Text: SSB01074 Text: SSB01076 Text: SSB01000 - SSB01099 Text: SSB Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 279.7A, Code 2003, is amended to read 1 2 as follows: 1 3 279.7A INTEREST IN PUBLIC CONTRACTS PROHIBITED – 1 4 EXCEPTIONS. 1 5 A member of the board of directors of a school corporation 1 6 shall not have an interest, direct or indirect, in a contract 1 7 for the purchase of goods, including materials and profits, 1 8 and the performance of services for the director's school 1 9 corporation. A contract entered into in violation of this 1 10 section is void. This section does not apply to contracts for 1 11 the purchase of goods or services which benefit a director, or 1 12 to compensation for part-time or temporary employment which 1 13 benefits a director, if the benefit to the director does not 1 14 exceed two thousand five hundred dollars in a fiscal year, and 1 15 contracts made by a school board, upon competitive bid in 1 16 writing, publicly invited and opened. This section does not 1 17 apply to a contract that is a bond, note, or other obligation 1 18 of a school corporation if the contract is not acquired 1 19 directly from the school corporation, but is acquired in a 1 20 transaction with a third party, who may or may not be the 1 21 original underwriter, purchaser, or obligee of the contract, 1 22 or to a contract in which a director has an interest solely by 1 23 reason of employment if the contract is made by competitive 1 24 bid in writing, publicly invited and opened, or if the 1 25 remuneration of employment will not be directly affected as a 1 26 result of the contract and the duties of employment do not 1 27 directly involve the procurement or preparation of any part of 1 28 the contract. The competitive bid qualification of this 1 29 section does not apply to a contract for professional services 1 30 not customarily awarded by competitive bid. 1 31 Sec. 2. Section 331.342, subsection 4, Code 2003, is 1 32 amended to read as follows: 1 33 4. Contracts in which a county officer or employee has an 1 34 interest solely by reason of employment, or a stock interest 1 35 of the kind described in subsection 8, or both, if the 2 1 contracts are made by competitive bid, publicly invited and 2 2 opened,andor if the remuneration of employment will not be 2 3 directly affected as a result of the contract and the duties 2 4 of employment do not directly involve the procurement or 2 5 preparation of any part of the contract. The competitive bid 2 6 qualification of this subsection does not apply to a contract 2 7 for professional services not customarily awarded by 2 8 competitive bid. 2 9 Sec. 3. Section 331.342, Code 2003, is amended by adding 2 10 the following new subsection: 2 11 NEW SUBSECTION. 11. A contract that is a bond, note, or 2 12 other obligation of the county and the contract is not 2 13 acquired directly from the county, but is acquired in a 2 14 transaction with a third party, who may or may not be the 2 15 original underwriter, purchaser, or obligee of the contract. 2 16 Sec. 4. Section 362.5, subsection 5, Code 2003, is amended 2 17 to read as follows: 2 18 5. Contracts in which a city officer or employee has an 2 19 interest solely by reason of employment, or a stock interest 2 20 of the kind described in subsection 9, or both, if the 2 21 contracts are made by competitive bid in writing, publicly 2 22 invited and opened, or if the remuneration of employment will 2 23 not be directly affected as a result of the contract and the 2 24 duties of employment do not directly involve the procurement 2 25 or preparation of any part of the contract. The competitive 2 26 bid qualification of this subsection does not apply to a 2 27 contractisfor professional services not customarily awarded 2 28 by competitive bid, if the remuneration of employment will not2 29be directly affected as a result of the contract, and if the2 30duties of employment do not directly involve the procurement2 31or preparation of any part of the contract. 2 32 Sec. 4. Section 362.5, Code 2003, is amended by adding the 2 33 following new subsection: 2 34 NEW SUBSECTION. 13. A contract that is a bond, note, or 2 35 other obligation of the city and the contract is not acquired 3 1 directly from the city, but is acquired in a transaction with 3 2 a third party who may or may not be the original underwriter, 3 3 purchaser, or obligee of the contract. 3 4 EXPLANATION 3 5 This bill relates to conflicts of interest in public 3 6 contracts by persons who hold certain public offices or 3 7 employment. The bill provides that members of school boards, 3 8 and city and county officers and employees are not prohibited 3 9 from serving in that capacity because of an interest, direct 3 10 or indirect, in certain contracts if the contracts are made by 3 11 competitive bid, publicly invited and opened, or if the 3 12 remuneration of employment for the person is not directly 3 13 affected as a result of the contract and the duties of the 3 14 person's employment do not directly involve the procurement or 3 15 preparation of any part of the contract. 3 16 The conflict of interest provisions also do not apply to 3 17 contracts in which a member of a school board, or a city or 3 18 county officer or employee has a direct or indirect interest, 3 19 when the contracts are bonds, notes, or other obligations of 3 20 the school corporation, county, or city that are not acquired 3 21 directly from that body but instead are acquired in 3 22 transactions with a third party, who may or may not be the 3 23 original underwriter, purchaser, or obligee of the contract. 3 24 LSB 2228SC 80 3 25 av/pj/5
Text: SSB01074 Text: SSB01076 Text: SSB01000 - SSB01099 Text: SSB Index Bills and Amendments: General Index Bill History: General Index
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