HOUSE BILL No. 5967

 

April 9, 2008, Introduced by Reps. Gonzales, Mayes, Byrum, Kathleen Law, Polidori, Angerer, Valentine, Hansen, Stahl, Cushingberry, Moolenaar, Spade, Condino, Walker and Meisner and referred to the Committee on Agriculture.

 

     A bill to amend 1976 PA 451, entitled

 

"The revised school code,"

 

by amending sections 623a and 1274 (MCL 380.623a and 380.1274),

 

section 623a as amended by 2007 PA 45 and section 1274 as amended

 

by 2004 PA 588.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 623a. (1) An intermediate school board shall adopt

 

written policies governing the procurement of supplies, materials,

 

and equipment.

 

     (2) Except as otherwise provided in subsection (3) or (4), an

 

intermediate school district shall not purchase an item or a group

 

of items purchased in a single transaction costing $19,211.00

 

$19,650.00 or more unless competitive bids are obtained for those

 

items and the purchase of those items is approved by the


 

intermediate school board. The maximum amount specified in this

 

section subsection shall be adjusted each year by multiplying the

 

amount for the immediately preceding year by the percentage by

 

which the average consumer price index for all items for the 12

 

months ending August 31 of the year in which the adjustment is made

 

differs from that index's average for the 12 months ending on

 

August 31 of the immediately preceding year and adding that product

 

to the maximum amount that applied in the immediately preceding

 

year, rounding to the nearest whole dollar.

 

     (3) An intermediate school district is not required to obtain

 

competitive bids for items purchased through the cooperative bulk

 

purchasing program operated by the department of management and

 

budget under section 263(3) of the management and budget act, 1984

 

PA 431, MCL 18.1263.

 

     (4) An intermediate school district is not required to obtain

 

competitive bids for purchasing food unless the food is purchased

 

in a single transaction costing $100,000.00 or more.

 

     (5) (4) The intermediate school board of an intermediate

 

school district may acquire by purchase, lease, or rental, with or

 

without option to purchase, equipment necessary for the operation

 

of intermediate school district programs, including, but not

 

limited to, heating, water heating, and cooking equipment for

 

school buildings, and may pay for the equipment from operating

 

funds of the intermediate school district. Heating and cooking

 

equipment may be purchased on a title retaining contract or other

 

form of agreement creating a security interest and pledging in

 

payment money in the general fund or funds received from state


 

school aid. The contracts may extend for not more than 10 years.

 

     Sec. 1274. (1) The board of a school district or board of

 

directors of a public school academy shall adopt written policies

 

governing the procurement of supplies, materials, and equipment.

 

     (2) Except as otherwise provided in subsection (3) or (4), a

 

school district or public school academy shall not purchase an item

 

or a group of items in a single transaction costing $17,932.00

 

$19,650.00 or more unless competitive bids are obtained for those

 

items and the purchase of those items is approved by the school

 

board or board of directors. The maximum amount specified in this

 

subsection shall be adjusted each year by multiplying the amount

 

for the immediately preceding year by the percentage by which the

 

average consumer price index for all items for the 12 months ending

 

August 31 of the year in which the adjustment is made differs from

 

that index's average for the 12 months ending on August 31 of the

 

immediately preceding year and adding that product to the maximum

 

amount that applied in the immediately preceding year, rounding to

 

the nearest whole dollar.

 

     (3) A school district or public school academy is not required

 

to obtain competitive bids for items purchased through the

 

cooperative bulk purchasing program operated by the department of

 

management and budget under section 263(3) of the management and

 

budget act, 1984 PA 431, MCL 18.1263.

 

     (4) A school district or public school academy is not required

 

to obtain competitive bids for purchasing food unless the food is

 

purchased in a single transaction costing $100,000.00 or more.

 

     (5) (4) The board of a school district or local act school


 

district or board of directors of a public school academy may

 

acquire by purchase, lease, or rental, with or without option to

 

purchase, equipment necessary for the operation of the school

 

program, including, but not limited to, heating, water heating, and

 

cooking equipment for school buildings, and may pay for the

 

equipment from operating funds of the district or public school

 

academy. Heating and cooking equipment may be purchased on a title

 

retaining contract or other form of agreement creating a security

 

interest and pledging in payment money in the general fund or funds

 

received from state school aid. The contracts may extend for not

 

more than 10 years.