December 17, 2017

Archives for April 24, 2013

Bills Regarding Employment Law, the Colorado Governmental Immunity Act, and More Signed by Governor

On Friday, April 19, 2013, Governor Hickenlooper signed one dozen bills. He has currently signed a total of 137 bills this legislative session. The bills signed Friday include bills relating to employment law, damages under the Colorado Governmental Immunity Act, education law, and more. The bills are summarized here.

  • SB 13-013 – Concerning Peace Officer Authority for Certain Employees of the United States Secret Service, by Sen. Steve King and Rep. Beth McCann. The bill allows certain agents of the U.S. Secret Service to have limited peace officer authority while working in Colorado.
  • SB 13-018 – Concerning the Use of Consumer Credit Information by Employers, by Sen. Jessie Ulibarri and Rep. Randy Fischer. The bill restricts the use of employees’ and applicants’ consumer credit information by employers, and requires employers to allow employees or potential employees to explain any adverse information.
  • SB 13-023 – Concerning an Increase in the Limitation on the Amount of Damages that may be Recovered by an Injured Party under the “Colorado Governmental Immunity Act,” by Sens. Bill Cadman and John Morse and Reps. Claire Levy and Bob Gardner. The bill increases the amount of damages available under the CGIA to reflect inflation adjustments.
  • SB 13-042 – Concerning the Renewal of Distinguished Foreign Teaching Physician Licenses by a Person Ranked Lower than an Associate Professor, by Sen. John Morse and Rep. Mark Waller. The bill allows distinguished foreign physicians who are teaching at state medical schools to renew their licenses if they are at the level of assistant professor or higher.
  • SB 13-058 – Concerning the Verification Requirement for Parking Privileges for Persons with a Permanent Disability, by Sen. Kevin Grantham and Rep. Lois Landgraf. The bill waives the requirement that persons with permanent disabilities must prove their disabilities every three years in order to renew their parking permits.
  • SB 13-071 – Concerning Uniquely Identifying Student Numbers for Persons Enrolled in Adult Education Programs, by Sen. Evie Hudak and Rep. Rhonda Fields. The bill requires that the Educational Data Subcommittee must identify a method for applying a unique student identification number to individuals enrolled in adult education programs.
  • SB 13-139 – Concerning Supplemental On-Line Education Services, by Sen. Ellen Roberts and Rep. Don Coram. The bill designates the authority to contract for online education services to the Board of Cooperative Educational Services.
  • SB 13-184 – Concerning Repeal of the Criminal Penalties for Discrimination in Places of Public Accommodation, by Sens. Pat Steadman and Steve King and Rep. Paul Rosenthal. The bill repeals the criminal penalties for discrimination in public places but leaves in place the civil penalties.
  • SB 13-192 – Concerning the Ability of Government Agencies to Extend the Time Permitted for Action Based on the Results of Fingerprint-Based Criminal History Record Checks, by Sen. Rollie Heath and Rep. Max Tyler. The bill extends the amount of time government agencies may have before acting on the results of criminal background checks.
  • HB 13-1039 – Concerning Additional Sources of Moneys to be Credited to the Legislative Department Cash Fund, by Rep. Lois Court and Sen. Nancy Todd. The bill allows certain moneys collected to be allocated to the legislative department cash fund.
  • HB 13-1208 – Concerning Creative Districts and Authorizing the Creative Industries Division of the Colorado Office of Economic Development to Offer Incentives in the Form of Need-Based Funding for Infrastructure Development in State-Certified Creative Districts and to Provide Such Funding from any Moneys Appropriated to the Creative Industries Cash Fund for that Purpose, by Rep. Crisanta Duran and Sen. Linda Newell. The bill allows the Creative Industries Division in the Office of Economic Development to spend money to develop infrastructure for creative districts.
  • HB 13-1237 – Concerning the Voluntary Contribution Benefiting the Special Olympics Colorado Fund that Appears on the State Individual Income Tax Returns, by Reps. Dave Young and John Buckner and Sen. Mary Hodge. The bill reestablishes the Special Olympics tax return check-off, since it was not renewed in 2012 after its 2011 sunset.

For the complete list of Governor Hickenlooper’s 2013 legislative decisions, click here.

HB 13-1292: Making Multiple Changes to Contracting Requirements for State and Local Government Agencies

On April 2, 2013, Rep. Pete Lee and Sen. Andy Kerr introduced HB 13-1292 – Concerning Modifications to Procurement Requirements for Government Contracts Related to United States Domestic Employment. This summary is published here courtesy of the Colorado Bar Association’s e-Legislative Report.

Colorado hiring on public works projects. Current law requires a contractor to use at least 80 percent Colorado labor for any public works contract that is financed in whole or in part by state, county, school district, or municipal moneys (Colorado labor requirement). Any violation of the Colorado labor requirement is currently a misdemeanor punishable by fine, imprisonment in county jail, or both. Current law does not specifically require any state entity to enforce the Colorado labor requirement.

As introduced the bill repeals the existing criminal penalties and directs the department of labor and employment (CDLE) to enforce the Colorado labor requirement. In connection with its enforcement duties, CDLE is required to receive complaints about potential violations of the Colorado labor requirement, investigate such complaints, and impose fines for violations.

If a contractor has violated the Colorado labor requirements multiple times, the executive director of CDLE may, in his or her discretion, initiate proceedings to debar the contractor. The general assembly is required to appropriate any revenue from the fines collected by CDLE to CDLE to be used for its enforcement of the Colorado labor requirements.

The bill specifies that the Colorado labor requirement applies to each construction phase of the public works project separately. The governmental body financing a public works project may waive the Colorado labor requirement for a specific type or class of labor for a construction phase of a public works project if there is reasonable evidence to demonstrate insufficient Colorado labor in a specific type or class of labor to perform the work of that construction phase of the project.

Compliance with the requirements of the Colorado labor requirement will be calculated on the total taxable wages and fringe benefits, minus any per diem payments, paid to workers employed directly on the site of the project and who satisfy the definition of Colorado labor.

Nonresident bidder reciprocity. Colorado is one of many states that requires reciprocal treatment for a non-resident bidder who is from a state that offers a preference for resident bidders of that state (non-resident bidder reciprocity). Current law does not require any state entity to enforce the nonresident bidder reciprocity requirements.

The bill clarifies the current nonresident bidder reciprocity law by specifying that in any bidding process for public works in which a bid is received from a nonresident bidder who is from a state that provides a percentage bidding preference, a comparable percentage disadvantage shall be applied to the bid of that bidder.

The department of personnel (DPA) is required to determine which states provide a bidding preference on public works contracts for their resident bidders and to submit a report to the general assembly that includes the list as well as recommendations for the implementation and enforcement of the nonresident bidder reciprocity law. In addition, the bill requires that any request for proposals issued by a state agency or political subdivision of the state include notice of Colorado’s nonresident bidder reciprocity law.

Competitive sealed best value bidding for construction contracts for public projects. Currently, construction contracts for public projects are awarded through competitive sealed bidding. The bill creates a competitive sealed best value bidding process and authorizes construction contracts to be awarded either through the existing competitive sealed bidding process or the new competitive sealed best value bidding process.

The bill requires a contract under competitive sealed best value bidding to be solicited through an invitation for bids that identifies the evaluation factors upon which the award shall be based. The bill specifies certain evaluation factors to be included in the bids.

A contract shall be awarded to the bidder whose bid is determined in writing to be the most advantageous to the state and that represents the best overall value to the state, taking into consideration the price and other evaluation factors set forth in the invitation for bids.

The bill requires the executive director of a governmental agency or the president of an institution of higher education (institution), as applicable, that enters into a construction contract for a public project to disclose to the public the agency or institution’s rationale for selecting the competitive sealed bidding process, the competitive sealed best value bidding process, or the integrated project delivery process, which also currently exists in law, as applicable. The agency or institution is required to post the disclosure on its web site.

Disclosure of outsourcing contract duties by vendor. Current law requires any prospective vendor for a contract from the state for services to disclose where services will be performed under the contract, including subcontracts, and whether any services under the contract or subcontract are anticipated to be performed outside the state or the U.S. The bill modifies current law by requiring prospective vendors to make this disclosure for subcontracts only.

In addition, the bill requires each contract entered into or renewed by a governmental body to contain a clause that requires the vendor to provide written notice to the governmental body if the vendor decides, after the contract is awarded, to subcontract any part of the contract to a subcontractor that will perform such duties in a location outside the state or the U.S.

The notice must include the specific duties that will be outsourced and the reason for the outsourcing. The governmental body is required to provide the written notice from a vendor to the director of DPA (director), and the director is required to post the notice on the official web site of DPA. If a vendor fails to notify the governmental body that is a party to the contract of outsourcing, the governmental body may, in its discretion, void the contract.

Outsourcing of certain contract duties by governmental body prohibited. The bill prohibits a governmental body from awarding a contract to a vendor outside the U.S. that will perform the direct labor necessitated by the contract outside the U.S. Direct labor includes labor that is required to be performed under a contract when the governmental body has a direct business relationship with the vendor performing the contract. It does not include computer systems, including hardware and software that is not specifically designed pursuant to the terms of the contract.

Each prospective vendor that submits a bid or proposal to a governmental body is required to certify that the direct labor covered by the bid or proposal will be performed in the U.S.

A governmental body may submit to the director written request for a waiver of the direct labor requirements. A governmental body shall include in its written waiver request findings of one or more specified circumstances to justify the need for a waiver.

The director is required to post information regarding any waiver allowed on the official web site of DPA, periodically analyze the direct labor services for which waivers are granted to a governmental body, and work with governmental bodies to facilitate the performance of such outsourced direct labor services within the U.S. for future contracts.

Disclose use of foreign-produced iron, steel, and related manufactured goods. The bill requires the contractor for any public buildings or public works project that is funded in whole or in part by state moneys and that costs more than $500,000 to disclose to DPA the five most costly goods incorporated into the contract.

The bill specifies that, in the case of an iron or steel product, all manufacturing must take place in the U.S., and in the case of a manufactured good, a good will be considered manufactured in the U.S. if all of the manufacturing processes for the final product take place in the U.S. In order for a manufactured good to be considered subject to disclosure, the product must be manufactured predominantly of steel or iron.

DPA is required to develop and maintain a list of the 5 most costly goods that are incorporated into each contract and that are not produced in the U.S., as disclosed to DPA.

Public utilities commission consideration of best value metrics in request for proposal process. Currently, the public utilities commission is required to consider certain best value employment metrics when it evaluates electric resource acquisitions. The bill requires that the public utilities commission also consider the best value employment metrics in connection with requests for a certificate of convenience and necessity for construction or expansion of generating facilities, including pollution control or fuel conservation upgrades and conversion of existing coal-fired plants to natural gas plants.

The bill has been approved by the State, Veterans, & Military Affairs, Finance, and Appropriations Committees; it is scheduled for 2nd Reading on the floor of the House.

Since this summary, the bill passed Second Reading with amendments, passed Third Reading, and was assigned to the Finance Committee in the Senate.

HB 13-1289: Allowing Electronic Transmission of Motor Vehicle Titling and Lien Information

On April 2, 2013, Rep. Dominick Moreno and Sen. Cheri Jahn introduced HB 12-1289 – Concerning Authority for the Electronic Transmission of Information Relating to Motor Vehicles. This summary is published here courtesy of the Colorado Bar Association’s e-Legislative Report.

As amended in the House, the bill provides authority to the department of revenue to establish a system to allow the electronic registration and titling of motor vehicles and electronic transmission of motor vehicle lien information. The title certificate is considered to be held by the mortgage or lien holder when an electronic mortgage or lien is used. A copy of the electronic mortgage or lien is admissible as evidence in judicial or administrative proceedings. The department is authorized to accept gifts, grants, or donations into the electronic motor vehicle registration cash fund but may not accept them from a vendor who responds to a request for proposal from the department concerning the new system for electronic registration and titling of motor vehicles.

On April 17 the House passed the bill on 3rd and final reading; it has been assigned to the Transportation Committee in the Senate.

HB 13-1284: Allowing Debtors Without Driver’s Licenses to be Identified via State-Issued ID Cards for UCC Purposes

On March 27, 2013, Rep. Bob Gardner and Sen. Ellen Roberts introduced HB 13-1284 – Concerning Documents that can be Filed Regarding Security Interests under the “Uniform Commercial Code.” This summary is published here courtesy of the Colorado Bar Association’s e-Legislative Report.

CBA sponsored legislation by the Business Law Section

Article 9 of the “Uniform Commercial Code” regulates the creation of security interests. Revisions adopted in H.B. 12-1262 specify that the form of the debtor’s name that should be entered when filing a financing statement is the name that appears on the debtor’s driver’s license. The bill specifies that if the debtor does not have a driver’s license, the form of the debtor’s name to enter on a financing statement is the name that appears on the debtor’s identification card.

Colorado has adopted nonuniform provisions that regulate who can file an information statement about a security interest and the effect of such a filing. H.B. 12-1262 rendered these provisions obsolete, but they were not repealed in that bill. The bill repeals these provisions.

On April 18 the bill passed 3rd and final reading in the House and is scheduled for Senate Judiciary Committee review on Monday, April 29 at 1:30 p.m.