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REFERENCE TITLE: state contracts; participation goals; veterans |
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State of Arizona House of Representatives Fiftieth Legislature First Regular Session 2011
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HB 2473 |
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Introduced by Representatives Gowan, Burges, Vogt
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AN ACT
amending title 41, chapter 23, article 3, Arizona Revised Statutes, by adding section 41‑2560; relating to the Arizona procurement code.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Title 41, chapter 23, article 3, Arizona Revised Statutes, is amended by adding section 41-2560, to read:
41-2560. State contracts; veteran-owned business; participation goal; rules; report; definitions
A. Notwithstanding any other law, the director shall establish a veteran-owned business participation goal of awarding, pursuant to existing procurement rules, to qualified, operated and controlled veteran-owned businesses state contracts involving the procurement of materials, services or construction or the disposal of materials. The participation goal applies to the overall dollar amount spent the previous fiscal year by this state pursuant to this article. The participation goal shall be as follows:
1. For fiscal year 2012-2013, at least one per cent.
2. For fiscal year 2013-2014, at least two per cent.
3. For fiscal year 2014-2015 and each fiscal year thereafter, at least three per cent.
B. To determine business eligibility, a participating veteran-owned business shall provide to the awarding procurement officer any qualifying federal certifying resources, including the united states department of veterans affairs VETBIZ registry, or its successor registry, or the United States department of defense form DD-214, or its successor form. The awarding procurement officer shall retain this documentation after the contract award for a period of three years.
C. The director shall establish procedures for meeting the participation goal. The director, by rule, may allow a procurement officer to reserve certain procurements for registered veteran-owned businesses.
D. THE DEPARTMENT SHALL ESTABLISH A BUSINESS INDICATOR TYPE LABELED VETERAN-OWNED BUSINESS AND SERVICE‑DISABLED VETERAN-OWNED BUSINESS AT THE DEPARTMENT'S OFFICIAL WEBSITE OR AT ANY ALTERNATIVE STATE PROCUREMENT REGISTRATION VENUE. tHE DIRECTOR SHALL PUBLISH AN ANNUAL STATE PROCUREMENT EXECUTION BY BUSINESS INDICATOR TYPE REPORT NO LATER THAN THIRTY DAYS AFTER THE CLOSE OF THE STATE'S FISCAL YEAR. THE REPORT SHALL DISCLOSE THE PERCENTAGE OF CONTRACT EXECUTIONS PER BUSINESS INDICATORY TYPE, WITH VETERAN‑OWNED BUSINESS AND SERVICE‑DISABLED VETERAN-OWNED BUSINESS AS SEPARATE LINE ITEMS. tHE DIRECTOR SHALL MAKE THE REPORT PUBLICLY AVAILABLE ON THE DEPARTMENT'S OFFICIAL WEBSITE.
E. In the performance of a contract for services, a veteran-owned business shall use at least fifty per cent of the proceeds of the contract to pay for the salaries of employees of the veteran-owned business. This subsection does not apply to construction contracts.
F. For the purposes of this section:
1. "Veteran" means a person who served in the active military, naval or air service and who was discharged or released from such service under conditions other than dishonorable.
2. "Veteran-owned business" means a business concern where all of the following apply:
(a) The business is an individual proprietorship, limited liability company, partnership, corporation or joint venture that is at least fifty‑one per cent owned by one or more veterans or, in the case of any business whose stock is publicly held, where at least fifty‑one per cent of the stock is owned by one or more veterans.
(b) The management and daily operations of the business are controlled by one or more veterans who own the business.
(c) The home office of the business is located in this state and is not a branch or subsidiary of a foreign corporation, firm or other business.
Sec. 2. Effective date
Section 41-2560, Arizona Revised Statutes, as added by this act, is effective from and after December 31, 2011.