2016 Colorado Revised Statutes
Title 24 - Government - State
Procurement Code
Article 102 - Procurement Organization
Part 2 - Division of Purchasing
§ 24-102-205. Centralized contract management system - personal services contracts - legislative declaration - definitions

CO Rev Stat § 24-102-205 (2016) What's This?

(1) (a) The general assembly hereby finds and declares that by enacting this section the general assembly intends to:

(I) Establish a policy of open competition for personal services contracts unless the competition is specifically exempted under this section;

(II) Provide for legislative and executive review of all personal services contracts entered into by any governmental body;

(III) Centralize the location of information about personal services contracts for the purpose of facilitating public review of such contracts; and

(IV) Ensure the proper accounting of expenditures for personal services.

(b) For purposes of this section, "governmental body" shall have the same meaning as set forth in section 24-101-301 (10); except that, for purposes of this section, "governmental body" shall also include elected officials.

(c) (Deleted by amendment, L. 2010, (SB 10-003), ch. 391, p. 1852, § 31, effective June 9, 2010.)

(2) This section shall apply to any personal services contract to which the state is a party the value of which exceeds one hundred thousand dollars with the exception of any contract to which the state is a party under medicare, the "Colorado Medical Assistance Act", articles 4 to 6 of title 25.5, C.R.S., the "Children's Basic Health Plan Act", article 8 of title 25.5, C.R.S., or the "Colorado Indigent Care Program", part 1 of article 3 of title 25.5, C.R.S.

(3) (a) On or before June 30, 2009, the department shall implement and maintain a centralized contract management system for the purpose of monitoring all personal services contracts entered into by a governmental body that are subject to the requirements of this section. With respect to each contract entered into by a governmental body, information contained in the system shall include, without limitation, the following:

(I) The governmental body that entered into the personal services contract;

(II) The persons or entities with which the governmental body is contracting;

(III) The duration and number of positions on the state payroll created directly or indirectly as a result of any personal services contract;

(IV) The purpose of the personal services contract;

(V) The effective dates, periods of performance, and any renewal terms of the personal services contract;

(VI) The vendor selection method upon which the personal services contract was awarded, whether competitively procured, awarded on a sole-source basis, or otherwise. Where the contract has been awarded on a sole-source basis, the governmental body shall certify that the governmental body has followed the requirements of subsection (5) of this section.

(VII) The total value of the personal services contract and any amendments to the contract;

(VIII) In accordance with the requirements of subsection (6) of this section, an evaluation following completion of the personal services contract that measures the vendor's performance in meeting contractual requirements relating to quality, cost, and deadlines;

(IX) Whether any services under the personal services contract, or any subcontracts to the contract that directly relate to the services provided under the contract, are anticipated to be performed outside the United States or the state as disclosed in the statement of work pursuant to section 24-102-206 and the vendor's justification for obtaining services outside the United States or the state in accordance with the requirements of section 24-102-206; and

(X) Upon completion of the personal services contract, the extent as disclosed by the vendor to which any services under the contract, or any subcontracts to the contract that directly relate to the services provided under the contract, were performed outside the United States or the state.

(b) Each governmental body shall be responsible for gathering relevant information to be submitted to the department for inclusion in the centralized contract management system in accordance with the requirements of paragraph (a) of this subsection (3).

(c) The centralized contract management system required to be maintained by the department pursuant to paragraph (a) of this subsection (3) shall be a publicly available database of all personal services contracts entered into by any governmental body, accessible from the website maintained by the state. Information concerning contracts contained in the database and accessible on the website shall be searchable by criteria enumerated in subparagraphs (I) to (X) of paragraph (a) of this subsection (3). Information in the database shall be either presented in plain and nontechnical language or by means of key terms that are clearly and easily defined.

(d) The centralized contract management system required to be maintained by the department pursuant to paragraph (a) of this subsection (3) shall identify the number of employment positions to be filled under any personal services contract that was previously performed by classified civil service employees, in addition to the total number of positions, if any, eliminated by the contract. In the case of any contract that is more than one year in duration, the system shall identify the cost savings, if any, and quality improvements, if any, realized by the state as a result of the contract.

(e) Any new personal services contracts subject to the requirements of this section shall be added to the centralized contract management system maintained by the department pursuant to paragraph (a) of this subsection (3) not more than thirty days after the execution of the contract.

(4) The centralized contract management system required to be maintained by the department pursuant to paragraph (a) of subsection (3) of this section shall include information concerning personal services expenditures by the governmental body and types of services. The types of services that may be designated shall include, without limitation, professional technical, nonprofessional support, purchased services, architectural, engineering and construction trades, and professional equipment repair.

(5) (a) Subject to the provisions of paragraph (b) of this subsection (5), prior to entering into a sole-source personal services contract, the governmental body shall attempt to identify competing vendors by placing a notice on the state's bid notification website for not less than three business days. If the governmental body receives not less than two responses to the notice from qualified and responsible vendors that are able to meet the specifications identified in the notice and that are not otherwise prohibited from bidding on the contract, the sole-source selection method shall not be used.

(b) Notwithstanding the requirements of paragraph (a) of this subsection (5), the director of a governmental body or his or her designee may enter into or authorize others to enter into an emergency sole-source personal services contract on behalf of the governmental body where an emergency condition is present and a sole-source personal services contract is necessary to ensure that the required services are obtained in sufficient time to address the emergency. Where the governmental body enters into an emergency sole-source personal services contract pursuant to this paragraph (b), the centralized contract management system required by paragraph (a) of subsection (3) of this section, and any contract file maintained thereunder, shall include a written determination that specifies the basis for the determination that an emergency condition is present and the basis for the selection of the vendor retained to perform the sole-source contract. A sole-source personal services contract authorized pursuant to this paragraph (b) shall be limited to the quantity of personal services and duration necessary to address the emergency.

(c) For purposes of paragraph (b) of this subsection (5), "emergency condition" means a situation that creates an imminent threat to the public health, welfare, or safety as may arise by reason of, without limitation, a flood, epidemic, riot, catastrophic equipment failure or similar threat to the public health, welfare, or safety as determined by the director of the governmental body or his or her designee.

(6) Upon the completion of each personal services contract, the governmental body that was a party to the contract shall evaluate the vendor that performed the contract. The evaluation performed by the governmental body shall be submitted to the vendor to allow the vendor to review the evaluation and to submit any comments in response to the evaluation, after which point the evaluation, including any response submitted by the vendor, shall be added to the centralized contract management system maintained by the department pursuant to paragraph (a) of subsection (3) of this section. The evaluation shall become publicly available thirty days after completion of the contract. The evaluation shall measure, without limitation, the performance of the vendor in meeting contractual requirements relating to quality, cost, and deadlines. If the vendor disputes any information contained in the evaluation, the vendor may exercise the contract dispute rights specified in section 24-109-106, 24-109-107, 24-109-201, or 24-109-202. If, upon completion of an appeal filed with the executive director or the Denver district court, as applicable, the vendor is not satisfied with the resolution of the appeal, the vendor may file a rebuttal statement that shall be maintained as part of the vendor evaluation record. The vendor's sole remedy in contesting any evaluation shall be removal of the evaluation, correction of the evaluation, or submission of the rebuttal statement in accordance with the requirements of this subsection (6).

(7) (a) Commencing on September 30, 2007, until such time as the development of the system created in paragraph (a) of subsection (3) of this section is complete, the department shall provide reports on a quarterly basis to the joint budget committee of the general assembly concerning the status of the development of the system.

(b) The department shall annually report information on personal services contracts contained in the centralized contract management system created in paragraph (a) of subsection (3) of this section to the standing legislative committees of reference in each house of the general assembly with oversight responsibilities over the department's affairs.

(c) With respect to any sole-source personal services contract identified in the system required to be maintained by the department pursuant to paragraph (a) of subsection (3) of this section, the department shall submit an annual report to the legislative council of the general assembly created in section 2-3-301 (1), C.R.S., concerning any new contract entered into by the state during the prior calendar year. Each report shall describe, without limitation, the following:

(I) The number and aggregate value of the sole-source personal services contracts for each category of services specified in subsection (4) of this section; and

(II) The justification provided by the governmental body for the use of the sole-source contracting provisions in section 24-103-205 and the steps taken to determine if a vendor is the only available source for the required supply, service, or construction item.

(8) The implementation of the database required to be maintained by the department pursuant to paragraph (a) of subsection (3) of this section shall be funded in two phases, with a portion of the funding provided in the 2007-08 state fiscal year, and a portion of the funding provided in the 2008-09 state fiscal year.

(9) To accomplish the legislative intent underlying subparagraph (III) of paragraph (a) of subsection (1) of this section, the office of contract administration is hereby created in the department, which office shall be funded within existing appropriations.

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