CHAPTER 35

(HB 1049)

Online reverse auctions allowed for state purchases.


         ENTITLED, An Act to  authorize the use of online reverse auctions for state purchases.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:

     Section  1.  Terms used in this Act mean:

             (1)    "Reverse auction," a purchasing process in which bidders submit bids in competing to sell supplies or services in an open environment via the internet;

             (2)    "Internet," the international computer network of both federal and nonfederal interoperable packet switched data networks, including the graphical subnetwork called the world wide web.

     Section  2.  That chapter 5-23 be amended by adding thereto a NEW SECTION to read as follows:

     Notwithstanding the provisions of this chapter, the Bureau of Administration may purchase supplies or services by online reverse auction. The Bureau of Administration shall promulgate rules, pursuant to chapter 1-26, to establish procedures pursuant to this section.

     Signed February 20, 2002.
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