House Bill 1648

AN ACT TO AMEND SECTION 77-3-16, MISSISSIPPI CODE OF 1972, TO AUTHORIZE THE ELECTRONIC SUBMISSION OF BIDS FOR PUBLIC UTILITY CONTRACTS; TO PROVIDE CERTAIN REQUIREMENTS FOR CONSTRUCTION BIDS THAT ARE SUBMITTED ELECTRONICALLY; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. Section 77-3-16, Mississippi Code of 1972, is amended as follows:

77-3-16. (1) All contracts for construction, extension and/or repair of facilities in excess of Two Hundred Thousand Dollars ($200,000.00) by or on the behalf of any public utility subject to rate regulations by the Mississippi Public Service Commission, shall be governed by this section. The public utility shall maintain a list of contractors and suppliers qualified to perform contracts within the scope of proposed utility projects. The public utility shall, upon written request of any qualified prospective bidder, add his or its name to such list. At least every six (6) months, the public utility shall publish in a newspaper, having general circulation in the area in which the utility operates, a notice requesting names of qualified contractors and suppliers. Upon written request by qualified contractors and suppliers, those names shall be added to such list. The public utility shall give to each contractor or supplier on said list who is qualified with respect to a project under consideration written invitation to bid those projects subject to this section. Contracts subject to this section shall be awarded to the lowest and best bidder. Provided, however, nothing contained herein shall prohibit any public utility from performing services covered by this section with its own regularly employed workforce.

(2) The public utility may enter into a master contract with the lowest and best contractor to cover all construction work to be performed in a specified geographic area.

(3) If the chief executive officer of a public utility determines that an emergency exists which affects the public health, safety or welfare, the provisions of this section shall not apply. As used in this section, an emergency is any occurrence in which service is interrupted.

(4) The provisions of this section shall not apply to contracts which by their nature are not adapted to competitive bidding, including, but not limited to:

(a) Items which may be acquired from a sole source;

(b) Contracts for professional services;

(c) Equipment and systems which, by reason of the training of personnel or of any inventory replacement of parts maintained by the utility, are or should be compatible with existing equipment;

(d) Contracts for interstate or intrastate carriage of persons or property with a common carrier or contract carrier at the rates set forth in the officially approved tariff of that carrier; and

(e) Such contracts as the commission may define by regulation.

(5) The Public Service Commission shall have the authority to monitor all conditions contained in this section.

(6) With respect to any facility or contract for a facility serving a customer under Section 22 of * * * ~~this act~~ Senate Bill No. 2001, 2024 Second Extraordinary Session, nothing in this section shall supersede the provisions of Section 22 of * * * ~~this act~~ Senate Bill No. 2001, 2024 Second Extraordinary Session.

(7) Public utilities, as defined in Section 77-3-3, may provide a secure electronic interactive system for the submittal of bids requiring competitive bidding that shall be an additional bidding option for those bidders who choose to submit their bids electronically. Public utilities shall implement the provisions necessary to accept electronic bids from those bidders who choose to submit their bids electronically for all purchases requiring competitive bidding under this section.

When construction bids are submitted electronically, the requirement for including a certificate of responsibility or a statement that the bid enclosed does not exceed Fifty Thousand Dollars ($50,000.00) on the exterior of the bid envelope, as indicated in Section 31-3-21, shall be deemed met by including such certificate or statement as an attachment with the electronic bid submittal.

SECTION 2. This act shall take effect and be in force from and after July 1, 2024.