72nd OREGON LEGISLATIVE ASSEMBLY--2003 Regular Session
 
NOTE:  Matter within  { +  braces and plus signs + } in an
amended section is new. Matter within  { -  braces and minus
signs - } is existing law to be omitted. New sections are within
 { +  braces and plus signs + } .
 
LC 2215
 
                         House Bill 2846
 
Sponsored by Representative T SMITH
 
 
                             SUMMARY
 
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
 
  Requires public contracting agency to determine economic impact
of awarding contract to procure motor vehicle plates to
nonresident bidder. Requires agency to add cost of economic
impact to bid of nonresident bidder when determining lowest
responsible bidder.
 
                        A BILL FOR AN ACT
Relating to public contracts to procure motor vehicle plates;
  amending ORS 279.029.
Be It Enacted by the People of the State of Oregon:
  SECTION 1. ORS 279.029 is amended to read:
  279.029. (1) After the bids are opened as required by ORS
279.027, and after a determination is made that a contract is to
be awarded, the public contracting agency shall award the
contract to the lowest responsible bidder.
  (2) In determining the lowest responsible bidder, a public
contracting agency shall:
  (a) If the contract is for a public improvement, check the list
created by the Construction Contractors Board under ORS 701.227
for bidders who are not qualified to hold a contract for a public
improvement;   { - and - }
  (b) For the purpose of awarding the contract, add a percent
increase on the bid of a nonresident bidder equal to the percent,
if any, of the preference given to that bidder in the state { + ,
province or nation + } in which the bidder resides { + ; and
  (c) If the contract is to procure motor vehicle registration
plates or plates required by the Public Utility Commission to be
affixed to motor carriers, determine the economic impact on state
and local governments and on the economy of the state of awarding
the contract to a nonresident bidder. In determining the economic
impact, the public contracting agency shall consider the value of
lost salaries and wages to the state economy, the loss of
employment in the state, the loss of state and local taxes,
including workers' compensation premiums and unemployment taxes,
and the loss of health insurance and other verifiable employee
benefits that accrue to Oregon employees. In determining the
lowest responsible bidder, the public contracting agency shall
add to the bid of a nonresident bidder the cost of the economic
impact determined under this paragraph and award the contract to
the lowest responsible bidder + }.
 
  (3) The Oregon Department of Administrative Services on or
before January 1 of each year shall publish a list of
states { + , provinces and nations + } that give preference to
 { - in-state - }  bidders  { +  from within those states,
provinces or nations, + } with the percent increase applied in
each such state { + , province or nation + }. The public
contracting agency may rely on   { - the names of states and
percentages so - }   { + information in the + } published
 { + list + } in determining the lowest responsible bidder
without incurring any liability to any bidder.
  (4) The successful bidder shall:
  (a) Promptly execute a formal contract.
  (b) If the contract is for a public improvement, execute and
deliver to the public contracting agency a good and sufficient
bond, to be approved by the public contracting agency, in a sum
equal to the contract price for the faithful performance of the
contract. In lieu of a surety bond, the public contracting agency
may permit the successful bidder to submit a cashier's check or
certified check in an amount equal to 100 percent of the contract
price. If the public improvement contract is with a single person
to provide both design and construction of a public improvement,
the obligation of the surety bond, or the obligation of the
bidder on the cashier's check or certified check, for the
faithful performance of the contract required by this paragraph,
shall be also for the preparation and completion of the design
and related services covered under the contract. Notwithstanding
when a cause of action, claim or demand accrues or arises, the
surety or the bidder on the cashier's check or certified check
shall not be liable after final completion of the contract, or
longer if defined in the contract, for damages of any nature,
economic or otherwise and including corrective work, attributable
to the design aspect of a design-build project, or for the costs
of design revisions needed to implement corrective work.
  (5) In cases of emergency, or where the interest or property of
the public contracting agency probably would suffer material
injury by delay or other cause, the requirement of furnishing a
good and sufficient bond for the faithful performance of any
public contract may be excused, if a declaration of such
emergency is made and concurred in by all members of the
governing board of the public contracting agency.
  (6) As used in this section:
  (a) 'Lowest responsible bidder' means the lowest bidder who is
not on the list established by the Construction Contractors Board
pursuant to ORS 701.227 and who has:
  (A) Substantially complied with all prescribed public bidding
procedures and requirements;
  (B) Met the standards of responsibility. In determining if a
prospective bidder has met the standards of responsibility, the
public contracting agency shall consider whether a prospective
bidder has:
  (i) Available the appropriate financial, material, equipment,
facility and personnel resources and expertise, or ability to
obtain the resources and expertise, necessary to indicate the
capability of the prospective bidder to meet all contractual
responsibilities;
  (ii) A satisfactory record of performance. The public
contracting agency shall document the record of performance of a
prospective bidder if the public contracting agency finds the
prospective bidder not to be responsible under this
sub-subparagraph;
  (iii) A satisfactory record of integrity. The public
contracting agency shall document the record of integrity of a
prospective bidder if the public contracting agency finds the
prospective bidder not to be responsible under this
sub-subparagraph;
 
  (iv) Qualified legally to contract with the public contracting
agency; and
  (v) Supplied all necessary information in connection with the
inquiry concerning responsibility. If a prospective bidder fails
to promptly supply information requested by the public
contracting agency concerning responsibility, the public
contracting agency shall base the determination of responsibility
upon any available information, or may find the prospective
bidder not to be responsible; and
  (C) Not been disqualified by the public contracting agency
under ORS 279.037.
  (b) 'Resident bidder' means a bidder that { + :
  (A) + } Has paid unemployment taxes or income taxes in this
state during the 12 calendar months immediately preceding
submission of the bid  { - , - }  { + ;
  (B) + } Has a business address in this state { + ; + }
 { - and - }  { +
  (C) + } Has stated in the bid whether the bidder is a
  { -  ' - } resident bidder  { -  ' - }  pursuant to this
subsection { + ; and
  (D) With respect to a contract to procure motor vehicle
registration plates or plates required by the Public Utility
Commission to be affixed to motor carriers, proposes to perform a
significant part of the manufacturing of motor vehicle plates
within this state + }.
  (c) 'Nonresident bidder' means a bidder who is not a
  { -  ' - } resident bidder  { -  ' - }  as defined by paragraph
(b) of this subsection.
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