2014 Kentucky Revised Statutes
CHAPTER 45A - KENTUCKY MODEL PROCUREMENT CODE
45A.345 Definitions for KRS 45A.343 to 45A.460.

Download as PDF 45A.345 Definitions for KRS 45A.343 to 45A.460. As used in KRS 45A.343 to 45A.460, unless the context indicates otherwise: (1) "Aggregate amount" means the total dollar amount during a fiscal year of items of a like nature, function, and use the need for which can reasonably be determined at the beginning of the fiscal year. Items the need for which could not reasonably be established in advance or which were unavailable because of a failure of delivery need not be included in the aggregate amount. (2) "Capital cost avoidance" means moneys expended by a local public agency to pay for an energy conservation measure identified as a permanent equipment replacement and whose cost has been discounted by any additional energy and operation savings generated from other energy conservation measures identified in the guaranteed energy savings contract, except that for school districts capital cost avoidance shall also mean moneys expended by the district from one (1) or more of the following sources: (a) General fund; (b) Capital outlay allotment under KRS 157.420; and (c) State and local funds from the Facilities Support Program of Kentucky under KRS 157.440. (3) "Chief executive officer" means the mayor, county judge/executive, superintendent of schools, or the principal administrative officer of a local public agency, or the person designated by the chief executive officer or legislative body of the local public agency to perform the procurement function. (4) "Construction" means the process of building, altering, repairing, or improving any public structure or building, or other public improvements of any kind to any public real property. It does not include the routine operation, routine repair, or routine maintenance of existing structures, buildings, or real property. (5) "Contract" means all types of local public agency agreements, including grants and orders, for the purchase or disposal of supplies, services, construction, or any other item. It includes awards and notices of award; contracts of a fixed-price, cost, cost-plus-a-fixed-fee, or incentive type; contracts providing for the issuance of job or task orders; leases; letter contracts; and purchase orders. It also includes supplemental agreements with respect to any of the foregoing. It does not include labor contracts with employees of local public agencies. (6) "Document" means any physical embodiment of information or ideas, regardless of form or characteristic, including electronic versions thereof. (7) "Established catalogue price" means the price included in the most current catalogue, price list, schedule, or other form that: (a) Is regularly maintained by the manufacturer or vendor of an item; and (b) Is either published or otherwise available for inspection by customers; and (c) States prices at which sales are currently or were last made to a significant number of buyers constituting the general buying public for that item. (8) "Evaluated bid price" means the dollar amount of a bid after bid price (9) (10) (11) (12) (13) (14) (15) (16) (17) (18) (19) (20) adjustments are made pursuant to objective measurable criteria, set forth in the invitation for bids, which affect the economy and effectiveness in the operation or use of the product, such as reliability, maintainability, useful life, residual value, and time of delivery, performance, or completion. "Invitation for bids" means all documents, whether attached or incorporated by reference, utilized for soliciting bids in accordance with the procedures set forth in KRS 45A.365. "The legislative body or governing board" means a council, commission, or other legislative body of a city, consolidated local government, or urban-county; a county fiscal court; board of education of a county or independent school district; board of directors of an area development district or special district; or board of any other local public agency. "Local public agency" means a city, county, urban-county, consolidated local government, school district, special district, or an agency formed by a combination of such agencies under KRS Chapter 79, or any department, board, commission, authority, office, or other sub-unit of a political subdivision which shall include the offices of the county clerk, county sheriff, county attorney, coroner, and jailer. "May" means permissive. However, the words "no person may . . ." mean that no person is required, authorized, or permitted to do the act prescribed. "Negotiation" means contracting by either the method set forth in KRS 45A.370, 45A.375, or 45A.380. "Noncompetitive negotiation" means informal negotiation with one (1) or more vendor, contractor, or individual without advertisement or notice. "Objective measurable criteria" means sufficient information in the invitation to bid as to weight and method of evaluation so that the evaluation may be determined with reasonable mathematical certainty. Criteria which are otherwise subjective, such as taste and appearance, may be established when appropriate. "Person" means any business, individual, union, committee, club, or other organization or group of individuals. "Procurement" means the purchasing, buying, renting, leasing, or otherwise obtaining any supplies, services, or construction. It also includes all functions that pertain to the obtaining of any public procurement, including description of requirements, selection, and solicitation of sources, preparation and award of contract, and all phases of contract administration. "Request for proposals" means all documents, whether attached or incorporated by reference, utilized for soliciting proposals in accordance with the procedures set forth in KRS 45A.370, 45A.375, 45A.380, or 45A.385. "Responsible bidder or offeror" means a person who has the capability in all respects to perform fully the contract requirements, and the integrity and reliability which will assure good faith performance. "Responsive bidder" means a person who has submitted a bid under KRS 45A.365 which conforms in all material respects to the invitation for bids, so that all bidders may stand on equal footing with respect to the method and timeliness of submission and as to the substance of any resulting contract. (21) "Reverse auction" means a real-time, structured bidding process, usually lasting less than one (1) hour, and taking place at a previously scheduled time and Internet location, during which multiple bidders, anonymous to each other, submit revised, lower bids to provide the solicited good or leased space. (22) "Services" means the rendering, by a contractor, of its time and effort rather than the furnishing of a specific end product other than reports which are merely incidental to the required performance of service. It does not include labor contracts with employees of local public agencies. (23) "Shall" means imperative. (24) "Specifications" means any description of a physical or functional characteristic of a supply, service, or construction item. It may include a description of any requirement for inspecting, testing, or preparing a supply, service, or construction item for delivery. (25) "Supplemental agreement" means any contract modification which is accomplished by the mutual action of the parties. (26) "Supplies" means all property, including but not limited to leases on real property, printing, and insurance, except land or a permanent interest in land. (27) "Energy conservation measure" means a training program or facility alteration designed to reduce energy consumption or operating costs, and may include one (1) or more of the following: (a) Insulation of the building structure or systems within the building; (b) Storm windows or doors, caulking or weatherstripping, multiglazed windows or doors, heat absorbing or heat reflective glazed and coated window or door systems, additional glazing, reductions in glass area, or other window and door system modifications that reduce energy consumption; (c) Automated or computerized energy control systems; (d) Heating, ventilating, or air conditioning system modifications or replacements; (e) Replacement or modification of lighting fixtures to increase the energy efficiency of the lighting system without increasing the overall illumination of a facility, unless an increase in illumination is necessary to conform to the applicable state or local building code for the lighting system after the proposed modifications are made; (f) Energy recovery systems; (g) Cogeneration systems that produce steam or forms of energy such as heat, as well as electricity, for use primarily within a building or complex of buildings; (h) Energy, water, or wastewater conservation measures that provide long-term operating cost reductions or billable revenue increases; (i) Any life safety measures that provide long-term operating cost reductions; (j) Water and wastewater conservation measures, including plumbing fixtures and infrastructure; (k) Equipment upgrades that improve the accuracy of billable revenue generating systems; or (l) Automated, electronic, or remotely controlled systems or measures that reduce direct personnel costs. (28) "Guaranteed energy savings contract" means a contract for the evaluation and recommendation of energy, water, and wastewater conservation measures and for implementation of one (1) or more of those measures. The contract shall provide that all payments, except obligations on termination of the contract before its expiration, are to be made over time and the savings are guaranteed to the extent necessary to make payments for the cost of the design, installation, and maintenance of energy, water, and wastewater conservation measures. (29) "Qualified provider" means a person or business experienced in the design, implementation, and installation of energy, water, and wastewater conservation measures and is determined to be qualified by the local public agency. The qualified provider shall be responsible for and shall provide the local public agency with the following information regarding guaranteed energy, water, and wastewater savings contracts: (a) Project design and specifications; (b) Construction management; (c) Construction; (d) Commissioning; (e) On-going services as required; (f) Measurement and verification of savings for guaranteed energy, water, and wastewater savings contracts; and (g) Annual reconciliation statements as provided in KRS 45A.352(8). Effective:July 15, 2010 History: Amended 2010 Ky. Acts ch. 63, sec. 6, effective July 15, 2010. -Amended 2005 Ky. Acts ch. 163, sec. 1, effective June 20, 2005. -- Amended 2002 Ky. Acts ch. 346, sec. 12, effective July 15, 2002. -- Amended 1998 Ky. Acts ch. 120, sec. 12, effective July 15, 1998; and ch. 375, sec. 2, effective July 15, 1998. -- Amended 1996 Ky. Acts ch. 203, sec. 2, effective July 15, 1996. -Amended 1994 Ky. Acts ch. 491, sec. 3, effective July 15, 1994. -- Amended 1980 Ky. Acts ch. 250, sec. 8, effective April 9, 1980. -- Created 1978 Ky. Acts ch. 110, sec. 70, effective January 1, 1980.