HB 511 — Procurement Amendments

03-03HB0511S01 19:37compared 1stwith Sub.HB0511 {Omitted text} shows text that was in HB0511 but was omitted in HB0511S01 inserted text shows text that was not in HB0511 but was inserted into HB0511S01 DISCLAIMER:

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Brady Brammer 3 LONG TITLE General Description:

▸ provides that a procurement unit shall give a preference to bidders that certify on theHhe bid s that the bidder qualifies as a resident supplier;

and tB ▸ makes technical and conforming changes.

S5 Money Appropriated in this Bill:

u1 bHB0511 Nonecompared Hwith HB0511S01 None Other Special Clauses:

B None .Utah Code Sections Affected:

UtahAMENDS: Code Sections Affected:

563G-6a-506 AMENDS:, as last amended by Laws of Utah 2025, Chapter 69 63G-6a-507 , as last amended by Laws of Utah 2020, Chapter 257 ENACTS:

163G-6a-1005 63G-6a-506,, as last amended by Laws of Utah 2025,Code ChapterAnnotated 691953 63G-6a-507,Be asit lastenacted amended by Lawsthe Legislature of Utahthe 2020,state Chapterof 257Utah: ENACTS:

1st Sub.

(Buff) H.B.

511 03-03 19:37 63G-6a-1005, Utah Code Annotated 1953 Be it enacted by the Legislature of the state of Utah:

63G-6a-50663G-6a-506. .

(c) "Resident supplier" means {a person, partnership, corporation, or other business entity that has a principal place of business } the same as that term is defined in {Utah} Section 63G-6a-1005.

(2)(a)(2) (a) The rulemaking authority may make rules governing small purchases of any procurement item, including construction, job order contracting, design professional services, other professional services, information technology, and goods.

- 2 - HB0511 compared with HB0511S01 (A) an annual cumulative threshold;

-(3) 2Expenditures -made 03-03under 19:37this 1stsection Sub.by a procurement unit may not exceed a threshold established by the rulemaking authority, unless the procurement official gives written authorization to exceed the threshold that includes the reasons for exceeding the threshold.

(Buff) H.B.

511 (3) Expenditures made under this section by a procurement unit may not exceed a threshold established by the rulemaking authority, unless the procurement official gives written authorization to exceed the threshold that includes the reasons for exceeding the threshold.

- 3 - HB0511 compared with HB0511S01 (B) the maintenance and service applicable to the procurement item under the state contract with the maintenance and service applicable to the procurement item if the procurement item is obtained outside of the state contract;

-(ii) 3for -a 1stprocurement Sub.item that, if defective in its manufacture, installation, or performance, may result in serious physical injury, death, or substantial property damage, determines in writing that the terms and conditions, relating to liability for injury, death, or property damage, available from the source other than the contractor who holds the state contract, are similar to, or better than, the terms and conditions available under the state contract;

(Buff) H.B.

511 03-03 19:37 (ii) for a procurement item that, if defective in its manufacture, installation, or performance, may result in serious physical injury, death, or substantial property damage, determines in writing that the terms and conditions, relating to liability for injury, death, or property damage, available from the source other than the contractor who holds the state contract, are similar to, or better than, the terms and conditions available under the state contract;

(8)(a)(8) (a) It is unlawful for a person knowingly to divide a single procurement into multiple smaller procurements, including by dividing an invoice or purchase order into multiple invoices or purchase orders, if:

and - 4 - HB0511 compared with HB0511S01 (iii) the division is done with the intent to:

-(9) 4The -Division 03-03of 19:37Finance 1stwithin Sub.the Department of Government Operations may conduct an audit of an executive branch procurement unit to verify compliance with the requirements of this section.

(Buff) H.B.

511 (9) The Division of Finance within the Department of Government Operations may conduct an audit of an executive branch procurement unit to verify compliance with the requirements of this section.

63G-6a-50763G-6a-507. .

(c) "Resident supplier" means the same as that term is defined in Section {63G-6a-506} 63G-6a-1005.

(3)(a)(3) (a) A procurement unit may establish an approved vendor list for:

- 5 - HB0511 compared with HB0511S01 (i) a specific, fully defined procurement item;