Senate Amendment 3411


PAG LIN




     1  1    Amend Senate File 601 as follows:
     1  2 #1.  Page 32, by inserting after line 28 the
     1  3 following:
     1  4    <Sec.    .  Section 8A.311, Code 2007, is amended
     1  5 by adding the following new subsection:
     1  6    NEW SUBSECTION.  21.  a.  The director may
     1  7 authorize the procurement of goods and services in
     1  8 which a limitation of vendor liability is provided for
     1  9 and set forth in the documents initiating the
     1 10 procurement.  The director, in consultation with the
     1 11 department of management, shall adopt rules setting
     1 12 forth the circumstances in which such procurement will
     1 13 be permitted and what types of limitations of
     1 14 liability are permitted.  Rules adopted by the
     1 15 director shall establish criteria to be considered in
     1 16 making a determination of whether to permit a
     1 17 limitation of vendor liability with regard to any
     1 18 procurement of goods and services.  The criteria, at a
     1 19 minimum, shall include all of the following:
     1 20    (1)  Whether authorizing a limitation of vendor
     1 21 liability is necessary to prevent harm to the state
     1 22 from a failure to obtain the goods or services sought,
     1 23 or from obtaining the goods or services at a higher
     1 24 price if the state refuses to allow a limitation of
     1 25 vendor liability.
     1 26    (2)  Whether the limitation of vendor liability is
     1 27 commercially reasonable when taking into account any
     1 28 risk to the state created by the goods or services to
     1 29 be procured and the purpose for which they will be
     1 30 used.
     1 31    b.  Notwithstanding paragraph "a", a limitation of
     1 32 vendor liability shall not include any limitation on
     1 33 the liability of any vendor for intentional torts,
     1 34 criminal acts, or fraudulent conduct.
     1 35    c.  The rules shall provide for the negotiation of
     1 36 a limitation of vendor liability consistent with the
     1 37 requirements of this section and any other
     1 38 requirements of the department as provided in any
     1 39 related documents associated with a procurement of
     1 40 goods and services.>
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     1 43                               
     1 44 JEFF DANIELSON
     1 45 SF 601.205 82
     1 46 mg/es/8377
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