House File 209 - Introduced HOUSE FILE BY FORD Passed House, Date Passed Senate, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act establishing requirements for persons contracting with the 2 state to provide services. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 2030HH 82 5 jp/es/88 PAG LIN 1 1 Section 1. NEW SECTION. 73.3A CONTRACT EMPLOYEE 1 2 SERVICES. 1 3 A person who contracts with a department, as defined in 1 4 section 8.2, or with a state authority to provide 1 5 administrative, labor, or other services that would otherwise 1 6 be provided by state employees shall, as a condition of 1 7 receiving the contract, report all payments received under the 1 8 contract to the department of management. The department of 1 9 management shall annually prepare an analysis of the reports 1 10 and provide the analysis to the governor and the general 1 11 assembly. 1 12 Sec. 2. NEW SECTION. 217.14 CONTRACTOR REQUIREMENTS. 1 13 1. A person contracting with the department of human 1 14 services to provide services shall be subject to all of the 1 15 requirements of this section. 1 16 2. In addition to the requirements of section 68B.7, a 1 17 person who has been employed by the department, for a period 1 18 of two years after the termination of the employment, shall 1 19 not contract with the department to provide services. 1 20 However, the prohibition under this subsection is not 1 21 applicable under any of the following circumstances: 1 22 a. The person is a subcontractor or is an employee of 1 23 another state department or an institution under the control 1 24 of the state board of regents. 1 25 b. If a person with expertise in a particular area is no 1 26 longer employed by the department, the department may contract 1 27 for a limited period of time to secure the expertise. 1 28 c. The department has demonstrated a good faith effort to 1 29 fill a position that is critical to the health and safety of 1 30 departmental clients from a pool of applicants that does not 1 31 include former departmental employees, but was unsuccessful in 1 32 identifying qualified candidates from the pool. 1 33 d. The person terminated employment with the department 1 34 due to a layoff or reduction in force. 1 35 e. The person terminated employment with the department 2 1 within twelve months of obtaining an advanced degree from an 2 2 accredited college or university and the degree qualified the 2 3 person to provide services that the person was not previously 2 4 qualified to provide. 2 5 3. A contractor shall have adequate liability insurance 2 6 for the services being performed. 2 7 4. A contractor shall be subject to evaluation 2 8 requirements, with preference given to an evaluation performed 2 9 by an independent evaluator. 2 10 EXPLANATION 2 11 This bill establishes requirements for persons contracting 2 12 with the state to provide services. 2 13 The bill amends Code chapter 73, relating to preferences 2 14 for Iowa contracts and labor. The bill requires a person who 2 15 contracts with an executive branch department, commission, 2 16 board, institution, bureau, office, or other state government 2 17 agency, to report all payments received under the contract to 2 18 the department of management. The reporting requirement is 2 19 applied as a condition of receiving the contract. The 2 20 department of management is to annually provide an analysis of 2 21 the reports to the governor and the general assembly. 2 22 Iowa's ethics law in Code section 68B.7 prohibits a state 2 23 employee, within a period of two years after the termination 2 24 of employment, from appearing before the agency or receiving 2 25 compensation for any services rendered on behalf of any 2 26 person, firm, corporation, or association in relation to any 2 27 case, proceeding, or application with respect to which the 2 28 person was directly concerned and personally participated 2 29 during the period of employment. The bill provides a general 2 30 prohibition during the two=year period against a former 2 31 employee of the department of human services providing 2 32 services as a contractor, subcontractor, or employee of a 2 33 contractor providing services to the department. The bill 2 34 provides exceptions to the prohibition, allowing contracting 2 35 with a former employee under certain circumstances. 3 1 The bill requires a contractor with the department of human 3 2 services to have adequate liability insurance for the service 3 3 being performed. A contractor is subject to evaluation 3 4 requirements, with preference given to an evaluation performed 3 5 by an independent evaluator. 3 6 LSB 2030HH 82 3 7 jp:rj/es/88