Official Summary Text
Present law provides that it is the intent of the general assembly that
f
unds to prepare for and meet emergencies must always be available
, and that t
he first recourse is to annually fund a state emergency management agency. If the governor finds that the demands placed upon these funds in coping with a particular disaster are unreasonably great, the governor may, as otherwise provided by law, make fun
ds available by transferring and expending moneys appropriated for other purposes or out of any unappropri
ated surplus funds.
Whenever any person, firm, or corporation offers to the state or to any political subdivision thereof services, equipment, supplies, materials, or funds by way of gift, grant, loan or other agreement for emergency management, present law authorizes the s
tate, acting through the agency, or such political subdivision, acting through its governing body or a local emergency management agency, to accept such offer. Upon such acceptance, the agency or the presiding officer of the governing body may authorize
re
ceipt on behalf of the state or such political subdivision, subject to the terms of the offer.
Present law clarifies that nothing in the provisions above limit the authority of the governor to apply for, administer, and expend any grants, gifts, or payments in aid of emergency prevention, mitigation, preparedness, response, or recovery.
RIGHT TO INSPECT AND AUDIT
Present law authorizes the state to, at reasonable times, and subject to regulation of the procurement commission, inspect the part of the plant or place of business of a contractor or any subcontractor that is related to the performance of any contract
awarded or to be awarded by the state.
Present law also authorizes the state to, at reasonable times and places, audit the books and records of any person who has submitted cost or pricing data to the extent that such books and records relate to such cost or pricing data. Any person who rece
ives a contract, change order, or contract modification for which cost or pricing data are required, must maintain such books and records that relate to such cost or pricing data for five years from the date of final payment under the contract, unless a s
ho
rter period is otherwise authorized in writing.
Present law provides that the state is entitled to audit the books and records of a contractor or any subcontractor under any contract or subcontract other than a firm fixed-price contract, to the extent that such books and records relate to the performa
nce of such contract or subcontract. Such books and records must be maintained by the contractor for a period of five years from the date of final payment under the prime contract and by the subcontractor for a period of five years from the date of final
p
ayment under the subcontract, unless a shorter period is otherwise authorized in writing. All contracts after July 1, 2024, shall include a provision with this statutory requirement and the provision cannot be amended or removed without the written conse
nt of the comptroller of the treasury.
This bill clarifies that disaster grants administered by the agency are exempt from the requirements of public purchasing law, related to procurement, except that (i) the present law described above applies to such disaster grants and (ii) the agency mus
t establish procedures to monitor recipient and subrecipient compliance with disaster response and disaster grant terms and conditions. As used in this bill, a "recipient" means a person or entity that directly receives a disaster grant from a federal or
s
tate agency to carry out an activity of a disaster response and recovery assistance program, and a "subrecipient" means a person or entity that receives a disaster grant from a recipient to carry out a disaster response and recovery assistance program.
Current Bill Text
Read the full stored bill text
SENATE BILL 1778
By Crowe
HOUSE BILL 1467
By Alexander
HB1467
010156
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AN ACT to amend Tennessee Code Annotated, Section
58-2-109, relative to disaster grants.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF TENNESSEE:
SECTION 1. Tennessee Code Annotated, Section 58-2-109(c), is amended by
designating the existing language as subdivision (c)(1) and adding the following as subdivisions
(c)(2) and (c)(3):
(2) Disaster grants administered by the agency are exempt from the
requirements of title 12, chapter 3, related to procurement, except that:
(A) Section 12-3-602 applies to such disaster grants; and
(B) The agency must establish procedures to monitor recipient and
subrecipient compliance with disaster response and disaster grant terms and
conditions.
(3) As used in this subsection (c):
(A) "Disaster grant" means a grant or subgrant awarded to the state or
awarded by the state to a person or legal entity, for the furnishing of assistance
by the state, whether financial or otherwise, to any person or entity to support a
disaster response and recovery assistance program authorized by law;
(B) "Recipient" means a person or entity that directly receives a disaster
grant from a federal or state agency to carry out an activity of a disaster response
and recovery assistance program; and
(C) "Subrecipient" means a person or entity that receives a disaster grant
from a recipient to carry out a disaster response and recovery assistance
program.
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SECTION 2. This act takes effect upon becoming a law, the public welfare requiring it.