BILL SUMMARY for SB09-248
SENATE COMMITTEE ON BUSINESS, LABOR AND TECHNOLOGY
|Votes: View--> ||Action Taken: |
|Moved prepared Amendment L.001 (Attachment D). Th|
Moved to refer Senate Bill 09-248, as amended, to
|Pass Without Objection|
02:56 PM -- Senate Bill 09-248
Senator Heath presented Senate Bill 09-248. The bill allows a contractor to provide a letter of credit in lieu of the other forms of surety on public works contracts and limits the surety to one-half of the amount payable in each calendar year. Senator Heath explained the bill and stated that its purpose was to save the state money. He distributed prepared Amendment L.001 (Attachment D) and explained the changes it makes to the bill.
The following individuals testified regarding the bill:
03:01 PM -- Marla Lien, representing the Regional Transportation District (RTD), testified in favor of the bill. She discussed an upcoming partnership RTD will be entering into and its relationship to the FasTracks Program. She spoke about the changes made by the bill and by the amendment.
03:05 PM -- Jeffrey Strassner, representing Marsh & McLennan, an insurance provider, testified in favor of the bill.
03:08 PM -- Lee Kemp, representing RTD, testified in favor of the bill. He stated that the bill will help with the public-private partnership for the Gold Line and East Corridor. He responded to questions from Senator Tochtrop and Senator Harvey regarding projects to which the bill applies.
03:11 PM -- Nick Broyles, representing the National Association of Surety Bond Producers, testified regarding the bill. He discussed current law pertaining to surety bonds. He stated that regardless of whether the bond is required at the 50 or 100 percent level, the contractor still has to pay based on 100 percent of the contract price, so the surety bond practice does not save any money. He said there is no reason not to afford the taxpayers the additional protection of the 100 percent bond, with the exception of "mega-projects."
Senator Heath provided closing remarks.
|TIME: || 03:17:37 PM|
|MOTION:||Moved to refer Senate Bill 09-248, as amended, to the Committee of the Whole with a recommendation that it be placed on the consent calendar. The motion passed on a 6-0 roll call vote, with one member excused. |
Final YES: 6 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: PASS
The committee adjourned.