Senate
File
2127
-
Introduced
SENATE
FILE
2127
BY
PETERSEN
,
JOCHUM
,
and
McCOY
A
BILL
FOR
An
Act
concerning
the
establishment
of
a
process
for
the
1
debarment
of
a
person
from
entering
into
certain
state
2
contracts
with
a
state
agency.
3
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
4
TLSB
5616XS
(4)
86
ec/nh
S.F.
2127
Section
1.
Section
8A.311,
Code
2016,
is
amended
by
adding
1
the
following
new
subsection:
2
NEW
SUBSECTION
.
23.
An
agency,
including
an
institution
3
under
the
control
of
the
state
board
of
regents,
shall
not
4
enter
into
a
contract,
or
authorize
a
contract,
with
a
person
5
who
is
debarred
as
provided
in
section
8A.319.
6
Sec.
2.
NEW
SECTION
.
8A.319
Vendor
debarment.
7
1.
The
department
shall
establish
a
process
to
debar
a
8
person
from
eligibility
to
enter
into
a
contract
with
an
9
agency,
including
an
institution
under
the
control
of
the
10
state
board
of
regents,
pursuant
to
the
competitive
bidding
11
requirements
of
section
8A.311,
subject
to
the
requirements
of
12
this
section.
13
2.
The
department
may
debar
a
person
from
eligibility
to
14
enter
into
a
contract
with
an
agency,
including
an
institution
15
under
the
control
of
the
state
board
of
regents,
for
a
period
16
of
not
more
than
three
years
for
any
of
the
following
reasons:
17
a.
The
person,
including
any
employee
of
the
person,
18
has
been
convicted
of
a
criminal
offense
as
an
incident
to
19
obtaining
or
attempting
to
obtain
a
public
or
private
contract
20
or
subcontract,
or
in
the
performance
of
such
contract
or
21
subcontract.
22
b.
The
person,
including
any
employee
of
the
person,
23
has
been
convicted,
or
has
had
a
final
determination
in
a
24
civil
action
under
a
state
or
federal
statute,
of
fraud,
25
embezzlement,
theft,
forgery,
bribery,
falsification
or
26
destruction
of
records,
receiving
stolen
property,
violation
27
of
the
federal
False
Claims
Act,
31
U.S.C.
§3729
et
seq.,
28
violation
of
chapter
685,
or
any
other
offense
indicating
a
29
lack
of
business
integrity
or
business
honesty
that
currently,
30
seriously,
and
directly
affects
responsibility
as
a
state
31
contractor.
32
c.
The
person,
including
any
employee
of
the
person,
has
33
been
convicted
under
a
state
or
federal
antitrust
statute
34
arising
out
of
the
submission
of
a
bid
or
proposal.
35
-1-
LSB
5616XS
(4)
86
ec/nh
1/
4
S.F.
2127
d.
The
person
has
had
two
or
more
violations
within
the
1
previous
five
years
of
the
federal
Labor
Relations
Act
as
2
determined
by
the
national
labor
relations
board
or
a
court
of
3
competent
jurisdiction.
4
e.
The
person
has
violated
a
provision
of
a
contract
in
a
5
manner
that
is
regarded
by
the
director
to
be
so
serious
as
to
6
justify
debarment
action
and
that
meets
any
of
the
following
7
conditions:
8
(1)
Deliberate
failure
without
good
cause
to
perform
in
9
accordance
with
the
specifications
or
within
the
time
limit
10
provided
in
the
contract.
11
(2)
A
recent
record
of
failure
to
perform
or
of
12
unsatisfactory
performance
in
accordance
with
the
terms
of
13
one
or
more
contracts.
However,
the
failure
to
perform
or
14
unsatisfactory
performance
caused
by
acts
beyond
the
control
of
15
the
person
shall
not
be
considered
a
basis
for
debarment.
16
f.
Any
other
cause
the
director
determines
to
be
so
17
serious
and
compelling
as
to
affect
responsibility
as
a
state
18
contractor,
including
debarment
by
another
governmental
entity
19
for
any
cause.
20
3.
The
process
for
the
debarment
of
a
person
shall
commence
21
by
delivering
to
the
person
notice,
by
means
authorized
by
22
section
17A.18,
setting
forth
the
particular
reasons
for
such
23
action
and
the
length
of
the
debarment.
24
a.
If
a
written
request
for
a
hearing
is
not
received
25
within
thirty
days
after
the
delivery
of
notice
as
provided
in
26
this
subsection,
the
debarment
shall
become
effective
pending
27
a
final
determination
by
the
department.
The
determination
28
involved
in
the
notice
may
be
affirmed,
modified,
or
set
aside
29
by
the
department
in
a
written
decision.
30
b.
If
a
request
for
a
hearing
is
timely
received
by
the
31
department,
the
person
shall
be
given
an
opportunity
for
a
32
prompt
and
fair
hearing
before
the
department
and
the
debarment
33
shall
be
deemed
suspended
until
the
department
makes
a
final
34
determination.
The
procedure
governing
hearings
authorized
35
-2-
LSB
5616XS
(4)
86
ec/nh
2/
4
S.F.
2127
by
this
paragraph
shall
be
in
accordance
with
the
rules
1
promulgated
by
the
department
and
chapter
17A.
2
4.
A
copy
of
the
final
decision
of
the
department
shall
be
3
sent
to
the
person
by
electronic
mail
or
certified
mail,
with
4
return
receipt
requested,
or
served
personally
upon
the
person.
5
The
person
may
seek
judicial
review
in
accordance
with
the
6
terms
of
the
Iowa
administrative
procedure
Act,
chapter
17A.
7
5.
The
department
shall
adopt
rules
to
implement
the
8
requirements
of
this
section.
9
EXPLANATION
10
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
11
the
explanation’s
substance
by
the
members
of
the
general
assembly.
12
This
bill
provides
that
a
state
agency
shall
not
enter
into
13
a
contract
with
a
person
who
has
been
debarred
pursuant
to
the
14
requirements
of
the
bill.
15
Code
section
8A.311,
concerning
competitive
bidding
16
requirements,
is
amended
to
provide
that
a
state
agency,
17
including
an
institution
under
the
control
of
the
state
board
18
of
regents,
shall
not
enter
into
a
contract,
or
authorize
a
19
contract,
with
a
person
who
is
debarred.
20
New
Code
section
8A.319
establishes
the
process
for
DAS
21
to
debar
a
person
from
eligibility
to
enter
into
a
contract
22
with
a
state
agency,
including
an
institution
under
the
23
control
of
the
state
board
of
regents.
The
new
Code
section
24
provides
that
the
length
of
the
debarment
shall
not
exceed
25
three
years,
specifies
the
reasons
to
debar
a
person,
and
26
establishes
the
administrative
process,
including
rights
for
27
a
hearing
and
judicial
review,
for
debarring
a
person.
The
28
bill
provides
that
reasons
for
debarment
of
a
person
include
29
a
criminal
offense
conviction
as
an
incident
to
obtaining
or
30
attempting
to
obtain
a
public
or
private
contract,
conviction
31
or
civil
action
determination
of
an
offense
indicating
a
lack
32
of
business
integrity
or
honesty,
conviction
under
a
state
or
33
federal
antitrust
statute
arising
out
of
the
submission
of
a
34
bid
or
proposal,
violations
of
the
federal
Labor
Relations
Act,
35
-3-
LSB
5616XS
(4)
86
ec/nh
3/
4
S.F.
2127
certain
violations
of
contract
provisions,
and
any
other
cause
1
the
DAS
director
determines
to
be
so
serious
and
compelling
2
as
to
affect
responsibility
as
a
state
contractor,
including
3
debarment
by
another
governmental
entity
for
any
cause.
4
-4-
LSB
5616XS
(4)
86
ec/nh
4/
4