HOUSE BILL No. 6089


     May 21, 2002, Introduced by Reps. Bernero, Gieleghem, Woodward, Sheltrown, Anderson, Jamnick, Minore, Hale, Murphy, Garza,
Basham, Schauer, Frank, Mans, Waters, Wojno, Neumann, Lipsey, Bob Brown, Richardville, Spade, Jacobs, Kolb, Schermesser, Plakas,
Quarles, Daniels, Adamini and Bovin and referred to the Committee on House Oversight and Operations.


        A bill to amend 1984 PA 431, entitled

   "The management and budget act,"

   by amending section 261 (MCL 18.1261), as amended by 1993 PA 46.

               THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

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             Sec. 261.  (1) The department shall provide for the purchase

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        of, the contracting for, and the providing of supplies, materi-

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        als, services, insurance, utilities, third party financing,

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        equipment, printing, and all other items as needed by state agen-

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        cies for which the legislature has not otherwise expressly

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        provided.  In all purchases made by the department, all other

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        things being equal, preference shall be given to products manu-

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        factured or services offered by Michigan-based firms, if consis-

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        tent with federal statutes.  The department shall solicit

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        competitive bids from the private sector whenever practicable to

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        efficiently and effectively meet the state's needs.  The


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        department shall first determine that competitive solicitation of

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        bids in the private sector is not appropriate before it shall use

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        any other procurement method for an acquisition.

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             (2) The department shall make all discretionary decisions

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        concerning the solicitation, award, amendment, cancellation, and

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        appeal of state contracts.

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             (3) The department shall utilize competitive bidding for all

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        purchases authorized pursuant to subsection (1) unless the

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        department has determined that another procurement method is in

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        the state's best interests.

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             (4) The department may delegate its procurement authority to

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        other state agencies within dollar limitations and for designated

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        types of procurements.  The department may withdraw delegated

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        authority upon a finding that a state agency did not comply with

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        departmental procurement directives.

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             (5) The department may enter into lease purchases or

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        installment purchases for periods not exceeding the anticipated

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        useful life of the items purchased unless otherwise prohibited by

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        law.

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             (6) The department shall issue directives for the procure-

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        ment, receipt, inspection, and storage of supplies, materials,

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        and equipment, and for printing and services needed by state

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        agencies.  The department shall provide standard specifications

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        and standards of performance applicable to purchases.

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             (7) The department may enter into a cooperative purchasing

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        agreement with 1 or more other states or public entities for the





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        purchase of goods, including, but not limited to, recycled goods,

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        and services necessary for state programs.

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             (8) PRIVATIZATION CONTRACTS AS DEFINED IN THE QUALITY PUBLIC

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        SERVICE CONTRACTOR ACCOUNTABILITY ACT ARE SUBJECT TO THE QUALITY

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        PUBLIC SERVICE CONTRACTOR ACCOUNTABILITY ACT.














































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