency, as defined in s. 16.52 (7), has authority to sell or lease real property under any other law, the authority of that agency does not apply after the department notifies the agency in writing that an offer of sale or sale, or a lease agreement, is pending with respect to the property under this subsection. If the sale or lease is not completed and no further action is pending with respect to the property, the authority of the agency to sell or lease the property is restored. If the department sells or leases any state-owned real property under this subsection, the department may attach such conditions to the sale or lease as it finds to be necessary or appropriate to carry out the sale or lease in the best interest of the state. If the department sells or leases a state-owned heating, cooling, or power plant under this subsection, the department may contract with the purchaser or lessee for the operation of the plant.

AB40,126 Section 126. 16.848 (1e) of the statutes is created to read:

AB40,96,5 16.848 (1e) If the department sells, leases, or contracts with a purchaser or lessee for the operation of any real property under sub. (1) that was under the jurisdiction of an agency, as defined in s. 16.52 (7), prior to the sale, lease, or contract, the agency shall convey all systems, fixtures, or additional property interests specified by the department to the purchaser or lessee of the property on terms specified by the department. If the department sells, leases, or contracts with a purchaser or lessee for the operation of a state-owned heating, cooling, or power plant that is under the jurisdiction of an agency, as defined in s. 16.52 (7), the agency shall convey all real and personal property associated with the plant to the purchaser or lessee on terms specified by the department.

AB40,127 Section 127. 16.848 (1m) of the statutes is created to read:

AB40,96,10 16.848 (1m) If any property that is proposed to be sold by the department under sub. (1) is co-owned by a nonstate entity, the department shall afford to that entity the right of first refusal to purchase the share of the property owned by the state on reasonable financial terms established by the department.

AB40,128 Section 128. 16.848 (1s) of the statutes is created to read:

AB40,96,18 16.848 (1s) (a) If the department sells, leases, or contracts with a purchaser or lessee for the operation of any facility under sub. (1) that is operated by an agency, as defined in s. 16.52 (7), on the day prior to the effective date of the sale, lease, or contract, the secretary shall, notwithstanding s. 16.50 (1), require submission of expenditure estimates for approval under s. 16.50 (2) for each agency that proposes to expend moneys from any appropriation for the operation of the facility during the fiscal biennium in which the facility is sold or leased or operated under contract.

AB40,97,5 (b) Notwithstanding s. 16.50 (2), the secretary shall disapprove any such estimate for the period during which the facility is not operated by the agency. The secretary may then require the use of the amounts of any disapproved expenditure estimates for the purpose of purchase of contractual services from the facility or payment of the costs of purchasing services that were provided by the facility from an alternative source. If the department sells, leases, or contracts for the operation of a facility under this subsection, the secretary may identify any full-time equivalent positions authorized for the agency that was operating the facility the duties of which primarily relate to the management or operation of the facility, and may decrease the authorized full-time equivalent positions for the agency by the number of positions so identified effective on the effective date of the sale, lease, or contract.

AB40,97,13 (c) Notwithstanding s. 20.001 (3) (a) to (c), the secretary may lapse or transfer to the general fund from the unencumbered balance of appropriations to any agency, other than sum sufficient appropriations or appropriations of program revenues to the Board of Regents of the University of Wisconsin System or appropriations of segregated or federal revenues, any amount appropriated to an agency that is determined by the secretary to be allocated for the management or operation of the facility that was sold or leased or operated under contract effective on the effective date of the sale, lease, or contract.

AB40,97,15 (d) The secretary shall report any action taken under this subsection to the cochairpersons of the joint committee on finance.

AB40,129 Section 129. 16.848 (2) (a) of the statutes is repealed.

AB40,130 Section 130. 16.848 (2) (b) of the statutes is repealed.

AB40,131 Section 131. 16.848 (2) (gw) of the statutes is repealed.

AB40,132 Section 132. 16.848 (4) (a) of the statutes is amended to read:

AB40,98,15 16.848 (4) (a) Except as provided in s. 13.48 (14) (e), if there is any outstanding public debt used to finance the acquisition, construction, or improvement of any property that is sold or leased under sub. (1), the department shall deposit a sufficient amount of the net proceeds from the sale or lease of the property in the bond security and redemption fund under s. 18.09 to repay the principal and pay the interest on the debt, and any premium due upon refunding any of the debt. If there is any outstanding public debt used to finance the acquisition, construction, or improvement of any property that is sold or leased under sub. (1), the department shall then provide a sufficient amount of the net proceeds from the sale or lease of the property for the costs of maintaining federal tax law compliance applicable to the debt. If the property was acquired, constructed, or improved with federal financial assistance, the department shall pay to the federal government any of the net proceeds required by federal law. If the property was acquired by gift or grant or acquired with gift or grant funds, the department shall adhere to any restriction governing use of the proceeds. Except as required under ss. 13.48 (14) (e), 20.395 (9) (qd), and 51.06 (6), if there is no such debt outstanding, there are no moneys payable to the federal government, and there is no restriction governing use of the proceeds, and if the net proceeds exceed the amount required to be deposited, paid, or used for another purpose under this paragraph subsection, the department shall use the net proceeds or remaining net proceeds to pay principal and interest costs on other outstanding public debt.

AB40,133 Section 133. 16.848 (4) (b) 1. of the statutes is repealed and recreated to read:

AB40,98,19 16.848 (4) (b) 1. To the extent that debt service on the property being sold or leased was paid from a segregated fund, other outstanding public debt related to that segregated fund should be redeemed.

AB40,134 Section 134. 16.848 (4) (b) 2. of the statutes is repealed.

AB40,135 Section 135. 16.848 (4) (b) 3. of the statutes is amended to read:

AB40,98,25 16.848 (4) (b) 3. The extent to which general obligation debt that was issued to acquire, build, or improve the property being sold or leased is subject to current optional redemption, would require establishment of an escrow, or could be assigned for accounting purposes to another statutory bond purpose.

AB40,136 Section 136. 16.848 (4) (b) 5. of the statutes is amended to read:

AB40,99,3 16.848 (4) (b) 5. The costs of maintaining federal tax law compliance in the selection of general obligation debt to be redeemed.

AB40,137 Section 137. 16.848 (4) (c) of the statutes is created to read:

AB40,99,25 16.848 (4) (c) If there are any outstanding revenue obligations, issued pursuant to subch. II of ch. 18, used to finance the acquisition, construction, or improvement of any property that is sold or leased under sub. (1), the department shall deposit a sufficient amount of the net proceeds from the sale or lease of the property in the respective redemption fund provided under s. 18.561 (5) or 18.562 (3) to repay the principal and pay the interest on the revenue obligations, and any premium due upon refunding any of the revenue obligations. If there are any outstanding revenue obligations, issued pursuant to subch. II of ch. 18, used to finance the acquisition, construction, or improvement of any property that is sold or leased under sub. (1), the department shall then provide a sufficient amount of the net proceeds from the sale or lease of the property for the costs of maintaining federal tax law compliance applicable to the revenue obligations. For the purpose of paying principal and interest costs on other outstanding revenue obligations, the secretary may cause outstanding revenue obligations to be called for redemption on or following their optional redemption date, establish one or more escrow accounts to redeem obligations at their optional redemption date, or purchase bonds on the open market. Except as required under ss. 13.48 (14) (e), 20.395 (9) (qd), and 51.06 (6), if the net proceeds exceed the amount required to be deposited, paid, or used for another purpose under this paragraph, the department shall use the net proceeds or remaining net proceeds to pay principal and interest costs on other similar revenue obligations.

AB40,138 Section 138. 16.849 of the statutes is created to read:

AB40,100,5 16.849 Facility design services for state agencies. The department may provide facility design services to agencies, as defined in s. 16.70 (1e). The department may assess a fee to agencies for which the department performs services under this section.

AB40,139 Section 139. 16.855 (1) of the statutes is renumbered 16.855 (1m) and amended to read:

AB40,100,13 16.855 (1m) The department shall let by contract to the lowest qualified responsible bidder all construction work when the estimated construction cost of the project exceeds $50,000, except for construction work authorized under s. 16.858 and except as provided in sub. (1r) or (10m) or s. 13.48 (19). If factors other than dollar amounts are required to be evaluated for a project, the department shall specify a formula that will convert the other factors into a dollar value for comparison.

AB40,100,21 (1r) If a bidder is not a Wisconsin firm and the department determines that the state, foreign nation or subdivision thereof in which the bidder is domiciled grants a preference to bidders domiciled in that state, nation or subdivision in making governmental purchases, the department shall give a preference over that bidder to Wisconsin firms, if any, when awarding the contract, in the absence of compelling reasons to the contrary. The department may enter into agreements with states, foreign nations and subdivisions thereof for the purpose of implementing this subsection.

AB40,140 Section 140. 16.855 (1g) of the statutes is created to read:

AB40,100,23 16.855 (1g) In this section:

AB40,101,3 (a) "Mechanical, electrical, or plumbing subcontractor" is a contractor that performs mechanical, electrical, plumbing, or fire protection work and enters into a contract with a general prime contractor to perform their division of work.

AB40,101,5 (b) "Qualified bidder" means a person that the department certifies under sub. (9m) (b) 1.

AB40,101,7 (c) "Qualified responsible bidder" means a person who is a qualified bidder and who is a responsible bidder.

AB40,101,9 (d) "Responsible bidder" means a person that the department certifies under sub. (9m) (b) 2.

AB40,101,13 (e) "Single prime contracting" means bidding and contracting through a process in which only a general prime contractor has a contractual relationship with the state and all mechanical, electrical, or plumbing subcontractors are selected by department and are subcontractors to the general prime contractor.

AB40,141 Section 141. 16.855 (2) (a) 5. of the statutes is amended to read:

AB40,101,15 16.855 (2) (a) 5. Date, when and place where plans will be available.

AB40,142 Section 142. 16.855 (2) (a) 6. of the statutes is created to read:

AB40,101,18 16.855 (2) (a) 6. That the department shall consider only bids from persons who are responsible bidders and, unless sub. (9m) (ar) 2. applies, qualified bidders.

AB40,143 Section 143. 16.855 (9) of the statutes is renumbered 16.855 (9m) (b) 1. c. and amended to read:

AB40,101,25 16.855 (9m) (b) 1. c. The If the department may require bidders to submit so requires or the bidder will be considered unqualified, the bidder has submitted a sworn statements statement as to financial ability, equipment, and experience in construction and require such other information as may be necessary to determine their the bidder's competency.

AB40,144 Section 144 . 16.855 (9m) of the statutes is created to read:

AB40,102,2 16.855 (9m) (ag) In this subsection, "bidder" includes a potential bidder.

AB40,102,11 (ar) 1. The department shall certify bidders as qualified bidders under par. (b) 1. and responsible bidders under par. (b) 2. and shall administer a registration process for all bidders submitting bids on any construction project under this section. The department shall issue, in a timely manner, a certification decision on a complete application for certification. A certification under this subdivision is valid for 2 years except the department may decertify a bidder if the department determines that the bidder no longer meets the qualifications under par. (b) and if the department follows a decertification process developed by rule that provides to the bidder notice, hearing, and a means to appeal.

AB40,102,14 2. Notwithstanding sub. (1m) or (14) (e), the department may waive the condition of certification as a qualified bidder if the project is of such magnitude as to limit competition if the conditions under par. (b) 1. were required.

AB40,102,20 3. The department shall consider for certification under par. (b) associations consisting of at least 2 contracting firms that are organized for the purpose of entering into a construction contract as a single entity if at least one of the contracting firms is qualified under par. (b) and if the assignment of, and provisions for the continuity of, the various responsibilities within the association are agreed upon before the contract is awarded.

AB40,102,22 (b) 1. To be certified as a qualified bidder, a bidder must meet all of the following conditions:

AB40,103,2 a. The bidder has completed at least one project that involved similar work to the work being bid and the project was at least 50 percent of the size or value of the division of the project being bid. If the department determines that more experience is necessary for a particular project, the department may include additional requirements in the specifications and certify bidders accordingly.

AB40,103,5 b. The bidder has access to all necessary equipment and the organizational capacity and technical competence necessary to perform the project work properly and expeditiously.

AB40,103,7 2. To be certified as a responsible bidder, a bidder must meet all of the following conditions: