Senate Bill No. 719

(By Senators Bowman, Bailey,

Kessler, Minard, Snyder and Wooton)


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[Originating in the Committee on Government Organization;


reported April 2, 2001.]

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A BILL to amend and reenact sections one, two, three, four, five, seven, eight, nine, ten, eleven, twelve, fifteen, sixteen, nineteen, twenty-one, twenty-four, twenty-six, twenty-seven, twenty-eight, thirty-two, thirty-three, thirty-three-c, thirty-three-e, thirty-three-f, thirty-four, thirty-five, thirty-six, thirty-seven-a, forty-one and fifty-five-a, article three, chapter five-a of the code of West Virginia, one thousand nine hundred thirty-one, as amended, all relating to creating the deputy secretary of administration; establishing the deputy secretary salary; and transferring duties and powers of the director of purchasing.

Be it enacted by the Legislature of West Virginia:
That sections one, two, three, four, five, seven, eight, nine, ten, eleven, twelve, fifteen, sixteen, nineteen, twenty-one, twenty-four, twenty-six, twenty-seven, twenty-eight, thirty-two, thirty-three, thirty-three-c, thirty-three-e, thirty-three-f, thirty-four, thirty-five, thirty-six, thirty-seven-a, forty-one and fifty-five-a, article three, chapter five-a of the code of West Virginia, one thousand nine hundred thirty-one, as amended, be amended and reenacted, all to read as follows:
ARTICLE 3. PURCHASING DIVISION.

§5A-3-1. Division created; purpose; director deputy secretary; applicability of article; continuation.
(a)There is hereby created the The purchasing division of the department of administration is continued. for the purpose of establishing The division shall have centralized offices to provide purchasing, travel and leasing services to the various state agencies.
(b) Before the first day of July, two thousand one, the secretary of administration shall appoint a deputy secretary of administration, by and with the consent of the Senate, who shall serve at the will and pleasure of the secretary. The deputy secretary shall be the chief administrator of the purchasing division. The deputy secretary's annual salary shall be sixty-five thousand dollars.
(c) Effective the first day of July, two thousand one, the director of the purchasing division shall report to the deputy secretary and all powers and duties of the purchasing director are transferred to the deputy secretary.
(d) All references in this code and rules promulgated hereunder to the director of the purchasing division shall mean the deputy secretary of administration appointed pursuant to this section.
(e) No person shall be appointed director deputy secretary of the purchasing division unless that person is, at the time of appointment, a graduate of an accredited college or university and shall have spent a minimum of ten of the fifteen years immediately preceding his or her appointment employed in an executive capacity in purchasing for any unit of government or for any business, commercial or industrial enterprise.
(f) The provisions of this article shall apply to all of the spending units of state government, except as is otherwise provided by this article or by law: Provided, That the provisions of this article shall not apply to the legislative branch unless otherwise provided or the Legislature or either house thereof requests the director deputy secretary to render specific services under the provisions of this chapter, nor to purchases of stock made by the alcohol beverage control commissioner, nor to purchases of textbooks for the state board of education.
Pursuant to the provisions of article ten, chapter four of this code, the purchasing division within the department of administration shall continue to exist until the first day of July, two thousand one.
§5A-3-2. Books and records of deputy secretary.

The director deputy secretary shall keep in his or her offices accurate books, accounts and records of all transactions of his division, and such books, accounts and records shall be public records, and shall at all proper times be available for inspection by any taxpayer of the state.
§5A-3-3. Powers and duties of deputy secretary.

The director deputy secretary, under the direction and supervision of the secretary, shall be the executive officer of the purchasing division and shall have the power and duty to:
(1) Direct the activities and employees of the purchasing division;
(2) Ensure that the purchase of or contract for commodities and printing shall be based, whenever possible, on competitive bid;
(3) Purchase or contract for, in the name of the state, the commodities and printing required by the spending units of the state government;
(4) Apply and enforce standard specifications established in accordance with section five of this article as hereinafter provided;
(5) Transfer to or between spending units or sell commodities that are surplus, obsolete or unused as hereinafter provided;
(6) Have charge of central storerooms for the supply of spending units;
(7) Establish and maintain a laboratory for the testing of commodities and make use of existing facilities in state institutions for that purpose as hereinafter provided;
(8) Suspend the right and privilege of a vendor to bid on state purchases when the director deputy secretary has evidence that such vendor has violated any of the provisions of the purchasing law or the rules and regulations of the director deputy secretary;
(9) Examine the provisions and terms of every contract entered into for and on behalf of the state of West Virginia that impose any obligation upon the state to pay any sums of money for commodities or services and approve each such contract as to such provisions and terms; and the duty of examination and approval herein set forth does not supersede the responsibility and duty of the attorney general to approve such contracts as to form: Provided, That the provisions of this subdivision do not apply in any respect whatever to construction or repair contracts entered into by the division of highways of the department of transportation: Provided, however, That the provisions of this subdivision do not apply in any respect whatever to contracts entered into by the university of West Virginia board of trustees or by the board of directors of the state college system, except to the extent that such boards request the facilities and services of the director deputy secretary under the provisions of this subdivision; and
(10) Assure that the specifications and commodity descriptions in all "requests for quotations" are prepared so as to permit all potential suppliers-vendors who can meet the requirements of the state an opportunity to bid and to assure that the specifications and descriptions do not favor a particular brand or vendor. If the director deputy secretary determines that any such specifications or descriptions as written favor a particular brand or vendor or if it is decided, either before or after the bids are opened, that a commodity having different specifications or quality or in different quantity can be bought, the director deputy secretary may rewrite the "requests for quotations" and the matter shall be rebid.
§5A-3-4. Rules and regulations of deputy secretary.

(a) The director deputy secretary shall adopt and amend rules and regulations to:
(1) Authorize a spending unit to purchase specified commodities directly and prescribe the manner in which such purchases shall be made;
(2) Authorize, in writing, a spending unit to purchase commodities in the open market for immediate delivery in emergencies, define such emergencies and prescribe the manner in which such purchases shall be made and reported to the director deputy secretary and for the purposes mentioned in subdivision (1) and this subdivision (2), the head of any spending unit, or the financial governing board of any institution, may, with the approval of the director deputy secretary, make requisitions upon the auditor for a sum to be known as an advance allowance account, in no case to exceed five percent of the total of the appropriations for any such spending unit, and the auditor shall draw his warrant upon the treasurer for such accounts; and all such advance allowance accounts shall be accounted for by the head of the spending unit or institution once every thirty days or oftener if required by the state auditor or director deputy secretary;
(3) Prescribe the manner in which commodities shall be purchased, delivered, stored and distributed;
(4) Prescribe the time for making requisitions and estimates of commodities, the future period which they are to cover, the form in which they shall be submitted and the manner of their authentication;
(5) Prescribe the manner of inspecting all deliveries of commodities, and making chemical and physical tests of samples submitted with bids and samples of deliveries to determine compliance with specifications;
(6) Prescribe the amount of deposit or bond to be submitted with a bid or contract and the amount of deposit or bond to be given for the faithful performance of a contract;
(7) Prescribe a system whereby the director deputy secretary shall be required, upon the payment by a vendor of an annual fee established by the director deputy secretary, to give notice to such vendor of all bid solicitations for commodities of the type with respect to which such vendor specified notice was to be given, but no such fee shall exceed the cost of giving the notice to such vendor, nor shall such fee exceed the sum of forty-five dollars per fiscal year, nor shall such fee be charged to persons seeking only reimbursement from a spending unit;
(8) Prescribe that each state contract entered into by the purchasing division shall contain provisions for liquidated damages, remedies, and/or provisions for the determination of the amount or amounts which the vendor shall owe as damages, in the event of default under such contract by such vendor; and
(9) Provide for such other matters as may be necessary to give effect to the foregoing rules and regulations and the provisions of this article.
(b) The director deputy secretary shall also adopt and amend rules and regulations to prescribe qualifications to be met by any person who, on and after the effective date of this section, is to be employed in the purchasing division as a state buyer. Such rules and regulations shall provide that no person shall be so employed as a state buyer unless such person at the time of employment either is (1) a graduate of an accredited college or university or (2) has at least four years' experience in purchasing for any unit of government or for any business, commercial or industrial enterprise. Those persons now serving as state buyers shall remain subject to the provisions of article six, chapter twenty-nine of this code, and those persons employed as state buyers on and after the effective date of this section shall be subject to the provisions of said article six.
§5A-3-5. Purchasing section standard specifications--Promulgation and adoption by deputy secretary; applicable to all purchases.

The director deputy secretary shall promulgate and adopt standard specifications based on scientific and technical data for appropriate commodities, which shall establish the quality to which such commodities to be purchased and services to be contracted for by the state must conform. Standard specifications shall apply to every future purchase of or contract for the commodities described in the specifications. The purchases of no spending unit may be exempt from compliance with the standard specifications so established, but the director deputy secretary, whenever he deems it necessary and advisable, may exempt therefrom the purchase of particular items. The director deputy secretary shall update the standard specifications, as necessary.
 §5A-3-7. Deputy secretary to advise with heads of state and other institutions producing commodities, services and printing.
The director deputy secretary shall advise with the heads of the various state and other institutions producing commodities, services and printing, with the view to making these articles suitable for the needs of state spending units. Notwithstanding any provision of this code to the contrary, in the event of conflict between state and other institutions producing commodities, services and printing with preference in accordance with the code, the director deputy secretary shall determine which institution shall provide a commodity, service or printing, basing such determination on quality, price and the efficient and economical operation of state government.
§5A-3-8. Facilities of division available to local governmental bodies.
The director deputy secretary shall make available the facilities and services of his division to counties, county schools, municipalities, urban mass transportation authorities, created pursuant to article twenty-seven, chapter eight of this code, mass transportation divisions of county and municipal governments, volunteer fire departments, and other local governmental bodies within this state. The actual expenses incurred thereby shall be paid by the local governmental body.
§5A-3-9. Examination and testing of purchases; report required.

Within the limit of funds available, the director deputy secretary, or some person appointed by the director deputy secretary, shall determine whether commodities delivered or services performed conform to contractual requirements. Nonconformity shall be reported to the director deputy secretary and chief officer of the spending unit purchasing such commodities or services for remedial action.
§5A-3-10. Competitive bids; publication of solicitations for sealed bids; purchase of products of nonprofit workshops; employee to assist in dealings with nonprofit workshops.

A purchase of and contract for commodities, printing and services shall be based, whenever possible, on competitive bids.
The director deputy secretary shall solicit sealed bids for the purchase of commodities and printing which is estimated to exceed ten thousand dollars. No spending unit shall issue a series of requisitions which would circumvent this ten thousand dollar maximum. The director deputy secretary may permit bids by facsimile transmission machine to be accepted in lieu of sealed bids: Provided, That an original bid is received within two working days following the date specified for bid opening. Bids shall be obtained by public notice. The notice may be published by any advertising medium the director deputy secretary deems advisable. The director deputy secretary may also solicit sealed bids by sending requests by mail to prospective suppliers and by posting notice on a bulletin board in his office: Provided, however, That the director deputy secretary shall, without competitive bidding, purchase commodities and printing produced and offered for sale by nonprofit workshops, as defined in section one, article one of this chapter, which are located in this state: Provided further, That such commodities and printing shall be of a fair market price and of like quality comparable to other commodities and printing otherwise available as determined by the director deputy secretary with the advice of the committee on the purchase of commodities and services from the handicapped.
Toward the end of effecting the making of contracts for commodities and printing of nonprofit workshops, the director deputy secretary shall employ a person whose responsibilities in addition to other duties shall be to identify all commodities and printing available for purchase from such nonprofit workshops, to evaluate the need of the state for such commodities and printing to coordinate the various nonprofit workshops in their production efforts and to make available to such workshops information about available opportunities within state government for purchase of commodities or printing which might be produced and sold by such workshops. Funds to employ such a person shall be included annually in the budget.
§5A-3-11. Purchasing in open market on competitive bids; debarment; bids to be based on standard specifications; period for alteration or withdrawal of bids; awards to lowest responsible bidder; uniform bids; record of bids; and exception.

(a) The director deputy secretary may make a purchase of commodities, printing, and services of ten thousand dollars or less in amount in the open market, but the purchase shall, wherever possible, be based on at least three competitive bids.
(b) The director deputy secretary may authorize spending units to purchase commodities, printing and services in the amount of one thousand dollars in the open market without competitive bids.
(c) Bids shall be based on the standard specifications promulgated and adopted in accordance with the provisions of section five of this article, and may not be altered or withdrawn after the appointed hour for the opening of the bids.
(d) A vendor who has been debarred pursuant to the provisions of sections thirty-three-a through thirty-three-f, article three, chapter five-a of this code, may not bid on or be awarded a contract under this section.
(e) All open market orders, purchases based on advertised bid requests or contracts made by the director deputy secretary or by a state department shall be awarded to the lowest responsible bidder, taking into consideration the qualities of the articles to be supplied, their conformity with specifications, their suitability to the requirements of the government and the delivery terms: Provided, That state bids on school buses shall be accepted from all bidders who shall then be awarded contracts if they meet the state board's "Minimum Standards for Design and Equipment of School Buses." County boards of education may select from those bidders who have been awarded contracts and shall pay the difference between the state aid formula amount and the actual cost of bus replacement. Any or all bids may be rejected.
(f) If all bids received on a pending contract are for the same unit price or total amount, the director deputy secretary has the authority to reject all bids, and to purchase the required commodities, printing and services in the open market, if the price paid in the open market does not exceed the bid prices.
(g) All bidders submitting bid proposals to the purchasing division are required to submit an extra or duplicate copy to the state auditor.
(h) Both copies must be received at the respective offices prior to the specified date and time of the bid openings. The failure to deliver or the nonreceipt of these bid forms at either of these offices prior to the appointed date and hour are grounds for rejection of the bids. In the event of any deviation between the copies submitted to the purchasing division and the state auditor, the bids as to which there is a deviation shall be rejected, if the deviation relates to the quantity, quality or specifications of the commodities, printing or services to be furnished or to the price therefor or to the date of delivery or performance.
(i) After the award of the order or contract, the director deputy secretary, or someone appointed by him or her for that purpose, shall indicate upon the successful bid and its copy in the office of the state auditor that it was the successful bid. Thereafter, the copy of each bid in the possession of the director deputy secretary and the state auditor shall be maintained as a public record by both of them, shall be open to public inspection in the offices of both the director deputy secretary and the state auditor and may not be destroyed by either of them without the written consent of the legislative auditor: Provided, That the governing board as defined in section two, article one, chapter eighteen-b of this code, may certify in writing to the director deputy secretary the need for a specific item essential to a particular usage either for instructional or research purposes at an institution of higher education and the director deputy secretary upon review of such certification may provide for the purchase of said specific items in the open market without competitive bids.
(j) If the director deputy secretary permits bids by facsimile transmission machine to be accepted in lieu of sealed bids pursuant to the provisions of section ten of this article, a duplicate facsimile transmission machine bid shall be transmitted to the state auditor pursuant to this section: Provided, That an original bid is received by the state auditor within two working days following the date specified for bid opening.
§5A-3-12. Prequalification disclosure and payment of annual fee by vendors required; form and contents; register of vendors; false affidavits, etc.; penalties.

The director deputy secretary shall not accept any bid received from any vendor unless the vendor has paid the annual fee specified in section four of this article and has filed with the director deputy secretary an affidavit of the vendor or the affidavit of a member of the vendor's firm, or, if the director deputy secretary vendor is a corporation, the affidavit of an officer, director or deputy secretary, or managing agent, of such corporation, disclosing the following information:
(1) If the vendor is an individual, his name and residence address, and, if he has associates or partners sharing in his business, their names and residence addresses;
(2) If the vendor is a firm, the name and residence address of each member, partner or associate of the firm;
(3) If the vendor is a corporation created under the laws of this state or authorized to do business in this state, the name and business address of the corporation; the names and residence addresses of the president, vice president, secretary, treasurer and general manager, if any, of the corporation; and the names and residence addresses of each stockholder of the corporation owning or holding at least ten percent of the capital stock thereof;
(4) A statement of whether the vendor is acting as agent for some other individual, firm or corporation, and if so, a statement of the principal authorizing such representation shall be attached to the affidavit or whether the vendor is doing business as another entity;
(5) The vendor's latest Dun & Bradstreet rating, if there is any such rating as to such vendor; and
(6) A list of one or more banking institutions to serve as references for such vendor.
Whenever a change occurs in the information heretofore submitted as required, such change shall be reported immediately in the same manner as required in the original disclosure affidavit.
The affidavit and information so received by the director deputy secretary shall be kept in a register of vendors which shall be a public record and open to public inspection during regular business hours in the director deputy secretary's office and made readily available to the public at such time.
The director deputy secretary may waive the above requirements in the case of any corporation listed on any nationally recognized stock exchange and in the case of any vendor who or which is the sole source for the commodity in question.
Any person who makes such affidavit falsely or who shall knowingly file or cause to be filed with the director deputy secretary, an affidavit containing a false statement of a material fact or omitting any material fact, shall be guilty of a misdemeanor, and, upon conviction thereof, shall be fined not more than one thousand dollars, and, in the discretion of the court, confined in jail not more than one year. In any such case, an individual so convicted shall be adjudged forever incapable of holding any office of honor, trust or profit in this state, or of serving as a juror.
§5A-3-15. Emergency purchases in open market.

The director deputy secretary may authorize, in writing, a state spending unit to purchase in the open market, without filing requisition or estimate, specific commodities for immediate delivery to meet bona fide emergencies arising from unforeseen causes, including delays by contractors, delays in transportation and unanticipated volume of work. A report of any such purchase, together with a record of the competitive bids upon which it was based, shall be submitted at once to the director deputy secretary by the head of the state spending unit concerned, together with a full account of the circumstances of the emergency: Provided, That the director deputy secretary may waive the need for the record of competitive bids. Such report shall be entered on a record and shall be open to public inspection.
§5A-3-16. Special fund; purposes; how composed.

There is hereby created a special revenue fund to be administered by the director deputy secretary to facilitate the following functions of the director deputy secretary:
(1) Purchase commodities in volume and maintain stocks to supply the needs of state spending units; and
(2) Performance of mimeographing, photostating, microfilming, multilithing, multigraphing and other work needed by spending units as provided by section twenty-seven of this article.
The amount of the fund may be fixed and changed by the governor upon the recommendation of the secretary. If at the end of each fiscal year the cash balance plus value of commodity inventories on hand exceeds the amount so fixed, the excess in cash shall be transferred by the governor upon recommendation of the secretary to the general revenue fund and become a part of the general revenue of the state. The fund shall be composed of the following:
(1) The cash balance and inventories of the fund heretofore established by this section; and
(2) Charges made by the director deputy secretary for commodities sold and services rendered to the state spending units as herein described: Provided, That charges shall not exceed total cost to the fund, which total cost shall include storage, supplies, equipment and salaries and wages of employees necessary to supply commodities and services in addition to purchase price of commodities.
§5A-3-19. Purchases from federal government and other sources.

Notwithstanding any other provision of this article, the director deputy secretary may, upon the recommendation of a state spending unit, make purchases from the federal government, from federal government contracts or from the university of West Virginia board of trustees or board of directors of the state college system contracts, if available and financially advantageous.
§5A-3-21. Contracts for public printing and paper for spending units; printing plants at institutions.

The director deputy secretary shall contract for public printing and for printing paper for the use of spending units in the manner provided for contracts under sections ten through nineteen of this article, and in accordance with the specifications adopted as provided by section five of this article: Provided, That the provisions of this article shall not be construed to prohibit the state from maintaining printing plants for the purpose of instruction or for printing for a state spending unit at educational, benevolent, penal or correctional institutions.
§5A-3-24. Publication of departmental reports; uniform standards; limiting number of publications; requiring division to perform printing and binding.

The director deputy secretary shall have charge and supervision of the printing and binding of all reports transmitted to the governor as required by section twenty, article one, chapter five of this code. Said reports shall be printed annually as soon as possible after the close of the fiscal year.
The director deputy secretary shall specify the uniform maximum standards as to form and format to be used in the preparation and publication of annual reports by the various departments, agencies, boards, commissions and institutions.
The number of copies of such reports shall be limited to the minimum quantity necessary for office use of the reporting spending unit and for legally required distribution and exchange, the exact number of copies of such reports to be expressly subject to the approval of the governor.
The director deputy secretary shall furnish to each spending unit sufficient copies of its report to satisfy the above purposes within the limits set by the governor.
The printing and binding of all such reports shall be done by the department of administration in the printing shop maintained by the department.
Subject to the approval of the secretary of administration and the governor, the director deputy secretary shall have authority to limit the number of any other report, bulletin and other publication ordered to be printed by each spending unit.
Nothing herein shall be construed as preventing the director deputy secretary from utilizing less expensive methods of printing and binding than those prescribed above.
§5A-3-26. Custodian of reports and acts; delivery to state law librarian for distribution; sale.

The director deputy secretary shall be custodian of the "West Virginia Reports" after they are printed and bound and approved by the reporter, and of the acts of the Legislature after they are printed and bound and approved by the clerk of the House of Delegates. As soon as practicable after any new volume of such reports or acts has been delivered to the director deputy secretary, not including reprints of former volumes, he shall deliver to the state law librarian sufficient copies to enable him to make distribution thereof in the manner prescribed by sections five and six, article eight, chapter fifty-one of this code.
The director deputy secretary shall sell such copies of the reports and acts as remain after the distribution provided by law has been made at a price to be fixed by him with the approval of the secretary, but in no case shall such price be less than the actual cost to the state of the publication thereof.
§5A-3-27. Deputy secretary to establish central duplicating office; exemption of particular spending units; contracts for duplicating.

Mimeographing, photostating, microfilming, multilithing, multigraphing, and other duplicating work required to be done by or for any spending unit shall be done by a central duplicating office, which office shall be established by and under the supervision of the director deputy secretary.
Mimeographing, photostating, microfilming, multilithing, multigraphing, and other duplicating equipment, supplies, personnel and the funds appropriated therefor shall be transferred to the central duplicating office, upon determination by the director deputy secretary to consolidate.
If the director deputy secretary is of the opinion that any spending unit is capable of doing such duplicating work as may be required by such particular spending unit more efficiently and economically than can the central duplicating office, he may, in his discretion, exempt such particular spending unit from the provisions of this section; or if the director deputy secretary believes economy or efficiency can be effected by letting such work or any part thereof to contract, then he may do so in the manner provided for contracts under sections ten through nineteen of this article.
§5A-3-28. Financial interest of secretary, etc.; receiving reward from interested party; penalty; application of bribery statute.

Neither the secretary, nor the director deputy secretary nor any employee of the division of purchasing, shall be financially interested, or have any beneficial personal interest, directly or indirectly, in the purchase of any commodities or printing, nor in any firm, partnership, corporation or association furnishing them. Neither the secretary, nor the director deputy secretary nor any employee of the division of purchasing shall accept or receive directly or indirectly from any person, firm or corporation, known by such secretary, director deputy secretary or employee to be interested in any bid, contract or purchase, by rebate, gift or otherwise, any money or other thing of value whatsoever, or any promise, obligation or contract for future reward, or compensation.
A person who violates this section shall be guilty of a misdemeanor, and, upon conviction thereof, shall be confined in jail not less than three months nor more than one year, or fined not less than fifty nor more than one thousand dollars, or both, in the discretion of the court: Provided, That any person who violates any of the provisions of the last sentence of the first paragraph of this section under circumstances constituting the crime of bribery under the provisions of section three, article five-a, chapter sixty-one of this code, shall, upon conviction of bribery, be punished as provided in said article five-a.
§5A-3-32. Power of deputy secretary to suspend right to bid; notice of suspension.

The director deputy secretary shall have the power and authority to suspend, for a period not to exceed one year, the right and privilege of a vendor to bid on state purchases when the director deputy secretary has reason to believe that such vendor has violated any of the provisions of the purchasing law or the rules and regulations of the director deputy secretary. Every vendor whose right to bid has been so suspended shall be notified thereof by a letter posted by certified mail containing the reason for such suspension.
§5A-3-33. Review of suspension by secretary.

Any vendor whose right to bid on state purchases has been suspended by the director deputy secretary under the authority of the preceding section shall have the right to have the director's deputy secretary's action reviewed by the secretary, who shall have the power and authority to set aside such suspension.
§5A-3-33c. Duties.
The director deputy secretary has primary responsibility for administering the debarment process. The director's deputy secretary's duties include:
(a) Obtaining lists of vendors declared ineligible under federal laws and regulations;
(b) Notification of all contracting officials for the state and its subdivisions regarding debarred vendors;
(c) Compiling and maintaining a current, consolidated list of all vendors that have been debarred or declared ineligible, the period of such debarment, and the reasons therefor;
(d) Investigating complaints about vendors from the officials of the state and its subdivisions responsible for contracting with vendors for supplies and services;
(e) Initiating and conducting debarment procedures;
(f) Proposing rules for legislative approval, pursuant to the provisions of article three, chapter twenty-nine-a of this code, for the operation of the debarment process described in the provisions of sections thirty-three-a through thirty-three-f of this article.
§5A-3-33e. Debarment procedure.
(a) The director deputy secretary shall obtain lists of vendors declared ineligible under federal laws and regulation and lists of vendors who are in default on state obligations, and shall initiate debarment proceedings with respect to such vendors, except when good cause is shown which includes evidence that the vendor has become responsible.
(1) In the case of federal ineligibility restrictions applicable to state agencies, the director deputy secretary shall also notify the appropriate agencies of any ineligibility determined under federal authority.
(2) The director deputy secretary may also initiate debarment proceedings if he or she finds probable cause for debarment for any ground set forth in section thirty-three-d of this article.
(3) The director deputy secretary shall initiate debarment proceedings when any state agency requests debarment of a vendor and the director deputy secretary finds that probable cause for debarment exists.
(b) The director deputy secretary shall notify the vendor by certified mail, return receipt requested, of the following:
(1) The reasons for the proposed debarment in sufficient detail to put the vendor on notice of the conduct or transactions upon which the proposed debarment is based;
(2) The causes relied upon for the proposed debarment;
(3) That within thirty working days after receipt of the notice, the vendor may submit in writing information and argument in opposition to the proposed debarment;
(4) The procedures governing debarment decision-making; and
(5) The potential effect of the proposed debarment.
(c) In the event a vendor wishes to contest the debarment decision, the director deputy secretary shall decide the matter in accordance with the provisions of article five, chapter twenty-nine-a of this code.
(d) In any debarment decision, the director deputy secretary shall make a specific finding, based on the substantial record, whether the public interest requires that the debarment decision extend to all commodities and services of the vendor, or whether the public interest allows the debarment decision to be limited to specific commodities or services.
(e) In any debarment decision, the director deputy secretary shall specify the length of the debarment period. The debarment period must be for the period of time that the director deputy secretary finds necessary and proper to protect the public from an irresponsible vendor.
(f) Proof of grounds for debarment must be clear and convincing.
§5A-3-33f. Effects of debarment.
(a) Unless the director deputy secretary determines in writing that there is a compelling reason to do otherwise, the state and its subdivisions may not solicit offers from, award contracts to, or consent to subcontract with a debarred vendor during the debarment period.
(b) The contracting officer may not exercise an option to renew or otherwise extend a current contract with a debarred vendor, or a contract which is being performed in any part by a debarred subcontractor, unless the director deputy secretary approves the action in writing, based on compelling reasons for exercise of the option or extension.
(c) The debarment decision may extend to all commodities and services of the vendor, or may be limited to specific commodities or services, as the director deputy secretary specifically finds, in the debarment procedure under section thirty-three-e of this article, to be in the public interest based on the substantial record.
(d) The director deputy secretary may extend the debarment to include an affiliate of the vendor upon proof necessary to pierce the corporate veil at common law. The director deputy secretary shall follow the same procedure, and afford the affiliate like notice, hearing and other rights, for extending the debarment to the affiliate as provided for under section thirty-three-e for the debarment of the vendor.
(e) The director deputy secretary may reduce the period or extent of debarment, upon the vendor's request supported by documentation, for the following reasons:
(1) Newly discovered material evidence;
(2) Reversal of the conviction or judgment upon which debarment was based;
(3) Elimination of the causes for which the debarment was imposed; or
(4) Other good cause shown, including evidence that the vendor has become responsible.
(f) The director deputy secretary may extend the debarment period for an additional period if the director deputy secretary determines that the extension is necessary to protect the interests of the state. Upon the expiration of a debarment period, the director deputy secretary shall extend the debarment period for any vendor who has not paid all current state obligations for at least the four most recent calendar quarters, exempting the current calendar quarter, and for any vendor who is in default on a repayment agreement with an agency of the state, until such time as the cause for the extended debarment is removed. If the director deputy secretary extends the debarment period, the director deputy secretary shall follow the same procedures, and afford the vendor like notice, hearing and other rights for extending the debarment, as provided for debarment under section thirty-three-e of this article.
(g) A debarment under this article may be waived by the director deputy secretary with respect to a particular contract if the director deputy secretary determines the debarment of the vendor would severely disrupt the operation of a governmental entity to the detriment of the general public or would not be in the public interest.
§5A-3-34. Authority over inventories and property.

The director deputy secretary shall, under the direction and supervision of the secretary, have full authority over inventories and property.
§5A-3-35. Submission of annual inventories.

The head of every spending unit of state government shall, on or before the fifteenth day of July of each year, file with the director deputy secretary an inventory of all real and personal property, and of all equipment, supplies and commodities in its possession as of the close of the last fiscal year, as directed by the director deputy secretary.
§5A-3-36. Inventory of removable property; maintenance and repair of office furniture, machinery and equipment.

The director deputy secretary shall have the power and duty to:
(1) Make and keep current an inventory of all removable property belonging to the state. Such inventory shall be kept on file in the office of the director deputy secretary as a public record. The inventory shall disclose the name and address of the vendor, the date of the purchase, the price paid for the property therein described and the disposition thereof;
(2) Provide for the maintenance and repair of all office furniture, machinery and equipment belonging to the state, either by employing personnel and facilities under his direction or by contracting with state agencies or private parties.
§5A-3-37a. Preference for resident vendors; exceptions; reciprocal preference.
Except where the provisions of section thirty-seven of this article may apply, in any instance where a purchase of commodities or printing by the director deputy secretary or by a state spending unit is required under the provisions of this article to be made upon competitive bids, preference shall be given to vendors resident in West Virginia as against vendors resident in any state that gives or requires a preference for the purchase of commodities or printing produced, manufactured or performed in that state. The amount of the preference shall be equal to the amount of the preference applied by the other state.
A vendor shall be deemed to be a resident of this state if such vendor is an individual, partnership, association or corporation in good standing under the laws of the state of West Virginia who (1) is a resident of the state or a foreign corporation authorized to transact business in the state; (2) maintains an office in the state; (3) has paid personal property taxes pursuant to article five, chapter eleven of this code on equipment used in the regular course of supplying services of the general type offered; and (4) has paid business taxes pursuant to chapter eleven of this code. In addition, in the case of a vendor selling tangible personal property, a resident vendor is one who has a stock of materials held in West Virginia for sale in the ordinary course of business, which stock is of the general type offered, and which is reasonably sufficient in quantity to meet the ordinary requirements of customers.
If any of the requirements or provisions set forth in this section jeopardize the receipt of federal funds, then such requirements or provision shall be void and of no force and effect.
§5A-3-41. Leases and other instruments for space signed by secretary or deputy secretary; approval as to form; filing.

Leases and other instruments for grounds, buildings, office or other space shall be signed by the secretary or director deputy secretary in the name of the state. They shall be approved as to form by the attorney general. A lease or other instrument for grounds, buildings, office or other space that contains a term, including any options, of more than six months for its fulfillment shall be filed with the state auditor.
§5A-3-55a. Deputy secretary to solicit competitive bids to provide partially underwritten intrastate passenger air service at the lowest underwriting costs.
(a) The director deputy secretary may exercise the authority provided in this article to solicit, from responsible bidders, bids to provide, for a twelve-month period, partially underwritten, reliable, regularly scheduled public passenger air service to state employees, legislators, members of various state boards and commissions, and members of the general public between and among communities in the state: Provided, That the director's deputy secretary's authority to contract for services is limited to one twelve-month contract.
(b) To be eligible to respond to the solicitation, a bidder shall offer to provide at a minimum: (1) Round trip prices per passenger which do not exceed three hundred dollars; (2) a flight departure and arrival schedule which is determined by the director deputy secretary to be efficient and appropriate to achieve optimum cost-benefit in light of the official duties, responsibilities and work schedules of the passengers using the service; (3) aircraft which seats at least six passengers, and which meets other safety and comfort specifications determined by the director deputy secretary; and (4) other requirements and specifications determined by the director deputy secretary.
(c) At the conclusion of the bidding process, the director deputy secretary may, pursuant to the procedures provided in this article, award a contract to the lowest bidder, taking into consideration the qualities of the articles to be supplied, their conformity to the specifications, their suitability to the requirements of government and the delivery terms. Any or all bids may be rejected. The director deputy secretary may accept a bid and enter into a contract in which the guarantee amount shall not exceed the amount that the Legislature appropriated to the director deputy secretary for the air service for that fiscal year: Provided, That the contract shall provide that the administration of the air service to be rendered pursuant to the contract shall be in accordance with the emergency rules as promulgated by the director deputy secretary in accordance with section fifteen, article three, chapter twenty-nine-a of this code.