June 13, 2013, Introduced by Senators CASWELL, GREEN, BRANDENBURG and PAPPAGEORGE and referred to the Committee on Appropriations.
A bill to amend 1984 PA 431, entitled
"The management and budget act,"
(MCL 18.1101 to 18.1594) by adding section 261e.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 261e. (1) Except as provided in subsections (4) and (9),
all other things being equal, when purchasing equipment, material,
or supplies, the department shall purchase biobased products in
accordance with the biobased product preference program established
by the director under this section.
(2) Not later than 180 days after the effective date of this
section, the director shall establish a biobased product preference
program, which shall give a preference to designated items that are
composed of the highest percentage of biobased content practicable
or that comply with regulations adopted under 42 USC 6914b-1 by the
administrator of the United States environmental protection agency.
The purchase of biobased products under the program shall be
consistent with other purchasing requirements.
(3) As part of the program, the director shall adopt a policy
setting minimum biobased content specifications for awarding
contracts in a manner that ensures that the biobased content of
products is consistent with the guidelines issued under 7 USC 8102,
except when the director determines that subsection (4) or (9)
applies.
(4) The director may determine that it is not possible for a
biobased product to be purchased in accordance with the biobased
product preference program if the director determines that any of
the following apply to the product:
(a) The product is not available within a reasonable period of
time.
(b) The product fails to meet the performance standards set
forth in the applicable specifications for the product.
(c) The price of the product is unreasonable because any of
the following apply:
(i) The price exceeds the price of a substantially equivalent
nonbiobased product.
(ii) The price exceeds the fair market value of a substantially
equivalent nonbiobased product.
(5) In accordance with rules adopted under this section and
all other things being equal, the director may determine a
percentage by which the price of a designated biobased product may
exceed the price or fair market value of a substantially equivalent
nonbiobased product without being considered unreasonable. In doing
so, the director shall give consideration to the benefits of
expanding the use of biobased products.
(6) For any biobased product offered under the biobased
product preference program, a vendor shall certify that the product
meets the biobased content requirements for the designated item.
Upon request, a vendor shall provide the director with information
to verify the biobased content of a biobased product qualifying for
purchase in accordance with the program.
(7) The director shall adopt rules in accordance with the
administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to
24.328, that prescribe all of the following:
(a) The procedures for giving preference to biobased products
in purchases under the program.
(b) The purchasing policy the director adopts under subsection
(3).
(c) Procedures and guidelines the director will use in
determining percentages for purposes of subsection (5).
(d) The procedures and guidelines for giving preference to
biobased products in purchases under this section in instances in
which other purchasing preferences may be applicable under this
act.
(e) Other requirements or procedures that are necessary to
implement the biobased product preference program.
(8) The director shall maintain a list of products that
qualify as designated items under the biobased product preference
program.
(9) If, after assessing the functions of designated items, a
state department or agency determines that none of the designated
items are functionally capable of meeting a specific need, the
department or agency shall notify the director. The department or
agency may then proceed with the solicitation and purchase of a
nonbiobased product that is functionally capable of meeting that
specific need of the department or agency. That purchase does not
constitute failure to comply with the biobased product preference
program or preclude the department or agency from otherwise
participating in the program.
(10) This section does not apply to the purchase of motor
vehicle fuel, heating oil, or electricity.