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<br><br> <br>Page 1 of 4 <br>45A.345 Definitions for KRS 45A.343 to 45A.460. <br>As used in KRS 45A.343 to 45A.460, unless the context indicates otherwise: <br>(1) &quot;Aggregate amount&quot; means the total dollar amount during a fiscal year of items of a <br>like nature, function, and use the need for which can reasonably be determined at <br>the beginning of the fiscal year. Items the need for which could not reasonably be <br>established in advance or which were unavailable because of a failure of delivery <br>need not be included in the aggregate amount. <br>(2) &quot;Capital cost avoidance&quot; means moneys expended by a local public agency to pay <br>for an energy conservation measure identified as a permanent equipment <br>replacement and whose cost has been discounted by any additional energy and <br>operation savings generated from other energy conservation measures identified in <br>the guaranteed energy savings contract, except that for school districts capital cost <br>avoidance shall also mean moneys expended by the district from one (1) or more of <br>the following sources: <br>(a) General fund; <br>(b) Capital outlay allotment under KRS 157.420; and <br>(c) State and local funds from the Facilities Support Program of Kentucky under <br>KRS 157.440. <br>(3) &quot;Chief executive officer&quot; means the mayor, county judge/executive, superintendent <br>of schools, or the principal administrative officer of a local public agency, or the <br>person designated by the chief executive officer or legislative body of the local <br>public agency to perform the procurement function. <br>(4) &quot;Construction&quot; means the process of building, altering, repairing, or improving any <br>public structure or building, or other public improvements of any kind to any public <br>real property. It does not include the routine operation, routine repair, or routine <br>maintenance of existing structures, buildings, or real property. <br>(5) &quot;Contract&quot; means all types of local public agency agreements, including grants and <br>orders, for the purchase or disposal of supplies, services, construction, or any other <br>item. It includes awards and notices of award; contracts of a fixed-price, cost, cost-<br>plus-a-fixed-fee, or incentive type; contracts providing for the issuance of job or <br>task orders; leases; letter contracts; and purchase orders. It also includes <br>supplemental agreements with respect to any of the foregoing. It does not include <br>labor contracts with employees of local public agencies. <br>(6) &quot;Document&quot; means any physical embodiment of information or ideas, regardless of <br>form or characteristic, including electronic versions thereof. <br>(7) &quot;Established catalogue price&quot; means the price included in the most current <br>catalogue, price list, schedule, or other form that: <br>(a) Is regularly maintained by the manufacturer or vendor of an item; and <br>(b) Is either published or otherwise available for inspection by customers; and <br>(c) States prices at which sales are currently or were last made to a significant <br>number of buyers constituting the general buying public for that item. <br><br> <br>Page 2 of 4 <br>(8) &quot;Evaluated bid price&quot; means the dollar amount of a bid after bid price adjustments <br>are made pursuant to objective measurable criteria, set forth in the invitation for <br>bids, which affect the economy and effectiveness in the operation or use of the <br>product, such as reliability, maintainability, useful life, residual value, and time of <br>delivery, performance, or completion. <br>(9) &quot;Invitation for bids&quot; means all documents, whether attached or incorporated by <br>reference, utilized for soliciting bids in accordance with the procedures set forth in <br>KRS 45A.365. <br>(10) &quot;The legislative body or governing board&quot; means a council, commission, or other <br>legislative body of a city, consolidated local government, or urban-county; a county <br>fiscal court; board of education of a county or independent school district; board of <br>directors of an area development district or special district; or board of any other <br>local public agency. <br>(11) &quot;Local public agency&quot; means a city, county, urban-county, consolidated local <br>government, school district, special district, or an agency formed by a combination <br>of such agencies under KRS Chapter 79, or any department, board, commission, <br>authority, office, or other sub-unit of a political subdivision which shall include the <br>offices of the county clerk, county sheriff, county attorney, coroner, and jailer. <br>(12) &quot;May&quot; means permissive. However, the words &quot;no person may . . .&quot; mean that no <br>person is required, authorized, or permitted to do the act prescribed. <br>(13) &quot;Negotiation&quot; means contracting by either the method set forth in KRS 45A.370, <br>45A.375, or 45A.380. <br>(14) &quot;Noncompetitive negotiation&quot; means informal negotiation with one (1) or more <br>vendor, contractor, or individual without advertisement or notice. <br>(15) &quot;Objective measurable criteria&quot; means sufficient information in the invitation to bid <br>as to weight and method of evaluation so that the evaluation may be determined <br>with reasonable mathematical certainty. Criteria which are otherwise subjective, <br>such as taste and appearance, may be established when appropriate. <br>(16) &quot;Person&quot; means any business, individual, union, committee, club, or other <br>organization or group of individuals. <br>(17) &quot;Procurement&quot; means the purchasing, buying, renting, leasing, or otherwise <br>obtaining any supplies, services, or construction. It also includes all functions that <br>pertain to the obtaining of any public procurement, including description of <br>requirements, selection, and solicitation of sources, preparation and award of <br>contract, and all phases of contract administration. <br>(18) &quot;Request for proposals&quot; means all documents, whether attached or incorporated by <br>reference, utilized for soliciting proposals in accordance with the procedures set <br>forth in KRS 45A.370, 45A.375, 45A.380, or 45A.385. <br>(19) &quot;Responsible bidder or offeror&quot; means a person who has the capability in all <br>respects to perform fully the contract requirements, and the integrity and reliability <br>which will assure good faith performance. <br>(20) &quot;Responsive bidder&quot; means a person who has submitted a bid under KRS 45A.365 <br>which conforms in all material respects to the invitation for bids, so that all bidders <br><br> <br>Page 3 of 4 <br>may stand on equal footing with respect to the method and timeliness of submission <br>and as to the substance of any resulting contract. <br>(21) &quot;Reverse auction&quot; means a real-time, structured bidding process, usually lasting less <br>than one (1) hour, and taking place at a previously scheduled time and Internet <br>location, during which multiple bidders, anonymous to each other, submit revised, <br>lower bids to provide the solicited good or leased space. <br>(22) &quot;Services&quot; means the rendering, by a contractor, of its time and effort rather than the <br>furnishing of a specific end product other than reports which are merely incidental <br>to the required performance of service. It does not include labor contracts with <br>employees of local public agencies. <br>(23) &quot;Shall&quot; means imperative. <br>(24) &quot;Specifications&quot; means any description of a physical or functional characteristic of a <br>supply, service, or construction item. It may include a description of any <br>requirement for inspecting, testing, or preparing a supply, service, or construction <br>item for delivery. <br>(25) &quot;Supplemental agreement&quot; means any contract modification which is accomplished <br>by the mutual action of the parties. <br>(26) &quot;Supplies&quot; means all property, including but not limited to leases on real property, <br>printing, and insurance, except land or a permanent interest in land. <br>(27) &quot;Energy conservation measure&quot; means a training program or facility alteration <br>designed to reduce energy consumption or operating costs, and may include one (1) <br>or more of the following: <br>(a) Insulation of the building structure or systems within the building; <br>(b) Storm windows or doors, caulking or weatherstripping, multiglazed windows <br>or doors, heat absorbing or heat reflective glazed and coated window or door <br>systems, additional glazing, reductions in glass area, or other window and <br>door system modifications that reduce energy consumption; <br>(c) Automated or computerized energy control systems; <br>(d) Heating, ventilating, or air conditioning system modifications or <br>replacements; <br>(e) Replacement or modification of lighting fixtures to increase the energy <br>efficiency of the lighting system without increasing the overall illumination of <br>a facility, unless an increase in illumination is necessary to conform to the <br>applicable state or local building code for the lighting system after the <br>proposed modifications are made; <br>(f) Energy recovery systems; <br>(g) Cogeneration systems that produce steam or forms of energy such as heat, as <br>well as electricity, for use primarily within a building or complex of buildings; <br>(h) Energy, water, or wastewater conservation measures that provide long-term <br>operating cost reductions or billable revenue increases; <br>(i) Any life safety measures that provide long-term operating cost reductions; <br><br> <br>Page 4 of 4 <br>(j) Water and wastewater conservation measures, including plumbing fixtures <br>and infrastructure; <br>(k) Equipment upgrades that improve the accuracy of billable revenue generating <br>systems; or <br>(l) Automated, electronic, or remotely controlled systems or measures that reduce <br>direct personnel costs. <br>(28) &quot;Guaranteed energy savings contract&quot; means a contract for the evaluation and <br>recommendation of energy, water, and wastewater conservation measures and for <br>implementation of one (1) or more of those measures. The contract shall provide <br>that all payments, except obligations on termination of the contract before its <br>expiration, are to be made over time and the savings are guaranteed to the extent <br>necessary to make payments for the cost of the design, installation, and maintenance <br>of energy, water, and wastewater conservation measures. <br>(29) &quot;Qualified provider&quot; means a person or business experienced in the design, <br>implementation, and installation of energy, water, and wastewater conservation <br>measures and is determined to be qualified by the local public agency. The qualified <br>provider shall be responsible for and shall provide the local public agency with the <br>following information regarding guaranteed energy, water, and wastewater savings <br>contracts: <br>(a) Project design and specifications; <br>(b) Construction management; <br>(c) Construction; <br>(d) Commissioning; <br>(e) On-going services as required; <br>(f) Measurement and verification of savings for guaranteed energy, water, and <br>wastewater savings contracts; and <br>(g) Annual reconciliation statements as provided in KRS 45A.352(8). <br>Effective: July 15, 2010 <br>History: Amended 2010 Ky. Acts ch. 63, sec. 6, effective July 15, 2010. -- Amended <br>2005 Ky. Acts ch. 163, sec. 1, effective June 20, 2005. -- Amended 2002 Ky. Acts <br>ch. 346, sec. 12, effective July 15, 2002. -- Amended 1998 Ky. Acts ch. 120, sec. 12, <br>effective July 15, 1998; and ch. 375, sec. 2, effective July 15, 1998. -- Amended <br>1996 Ky. Acts ch. 203, sec. 2, effective July 15, 1996. -- Amended 1994 Ky. Acts <br>ch. 491, sec. 3, effective July 15, 1994. -- Amended 1980 Ky. Acts ch. 250, sec. 8, <br>effective April 9, 1980. -- Created 1978 Ky. Acts ch. 110, sec. 70, effective January <br>1, 1980. <br><br>