FIRST REGULAR SESSION
HOUSE BILL NO. 585
92ND GENERAL ASSEMBLY
INTRODUCED BY REPRESENTATIVES ABEL, CURLS, SHOEMYER (9), WALKER, RANSDALL,
SPRENG, WAGNER (Co-sponsors), LIESE, CAMPBELL, ADAMS, HAMPTON, BARNITZ, McKENNA,
SELBY, HILGEMANN, CORCORAN, DARROUGH, SALVA, WILDBERGER, HENKE, KUESSNER,
BISHOP, JONES, HAYWOOD, VILLA, LeVOTA, WITTE, JOHNSON (90), WILLOUGHBY, WHORTON,
LOWE, WARD AND ZWEIFEL.
Read 1st time February 27, 2003, and copies ordered printed.
STEPHEN S. DAVIS, Chief Clerk
To repeal sections 34.010, 34.031, 34.032, 34.040, 34.065, 34.070, 34.073, and 34.130, RSMo,
and to enact in lieu thereof six new sections relating to state procurement.
Be it enacted by the General Assembly of the state of Missouri, as follows:
Section A. Sections 34.010, 34.031, 34.032, 34.040, 34.065, 34.070, 34.073, and 34.130,
RSMo, are repealed and six new sections enacted in lieu thereof, to be known as sections 34.010,
34.031, 34.032, 34.040, 34.070, and 34.073, to read as follows:
34.010. 1. The term "department" as used in this chapter shall be deemed to mean
department, office, board, commission, bureau, institution, or any other agency of the state,
except the legislative and judicial departments.
2. The term "negotiation" as used in this chapter means the process of selecting a
contractor by the competitive methods described in this chapter, whereby the commissioner of
administration can establish any and all terms and conditions of a procurement contract by
discussion with one or more prospective contractors.
3. The term "purchase" as used in this chapter shall include the rental or leasing of any
equipment, articles or things.
4. The term "supplies" used in this chapter shall be deemed to mean supplies, materials,
equipment, contractual services and any and all articles or things, except for utility services
regulated under chapter 393, RSMo, or as in this chapter otherwise provided.
5. The term "reverse auction" used in this chapter shall mean a procurement
method wherein bidders are invited to bid on specified goods or nonprofessional services
through real-time electronic bidding, with the award being made to the lowest responsive
and responsible bidder. During the bidding process, bidders' prices are revealed and
bidders shall have the opportunity to modify their bid prices for the duration of the time
period established for bid opening.
34.031. 1. The commissioner of administration, in consultation with the environmental
improvement and energy resources authority of the department of natural resources, shall give
full consideration to the purchase of products made from materials recovered from solid waste
and to the reduction and ultimate elimination of purchases of products manufactured in whole
or in part of thermoformed or other extruded polystyrene foam manufactured using any fully
halogenated chlorofluorocarbon (CFC). Products that utilize recovered materials of a price and
quality comparable to products made from virgin materials shall be sought and purchased, with
particular emphasis on recycled oil, retread tires, compost materials and recycled paper products.
The commissioner shall exercise a preference for such products if their use is technically feasible
and, where a bid is required, their price is equal to, or less than, the price of items which are
manufactured or produced from virgin materials. Products that would be inferior, violate safety
standards or violate product warranties if the provisions of this section are followed may be
excluded from the provisions of this section.
2. The commissioner of administration shall:
(1) Review the procurement specifications in order to eliminate discrimination against
the procurement of recycled products;
(2) Review and modify the contract specifications for paper products and increase the
minimum required percentage of recycled paper in each product as follows:
(a) Forty percent recovered materials for newsprint;
(b) Eighty percent recovered materials for paperboard;
(c) Fifty percent waste paper in high grade printing and writing paper;
(d) Five to forty percent in tissue products;
(3) Support federal incentives and policy guidelines designed to promote these goals;
(4) Develop and implement a cooperative procurement policy to facilitate bulk order
purchases and to increase availability of recycled products. The policy shall be distributed to all
state agencies and shall be made available to political subdivisions of the state;
[(5) Conduct a survey using existing staff of those items customarily required by the state
that are manufactured in whole or part from polystyrene plastic, and report its findings, together
with an analysis of environmentally acceptable alternatives thereto, prepared in collaboration
with the department of natural resources, to the general assembly and every state agency within
six months of August 28, 1995.]
3. Notwithstanding the provisions of this section, no state agency may purchase any food
or beverage containers or wrapping manufactured from any polystyrene foam manufactured
using any fully halogenated chlorofluorocarbon (CFC) found by the United States Environmental
Protection Agency (EPA) to be an ozone-depleting chemical.
4. No state agency may purchase any items made in whole or part of thermoformed or
other extruded polystyrene foam manufactured using any fully halogenated chlorofluorocarbon
(CFC) found by the United States Environmental Protection Agency (EPA) to be an
ozone-depleting chemical without approval from the commissioner of administration. Approval
shall not be granted unless the purchasing agency demonstrates to the satisfaction of the director
of the department of natural resources and the commissioner that there is no environmentally
more acceptable alternatives or the quality of such alternatives is not adequate for the purpose
5. For each paper product type and corresponding recycled paper content standard
pursuant to subdivision (2) of subsection 2 of this section, attainment goals for the percentage
of paper products to be purchased that utilize post-consumer recovered materials shall be[:
(1) Ten percent in 1991 and 1992;
(2) Twenty-five percent in 1993 and 1994;
(3) Forty percent in 1995; and
(4)] Sixty percent by 2000.
6. In the review of capital improvement projects for buildings and facilities of state
government, the commissioner of administration shall direct the division of design and
construction to give full consideration to alternatives which use solid waste, as defined in section
260.200, RSMo, as a fuel for energy production or which use products composed of materials
recovered from solid waste.
7. The commissioner of administration, in consultation with the environmental
improvement and energy resources authority of the department of natural resources, shall prepare
and provide by January first of each year an annual report summarizing past activities and
accomplishments of the program and proposed goals of the program including projections for
each affected agency. The report shall also include a list of products utilizing recovered
materials that could substitute for products currently purchased and a schedule of amounts
purchased of products utilizing recovered materials compared to purchases of similar products
utilizing virgin materials for the period covered by the annual report.
8. The office of administration, department of natural resources and department of
economic development shall cooperate jointly and share to the greatest extent possible,
information and other resources to promote:
(1) Producers or potential producers of secondary material goods to expand or develop
their product lines;
(2) Increased demand for secondary materials recovered in Missouri; and
(3) Increased demand by state government for products which contain secondary
materials recovered in Missouri.
9. The commissioner of administration may increase minimum recycled content
percentages for paper products, minimum recycled content percentages for other recycled
products and establish minimum post-consumer content as such products become available. The
preference provided in subsection 1 of this section shall apply to the minimum standards
established by the commissioner.
34.032. 1. The provisions of section 34.040 to the contrary notwithstanding, each
department and agency of the state government, including the general assembly, shall purchase,
in the manner provided by law, and use recycled paper when recycled paper can be obtained that
is comparable to the quality presently used by the department or agency and if the price is
competitive. [For the purposes of this section, "competitive" means a price within ten percent
of the price of items which are manufactured or produced from virgin materials.] Attainment
goals for the percentage of paper products to be purchased that utilize post-consumer recovered
materials shall be[:
(1) Ten percent in 1991 and 1992;
(2) Twenty-five percent in 1993 and 1994;
(3) Forty percent in 1995; and
(4)] Sixty percent by 2000.
2. Each department and agency of state government shall also purchase a minimum of
fifteen percent recycled motor oil for use in motor vehicles.
3. Each department and agency of state government shall cause to be recycled:
(1) A minimum of twenty-five percent of paper products used or fifty percent of the
paper disposed of, whichever is greater;
(2) Seventy-five percent of all used motor oil.
4. Each department and state agency shall, to the maximum extent practicable, separate
plastics, paper, metals and other recyclable items [by July 1, 1990].
5. [By January 1, 1990,] Each department and state agency shall develop, in cooperation
with the office of administration, and implement a policy for recycling and waste reduction.
Each department and agency shall collect and recycle waste paper and empty aluminum beverage
containers generated by employee activity. The office of the governor and the general assembly
shall implement a policy for recycling and waste reduction and shall collect and recycle waste
paper and aluminum beverage containers generated within its facilities. Recycling programs for
agency offices located outside of the city of Jefferson may be coordinated through the office of
administration or operated locally provided that the office of administration reviews and
approves such programs. Proceeds from the sale of recycled materials may be used to offset
costs of the recycling program. Any moneys found by the office of administration to be in excess
of costs incurred shall be transferred to the department of social services to be used by the
heating assistance program pursuant to sections 660.100 to 660.135, RSMo.
6. The department of higher education, in cooperation with the office of administration
and state colleges and universities, shall develop and distribute guidelines for waste reduction
and the collection of recyclable materials generated in classrooms, administrative offices,
dormitories, cafeterias and similar campus locations.
7. Bid specifications for solid waste management services issued by any department or
agency of state government shall be designed to meet the objectives of sections 260.255 to
260.325, RSMo, encourage small businesses to engage and compete in the delivery of waste
management services and to minimize the long run cost of managing solid waste. Bid
specifications shall enumerate the minimum components and minimum quantities of waste
products which shall be recycled by the successful bidder. Bids for solid waste management
services to state departments and agencies located within the seat of government shall be issued
in units in order to maximize opportunities for small business to provide solid waste
management services to the state. Each department and agency shall designate one person in an
existing position to serve as a solid waste management coordinator to ensure that the agency and
the office of administration cooperate to meet the requirements of this section.
34.040. 1. All purchases in excess of [three] five thousand dollars shall be based on
competitive bids, except as otherwise provided in this chapter.
2. On any purchase where the estimated expenditure shall be twenty-five thousand
dollars or over, except as provided in subsection 5 of this section, the commissioner of
(1) Advertise for bids in at least two daily newspapers of general circulation in such
places as are most likely to reach prospective bidders and may advertise in at least two weekly
minority newspapers and may provide such information through an electronic medium available
to the general public at least five days before bids for such purchases are to be opened. Other
methods of advertisement, which may include minority business purchase councils, however,
may be adopted by the commissioner of administration when such other methods are deemed
more advantageous for the supplies to be purchased;
(2) Post a notice of the proposed purchase in his or her office; and
(3) Solicit bids by mail or other reasonable method generally available to the public from
prospective suppliers. All bids for such supplies shall be mailed or delivered to the office of the
commissioner of administration so as to reach such office before the time set for opening bids.
3. The contract shall be let to the lowest and best bidder. The commissioner of
administration shall have the right to reject any or all bids and advertise for new bids, or purchase
the required supplies on the open market if they can be so purchased at a better price. When bids
received pursuant to this section are unreasonable or unacceptable as to terms and conditions,
noncompetitive, or the low bid exceeds available funds and it is determined in writing by the
commissioner of administration that time or other circumstances will not permit the delay
required to resolicit competitive bids, a contract may be negotiated pursuant to this section,
provided that each responsible bidder who submitted such bid under the original solicitation is
notified of the determination and is given a reasonable opportunity to modify their bid and
submit a best and final bid to the state. In cases where the bids received are noncompetitive or
the low bid exceeds available funds, the negotiated price shall be lower than the lowest rejected
bid of any responsible bidder under the original solicitation.
4. All bids shall be based on standard specifications wherever such specifications have
been approved by the commissioner of administration. The commissioner of administration shall
make rules governing the delivery, inspection, storage and distribution of all supplies so
purchased and governing the manner in which all claims for supplies delivered shall be
submitted, examined, approved and paid. The commissioner shall determine the amount of bond
or deposit and the character thereof which shall accompany bids or contracts.
5. The department of natural resources may, without the approval of the commissioner
of administration required pursuant to this section, enter into contracts of up to five hundred
thousand dollars to abate illegal waste tire sites pursuant to section 260.276, RSMo, when the
director of the department determines that urgent action is needed to protect public health, safety,
natural resources or the environment. The department shall follow bidding procedures pursuant
to this section and may promulgate rules necessary to establish such procedures. Any rule or
portion of a rule, as that term is defined in section 536.010, RSMo, that is created under the
authority delegated in this section shall become effective only if it complies with and is subject
to all of the provisions of chapter 536, RSMo, and, if applicable, section 536.028, RSMo. This
section and chapter 536, RSMo, are nonseverable and if any of the powers vested with the
general assembly pursuant to chapter 536, RSMo, to review, to delay the effective date or to
disapprove and annul a rule are subsequently held unconstitutional, then the grant of rulemaking
authority and any rule proposed or adopted after August 28, 1999, shall be invalid and void.
6. The commissioner of administration may authorize the use of the reverse auction
procurement method to procure goods or nonprofessional services if the commissioner
believes the use of the reverse procurement method will result in savings to the state. The
office of administration shall promulgate rules regarding the handling of the reverse
34.070. In making purchases, the commissioner of administration shall give preference
to all commodities manufactured, mined, produced or grown within the state of Missouri and to
all firms, corporations or individuals doing business as Missouri firms, corporations or
individuals, when quality is equal or better and delivered price is the same or less. The
commissioner of administration may also give such preference whenever competing bids,
viewed in their entirety, are comparable.
34.073. 1. In letting contracts for the performance of any job or service, all agencies,
departments, institutions, and other entities of this state and of each political subdivision of this
state shall give preference to all firms, corporations, or individuals doing business as Missouri
firms, corporations, or individuals, or which maintain Missouri offices or places of business,
when the quality of performance promised is equal or better and the price quoted is the same or
less. The commissioner of administration may also give such preference whenever
competing bids, viewed in their entirety, are comparable.
2. Notwithstanding the requirements of subsection 1 of this section, the commissioner
of administration shall give further preference as required by section 34.076.
[34.065. Where, because of the large number of possible bidders for a
particular purchase, it is impractical to submit a request for a bid to all possible
bidders each time a bid is requested, request shall be made in rotation pursuant to the
regulation of the commissioner of administration so as ultimately to include all the
possible bidders, except that recognized competitive bidders shall be solicited in each
[34.130. On or before May first of each year, each department shall submit
to the commissioner of administration a classified list of its estimated needs for
supplies for the following fiscal year. The commissioner of administration shall
consolidate these and may purchase the entire amount or such part thereof at one time
as he shall deem best. Any contract for such purchases may provide only the price
at which the supplies needed during the year shall be purchased and that the supplies
shall be delivered in such amounts and at such times as ordered throughout the year
and be paid for at such time and for such amounts as delivered. In such case,
certification from the commissioner of administration and the auditor shall be
required only for the amount ordered at any time.]