To amend sections 3354.16, 3355.12, 3357.16, and 4115.04 and to enact sections 153.53 and 3318.101 of the Revised Code to permit state institutions of higher education to use either single or multiple prime bidding for public improvement projects; to exempt from the Prevailing Wage Law projects constructed by state institutions of higher education and projects constructed by private, non-profit organizations that receive public moneys to construct those projects; and to prohibit the Ohio School Facilities Commission from approving school district projects that specify the payment of prevailing wages.

Section 1. That sections 3354.16, 3355.12, 3357.16, and 4115.04 be amended and sections 153.53 and 3318.101 of the Revised Code be enacted to read as follows:

Sec. 153.53.  (A) Notwithstanding sections 153.50 to 153.52 of the Revised Code, any institution of higher education, as defined in section 3345.12 of the Revised Code, or its board of trustees or managing authority authorized to contract for the erection, repair, alteration, or rebuilding of a public building, structure, or other improvement and required by law to advertise and receive bids for furnishing materials and doing the work necessary for the improvement, shall do one of the following:

(1) Solicit separate and distinct bids for all of the branches or classes of work to be performed and for which materials must be furnished for the improvement;

(2) Require that bids be submitted for a single, aggregate contract to cover all the branches or classes of work to be performed and for which materials must be furnished for the improvement;

(3) Require that bids be submitted for both of the following:

(a) Single, aggregate contracts for at least two but less than all of the branches or classes of work to be performed and for which materials must be furnished for the improvement;

(b) Separate and distinct contracts for the remaining branches or classes of work to be performed and for which materials must be furnished for the improvement that are not included in the bids required under division (A)(3)(a) of this section.

(B) If an institution of higher education, as described in division (A) of this section, solicits bids pursuant to division (A) of this section, the institution shall award contracts in one of the following manners:

(1) Separate and distinct contracts to the lowest responsive and responsible bidders, in accordance with section 9.312 of the Revised Code, for each branch or class of work to be performed and for which materials must be furnished for the improvement;

(2) A single aggregate contract to the lowest responsive and responsible bidder, in accordance with section 9.312 of the Revised Code, for all of the classes and branches of work to be performed and for which materials must be furnished for the improvement;

(3) Both of the following:

(a) Single, aggregate contracts to the lowest responsive and responsible bidders, in accordance with section 9.312 of the Revised Code, for at least two but less than all of the branches or classes of work to be performed and for which materials must be furnished for the improvement;

(b) Separate and distinct contracts to the lowest responsive and responsible bidders, in accordance with section 9.312 of the Revised Code, for the remaining branches or classes of work to be performed and for which materials must be furnished for the improvement that are not included in the contracts awarded under division (B)(3)(a) of this section.

(C) If an institution of higher education awards one or more single, aggregate contracts pursuant to division (B) of this section, the bidder or bidders to whom a single, aggregate contract was awarded shall award any necessary subcontracts for the improvement to the lowest responsive and responsible bidders using the criteria for determining the lowest responsive and responsible bidder that is described in section 9.312 of the Revised Code.

Sec. 3318.101.  (A) As used in this section, "prevailing rate" means the prevailing rate of wages determined under sections 4115.03 to 4115.16 of the Revised Code.

(B) Notwithstanding any guideline, specification, form, resolution, or rule to the contrary that is or has been adopted by the Ohio school facilities commission, the commission shall not enter into any agreement with a city, exempted village, local, or joint vocational school district in relation to a project or segment of a project undertaken by the district under this chapter or approve any contract for labor under such project or segment that requires that mechanics and laborers engaged for that project be paid the prevailing rate.

(C) Nothing in this section affects the exemption of school districts and educational service centers from the requirement to pay the prevailing rate prescribed in division (B)(3) of section 4115.04 of the Revised Code.

Sec. 3354.16.  (A) When the board of trustees of a community college district has by resolution determined to let by contract the work of improvements pursuant to the official plan of such district, contracts in amounts exceeding a dollar amount set by the board, which dollar amount shall not exceed fifty thousand dollars, shall be advertised after notices calling for bids have been published once a week for three consecutive weeks, in at least one newspaper of general circulation within the community college district wherein the work is to be done. Subject to section 3354.10 of the Revised Code, the board of trustees of the district may let such contract to the lowest responsive and responsible bidder, in accordance with section 9.312 153.53 of the Revised Code, who meets the requirements of section 153.54 of the Revised Code. Such contract shall be in writing and shall be accompanied by or shall refer to plans and specifications for the work to be done. Such contract shall be approved by the board of trustees and signed by the president of the board and by the contractor.

(B) On the first day of January of every even-numbered year, the chancellor of the board of regents shall adjust the fifty thousand dollar contract limit set forth in division (A) of this section, as adjusted in any previous year pursuant to this division. The chancellor shall adjust the limit according to the average increase or decrease for each of the two years immediately preceding the adjustment as set forth in the United States department of commerce, bureau of the census implicit price deflator for construction, provided that no increase or decrease for any year shall exceed three per cent of the contract limit in existence at the time of the adjustment. Notwithstanding division (A) of this section, the limit adjusted under this division shall be used thereafter in lieu of the limit in division (A) of this section.

(C) Before entering into an improvement pursuant to division (A) of this section, the board of trustees of a community college district shall require separate and distinct proposals to be made for furnishing materials or doing work on the improvement, or both, in the board's discretion, for each separate and distinct branch or class of work entering into the improvement. The board of trustees also may require a single, combined proposal for the entire project for materials or doing work, or both, in the board's discretion, that includes each separate and distinct branch or class of work entering into the improvement. The board of trustees need not solicit separate proposals for a branch or class of work for an improvement if the estimate cost for that branch or class of work is less than five thousand dollars.

(D) When more than one branch or class of work is required, no contract for the entire job, or for a greater portion thereof than is embraced in one such branch or class of work shall be awarded, unless the separate bids do not cover all the work and materials required or the bids for the whole or for two or more kinds of work or materials are lower than the separate bids in the aggregate. The board of trustees need not award separate contracts for a branch or class of work entering into an improvement if the estimated cost for that branch or class of work is less than five thousand dollars solicit bids and award improvement contracts in accordance with section 153.53 of the Revised Code.

Sec. 3355.12.  (A) When the managing authority of the university branch district has determined to let by contract the work of improvements, contracts in amounts exceeding a dollar amount set by the managing authority, which dollar amount shall not exceed fifty thousand dollars, shall be advertised after notices calling for bids have been published once a week for three consecutive weeks, in at least one newspaper of general circulation within the university branch district wherein the work is to be done. Such managing authority may let such contract to the lowest responsive and responsible bidder, in accordance with section 9.312 153.53 of the Revised Code, who meets the requirements of section 153.54 of the Revised Code. Such contract shall be in writing and shall be accompanied by or shall refer to plans and specifications for the work to be done. Such contract shall be approved by the managing authority of the university branch district and signed by the chairperson or vice-chairperson of the managing authority and by the contractor.

(B) On the first day of January of every even-numbered year, the chancellor of the board of regents shall adjust the fifty thousand dollar contract limit set forth in division (A) of this section, as adjusted in any previous year pursuant to this division. The chancellor shall adjust the limit according to the average increase or decrease for each of the two years immediately preceding the adjustment as set forth in the United States department of commerce, bureau of the census implicit price deflator for construction, provided that no increase or decrease for any year shall exceed three per cent of the contract limit in existence at the time of the adjustment. Notwithstanding division (A) of this section, the limit adjusted under this division shall be used thereafter in lieu of the limit in division (A) of this section.

(C) Before entering into an improvement pursuant to division (A) of this section, the managing authority of the university branch district shall require separate and distinct proposals to be made for furnishing materials or doing work on the improvement, or both, in the board's discretion, for each separate and distinct branch or class of work entering into the improvement. The managing authority also may require a single, combined proposal for the entire project for materials or doing work, or both, in the board's discretion, that includes each separate and distinct branch or class of work entering into the improvement. The managing authority need not solicit separate proposals for a branch or class of work for an improvement if the estimate cost for that branch or class of work is less than five thousand dollars.

(D) When more than one branch or class of work is required, no contract for the entire job, or for a greater portion thereof than is embraced in one such branch or class of work shall be awarded, unless the separate bids do not cover all the work and materials required or the bids for the whole or for two or more kinds of work or materials are lower than the separate bids in the aggregate. The managing authority need not award separate contracts for a branch or class of work entering into an improvement if the estimated cost for that branch or class of work is less than five thousand dollars solicit bids and award improvement contracts in accordance with section 153.53 of the Revised Code.

Sec. 3357.16.  (A) When the board of trustees of a technical college district has by resolution determined to let by contract the work of improvements pursuant to the official plan of such district, contracts in amounts exceeding a dollar amount set by the board, which dollar amount shall not exceed fifty thousand dollars, shall be advertised after notice calling for bids has been published once a week for three consecutive weeks, in at least one newspaper of general circulation within the technical college district where the work is to be done. The board of trustees of the technical college district may let such contract to the lowest responsive and responsible bidder, in accordance with section 9.312 153.53 of the Revised Code, who meets the requirements of section 153.54 of the Revised Code. Such contract shall be in writing and shall be accompanied by or shall refer to plans and specifications for the work to be done. Such contract shall be approved by the board of trustees and signed by the president of the board and by the contractor.

(B) On the first day of January of every even-numbered year, the chancellor of the board of regents shall adjust the fifty thousand dollar contract limit set forth in division (A) of this section, as adjusted in any previous year pursuant to this division. The chancellor shall adjust the limit according to the average increase or decrease for each of the two years immediately preceding the adjustment as set forth in the United States department of commerce, bureau of the census implicit price deflator for construction, provided that no increase or decrease for any year shall exceed three per cent of the contract limit in existence at the time of the adjustment. Notwithstanding division (A) of this section, the limit adjusted under this division shall be used thereafter in lieu of the limit in division (A) of this section.

(C) Before entering into an improvement pursuant to division (A) of this section, the board of trustees of a technical college district shall require separate and distinct proposals to be made for furnishing materials or doing work on the improvement, or both, in the board's discretion, for each separate and distinct branch or class of work entering into the improvement. The board of trustees also may require a single, combined proposal for the entire project for materials or doing work, or both, in the board's discretion, that includes each separate and distinct branch or class of work entering into the improvement. The board of trustees need not solicit separate proposals for a branch or class of work for an improvement if the estimate cost for that branch or class of work is less than five thousand dollars.

(D) When more than one branch or class of work is required, no contract for the entire job, or for a greater portion thereof than is embraced in one such branch or class of work shall be awarded, unless the separate bids do not cover all the work and materials required or the bids for the whole or for two or more kinds of work or materials are lower than the separate bids in the aggregate. The board of trustees need not award separate contracts for a branch or class of work entering into an improvement if the estimated cost for that branch or class of work is less than five thousand dollars solicit bids and award improvement contracts in accordance with section 153.53 of the Revised Code.

Sec. 4115.04.  (A)(1) Every public authority authorized to contract for or construct with its own forces a public improvement, before advertising for bids or undertaking such construction with its own forces, shall have the director of commerce determine the prevailing rates of wages of mechanics and laborers in accordance with section 4115.05 of the Revised Code for the class of work called for by the public improvement, in the locality where the work is to be performed. Except as provided in division (A)(2) of this section, that schedule of wages shall be attached to and made part of the specifications for the work, and shall be printed on the bidding blanks where the work is done by contract. A copy of the bidding blank shall be filed with the director before the contract is awarded. A minimum rate of wages for common laborers, on work coming under the jurisdiction of the department of transportation, shall be fixed in each county of the state by the department of transportation, in accordance with section 4115.05 of the Revised Code.

(2) In the case of contracts that are administered by the department of natural resources, the director of natural resources or the director's designee shall include language in the contracts requiring wage rate determinations and updates to be obtained directly from the department of commerce through electronic or other means as appropriate. Contracts that include this requirement are exempt from the requirements established in division (A)(1) of this section that involve attaching the schedule of wages to the specifications for the work, making the schedule part of those specifications, and printing the schedule on the bidding blanks where the work is done by contract.

(B) Sections 4115.03 to 4115.16 of the Revised Code do not apply to:

(1) Public improvements in any case where the federal government or any of its agencies furnishes by loan or grant all or any part of the funds used in constructing such improvements, provided that the federal government or any of its agencies prescribes predetermined minimum wages to be paid to mechanics and laborers employed in the construction of such improvements;

(2) A participant in a work activity, developmental activity, or an alternative work activity under sections 5107.40 to 5107.69 of the Revised Code when a public authority directly uses the labor of the participant to construct a public improvement if the participant is not engaged in paid employment or subsidized employment pursuant to the activity;

(3) Public improvements undertaken by, or under contract for, the board of education of any school district or the governing board of any educational service center;

(4) Public improvements undertaken by, or under contract for, a county hospital operated pursuant to Chapter 339. of the Revised Code or a municipal hospital operated pursuant to Chapter 749. of the Revised Code if none of the funds used in constructing the improvements are the proceeds of bonds or other obligations that are secured by the full faith and credit of the state, a county, a township, or a municipal corporation and none of the funds used in constructing the improvements, including funds used to repay any amounts borrowed to construct the improvements, are funds that have been appropriated for that purpose by the state, a board of county commissioners, a township, or a municipal corporation from funds generated by the levy of a tax, provided that a county hospital or municipal hospital may elect to apply sections 4115.03 to 4115.16 of the Revised Code to a public improvement undertaken by, or under contract for, the hospital;

(5) Any project described in divisions (D)(1)(a) to (D)(1)(e) of section 176.05 of the Revised Code;

(6) Public improvements constructed by an institution of higher education, as defined in section 3345.12 of the Revised Code;

(7) Improvements constructed by private, non-profit organizations exempt from federal income taxation pursuant to divisions (a) and (c)(3) of section 501 of the Internal Revenue Code, 26 U.S.C. 501, that receive public moneys to construct those improvements.

Section 2.  That existing sections 3354.16, 3355.12, 3357.16, and 4115.04 of the Revised Code are hereby repealed.

Section 3.  Section 4115.04 of the Revised Code is presented in this act as a composite of the section as amended by both Sub. H.B. 443 and Am. Sub. H.B. 699 of the 126th General Assembly. The General Assembly, applying the principle stated in division (B) of section 1.52 of the Revised Code that amendments are to be harmonized if reasonably capable of simultaneous operation, finds that the composite is the resulting version of the section in effect prior to the effective date of the section as presented in this act.