HB 7232 — AN ACT CONCERNING EFFORTS TO STREAMLINE STATE CONTRACTING.

House of Representatives General Assembly RaisedFile Bill No.

7232836 January Session, 2025 LCOSubstitute House Bill No.

50647232 ReferredHouse toof Representatives, May 6, 2025 The Committee on APPROPRIATIONSAppropriations Introducedreported by:through REP.

(APP)WALKER ANof ACTthe CONCERNING93rd EFFORTSDist., TOChairperson STREAMLINEof STATEthe CONTRACTING.Committee on the part of the House, that the substitute bill ought to pass.

AN ACT CONCERNING EFFORTS TO STREAMLINE STATE CONTRACTING.

(Effective from passage) The Secretary of the Office of Policy and Management, in consultation with the Commissioner of Administrative Services, the State Comptroller and the Attorney General, shall use existing personnel to conduct a review of the state contracting process for all state agency contracts and payment policies concerning state agency contracts with service providers and nonprofit organizations, and shall examine ways to streamline and expedite such process and policies.

(2) an identification of complications that result from the tiered process of procurement that may require multiple agencies and the Attorney General to review such contracts;contracts;(3)anidentificationofcomplicationsthatresultfrompayment sHB7232 / File No.

(3)836 an1 identificationsHB7232 ofFile complications that result from payment policies concerning state agency contracts with service providers and nonprofit organizations that may prevent such payments from being processed in LCO No.

5064836 1policies ofconcerning 2state Raisedagency Billcontracts No.with service providers and nonprofit organizations that may prevent such payments from being processed in a timely manner after contracts are approved;

7232 a timely manner after contracts are approved;

Section 1 from passage Section 1 New section StatementAPP ofJoint Purpose:Favorable Subst.

TosHB7232 review/ stateFile contractingNo. and payment policies to identify ways to streamline and improve these processes in order to provide timely contracts and payments to contractors for the provision of services to the state's residents.

[Proposed836 deletions2 aresHB7232 enclosedFile inNo. brackets.

Proposed836 additionsThe arefollowing indicatedFiscal byImpact underline,Statement exceptand underlined.]eBill entireAnalysis textare prepared for the benefit of athe billmembers orof resolutionthe orGeneral aAssembly, sectionsolely offor apurposes billof orinformation, resolutionsummarization isand new,explanation itand isdo not LCOrepresent No.the intent of the General Assembly or either chamber thereof for any purpose.

5064In 2general, fiscal impacts are based upon a variety of 2informational sources, including the analyst’s professional knowledge.

Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.

OFA Fiscal Note State Impact:

Agency Affected Fund-Effect FY 26 $ FY 27 $ Policy & Mgmt., Off.

GF - Cost 950,000 None Note:

GF=General Fund Municipal Impact:

None Explanation The bill requires the Office of Policy and Management (OPM) to conduct a review of the state contracting process for all state agencies and submit a report by January 1, 2026.

This results in a cost of $950,000 to OPM in FY 26 for a consultant as OPM does not have the staff necessary to meet these requirements in the specified time frame.

The Out Years This cost is one-time only.

1It is estimated a review will be needed of approximately 36 agencies.

sHB7232 / File No.

836 3 sHB7232 File No.

836 OFA Bill Analysis HB 7232 AN ACT CONCERNING EFFORTS TO STREAMLINE STATE CONTRACTING.

SUMMARY:

The bill requires the Office of Policy and Management to (1) consult with the Department of Administrative Services, the Office of the State Comptroller, and the Attorney General in conducting a review of the state contracting process for all state agency contracts and payment policies and (2) provide a report to the Connecticut General Assembly by January 1, 2026.

This includes all state agency contracts with service providers and nonprofit organizations.

The review and report must contain the following:

• A determination if staffing levels are adequate for the draft and process of the contract and if not, what the staffing levels should be.

• An identification of any complications that are a result of a tiered process or procurement.

• An identification of any complications regarding payment policies that prevent payments from being processed on time.

• A determination if it is feasible to allocate funds to service provider or nonprofits from a previous fiscal year to sustain operation of existing programs.

EFFECTIVE DATE:

From passage COMMITTEE ACTION sHB7232 / File No.

836 4 sHB7232 File No.

836 Appropriations Committee Joint Favorable Substitute Yea 54 Nay 0 (04/04/2025) sHB7232 / File No.

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