Iowa HF 2500: A bill for an act establishing a new license to be issued by the board of educational examiners.(Formerly HF 2085.)

Bill Text

House
File
2500
-
Enrolled

House
File
2500

AN
ACT

RELATING
TO
CONTRACTS
ENTERED
INTO
BY
STATE
AGENCIES
AND

INCLUDING
APPLICABILITY
PROVISIONS.

BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:

Section
1.
NEW
SECTION

.
8A.311C
State
purchasing
contracts

——
prohibited
terms.

The
provisions
set
forth
in
this
section
are
void
as
a
matter

of
law
as
contrary
to
public
policy
if
included
in
a
contract

for
the
procurement
of
goods
or
services
entered
into
by
the

department
or
any
other
state
agency
pursuant
to
this
part.

A
state
agency’s
contract
that
includes
any
of
the
following

provisions
shall
be
interpreted
as
if
the
contract
did
not

include
the
void
provision:

1.
A
provision
that
requires
the
state
or
its
agencies
to

defend,
indemnify,
hold
harmless
another
person,
or
otherwise

assume
the
debt
or
liability
of
another
person
in
violation
of

Article
VII,
section
1,
of
the
Constitution
of
the
State
of

Iowa.

2.
A
provision
that
seeks
to
impose
vendor
terms
that

are
unknown
at
the
time
of
signing
the
contract
or
can
be

unilaterally
changed
by
the
vendor.

3.
A
provision
that
violates
chapter
13
by
not
allowing

a
state
agency
to
participate
in
its
own
defense
through

representation
by
the
attorney
general.

House
File
2500,
p.
2

4.
A
provision
that
grants
to
any
person
other
than
the

attorney
general
the
authority
to
convey
to
a
court
or
litigant

the
state’s
consent
to
any
settlement
of
a
suit
involving
the

contract
when
such
settlement
could
impose
liability
on
the

state.

5.
A
provision
that
specifies
that
the
contract
is
governed

by
the
laws
of
a
foreign
state
or
nation.

6.
A
provision
that
claims
blanket
confidentiality
of
the

contract’s
terms.

7.
A
provision
that
claims
that
payment
terms,
including
but

not
limited
to
cost
proposals
or
other
pricing
information,
of

the
contract
are
confidential.

8.
A
provision
that
authorizes
or
requires
a
venue
for

litigation
other
than
an
appropriate
state
or
federal
court

sitting
in
Iowa.

9.
A
provision
that
requires
a
state
agency
to
pay
attorney

fees,
court
costs,
or
other
litigation
expenses
in
the
event
of

a
contractual
dispute.

10.
A
provision
that
imposes
on
the
state
or
its
agencies

binding
arbitration
or
another
binding
extrajudicial
dispute

resolution
process
in
which
the
final
resolution
is
not

determined
by
the
state.

11.
A
provision
that
waives
a
state
agency’s
right
to
a
jury

trial.

12.
A
provision
that
obligates
a
state
agency
to
pay
a
late

payment
charge
not
consistent
with
section
8A.514,
interest

greater
than
allowed
under
section
8A.514
or
other
applicable

law,
or
any
cancellation
charge,
as
such
charges
constitute

pledges
of
the
state’s
credit.

13.
A
provision
that
obligates
a
state
agency
to
pay
a
tax.

14.
A
provision
that
imposes
a
prior
notice
obligation
on

a
state
agency
as
a
condition
for
the
automatic
renewal
of
a

software
license.
A
state
agency
may
provide
notice
of
its

intent
to
terminate
a
software
license
at
any
time
before
the

renewal
date
established
in
the
contract.

15.
A
provision
that
obligates
a
state
agency
to
accept
risk

of
loss
before
the
receipt
of
items
or
goods.

16.
A
provision
that
obligates
a
state
agency
to
have

commercial
insurance.

House
File
2500,
p.
3

17.
A
provision
that
obligates
a
state
agency
to
grant
a

contractor
full
or
partial
ownership
of
intellectual
property

developed
pursuant
to
a
state
agency
contract
when
the

intellectual
property
is
developed
in
whole
or
in
part
using

federal
funding.

18.
A
provision
that
limits
the
time
in
which
the
state
or

its
agencies
may
bring
a
legal
claim
under
the
contract
to
a

period
shorter
than
that
provided
by
Iowa
law.

19.
A
boilerplate
provision
included
in
a
vendor’s

transactional
documents,
including
but
not
limited
to
ordering

documents
and
quotations,
that
seeks
to
alter
the
terms
of
a

state
agency’s
contract
or
to
impose
new
terms
in
the
contract.

Sec.
2.
NEW
SECTION

.
8A.311D
State
purchasing
contracts
——

required
terms.

All
of
the
following
provisions
shall
be
deemed
to
be

included
in
a
state
agency
vendor
contract:

1.
Governing
law.
The
contract
shall
be
governed
by

the
laws
of
the
state
of
Iowa,
without
giving
effect
to
any

conflict
of
laws
principles
of
Iowa
law
that
may
require
the

application
of
another
jurisdiction’s
law.

2.
Venue.
Any
litigation
commenced
in
connection
with
the

contract
shall
be
brought
and
maintained
in
an
appropriate

state
or
federal
court
sitting
in
Iowa.

Sec.
3.
NEW
SECTION

.
8A.311E
State
purchasing
contracts
——

waiver.

If
the
director
determines
that
a
necessary
good
or
service

is
impossible
to
procure
due
to
a
requirement
of
section

8A.311C
or
8A.311D,
the
director
may
waive
the
requirement

to
the
extent
necessary
to
obtain
the
good
or
service.
A

state
agency
requesting
a
waiver
shall,
at
a
minimum,
provide

sufficient
evidence
showing
that
the
state
will
suffer
an

interruption
in
business
operations
or
other
irreparable
harm

if
the
state