HF 463 (LSB 2170YH (4) 86)

HOUSE FILE 463

BY  HALL

A BILL FOR

An Act related to certain veteran-owned businesses by establishing certain state procurement goals and preferences in government contracting.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 15.102, subsection 10, paragraph a, unnumbered paragraph 1, Code 2015, is amended to read as follows:

   “Targeted small business” means a small business which is fifty-one percent or more owned, operated, and actively managed by one or more women, minority persons, service-disabled veterans, or persons with a disability provided the business meets all of the following requirements:
    Sec. 2.  Section 15.102, subsection 10, paragraph b, Code 2015, is amended by adding the following new subparagraph:
   NEW SUBPARAGRAPH.  (4)  “Service-disabled veteran” means the same as defined in 15 U.S.C. §632.
    Sec. 3.  Section 73.14, subsection 1, Code 2015, is amended to read as follows:
   1.  The state, board of regents institutions, counties, townships, school districts, community colleges, cities, and other public entities, and every person acting as contracting agent for any such entity, shall, when issuing bonds or other obligations, make a good-faith effort to utilize minority-owned, service-disabled veteran-owned, and female-owned businesses for attorneys, accountants, financial advisors, banks, underwriters, insurers, and other occupations necessary to carry out the issuance of bonds or other obligations by the entity.
    Sec. 4.  Section 73.14, subsection 2, Code 2015, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  c.  “Service-disabled veteran-owned business” means a business that is fifty-one percent or more owned, operated, and actively managed by one or more service-disabled veterans, as defined in 15 U.S.C. §632.
    Sec. 5.  Section 73.16, subsection 2, paragraph d, Code 2015, is amended to read as follows:
   d.  Of the total value of anticipated procurements of goods and services under this subsection, an additional goal shall be established to procure at least forty percent from minority-owned businesses, and forty percent from female-owned businesses and forty percent from service-disabled veteran-owned businesses, as defined in section 73.14, that are targeted small businesses.
EXPLANATION
The inclusion of this explanation does not constitute agreement with

the explanation’s substance by the members of the general assembly.
   This bill relates to service-disabled veteran-owned businesses by establishing certain state procurement goals and preferences in government contracting and by expanding the definition of a targeted small business to include such businesses.
   Under current law the state, board of regents institutions, counties, townships, school districts, community colleges, cities, and other public entities, and every person acting as contracting agent for such entities, are required to make a good-faith effort to utilize minority-owned and female-owned businesses for attorneys, accountants, financial advisors, banks, underwriters, insurers, and other occupations necessary to carry out the issuance of bonds or other obligations. The bill requires that such entities also make a good-faith effort to utilize service-disabled veteran-owned businesses in such instances.
   Current law also requires the establishment of procurement goals from certified targeted small businesses. Current law also establishes a goal that at least 40 percent of the total value of anticipated procurements from certified targeted small businesses be procured from minority-owned businesses and 40 percent from female-owned businesses. The bill establishes an additional goal that at least 40 percent of the total value of anticipated procurements from certified targeted small businesses be procured from service-disabled veteran-owned businesses.