Bill Summary for H 56 (2013-2014)

Summary date: 

Jun 18 2013
S.L. 2013-234

Bill Information:

View NCGA Bill Details2013-2014 Session
House Bill 56 (Public) Filed Thursday, January 31, 2013
AN ACT TO ESTABLISH THE CONTRACT MANAGEMENT SECTION OF THE DIVISION OF PURCHASE AND CONTRACT, DEPARTMENT OF ADMINISTRATION, TO AMEND THE LAWS REQUIRING NEGOTIATION AND REVIEW OF CERTAIN STATE CONTRACTS, TO PROVIDE OVERSIGHT AND REPORTING OF CERTAIN CONTRACT AWARDS, AND TO PROVIDE FOR CONTRACT MANAGEMENT AND ADMINISTRATION, AS RECOMMENDED BY THE JOINT LEGISLATIVE PROGRAM EVALUATION OVERSIGHT COMMITTEE.
Intro. by Howard.

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Bill summary

Senate committee susbtitute makes the following changes to the 2nd edition.

Adds new subsection (b1) to GS 114-8.3, concerning attorney general/general counsel review of certain contracts, providing that the General Counsel of the Department of State or designee must review all proposed investment contracts, as defined in subdivision 4 of the subsection, as well as all proposed contracts for investment-related services entered pursuant to authority granted under GS 147-69.3 to confirm that the proposed contracts:

(1) are in proper legal form,

(2) contain all clauses required by NC law,

(3) are legally enforceable to the extent governed by NC law, and

(4) accomplish the intended purposes of the proposed contract.

Requires procedures to be established for the review of contracts subject to this subsection. Set outs the terms and requirements that apply to contracts under this subsection.

Amends GS 143-49(3a), concerning the powers and duties of the Secretary of Administration, requiring an attorney from within the Office of the Attorney General to review all contracts and drafts of contracts, with the office retaining a copy of the contract for three years after the termination of the contract. Further provides that the state has the right to terminate the contract if it commences without the required signature, with the other parties only entitled to the value of all services rendered to the state prior to the termination. Provides that the Secretary of Administration is not required to notify the Attorney General for the appointment of a representative for any contract for contractual services which are to be entered into by constituent institutions of the University of North Carolina or the Department of State Treasurer, unless requested to do so by the General Counsel of UNC or the Department of State Treasurer.

Deletes previously included new subsection GS 143-49(3b) and deletes GS 143-49(13).  Amends GS 143-49(16), to provide that recommendations created pursuant to the work completed in conjunction with the School of Government on improving procurement laws must be reported by the Secretary to the Joint Legislative Commission on Governmental Operations and the Program Evaluation Division by June 30, 2014.

Amends GS 143-52.1, providing that the State Purchasing Officer must promptly notify the agency, or institution making the recommendation, of the action taken, when recommending the awarding of a contract where the dollar value exceeds the established benchmark. Further provides that the State Procurement Officer must provide a monthly report of all contract awards that exceed $25,000 and are approved through the Division of Purchase and Contract to the Cochairs of the Joint Legislative Committee on Governmental Operations.

Amends GS 147-33.101, concerning award recommendations and the Chief Information Officer (CIO), providing that the CIO, when an award recommendation has been submitted for approval or other action, must promptly notify the agency, or institution making the recommendation, of the action taken, when recommending the awarding of a contract where the dollar value exceeds the established benchmark. Further provides that the CIO must provide a report of all contract awards approved through the Statewide IT Procurement Office as follows:

(1) for contract awards greater than $25,000 a report must be submitted to the Cochairs of the Joint Legislative Oversight Committee on Information Technology on a monthly basis and

(2) for all contract awards outside the established purchasing system, a report must be submitted to the Secretary of the Department of Administration on a quarterly basis.

Deletes changes made to GS 143-49, which specified certain dates for the implementation of varied programs or positions.

Makes technical, clarifying, and conforming changes throughout the act.

 

 

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