1.1                          A bill for an act 
  1.2             relating to transportation; providing for advertising, 
  1.3             submitting, receiving, or posting highway construction 
  1.4             and maintenance bids, security guarantees, or contract 
  1.5             bid records electronically or over the Internet; 
  1.6             amending Minnesota Statutes 2000, section 161.32, 
  1.7             subdivisions 1, 1a, 1b, and 1e. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Minnesota Statutes 2000, section 161.32, 
  1.10  subdivision 1, is amended to read: 
  1.11     Subdivision 1.  [ADVERTISEMENT FOR BIDS.] The commissioner 
  1.12  may conduct the work or any part ~~thereof~~ of the work incidental 
  1.13  to the construction and maintenance of the trunk highways by 
  1.14  labor employed ~~therefor~~ to do the work or by contract.  In cases 
  1.15  of construction work, the commissioner shall first advertise for 
  1.16  bids for contracts, and if no satisfactory bids are received, 
  1.17  may either reject all bids and readvertise~~,~~ or do the work by 
  1.18  labor employed ~~therefor~~ to do the work.  Except as ~~hereinafter~~ 
  1.19  provided in subdivision 3 or 4, when work is to be done under 
  1.20  contract, the commissioner shall advertise for bids once each 
  1.21  week for three successive weeks prior to the date ~~such~~ the bids 
  1.22  are to be received.  The advertisement for bids ~~shall~~ must be 
  1.23  published in a newspaper or other periodical of general 
  1.24  circulation in the state and may be placed on the Internet.  The 
  1.25  plans and specifications for the proposed work ~~shall~~ must be on 
  1.26  file in the commissioner's office prior to the first call for 
  2.1   bids. 
  2.2      <b>[EFFECTIVE DATE.]</b> This section is effective the day 
  2.3   following final enactment. 
  2.4      Sec. 2.  Minnesota Statutes 2000, section 161.32, 
  2.5   subdivision 1a, is amended to read: 
  2.6      Subd. 1a.  [STANDARD SPECIFICATIONS, SECURITY.] Contracts 
  2.7   under this section must be based on specifications prescribed by 
  2.8   the commissioner.  Each bidder for a contract ~~must~~ shall furnish 
  2.9   security approved by the commissioner to ensure completion of 
  2.10  the contract.  The commissioner may require that bid, 
  2.11  performance or payment bonds, or other security be furnished 
  2.12  electronically.  
  2.13     <b>[EFFECTIVE DATE.]</b> This section is effective the day 
  2.14  following final enactment. 
  2.15     Sec. 3.  Minnesota Statutes 2000, section 161.32, 
  2.16  subdivision 1b, is amended to read: 
  2.17     Subd. 1b.  [LOWEST RESPONSIBLE BIDDER.] Bidders may submit 
  2.18  bids electronically in a form and manner required by the 
  2.19  commissioner.  Trunk highway construction contracts, including 
  2.20  design-build contracts, must be awarded to the lowest 
  2.21  responsible bidder, taking into consideration conformity with 
  2.22  the specifications, the purpose for which the contract or 
  2.23  purchase is intended, the status and capability of the vendor, 
  2.24  and other considerations imposed in the call for bids.  The 
  2.25  commissioner may decide which is the lowest responsible bidder 
  2.26  for all contracts and may use the principles of life-cycle 
  2.27  costing, ~~where~~ when appropriate, in determining the lowest 
  2.28  overall bid.  Any or all bids may be rejected.  ~~In a case~~ 
  2.29  ~~where~~ When competitive bids are required and ~~where~~ all bids are 
  2.30  rejected, new bids, if solicited, must be called for as in the 
  2.31  first instance, unless otherwise provided by law. 
  2.32     <b>[EFFECTIVE DATE.]</b> This section is effective the day 
  2.33  following final enactment. 
  2.34     Sec. 4.  Minnesota Statutes 2000, section 161.32, 
  2.35  subdivision 1e, is amended to read: 
  2.36     Subd. 1e.  [RECORD.] A record must be kept of all bids, 
  3.1   including names of bidders, amounts of bids, and each successful 
  3.2   bid.  After the contract is awarded, this record is open to 
  3.3   public inspection and may be posted on the Internet. 
  3.4      <b>[EFFECTIVE DATE.]</b> This section is effective the day 
  3.5   following final enactment.