§ 39:1540 — Competition

§1540. Competition
A. Every contract entered into by the state for the purchase of insurance or for
obtaining services relating to the operation of the insurance program shall be awarded by
either competitive sealed bidding or competitive negotiation. Competitive negotiation shall
be initiated by the issuance of a request for proposals containing a description of the coverage
required and the factors to be used in evaluating the proposals. Where there is more than one
offeror, written or oral discussions shall be conducted with at least the three, or two if there
are only two, highest qualified offerors who submit proposals determined in writing to be
reasonably susceptible of being selected for award. The contract shall be awarded with
reasonable promptness by written notice to the responsible offeror whose proposal meets the
requirements and criteria set forth in the request for proposals and whose proposal is most
beneficial to the state, considering the price and the evaluation factors set forth in the request
for proposal. Public notice of the request for proposals shall be provided in the same manner
as established in R.S. 39:1551, et seq.
B.(1) The office of risk management, under the direction of the commissioner of
administration, is authorized to contract for consulting services with one or more licensed
insurance producers upon a finding by the commissioner that the contract is in the best
interest of the state. The contract authorized pursuant to the provisions of this Subsection
may authorize one or more producers to advise the office of risk management regarding the
office's insurance programs and to directly procure insurance.
(2) No contract executed for consulting services under the provisions of this
Subsection shall be effective until it has been approved by the Joint Legislative Committee
on the Budget.
(3) The division of administration shall provide a financial analysis and shall report
annually on contracts and lines of insurance coverage secured under this Subsection to the
Joint Legislative Committee on the Budget. Additionally, the commissioner of administration
shall report to the Joint Legislative Committee on the Budget any contract award and all
associated proposals received for consulting services under these provisions in response to
each request for proposals.

Legislative History

Added by Acts 1980, No. 520, §1, eff. July 1, 1980; Acts 2014, No. 715, §1.