S.F. _____ H.F. _____ Section 1. Section 8A.311, Code 2011, is amended by adding 1 the following new subsection: 2 NEW SUBSECTION . 1A. The department, for any purchase made 3 pursuant to a competitive bidding procedure provided under this 4 section, may require that each bidder file with the department 5 statements showing the bidder’s financial standing, equipment, 6 and experience in providing the goods or services to be 7 purchased. The statements shall be on standard forms prepared 8 by the department and shall be filed with the department 9 prior to the letting at which the bidder expects to bid. The 10 department, in advance of the letting, may notify the bidder 11 as to the amount and the nature of the goods or services for 12 which the bidder is deemed qualified to bid. A bidder who is 13 prequalified by the department under this subsection shall be 14 deemed qualified for any other goods or services opportunities 15 offered by the department and need only submit proof of the 16 prequalification in a manner determined by the department to 17 submit a bid. 18 Sec. 2. Section 8A.321, subsection 6, Code 2011, is amended 19 to read as follows: 20 6. a. Lease all buildings and office space necessary to 21 carry out the provisions of this subchapter or necessary for 22 the proper functioning of any state agency at the seat of 23 government wherever located throughout the state . For state 24 agencies at the seat of government, the director may lease 25 buildings and office space in Polk county or in a county 26 contiguous to Polk county. If no specific appropriation 27 has been made, the proposed lease shall be submitted to the 28 executive council for approval. The cost of any lease for 29 which no specific appropriation has been made shall be paid 30 from the fund provided in section 7D.29 . The director shall 31 also develop cooperative relationships with the state board of 32 regents in order to promote the colocation of state agencies. 33 b. When the general assembly is not in session, the director 34 may request moneys from the executive council for moving 35 -1- LSB 1326DP (3) 84 aw/nh 1/ 8

S.F. _____ H.F. _____ state agencies located at the seat of government from one 1 location to another. The request may include moving costs, 2 telecommunications costs, repair costs, or any other costs 3 relating to the move. The executive council may approve and 4 shall pay the costs from funds provided in section 7D.29 if it 5 determines the agency or department has no available funds for 6 these expenses. 7 c. Coordinate the leasing of buildings and office space by 8 state agencies throughout the state and develop cooperative 9 relationships with the state board of regents in order to 10 promote the colocation of state agencies. 11 Sec. 3. Section 8A.324, subsection 1, paragraph a, Code 12 2011, is amended to read as follows: 13 a. The director may dispose of unfit or unnecessary personal 14 property by sale. Proceeds The net proceeds from the sale of 15 personal property shall be deposited in the general fund of 16 the state. For purposes of this subsection, “net proceeds” 17 means the total revenue received as a result of the sale of the 18 personal property less the department’s expenses associated 19 with the disposal of the property and the expenses incurred by 20 the state agency that disposed of the property. 21 Sec. 4. Section 8A.327, subsection 1, Code 2011, is amended 22 to read as follows: 23 1. A rent revolving fund is created in the state treasury 24 under the control of the department to be used by the 25 department to pay the lease or rental costs of all buildings 26 and office space necessary for the proper functioning of any 27 state agency at the seat of state government wherever located 28 throughout the state as provided in section 8A.321, subsection 29 6 , except that this fund shall not be used to pay the rental 30 or lease costs of a state agency which has not received funds 31 budgeted for rental or lease purposes. 32 Sec. 5. Section 22.3A, subsection 1, paragraph e, Code 2011, 33 is amended to read as follows: 34 e. “Data processing software” means an ordered set of 35 -2- LSB 1326DP (3) 84 aw/nh 2/ 8

S.F. _____ H.F. _____ instructions or statements that, when executed by a computer, 1 causes the computer to process data, and includes any program 2 or set of programs, procedures, or routines used to employ 3 and control capabilities of computer hardware. As used in 4 this paragraph , “data processing software” includes but is not 5 limited to an operating system, compiler, assembler, utility, 6 library resource, maintenance routine, application, or computer 7 networking program , or the associated documentation . 8 Sec. 6. Section 22.7, subsection 32, Code 2011, is amended 9 to read as follows: 10 32. Social security numbers of the owners of unclaimed 11 property reported to the treasurer of state pursuant to section 12 556.11, subsection 2 , included on claim forms filed with the 13 treasurer of state pursuant to section 556.19 , included in 14 outdated warrant reports received by the treasurer of state 15 pursuant to section 556.2C , Code 2011, or stored in record 16 systems maintained by the treasurer of state for purposes 17 of administering chapter 556 , or social security numbers of 18 payees included on state warrants included in records systems 19 maintained by the department of administrative services for the 20 purpose of documenting and tracking outdated warrants pursuant 21 to section 556.2C , Code 2011 . 22 Sec. 7. Section 26.3, subsection 2, Code 2011, is amended 23 to read as follows: 24 2. A governmental entity shall have an engineer licensed 25 under chapter 542B , a landscape architect licensed under 26 chapter 544B , or an architect registered under chapter 544A 27 prepare plans and specifications, and calculate the estimated 28 total cost of a proposed public improvement. A governmental 29 entity shall ensure that a sufficient number of paper copies 30 of the project’s contract documents, including all drawings, 31 plans, specifications, and estimated total costs of the 32 proposed public improvement are made available for distribution 33 at no charge to prospective bidders, subcontractor bidders, 34 suppliers, and contractor plan room services. If a deposit is 35 -3- LSB 1326DP (3) 84 aw/nh 3/ 8

S.F. _____ H.F. _____ required as part of a paper contract documents distribution 1 policy by the public owner, the deposit shall not exceed two 2 hundred fifty dollars per set which shall be refunded upon 3 return of the contract documents within fourteen days after 4 award of the project. If the contract documents are not 5 returned in a timely manner and in a reusable condition, the 6 deposit shall be forfeited. The governmental entity shall 7 reimburse the landscape architect, architect, or professional 8 engineer for the actual costs of preparation and distribution 9 of plans and specifications. 10 Sec. 8. Section 73.3, Code 2011, is amended to read as 11 follows: 12 73.3 Iowa labor. 13 Every commission, board, committee, officer , or other 14 governing body of the state, or of any county, township, school 15 district , or city, and every person acting as contracting agent 16 for any such commission, board, committee, officer , or other 17 governing body of the state, or of any county, township, school 18 district , or city, shall give preference to Iowa labor in the 19 constructing or building of any public improvement or works, 20 and every contract entered into by any such commission, board, 21 committee, officer , or other governing body of the state for 22 the construction or building of any public improvement or works 23 shall contain a provision requiring that preference shall be 24 given to Iowa domestic labor in the constructing or building 25 of such public improvement or works. The preference to be 26 given to Iowa domestic labor pursuant to this section shall 27 only be enforced against a successful vendor whose principal 28 place of business is located in a state that requires a similar 29 preference be provided for its domestic labor. 30 Sec. 9. Section 556.2C, Code 2011, is amended to read as 31 follows: 32 556.2C Outstanding state warrants. 33 1. a. An unpaid, outdated warrant that is canceled pursuant 34 to section 8A.519 shall be included in a list of outstanding 35 -4- LSB 1326DP (3) 84 aw/nh 4/ 8

S.F. _____ H.F. _____ state warrants maintained by the director of the department of 1 administrative services. On or before July 1 of each year, 2 the director of the department of administrative services 3 shall provide the office of the treasurer of state with a 4 consolidated list of such outstanding warrants that have not 5 been previously reported to the office. 6 b. The consolidated list shall be accompanied by supporting 7 information as specified by the treasurer of state. The 8 treasurer of state may include information regarding the 9 outstanding warrants in the notice published pursuant to 10 section 556.12 and on the treasurer of state’s official 11 internet website. 12 c. The reporting requirements of this section do not 13 apply to outdated warrants charged to federal grants or other 14 nonstate funds for which funding is no longer available as 15 described in section 25.2 . 16 2. An agreement to pay compensation to recover or assist in 17 the recovery of an outstanding warrant made within twenty-four 18 months after the date the warrant is canceled is unenforceable. 19 However, an agreement made after twenty-four months from 20 the date the warrant is canceled is valid if the fee or 21 compensation agreed upon is not more than fifteen percent of 22 the recoverable property, the agreement is in writing and 23 signed by the payee, and the writing discloses the nature and 24 value of the property and the name and address of the person in 25 possession. This subsection section does not apply to a payee 26 who has a bona fide fee contract with a practicing attorney 27 regulated under chapter 602, article 10 . 28 Sec. 10. Section 556.18, subsection 2, paragraph d, Code 29 2011, is amended by striking the paragraph. 30 Sec. 11. Section 904.808, subsection 1, paragraph b, Code 31 2011, is amended to read as follows: 32 b. (1) When the state director releases, in writing, the 33 obligation of the department or agency to purchase the product 34 from Iowa state industries, after determining that Iowa state 35 -5- LSB 1326DP (3) 84 aw/nh 5/ 8

S.F. _____ H.F. _____ industries is unable to meet the performance characteristics 1 of the purchase request for the product, and a copy of the 2 release is attached to the request to the director of the 3 department of administrative services for payment for a similar 4 product, or when Iowa state industries is unable to furnish 5 needed products, comparable in both quality and price to those 6 available from alternative sources, within a reasonable length 7 of time. However, a release is not required if Iowa state 8 industries is provided an invitation to bid in the same manner 9 as other vendors and either fails to submit a compliant bid or 10 is not the successful bidder. 11 (2) Any disputes arising between a purchasing department 12 or agency and Iowa state industries regarding similarity 13 of products, or comparability of quality or price, or the 14 availability of the product, shall be referred to the director 15 of the department of administrative services, whose decision 16 shall be subject to appeal as provided in section 8A.313 . 17 However, if the purchasing department is the department of 18 administrative services, any matter which would be referred 19 to the director under this paragraph shall be referred to the 20 executive council in the same manner as if the matter were to 21 be heard by the director of the department of administrative 22 services. The decision of the executive council is final. 23 EXPLANATION 24 This bill relates to competitive bidding and the operations 25 of the department of administrative services. 26 The bill amends Code section 8A.311 to allow the department 27 to require each bidder to file statements of the bidder’s 28 financial background, equipment, and past experience pursuant 29 to competitive bidding procedures. The department shall 30 prepare standard forms for these statements. A bidder 31 prequalified under this provision will be considered qualified 32 to bid for any goods or services opportunities offered by the 33 department by submitting appropriate proof of prequalification. 34 Currently, Code section 8A.321, subsection 6, permits the 35 -6- LSB 1326DP (3) 84 aw/nh 6/ 8

S.F. _____ H.F. _____ director of administrative services to lease buildings and 1 office space at the seat of government and to coordinate the 2 lease of buildings and office space elsewhere throughout the 3 state. The bill expands the authority to actually lease such 4 space throughout the state. 5 A provision in Code section 8A.324, related to the 6 department director’s authority to sell personal property, is 7 amended so that only the net proceeds of the sale shall be 8 deposited in the general fund. A definition of “net proceeds” 9 is provided. Current law requires that all proceeds of such 10 sales be deposited in the general fund. 11 In Code section 22.3A, the bill expands the definition of 12 “data processing software” related to the examination of public 13 records, to include all of the documentation associated with 14 the software. 15 The bill amends Code section 26.3, relating to competitive 16 bids for public improvement contracts, to allow the 17 governmental entity to begin charging prospective bidders and 18 others for copies of project documents. The bill also removes 19 a cap on the deposit which the government may charge for these 20 materials. Current law requires that sufficient documents be 21 provided free of charge, and includes a cap on deposits of 22 $250. 23 The bill amends Code section 73.3 to limit the preference 24 given to Iowa domestic labor in the constructing or building of 25 any public improvement or works, so that it be enforced only in 26 instances where a vendor’s primary place of business is located 27 in a state that enforces such a preference for its own domestic 28 labor. 29 The bill removes from the requirements for the disposition 30 of unclaimed property in Code section 556.2C, that the 31 department include a reporting of outdated or unpaid warrants 32 in a consolidated list sent annually to the office of the 33 treasurer of state. The bill makes corresponding changes in 34 Code provisions referring to the eliminated language. 35 -7- LSB 1326DP (3) 84 aw/nh 7/ 8

S.F. _____ H.F. _____ The bill also creates an exception from the requirement 1 in Code section 904.808 that the director of the department 2 of corrections provide a written release to a department or 3 agency, in the instance that Iowa state industries either is 4 an unsuccessful bidder or fails to submit a compliant bid, so 5 long as the department of corrections is provided the same 6 invitation to bid as other vendors. 7 -8- LSB 1326DP (3) 84 aw/nh 8/ 8