HB479: directing the department of administrative services to develop a plan for implementing an electronic purchasing system for the state.

HB 479-FN - AS INTRODUCED

2003 SESSION

03-0774

05/09

HOUSE BILL 479-FN

AN ACT directing the department of administrative services to develop a plan for implementing an electronic purchasing system for the state.

SPONSORS: Rep. Crane, Hills 59; Rep. N. Allan, Hills 63; Rep. P. LaFlamme, Hills 61

COMMITTEE: Executive Departments and Administration

ANALYSIS

This bill directs the department of administrative services to develop a plan for implementing an electronic purchasing system for the state.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

03-0774

05/09

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Three

AN ACT directing the department of administrative services to develop a plan for implementing an electronic purchasing system for the state.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Department of Administrative Services; Electronic Purchasing System Plan. The department of administrative services shall develop a plan to implement an electronic purchasing system for the state. The plan shall address the costs and benefits associated with the implementation, operation, and maintenance of an electronic purchasing system. The department shall submit the plan to the speaker of the house of representatives, the president of the senate, the governor, the house clerk, and the senate clerk by November 1, 2003.

2 Effective Date. This act shall take effect 60 days after its passage.

LBAO

03-0774

1/14/03

HB 479-FN - FISCAL NOTE

AN ACT directing the department of administrative services to develop a plan for implementing an electronic purchasing system for the state.

FISCAL IMPACT:

The Department of Administrative Services states this bill will increase state general fund expenditures by $150,000 in FY 2003. There will be no fiscal impact on state, county, and local revenue or county and local expenditures.

METHODOLOGY:

The Department assumes they will need to utilize an outside consultant to assist with the development of a plan to implement an electronic purchasing system for the State. In developing the plan, the consultant and the Department will assess the State's business and technical needs, conduct meetings and interviews with State agencies, conduct vendor and other state research, analyze data, develop a draft plan with two or three options, which will include a cost/benefit analysis to implement, operate, and maintain each option, and develop a final plan for submission. Minimum functions any electronic purchasing system would be required to accomplish include the following:

· Requisition request and submission including work flow through appropriate agency approvals;

· Pre-encumber funds;

· Provide public access to create and modify vendor files;

· Access vendor files for respective commodities;

· Develop, transmit, and receive RFPs, bids, and request for quotes;

· Obtain appropriate purchase order approvals;

· Encumber funds; and

· Issue purchase orders to the vendor and other required agencies.

The Department states consultants that provide this type of service to other neighboring States and major businesses provided cost estimates to the Department ranging from a low of $85,000 to a high of $225,000, with a median estimate of $150,000. Costs would be one-time.