As Reported by the House Insurance Committee

124th General Assembly
Regular Session
2001-2002
Am. S. B. No. 109


SENATORS Nein, Mumper

REPRESENTATIVES Olman, Krupinski, Cirelli, G. Smith



A BILL
To enact sections 9.315 and 9.316 of the Revised Code1
to prohibit an agent of a public authority, in2
issuing an invitation for bids or a request for3
proposals for a contract with the public authority,4
from requiring that any bond or insurance policy5
required under the contract be furnished by or6
acquired from a particular surety or insurance7
company or a particular agent or broker.8


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

       Section 1. That sections 9.315 and 9.316 of the Revised Code9
be enacted to read as follows:10

       Sec. 9.315. (A) As used in sections 9.315 and 9.316 of the11
Revised Code: 12

       (1) "Public authority" means the state or a county,13
township, municipal corporation, school district, or other14
political subdivision of the state, or any public agency,15
authority, board, commission, instrumentality, or special district16
of the state or of a county, township, municipal corporation,17
school district, or other political subdivision of the state.18

       (2) "Self-insured public authority" means a public authority19
that has been granted the privilege to self-insure a construction20
project against workers' compensation liability by the21
administrator of workers' compensation pursuant to division (O) of22
section 4123.35 of the Revised Code.23


        (B) No officer, employee, or other agent of a public25
authority, in issuing an invitation for bids or a request for26
proposals for a contract with the public authority for the27
rendering of services or the supplying of materials, or for the28
construction, demolition, alteration, repair, or reconstruction of29
any public building, structure, highway, or other improvement,30
shall, directly or indirectly, require that any bid bond,31
performance bond, payment bond, or other bond, or any insurance32
policy, required under the contract be furnished by or acquired33
from a particular surety or insurance company or a particular34
agent or broker.35

       (C) Divsion (B) of this section does not apply to any36
insurance policy entered into by a self-insured public authority37
in connection with a contract otherwise subject to this section.38
This division does not exempt any bid bond, performance bond,39
payment bond, or other bond from the appropriate application of40
division (B) of this section.41


       Sec. 9.316. (A) A person that is likely to be damaged by a43
violation of section 9.315 of the Revised Code may commence a44
civil action for injunctive relief against the public authority,45
and the court of common pleas involved in that action may grant46
injunctive relief based on the principles of equity and on the47
terms that the court considers reasonable. Proof of monetary48
damage or loss of profits is not required in a civil action49
commenced under this division.50

        (B) The court may award reasonable attorney's fees and51
court costs to the prevailing party in a civil action authorized52
by division (A) of this section.53

       Section 2. Sections 9.315 and 9.316 of the Revised Code, as54
enacted by this act, apply only with respect to contracts that are55
entered into on or after the effective date of this act.56