As Passed by the House 1
122nd General Assembly 4
Regular Session Sub. H. B. No. 204 5
1997-1998 6
REPRESENTATIVES WACHTMANN-TIBERI-HODGES-TAYLOR-VAN VYVEN- 8
HOOD-SCHULER-PADGETT-SAWYER-GARCIA-BUCHY-TERWILLEGER- 9
BRADING-REID-VESPER 10
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A B I L L
To amend sections 125.04, 125.56, 731.14, 731.141, 14
and 735.05 of the Revised Code to allow certain 16
political subdivisions to purchase supplies and 17
services outside of a Department of 18
Administrative Services purchase contract and 19
without complying with competitive selection 20
procedures if the purchase can be made at a lower 21
price than is available through such a contract, 22
to increase the competitive bidding threshold 23
for certain municipal contracts from $10,000 to 24
$15,000, and to eliminate the requirement that 25
state printing contracts be executed within 26
Ohio. 27
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 29
Section 1. That sections 125.04, 125.56, 731.14, 731.141, 31
and 735.05 of the Revised Code be amended to read as follows: 33
Sec. 125.04. (A) Except as provided in division (C)(D) of 44
this section, the department of administrative services shall 45
determine what supplies and services are purchased by or for 46
state agencies. Whenever the department of administrative 47
services makes any change or addition to the lists of supplies 48
and services that it determines to purchase for state agencies, 49
it shall provide a list to the agencies of the changes or 50
additions and indicate when the department will be prepared to 51
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furnish each item listed. Except for the requirements of 52
division (B) of section 125.11 of the Revised Code, sections 53
125.04 to 125.08 and 125.09 to 125.15 of the Revised Code do not 54
apply to or affect the educational institutions of the state. 55
The department shall not include the bureau of workers' 56
compensation in the lists of supplies, equipment, and services 57
purchased and furnished by the department. 58
Nothing in this division precludes the bureau from entering 60
into a contract with the department for the department to perform 61
services relative to supplies, equipment, and services contained 62
in this division for the bureau. 63
(B) As used in this division, "political subdivision" 65
means any county, township, municipal corporation, school 66
district, conservancy district, township park district, park 67
district created under Chapter 1545. of the Revised Code, 68
regional transit authority, regional airport authority, regional 69
water and sewer district, or port authority. "Political 70
subdivision" also includes any other political subdivision 71
described in the Revised Code that has been approved by the 72
department to participate in the department's contracts under
this division. 73
The SUBJECT TO DIVISION (C) OF THIS SECTION, THE department 76
of administrative services may permit a political subdivision to 77
participate in contracts into which the department has entered 78
for the purchase of supplies and services. Any political 79
subdivision desiring to participate in such purchase contracts 80
shall file with the department a certified copy of an ordinance 81
or resolution of the legislative authority or governing board of 82
the political subdivision. The resolution or ordinance shall 83
request that the political subdivision be authorized to 84
participate in such contracts and shall agree that the political 85
subdivision will be bound by such terms and conditions as the 86
department prescribes and that it will directly pay the vendor 87
under each purchase contract. The department may charge a 88
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political subdivision a reasonable fee to cover the 89
administrative costs the department incurs as a result of the 90
subdivision's participation in the purchase contract. Purchases 91
made by a political subdivision under this division are exempt 92
from any competitive selection procedures otherwise required by 93
law. No political subdivision shall make any purchase under this 94
division when bids have been received for such purchase by the 95
subdivision, unless such purchase can be made upon the same 96
terms, conditions, and specifications at a lower price under this 97
division. 98
The department shall include in its annual report an 100
estimate of the cost it incurs by permitting political 101
subdivisions to participate in contracts pursuant to this 102
division. The department may require political subdivisions 103
participating in contracts pursuant to this division to file a 104
report with the department, as often as it finds necessary, 105
stating how many such contracts the political subdivisions 106
participate in within a specified period of time, and any other 107
information the department requires. 108
(C) A POLITICAL SUBDIVISION AS DEFINED IN DIVISION (B) OF 110
THIS SECTION MAY PURCHASE SUPPLIES OR SERVICES FROM ANOTHER 112
PARTY, INCLUDING ANOTHER POLITICAL SUBDIVISION, INSTEAD OF
THROUGH PARTICIPATION IN CONTRACTS DESCRIBED IN DIVISION (B) OF 114
THIS SECTION IF THE POLITICAL SUBDIVISION CAN PURCHASE THOSE 115
SUPPLIES OR SERVICES FROM THE OTHER PARTY UPON EQUIVALENT TERMS, 116
CONDITIONS, AND SPECIFICATIONS BUT AT A LOWER PRICE THAN IT CAN 117
THROUGH THOSE CONTRACTS. PURCHASES THAT A POLITICAL SUBDIVISION 118
MAKES UNDER THIS DIVISION ARE EXEMPT FROM ANY COMPETITIVE 119
SELECTION PROCEDURES OTHERWISE REQUIRED BY LAW. A POLITICAL 120
SUBDIVISION THAT MAKES ANY PURCHASE UNDER THIS DIVISION SHALL 121
MAINTAIN SUFFICIENT INFORMATION REGARDING THE PURCHASE TO VERIFY 123
THAT THE POLITICAL SUBDIVISION SATISFIED THE CONDITIONS FOR 124
MAKING A PURCHASE UNDER THIS DIVISION. 125
(D) This section does not apply to supplies or services 127
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required by the legislative or judicial branches, boards of 128
elections, the capitol square review and advisory board, the 129
adjutant general, to supplies or services purchased by a state 130
agency directly as provided in division (A) of section 125.05 of 131
the Revised Code, to purchases of supplies or services for the 132
emergency management agency as provided in section 125.023 of the 133
Revised Code, or to purchases of supplies or services for the 134
department of rehabilitation and correction in its operation of 135
the program for the employment of prisoners established under 136
section 5145.16 of the Revised Code that shall be made pursuant 137
to rules adopted by the director of administrative services and 138
the director of rehabilitation and correction in accordance with 139
Chapter 119. of the Revised Code. The rules may provide for the 140
exemption of the program for the employment of prisoners from the 141
requirements of division (A) of this section. 142
Sec. 125.56. All printing under sections 125.43 to 125.76 151
of the Revised Code, must SHALL be executed within this state 152
PURSUANT TO SECTION 125.11 OF THE REVISED CODE. 153
Sec. 731.14. All contracts made by the legislative 162
authority of a village shall be executed in the name of the 163
village and signed on its behalf by the mayor and clerk. Except 164
where the contract is for equipment, services, materials, or 165
supplies to be purchased under division (D) of section 713.23, or 166
section 125.04 or 5513.01 of the Revised Code or available from a 167
qualified nonprofit agency pursuant to sections 4115.31 to 168
4115.35 of the Revised Code, when any expenditure, other than the 169
compensation of persons employed therein, exceeds ten FIFTEEN 170
thousand dollars, such contracts shall be in writing and made 172
with the lowest and best bidder after advertising for not less 173
than two nor more than four consecutive weeks in a newspaper of 174
general circulation within the village. The bids shall be opened 175
and shall be publicly read by the clerk of such village or a 176
person designated by him THE CLERK at the time, date, and place 177
specified in the advertisement to bidders or specifications. The 179
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time, date, and place of bid openings may be extended to a later 180
date by the legislative authority of the village, provided that 181
written or oral notice of the change shall be given to all 182
persons who have received or requested specifications no later 183
than ninety-six hours prior to the original time and date fixed 184
for the opening. This section does not apply to those villages 185
that have provided for the appointment of a village administrator 186
under section 735.271 of the Revised Code. 187
Sec. 731.141. In those villages that have established the 196
position of village administrator, as provided by section 735.271 197
of the Revised Code, the village administrator shall make 198
contracts, purchase supplies and materials, and provide labor for 199
any work under his THE ADMINISTRATOR'S supervision involving not 201
more than ten FIFTEEN thousand dollars. When an expenditure, 202
other than the compensation of persons employed by the village, 203
exceeds ten FIFTEEN thousand dollars, such expenditure shall 204
first be authorized and directed by ordinance of the legislative 206
authority of the village. When so authorized and directed, 207
except where the contract is for equipment, services, materials, 208
or supplies to be purchased under division (D) of section 713.23, 209
or section 125.04 or 5513.01 of the Revised Code or available 210
from a qualified nonprofit agency pursuant to sections 4115.31 to 211
4115.35 of the Revised Code, the village administrator shall make 212
a written contract with the lowest and best bidder after 213
advertisement for not less than two nor more than four 214
consecutive weeks in a newspaper of general circulation within 215
the village. The bids shall be opened and shall be publicly read 216
by the village administrator or a person designated by him THE 217
VILLAGE ADMINISTRATOR at the time, date, and place as specified 218
in the advertisement to bidders or specifications. The time, 220
date, and place of bid openings may be extended to a later date 221
by the village administrator, provided that written or oral 222
notice of the change shall be given to all persons who have 223
received or requested specifications no later than ninety-six 224
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hours prior to the original time and date fixed for the opening. 225
All contracts shall be executed in the name of the village and 226
signed on its behalf by the village administrator and the clerk. 227
The legislative authority of a village may provide, by 229
ordinance, for central purchasing for all offices, departments, 230
divisions, boards, and commissions of the village, under the 231
direction of the village administrator who shall make contracts, 232
purchase supplies or materials, and provide labor for any work of 233
the village in the manner provided by this section. 234
Sec. 735.05. The director of public service may make any 243
contract, purchase supplies or material, or provide labor for any 244
work under the supervision of the department of public service 245
involving not more than ten FIFTEEN thousand dollars. When an 246
expenditure within the department, other than the compensation of 247
persons employed therein, exceeds ten FIFTEEN thousand dollars, 248
such expenditure shall first be authorized and directed by 250
ordinance of the city legislative authority. When so authorized 251
and directed, except where the contract is for equipment, 252
services, materials, or supplies to be purchased under division 253
(D) of section 713.23, or section 125.04 or 5513.01 of the 254
Revised Code or available from a qualified nonprofit agency 255
pursuant to sections 4115.31 to 4115.35 of the Revised Code, the 256
director shall make a written contract with the lowest and best 257
bidder after advertisement for not less than two nor more than 258
four consecutive weeks in a newspaper of general circulation 259
within the city. 260
Section 2. That existing sections 125.04, 125.56, 731.14, 262
731.141, and 735.05 of the Revised Code are hereby repealed. 264
Section 3. Section 125.04 of the Revised Code is presented 266
in this act as a composite of the section as amended by Am. Sub. 267
H.B. 107, Am. Sub. S.B. 99, and Am. Sub. S.B. 162 of the 121st 268
General Assembly, with the new language of none of the acts shown 269
in capital letters. This is in recognition of the principle 270
stated in division (B) of section 1.52 of the Revised Code that 271
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such amendments are to be harmonized where not substantively 272
irreconcilable and constitutes a legislative finding that such is 273
the resulting version in effect prior to the effective date of 274
this act.