AB40: Bill Text

AB40,73 Section 73. 16.70 (13m) of the statutes is created to read:

AB40,76,21 16.70 (13m) "Standard specification" means a requirement or qualification that is chemical, physical, or both chemical and physical that describes the commodity or service to be purchased but is not a trade name.

AB40,74 Section 74. 16.701 (title) of the statutes is amended to read:

AB40,76,23 16.701 (title) Subscription service and procurement system.

AB40,75 Section 75. 16.701 (1m) of the statutes is created to read:

AB40,77,7 16.701 (1m) The department may provide an electronic procurement system to manage all aspects of procurement under this subchapter. The electronic procurement system may supplement or supplant the subscription service under sub. (1). If the department provides an electronic procurement system under this subsection, the department may require that an agency use the system. The department may assess agencies and vendors for the costs of the system under this subsection in accordance with a method the department develops.

AB40,76 Section 76. 16.701 (2) of the statutes is amended to read:

AB40,77,13 16.701 (2) The department may permit prospective vendors to provide product or service information through the service established under sub. (1) or through the system provided under sub. (1m). The department may prescribe fees or establish fees through a competitive process for the use of the service or system under this subsection.

AB40,77 Section 77. 16.7015 of the statutes is amended to read:

AB40,78,3 16.7015 Bidders list. The department may maintain a bidders list. Any agency to which the department delegates purchasing authority under s. 16.71 (1) may maintain a bidders list if authorized by the delegation. The bidders list shall include the names and addresses of all persons who request to be notified of bids or competitive sealed proposals, excluding those to be awarded under s. 16.75 (1) (c) or (2m) (c), that are solicited by the department or other delegated agency for the procurement of materials, supplies, equipment, or contractual services under this subchapter. Any bidders list maintained by the department may include the names and addresses of any person who requests to be notified of bids or competitive sealed proposals that are solicited by any agency. The department or other delegated agency shall notify each person on its the bidders list of all bids or competitive sealed proposals that are solicited by the department or other delegated agency. The department or other agency may remove any person from its the bidders list for cause.

AB40,78 Section 78. 16.705 (1) of the statutes is amended to read:

AB40,78,8 16.705 (1) The department or its agents a delegated agency may contract for services which can be performed more economically or efficiently by such contract. The department shall, by rule, prescribe uniform procedures for determining whether services are appropriate for contracting under this subsection.

AB40,79 Section 79. 16.705 (1b) (intro.) and (c) of the statutes are created to read:

AB40,78,11 16.705 (1b) (intro.) The determinations under sub. (1) do not apply to a contract entered into by any of the following:

AB40,78,12 (c) The department under s. 16.848 (1).

AB40,80 Section 80. 16.705 (1m) of the statutes is renumbered 16.705 (1b) (a) and amended to read:

AB40,78,16 16.705 (1b) (a) Subsection (1) does not apply to contracts entered into by the The service award board under s. 16.25 (4) (b).

AB40,81 Section 81. 16.705 (1n) of the statutes, as affected by 2011 Wisconsin Act 266, is renumbered 16.705 (1b) (b) and amended to read:

AB40,78,21 16.705 (1b) (b) Subsection (1) does not apply to a contract entered into by the The department of corrections for global positioning system tracking services under s. 301.48 (3) or 301.49.

AB40,82 Section 82. 16.705 (1r) (intro.) of the statutes is amended to read:

AB40,79,3 16.705 (1r) (intro.) Notwithstanding s. 16.75 (2m) and (3m), and except as provided in s. 16.75 (2) (b) and (7), the department and its agents or a delegated agency may purchase contractual services only if those services are performed within the United States, which, notwithstanding s. 990.01 (40) and (44), includes only the 50 states and the District of Columbia. This requirement does not apply to any of the following:

AB40,83 Section 83. 16.705 (2) of the statutes, as affected by 2011 Wisconsin Act 32, is renumbered 16.705 (2) (a) and amended to read:

AB40,79,17 16.705 (2) (a) The department shall promulgate rules for the procurement of contractual services by the department and its designated agents or a delegated agency, including but not limited to rules prescribing approval and monitoring processes for contractual service contracts,; except as provided in par. (b), a requirement for agencies, except for the University of Wisconsin System, to conduct a uniform cost-benefit analysis of each proposed contractual service procurement involving an estimated expenditure of more than $25,000 $50,000 in accordance with standards prescribed in the rules,; and, except as provided in par. (b), a requirement for agencies, except for the University of Wisconsin System, to review periodically, and before any renewal, the continued appropriateness of contracting under each contractual services agreement involving an estimated expenditure of more than $25,000 $50,000.

AB40,80,2 (c) Each officer requesting approval to engage any person to perform contractual services shall submit to the department written justification for such contracting which shall include a description of the contractual services to be procured, justification of need, justification for not contracting with other agencies, a specific description of the scope of contractual services to be performed, and justification for the procurement process if a process other than competitive bidding is to be used. The department may not approve any contract for contractual services unless it is satisfied that the justification for contracting conforms to the requirements of this section and ss. 16.71 to 16.77.

AB40,84 Section 84. 16.705 (2) (b) of the statutes is created to read:

AB40,80,5 16.705 (2) (b) A cost-benefit analysis or continued appropriateness review is not required for the following services:

AB40,80,6 1. Services that federal or state law requires to be performed by contract.

AB40,80,7 2. Services that are incidental to the purchase of a commodity.

AB40,80,9 3. Services that must be provided per a contract, license, or warranty, by the original equipment manufacturer or publisher.

AB40,80,11 4. Services that cannot be performed by state employees because the state lacks the required infrastructure.

AB40,80,12 5. Services that are expected to be completed within 12 months.

AB40,80,14 6. Web-based software application services that are delivered and managed remotely.

AB40,85 Section 85. 16.705 (9) of the statutes is amended to read:

AB40,81,2 16.705 (9) The department shall maintain a list of persons that are or have been a party to a contract with the state under this subchapter who have violated a provision of this subchapter or a contract under this subchapter or who have been debarred from contracting with the federal government or any agency. The parties on the list are ineligible for state contracts and no state contract may be awarded to a party on the ineligible list. The department may remove any party from the ineligible list if the department determines that the party's practices comply with this subchapter and provide the party provides adequate safeguards against future violations of this subchapter or contracts under this subchapter or, if the person was on the list due to debarment, the person is no longer debarred. The department shall promulgate rules that provide procedures to implement this subsection.

AB40,86 Section 86. 16.71 (3) of the statutes is amended to read:

AB40,81,9 16.71 (3) If The department, department of revenue, or delegated agency shall comply with the requirements under s. 565.25 if the department makes or delegates to the department of revenue or to any other designated purchasing agent under sub. (1) delegated agency the authority to make a major procurement, as defined in s. 565.01 (4), for the department of revenue, the department, department of revenue, or designated purchasing agent shall comply with the requirements under s. 565.25.

AB40,87 Section 87 . 16.72 (2) (a) of the statutes is renumbered 16.72 (2) (a) 1. and amended to read:

AB40,81,19 16.72 (2) (a) 1. The department shall prepare standard specifications, as far as possible, for all state purchases. By "standard specifications" is meant a specification, either chemical or physical or both, prepared to describe in detail the article which the state desires to purchase, and trade names shall not be used statewide except those purchases under subd. 2. On the formulation, adoption and modification of any standard specifications, the department of administration shall also seek and be accorded without cost, the assistance, advice, and cooperation of other agencies and officers.

AB40,81,22 3. Each specification adopted under subd. 1. or 2. for any commodity purchase shall, insofar as possible, satisfy the requirements of any and all agencies which use it in common.

AB40,88 Section 88. 16.72 (2) (a) 2. of the statutes is created to read:

AB40,81,25 16.72 (2) (a) 2. Delegated agencies shall adopt standard specifications for all delegated purchases.

AB40,89 Section 89. 16.72 (2) (b) of the statutes is amended to read:

AB40,82,12 16.72 (2) (b) Except as provided in ss. 16.25 (4) (b), 16.751, and 565.25 (2) (a) 4., the department or delegated agency shall prepare or review specifications for all materials, supplies, equipment, other permanent personal property and contractual services not purchased under standard specifications. Such "nonstandard specifications" may be generic or performance specifications, or both, prepared to describe in detail the article which the state desires to purchase either by its physical properties or by its programmatic utility. When appropriate for such nonstandard items or services, trade names may be used to identify what the state department or delegated agency requires, but wherever possible 2 or more trade names shall be designated and the trade name of any Wisconsin producer, distributor or supplier shall appear first.

AB40,90 Section 90. 16.72 (2) (c) of the statutes is amended to read:

AB40,82,16 16.72 (2) (c) To the extent possible, the department or delegated agency shall write specifications so as to permit the purchase of materials manufactured in the United States, as defined in s. 16.754 (1) (b).

AB40,91 Section 91. 16.72 (2) (e) (intro.) of the statutes is amended to read:

AB40,83,3 16.72 (2) (e) (intro.) In writing the specifications under this subsection, the department and any other designated purchasing agent under s. 16.71 (1) or delegated agency shall incorporate requirements for the purchase of products made from recycled materials and recovered materials if their use is technically and economically feasible. 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, in writing specifications for purchasing by the authority, shall incorporate requirements for the purchase of products made from recycled materials and recovered materials if their use is technically and economically feasible. The specifications shall include requirements for the purchase of the following materials:

AB40,92 Section 92. 16.72 (2) (f) of the statutes is amended to read:

AB40,83,15 16.72 (2) (f) In writing specifications under this subsection, the department, any other designated purchasing agent under s. 16.71 (1) delegated agency, 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 incorporate requirements relating to the recyclability and ultimate disposition of products and, wherever possible, shall write the specifications so as to minimize the amount of solid waste generated by the state, consistent with the priorities established under s. 287.05 (12). All specifications under this subsection shall discourage the purchase of single-use, disposable products and require, whenever practical, the purchase of multiple-use, durable products.

AB40,93 Section 93. 16.72 (4) (a) of the statutes is amended to read:

AB40,84,4 16.72 (4) (a) Except as provided in ss. 16.71 and 16.74 or as otherwise provided in this subchapter and the rules promulgated under s. 16.74 and this subchapter, all supplies, materials, equipment, and contractual services shall be purchased for and furnished to any agency only upon requisition to the department. The department shall prescribe the form, contents, number, and disposition of requisitions and shall promulgate rules as to time and manner of submitting such requisitions for processing. No Except as provided in ss. 16.71 and 16.74 or as otherwise provided in this subchapter and the rules promulgated under s. 16.74 and this subchapter, no agency or officer may engage any person to perform contractual services without the specific prior approval of the department for each such engagement. Purchases of supplies, materials, equipment, or contractual services by the legislature, the courts, or legislative service or judicial branch agencies do not require approval under this paragraph.

AB40,94 Section 94. 16.72 (4m) of the statutes is repealed.

AB40,95 Section 95. 16.73 (1m) of the statutes is created to read:

AB40,84,8 16.73 (1m) The department or a delegated agency may allow municipalities to participate in state procurement solicitations and use any current state contract.

AB40,96 Section 96. 16.73 (5) of the statutes, as affected by 2011 Wisconsin Act 32, is amended to read:

AB40,84,20 16.73 (5) After the department designates the board of regents of the University of Wisconsin System or designates the University of Wisconsin-Madison as its purchasing agent for any purpose under s. 16.71 (1) a delegated agency, the board or the University of Wisconsin-Madison may enter into a contract to sell any materials, supplies, equipment or contractual services purchased by the board or the University of Wisconsin-Madison to the University of Wisconsin Hospitals and Clinics Authority, and may contract with the University of Wisconsin Hospitals and Clinics Authority for the joint purchase of any materials, supplies, equipment or contractual services if the sale or purchase is made consistently with that delegation and with this subchapter.

AB40,97 Section 97. 16.75 (1) (a) 1. of the statutes is amended to read:

AB40,85,5 16.75 (1) (a) 1. All orders awarded or contracts made by the department or a delegated agency for all materials, supplies, equipment, and contractual services to be provided to any agency, except as otherwise provided in par. (c) and subs. (2), (2g), (2m), (3m), (3t), (6), (7), (8), (9), (10e), and (10m) and ss. 16.705 (1r), 16.73 (4) (a), 16.751, 16.754, 16.964 (8), 50.05 (7) (f), 153.05 (2m) (a), 165.987, and 287.15 (7), shall be awarded to the lowest responsible bidder, taking into consideration life cycle cost estimates under sub. (1m), when appropriate, the location of the agency, the quantities of the articles to be supplied, their conformity with the specifications, and the purposes for which they are required and the date of delivery.

AB40,98 Section 98. 16.75 (1) (a) 2. of the statutes is amended to read:

AB40,85,15 16.75 (1) (a) 2. If a vendor is not a Wisconsin producer, distributor, supplier or retailer and the department determines that the state, foreign nation or subdivision thereof in which the vendor is domiciled grants a preference to vendors domiciled in that state, nation or subdivision in making governmental purchases, the department, a delegated agency, and any agency making purchases under s. 16.74 shall give a preference over that vendor to Wisconsin producers, distributors, suppliers and retailers, if any, when awarding the order or contract. The department may enter into agreements with states, foreign nations and subdivisions thereof for the purpose of implementing this subdivision.

AB40,99 Section 99. 16.75 (1) (b) 1. and 3. of the statutes, as affected by 2011 Wisconsin Act 32, are consolidated, renumbered 16.75 (1) (b) and amended to read:

AB40,86,7 16.75 (1) (b) Except as provided in subd. 2., when When the estimated cost exceeds $25,000 $50,000, the department or delegated agency shall invite bids to be submitted. 3. If subd. 1. or 2. requires bids are to be solicited, the department or delegated agency either shall solicit sealed bids to be opened publicly at a specified date and time, or shall solicit bidding by auction to be conducted electronically at a specified date and time. Whenever bids are invited, due notice inviting bids shall be published as a class 2 notice, under ch. 985 or posted on the Internet at a site determined or approved by the department. The bid opening or auction shall occur at least 7 days after the date of the last insertion of the notice or at least 7 days after the date of posting on the Internet. The notice shall specify whether sealed bids are invited or bids will be accepted by auction, and shall give a clear description of the materials, supplies, equipment, or contractual services to be purchased, the amount of any bond, share draft, check, or other draft to be submitted as surety with the bid or prior to the auction, and the date and time that the public opening or the auction will be held.

AB40,100 Section 100. 16.75 (1) (b) 2. of the statutes, as created by 2011 Wisconsin Act 32, is repealed.

AB40,101 Section 101. 16.75 (1) (c) of the statutes is amended to read:

AB40,86,13 16.75 (1) (c) Except as provided in sub. (7), when the estimated cost is $25,000 $50,000 or less, the award may be made in accordance with simplified procedures established by the department for such transactions.

AB40,102 Section 102. 16.75 (1m) of the statutes is amended to read:

AB40,87,4 16.75 (1m) The department or a delegated agency shall award each order or contract for materials, supplies or equipment on the basis of life cycle cost estimates, whenever such action is appropriate. Each authority other than the University of Wisconsin Hospitals and Clinics Authority, the Lower Fox River Remediation Authority, the Wisconsin Aerospace Authority, and the Health Insurance Risk-Sharing Plan Authority shall award each order or contract for materials, supplies or equipment on the basis of life cycle cost estimates, whenever such action is appropriate. The terms, conditions and evaluation criteria to be applied shall be incorporated in the solicitation of bids or proposals. The life cycle cost formula may include, but is not limited to, the applicable costs of energy efficiency, acquisition and conversion, money, transportation, warehousing and distribution, training, operation and maintenance and disposition or resale. The department shall prepare documents containing technical guidance for the development and use of life cycle cost estimates, and shall make the documents available to interested parties, including local governmental units.

AB40,103 Section 103. 16.75 (2m) (a) of the statutes is amended to read:

AB40,87,10 16.75 (2m) (a) Except as otherwise required by law, if the secretary or his or her designee determines that the use of competitive sealed bidding is not practicable or not advantageous to this state, the department or delegated agency may solicit competitive sealed proposals. Each request for competitive sealed proposals shall state the relative importance of price and other evaluation factors.

AB40,104 Section 104. 16.75 (2m) (b) 1. and 3. of the statutes, as affected by 2011 Wisconsin Act 32, are consolidated, renumbered 16.75 (2m) (b) and amended to read:

AB40,87,22 16.75 (2m) (b) Except as provided in subd. 2., when When the estimated cost exceeds $25,000 $50,000, the department or delegated agency may invite competitive sealed proposals. 3. If competitive sealed proposals are to be invited, the department or delegated agency shall publish a class 2 notice under ch. 985 or post notice on the Internet at a site determined or approved by the department. The notice shall describe the materials, supplies, equipment, or contractual services to be purchased, the intent to make the procurement by solicitation of proposals rather than by solicitation of bids, any requirement for surety and the date the proposals will be opened, which shall be at least 7 days after the date of the last insertion of the notice or at least 7 days after the date of posting on the Internet.

AB40,105 Section 105. 16.75 (2m) (b) 2. of the statutes, as created by 2011 Wisconsin Act 32, is repealed.

AB40,106 Section 106. 16.75 (2m) (c) of the statutes is amended to read:

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: