Be it enacted by the Legislature of the State of Arizona:
Section1. Section 41-2559, Arizona RevisedStatutes, is amended to read:
41-2559. Public-private partnership contracts
A. The director may enter into public-privatepartnership contracts to finance the technology needs of the purchasingagency. The funding for services under a public-privatepartnership contract entered into pursuant to this section shall be contingenton and computed according to established performance standards and shall beattributable to the successful implementation of the technology program for theperiod specified in the contract. The director may issue requestsfor information and requests for proposals to solicit private partners that areinterested in providing programs under a contract entered into pursuant to thissection.
B. Each request for proposals issued pursuant tothis section shall require each private partner to propose specific performanceimprovements and measurement approaches to be used to measure the valuedelivered by the vendor technology solution. The director shall include anassessment of the proposed value of the vendor technology solution in itsevaluation criteria to select the best value solution for the purchasingagency.
C. A contract entered into between the director andan automated systems vendor or an information technology VENDOR shallprovide for payment of fees on a contractually specific amount based on theachievement of measured performance improvements that are mutually agreed to bythe contractor and the director and monies for payment of these fees are notsubject to legislative appropriation. The following are subject to review andapproval by the director:
1. The terms of contracts entered into pursuant tothis section relating to the measurement of the performance improvementattributable to the vendor technology program.
2. Payment of fees based on the achievement of theestablished performance measures.
D. On legislative AUTHORIZATION, thedirector of the department of ADMINISTRATION and the director of the departmentof emergency and military affairs may issue a request for proposals and enterinto a public-private partnership contract for military rotary wingaviation flight and maintenance training and services.
D. E. Beforea public-private partnership contract is awarded pursuant to thissection, the joint legislative budget committee staff shall be consulted withregard to the potential fiscal impact of the contract to thestate. If the joint legislative budget committee staff finds asignificant negative fiscal impact to the state, the staff shall report itsfindings to the joint legislative budget committee.
Sec.2. Public-privatepartnerships; department of emergency and military affairs; department ofadministration; private sector entities; proposals; delayed repeal
A. Notwithstanding anyother law, the department of emergency and military affairs and the departmentof administration may jointly establish public-private partnerships formilitary rotary wing aviation flight and maintenance training and services atlocations the department of emergency and military affairs owns, administers orcontrols property. If the department of emergency and military affairsdetermines to proceed with a public-private partnership pursuant to thissubsection, the department of emergency and military affairs and the departmentof administration shall work together to develop a request for proposals. Theprocurement of a private sector entity may only be done through a request forproposals.
B. The department ofemergency and military affairs and the department of administration shalljointly establish eligibility requirements for private sector entities to beconsidered and the services and duties to be performed by the selected privatesector entity. Private sector entities working with other companiesto meet the eligibility requirements shall provide evidence of executed contractsor agreements with those companies. Private sector entities arerequired to demonstrate actual experience and ability to perform all elementsof the scope of the work and other duties contained in the request forproposals. The private sector entity that is selected must haveprovided evidence to the satisfaction of the department of emergency andmilitary affairs and the department of administration that it has the capacityto operate all facets of the military aviation training partnership programunder the oversight of the department of emergency and military affairs and theability to do all of the following:
1. Deliver services withoutusing any state monies.
2. Procure required ordesired personnel, goods, services and construction at the entity's own expenseusing the entity's corporate systems, procedures and methods.
3. Administer all assignedaspects of the flight and maintenance training program under the oversight ofthe department of emergency and military affairs.
C. The department ofemergency and military affairs may not use any state monies to pay for servicesrendered by the private sector entity to the United States or any foreignmilitary personnel unless it has established written agreements regardingreimbursem*nt for the expenditures. The department of emergency andmilitary affairs shall ensure it has written agreements with the private sectorentity regarding reimbursem*nt or cost recovery and may include, at thedepartment of emergency and military affair's discretion, accepting desiredin-kind services for any allocated space or resources used by the privatesector entity.
D. The department ofadministration and the department of emergency and military affairs shallcomply with the requirements of section 41-2559, subsection E, Arizona Revised Statutes, before anypublic-private partnership contract is awarded pursuant to thissection. The department of administration and the department ofemergency and military affairs shall cooperate with and be responsive to thejoint legislative budget committee staff on information requests made by thestaff regarding the operation of the public-private partnership after acontract has been awarded.
E. The establishment of amilitary aviation training program public-private partnership by thedepartment of emergency and military affairs is exempt from section 41-2752,Arizona Revised Statutes, if there is training only of military personnel andif there is use only of aircraft in the United States department of defense'sinventory or procured by a foreign partner for military purposes through theUnited States foreign military sales program.
F. A public-privatepartnership contract executed pursuant to this section may not:
1. Cause this state toshare in the liabilities of the private sector partner.
2. Exempt the privatesector partner from state law and regulations unless such an exemption isspecified under the laws of this state.
G. Notwithstanding anyother law, the existing rules adopted pursuant to section 41-2514,Arizona Revised Statutes, including those that apply to section 41-2559,Arizona Revised Statutes, also apply to this section.
H. This section is repealedfrom and after September 30, 2026.
Sec.3. Saving clause
The repeal of section 2 of this actdoes not affect any contractual rights, contractual obligations or contractualduties entered into pursuant to this act or any rules that apply to thosecontracts.
Sec.4. Emergency
This act is an emergency measure thatis necessary to preserve the public peace, health or safety and is operativeimmediately as provided by law.
