COMMITTEE ON LEGISLATIVE RESEARCH
OVERSIGHT DIVISION
FISCAL NOTE
L.R. No.: 2360-01
Bill No.: SB 952
Subject: Administration, Office of; Contracts and Contractors
Type: Original
Date: February 1, 2002
FISCAL SUMMARY
| FUND AFFECTED | FY 2003 | FY 2004 | FY 2005 |
| None | |||
| Total Estimated
Net Effect on All State Funds |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2003 | FY 2004 | FY 2005 |
| None | |||
| Total Estimated
Net Effect on All Federal Funds |
$0 | $0 | $0 |
| FUND AFFECTED | FY 2003 | FY 2004 | FY 2005 |
| Local Government | $0 | $0 | $0 |
Numbers within parentheses: ( ) indicate costs or losses.
This fiscal note contains 3 pages.
ASSUMPTION
Officials from the Department of Economic Development and the Office of Administration - Divisions of Facilities Management and Purchasing and Materials Management assume the proposed legislation would have no fiscal impact on their office.
Officials from the Department of Conservation assume the proposal would result in unknown fiscal impact depending on the determination of "qualified bidder."
Officials from the Department of Transportation (DHT) assume the proposal would have a fiscal impact for all contracts that go through the Office of Administration for bid and award. DHT assumes the fiscal impact is unknown since the proposal changes the criteria for the award of a state contract.
Officials from the Office of Administration - Division of Design and Construction (COA) assume the proposal would likely have a positive effect which is not quantifiable. COA notes the proposal is likely to reduce the number of defaulted contracts and decrease the cost of contract administration.
Oversight assumes the proposal would not have any direct measurable fiscal impact and assigns a zero fiscal impact.
| FISCAL IMPACT - State Government | FY 2003
(10 Mo.) |
FY 2004 | FY 2005 |
| $0 | $0 | $0 | |
| FISCAL IMPACT - Local Government | FY 2003
(10 Mo.) |
FY 2004 | FY 2005 |
| $0 | $0 | $0 |
FISCAL IMPACT - Small Business
Small businesses may incur additional costs to satisfy the requirements of "qualified bidder."
DESCRIPTION
Current law requires the state to let contracts for projects greater than $25,000 to the lowest, responsive, responsible bidder. This proposal requires the state to use the lowest qualified bidder.
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
Facilities Management
Purchasing and Materials Management
Design and Construction
Department of Conservation
Department of Transportation
Department of Economic Development
Mickey Wilson, CPA
Acting Director
February 1, 2002