1.1                          A bill for an act 
  1.2             relating to public contracts; specifying procedures to 
  1.3             be followed for certain professional service 
  1.4             contracts; proposing coding for new law in Minnesota 
  1.5             Statutes, chapter 16C. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  [16C.095] [SELECTION OF CERTAIN PROFESSIONAL 
  1.8   SERVICE CONTRACTORS.] 
  1.9      Subdivision 1.  [PROFESSIONAL SERVICES COVERED.] This 
  1.10  section applies to an agency contract for professional services 
  1.11  of persons regulated by the board of architecture, engineering, 
  1.12  land surveying, landscape architecture, geoscience, and interior 
  1.13  design. 
  1.14     Subd. 2.  [QUALIFICATION-BASED SELECTION.] Notwithstanding 
  1.15  section 16C.06, subdivision 6, an agency must select contractors 
  1.16  described in subdivision 1 on the basis of qualifications for 
  1.17  the type of professional service required.  An agency may 
  1.18  solicit pricing information to determine contractor compensation 
  1.19  only after the agency has selected a contractor under 
  1.20  subdivision 3. 
  1.21     Subd. 3.  [PROCEDURES.] Subject to subdivision 2, 
  1.22  procedures for screening and selection of contractors are within 
  1.23  the sole discretion of the agency.  Procedures may be adjusted 
  1.24  to accommodate the agency's cost, scope, and schedule objectives 
  1.25  for a particular project.  Screening and selection procedures 
  2.1   may include a consideration of each contractor's: 
  2.2      (1) specialized expertise, capabilities, and technical 
  2.3   competence as demonstrated by the proposed approach and 
  2.4   methodology to meet the project requirements; 
  2.5      (2) resources available to perform the work, including any 
  2.6   specialized services, within the specified time limits for the 
  2.7   project; 
  2.8      (3) record of past performance, including but not limited 
  2.9   to price and cost data from previous projects, quality of work, 
  2.10  ability to meet schedules, cost control, and contract 
  2.11  administration; 
  2.12     (4) ownership status and employment practices regarding 
  2.13  women, minorities, and emerging small businesses or historically 
  2.14  underutilized businesses; 
  2.15     (5) availability to the project locale; 
  2.16     (6) familiarity with the project locale; 
  2.17     (7) proposed project management techniques; and 
  2.18     (8) ability and proven history in handling special project 
  2.19  constraints. 
  2.20     Subd. 4.  [SELECTION.] (a) The agency shall rank 
  2.21  prospective contractors based on the factors the agency 
  2.22  specifies, in accordance with this section.  The agency and the 
  2.23  highest ranked contractor shall mutually discuss and refine the 
  2.24  scope of services for the project and shall negotiate 
  2.25  conditions, including but not limited to compensation and 
  2.26  performance schedule, based on the scope of the services.  The 
  2.27  compensation level paid must be reasonable and fair to the 
  2.28  agency, as determined solely by the agency. 
  2.29     (b) If the agency and the highest ranked contractor are 
  2.30  unable for any reason to negotiate a contract at a compensation 
  2.31  level that is reasonable and fair to the agency, the agency 
  2.32  shall, either orally or in writing, terminate negotiations with 
  2.33  this contractor.  The agency may then negotiate with the next 
  2.34  highest ranked contractor, as provided in this subdivision.  The 
  2.35  negotiation process may continue through successive contractors, 
  2.36  according to agency ranking, until an agreement is reached or 
  3.1   the agency terminates the contracting process. 
  3.2      Sec. 2.  [EFFECTIVE DATE.] 
  3.3      Section 1 is effective July 1, 2001, and applies to 
  3.4   contracts for which a request for bids or a request for 
  3.5   proposals is issued after that date.