The bill amends the Management and Budget Act of 1984, specifically sections 241 and 261, to introduce new requirements and preferences in the awarding of state contracts for construction and procurement. Notably, it mandates that contracts for construction, repair, remodeling, or demolition must be awarded through a competitive bidding process approved by the board, and that employers must possess a fair paycheck workplace certificate to be eligible for contracts. Additionally, the bill establishes a preference of up to 10% for qualified disabled veterans in contract awards, ensuring that if they meet the requirements and are the lowest bidders, they must be awarded the contract.

Furthermore, the bill emphasizes the importance of sourcing from Michigan-based firms and clean corporate citizens, while also detailing the conditions under which competitive solicitation may be bypassed, such as emergencies. It requires the department to report annually on the participation of qualified disabled veterans in procurement contracts and sets a goal for the department to allocate at least 5% of its total expenditures to these veterans. The bill also includes provisions for performance-related contract terms and clarifies definitions related to procurement, including those for "employer," "fair paycheck workplace certificate," and "qualified disabled veteran."

Statutes affected:
House Introduced Bill: 18.1241, 18.1261