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HB309 (BR305) - L. Combs, S. Overly, R. Adkins, J. Bell, L. Clark, J. DeCesare, M. Denham, J. Donohue, R. Heath, D. Horlander, K. Imes, D. Keene, T. McKee, R. Palumbo, M. Rader, J. Richards, J. Shell, G. Stumbo, T. Thompson, B. Yonts

     AN ACT relating to public-private partnerships and declaring an emergency.
     Amend KRS 45A.030 and 45A.075 and create a new section of KRS Chapter 45A, the Kentucky Model Procurement Code, to provide an explicit framework for the use of public-private partnerships (P3s) as an alternative method of procurement, construction, and financing of capital projects and services by state government; define terms and establish procedures; require the promulgation of administrative regulations relating to P3 procurement; establish certain oversight, reporting, and General Assembly authorization requirements; amend KRS 65.025 and create a new section of KRS Chapter 65 to similarly provide an explicit framework for the use of P3s as an alternative method of procurement by local governments; define terms and establish procedures; establish the Kentucky Local Government Public-Private Partnership Board and require its review and approval of certain P3 agreements proposed by local governments; amend KRS 175B.005, 175B.010, 175B.020, 175B.025 175B.030, 175B.035, 175B.040, 175B.045 and 175B.095 and create a new section of KRS Chapter 175B to provide for the use of P3 procurement pursuant to that chapter as an alternative method for developing, constructing, operating and financing certain major transportation projects; define terms and amend the definition of a project to align with current federal usage; establish procedures and oversight, reporting, and General Assembly authorization requirements; make numerous conforming changes; prohibit any authority from authorizing tolls for any project involving the interstate highway system that connects the Commonwealth with the State of Ohio; EMERGENCY.


HB309 - AMENDMENTS

     HCS1 - Retain original provisions except: amend KRS 45A.030 to amend the definition of "private partner" to remove the exclusion for nonprofit organizations, and to amend the definition of "public-private partnership" to clarify that existing methods of procurement will continue to be employed, namely competitive negotiation, and that public-private partnership (P3) procurement will constitute a distinct method of project delivery; amend KRS 45A.075 to provide that only competitive negotiation methods may be utilized for a P3; remove certain explicitly named entities from groups that the Finance and Administration Cabinet must consult with in the regulatory promulgation process; amend original language in the bill that requires certain explicit General Assembly authorizations for P3 projects to clarify that this requirement is in addition to any other existing statutory authorizations required for capital projects generally; amend the unsolicited proposal provisions to require public notice of proposals received by a governmental body and to allow a 90-day period of time for submission of competing proposals to be considered along with the unsolicited proposal; clarify original language to more explicitly state that any procurement resulting from a review of any unsolicited proposal shall itself be undertaken through an open, competitive procurement process; make similar amendments as those previously stated to the local government provisions of the bill, including the amended definitions of terms and clarified unsolicited proposal procedures; provide that the provisions of Sections 1 to 3 of the Act relating to state agency P3 procurement shall apply only to a project for which the procurement process is initiated on or before the effective date of the Act.
     HFA1( T. Moore ) - Increase the project cost threshold at which prevailing wage requirements will apply, for applicable state agency or local government projects utilizing a public-private partnership delivery method, from $250,000 to $500,000.
     HFA2( T. Moore ) - Increase the project cost threshold at which prevailing wage requirements will apply, for applicable state agency or local government projects utilizing a public-private partnership delivery method, from $250,000 to $500,000.
     HFA3( L. Combs ) - Provide that within 30 days of receiving an unsolicited proposal a local government may elect to consider it for further action, and that public notice of the proposal shall be provided at that time either pursuant to the provisions of KRS Chapter 424 or electronically on the website of the local government.
     SCS1 - Retain original provisions of HB 309/GA with the following changes: amend provisions relating to required General Assembly authorization for the use of the P3 delivery method for postsecondary institutions; clarify provisions relating to unsolicited proposals received by state and local government agencies to more clearly state that all resulting procurement is required to be open and competitive; clarify the specific types of surety bonds required for local P3 agreements; explicitly allow the Finance Cabinet to contract with an outside consultant to assist with the review of local P3 projects; require the Kentucky Local Government Public-Private Partnership Board to meet only once per year and as needed; amend the existing toll prohibition provisions to extend them to any fully or partially controlled highway, whether or not involving the federal interstate highway system, that connects the Commonwealth to the State of Ohio, including but not limited to a bypass of a major metropolitan area.
     SFA1( T. Buford ) - Create a new section in KRS Chapter 45A to prohibit a business, contractor, or private partner from making a contribution to a candidate, slate of candidates, or committee when such parties are in a public-private agreement and for 3 years following the expiration or termination of the public-private agreement.
     SFA2( G. Neal ) - Explicitly provide that all public-private partnership agreements entered into by the state and local governments, and agreements relating to transportation projects undertaken pursuant to KRS Chapter 175B, shall be subject to applicable laws and regulations regarding equal employment opportunity and minority and disadvantaged business enterprise procurement.
     SFA3( G. Neal ) - Explicitly provide that all public-private partnership agreements entered into by the state and local governments, and agreements relating to transportation projects undertaken pursuant to KRS Chapter 175B, shall be subject to applicable laws and regulations regarding equal employment opportunity and minority and disadvantaged business enterprise procurement.
     SFA4( R. Stivers II ) - Make title amendment.
     SFA5( R. Stivers II ) - Make title amendment.
     SFA6( R. Stivers II ) - Create a new section of KRS Chapter 81A to permit a city to annex territory contiguous to its corporate boundaries that lies within another county; specify the manner of allocating revenue between the city and county governments.
     SFA7( D. Thayer ) - Add a new subsection of Section 3, relating to the model procurement code, that specifies that the prevailing wage, as defined in KRS 337.505, is not to be part of the bidding specifications for either a public-private partnership or a contract in a public-private partnership agreement; add a new subsection of Section 5, relating to local public-private partnerships, that specifies that the prevailing wage, as defined in KRS 337.505, is not to be part of the bidding specifications for either a public-private partnership or a contract in a public-private partnership agreement; add a new subsection of Section 10, relating to transportation projects, that specifies that the prevailing wage, as defined in KRS 337.505, is not to be part of the bidding specifications or part of a contract in a public-private partnership agreement.

     Jan 27, 2016 - introduced in House
     Feb 01, 2016 - to Appropriations & Revenue (H)
     Feb 05, 2016 - posted in committee
     Feb 09, 2016 - reported favorably, 1st reading, to Calendar with Committee Substitute (1)
     Feb 10, 2016 - 2nd reading, to Rules; posted for passage in the Regular Orders of the Day for Thursday, February 11, 2016; floor amendments (1) and (3) filed to Committee Substitute, floor amendment (2) filed to Bill
     Feb 11, 2016 - floor amendments (1) and (2) withdrawn; 3rd reading, passed 83-11 with Committee Substitute (1) and floor amendment (3)
     Feb 12, 2016 - received in Senate
     Feb 16, 2016 - to Economic Development, Tourism & Labor (S)
     Mar 16, 2016 - taken from Economic Development, Tourism & Labor (S); 1st reading; returned to Economic Development, Tourism & Labor (S)
     Mar 17, 2016 - reported favorably, 2nd reading, to Rules with Committee Substitute (1)
     Mar 18, 2016 - posted for passage in the Regular Orders of the Day for Monday, March 21, 2016
     Mar 21, 2016 - passed over and retained in the Orders of the Day; floor amendments (1) and (3) filed to Committee Substitute, floor amendment (2) filed to Bill
     Mar 22, 2016 - passed over and retained in the Orders of the Day; floor amendments (4-title), (5-title) to Bill and (6) filed to Committee Substitute
     Mar 23, 2016 - passed over and retained in the Orders of the Day; floor amendment (7) filed
     Mar 24, 2016 - 3rd reading; floor amendments (2) (3) (4-title) (5-title) (6) and (7) withdrawn; floor amendment (1) defeated; passed 29-9 with Committee Substitute (1)
     Mar 25, 2016 - received in House; to Rules (H); posted for passage for concurrence in Senate Committee Substitute (1); House concurred in Senate Committee Substitute (1); passed 86-8
     Mar 28, 2016 - enrolled, signed by each presiding officer; delivered to Governor
     Apr 08, 2016 - signed by Governor (Acts, ch. 67)