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An Act
ENROLLED HOUSE
BILL NO. 3417 By: Strom, West (Josh), Archer,
Crosswhite Hader,
Dobrinski, Stinson, Fugate,
Kendrix, Kelley, McCane,
Menz, Wolfley and Chapman
of the House
and
Alvord of the Senate
An Act relating to cities and towns; amending 11 O.S.
2021, Section 10-116, which relates to purchases and
sales by city manager and competitive bidding;
clarifying that council requirements shall be in
addition to the provisions of the Public Competitive
Bidding Act; enacting a new section to combine
procedures for reverse auction bidding that are
applicable to all political subdivisions and public
trusts; repealing 11 O.S. 2021, Sections 17-115 and
17-115.1, which relate to reverse auction bidding
procedure; providing for codification; and providing
an effective date.
SUBJECT: Cities and towns
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 11 O.S. 2021, Section 10-116, is
amended to read as follows:
Section 10-116. A. The city manager shall contract for,
purchase, or issue purchase authorizations for all supplies,
materials, and equipment for offices, departments, and agencies of
the city government, subject to any regulations which the council
may prescribe. Every contract or purchase exceeding an amount to be
established by the council shall require the prior approval of the
council. The city manager may also sell or transfer to or between
ENR. H. B. NO. 3417 Page 2
offices, departments, and agencies, surplus or obsolete supplies,
materials, and equipment, subject to regulations the council may
prescribe.
B. The council may prescribe requirements and procedures for
competitive bidding. Notice and opportunity for competitive bidding
shall be given before a purchase or contract for supplies,
materials, or equipment is made, and before a sale of any surplus or
obsolete supplies, materials, or equipment is made, in accordance
with regulations the council may prescribe. The council shall not
exempt a particular contract, purchase, or sale from the requirement
of competitive bidding. The provisions of this subsection shall be
in addition to the provisions of Section 140 of Title 61 of the
Oklahoma Statutes.
C. The council may transfer some or all of the power granted to
the city manager pursuant to the provisions of this section to an
employee appointed by and subordinate to the city manager.
SECTION 2. NEW LAW A new section of law to be codified
in the Oklahoma Statutes as Section 141 of Title 61, unless there is
created a duplication in numbering, reads as follows:
A. A political subdivision or any public trust of which such
subdivision is beneficiary or any nonappropriated governmental
agency or instrumentality of the state is authorized to use a
reverse auction bidding procedure to obtain bids for the purchase of
goods or services of any type of kind. The reverse auction shall be
a real-time bidding process taking place at a previously scheduled
time and Internet location and for a previously established
duration, in which multiple suppliers, anonymous to each other,
submit bids to provide the goods or services. The reverse auction
procedure may be used as an alternative to any state law applicable
to the purchase of the goods or services.
B. The procedure shall provide:
1. A bid opening and bid closure. At the opening date and
time, the political subdivision or public trust shall begin
accepting reverse auction electronic bids. Reverse auction bids
shall be accepted until the bid closure, except as provided by
paragraph 6 of this subsection, unless the political subdivision or
public trust determines it is in the best interest of the political
subdivision or public trust to extend the closing time and notifies
the reverse auction bidders of the extended closing time by public
ENR. H. B. NO. 3417 Page 3
announcement at the Internet location at least fifteen (15) minutes
prior to the original closing time;
2. The posting of all reverse auction bids electronically and
updating of bids on a real-time basis by the political subdivision
or public trust;
3. The authorization for the political subdivision or public
trust to require bidders to register before the opening date and
time and, as part of that registration, require bidders to agree to
any terms, conditions, or other requirements of the solicitation or
applicable acts;
4. The authorization for the political subdivision or public
trust to also require potential bidders to prequalify as bidders and
to restrict solicitations to prequalified online and reverse auction
bidders;
5. The retention of the authority of the political subdivision
or public trust to determine the criteria that will be used as the
basis for making awards; and
6. The authorization for the political subdivision or public
trust to determine it is in the best interest of the municipality or
public trust to allow it to accept an electronic bid after the
specified official closing date and time, in the event the political
subdivision or public trust determines that a significant error or
event occurred that affected the electronic receipt of any reverse
auction bid by the political subdivision or public trust.
C. All bids submitted electronically through the reverse
auction bidding process pursuant to this section are subject to the
same public disclosure laws that govern bids received pursuant to
any other law of this state governing procurement procedures for a
political subdivision or public trust.
D. All remedies available to the political subdivision or
public trust and suppliers through a bid process pursuant to any
other law of this state are also available to the political
subdivision or public trust reverse auction bidders in a reverse
auction bidding process.
E. The procedures set out in this section may be used to obtain
acquisitions or award contracts for all needed operations or
purchase orders.
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SECTION 3. REPEALER 11 O.S. 2021, Section 17-115, is
hereby repealed.
SECTION 4. REPEALER 11 O.S. 2021, Section 17-115.1, is
hereby repealed.
SECTION 5. This act shall become effective November 1, 2026.
ENR. H. B. NO. 3417 Page 5
Passed the House of Representatives the 24th day of March, 2026.
Presiding Officer of the House
of Representatives
Passed the Senate the 28th day of April, 2026.
Presiding Officer of the Senate
OFFICE OF THE GOVERNOR
Received by the Office of the Governor this ____________________
day of ___________________, 20_______, at _______ o'clock _______ M.
By: _________________________________
Approved by the Governor of the State of Oklahoma this _________
day of ___________________, 20_______, at _______ o'clock _______ M.
_________________________________
Governor of the State of Oklahoma
OFFICE OF THE SECRETARY OF STATE
Received by the Office of the Secretary of State this __________
day of ___________________, 20_______, at _______ o'clock _______ M.
By: _________________________________