CHAPTER 3. GENERAL PROVISIONS
IC 5-22-3
Chapter 3. General Provisions
IC 5-22-3-1
Good faith requirement
Sec. 1. All parties involved in the negotiation, performance, oradministration of contracts under this article shall act in good faith.
As added by P.L.49-1997, SEC.1.
IC 5-22-3-2
Compliance with terms and conditions of gift
Sec. 2. Notwithstanding this article, a governmental body maycomply with the terms and conditions of a gift if noncompliance withthose terms and conditions would invalidate the gift.
As added by P.L.49-1997, SEC.1.
IC 5-22-3-3
Rules; written policies
Sec. 3. (a) A governmental body may adopt rules to regulatepurchases of the governmental body. A rule adopted under thissubsection may:
(1) supplement this article; and
(2) not be inconsistent with this article.
(b) The purchasing agency of a governmental body may establishwritten policies for purchases made by the purchasing agency. Thewritten policies may apply to all purchases generally or to a specificpurchase as stated in the solicitation for the purchase. A writtenpolicy established under this subsection may:
(1) supplement this article or a rule adopted by the purchasingagency's governmental body; and
(2) not be inconsistent with this article or a rule adopted by thepurchasing agency's governmental body.
As added by P.L.49-1997, SEC.1.
IC 5-22-3-4
Electronic transmission of notice or other materials
Sec. 4. (a) Whenever this article requires that notice or othermaterial be sent by mail, the material may be sent by electronicmeans as stated in any of the following:
(1) Rules adopted by the governmental body.
(2) Written policies of the purchasing agency.
(3) A solicitation.
(b) Rules, written policies, and solicitation statements describedin subsection (a):
(1) are subject to this article; and
(2) must provide that the transmission of information is at leastas efficient and secure as sending the material by mail.
(c) A governmental body may receive electronic offers if both ofthe following apply:
(1) The solicitation indicates the procedure for transmitting the
electronic offer to the governmental body.
(2) The governmental body receives the offer on a fax machine,by electronic mail, or by means of another electronic systemthat has a security feature that protects the content of anelectronic offer with the same degree of protection as thecontent of an offer that is not transmitted by electronic means.
(d) A governmental body conducting a reverse auction mustreceive electronic offers for supplies through an Internet purchasingsite.
As added by P.L.49-1997, SEC.1. Amended by P.L.31-2002, SEC.2;P.L.1-2003, SEC.19; P.L.93-2004, SEC.7.
IC 5-22-3-5
Offers submitted by trusts
Sec. 5. (a) This section applies whenever a trust submits an offerto a governmental body to do either of the following:
(1) Enter into a contract with the governmental body.
(2) Purchase surplus property from the governmental bodyunder this article.
(b) As used in this section, "trust" has the meaning set forth inIC 30-4-1-1(a).
(c) An offer submitted by a trust must identify all of thefollowing:
(1) Each beneficiary of the trust.
(2) Each settlor empowered to revoke or modify the trust.
As added by P.L.49-1997, SEC.1.
IC 5-22-3-6
Property interest in award of contract
Sec. 6. An offeror does not gain a property interest in the awardof a contract by a governmental body unless:
(1) the offeror is awarded the contract; and
(2) the contract is completely executed.
As added by P.L.49-1997, SEC.1.
IC 5-22-3-7
Prospective contractors required to make certifications concerningdeceptive acts and telephone privacy; sanctions
Sec. 7. (a) This section applies to every use of funds by agovernmental body. However, this section does not apply to acontract in which one (1) party is a political subdivision, includinga body corporate and politic created by or authorized by a politicalsubdivision.
(b) A prospective contractor may not contract with agovernmental body unless the prospective contractor includes thefollowing certifications as terms of the contract with thegovernmental body:
(1) The contractor and any principals of the contractor certifythat:
(A) the contractor, except for de minimis and nonsystematic
violations, has not violated the terms of:
(i) IC 24-4.7;
(ii) IC 24-5-12; or
(iii) IC 24-5-14;
in the previous three hundred sixty-five (365) days, even ifIC 24-4.7 is preempted by federal law; and
(B) the contractor will not violate the terms of IC 24-4.7 forthe duration of the contract, even if IC 24-4.7 is preemptedby federal law.
(2) The contractor and any principals of the contractor certifythat an affiliate or principal of the contractor and any agentacting on behalf of the contractor or on behalf of an affiliate orprincipal of the contractor:
(A) except for de minimis and nonsystematic violations, hasnot violated the terms of IC 24-4.7 in the previous threehundred sixty-five (365) days, even if IC 24-4.7 is preemptedby federal law; and
(B) will not violate the terms of IC 24-4.7 for the duration ofthe contract, even if IC 24-4.7 is preempted by federal law.
(c) If a certification in subsection (b) concerning compliance withIC 24-4.7, IC 24-5-12, or IC 24-5-14 is materially false or if thecontractor, an affiliate or a principal of the contractor, or an agentacting on behalf of the contractor or an affiliate or a principal of thecontractor violates the terms of IC 24-4.7, IC 24-5-12, or IC 24-5-14,even if IC 24-4.7 is preempted by federal law, the attorney generalmay bring a civil action in the circuit or superior court of MarionCounty to:
(1) void a contract under this section, subject to subsection (d);and
(2) obtain other proper relief.
However, a contractor is not liable under this section if the contractoror an affiliate of the contractor acquires another business entity thatviolated the terms of IC 24-4.7, IC 24-5-12, or IC 24-5-14 within thepreceding three hundred sixty-five (365) days before the date of theacquisition if the acquired business entity ceases violating IC 24-4.7,IC 24-5-12, or IC 24-5-14, even if IC 24-4.7 is preempted by federallaw, as of the date of the acquisition.
(d) If:
(1) the attorney general notifies the contractor, department ofadministration, and budget agency in writing of the intention ofthe attorney general to void a contract; and
(2) the attorney general does not receive a written objectionfrom the department of administration or budget agency, sent toboth the attorney general and the contractor, within thirty (30)days of the notice;
a contract between a contractor and a governmental body is voidableat the election of the attorney general in a civil action brought undersubsection (c). If an objection of the department of administration orthe budget agency is submitted under subdivision (2), the contractthat is the subject of the objection is not voidable at the election of
the attorney general unless the objection is rescinded or withdrawnby the department of administration or the budget agency.
(e) If the attorney general establishes in a civil action that acontractor is knowingly, intentionally, or recklessly liable undersubsection (c), the contractor is prohibited from entering into acontract with a governmental body for three hundred sixty-five (365)days after the date on which the contractor exhausts appellateremedies.
(f) In addition to any remedy obtained in a civil action broughtunder this section, the attorney general may obtain the following:
(1) All money the contractor obtained through each telephonecall made in violation of the terms of IC 24-4.7, IC 24-5-12, orIC 24-5-14, even if IC 24-4.7 is preempted by federal law.
(2) The attorney general's reasonable expenses incurred in:
(A) investigation; and
(B) maintaining the civil action.
As added by P.L.165-2005, SEC.4 and P.L.222-2005, SEC.27.