§ 42-148-1. Statement of intent.
If it is determined that privatization of certain governmental functions may be appropriate,
the privatization inquiry process should be well defined with appropriate nonpartisan,
institutional oversight. The principles that guide a privatization inquiry shall include
the following:
(1) To ensure the potential savings are realized and maximized — build cost controls and
containment incentives into contracts to eliminate excessive and unreasonable overhead
costs and profits at the expense of citizens of the state;
(2) To preserve and
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§ 42-148-1. Statement of intent.
If it is determined that privatization of certain governmental functions may be appropriate,
the privatization inquiry process should be well defined with appropriate nonpartisan,
institutional oversight. The principles that guide a privatization inquiry shall include
the following:
(1) To ensure the potential savings are realized and maximized — build cost controls and
containment incentives into contracts to eliminate excessive and unreasonable overhead
costs and profits at the expense of citizens of the state;
(2) To preserve and promote competition — permit in-house program managers and public
employees to bid for the contract on a level playing field;
(3) To ensure quality and responsiveness — develop reliable measures of service quality,
strengthen in-house monitoring capacity and expertise, and write contracts with periodic
performance reporting;
(4) To ensure accountability, control, and avoidance of conflicts of interest with departmental
managers — write detailed contract specifications, and require record-keeping and
periodic reports;
(5) To address legal and political barriers — involve affected groups in the decision-making
process; and
(6) To recognize the impact on service recipients, employees, and their families — enable
public employees to have an opportunity to bid for their work.