Minnesota Session Laws - 1987, Regular Session

  

                         Laws of Minnesota 1987 

                         CHAPTER 77-H.F.No. 830 
           An act relating to state energy contracts; imposing 
          additional requirements on bidders for state energy 
          efficiency installment purchase contracts; amending 
          Minnesota Statutes 1986, section 16B.16, subdivision 1.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  Minnesota Statutes 1986, section 16B.16, 
subdivision 1, is amended to read:  
    Subdivision 1.  (a) The commissioner shall may contract to 
purchase by installment payments capital or other equipment or 
services intended to improve the energy efficiency of a state 
building or facility if: 
    (1) the term of the contract does not exceed ten years;  
    (2) the entire cost of the contract is a percentage of the 
resultant savings in energy costs;  
    (3) the contract for purchase is competitive; and 
    (4) the commissioner has determined that the contract 
bidder is a responsible bidder under rules adopted by the 
commissioner, has adequately performed all previous contracts 
with the state, and has either established a record of promptly 
paying all its suppliers and subcontractors or has made secure 
provisions for doing so in connection with the current contract 
for goods delivered and services rendered; 
    (5) the contract bidder can finance or obtain financing for 
the performance of the contract without state assistance or 
guarantee; and 
    (6) the state may unilaterally cancel the agreement if the 
legislature fails to appropriate funds to continue the 
contract or if the contractor at any time during the term of the 
contract fails to provide or maintain the equipment to provide 
the services, or otherwise to meet specifications for 
performance. 
    The commissioner may spend money appropriated for energy 
costs in payment of a contract under this section.  
    (b) For purposes of clause (a), "contract bidder" means a 
sole proprietorship, firm, corporation, or other business entity 
submitting a bid or, if the entity submitting the bid is a new 
enterprise, a person having a ten percent or greater financial 
interest in the entity who has or has had a ten percent or 
greater financial interest in any other entity that has entered 
into past contracts with the state or other purchasers. 
    Approved May 11, 1987