As Introduced                            1            

122nd General Assembly                                             4            

   Regular Session                                 H. B. No. 204   5            

      1997-1998                                                    6            


    REPRESENTATIVES WACHTMANN-TIBERI-HODGES-TAYLOR-VAN VYVEN-      8            

                      HOOD-SCHULER-PADGETT                         8/1          


                                                                   11           

                           A   B I L L                                          

             To amend section 125.04 of the Revised Code to allow  13           

                certain political subdivisions to purchase         14           

                supplies and services outside of a Department of   15           

                Administrative Services purchase  contract and     16           

                without complying with competitive selection       17           

                procedures if the purchase can be made at a lower  18           

                price than is available through such a contract.   19           




BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:        21           

      Section 1.  That section 125.04 of the Revised Code be       23           

amended to read as follows:                                        24           

      Sec. 125.04.  (A)  Except as provided in division (C)(D) of  35           

this section, the department of administrative services shall      36           

determine what supplies and services are purchased by or for       37           

state agencies.  Whenever the department of administrative         38           

services makes any change or addition to the lists of supplies     39           

and services that it determines to purchase for state agencies,    40           

it shall provide a list to the agencies of the changes or          41           

additions and indicate when the department will be prepared to     42           

furnish each item listed.  Except for the requirements of          43           

division (B) of section 125.11 of the Revised Code, sections       44           

125.04 to 125.08 and 125.09 to 125.15 of the Revised Code do not   45           

apply to or affect the educational institutions of the state.      46           

The department shall not include the bureau of workers'            47           

compensation in the lists of supplies, equipment, and services     48           

purchased and furnished by the department.                         49           

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      Nothing in this division precludes the bureau from entering  51           

into a contract with the department for the department to perform  52           

services relative to supplies, equipment, and services contained   53           

in this division for the bureau.                                   54           

      (B)  As used in this division, "political subdivision"       56           

means any county, township, municipal corporation, school          57           

district, conservancy district, township park district, park       58           

district created under Chapter 1545. of the Revised Code,          59           

regional transit authority, regional airport authority, regional   60           

water and sewer district, or port authority.  "Political           61           

subdivision" also includes any other political subdivision         62           

described in the Revised Code that has been approved by the        63           

department to participate in the department's contracts under                   

this division.                                                     64           

      The SUBJECT TO DIVISION (C) OF THIS SECTION, THE department  67           

of administrative services may permit a political subdivision to   68           

participate in contracts into which the department has entered     69           

for the purchase of supplies and services.  Any political          70           

subdivision desiring to participate in such purchase contracts     71           

shall file with the department a certified copy of an ordinance    72           

or resolution of the legislative authority or governing board of   73           

the political subdivision.  The resolution or ordinance shall      74           

request that the political subdivision be authorized to            75           

participate in such contracts and shall agree that the political   76           

subdivision will be bound by such terms and conditions as the      77           

department prescribes and that it will directly pay the vendor     78           

under each purchase contract.  The department may charge a         79           

political subdivision a reasonable fee to cover the                80           

administrative costs the department incurs as a result of the      81           

subdivision's participation in the purchase contract.  Purchases   82           

made by a political subdivision under this division are exempt     83           

from any competitive selection procedures otherwise required by    84           

law.  No political subdivision shall make any purchase under this  85           

division when bids have been received for such purchase by the     86           

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subdivision, unless such purchase can be made upon the same        87           

terms, conditions, and specifications at a lower price under this  88           

division.                                                          89           

      The department shall include in its annual report an         91           

estimate of the cost it incurs by permitting political             92           

subdivisions to participate in contracts pursuant to this          93           

division.  The department may require political subdivisions       94           

participating in contracts pursuant to this division to file a     95           

report with the department, as often as it finds necessary,        96           

stating how many such contracts the political subdivisions         97           

participate in within a specified period of time, and any other    98           

information the department requires.                               99           

      (C)  A POLITICAL SUBDIVISION MAY PURCHASE SUPPLIES OR        101          

SERVICES FROM ANOTHER PARTY INSTEAD OF THROUGH PARTICIPATION IN    102          

CONTRACTS DESCRIBED IN DIVISION (B) OF THIS SECTION IF THE         104          

POLITICAL SUBDIVISION CAN PURCHASE THOSE SUPPLIES OR SERVICES      105          

FROM THE OTHER PARTY UPON THE SAME TERMS, CONDITIONS, AND          106          

SPECIFICATIONS BUT AT A LOWER PRICE THAN IT CAN THROUGH THOSE      107          

CONTRACTS.  PURCHASES THAT A POLITICAL SUBDIVISION MAKES UNDER     108          

THIS DIVISION ARE EXEMPT FROM ANY COMPETITIVE SELECTION            109          

PROCEDURES OTHERWISE REQUIRED BY LAW.  A POLITICAL SUBDIVISION     110          

THAT MAKES ANY PURCHASE UNDER THIS DIVISION SHALL CERTIFY TO THE   111          

DEPARTMENT SUFFICIENT INFORMATION REGARDING THE PURCHASE, AS THE   112          

DEPARTMENT DETERMINES, TO VERIFY THAT THE POLITICAL SUBDIVISION    113          

SATISFIES THE CONDITIONS FOR MAKING A PURCHASE UNDER THIS          114          

DIVISION.                                                                       

      (D)  This section does not apply to supplies or services     116          

required by the legislative or judicial branches, boards of        117          

elections, the capitol square review and advisory board, the       118          

adjutant general, to supplies or services purchased by a state     119          

agency directly as provided in division (A) of section 125.05 of   120          

the Revised Code, to purchases of supplies or services for the     121          

emergency management agency as provided in section 125.023 of the  122          

Revised Code, or to purchases of supplies or services for the      123          

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department of rehabilitation and correction in its operation of    124          

the program for the employment of prisoners established under      125          

section 5145.16 of the Revised Code that shall be made pursuant    126          

to rules adopted by the director of administrative services and    127          

the director of rehabilitation and correction in accordance with   128          

Chapter 119. of the Revised Code.  The rules may provide for the   129          

exemption of the program for the employment of prisoners from the  130          

requirements of division (A) of this section.                      131          

      Section 2.  That existing section 125.04 of the Revised      133          

Code is hereby repealed.                                           134          

      Section 3.  Section 125.04 of the Revised Code is presented  136          

in this act as a composite of the section as amended by Am. Sub.   137          

H.B. 107, Am. Sub. S.B. 99, and Am. Sub. S.B. 162 of the 121st     138          

General Assembly, with the new language of none of the acts shown  139          

in capital letters.  This is in recognition of the principle       140          

stated in division (B) of section 1.52 of the Revised Code that    141          

such amendments are to be harmonized where not substantively       142          

irreconcilable and constitutes a legislative finding that such is  143          

the resulting version in effect prior to the effective date of     144          

this act.