The bill amends Section 37-2-31 of the General Laws in Chapter 37-2, titled "State Purchases," to establish a framework for public-private partnerships (PPPs) in state procurement. It introduces several definitions, including "private partner," "project labor agreement," and "public-private partnership agreement," which clarify the roles and responsibilities of non-governmental entities involved in state projects. The bill allows for the use of various contract types that serve the state's best interests, specifically highlighting the inclusion of public-private partnership agreements.

It mandates that the chief purchasing officer develop rules by July 1, 2027, to evaluate, solicit, or enter into public-private partnership agreements, ensuring that the process promotes their use while maintaining state oversight. A state agency utilizing a public-private partnership remains responsible for oversight of any functions delegated to a private partner, and contracts must be awarded through competitive procurement in accordance with existing state purchasing provisions.

The bill outlines the requirements for requests for proposals related to public-private partnerships, which must include parameters of the proposed agreement, duties and responsibilities of the private partner, methods of oversight, evaluation factors, and plans for financing and operating the project. It also requires comprehensive documentation of the private entity's qualifications and adherence to labor laws, including the payment of prevailing wages.

For agreements exceeding $25 million, the awarding authority must conduct an objective study to determine the potential use of project labor agreements. Additionally, the bill emphasizes compliance with existing laws regarding privatization and fiscal accountability, ensuring that state employees represented by bargaining units are considered in the process. The act will take effect upon passage.

Statutes affected:
2822: 37-2-31
2822  SUB A: 37-2-31