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HB1067 • 2026

Rural Health Transformation Program; vendors and entities selected to provide goods and services under are subject to a competitive bidding process.

AN ACT TO PROVIDE THAT VENDORS, SUBCONTRACTORS OR OTHER ENTITIES SELECTED TO PROVIDE GOODS, PRODUCTS OR SERVICES TO THE STATE THROUGH FUNDING FROM THE RURAL HEALTH TRANSFORMATION PROGRAM SHALL BE SUBJECT TO A COMPETITIVE BID PROCESS; TO PROVIDE THAT GOODS, PRODUCTS OR SERVICES PROVIDED TO SUBGRANTEES THROUGH A GRANT PROGRAM THAT IS FUNDED BY THE RURAL HEALTH TRANSFORMATION PROGRAM AND ADMINISTERED BY A PUBLIC AGENCY OR A VENDOR, SUBCONTRACTOR OR OTHER ENTITY SUBJECT TO OVERSIGHT BY A PUBLIC AGENCY SHALL NOT BE REQUIRED TO BE PROCURED THROUGH A COMPETITIVE BID PROCESS; TO PROVIDE AN ORDER OF PRIORITY TO USE IN SELECTING SUBGRANTEES FOR RECEIPT OF GOODS, PRODUCTS AND SERVICES; TO PROVIDE THAT ANY VENDOR, SUBCONTRACTOR OR OTHER ENTITY SELECTED TO ADMINISTER A GRANT PROGRAM THAT IS FUNDED BY THE RURAL HEALTH TRANSFORMATION PROGRAM AND SUBJECT TO OVERSIGHT BY A PUBLIC AGENCY SHALL BE REQUIRED TO BE SELECTED THROUGH THE COMPETITIVE BID PROCESS; TO BRING FORWARD SECTION 31-7-13, MISSISSIPPI CODE OF 1972, FOR THE PURPOSE OF POSSIBLE AMENDMENT; AND FOR RELATED PURPOSES.

Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor
Creekmore IV, Scott
Last action
2026-03-30
Official status
Dead
Effective date
Passage

Plain English Breakdown

The bill did not become law and its exact impact is unknown.

Rural Health Transformation Program Competitive Bidding Act

This act requires vendors and entities providing goods and services through the Rural Health Transformation Program to go through a competitive bidding process, except for certain subgrantees.

What This Bill Does

  • Requires all vendors and entities selected to provide goods or services funded by the Rural Health Transformation Program to follow a competitive bidding process.
  • Exempts subgrantees from needing to use competitive bidding when receiving grants from public agencies or entities under oversight of a public agency.
  • Prioritizes certain areas for grant funding, such as super rural zip codes and counties with high health needs.
  • Requires that any entity chosen to manage a grant program funded by the Rural Health Transformation Program must go through a competitive bidding process.

Who It Names or Affects

  • Vendors and entities providing goods or services under the Rural Health Transformation Program
  • Subgrantees receiving grants from public agencies or entities under oversight of a public agency

Terms To Know

Competitive bidding process
A method where multiple vendors submit bids to provide goods, products, or services, and the lowest bidder is chosen.
Subgrantees
Organizations that receive grants from a primary grant recipient (like a state agency) to carry out specific projects.

Limits and Unknowns

  • The bill died in conference, so it did not become law.
  • Specific details about the competitive bidding process are referenced but not fully detailed in this summary.

Bill History

  1. 2026-03-30 Mississippi Legislative Bill Status System

    03/30 (H) Died In Conference

  2. 2026-03-26 Mississippi Legislative Bill Status System

    03/26 (S) Conferees Named Bryan,Hill,DeBar

  3. 2026-03-23 Mississippi Legislative Bill Status System

    03/23 (H) Conferees Named Creekmore IV,Felsher,McGee

  4. 2026-03-17 Mississippi Legislative Bill Status System

    03/17 (H) Decline to Concur/Invite Conf

  5. 2026-03-12 Mississippi Legislative Bill Status System

    03/12 (S) Returned For Concurrence

  6. 2026-03-11 Mississippi Legislative Bill Status System

    03/11 (S) Passed As Amended

  7. 2026-03-11 Mississippi Legislative Bill Status System

    03/11 (S) Amended

  8. 2026-03-03 Mississippi Legislative Bill Status System

    03/03 (S) Title Suff Do Pass As Amended

  9. 2026-02-13 Mississippi Legislative Bill Status System

    02/13 (S) Referred To Public Health and Welfare

  10. 2026-02-05 Mississippi Legislative Bill Status System

    02/05 (H) Transmitted To Senate

  11. 2026-02-04 Mississippi Legislative Bill Status System

    02/04 (H) Passed

  12. 2026-01-22 Mississippi Legislative Bill Status System

    01/22 (H) Title Suff Do Pass

  13. 2026-01-16 Mississippi Legislative Bill Status System

    01/16 (H) Referred To Public Health and Human Services

Official Summary Text

Rural Health Transformation Program; vendors and entities selected to provide goods and services under are subject to a competitive bidding process.

Current Bill Text

Read the full stored bill text
H. B. No. 1067 *HR43/R1922* ~ OFFICIAL ~ G1/2
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To: Public Health and Human
Services
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Representatives Creekmore IV, Scott

HOUSE BILL NO. 1067

AN ACT TO PROVIDE THAT VENDORS, SUBCONTRACTORS OR OTHER 1
ENTITIES SELECTED TO PROVIDE GOODS, PRODUCTS OR SERVICES TO THE 2
STATE THROUGH FUNDING FROM THE RURAL HEALTH TRANSFORMATION PROGRAM 3
SHALL BE SUBJECT TO A COMPETITIVE BID PROCESS; TO PROVIDE THAT 4
GOODS, PRODUCTS OR SERVICES PROVIDED TO SUBGRANTEES THROUGH A 5
GRANT PROGRAM THAT IS FUNDED BY THE RURAL HEALTH TRANSFORMATION 6
PROGRAM AND ADMINISTERED BY A PUBLIC AGENCY OR A VENDOR, 7
SUBCONTRACTOR OR OTHER ENTITY SUBJECT TO OVERSIGHT BY A PUBLIC 8
AGENCY SHALL NOT BE REQUIRED TO BE PROCURED THROUGH A COMPETITIVE 9
BID PROCESS; TO PROVIDE AN ORDER OF PRIORITY TO USE IN SELECTING 10
SUBGRANTEES FOR RECEIPT OF GOODS, PRODUCTS AND SERVICES; TO 11
PROVIDE THAT ANY VENDOR, SUBCONTRACTOR OR OTHER ENTITY SELECTED TO 12
ADMINISTER A GRANT PROGRAM THAT IS FUNDED BY THE RURAL HEALTH 13
TRANSFORMATION PROGRAM AND SUBJECT TO OVERSIGHT BY A PUBLIC AGENCY 14
SHALL BE REQUIRED TO BE SELECTED THROUGH THE COMPETITIVE BID 15
PROCESS; TO BRING FORWARD SECTION 31-7-13, MISSISSIPPI CODE OF 16
1972, FOR THE PURPOSE OF POSSIBLE AMENDMENT; AND FOR RELATED 17
PURPOSES. 18
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 19
SECTION 1. (1) All vendors, subcontractors or other 20
entities selected to provide goods, products or services to the 21
state that are funded, in whole or in part, through the Rural 22
Health Transformation Program, Public Law No. 119-21, shall be 23
subject to the requirements of subsections (2) or (3) of this 24
section, as applicable. 25
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(2) (a) Vendors, subcontractors or other entities selected 26
to provide goods, products or services to the state through, in 27
whole or in part, funding from the Rural Health Transformation 28
Program, Public Law No. 119-21, shall be subject to a competitive 29
bid process pursuant to Section 31-7-13(c) et seq. Such vendors 30
shall not be selected through the emergency purchase procedure 31
provided in Section 31-7-13(j) or through any of the exceptions 32
from bidding requirements as provided for in Section 31-7-13(m). 33
This provision shall also apply to vendors, subcontractors or 34
other entities selected by the state to administer, in whole or in 35
part, grant programs that are funded, in whole or in part, by the 36
Rural Health Transformation Program, Public Law No. 119-21. 37
(b) Goods, products or services provided by vendors, 38
subcontractors or other entities subject to the competitive bid 39
process described in subsection (2)(a) of this section shall 40
include, but not be limited to, any: 41
(i) Comprehensive statewide assessment of rural 42
health needs; 43
(ii) Purchase of equipment, software, hardware or 44
other technology; 45
(iii) Educational, workforce or community 46
engagement programming for health care professionals, patients, 47
caregivers or other related parties; and 48
(iv) Designation or implementation, in pilot form 49
or otherwise, of a health information exchange system. 50
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(3) (a) Goods, products or services provided to subgrantees 51
through a grant program that is funded by, in whole or in part, 52
the Rural Health Transformation Program, Public Law No. 119-21, 53
and administered by a public agency or a vendor, subcontractor or 54
other entity subject to oversight by a public agency, shall not be 55
required to be procured through a competitive bid process, as 56
described in subsection (2) of this section. 57
(b) Goods, products or services provided by vendors, 58
subcontractors or other entities to subgrantees through a grant 59
program described in subsection (3)(a) of this section shall 60
include, but not be limited to, any: 61
(i) Workforce development programs, including, but 62
not limited to, the creation of new or expansion of current 63
residency or fellowship, retention, and preceptor programs; 64
(ii) Purchase, upgrade or replacement of software, 65
hardware or other technology platforms including electronic health 66
records systems, cybersecurity protections or telehealth 67
equipment; and 68
(iii) Medical equipment acquisition or upgrades, 69
or capital expenditures including, but not limited to, facility 70
upgrades and clinic expansions. 71
(c) In selecting subgrantees for goods, products and 72
services described in subsection (3)(a) and (b) of this section, 73
priority shall be provided to subgrantees located in: 74
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(i) Super rural zip codes as designated by the 75
Centers for Medicare and Medicaid Services; 76
(ii) Counties designated as Health Professional 77
Shortage Areas in primary care by the federal Health Resources and 78
Services Administration; 79
(iii) Counties with the highest maternal and 80
infant mortality rates in the state, as provided by the State 81
Department of Health, or lacking obstetric services; 82
(iv) Counties with per capita incomes at 83
Forty-five Thousand Dollars ($45,000.00) or less, as provided by 84
the Department of Employment Security; 85
(v) Counties with a hospital receiving federal 86
Disproportionate Share Hospital (DSH) payments from the Centers 87
for Medicare and Medicaid Service; 88
(vi) Counties lacking a hospital presence, or 89
containing only a rural emergency hospital or critical access 90
hospital; and 91
(vii) Areas outside of a metropolitan statistical 92
area as determined by the federal Office of Management and Budget. 93
(d) In any grant program for medical equipment 94
acquisition or upgrades or capital expenditures that are funded 95
by, in whole or in part, the Rural Health Transformation Program, 96
Public Law No. 119-21, subgrantees that have not received a direct 97
state or federal appropriation for medical equipment or capital 98
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expenditures in the past five (5) years shall receive priority for 99
a grant award. 100
(e) Any vendor, subcontractor or other entity selected 101
to administer a grant program described in this subsection (3) of 102
this section, that is funded by, in whole or in part, the Rural 103
Health Transformation Program, Public Law No. 119-21, and subject 104
to oversight by a public agency, shall be required to be selected 105
through the competitive bid process described in subsection (2)(a) 106
of this section. 107
(4) Every agency that awards grants or funds derived from 108
the Rural Health Transformation Program shall provide quarterly 109
reports to the Legislature on funds awarded to subgrantees and any 110
other funds expended from the Rural Health Transformation Program. 111
SECTION 2. Section 31-7-13, Mississippi Code of 1972, is 112
brought forward as follows: 113
31-7-13. All agencies and governing authorities shall 114
purchase their commodities and printing; contract for garbage 115
collection or disposal; contract for solid waste collection or 116
disposal; contract for sewage collection or disposal; contract for 117
public construction; and contract for rentals as herein provided. 118
(a) Bidding procedure for purchases not over $5,000.00. 119
Purchases which do not involve an expenditure of more than Five 120
Thousand Dollars ($5,000.00), exclusive of freight or shipping 121
charges, may be made without advertising or otherwise requesting 122
competitive bids. However, nothing contained in this paragraph 123
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(a) shall be construed to prohibit any agency or governing 124
authority from establishing procedures which require competitive 125
bids on purchases of Five Thousand Dollars ($5,000.00) or less. 126
(b) Bidding procedure for purchases over $5,000.00 but 127
not over $75,000.00. Purchases which involve an expenditure of 128
more than Five Thousand Dollars ($5,000.00) but not more than 129
Seventy-five Thousand Dollars ($75,000.00), exclusive of freight 130
and shipping charges, may be made from the lowest and best bidder 131
without publishing or posting advertisement for bids, provided at 132
least two (2) competitive written bids have been obtained. Any 133
state agency or community or junior college purchasing commodities 134
or procuring construction pursuant to this paragraph (b) may 135
authorize its purchasing agent, or his designee, to accept the 136
lowest competitive written bid under Seventy-five Thousand Dollars 137
($75,000.00). Any governing authority purchasing commodities 138
pursuant to this paragraph (b) may authorize its purchasing agent, 139
or his designee, with regard to governing authorities other than 140
counties, or its purchase clerk, or his designee, with regard to 141
counties, to accept the lowest and best competitive written bid. 142
Such authorization shall be made in writing by the governing 143
authority and shall be maintained on file in the primary office of 144
the agency and recorded in the official minutes of the governing 145
authority, as appropriate. The purchasing agent or the purchase 146
clerk, or his designee, as the case may be, and not the governing 147
authority, shall be liable for any penalties and/or damages as may 148
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be imposed by law for any act or omission of the purchasing agent 149
or purchase clerk, or his designee, constituting a violation of 150
law in accepting any bid without approval by the governing 151
authority. The term "competitive written bid" shall mean a bid 152
submitted on a bid form furnished by the buying agency or 153
governing authority and signed by authorized personnel 154
representing the vendor, or a bid submitted on a vendor's 155
letterhead or identifiable bid form and signed by authorized 156
personnel representing the vendor. "Competitive" shall mean that 157
the bids are developed based upon comparable identification of the 158
needs and are developed independently and without knowledge of 159
other bids or prospective bids. Any bid item for construction in 160
excess of Five Thousand Dollars ($5,000.00) shall be broken down 161
by components to provide detail of component description and 162
pricing. These details shall be submitted with the written bids 163
and become part of the bid evaluation criteria. Bids may be 164
submitted by facsimile, electronic mail or other generally 165
accepted method of information distribution. Bids submitted by 166
electronic transmission shall not require the signature of the 167
vendor's representative unless required by agencies or governing 168
authorities. 169
(c) Bidding procedure for purchases over $75,000.00. 170
(i) Publication requirement. 171
1. Purchases which involve an expenditure of 172
more than Seventy-five Thousand Dollars ($75,000.00), exclusive of 173
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freight and shipping charges, may be made from the lowest and best 174
bidder after advertising for competitive bids once each week for 175
two (2) consecutive weeks in a regular newspaper published in the 176
county or municipality in which such agency or governing authority 177
is located. However, all American Recovery and Reinvestment Act 178
projects in excess of Twenty-five Thousand Dollars ($25,000.00) 179
shall be bid. All references to American Recovery and 180
Reinvestment Act projects in this section shall not apply to 181
programs identified in Division B of the American Recovery and 182
Reinvestment Act. 183
2. Reverse auctions shall be the primary 184
method for receiving bids during the bidding process. If a 185
purchasing entity determines that a reverse auction is not in the 186
best interest of the state, then that determination must be 187
approved by the Public Procurement Review Board. The purchasing 188
entity shall submit a detailed explanation of why a reverse 189
auction would not be in the best interest of the state and present 190
an alternative process to be approved by the Public Procurement 191
Review Board. If the Public Procurement Review Board authorizes 192
the purchasing entity to solicit bids with a method other than 193
reverse auction, then the purchasing entity may designate the 194
other methods by which the bids will be received, including, but 195
not limited to, bids sealed in an envelope, bids received 196
electronically in a secure system, or bids received by any other 197
method that promotes open competition and has been approved by the 198
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Office of Purchasing and Travel. However, reverse auction shall 199
not be used for any public contract for design, construction, 200
improvement, repair or remodeling of any public facilities, 201
including the purchase of materials, supplies, equipment or goods 202
for same and including buildings, roads and bridges. The Public 203
Procurement Review Board must approve any contract entered into by 204
alternative process. The provisions of this item 2 shall not 205
apply to the individual state institutions of higher learning. 206
The provisions of this item 2 requiring reverse auction as the 207
primary method of receiving bids shall not apply to term contract 208
purchases as provided in paragraph (n) of this section; however, a 209
purchasing entity may, in its discretion, utilize reverse auction 210
for such purchases. The provisions of this item 2 shall not apply 211
to individual public schools, including public charter schools and 212
public school districts, only when purchasing copyrighted 213
educational supplemental materials and software as a service 214
product. For such purchases, a local school board may authorize a 215
purchasing entity in its jurisdiction to use a Request for 216
Qualifications which promotes open competition and meets the 217
requirements of the Office of Purchasing and Travel. 218
3. The date as published for the bid opening 219
shall not be less than seven (7) working days after the last 220
published notice; however, if the purchase involves a construction 221
project in which the estimated cost is in excess of Seventy-five 222
Thousand Dollars ($75,000.00), such bids shall not be opened in 223
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less than fifteen (15) working days after the last notice is 224
published and the notice for the purchase of such construction 225
shall be published once each week for two (2) consecutive weeks. 226
The notice of intention to let contracts or purchase equipment 227
shall state the time and place at which bids shall be received, 228
list the contracts to be made or types of equipment or supplies to 229
be purchased, and, if all plans and/or specifications are not 230
published, refer to the plans and/or specifications on file. If 231
there is no newspaper published in the county or municipality, 232
then such notice shall be given by posting same at the courthouse, 233
or for municipalities at the city hall, and at two (2) other 234
public places in the county or municipality, and also by 235
publication once each week for two (2) consecutive weeks in some 236
newspaper having a general circulation in the county or 237
municipality in the above-provided manner. On the same date that 238
the notice is submitted to the newspaper for publication, the 239
agency or governing authority involved shall mail written notice 240
to, or provide electronic notification to the main office of the 241
Mississippi Procurement Technical Assistance Program under the 242
Mississippi Development Authority that contains the same 243
information as that in the published notice. Within one (1) 244
working day of the contract award, the agency or governing 245
authority shall post to the designated web page maintained by the 246
Department of Finance and Administration, notice of the award, 247
including the award recipient, the contract amount, and a brief 248
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summary of the contract in accordance with rules promulgated by 249
the department. Within one (1) working day of the contract 250
execution, the agency or governing authority shall post to the 251
designated web page maintained by the Department of Finance and 252
Administration a summary of the executed contract and make a copy 253
of the appropriately redacted contract documents available for 254
linking to the designated web page in accordance with the rules 255
promulgated by the department. The information provided by the 256
agency or governing authority shall be posted to the web page 257
until the project is completed. 258
4. Agencies and governing authorities using 259
federal funds for the procurement of any good or service, 260
including exempt personal and professional services, must comply 261
with the Uniform Administrative Requirements, Cost Principles, and 262
Audit Requirements for Federal Awards - Subpart D - Post Federal 263
Award Requirements Procurement Standards, in accordance with 2 CFR 264
200.317 through 2 CFR 200.327. 265
(ii) Bidding process amendment procedure. If all 266
plans and/or specifications are published in the notification, 267
then the plans and/or specifications may not be amended. If all 268
plans and/or specifications are not published in the notification, 269
then amendments to the plans/specifications, bid opening date, bid 270
opening time and place may be made, provided that the agency or 271
governing authority maintains a list of all prospective bidders 272
who are known to have received a copy of the bid documents and all 273
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such prospective bidders are sent copies of all amendments. This 274
notification of amendments may be made via mail, facsimile, 275
electronic mail or other generally accepted method of information 276
distribution. No addendum to bid specifications may be issued 277
within two (2) working days of the time established for the 278
receipt of bids unless such addendum also amends the bid opening 279
to a date not less than five (5) working days after the date of 280
the addendum. 281
(iii) Filing requirement. In all cases involving 282
governing authorities, before the notice shall be published or 283
posted, the plans or specifications for the construction or 284
equipment being sought shall be filed with the clerk of the board 285
of the governing authority. In addition to these requirements, a 286
bid file shall be established which shall indicate those vendors 287
to whom such solicitations and specifications were issued, and 288
such file shall also contain such information as is pertinent to 289
the bid. 290
(iv) Specification restrictions. 291
1. Specifications pertinent to such bidding 292
shall be written so as not to exclude comparable equipment of 293
domestic manufacture. However, if valid justification is 294
presented, the Department of Finance and Administration or the 295
board of a governing authority may approve a request for specific 296
equipment necessary to perform a specific job. Further, such 297
justification, when placed on the minutes of the board of a 298
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governing authority, may serve as authority for that governing 299
authority to write specifications to require a specific item of 300
equipment needed to perform a specific job. In addition to these 301
requirements, from and after July 1, 1990, vendors of relocatable 302
classrooms and the specifications for the purchase of such 303
relocatable classrooms published by local school boards shall meet 304
all pertinent regulations of the State Board of Education, 305
including prior approval of such bid by the State Department of 306
Education. 307
2. Specifications for construction projects 308
may include an allowance for commodities, equipment, furniture, 309
construction materials or systems in which prospective bidders are 310
instructed to include in their bids specified amounts for such 311
items so long as the allowance items are acquired by the vendor in 312
a commercially reasonable manner and approved by the 313
agency/governing authority. Such acquisitions shall not be made 314
to circumvent the public purchasing laws. 315
(v) Electronic bids. Agencies and governing 316
authorities shall provide a secure electronic interactive system 317
for the submittal of bids requiring competitive bidding that shall 318
be an additional bidding option for those bidders who choose to 319
submit their bids electronically. The Department of Finance and 320
Administration shall provide, by regulation, the standards that 321
agencies must follow when receiving electronic bids. Agencies and 322
governing authorities shall make the appropriate provisions 323
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necessary to accept electronic bids from those bidders who choose 324
to submit their bids electronically for all purchases requiring 325
competitive bidding under this section. Any special condition or 326
requirement for the electronic bid submission shall be specified 327
in the advertisement for bids required by this section. Agencies 328
or governing authorities that are currently without available high 329
speed Internet access shall be exempt from the requirement of this 330
subparagraph (v) until such time that high speed Internet access 331
becomes available. Any county having a population of less than 332
twenty thousand (20,000) shall be exempt from the provisions of 333
this subparagraph (v). Any municipality having a population of 334
less than ten thousand (10,000) shall be exempt from the 335
provisions of this subparagraph (v). The provisions of this 336
subparagraph (v) shall not require any bidder to submit bids 337
electronically. When construction bids are submitted 338
electronically, the requirement for including a certificate of 339
responsibility, or a statement that the bid enclosed does not 340
exceed Fifty Thousand Dollars ($50,000.00), on the exterior of the 341
bid envelope as indicated in Section 31-3-21(1) and (2) shall be 342
deemed in compliance with by including same as an attachment with 343
the electronic bid submittal. 344
(d) Lowest and best bid decision procedure. 345
(i) Decision procedure. Purchases may be made 346
from the lowest and best bidder. In determining the lowest and 347
best bid, freight and shipping charges shall be included. 348
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Life-cycle costing, total cost bids, warranties, guaranteed 349
buy-back provisions and other relevant provisions may be included 350
in the best bid calculation. All best bid procedures for state 351
agencies must be in compliance with regulations established by the 352
Department of Finance and Administration. If any governing 353
authority accepts a bid other than the lowest bid actually 354
submitted, it shall place on its minutes detailed calculations and 355
narrative summary showing that the accepted bid was determined to 356
be the lowest and best bid, including the dollar amount of the 357
accepted bid and the dollar amount of the lowest bid. No agency 358
or governing authority shall accept a bid based on items not 359
included in the specifications. 360
(ii) Decision procedure for Certified Purchasing 361
Offices. In addition to the decision procedure set forth in 362
subparagraph (i) of this paragraph (d), Certified Purchasing 363
Offices may also use the following procedure: Purchases may be 364
made from the bidder offering the best value. In determining the 365
best value bid, freight and shipping charges shall be included. 366
Life-cycle costing, total cost bids, warranties, guaranteed 367
buy-back provisions, documented previous experience, training 368
costs and other relevant provisions, including, but not limited 369
to, a bidder having a local office and inventory located within 370
the jurisdiction of the governing authority, may be included in 371
the best value calculation. This provision shall authorize 372
Certified Purchasing Offices to utilize a Request For Proposals 373
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(RFP) process when purchasing commodities. All best value 374
procedures for state agencies must be in compliance with 375
regulations established by the Department of Finance and 376
Administration. No agency or governing authority shall accept a 377
bid based on items or criteria not included in the specifications. 378
(iii) Decision procedure for Prequalified 379
Construction. In addition to the decision procedure set forth in 380
subparagraph (i) of this paragraph (d), where purchase involves 381
renovation, restoration, or both, of the State Capitol Building or 382
any other historical building designated for at least five (5) 383
years as a Mississippi Landmark by the Board of Trustees of the 384
Department of Archives and History under the authority of Sections 385
39-7-7 and 39-7-11, or for any other construction procurement with 386
a minimum construction cost of Ten Million Dollars 387
($10,000,000.00) where the agency or governing authority has 388
determined that prequalification of bidders is in the best 389
interest of the state, the agency or governing authority may use 390
the following procedure: Purchases may be made from the lowest 391
and best prequalified bidder. Solicitation of the 392
prequalification of bidders shall be in accordance with paragraph 393
(c) of this section and shall be determined not less than fifteen 394
(15) working days before the prequalified bidders are invited to 395
submit bids. Prequalification criteria shall be limited to 396
bidder's and proposed sub-contractor's knowledge and experience on 397
projects of similar size and scope, past performance, project 398
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management team and financial stability. All best bid and 399
prequalification procedures for state agencies must be in 400
compliance with regulations established by the Department of 401
Finance and Administration. If any governing authority accepts a 402
bid other than the lowest bid actually submitted, it shall place 403
on its minutes detailed calculations and narrative summary showing 404
that the accepted bid was determined to be the lowest and best 405
bid, including the dollar amount of the accepted bid and the 406
dollar amount of the lowest bid. No agency or governing authority 407
shall accept a bid based on items not included in the 408
specifications. 409
(iv) Construction project negotiations authority. 410
If the lowest and best bid is not more than ten percent (10%) 411
above the amount of funds allocated for a public construction or 412
renovation project, then the agency or governing authority shall 413
be permitted to negotiate with the lowest bidder in order to enter 414
into a contract for an amount not to exceed the funds allocated. 415
(e) Lease-purchase authorization. For the purposes of 416
this section, the term "equipment" shall mean equipment, furniture 417
and, if applicable, associated software and other applicable 418
direct costs associated with the acquisition. Any lease-purchase 419
of equipment which an agency is not required to lease-purchase 420
under the master lease-purchase program pursuant to Section 421
31-7-10 and any lease-purchase of equipment which a governing 422
authority elects to lease-purchase may be acquired by a 423
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lease-purchase agreement under this paragraph (e). Lease-purchase 424
financing may also be obtained from the vendor or from a 425
third-party source after having solicited and obtained at least 426
two (2) written competitive bids, as defined in paragraph (b) of 427
this section, for such financing without advertising for such 428
bids. Solicitation for the bids for financing may occur before or 429
after acceptance of bids for the purchase of such equipment or, 430
where no such bids for purchase are required, at any time before 431
the purchase thereof. No such lease-purchase agreement shall be 432
for an annual rate of interest which is greater than the overall 433
maximum interest rate to maturity on general obligation 434
indebtedness permitted under Section 75-17-101, and the term of 435
such lease-purchase agreement shall not exceed the useful life of 436
equipment covered thereby as determined according to the upper 437
limit of the asset depreciation range (ADR) guidelines for the 438
Class Life Asset Depreciation Range System established by the 439
Internal Revenue Service pursuant to the United States Internal 440
Revenue Code and regulations thereunder as in effect on December 441
31, 1980, or comparable depreciation guidelines with respect to 442
any equipment not covered by ADR guidelines. Any lease-purchase 443
agreement entered into pursuant to this paragraph (e) may contain 444
any of the terms and conditions which a master lease-purchase 445
agreement may contain under the provisions of Section 31-7-10(5), 446
and shall contain an annual allocation dependency clause 447
substantially similar to that set forth in Section 31-7-10(8). 448
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Each agency or governing authority entering into a lease-purchase 449
transaction pursuant to this paragraph (e) shall maintain with 450
respect to each such lease-purchase transaction the same 451
information as required to be maintained by the Department of 452
Finance and Administration pursuant to Section 31-7-10(13). 453
However, nothing contained in this section shall be construed to 454
permit agencies to acquire items of equipment with a total 455
acquisition cost in the aggregate of less than Ten Thousand 456
Dollars ($10,000.00) by a single lease-purchase transaction. All 457
equipment, and the purchase thereof by any lessor, acquired by 458
lease-purchase under this paragraph and all lease-purchase 459
payments with respect thereto shall be exempt from all Mississippi 460
sales, use and ad valorem taxes. Interest paid on any 461
lease-purchase agreement under this section shall be exempt from 462
State of Mississippi income taxation. 463
(f) Alternate bid authorization. When necessary to 464
ensure ready availability of commodities for public works and the 465
timely completion of public projects, no more than two (2) 466
alternate bids may be accepted by a governing authority for 467
commodities. No purchases may be made through use of such 468
alternate bids procedure unless the lowest and best bidder cannot 469
deliver the commodities contained in his bid. In that event, 470
purchases of such commodities may be made from one (1) of the 471
bidders whose bid was accepted as an alternate. 472
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(g) Construction contract change authorization. In the 473
event a determination is made by an agency or governing authority 474
after a construction contract is let that changes or modifications 475
to the original contract are necessary or would better serve the 476
purpose of the agency or the governing authority, such agency or 477
governing authority may, in its discretion, order such changes 478
pertaining to the construction that are necessary under the 479
circumstances without the necessity of further public bids; 480
provided that such change shall be made in a commercially 481
reasonable manner and shall not be made to circumvent the public 482
purchasing statutes. In addition to any other authorized person, 483
the architect or engineer hired by an agency or governing 484
authority with respect to any public construction contract shall 485
have the authority, when granted by an agency or governing 486
authority, to authorize changes or modifications to the original 487
contract without the necessity of prior approval of the agency or 488
governing authority when any such change or modification is less 489
than one percent (1%) of the total contract amount. The agency or 490
governing authority may limit the number, manner or frequency of 491
such emergency changes or modifications. 492
(h) Petroleum purchase alternative. In addition to 493
other methods of purchasing authorized in this chapter, when any 494
agency or governing authority shall have a need for gas, diesel 495
fuel, oils and/or other petroleum products in excess of the amount 496
set forth in paragraph (a) of this section, such agency or 497
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governing authority may purchase the commodity after having 498
solicited and obtained at least two (2) competitive written bids, 499
as defined in paragraph (b) of this section. If two (2) 500
competitive written bids are not obtained, the entity shall comply 501
with the procedures set forth in paragraph (c) of this section. 502
In the event any agency or governing authority shall have 503
advertised for bids for the purchase of gas, diesel fuel, oils and 504
other petroleum products and coal and no acceptable bids can be 505
obtained, such agency or governing authority is authorized and 506
directed to enter into any negotiations necessary to secure the 507
lowest and best contract available for the purchase of such 508
commodities. 509
(i) Road construction petroleum products price 510
adjustment clause authorization. Any agency or governing 511
authority authorized to enter into contracts for the construction, 512
maintenance, surfacing or repair of highways, roads or streets, 513
may include in its bid proposal and contract documents a price 514
adjustment clause with relation to the cost to the contractor, 515
including taxes, based upon an industry-wide cost index, of 516
petroleum products including asphalt used in the performance or 517
execution of the contract or in the production or manufacture of 518
materials for use in such performance. Such industry-wide index 519
shall be established and published monthly by the Mississippi 520
Department of Transportation with a copy thereof to be mailed, 521
upon request, to the clerks of the governing authority of each 522
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municipality and the clerks of each board of supervisors 523
throughout the state. The price adjustment clause shall be based 524
on the cost of such petroleum products only and shall not include 525
any additional profit or overhead as part of the adjustment. The 526
bid proposals or document contract shall contain the basis and 527
methods of adjusting unit prices for the change in the cost of 528
such petroleum products. 529
(j) State agency emergency purchase procedure. If the 530
governing board or the executive head, or his designees, of any 531
agency of the state shall determine that an emergency exists in 532
regard to the purchase of any commodities or repair contracts, so 533
that the delay incident to giving opportunity for competitive 534
bidding would be detrimental to the interests of the state, then 535
the head of such agency, or his designees, shall file with the 536
Department of Finance and Administration (i) a statement 537
explaining the conditions and circumstances of the emergency, 538
which shall include a detailed description of the events leading 539
up to the situation and the negative impact to the entity if the 540
purchase is made following the statutory requirements set forth in 541
paragraph (a), (b) or (c) of this section, and (ii) a certified 542
copy of the appropriate minutes of the board of such agency 543
requesting the emergency purchase, if applicable. Upon receipt of 544
the statement and applicable board certification, the State Fiscal 545
Officer, or his designees, may, in writing, authorize the purchase 546
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or repair without having to comply with competitive bidding 547
requirements. 548
If the governing board or the executive head, or his 549
designees, of any agency determines that an emergency exists in 550
regard to the purchase of any commodities or repair contracts, so 551
that the delay incident to giving opportunity for competitive 552
bidding would threaten the health or safety of any person, or the 553
preservation or protection of property, then the provisions in 554
this section for competitive bidding shall not apply, and any 555
officer or agent of the agency having general or specific 556
authority for making the purchase or repair contract shall approve 557
the bill presented for payment, and he shall certify in writing 558
from whom the purchase was made, or with whom the repair contract 559
was made. 560
Total purchases made under this paragraph (j) shall only be 561
for the purpose of meeting needs created by the emergency 562
situation. Following the emergency purchase, documentation of the 563
purchase, including a description of the commodity purchased, the 564
purchase price thereof and the nature of the emergency shall be 565
filed with the Department of Finance and Administration. Any 566
contract awarded pursuant to this paragraph (j) shall not exceed a 567
term of one (1) year. 568
Purchases under the grant program established under Section 569
37-68-7 in response to COVID-19 and the directive that school 570
districts create a distance learning plan and fulfill technology 571
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needs expeditiously shall be deemed an emergency purchase for 572
purposes of this paragraph (j). 573
(k) Governing authority emergency purchase procedure. 574
If the governing authority, or the governing authority acting 575
through its designee, shall determine that an emergency exists in 576
regard to the purchase of any commodities or repair contracts, so 577
that the delay incident to giving opportunity for competitive 578
bidding would be detrimental to the interest of the governing 579
authority, then the provisions herein for competitive bidding 580
shall not apply and any officer or agent of such governing 581
authority having general or special authority therefor in making 582
such purchase or repair shall approve the bill presented therefor, 583
and he shall certify in writing thereon from whom such purchase 584
was made, or with whom such a repair contract was made. At the 585
board meeting next following the emergency purchase or repair 586
contract, documentation of the purchase or repair contract, 587
including a description of the commodity purchased, the price 588
thereof and the nature of the emergency shall be presented to the 589
board and shall be placed on the minutes of the board of such 590
governing authority. Purchases under the grant program 591
established under Section 37-68-7 in response to COVID-19 and the 592
directive that school districts create a distance learning plan 593
and fulfill technology needs expeditiously shall be deemed an 594
emergency purchase for purposes of this paragraph (k). 595
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(l) Hospital purchase, lease-purchase and lease 596
authorization. 597
(i) The commissioners or board of trustees of any 598
public hospital may contract with such lowest and best bidder for 599
the purchase or lease-purchase of any commodity under a contract 600
of purchase or lease-purchase agreement whose obligatory payment 601
terms do not exceed five (5) years. 602
(ii) In addition to the authority granted in 603
subparagraph (i) of this paragraph (l), the commissioners or board 604
of trustees is authorized to enter into contracts for the lease of 605
equipment or services, or both, which it considers necessary for 606
the proper care of patients if, in its opinion, it is not 607
financially feasible to purchase the necessary equipment or 608
services. Any such contract for the lease of equipment or 609
services executed by the commissioners or board shall not exceed a 610
maximum of five (5) years' duration and shall include a 611
cancellation clause based on unavailability of funds. If such 612
cancellation clause is exercised, there shall be no further 613
liability on the part of the lessee. Any such contract for the 614
lease of equipment or services executed on behalf of the 615
commissioners or board that complies with the provisions of this 616
subparagraph (ii) shall be excepted from the bid requirements set 617
forth in this section. 618
(m) Exceptions from bidding requirements. Excepted 619
from bid requirements are: 620
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(i) Purchasing agreements approved by department. 621
Purchasing agreements, contracts and maximum price regulations 622
executed or approved by the Department of Finance and 623
Administration. 624
(ii) Outside equipment repairs. Repairs to 625
equipment, when such repairs are made by repair facilities in the 626
private sector; however, engines, transmissions, rear axles and/or 627
other such components shall not be included in this exemption when 628
replaced as a complete unit instead of being repaired and the need 629
for such total component replacement is known before disassembly 630
of the component; however, invoices identifying the equipment, 631
specific repairs made, parts identified by number and name, 632
supplies used in such repairs, and the number of hours of labor 633
and costs therefor shall be required for the payment for such 634
repairs. 635
(iii) In-house equipment repairs. Purchases of 636
parts for repairs to equipment, when such repairs are made by 637
personnel of the agency or governing authority; however, entire 638
assemblies, such as engines or transmissions, shall not be 639
included in this exemption when the entire assembly is being 640
replaced instead of being repaired. 641
(iv) Raw gravel or dirt. Raw unprocessed deposits 642
of gravel or fill dirt which are to be removed and transported by 643
the purchaser. 644
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(v) Governmental equipment auctions. Motor 645
vehicles or other equipment purchased from a federal agency or 646
authority, another governing authority or state agency of the 647
State of Mississippi, or any governing authority or state agency 648
of another state at a public auction held for the purpose of 649
disposing of such vehicles or other equipment. Any purchase by a 650
governing authority under the exemption authorized by this 651
subparagraph (v) shall require advance authorization spread upon 652
the minutes of the governing authority to include the listing of 653
the item or items authorized to be purchased and the maximum bid 654
authorized to be paid for each item or items. 655
(vi) Intergovernmental sales and transfers. 656
Purchases, sales, transfers or trades by governing authorities or 657
state agencies when such purchases, sales, transfers or trades are 658
made by a private treaty agreement or through means of 659
negotiation, from any federal agency or authority, another 660
governing authority or state agency of the State of Mississippi, 661
or any state agency or governing authority of another state. 662
Nothing in this section shall permit such purchases through public 663
auction except as provided for in subparagraph (v) of this 664
paragraph (m). It is the intent of this section to allow 665
governmental entities to dispose of and/or purchase commodities 666
from other governmental entities at a price that is agreed to by 667
both parties. This shall allow for purchases and/or sales at 668
prices which may be determined to be below the market value if the 669
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selling entity determines that the sale at below market value is 670
in the best interest of the taxpayers of the state. Governing 671
authorities shall place the terms of the agreement and any 672
justification on the minutes, and state agencies shall obtain 673
approval from the Department of Finance and Administration, prior 674
to releasing or taking possession of the commodities. 675
(vii) Perishable supplies or food. Perishable 676
supplies or food purchased for use in connection with hospitals, 677
the school lunch programs, homemaking programs and for the feeding 678
of county or municipal prisoners. 679
(viii) Single-source items. Noncompetitive items 680
available from one (1) source only. In connection with the 681
purchase of noncompetitive items only available from one (1) 682
source, a certification of the conditions and circumstances 683
requiring the purchase shall be filed by the agency with the 684
Department of Finance and Administration and by the governing 685
authority with the board of the governing authority. Upon receipt 686
of that certification the Department of Finance and Administration 687
or the board of the governing authority, as the case may be, may, 688
in writing, authorize the purchase, which authority shall be noted 689
on the minutes of the body at the next regular meeting thereafter. 690
In those situations, a governing authority is not required to 691
obtain the approval of the Department of Finance and 692
Administration. Following the purchase, the executive head of the 693
state agency, or his designees, shall file with the Department of 694
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Finance and Administration, documentation of the purchase, 695
including a description of the commodity purchased, the purchase 696
price thereof and the source from whom it was purchased. 697
(ix) Waste disposal facility construction 698
contracts. Construction of incinerators and other facilities for 699
disposal of solid wastes in which products either generated 700
therein, such as steam, or recovered therefrom, such as materials 701
for recycling, are to be sold or otherwise disposed of; however, 702
in constructing such facilities, a governing authority or agency 703
shall publicly issue requests for proposals, advertised for in the 704
same manner as provided herein for seeking bids for public 705
construction projects, concerning the design, construction, 706
ownership, operation and/or maintenance of such facilities, 707
wherein such requests for proposals when issued shall contain 708
terms and conditions relating to price, financial responsibility, 709
technology, environmental compatibility, legal responsibilities 710
and such other matters as are determined by the governing 711
authority or agency to be appropriate for inclusion; and after 712
responses to the request for proposals have been duly received, 713
the governing authority or agency may select the most qualified 714
proposal or proposals on the basis of price, technology and other 715
relevant factors and from such proposals, but not limited to the 716
terms thereof, negotiate and enter contracts with one or more of 717
the persons or firms submitting proposals. 718
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(x) Hospital group purchase contracts. Supplies, 719
commodities and equipment purchased by hospitals through group 720
purchase programs pursuant to Section 31-7-38. 721
(xi) Information technology products. Purchases 722
of information technology products made by governing authorities 723
under the provisions of purchase schedules, or contracts executed 724
or approved by the Mississippi Department of Information 725
Technology Services and designated for use by governing 726
authorities. 727
(xii) Energy efficiency services and equipment. 728
Energy efficiency services and equipment acquired by school 729
districts, community and junior colleges, institutions of higher 730
learning and state agencies or other applicable governmental 731
entities on a shared-savings, lease or lease-purchase basis 732
pursuant to Section 31-7-14. 733
(xiii) Municipal electrical utility system fuel. 734
Purchases of coal and/or natural gas by municipally owned electric 735
power generating systems that have the capacity to use both coal 736
and natural gas for the generation of electric power. 737
(xiv) Library books and other reference materials. 738
Purchases by libraries or for libraries of books and periodicals; 739
processed film, videocassette tapes, filmstrips and slides; 740
recorded audiotapes, cassettes and diskettes; and any such items 741
as would be used for teaching, research or other information 742
distribution; however, equipment such as projectors, recorders, 743
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audio or video equipment, and monitor televisions are not exempt 744
under this subparagraph. 745
(xv) Unmarked vehicles. Purchases of unmarked 746
vehicles when such purchases are made in accordance with 747
purchasing regulations adopted by the Department of Finance and 748
Administration pursuant to Section 31-7-9(2). 749
(xvi) Election ballots. Purchases of ballots 750
printed pursuant to Section 23-15-351. 751
(xvii) Multichannel interactive video systems. 752
From and after July 1, 1990, contracts by Mississippi Authority 753
for Educational Television with any private educational 754
institution or private nonprofit organization whose purposes are 755
educational in regard to the construction, purchase, lease or 756
lease-purchase of facilities and equipment and the employment of 757
personnel for providing multichannel interactive video systems 758
(ITSF) in the school districts of this state. 759
(xviii) Purchases of prison industry products by 760
the Department of Corrections, regional correctional facilities or 761
privately owned prisons. Purchases made by the Mississippi 762
Department of Corrections, regional correctional facilities or 763
privately owned prisons involving any item that is manufactured, 764
processed, grown or produced from the state's prison industries. 765
(xix) Undercover operations equipment. Purchases 766
of surveillance equipment or any other high-tech equipment to be 767
used by law enforcement agents in undercover operations, provided 768
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that any such purchase shall be in compliance with regulations 769
established by the Department of Finance and Administration. 770
(xx) Junior college books for rent. Purchases by 771
community or junior colleges of textbooks which are obtained for 772
the purpose of renting such books to students as part of a book 773
service system. 774
(xxi) Certain school district purchases. 775
Purchases of commodities made by school districts from vendors 776
with which any levying authority of the school district, as 777
defined in Section 37-57-1, has contracted through competitive 778
bidding procedures for purchases of the same commodities. 779
(xxii) Garbage, solid waste and sewage contracts. 780
Contracts for garbage collection or disposal, contracts for solid 781
waste collection or disposal and contracts for sewage collection 782
or disposal. 783
(xxiii) Municipal water tank maintenance 784
contracts. Professional maintenance program contracts for the 785
repair or maintenance of municipal water tanks, which provide 786
professional services needed to maintain municipal water storage 787
tanks for a fixed annual fee for a duration of two (2) or more 788
years. 789
(xxiv) Purchases of Mississippi Industries for the 790
Blind products or services. Purchases made by state agencies or 791
governing authorities involving any item that is manufactured, 792
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processed or produced by, or any services provided by, the 793
Mississippi Industries for the Blind. 794
(xxv) Purchases of state-adopted textbooks. 795
Purchases of state-adopted textbooks by public school districts. 796
(xxvi) Certain purchases under the Mississippi 797
Major Economic Impact Act. Contracts entered into pursuant to the 798
provisions of Section 57-75-9(2), (3) and (4). 799
(xxvii) Used heavy or specialized machinery or 800
equipment for installation of soil and water conservation 801
practices purchased at auction. Used heavy or specialized 802
machinery or equipment used for the installation and 803
implementation of soil and water conservation practices or 804
measures purchased subject to the restrictions provided in 805
Sections 69-27-331 through 69-27-341. Any purchase by the State 806
Soil and Water Conservation Commission under the exemption 807
authorized by this subparagraph shall require advance 808
authorization spread upon the minutes of the commission to include 809
the listing of the item or items authorized to be purchased and 810
the maximum bid authorized to be paid for each item or items. 811
(xxviii) Hospital lease of equipment or services. 812
Leases by hospitals of equipment or services if the leases are in 813
compliance with paragraph (l)(ii). 814
(xxix) Purchases made pursuant to qualified 815
cooperative purchasing agreements. Purchases made by certified 816
purchasing offices of state agencies or governing authorities 817
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under cooperative purchasing agreements previously approved by the 818
Office of Purchasing and Travel and established by or for any 819
municipality, county, parish or state government or the federal 820
government, provided that the notification to potential 821
contractors includes a clause that sets forth the availability of 822
the cooperative purchasing agreement to other governmental 823
entities. Such purchases shall only be made if the use of the 824
cooperative purchasing agreements is determined to be in the best 825
interest of the governmental entity. 826
(xxx) School yearbooks. Purchases of school 827
yearbooks by state agencies or governing authorities; however, 828
state agencies and governing authorities shall use for these 829
purchases the RFP process as set forth in the Mississippi 830
Procurement Manual adopted by the Office of Purchasing and Travel. 831
(xxxi) Design-build method of contracting and 832
certain other contracts. Contracts entered into under the 833
provisions of Section 31-7-13.1, 37-101-44 or 65-1-85. 834
(xxxii) Toll roads and bridge construction 835
projects. Contracts entered into under the provisions of Section 836
65-43-1 or 65-43-3. 837
(xxxiii) Certain purchases under Section 57-1-221. 838
Contracts entered into pursuant to the provisions of Section 839
57-1-221. 840
(xxxiv) Certain transfers made pursuant to the 841
provisions of Section 57-105-1(7). Transfers of public property 842
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or facilities under Section 57-105-1(7) and construction related 843
to such public property or facilities. 844
(xxxv) Certain purchases or transfers entered into 845
with local electrical power associations. Contracts or agreements 846
entered into under the provisions of Section 55-3-33. 847
(xxxvi) Certain purchases by an academic medical 848
center or health sciences school. Purchases by an academic 849
medical center or health sciences school, as defined in Section 850
37-115-50, of commodities that are used for clinical purposes and 851
1. intended for use in the diagnosis of disease or other 852
conditions or in the cure, mitigation, treatment or prevention of 853
disease, and 2. medical devices, biological, drugs and 854
radiation-emitting devices as defined by the United States Food 855
and Drug Administration. 856
(xxxvii) Certain purchases made under the Alyce G. 857
Clarke Mississippi Lottery Law. Contracts made by the Mississippi 858
Lottery Corporation pursuant to the Alyce G. Clarke Mississippi 859
Lottery Law. 860
(xxxviii) Certain purchases made by the Department 861
of Health and the Department of Revenue. Purchases made by the 862
Department of Health and the Department of Revenue solely for the 863
purpose of fulfilling their respective responsibilities under the 864
Mississippi Medical Cannabis Act. This subparagraph shall stand 865
repealed on June 30, 2026. 866
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(xxxix) Purchases made by state agencies related 867
to museum exhibits. Purchases made by an agency related to the 868
fabrication, construction, installation or refurbishing of museum 869
exhibits. An agency making a purchase under this exemption in 870
excess of the bid threshold set forth in paragraph (c) of this 871
section shall publicly advertise a Request for Qualifications or 872
Request for Proposals in which price as an evaluation factor is at 873
least twenty percent (20%) out of the one hundred percent (100%) 874
total weight, but shall be otherwise exempt. Any contract arising 875
from a purchase using this exemption must be approved by the 876
Public Procurement Review Board prior to execution by the agency. 877
The agency shall submit a written report on December 1 of each 878
year to the Chairs of the Senate and House Appropriations 879
Committees, the Chairs of the Senate and House Accountability, 880
Efficiency and Transparency Committees and the Chair of the Public 881
Procurement Review Board, identifying all purchases made by the 882
agency using this exemption in which the cost of the option 883
selected by the agency was more than twenty-five percent (25%) 884
higher than the lowest cost option available. 885
(n) Term contract authorization. All contracts for the 886
purchase of: 887
(i) All contracts for the purchase of commodities, 888
equipment and public construction (including, but not limited to, 889
repair and maintenance), may be let for periods of not more than 890
sixty (60) months in advance, subject to applicable statutory 891
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provisions prohibiting the letting of contracts during specified 892
periods near the end of terms of office. Term contracts for a 893
period exceeding twenty-four (24) months shall also be subject to 894
ratification or cancellation by governing authority boards taking 895
office subsequent to the governing authority board entering the 896
contract. 897
(ii) Bid proposals and contracts may include price 898
adjustment clauses with relation to the cost to the contractor 899
based upon a nationally published industry-wide or nationally 900
published and recognized cost index. The cost index used in a 901
price adjustment clause shall be determined by the Department of 902
Finance and Administration for the state agencies and by the 903
governing board for governing authorities. The bid proposal and 904
contract documents utilizing a price adjustment clause shall 905
contain the basis and method of adjusting unit prices for the 906
change in the cost of such commodities, equipment and public 907
construction. 908
(o) Purchase law violation prohibition and vendor 909
penalty. No contract or purchase as herein authorized shall be 910
made for the purpose of circumventing the provisions of this 911
section requiring competitive bids, nor shall it be lawful for any 912
person or concern to submit individual invoices for amounts within 913
those authorized for a contract or purchase where the actual value 914
of the contract or commodity purchased exceeds the authorized 915
amount and the invoices therefor are split so as to appear to be 916
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authorized as purchases for which competitive bids are not 917
required. Submission of such invoices shall constitute a 918
misdemeanor punishable by a fine of not less than Five Hundred 919
Dollars ($500.00) nor more than One Thousand Dollars ($1,000.00), 920
or by imprisonment for thirty (30) days in the county jail, or 921
both such fine and imprisonment. In addition, the claim or claims 922
submitted shall be forfeited. 923
(p) Electrical utility petroleum-based equipment 924
purchase procedure. When in response to a proper advertisement 925
therefor, no bid firm as to price is submitted to an electric 926
utility for power transformers, distribution transformers, power 927
breakers, reclosers or other articles containing a petroleum 928
product, the electric utility may accept the lowest and best bid 929
therefor although the price is not firm. 930
(q) Fuel management system bidding procedure. Any 931
governing authority or agency of the state shall, before 932
contracting for the services and products of a fuel management or 933
fuel access system, enter into negotiations with not fewer than 934
two (2) sellers of fuel management or fuel access systems for 935
competitive written bids to provide the services and products for 936
the systems. In the event that the governing authority or agency 937
cannot locate two (2) sellers of such systems or cannot obtain 938
bids from two (2) sellers of such systems, it shall show proof 939
that it made a diligent, good-faith effort to locate and negotiate 940
with two (2) sellers of such systems. Such proof shall include, 941
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but not be limited to, publications of a request for proposals and 942
letters soliciting negotiations and bids. For purposes of this 943
paragraph (q), a fuel management or fuel access system is an 944
automated system of acquiring fuel for vehicles as well as 945
management reports detailing fuel use by vehicles and drivers, and 946
the term "competitive written bid" shall have the meaning as 947
defined in paragraph (b) of this section. Governing authorities 948
and agencies shall be exempt from this process when contracting 949
for the services and products of fuel management or fuel access 950
systems under the terms of a state contract established by the 951
Office of Purchasing and Travel. 952
(r) Solid waste contract proposal procedure. Before 953
entering into any contract for garbage collection or disposal, 954
contract for solid waste collection or disposal or contract for 955
sewage collection or disposal, which involves an expenditure of 956
more than Seventy-five Thousand Dollars ($75,000.00), a governing 957
authority or agency shall issue publicly a request for proposals 958
concerning the specifications for such services which shall be 959
advertised for in the same manner as provided in this section for 960
seeking bids for purchases which involve an expenditure of more 961
than the amount provided in paragraph (c) of this section. Any 962
request for proposals when issued shall contain terms and 963
conditions relating to price, financial responsibility, 964
technology, legal responsibilities and other relevant factors as 965
are determined by the governing authority or agency to be 966
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appropriate for inclusion; all factors determined relevant by the 967
governing authority or agency or required by this paragraph (r) 968
shall be duly included in the advertisement to elicit proposals. 969
After responses to the request for proposals have been duly 970
received, the governing authority or agency shall select the most 971
qualified proposal or proposals on the basis of price, technology 972
and other relevant factors and from such proposals, but not 973
limited to the terms thereof, negotiate and enter into contracts 974
with one or more of the persons or firms submitting proposals. If 975
the governing authority or agency deems none of the proposals to 976
be qualified or otherwise acceptable, the request for proposals 977
process may be reinitiated. Notwithstanding any other provisions 978
of this paragraph, where a county with at least thirty-five 979
thousand (35,000) nor more than forty thousand (40,000) 980
population, according to the 1990 federal decennial census, owns 981
or operates a solid waste landfill, the governing authorities of 982
any other county or municipality may contract with the governing 983
authorities of the county owning or operating the landfill, 984
pursuant to a resolution duly adopted and spread upon the minutes 985
of each governing authority involved, for garbage or solid waste 986
collection or disposal services through contract negotiations. 987
(s) Minority set-aside authorization. Notwithstanding 988
any provision of this section to the contrary, any agency or 989
governing authority, by order placed on its minutes, may, in its 990
discretion, set aside not more than twenty percent (20%) of its 991
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anticipated annual expenditures for the purchase of commodities 992
from minority businesses; however, all such set-aside purchases 993
shall comply with all purchasing regulations promulgated by the 994
Department of Finance and Administration and shall be subject to 995
bid requirements under this section. Set-aside purchases for 996
which competitive bids are required shall be made from the lowest 997
and best minority business bidder. For the purposes of this 998
paragraph, the term "minority business" means a business which is 999
owned by a majority of persons who are United States citizens or 1000
permanent resident aliens (as defined by the Immigration and 1001
Naturalization Service) of the United States, and who are Asian, 1002
Black, Hispanic or Native American, according to the following 1003
definitions: 1004
(i) "Asian" means persons having origins in any of 1005
the original people of the Far East, Southeast Asia, the Indian 1006
subcontinent, or the Pacific Islands. 1007
(ii) "Black" means persons having origins in any 1008
black racial group of Africa. 1009
(iii) "Hispanic" means persons of Spanish or 1010
Portuguese culture with origins in Mexico, South or Central 1011
America, or the Caribbean Islands, regardless of race. 1012
(iv) "Native American" means persons having 1013
origins in any of the original people of North America, including 1014
American Indians, Eskimos and Aleuts. 1015
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(t) Construction punch list restriction. The 1016
architect, engineer or other representative designated by the 1017
agency or governing authority that is contracting for public 1018
construction or renovation may prepare and submit to the 1019
contractor only one (1) preliminary punch list of items that do 1020
not meet the contract requirements at the time of substantial 1021
completion and one (1) final list immediately before final 1022
completion and final payment. 1023
(u) Procurement of construction services by state 1024
institutions of higher learning. Contracts for privately financed 1025
construction of auxiliary facilities on the campus of a state 1026
institution of higher learning may be awarded by the Board of 1027
Trustees of State Institutions of Higher Learning to the lowest 1028
and best bidder, where sealed bids are solicited, or to the 1029
offeror whose proposal is determined to represent the best value 1030
to the citizens of the State of Mississippi, where requests for 1031
proposals are solicited. 1032
(v) Insurability of bidders for public construction or 1033
other public contracts. In any solicitation for bids to perform 1034
public construction or other public contracts to which this 1035
section applies, including, but not limited to, contracts for 1036
repair and maintenance, for which the contract will require 1037
insurance coverage in an amount of not less than One Million 1038
Dollars ($1,000,000.00), bidders shall be permitted to either 1039
submit proof of current insurance coverage in the specified amount 1040
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ST: Rural Health Transformation Program;
vendors and entities selected to provide goods
and services under are subject to a competitive
bidding process.
or demonstrate ability to obtain the required coverage amount of 1041
insurance if the contract is awarded to the bidder. Proof of 1042
insurance coverage shall be submitted within five (5) business 1043
days from bid acceptance. 1044
(w) Purchase authorization clarification. Nothing in 1045
this section shall be construed as authorizing any purchase not 1046
authorized by law. 1047
(x) Mississippi Regional Pre-Need Disaster Clean Up 1048
Act. (i) The Department of Finance and Administration shall 1049
develop and implement a process that creates a preferred vendor 1050
list for both disaster debris removal and monitoring. 1051
(ii) Any board of supervisors of any county or any 1052
governing authority of any municipality may opt in to the benefits 1053
and services provided under the appropriate and relevant contract 1054
established in subparagraph (i) of this paragraph at the time of a 1055
disaster event in that county or municipality. At the time of opt 1056
in, the county or municipality shall assume responsibility for 1057
payment in full to the contractor for the disaster-related solid 1058
waste collection, disposal or monitoring services provided. 1059
Nothing in this subparagraph (ii) shall be construed as requiring 1060
a county or municipality to opt in to any such contract 1061
established in subparagraph (i) of this paragraph. 1062
SECTION 3. This act shall take effect and be in force from 1063
and after its passage. 1064