State Council on Competitive Government Act

State Council on Competitive Government Act

Summary

Across the country there is a growing interest in making government more efficient, cost-effective, and competitive. This model legislation creates a {insert state} Council which represents key members of {insert state} leadership, with the statutory empowerment to take projects from concept to contract. The Council advances projects that reexamine the method of delivering services in ways that improve efficiency, effectiveness, and results that are relevant to citizens.

Model Policy

{Title, enacting clause, etc.}

Section 1. {Definitions.}

In this chapter:

(1)  ”Council” means the State Council on Competitive Government.

(2)  ”Local government” means a county, municipality, special district, school district, junior college district, or other legally constituted political subdivision of the state.

Section 2. {Competition, Innovation and Creativity in State Services.}

The state shall encourage competition, innovation, and creativity among service providers to improve the quality of the state’s services.

Section 3. {Composition of Council.}  

(A)  The State Council on Competitive Government consists of the following individuals or the individuals they designate:

(1)  the governor;

(2)  the lieutenant governor [or senate president*];

(3)  the comptroller [treasurer, auditor, or appropriate state management position*];

(4)  the speaker of the house of representatives;

(5)  the director of the state’ general services agency [or similar position*];

(6)   the state chief information officer [or similar position*]; and

(7)  the director of the state’s workforce commission [or similar position[*]].

(B)  The governor is the presiding officer of the council.

(C)  If the speaker of the house of representatives is not permitted by the constitution to serve as a voting member of the council, the speaker serves as a nonvoting member.

Section 4.  {Meetings.}  

(A)  The council shall meet as often as necessary to perform its duties.

(B)  The council is subject to:

(1)  the {insert state} open meetings law [insert appropriate state chapter reference on state transparency law if applicable]; and

(2)  the {insert state} open records law [insert appropriate state chapter reference on state transparency law if applicable].

Section 5. {General Powers.}

In performing its duties under this chapter, the council may:

(1)  adopt a rule governing any aspect of the council’s duties or responsibilities;

(2)  hold a public hearing or conduct a study; and

(3)  consult a private commercial source.

Section 6. {Selection of Service Provider through Competition.}

(A)  The council shall identify commercially available services being performed by state agencies and study the services to determine if they may be better provided by selecting the service providers through competition with other state agency providers of the services or private commercial sources.

(B)  If the council determines that a service identified under Subsection (A) may be better provided by selecting the service provider through competition, the council shall require the state agency providing the service to engage in any process, including competitive bidding, developed by the council to select a service provider through competition with other state agency providers of the service or private commercial sources.

(C)  In performing its duties under this chapter, the council may:

(1)  require a state agency to conduct a hearing, study, review, or cost estimate, including an agency in-house cost estimate or a management study, concerning any aspect of a service identified under Subsection (A);

(2)  develop and require state agencies to use methods to accurately and fairly estimate and account for the cost of providing a service identified under Subsection (A);

(3)  require that a service identified under Subsection (A) be submitted to competitive bidding or another process that creates competition with private commercial sources;

(4)  prescribe, after consulting affected state agencies, the specifications and conditions of purchase procedures that must be followed by the comptroller and a state agency or a private commercial source engaged in competitive bidding to provide a service identified under Subsection (A);

(5)  award a contract to a state agency providing the service, another state agency, a private commercial source, or a combination of those entities, if the bidder presents the best and most reasonable bid, which is not necessarily the lowest bid; and

(6)  determine the terms of a contract for service or interagency contract to provide a service identified under Subsection (A).

(D)  To the extent the council determines is feasible, a local government may voluntarily participate in a contract awarded by the council or a state agency under this chapter. A local government that purchases a good or a service under a contract awarded under this chapter is considered to have satisfied any state law requiring the local government to follow a competitive purchasing procedure for the purchase.

Section 7.  {Cost Comparison and Contract Considerations.}

(A)  In comparing the cost of providing a service, the council shall consider the:

(1)  cost of supervising the work of a private contractor; and

(2)  cost of a state agency’s performance of the service, including:

(a)  the costs of the comptroller, attorney general, and other support agencies; and

(b)  other indirect costs related to the agency’s performance of the service.

(B)  A bid or contract that the Council determines will be likely to result in staff reduction must include an analysis of health care benefits, retirement, and workers’ compensation insurance for a contractor’s employees that are reasonably comparable to the health care benefits, retirement, and workers’ compensation insurance of the state.

Section 8.  {Duties of Affected State Agencies.}  

A state agency shall perform an activity required by the council in performing its duties or exercising its powers under this chapter.

Section 9.  {Exemption from Purchasing Laws.}  

A contract by the council or a decision regarding whether a state agency is required to engage in competitive bidding is exempt from another state law regulating or limiting state purchasing or a purchasing decision.

Section 10. {Severability clause.}

Section 11. {Repealer clause.}

Section 12. {Effective date.}

 


[*] Insert appropriate state management position. For more information on Texas’ state positions on the Council, please see: http://www.ccg.state.tx.us/background.php

 

Approved by the Tax and Fiscal Policy Task Force at the Spring Task Force Summit, April 28, 2011.

Approved by the ALEC Board of Directors, May, 2011.

 

Keyword Tags: Accountability, Commerce Insurance and Economic Development Task Force, Competition, Competitive Bidding, Cost-effective, Efficiency, Innovation, Tax and Fiscal Policy Task Force, Waste