COMMITTEE ON LEGISLATIVE RESEARCH

OVERSIGHT DIVISION



FISCAL NOTE



L.R. NO.: 2680-01

BILL NO.: SB 688

SUBJECT: Commissioner of Administration Could Waive Bids for Mental Health Services

TYPE: Original

DATE: December 15, 1999




FISCAL SUMMARY



ESTIMATED NET EFFECT ON STATE FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
None
Total Estimated

Net Effect on All

State Funds

$0 $0 $0



ESTIMATED NET EFFECT ON FEDERAL FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
None
Total Estimated

Net Effect on All

Federal Funds

$0 $0 $0



ESTIMATED NET EFFECT ON LOCAL FUNDS
FUND AFFECTED FY 2001 FY 2002 FY 2003
Local Government $0 $0 $0


Numbers within parentheses: ( ) indicate costs or losses

This fiscal note contains 3 pages.



FISCAL ANALYSIS



ASSUMPTION



Officials from the Department of Mental Health (DMH) did not respond to our request for fiscal impact. However, for a similar proposal from the previous session, the DMH stated that although the proposal will allow their Department greater flexibility in creating Request for Proposals, the scope of procedures and responsibilities remain unchanged. Therefore, the DMH anticipated no fiscal impact.



Officials from the Office of Administration - Division of Purchasing and Materials Management stated they are unable to determine the long-range impact of allowing Chapter 34 bidding requirements to be waived for certain purchases made by the Department of Mental Health. Chapter 34 bidding requirements are intended to provide open and fair competition for state contracts and ensure that the state receives the "lowest and best" products and services.



Based on a vote of the Oversight Subcommittee on March 11, 1999 on the fiscal note for an identical bill , Oversight reflects a $0 cost or income related to this proposal.



FISCAL IMPACT - State Government FY 2001 FY 2002 FY 2003

(10 Mo.)



$0 $0 $0

FISCAL IMPACT - Local Government FY 2001 FY 2002 FY 2003

(10 Mo.)





$0 $0 $0

FISCAL IMPACT - Small Business



No direct fiscal impact to small businesses would be expected as a result of this proposal.



DESCRIPTION



This proposal will allow the Commissioner of Administration to waive the required bidding procedures for the purchase of services for patients, residents, and clients of the Department of Mental Health.



This legislation is not federally mandated, would not duplicate any other program and would not require additional capital improvements or rental space.



SOURCES OF INFORMATION



Office of Administration

Department of Mental Health







Jeanne Jarrett, CPA

Director

December 15, 1999