Rep. Norm Thurston — Voting Record

Utah House District 62 · complete roll-call record from le.utah.gov
← All votes

Bill

Division of Purchasing and General Services Amendments
Number
H.B. 12 (2025GS)
Sponsor
Rep. Peterson, Val L.
Final action
Governor Signed 3/19/2025
Outcome
Became law — signed by Gov. Spencer J. Cox

Summary

This bill modifies the Utah Procurement Code.

What it does

  • This bill:
  • defines a term;
  • eliminates the limiting option of the Purchasing from Persons with Disabilities Advisory Board (PPDAB) to form an association to assist the PPDAB with its functions;
  • authorizes the PPDAB to contract with a person to assist the PPDAB with its functions;
  • codifies that awarding a contract to a vendor is not the creation of a contract with the vendor;
  • prohibits the inclusion of certain contractual provisions in a procurement contract, with exceptions;
  • codifies that the state and a procurement unit may not be held liable for certain types of damages; and
  • makes technical and conforming changes.

Every vote on this bill

1/21/2025House/ passed 3rd reading
Senate Secretary
73-0-2YEA
1/29/2025Senate Comm - Substitute Recommendation
Senate Government Operations and Political Subdivisions Committee
4-0-3not eligible / no record
1/29/2025Senate Comm - Favorable Recommendation
Senate Government Operations and Political Subdivisions Committee
4-0-3not eligible / no record
2/5/2025Senate/ passed 2nd reading
Senate 3rd Reading Calendar
26-0-3not eligible / no record
2/6/2025Senate/ substituted
Senate 3rd Reading Calendar
0-0-29not eligible / no record
2/6/2025Senate/ passed 3rd reading
Clerk of the House
28-0-1not eligible / no record
2/7/2025House/ concurs with Senate amendment
Senate President
70-0-5YEA

Bill text

enrolled version · official source
11
63G-6a-103
63G-6a-109
63G-6a-303
63G-6a-506
63G-6a-805
63G-6a-1201.5
63G-6a-1203
0
Division of Purchasing and General Services Amendments
2025 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Val L. Peterson
Senate Sponsor: Michael K. McKell
LONG TITLE
General Description:
This bill modifies the Utah Procurement Code.
Highlighted Provisions:
This bill:
defines a term;
eliminates the limiting option of the Purchasing from Persons with Disabilities Advisory 
Board (PPDAB) to form an association to assist the PPDAB with its functions;
authorizes the PPDAB to contract with a person to assist the PPDAB with its functions;
codifies that awarding a contract to a vendor is not the creation of a contract with the 
vendor;
prohibits the inclusion of certain contractual provisions in a procurement contract, with 
exceptions;
codifies that the state and a procurement unit may not be held liable for certain types of 
damages; and
makes technical and conforming changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
63G-6a-103
, as last amended by Laws of Utah 2024, Chapters 291, 408 and 438
63G-6a-109
, as last amended by Laws of Utah 2022, Chapter 421
63G-6a-303
, as last amended by Laws of Utah 2023, Chapter 43
63G-6a-506
, as last amended by Laws of Utah 2021, Chapter 344
63G-6a-805
, as last amended by Laws of Utah 2016, Chapter 271
63G-6a-1203
, as last amended by Laws of Utah 2015, Chapter 218
ENACTS:
63G-6a-1201.5
, Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1, Section 
63G-6a-103
 is amended to read:
63G-6a-103
. Definitions.
As used in this chapter:
(1)
"Approved vendor" means a person who has been approved for inclusion on an 
approved vendor list through the approved vendor list process.
(2)
"Approved vendor list" means a list of approved vendors established under Section 
63G-6a-507
.
(3)
"Approved vendor list process" means the procurement process described in Section 
63G-6a-507
.
(4)
(a)
"Award" means, in relation to a contract, a procurement unit's selection of a 
vendor to supply a procurement item after the procurement unit engages in:
(i)
a standard procurement process; or
(ii)
an exception to a standard procurement process under Part 8, Exceptions to 
Procurement Requirements.
(b)
"Award" does not mean, in relation to a contract, a procurement unit's offer or 
acceptance of any terms or conditions related to the procurement unit's acquisition or 
receipt of the procurement item.
(4)
(5)
"Bidder" means a person who submits a bid or price quote in response to an 
invitation for bids.
(5)
(6)
"Bidding process" means the procurement process described in Part 6, Bidding.
(6)
(7)
"Board" means the Utah State Procurement Policy Board, created in Section 
63G-6a-202
.
(7)
(8)
"Change directive" means a written order signed by the procurement officer that 
directs the contractor to suspend work or make changes, as authorized by contract, 
without the consent of the contractor.
(8)
(9)
"Change order" means a written alteration in specifications, delivery point, rate of 
delivery, period of performance, price, quantity, or other provisions of a contract, upon 
mutual agreement of the parties to the contract.
(9)
(10)
"Chief procurement officer" means the individual appointed under Section 
63A-2-102
.
(10)
(11)
"Conducting procurement unit" means a procurement unit that conducts all 
aspects of a procurement:
(a)
except:
(i)
reviewing a solicitation to verify that it is in proper form; and
(ii)
causing the publication of a notice of a solicitation; and
(b)
including:
(i)
preparing any solicitation document;
(ii)
appointing an evaluation committee;
(iii)
conducting the evaluation process, except the process relating to scores 
calculated for costs of proposals;
(iv)
selecting and recommending the person to be awarded a contract;
(v)
negotiating the terms and conditions of a contract, subject to the issuing 
procurement unit's approval; and
(vi)
contract administration.
(11)
(12)
"Conservation district" means the same as that term is defined in Section 
17D-3-102
.
(12)
(13)
"Construction project":
(a)
means a project for the construction, renovation, alteration, improvement, or repair of 
a public facility on real property, including all services, labor, supplies, and materials 
for the project; and
(b)
does not include services and supplies for the routine, day-to-day operation, repair, 
or maintenance of an existing public facility.
(13)
(14)
"Construction manager/general contractor":
(a)
means a contractor who enters into a contract:
(i)
for the management of a construction project; and
(ii)
that allows the contractor to subcontract for additional labor and materials that are 
not included in the contractor's cost proposal submitted at the time of the 
procurement of the contractor's services; and
(b)
does not include a contractor whose only subcontract work not included in the 
contractor's cost proposal submitted as part of the procurement of the contractor's 
services is to meet subcontracted portions of change orders approved within the 
scope of the project.
(14)
(15)
"Construction subcontractor":
(a)
means a person under contract with a contractor or another subcontractor to provide 
services or labor for the design or construction of a construction project;
(b)
includes a general contractor or specialty contractor licensed or exempt from 
licensing under Title 58, Chapter 55, Utah Construction Trades Licensing Act; and
(c)
does not include a supplier who provides only materials, equipment, or supplies to a 
contractor or subcontractor for a construction project.
(15)
(16)
"Contract" means an agreement for a procurement.
(16)
(17)
"Contract administration" means all functions, duties, and responsibilities 
associated with managing, overseeing, and carrying out a contract between a 
procurement unit and a contractor, including:
(a)
implementing the contract;
(b)
ensuring compliance with the contract terms and conditions by the conducting 
procurement unit and the contractor;
(c)
executing change orders;
(d)
processing contract amendments;
(e)
resolving, to the extent practicable, contract disputes;
(f)
curing contract errors and deficiencies;
(g)
terminating a contract;
(h)
measuring or evaluating completed work and contractor performance;
(i)
computing payments under the contract; and
(j)
closing out a contract.
(17)
(18)
"Contractor" means a person who is awarded a contract with a procurement unit.
(18)
(19)
"Cooperative procurement" means procurement conducted by, or on behalf of:
(a)
more than one procurement unit; or
(b)
a procurement unit and a cooperative purchasing organization.
(19)
(20)
"Cooperative purchasing organization" means an organization, association, or 
alliance of purchasers established to combine purchasing power in order to obtain the 
best value for the purchasers by engaging in procurements in accordance with Section 
63G-6a-2105
.
(20)
(21)
"Cost-plus-a-percentage-of-cost contract" means a contract under which the 
contractor is paid a percentage of the total actual expenses or costs in addition to the 
contractor's actual expenses or costs.
(21)
(22)
"Cost-reimbursement contract" means a contract under which a contractor is 
reimbursed for costs which are allowed and allocated in accordance with the contract 
terms and the provisions of this chapter, and a fee, if any.
(22)
(23)
"Days" means calendar days, unless expressly provided otherwise.
(23)
(24)
"Definite quantity contract" means a fixed price contract that provides for a 
specified amount of supplies over a specified period, with deliveries scheduled 
according to a specified schedule.
(24)
(25)
"Design professional" means:
(a)
an individual licensed as an architect under Title 58, Chapter 3a, Architects 
Licensing Act;
(b)
an individual licensed as a professional engineer or professional land surveyor under 
Title 58, Chapter 22, Professional Engineers and Professional Land Surveyors 
Licensing Act; 
(c)
an individual licensed under Title 58, Chapter 53, Landscape Architects Licensing 
Act, to engage in the practice of landscape architecture, as defined in Section 
58-53-102
; or
(d)
an individual certified as a commercial interior designer under Title 58, Chapter 86, 
State Certification of Commercial Interior Designers Act.
(25)
(26)
"Design professional procurement process" means the procurement process 
described in Part 15, Design Professional Services.
(26)
(27)
"Design professional services" means:
(a)
professional services within the scope of the practice of architecture as defined in 
Section 
58-3a-102
;
(b)
professional engineering as defined in Section 
58-22-102
;
(c)
master planning and programming services; 
(d)
professional services within the scope of the practice of landscape architecture, as 
defined in Section 
58-53-102
; or
(e)
services within the scope of the practice of commercial interior design, as defined in 
Section 
58-86-102
.
(27)
(28)
"Design-build" means the procurement of design professional services and 
construction by the use of a single contract.
(28)
(29)
"Division" means the Division of Purchasing and General Services, created in 
Section 
63A-2-101
.
(29)
(30)
"Educational procurement unit" means:
(a)
a school district;
(b)
a public school, including a local school board or a charter school;
(c)
the Utah Schools for the Deaf and the Blind;
(d)
the Utah Education and Telehealth Network;
(e)
an institution of higher education of the state described in Section 
53B-1-102
; or
(f)
the State Board of Education.
(30)
(31)
"Established catalogue price" means the price included in a catalogue, price list, 
schedule, or other form that:
(a)
is regularly maintained by a manufacturer or contractor;
(b)
is published or otherwise available for inspection by customers; and
(c)
states prices at which sales are currently or were last made to a significant number of 
any category of buyers or buyers constituting the general buying public for the 
supplies or services involved.
(31)
(32)
(a)
"Executive branch procurement unit" means a department, division, office, 
bureau, agency, or other organization within the state executive branch.
(b)
"Executive branch procurement unit" does not include the Colorado River Authority 
of Utah as provided in Section 
63M-14-210
.
(32)
(33)
"Facilities division" means the Division of Facilities Construction and 
Management, created in Section 
63A-5b-301
.
(33)
(34)
"Fixed price contract" means a contract that provides a price, for each 
procurement item obtained under the contract, that is not subject to adjustment except to 
the extent that:
(a)
the contract provides, under circumstances specified in the contract, for an 
adjustment in price that is not based on cost to the contractor; or
(b)
an adjustment is required by law.
(34)
(35)
"Fixed price contract with price adjustment" means a fixed price contract that 
provides for an upward or downward revision of price, precisely described in the 
contract, that:
(a)
is based on the consumer price index or another commercially acceptable index, 
source, or formula; and
(b)
is not based on a percentage of the cost to the contractor.
(35)
(36)
"Grant" means an expenditure of public funds or other assistance, or an 
agreement to expend public funds or other assistance, for a public purpose authorized by 
law, without acquiring a procurement item in exchange.
(36)
(37)
"Human services procurement item" means a procurement item used to provide 
services or support to a child, youth, adult, or family.
(37)
(38)
"Immaterial error":
(a)
means an irregularity or abnormality that is:
(i)
a matter of form that does not affect substance; or
(ii)
an inconsequential variation from a requirement of a solicitation that has no, little, 
or a trivial effect on the procurement process and that is not prejudicial to other 
vendors; and
(b)
includes:
(i)
a missing signature, missing acknowledgment of an addendum, or missing copy of 
a professional license, bond, or insurance certificate;
(ii)
a typographical error;
(iii)
an error resulting from an inaccuracy or omission in the solicitation; and
(iv)
any other error that the procurement official reasonably considers to be 
immaterial.
(38)
(39)
"Indefinite quantity contract" means a fixed price contract that:
(a)
is for an indefinite amount of procurement items to be supplied as ordered by a 
procurement unit; and
(b)
(i)
does not require a minimum purchase amount; or
(ii)
provides a maximum purchase limit.
(39)
(40)
"Independent procurement unit" means:
(a)
(i)
a legislative procurement unit;
(ii)
a judicial branch procurement unit;
(iii)
an educational procurement unit;
(iv)
a local 
government
governmental
 procurement unit;
(v)
a conservation district;
(vi)
a local building authority;
(vii)
a special district;
(viii)
a public corporation;
(ix)
a special service district; or
(x)
the Utah Communications Authority, established in Section 
63H-7a-201
;
(b)
the facilities division, but only to the extent of the procurement authority provided 
under Title 63A, Chapter 5b, Administration of State Facilities;
(c)
the attorney general, but only to the extent of the procurement authority provided 
under Title 67, Chapter 5, Attorney General;
(d)
the Department of Transportation, but only to the extent of the procurement authority 
provided under Title 72, Transportation Code; 
(e)
the Department of Health and Human Services, but only for the procurement of a 
human services procurement item; or
(f)
any other executive branch department, division, office, or entity that has statutory 
procurement authority outside this chapter, but only to the extent of that statutory 
procurement authority.
(40)
(41)
(a)
"Interlocal entity" means a separate political subdivision created under 
Title 11, Chapter 13, Interlocal Cooperation Act.
(b)
"Interlocal entity" does not include a project entity.
(41)
(42)
"Invitation for bids":
(a)
means a document used to solicit:
(i)
bids to provide a procurement item to a procurement unit; or
(ii)
quotes for a price of a procurement item to be provided to a procurement unit; and
(b)
includes all documents attached to or incorporated by reference in a document 
described in Subsection 
(41)(a)
(42)(a)
.
(42)
(43)
"Issuing procurement unit" means a procurement unit that:
(a)
reviews a solicitation to verify that it is in proper form;
(b)
causes the notice of a solicitation to be published; and
(c)
negotiates and approves the terms and conditions of a contract.
(43)
(44)
"Judicial procurement unit" means:
(a)
the Utah Supreme Court;
(b)
the Utah Court of Appeals;
(c)
the Judicial Council;
(d)
a state judicial district; or
(e)
an office, committee, subcommittee, or other organization within the state judicial 
branch.
(44)
(45)
"Labor hour contract" is a contract under which:
(a)
the supplies and materials are not provided by, or through, the contractor; and
(b)
the contractor is paid a fixed rate that includes the cost of labor, overhead, and profit 
for a specified number of labor hours or days.
(45)
(46)
"Legislative procurement unit" means:
(a)
the Legislature;
(b)
the Senate;
(c)
the House of Representatives;
(d)
a staff office of the Legislature, the Senate, or the House of Representatives; or
(e)
a committee, subcommittee, commission, or other organization:
(i)
within the state legislative branch; or
(ii)
(A)
that is created by statute to advise or make recommendations to the 
Legislature;
(B)
the membership of which includes legislators; and
(C)
for which the Office of Legislative Research and General Counsel provides 
staff support.
(46)
(47)
"Local building authority" means the same as that term is defined in Section 
17D-2-102
.
(47)
(48)
"Local government procurement unit" means:
(a)
a county, municipality, interlocal entity, or project entity, and each office of the 
county, municipality, interlocal entity, or project entity, unless:
(i)
the county or municipality adopts a procurement code by ordinance; 
(ii)
the interlocal entity adopts procurement rules or policies as provided in 
Subsection 
11-13-226
(2); or
(iii)
the project entity adopts a procurement code through the process described in 
Section 
11-13-316
;
(b)
(i)
a county or municipality that has adopted this entire chapter by ordinance, and 
each office or agency of that county or municipality; and
(ii)
a project entity that has adopted this entire chapter through the process described 
in Subsection 
11-13-316
; or
(c)
a county, municipality, or project entity, and each office of the county, municipality, 
or project entity that has adopted a portion of this chapter to the extent that:
(i)
a term in the ordinance is used in the adopted chapter; or
(ii)
a term in the ordinance is used in the language a project entity adopts in its 
procurement code through the process described in Section 
11-13-316
.
(48)
(49)
"Multiple award contracts" means the award of a contract for an indefinite 
quantity of a procurement item to more than one person.
(49)
(50)
"Multiyear contract" means a contract that extends beyond a one-year period, 
including a contract that permits renewal of the contract, without competition, beyond 
the first year of the contract.
(50)
(51)
"Municipality" means a city or town.
(51)
(52)
"Nonadopting local government procurement unit" means:
(a)
a county or municipality that has not adopted Part 16, Protests, Part 17, Procurement 
Appeals Board, Part 18, Appeals to Court and Court Proceedings, and Part 19, 
General Provisions Related to Protest or Appeal; and
(b)
each office or agency of a county or municipality described in Subsection 
(51)(a)
(52)(a)
.
(52)
(53)
"Offeror" means a person who submits a proposal in response to a request for 
proposals.
(53)
(54)
"Preferred bidder" means a bidder that is entitled to receive a reciprocal 
preference under the requirements of this chapter.
(54)
(55)
"Procure" means to acquire a procurement item through a procurement.
(55)
(56)
"Procurement" means the acquisition of a procurement item through an 
expenditure of public funds, or an agreement to expend public funds, including an 
acquisition through a public-private partnership.
(56)
(57)
"Procurement item" means an item of personal property, a technology, a service, 
or a construction project.
(57)
(58)
"Procurement official" means:
(a)
for a procurement unit other than an independent procurement unit, the chief 
procurement officer;
(b)
for a legislative procurement unit, the individual, individuals, or body designated in a 
policy adopted by the Legislative Management Committee;
(c)
for a judicial procurement unit, the Judicial Council or an individual or body 
designated by the Judicial Council by rule;
(d)
for a local government procurement unit:
(i)
the legislative body of the local government procurement unit; or
(ii)
an individual or body designated by the local government procurement unit;
(e)
for a special district, the board of trustees of the special district or the board of 
trustees' designee;
(f)
for a special service district, the governing body of the special service district or the 
governing body's designee;
(g)
for a local building authority, the board of directors of the local building authority or 
the board of directors' designee;
(h)
for a conservation district, the board of supervisors of the conservation district or the 
board of supervisors' designee;
(i)
for a public corporation, the board of directors of the public corporation or the board 
of directors' designee;
(j)
for a school district or any school or entity within a school district, the board of the 
school district or the board's designee;
(k)
for a charter school, the individual or body with executive authority over the charter 
school or the designee of the individual or body;
(l)
for an institution of higher education described in Section 
53B-2-101
, the president of 
the institution of higher education or the president's designee;
(m)
for the State Board of Education, the State Board of Education or the State Board of 
Education's designee;
(n)
for the Utah Board of Higher Education, the Commissioner of Higher Education or 
the designee of the Commissioner of Higher Education;
(o)
for the Utah Communications Authority, established in Section 
63H-7a-201
, the 
executive director of the Utah Communications Authority or the executive director's 
designee; or
(p)
(i)
for the facilities division, and only to the extent of procurement activities of the 
facilities division as an independent procurement unit under the procurement 
authority provided under Title 63A, Chapter 5b, Administration of State Facilities, 
the director of the facilities division or the director's designee;
(ii)
for the attorney general, and only to the extent of procurement activities of the 
attorney general as an independent procurement unit under the procurement 
authority provided under Title 67, Chapter 5, Attorney General, the attorney 
general or the attorney general's designee;
(iii)
for the Department of Transportation created in Section 
72-1-201
, and only to 
the extent of procurement activities of the Department of Transportation as an 
independent procurement unit under the procurement authority provided under 
Title 72, Transportation Code, the executive director of the Department of 
Transportation or the executive director's designee; 
(iv)
for the Department of Health and Human Services, and only to the extent of the 
procurement activities of the Department of Health and Human Services as an 
independent procurement unit, the executive director of the Department of Health 
and Human Services or the executive director's designee; or
(v)
for any other executive branch department, division, office, or entity that has 
statutory procurement authority outside this chapter, and only to the extent of the 
procurement activities of the department, division, office, or entity as an 
independent procurement unit under the procurement authority provided outside 
this chapter for the department, division, office, or entity, the chief executive 
officer of the department, division, office, or entity or the chief executive officer's 
designee.
(58)
(59)
"Procurement unit"means:
(a)
a legislative procurement unit;
(b)
an executive branch procurement unit;
(c)
a judicial procurement unit;
(d)
an educational procurement unit;
(e)
the Utah Communications Authority, established in Section 
63H-7a-201
;
(f)
a local government procurement unit;
(g)
a special district;
(h)
a special service district;
(i)
a local building authority;
(j)
a conservation district; or
(k)
a public corporation.
(59)
(60)
"Professional service" means labor, effort, or work that requires specialized 
knowledge, expertise, and discretion, including labor, effort, or work in the field of:
(a)
accounting;
(b)
administrative law judge service;
(c)
architecture;
(d)
construction design and management;
(e)
engineering;
(f)
financial services;
(g)
information technology;
(h)
the law;
(i)
medicine;
(j)
psychiatry; or
(k)
underwriting.
(60)
(61)
"Project entity" means the same as that term is defined in Section 
11-13-103
.
(61)
(62)
"Protest officer" means:
(a)
for the division or an independent procurement unit:
(i)
the procurement official;
(ii)
the procurement official's designee who is an employee of the procurement unit; 
or
(iii)
a person designated by rule made by the rulemaking authority; or
(b)
for a procurement unit other than an independent procurement unit, the chief 
procurement officer or the chief procurement officer's designee who is an employee 
of the division .
(62)
(63)
"Public corporation" means the same as that term is defined in Section 
63E-1-102
.
(63)
(64)
"Public entity" means the state or any other 
government
governmental
 entity 
within the state that expends public funds.
(64)
(65)
"Public facility" means a building, structure, infrastructure, improvement, or 
other facility of a public entity.
(65)
(66)
"Public funds" means money, regardless of its source, including from the federal 
government, that is owned or held by a procurement unit.
(66)
(67)
"Public transit district" means a public transit district organized under Title 17B, 
Chapter 2a, Part 8, Public Transit District Act.
(67)
(68)
"Public-private partnership" means an arrangement or agreement, occurring on 
or after January 1, 2017, between a procurement unit and one or more contractors to 
provide for a public need through the development or operation of a project in which the 
contractor or contractors share with the procurement unit the responsibility or risk of 
developing, owning, maintaining, financing, or operating the project.
(68)
(69)
"Qualified vendor" means a vendor who:
(a)
is responsible; and
(b)
submits a responsive statement of qualifications under Section 
63G-6a-410
 that 
meets the minimum mandatory requirements, evaluation criteria, and any applicable 
score thresholds set forth in the request for statement of qualifications.
(69)
(70)
"Real property" means land and any building, fixture, improvement, 
appurtenance, structure, or other development that is permanently affixed to land.
(70)
(71)
"Request for information" means a nonbinding process through which a 
procurement unit requests information relating to a procurement item.
(71)
(72)
"Request for proposals" means a document used to solicit proposals to provide a 
procurement item to a procurement unit, including all other documents that are attached 
to that document or incorporated in that document by reference.
(72)
(73)
"Request for proposals process" means the procurement process described in Part 
7, Request for Proposals.
(73)
(74)
"Request for statement of qualifications" means a document used to solicit 
information about the qualifications of a person interested in responding to a potential 
procurement, including all other documents attached to that document or incorporated in 
that document by reference.
(74)
(75)
"Requirements contract" means a contract:
(a)
under which a contractor agrees to provide a procurement unit's entire requirements 
for certain procurement items at prices specified in the contract during the contract 
period; and
(b)
that:
(i)
does not require a minimum purchase amount; or
(ii)
provides a maximum purchase limit.
(75)
(76)
"Responsible" means being capable, in all respects, of:
(a)
meeting all the requirements of a solicitation; and
(b)
fully performing all the requirements of the contract resulting from the solicitation, 
including being financially solvent with sufficient financial resources to perform the 
contract.
(76)
(77)
"Responsive" means conforming in all material respects to the requirements of a 
solicitation.
(77)
(78)
"Rule" includes a policy or regulation adopted by the rulemaking authority, if 
adopting a policy or regulation is the method the rulemaking authority uses to adopt 
provisions that govern the applicable procurement unit.
(78)
(79)
"Rulemaking authority" means:
(a)
for a legislative procurement unit, the Legislative Management Committee;
(b)
for a judicial procurement unit, the Judicial Council;
(c)
(i)
only to the extent of the procurement authority expressly granted to the 
procurement unit by statute:
(A)
for the facilities division, the facilities division;
(B)
for the Office of the Attorney General, the attorney general;
(C)
for the Department of Transportation created in Section 
72-1-201
, the 
executive director of the Department of Transportation; 
(D)
for the Department of Health and Human Services, the executive director of 
the Department of Health and Human Services; and
(E)
for any other executive branch department, division, office, or entity that has 
statutory procurement authority outside this chapter, the governing authority of 
the department, division, office, or entity; and
(ii)
for each other executive branch procurement unit, the board;
(d)
for a local government procurement unit:
(i)
the governing body of the local government unit; or
(ii)
an individual or body designated by the local government procurement unit;
(e)
for a school district or a public school, the board, except to the extent of a school 
district's own nonadministrative rules that do not conflict with the provisions of this 
chapter;
(f)
for a state institution of higher education, the Utah Board of Higher Education;
(g)
for the State Board of Education or the Utah Schools for the Deaf and the Blind, the 
State Board of Education;
(h)
for a public transit district, the chief executive of the public transit district;
(i)
for a special district other than a public transit district or for a special service district, 
the board, except to the extent that the board of trustees of the special district or the 
governing body of the special service district makes its own rules:
(i)
with respect to a subject addressed by board rules; or
(ii)
that are in addition to board rules;
(j)
for the Utah Educational Savings Plan, created in Section 
53B-8a-103
, the Utah 
Board of Higher Education;
(k)
for the School and Institutional Trust Lands Administration, created in Section 
53C-1-201
, the School and Institutional Trust Lands Board of Trustees;
(l)
for the School and Institutional Trust Fund Office, created in Section 
53D-1-201
, the 
School and Institutional Trust Fund Board of Trustees;
(m)
for the Utah Communications Authority, established in Section 
63H-7a-201
, the 
Utah Communications Authority board, created in Section 
63H-7a-203
; or
(n)
for any other procurement unit, the board.
(79)
(80)
"Service":
(a)
means labor, effort, or work to produce a result that is beneficial to a procurement 
unit;
(b)
includes a professional service; and
(c)
does not include labor, effort, or work provided under an employment agreement or a 
collective bargaining agreement.
(80)
(81)
"Small purchase process" means the procurement process described in Section 
63G-6a-506
.
(81)
(82)
"Sole source contract" means a contract resulting from a sole source procurement.
(82)
(83)
"Sole source procurement" means a procurement without competition pursuant to 
a determination under Subsection 
63G-6a-802
(1)(a) that there is only one source for the 
procurement item.
(83)
(84)
"Solicitation" means an invitation for bids, request for proposals, or request for 
statement of qualifications.
(84)
(85)
"Solicitation response" means:
(a)
a bid submitted in response to an invitation for bids;
(b)
a proposal submitted in response to a request for proposals; or
(c)
a statement of qualifications submitted in response to a request for statement of 
qualifications.
(85)
(86)
"Special district" means the same as that term is defined in Section 
17B-1-102
.
(86)
(87)
"Special service district" means the same as that term is defined in Section 
17D-1-102
.
(87)
(88)
"Specification" means any description of the physical or functional 
characteristics or of the nature of a procurement item included in an invitation for bids 
or a request for proposals, or otherwise specified or agreed to by a procurement unit, 
including a description of:
(a)
a requirement for inspecting or testing a procurement item; or
(b)
preparing a procurement item for delivery.
(88)
(89)
"Standard procurement process" means:
(a)
the bidding process;
(b)
the request for proposals process;
(c)
the approved vendor list process;
(d)
the small purchase process; or
(e)
the design professional procurement process.
(89)
(90)
"State cooperative contract" means a contract awarded by the division for and in 
behalf of all public entities.
(90)
(91)
"Statement of qualifications" means a written statement submitted to a 
procurement unit in response to a request for statement of qualifications.
(91)
(92)
"Subcontractor":
(a)
means a person under contract to perform part of a contractual obligation under the 
control of the contractor, whether the person's contract is with the contractor directly 
or with another person who is under contract to perform part of a contractual 
obligation under the control of the contractor; and
(b)
includes a supplier, distributor, or other vendor that furnishes supplies or services to 
a contractor.
(92)
(93)
"Technology" means the same as "information technology," as defined in Section 
63A-16-102
.
(93)
(94)
"Tie bid" means that the lowest responsive bids of responsible bidders are 
identical in price.
(94)
(95)
"Time and materials contract" means a contract under which the contractor is 
paid:
(a)
the actual cost of direct labor at specified hourly rates;
(b)
the actual cost of materials and equipment usage; and
(c)
an additional amount, expressly described in the contract, to cover overhead and 
profit, that is not based on a percentage of the cost to the contractor.
(95)
(96)
"Transitional costs":
(a)
means the costs of changing:
(i)
from an existing provider of a procurement item to another provider of that 
procurement item; or
(ii)
from an existing type of procurement item to another type;
(b)
includes:
(i)
training costs;
(ii)
conversion costs;
(iii)
compatibility costs;
(iv)
costs associated with system downtime;
(v)
disruption of service costs;
(vi)
staff time necessary to implement the change;
(vii)
installation costs; and
(viii)
ancillary software, hardware, equipment, or construction costs; and
(c)
does not include:
(i)
the costs of preparing for or engaging in a procurement process; or
(ii)
contract negotiation or drafting costs.
(96)
(97)
"Vendor":
(a)
means a person who is seeking to enter into a contract with a procurement unit to 
provide a procurement item; and
(b)
includes:
(i)
a bidder;
(ii)
an offeror;
(iii)
an approved vendor;
(iv)
a design professional; and
(v)
a person who submits an unsolicited proposal under Section 
63G-6a-712
.
Section 2, Section 
63G-6a-109
 is amended to read:
63G-6a-109
. Issuing procurement unit and conducting procurement unit.
(1)
With respect to a procurement by an executive branch procurement unit, except for a 
procurement by an executive branch procurement unit that, under Subsection 
63G-6a-103(38)(b)
, 
(c)
, 
(d)
, or 
(e)
63G-6a-103(40)(b)
, (c), (d), or (e)
, is designated as an 
independent procurement unit:
(a)
the division is the issuing procurement unit; and
(b)
the executive branch procurement unit is the conducting procurement unit and is 
responsible to ensure that the procurement is conducted in compliance with this 
chapter.
(2)
With respect to a procurement by any other procurement unit, the procurement unit is 
both the issuing procurement unit and the conducting procurement unit.
(3)
A conducting procurement unit is responsible for contract administration.
Section 3, Section 
63G-6a-303
 is amended to read:
63G-6a-303
. Role, duties, and authority of chief procurement officer.
(1)
The chief procurement officer:
(a)
is the director of the division;
(b)
serves as the central procurement officer of the state;
(c)
serves as a voting member of the board; and
(d)
serves as the protest officer for a protest relating to a procurement of an executive 
branch procurement, except an executive branch procurement unit designated under 
Subsection 
63G-6a-103(38)(b)
, 
(c)
, 
(d)
, or 
(e)
63G-6a-103(40)(b)
, (c), (d), or (e)
 as 
an independent procurement unit, or a state cooperative contract procurement, unless 
the chief procurement officer designates another to serve as protest officer, as 
authorized in this chapter.
(2)
Except as otherwise provided in this chapter, the chief procurement officer shall:
(a)
develop procurement policies and procedures supporting ethical procurement 
practices, fair and open competition among vendors, and transparency within the 
state's procurement process;
(b)
administer the state's cooperative purchasing program, including state cooperative 
contracts and associated administrative fees;
(c)
enter into an agreement with a public entity for services provided by the division, if 
the agreement is in the best interest of the state;
(d)
ensure the division's compliance with any applicable law, rule, or policy, including a 
law, rule, or policy applicable to the division's role as an issuing procurement unit or 
conducting procurement unit, or as the state's central procurement organization;
(e)
manage the division's electronic procurement system;
(f)
oversee the recruitment, training, career development, certification requirements, and 
performance evaluation of the division's procurement personnel;
(g)
make procurement training available to procurement units and persons who do 
business with procurement units;
(h)
provide exemplary customer service and continually improve the division's 
procurement operations;
(i)
exercise all other authority, fulfill all other duties and responsibilities, and perform all 
other functions authorized under this chapter; and
(j)
ensure that any training described in this Subsection 
(2)
 complies with 
Chapter 22, 
State Training and Certification Requirements
. 
(3)
With respect to a procurement or contract over which the chief procurement officer has 
authority under this chapter, the chief procurement officer, except as otherwise provided 
in this chapter:
(a)
shall:
(i)
manage and supervise a procurement to ensure to the extent practicable that 
taxpayers receive the best value;
(ii)
prepare and issue standard specifications for procurement items;
(iii)
review contracts, coordinate contract compliance, conduct contract audits, and 
approve change orders;
(iv)
in accordance with Section 
63G-6a-109.5
, coordinate with the Division of 
Technology Services, created in Section 
63A-16-103
, with respect to the 
procurement of information technology services by an executive branch 
procurement unit;
(v)
correct, amend, or cancel a procurement at any stage of the procurement process 
if the procurement is out of compliance with this chapter or a board rule;
(vi)
after consultation with the attorney general's office, correct, amend, or cancel a 
contract at any time during the term of the contract if:
(A)
the contract is out of compliance with this chapter or a board rule; and
(B)
the chief procurement officer determines that correcting, amending, or 
canceling the contract is in the best interest of the state; and
(vii)
make a reasonable attempt to resolve a contract dispute, in coordination with the 
attorney general's office; and
(b)
may:
(i)
delegate limited purchasing authority to a state agency, with appropriate oversight 
and control to ensure compliance with this chapter;
(ii)
delegate duties and authority to an employee of the division, as the chief 
procurement officer considers appropriate;
(iii)
negotiate and settle contract overcharges, undercharges, and claims, in 
accordance with the law and after consultation with the attorney general's office;
(iv)
authorize a procurement unit to make a procurement pursuant to a regional 
solicitation, as defined in Subsection 
63G-6a-2105(7)
, even if the procurement 
item is also offered under a state cooperative contract, if the chief procurement 
officer determines that the procurement pursuant to a regional solicitation is in the 
best interest of the acquiring procurement unit; and
(v)
remove an individual from the procurement process or contract administration for:
(A)
having a conflict of interest or the appearance of a conflict of interest with a 
person responding to a solicitation or with a contractor;
(B)
having a bias or the appearance of bias for or against a person responding to a 
solicitation or for or against a contractor;
(C)
making an inconsistent or unexplainable score for a solicitation response;
(D)
having inappropriate contact or communication with a person responding to a 
solicitation;
(E)
socializing inappropriately with a person responding to a solicitation or with a 
contractor;
(F)
engaging in any other action or having any other association that causes the 
chief procurement officer to conclude that the individual cannot fairly evaluate 
a solicitation response or administer a contract; or
(G)
any other violation of a law, rule, or policy.
(4)
The chief procurement officer may not delegate to an individual outside the division the 
chief procurement officer's authority over a procurement described in Subsection 
(3)(a)(iv)
.
(5)
The chief procurement officer has final authority to determine whether an executive 
branch procurement unit's anticipated expenditure of public funds, anticipated agreement 
to expend public funds, or provision of a benefit constitutes a procurement that is subject 
to this chapter.
(6)
Except as otherwise provided in this chapter, the chief procurement officer shall review, 
monitor, and audit the procurement activities and delegated procurement authority of an 
executive branch procurement unit, except to the extent that an executive branch 
procurement unit is designated under Subsection 
63G-6a-103(38)(b)
, 
(c)
, 
(d)
, or 
(e)
63G-6a-103(40)(b)
, (c), (d), or (e)
 as an independent procurement unit, to ensure 
compliance with this chapter, rules made by the applicable rulemaking authority, and 
division policies.
Section 4, Section 
63G-6a-506
 is amended to read:
63G-6a-506
. Small purchases.
(1)
As used in this section:
(a)
"Annual cumulative threshold" means the maximum total annual amount, established 
by the rulemaking authority under Subsection 
(2)
, that a procurement unit may 
expend to obtain procurement items from the same source under this section.
(b)
"Individual procurement 
item 
threshold" means the maximum amount, established 
by the rulemaking authority under Subsection 
(2)
, for which a procurement unit may 
purchase a procurement item under this section.
(c)
"Single procurement aggregate threshold" means the maximum total amount, 
established by the rulemaking authority under Subsection 
(2)
, that a procurement unit 
may expend to obtain multiple procurement items from one source at one time under 
this section.
(2)
(a)
The rulemaking authority may make rules governing small purchases of any 
procurement item, including construction, job order contracting, design professional 
services, other professional services, information technology, and goods.
(b)
Rules under Subsection 
(2)(a)
 may include provisions:
(i)
establishing expenditure thresholds, including:
(A)
an annual cumulative threshold;
(B)
an individual procurement 
item 
threshold; and
(C)
a single procurement aggregate threshold;
(ii)
establishing procurement requirements relating to the thresholds described in 
Subsection 
(2)(b)(i)
; and
(iii)
providing for the use of electronic, telephone, or written quotes.
(c)
If a procurement unit obtains administrative law judge service through a small 
purchase standard procurement process, rules made under Subsection 
(2)(a)
 shall 
provide that the process for the procurement of administrative law judge service 
include an evaluation committee described in Subsection 
63G-6a-116(3)
. 
(3)
Expenditures made under this section by a procurement unit may not exceed a threshold 
established by the rulemaking authority, unless the procurement official gives written 
authorization to exceed the threshold that includes the reasons for exceeding the 
threshold.
(4)
Except as provided in Subsection 
(5)
, an executive branch procurement unit may not 
obtain a procurement item through a small purchase standard procurement process if the 
procurement item may be obtained through a state cooperative contract or a contract 
awarded by the chief procurement officer under Subsection 
63G-6a-2105(1)
.
(5)
Subsection 
(4)
 does not apply if:
(a)
the procurement item is obtained for an unanticipated, urgent, or emergency 
condition, including:
(i)
an item needed to avoid stopping a public construction project;
(ii)
an immediate repair to a facility or equipment; or
(iii)
another emergency condition; or
(b)
the chief procurement officer or the procurement official of a procurement unit that 
is an executive branch procurement unit with independent procurement authority:
(i)
determines in writing that it is in the best interest of the procurement unit to obtain 
an individual procurement item outside of the state contract, comparing:
(A)
the contract terms and conditions applicable to the procurement item under the 
state contract with the contract terms and conditions applicable to the 
procurement item if the procurement item is obtained outside of the state 
contract;
(B)
the maintenance and service applicable to the procurement item under the 
state contract with the maintenance and service applicable to the procurement 
item if the procurement item is obtained outside of the state contract;
(C)
the warranties applicable to the procurement item under the state contract with 
the warranties applicable to the procurement item if the procurement item is 
obtained outside of the state contract;
(D)
the quality of the procurement item under the state contract with the quality of 
the procurement item if the procurement item is obtained outside of the state 
contract; and
(E)
the ability of the vendor under the state contract to match the quoted cost of 
the procurement item if the procurement item is obtained outside of the state 
contract;
(ii)
for a procurement item that, if defective in its manufacture, installation, or 
performance, may result in serious physical injury, death, or substantial property 
damage, determines in writing that the terms and conditions, relating to liability 
for injury, death, or property damage, available from the source other than the 
contractor who holds the state contract, are similar to, or better than, the terms and 
conditions available under the state contract; and
(iii)
grants an exception, in writing, to the requirement described in Subsection 
(4)
.
(6)
Except as otherwise expressly provided in this section, a procurement unit:
(a)
may not use the small purchase standard procurement process described in this 
section for ongoing, continuous, and regularly scheduled procurements that exceed 
the annual cumulative threshold; and
(b)
shall make its ongoing, continuous, and regularly scheduled procurements that 
exceed the annual cumulative threshold through a contract awarded through another 
standard procurement process described in this chapter or an applicable exception to 
another standard procurement process, described in 
Part 8, Exceptions to 
Procurement Requirements
.
(7)
This section does not prohibit regularly scheduled payments for a procurement item 
obtained under another provision of this chapter.
(8)
(a)
It is unlawful for a person knowingly to divide a single procurement into multiple 
smaller procurements, including by dividing an invoice or purchase order into 
multiple invoices or purchase orders, if:
(i)
the single procurement would not have qualified as a small purchase under this 
section;
(ii)
one or more of the multiple smaller procurements qualify as a small purchase 
under this section; and
(iii)
the division is done with the intent to:
(A)
avoid having to use a standard procurement process, other than the small 
purchase process, that the person would otherwise be required to use for the 
single procurement; or
(B)
make one or more of the multiple smaller procurements fall below a small 
purchase expenditure threshold established by rule under Subsection 
(2)(b)
 that 
the single procurement would not have fallen below without the division.
(b)
A violation of Subsection 
(8)(a)
 is subject to penalties as provided in Subsection 
63G-6a-2404.3(2)
.
(9)
The Division of Finance within the Department of Government Operations may conduct 
an audit of an executive branch procurement unit to verify compliance with the 
requirements of this section.
(10)
An executive branch procurement unit may not make a small purchase after January 1, 
2014, unless the chief procurement officer certifies that the person responsible for 
procurements in the procurement unit has satisfactorily completed training on this 
section and the rules made under this section.
Section 5, Section 
63G-6a-805
 is amended to read:
63G-6a-805
. Purchase from community rehabilitation programs.
(1)
As used in this section:
(a)
"Advisory board" means the Purchasing from Persons with Disabilities Advisory 
Board created under this section.
(b)
"Central not-for-profit association" means a group of experts designated by the 
advisory board to do the following, under guidelines established by the advisory 
board:
(i)
assist the advisory board with its functions; and
(ii)
facilitate the implementation of advisory board policies.
(c)
(b)
(i)
"Community rehabilitation program" means a program that is operated 
primarily for the purpose of the employment and training of persons with a 
disability by a government agency or qualified nonprofit organization which is an 
income tax exempt organization under 26 U.S.C. Sec. 501(c)(3) of the Internal 
Revenue Code.
(ii)
A community rehabilitation program:
(A)
maintains an employment ratio of at least 75% of the program employees 
under the procurement contract in question have severe disabilities;
(B)
(I)
complies with any applicable occupational health and safety standards 
prescribed by the United States Department of Labor; or
(II)
is a supported employment program approved by the Utah State Office of 
Rehabilitation created in Section 
35A-1-202
;
(C)
has its principal place of business in Utah;
(D)
produces 
any
a
 good provided under this section in Utah; and
(E)
provides 
any
a
 service that is provided by individuals with a majority of 
whom domiciled in Utah.
(d)
(c)
"Person with a disability" means a person with 
any
a
 disability as defined by 
and covered under the Americans with Disabilities Act of 1990, 42 U.S.C. 12102.
(2)
There is created within the division the Purchasing from Persons with Disabilities 
Advisory Board.
(3)
The advisory board shall consist of three members, as follows:
(a)
the director of the division or the director's designee;
(b)
the director of the Utah State Office of Rehabilitation or the director's designee; and
(c)
a representative of the private business community who shall be appointed to a 
three-year term by the governor with the advice and consent of the Senate.
(4)
(a)
The advisory board shall meet, as needed, to facilitate 
the procurement of goods 
and services from community rehabilitation programs by a procurement unit under 
this chapter by:
a procurement unit's procurement of a good or service under this 
chapter from a community rehabilitation program.
(b)
The advisory board shall:
(a)
(i)
identifying goods and services that are available from community 
rehabilitation programs
identify the good or service that is available from a 
community rehabilitation program
 in accordance with the requirements of 
Subsection 
(7)
;
(b)
(ii)
approving prices
approve a price
 in accordance with Subsection 
(7)(c)
 for 
goods and services that are identified under Subsection 
(4)(a)
the good or service 
that the advisory board identifies under Subsection 
(4)(b)(i)
;
(c)
(iii)
developing, maintaining, and approving a preferred procurement contract 
list of goods and services identified and priced under Subsections 
(4)(a)
 and 
(b)
develop, maintain, and approve a preferred procurement contract list of the goods 
and services that the advisory board identifies and prices under Subsections 
(4)(b)(i) and (ii)
;
(d)
(iv)
reviewing bids received by a community rehabilitation program
review a 
community rehabilitation program's bid
; and
(e)
(v)
awarding and renewing 
award and renew 
specified contracts for set contract 
times, without competitive bidding, for 
the
a procurement unit's
 purchase of 
goods and services
a good or service
 under Subsection 
(7)
.
(5)
The provisions of Subsections 
(4)
 and 
(7)(a)
 are an exception to the procurement 
provisions under this chapter.
(6)
(a)
The advisory board may 
designate a central not-for-profit association, appoint its 
members, and establish guidelines for its duties
enter into an agreement with a person 
to provide administrative support to the advisory board
.
(b)
The designated central not-for-profit association serves at the pleasure of the 
advisory board. The central not-for-profit association or its individual members may 
be removed by the advisory board at any time by a majority vote of the advisory 
board.
(c)
(b)
Subject to the advisory board guidelines and discretion, 
a designated central 
not-for-profit association may be assigned to perform the following duties
a person 
described in Subsection 
(6)(a)
 shall
:
(i)
identify 
qualified
a
 community rehabilitation 
programs
program
 and the 
goods 
and services that they provide or have
good or service that the community 
rehabilitation program provides or has
 the potential to provide;
(ii)
help ensure that goods and services are
help ensure that a community 
rehabilitation program's good or service is
 provided at reasonable quality and 
delivery levels;
(iii)
recommend pricing for 
goods and services
a community rehabilitation 
program's good or service
;
(iv)
under the advisory board's discretion:
(A)
review 
bids and recommend the award of contracts under the advisory 
board's direction
a community rehabilitation program's bid; and
(B)
recommend to the advisory board that a procurement unit award a contract to 
a community rehabilitation program
;
(v)
collect and report program data to the advisory board and 
to 
the division; and
(vi)
other duties specified by the advisory board
perform other duties that the 
advisory board specifies
.
(7)
Except as provided under Subsection 
(9)
, notwithstanding any provision of this chapter 
to the contrary, 
each
a
 procurement unit shall purchase 
goods and services produced 
by a community rehabilitation program
a community rehabilitation program's good or 
service
 using the preferred procurement contract list approved under Subsection 
(4)(c)
(4)(b)(iii)
 if:
(a)
the good or service offered for sale by a community rehabilitation program
the 
community rehabilitation program's good or service
 reasonably conforms to the 
needs and specifications of the procurement unit;
(b)
the community rehabilitation program can supply the good or service within a 
reasonable time; and
(c)
the price of the good or service is reasonably competitive with the cost of procuring 
the good or service from another source.
(8)
Each 
A 
community rehabilitation program:
(a)
may submit a bid to the advisory board at any time and not necessarily in response to 
an invitation for bids; and
(b)
shall certify on 
any bid it
the bid that the community rehabilitation program
 submits 
to the advisory board or to a procurement unit under this section that 
it
the 
community rehabilitation program
 is claiming a preference under this section.
(9)
During a fiscal year, the requirement for a procurement unit to purchase 
goods and 
services produced by a community rehabilitation program
a good or service that a 
community rehabilitation program produces
 under the preferred procurement list under 
Subsection 
(7)
 does not apply if the division determines that the total amount of 
procurement contracts with community rehabilitation programs has reached $5 million 
for that fiscal year.
(10)
In the case of conflict between a purchase under this section and a purchase under 
Section 
63G-6a-804
, this section prevails.
Section 6, Section 
63G-6a-1201.5
 is enacted to read:
63G-6a-1201.5
. Award of contract -- Effect.
An award of a procurement contract under this chapter:
(1)
is not an offer or an acceptance of a bid, proposal, estimate, quote, or an offer; and
(2)
does not create a contract.
Section 7, Section 
63G-6a-1203
 is amended to read:
63G-6a-1203
. Void and unenforceable provisions of a contract -- Exemptions -- 
Limitation of liability and damages.
(1)
A contract, including an amendment to an existing contract, entered into under this 
chapter may not require that a design professional indemnify another from liability 
claims that arise out of the design professional's services, unless the liability claim arises 
from the design professional's negligent act, wrongful act, error or omission, or other 
liability imposed by law.
(2)
Subsection 
(1)
 may not be waived by contract.
(3)
Notwithstanding Subsections 
(1)
 and 
(2)
, a design professional may be required to 
indemnify a person for whom the design professional has direct or indirect control or 
responsibility.
(1)
As used in this section, "governmental entity" means the same as that term is defined in 
Section 
63G-7-102
.
(2)
This section does not apply to:
(a)
a procurement contract that becomes operative or enforceable before the effective 
date of this section; or
(b)
the extension or renewal of a contract described in Subsection 
(2)(a)
.
(3)
(a)
Except as provided under Subsections (5) and (6), a provision of a procurement 
contract described in Subsection 
(4)
, including a provision incorporated into the 
contract by reference, is void and unenforceable.
(b)
Notwithstanding any provision of a procurement contract that is void and 
unenforceable under Subsection 
(3)(a)
, the remaining provisions of the contract are 
severable, valid, and enforceable to the fullest extent provided under Utah law.
(4)
A provision is void and unenforceable under Subsection 
(3)(a)
 if the provision:
(a)
restricts the state's or a procurement unit's protection under Chapter 7, Governmental 
Immunity Act of Utah, from suit, liability, judgment, or obligation, including an 
obligation to respond to or defend against any claim;
(b)
requires a governmental entity to indemnify, defend, or hold harmless another person;
(c)
restricts a governmental entity's ability to seek relief in state court;
(d)
subjects a governmental entity to binding arbitration or other form of dispute 
resolution outside the courts;
(e)
disallows the procurement unit from having legal counsel and representation from:
(i)
legal counsel that the procurement unit chooses;
(ii)
the attorney general; or
(iii)
legal counsel chosen by a person that has a contractual obligation to indemnify, 
defend, or hold harmless the state or a procurement unit, subject to the written 
consent of the state or the procurement unit;
(f)
subject to Subsection 
(5)
:
(i)
subjects a procurement contract or a party to the contract to the laws of any 
jurisdiction other than Utah; or
(ii)
requires the parties to resolve a dispute in a jurisdiction or venue other than Utah;
(g)
restricts a governmental entity from making disclosures of information, as required 
by law or for any legitimate governmental purpose;
(h)
allows a vendor to unilaterally modify any part of the procurement contract, 
including any provision to which the contract contemplates giving legal effect upon 
the vendor providing notice to the procurement unit of the modification or of the 
created legal effect; and
(i)
subject to Subsection 
(6)
:
(i)
requires a governmental entity to maintain insurance coverage beyond the types 
and limits required by the state risk manager appointed under Section 
63A-4-101.5
, 
or to name an additional insured under that coverage;
(ii)
allows a vendor to automatically renew a procurement contract or that creates a 
contractual term in violation of the terms permitted under Section 
63G-6a-1204
; or
(iii)
limits the liability of a vendor or any third-party for bodily injury, death, or 
damage to tangible property caused by the negligence or willful misconduct of a 
vendor, a third-party, or the vendor's or third-party's employees or agents.
(5)
The assistant attorney general or authorized legal counsel for the procurement unit that 
will sign a procurement contract may, via a signed, express, written authorization made 
prior to the formation of the contract, exempt the contract from a provision described in 
Subsection 
(4)(f)
, if the assistant attorney general or authorized legal counsel determines 
that an exemption is necessary to promote the best interests of the state or the 
procurement unit due to:
(a)
the relative disproportionate bargaining positions of the contracting parties;
(b)
market conditions; or
(c)
other unique circumstances identified and described in the authorization.
(6)
The procurement official for a procurement unit seeking to enter into a procurement 
contract may, via a signed, express, written authorization made prior to the formation of 
the contract, exempt the contract from a provision described in Subsection 
(4)(i)
, if the 
contract indicates the procurement unit's intent to include the provision, with explicit 
reference to this section.
(7)
Notwithstanding any provision of a procurement contract to the contrary, under no 
circumstance may the state or a procurement unit be held liable for any special, 
incidental, indirect, or consequential damages arising from or relating to a procurement 
contract.
Section 8. 
Effective date.
This bill takes effect on 
May 7, 2025
.
3-6-25 6:37 PM