SB284: Bill Text

LRB-3350/1

EVM:kjf

2019 - 2020 LEGISLATURE

2019 Senate BILL 284

June 7, 2019 - Introduced by Senators Craig, Jacque, Nass, Stroebel and Bernier, cosponsored by Representatives Sanfelippo, Brandtjen, Dittrich, Gundrum, Hutton, Jagler, Knodl, Kuglitsch, Magnafici, Neylon, Ott, Quinn, Ramthun, Sortwell, Tusler, Wichgers and Plumer. Referred to Committee on Transportation, Veterans and Military Affairs.

SB284,1,2 An Act to amend 84.06 (2) (a); and to create 84.06 (2) (c) of the statutes; relating to: bidding procedures for highway improvements.

Analysis by the Legislative Reference Bureau

Under current law, highway improvement projects undertaken by the Department of Transportation, with limited exceptions, must be executed by contract based on bids. Under this bill, with an exception, if only one bid from a competent bidder is received for a contract and the bid is in excess of 110 percent of the estimated reasonable value of the work, DOT must reject the bid and readvertise the contract for bids in a manner likely to increase the number of bidders.

For further information see the state fiscal estimate, which will be printed as an appendix to this bill.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

SB284,1 Section 1. 84.06 (2) (a) of the statutes is amended to read:

SB284,2,17 84.06 (2) (a) All such highway improvements shall be executed by contract based on bids unless the department finds that another method as provided in sub. (3) or (4) would be more feasible and advantageous. Bids shall be advertised for in the manner determined by the department. Except as provided in par. (c) and s. 84.075, the contract shall be awarded to the lowest competent and responsible bidder as determined by the department. If the bid of the lowest competent bidder is determined by the department to be in excess of the estimated reasonable value of the work or not in the public interest, all bids may be rejected. The department shall, so far as reasonable, follow uniform methods of advertising for bids and may prescribe and require uniform forms of bids and contracts. Except as provided in par. (b), the secretary shall enter into the contract on behalf of the state. Every such contract is exempted from ss. 16.70 to 16.75, 16.755 to 16.82, 16.87 and 16.89, but ss. 16.528, 16.752, 16.753, and 16.754 apply to the contract. Any such contract involving an expenditure of $1,000 or more shall not be valid until approved by the governor. The secretary may require the attorney general to examine any contract and any bond submitted in connection with the contract and report on its sufficiency of form and execution. The bond required by s. 779.14 (1m) is exempt from approval by the governor and shall be subject to approval by the secretary. This subsection also applies to contracts with private contractors based on bids for maintenance under s. 84.07.

SB284,2 Section 2. 84.06 (2) (c) of the statutes is created to read:

SB284,3,2 84.06 (2) (c) Except as provided in the paragraph, if the department receives only one bid for a contract from a competent bidder and the bid exceeds 110 percent of the estimated reasonable value of the work under the contract, as determined by the department, the department shall reject the bid and readvertise the contract for bids. Notwithstanding par. (b), if the department readvertises for bids under this paragraph, it shall advertise in a manner likely to increase the number of bidders. If the department determines that readvertising the contract for bids will adversely affect public safety, the department may award the contract to the sole bidder if, upon request, the joint committee on finance approves the award.

SB284,3 Section 3. Initial applicability.

SB284,3,5 (1) This act first applies to a contract advertised for bids on the effective date of this subsection.

SB284,3,6 (End)