January 17, 2008, Introduced by Reps. Spade, Byrum, Simpson, Polidori, Gonzales, Alma Smith, Robert Jones and Miller and referred to the Committee on Education.
A bill to amend 1976 PA 451, entitled
"The revised school code,"
by amending sections 623a, 1267, and 1274 (MCL 380.623a, 380.1267,
and 380.1274), section 623a as amended by 2007 PA 45, section 1267
as amended by 2004 PA 232, 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) (4),
an
intermediate school district shall not purchase an item or a group
of items purchased in a single transaction costing $19,211.00 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 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) In awarding a contract under this section, the
intermediate school district may give a preference of up to 10% of
the amount of the contract to a Michigan-based firm. If the
Michigan-based firm otherwise meets the requirements of the
contract solicitation and with these preferences is the lowest
responsible bidder, the intermediate school district may award the
contract to the Michigan-based firm. If 2 or more Michigan-based
firms are the lowest responsible bidders on a contract with these
preferences, all other things being equal, the intermediate school
district may award the contract to the Michigan-based firm with the
lowest responsible bid.
(4) (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.
(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.
(6) As used in this section, "Michigan-based firm" means a
firm that would qualify for a preference in a procurement contract
with this state under section 261(1) of the management and budget
act, 1984 PA 431, MCL 18.1261, as determined by the department of
management and budget.
Sec. 1267. (1) Before commencing construction of a new school
building, or addition to or repair or renovation of an existing
school building, except repair in emergency situations, the board
of a school district or intermediate school district or board of
directors of a public school academy, shall obtain competitive bids
on all the material and labor required for the complete
construction of a proposed new building or addition to or repair or
renovation of an existing school building.
(2) The board, intermediate school board, or board of
directors shall advertise for the bids required under subsection
(1) by placing an advertisement for bids at least once in a
newspaper of general circulation in the area where the building or
addition is to be constructed or where the repair or renovation of
an existing building is to take place and by posting an
advertisement for bids for at least 2 weeks on the department of
management and budget website on a page on the website maintained
for this purpose or on a website maintained by a school
organization and designated by the department of management and
budget for this purpose. If the department of management and budget
designates a school organization website for this purpose, the
department of management and budget shall indicate this fact on its
website and include a link on its website to the school
organization website.
(3) The advertisement for bids shall do all of the following:
(a) Specify the date and time by which all bids must be
received by the board, intermediate school board, or board of
directors.
(b) State that the board, intermediate school board, or board
of directors will not consider or accept a bid received by the
board, intermediate school board, or board of directors after the
date and time specified for bid submission.
(c) Identify the time, date, and place of a public meeting at
which the board, intermediate school board, or board of directors
or its designee will open and read aloud each bid received by the
board, intermediate school board, or board of directors by the date
and time specified in subdivision (a).
(d) State that the bid shall be accompanied by a sworn and
notarized statement disclosing any familial relationship that
exists between the owner or any employee of the bidder and any
member of the board, intermediate school board, or board of
directors or the superintendent of the school district,
intermediate superintendent of the intermediate school district, or
chief executive officer of the public school academy. A board,
intermediate school board, or board of directors shall not accept a
bid that does not include this sworn and notarized disclosure
statement.
(4) The board, intermediate school board, or board of
directors shall require each bidder for a contract under this
section to file with the board, intermediate school board, or board
of directors security in an amount not less than 1/20 of the amount
of the bid conditioned to secure the school district from loss or
damage by reason of the withdrawal of the bid or by the failure of
the bidder to enter a contract for performance, if the bid is
accepted by the board, intermediate school board, or board of
directors.
(5) The board, intermediate school board, or board of
directors shall not open, consider, or accept a bid that the board,
intermediate school board, or board of directors receives after the
date and time specified for bid submission in the advertisement for
bids described in subsection (3).
(6) At a public meeting identified in the advertisement for
bids described in subsection (3), the board, intermediate school
board, or board of directors or its designee shall open and read
aloud each bid that the board, intermediate school board, or board
of directors received at or before the time and date for bid
submission specified in the advertisement for bids. The board,
intermediate school board, or board of directors may reject any or
all bids, and if all bids are rejected, shall readvertise in the
manner required by this section.
(7) In awarding a contract under this section, the board,
intermediate school board, or board of directors may give a
preference of up to 10% of the amount of the contract to a
Michigan-based firm. If the Michigan-based firm otherwise meets the
requirements of the contract solicitation and with these
preferences is the lowest responsible bidder, the board,
intermediate school board, or board of directors may award the
contract to the Michigan-based firm. If 2 or more Michigan-based
firms are the lowest responsible bidders on a contract with these
preferences, all other things being equal, the board, intermediate
school board, or board of directors may award the contract to the
Michigan-based firm with the lowest responsible bid.
(8)
(7) This section does not apply to buildings,
renovations,
or
repairs costing less than $17,932.00 $19,211.00 or to repair
work normally performed by school district, intermediate school
board, or public school academy employees. 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.
(9) As used in this section, "Michigan-based firm" means a
firm that would qualify for a preference in a procurement contract
with this state under section 261(1) of the management and budget
act, 1984 PA 431, MCL 18.1261, as determined by the department of
management and budget.
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) (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
$19,211.00 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) In awarding a contract under this section, the school
district or public school academy may give a preference of up to
10% of the amount of the contract to a Michigan-based firm. If the
Michigan-based firm otherwise meets the requirements of the
contract solicitation and with these preferences is the lowest
responsible bidder, the school district or public school academy
may award the contract to the Michigan-based firm. If 2 or more
Michigan-based firms are the lowest responsible bidders on a
contract with these preferences, all other things being equal, the
school district or public school academy may award the contract to
the Michigan-based firm with the lowest responsible bid.
(4)
(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.
(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.
(6) As used in this section, "Michigan-based firm" means a
firm that would qualify for a preference in a procurement contract
with this state under section 261(1) of the management and budget
act, 1984 PA 431, MCL 18.1261, as determined by the department of
management and budget.