North DakotaHB 11222025 Regular SessionHouseWALLET

AN ACT to create and enact two new sections to chapter 54-44.4 of the North Dakota Century Code, relating to purchases by state officials and employees and multiple award vendor pool contracts; and to amend and reenact subsection 6 of section 44-04-18.4, sections 54-44.4-01, 54-44.4-02, 54-44.4-05, subsection 1 of section 54-44.4-07, subsection 1 of section 54-44.4-09, sections 54-44.4-09.1, 54-44.4-12, 54-44.4-13, and 54-44.4-14 of the North Dakota Century Code, relating to state purchasing practices.

Sponsored By: Jon O. Nelson (Republican)

Became Law

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Bill Overview

Analyzed Economic Effects

9 provisions identified: 5 benefits, 1 costs, 3 mixed.

Centralized state buying and joint deals

The Office of Management and Budget (OMB) handles buying for executive agencies. OMB and higher‑education agencies make joint buys for common items when it helps the state. OMB can use GSA and other government contracts after checking they were fairly competed and sending a notice. Schools under the State Board of Higher Education may set cooperative contracts for other schools. All IT purchases must follow chapter 54‑59 policies and standards. The law also clarifies key purchasing definitions used across the program.

State contract website and bidder alerts

OMB runs a website with current North Dakota contract opportunities. Purchases over the small‑purchase amount must be posted there. Vendors can submit bids and proposals electronically using standard forms. OMB keeps a bidders list and sends notices for larger bids and proposals. Some bid records stay confidential until the bid opening or a notice of intent to award.

Vendor pools for ongoing work

The state uses multiple‑award vendor pools with set hourly rates or unit prices. Agencies either buy directly from a pool vendor or run a secondary competition within the pool, based on set thresholds. A primary pool contract cannot exceed five years total unless approved in writing. All secondary work must finish within the primary term. Agencies must write a full statement of work and may not split projects to avoid competition.

When the state can skip bidding

The default is open competition to the lowest responsible bidder or through competitive proposals. OMB can choose another method if it is in the state’s best interest and puts the reason in writing. The law lists exceptions, like emergencies, small purchases, single‑source items, compatibility parts, recurring IT licensing, used items on short notice, and prison‑industries products. OMB must set rules on when competition may be waived or limited and what justifications are required.

Faster bid protests and notices

You have seven calendar days to protest after you know the facts. The procurement officer must decide in seven days and may extend once by seven days. You can appeal to the director within seven days, and the director has seven days to decide, with one seven‑day extension. Awards are stayed unless the state makes a written finding that moving ahead is necessary. Notices can be sent by certified mail, commercial delivery with confirmation, or confirmed email.

State buying favors greener products

State buyers are encouraged to pick environmentally preferable products. When practical, newsprint should use soybean‑based inks, and biobased products should be specified. The soybean council and agriculture commissioner help find suppliers and track purchases.

Broader sales for prison industries

Government agencies and some nonprofits can buy prison‑industries products for official use. Prison industries may sell commissary items and clothing to inmates and sell through tax‑permitted wholesale or retail outlets. Interstate and export sales are allowed if made under the federal certification program. State officials and employees may make personal purchases from state contracts and prison‑industries offerings when OMB allows it. Agencies are encouraged to buy these products when they are comparable, on time, and fairly priced, and prices may be negotiated.

Vendors must be registered to contract

If your business must register with the secretary of state, you must be registered before award. You must keep that registration active for the whole contract term.

Tie-bid edge for residents, prisons

When bids or proposals tie, the state picks a North Dakota resident over a nonresident. If a tie includes a prison‑industries offer, the prison‑industries bid wins. These rules only apply when offers are otherwise equal.

Sponsors & Cosponsors

Sponsor

  • Jon O. Nelson

    Republican • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 138 • No: 2

Senate vote 3/11/2025

Second reading, passed, yeas 46 nays 1

Yes: 46 • No: 1

House vote 1/22/2025

Second reading, passed, yeas 92 nays 1

Yes: 92 • No: 1

Actions Timeline

  1. Filed with Secretary Of State 03/24

    3/25/2025House
  2. Signed by Governor 03/21

    3/24/2025House
  3. Sent to Governor

    3/20/2025House
  4. Signed by Speaker

    3/20/2025House
  5. Signed by President

    3/14/2025Senate
  6. Returned to House

    3/12/2025House
  7. Second reading, passed, yeas 46 nays 1

    3/11/2025Senate
  8. Reported back, do pass, place on calendar 6 0 0

    3/7/2025Senate
  9. Committee Hearing 09:00

    3/7/2025Senate
  10. Introduced, first reading, referred State and Local Government Committee

    2/13/2025Senate
  11. Received from House

    1/23/2025Senate
  12. Second reading, passed, yeas 92 nays 1

    1/22/2025House
  13. Amendment adopted, placed on calendar

    1/21/2025House
  14. Reported back amended, do pass, amendment placed on calendar 11 0 3

    1/20/2025House
  15. Committee Hearing 01:45

    1/9/2025House
  16. Introduced, first reading, referred Government and Veterans Affairs Committee

    1/7/2025House

Bill Text

  • Adopted by the House Government and Veterans Affairs Committee

  • Enrollment

  • FIRST ENGROSSMENT

  • INTRODUCED

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