Bill Summary for Bill Number HB06-1095

Date: 03/07/2006

Final
BILL SUMMARY for HB06-1095

SENATE COMMITTEE ON FINANCE

Votes: View-->	Action Taken:
L.007 Motion to adopt L.003 (Attachment D). The motion Motion to adopt L.004 (Attachment E). The motion Motion to adopt L.006 (Attachment F). The motion Motion to adopt severed section 1 of L.007 (lines Motion to adopt severed section 2 of L.003 (line 3 Motion to refer HB 06-1095, as amended, to the Com	TIE Pass Without Objection TIE Pass Without Objection FAIL Pass Without Objection PASS

02:29 PM -- House Bill 06-1095

Senator Hanna explained the provisions of HB 06-1095, a bill recommended by the Interim Committee to Study the State Procurement Process, which requires that state governmental bodies, when purchasing supplies or services, award contracts to bidders that offer "environmentally preferable products" (EPPs), subject to certain conditions. She discussed the benefits of EPPs.

The committee discussed the provision regarding the state's ability to purchase products above the five percent cap over the price of non-EPPs.

The following people testified on the bill:

02:39 PM -- Mr. Tom McGimpsay, McData Corporation, spoke in opposition to the bill. Although he agreed in principle with the bill, he expressed concern with the definition of EPPs in the bill and that the bill would be difficult to comply with. He stated that the bill could cause delays and extra costs in the state's procurement process. Mr. McGimpsay thought that the bill with L.003 (Attachment D) would still be difficult to comply with.

02:51 PM -- Ms. Jessica Wright, AeA, a computer technology trade association, spoke in opposition to the bill. Although AeA supports the bill in principle, the bill as written would be difficult to comply with and is too vague.

02:55 PM -- Ms. Peggi O'Keefe, Hewlett Packard, discussed her concern with subsection 4 of the bill which refers to a governmental body that certifies whether products are EPPs. She indicated that such an entity does not exist currently.

02:57 PM -- Ms. Marjorie Griek, Colorado Association for Recycling, spoke in favor of the bill and distributed an executive order from Governor Owens directing a council to develop policies to help increase the purchase of EPPs by the state government (Attachment C). She stated that the bill would help the recycling industry. She indicated that the council established in the Governor's executive order is still developing the plan mentioned in the order to increase the purchase of EPPs.

The committee again discussed the provision regarding the state's ability to purchase products above the five percent cap over the price of non-EPPs.

03:10 PM -- Mr. Jack Debell, University of Colorado recycling program, spoke in favor of the bill. He discussed the federal program requiring the purchase of EPPs which has resulted in a list of acceptable EPPs. He discussed how there are environmental standards for computer and electronic products, such as the energy star rating which indicates that a product will save electricity. He indicated that some EPPs are less expensive than non-EPPs but that others are more expensive. He indicated that some products that are more expensive can reduce employee sick days and increase productivity so the extra costs can be justified.

The committee discussed whether the bill allows for the purchase of EPPs that cost more than five percent of non-EPPS as long as a life-cycle analysis is conducted which shows that the product will be less costly in the long run.

03:19 PM -- Mr. McGimpsay came back to the table and indicated that he was not aware of any IT equipment that have recognized environmentally friendly ratings.

Mr. Debell responded that there are federal agencies that must purchase environmentally-friendly rated equipment and that there is a recognized environmental standard for computer and electronic equipment. The committee discussed environmentally friendly rated computer and electronic equipment, including whether servers and other IT hardware can be rated environmentally friendly. Mr. Debell indicated that CU requires all of its IT equipment to be energy star rated.

03:26 PM -- Mr. Bob Lackner, Office of Legislative Legal Services, discussed the provisions of the bill. He stated that EPPs can be purchased by the state if they are over five percent of the lowest bid if a life-cycle analysis shows that the products can result in long term savings.

03:28 PM -- Ms. Ann Marie Jensen, Colorado Association for Recycling, clarified the provisions of the bill regarding when a state agency would be permitted to purchase EPPs. She discussed amendment L.003 which would tighten up the criteria for the purchase of EPPs and make the bill easier to comply with. She highlighted the provision of L.003 that states that the law would not apply if there are is not a list of acceptable EPPs for certain products.

03:38 PM

The committee discussed the five percent cap provision and thought that bill may need to be worked on further for clarification.


BILL:	HB06-1095
TIME:	03:40:24 PM
MOVED:	Teck
MOTION:	Motion to adopt L.003 (Attachment D). The motion passed without objection.
SECONDED:
		VOTE
	Brophy
	Shaffer
	Taylor
	Teck
	Tupa
	Veiga
	Sandoval
Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB06-1095
TIME:	03:41:52 PM
MOVED:	Shaffer
MOTION:	Motion to adopt L.004 (Attachment E). The motion was withdrawn.
SECONDED:
		VOTE
	Brophy
	Shaffer
	Taylor
	Teck
	Tupa
	Veiga
	Sandoval
Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: TIE


BILL:	HB06-1095
TIME:	03:44:18 PM
MOVED:	Veiga
MOTION:	Motion to adopt L.006 (Attachment F). The motion passed without objection.
SECONDED:
		VOTE
	Brophy
	Shaffer
	Taylor
	Teck
	Tupa
	Veiga
	Sandoval
Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB06-1095
TIME:	03:48:56 PM
MOVED:	Brophy
MOTION:	Motion to adopt severed section 1 of L.007 (lines 1 and 2) (Attachment G). The motion failed on a 7 - 0 vote.
SECONDED:
		VOTE
	Brophy	No
	Shaffer	No
	Taylor	No
	Teck	No
	Tupa	No
	Veiga	No
	Sandoval	No
Not Final YES: 0 NO: 7 EXC: 0 ABS: 0 FINAL ACTION: FAIL


BILL:	HB06-1095
TIME:	03:49:23 PM
MOVED:	Brophy
MOTION:	Motion to adopt severed section 2 of L.003 (line 3) (Attachment G). The motion passed without objection.
SECONDED:
		VOTE
	Brophy
	Shaffer
	Taylor
	Teck
	Tupa
	Veiga
	Sandoval
Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: Pass Without Objection


BILL:	HB06-1095
TIME:	03:49:45 PM
MOVED:	Shaffer
MOTION:	Motion to refer HB 06-1095, as amended, to the Committee of the Whole. The motion passed on a 5 - 2 vote.
SECONDED:
		VOTE
	Brophy	No
	Shaffer	Yes
	Taylor	Yes
	Teck	No
	Tupa	Yes
	Veiga	Yes
	Sandoval	Yes
Final YES: 5 NO: 2 EXC: 0 ABS: 0 FINAL ACTION: PASS