A BILL TO BE ENTITLED
AN ACT to PROVIDE PURCHASING FLEXIBILITY FOR THE university of north carolina.
The General Assembly of North Carolina enacts:
SECTION 1.  G.S. 116‑13 reads as rewritten:
"§ 116‑13.  Powers of Board regarding property and services subject to general law.
(a)	The power and authority granted to the Board of Governors with regard to the acquisition, operation, maintenance and disposition of real and personal property and services shall be subject to, and exercised in accordance with, the provisions of Chapters 143 and 146 of the General Statutes and related sections of the North Carolina Administrative Code, except when a purchase is being made that is not covered by a State term contract and either:
(1)	The funds used to procure personal property or services are not moneys appropriated from the General Fund or received as tuition or, in the case of multiple fund sources, moneys appropriated from the General Fund or received as tuition do not exceed thirty percent (30%) of the total funds; or
(2)	The funds used to procure personal property or services are contract and grant funds or, in the case of multiple fund sources, the contract and grant funds exceed fifty percent (50%) of the total funds.
When a special responsibility constituent institution makes a purchase under subdivision (1) or (2) of this subsection, the requirements of Chapter 143, Article 3 shall apply, except the approval or oversight of the Secretary of Administration, the State Purchasing Officer, or the Board of Awards shall not be required, regardless of dollar value.
(b)	Special responsibility constituent institutions shall have the authority to purchase equipment, materials, supplies, and services from sources other than those certified by the Secretary of Administration on term contracts, subject to the following conditions:
(1)	The purchase price, including the cost of delivery, is less than the cost under the State term contract;
(2)	The items are the same or substantially similar in quality, service, and performance as items available under State term contracts;
(3)	The cost of the purchase shall not exceed the benchmark established under G.S. 116-31.10; and
(4)	The special responsibility constituent institution notifies the Department of Administration of purchases consistently being made under this provision so that State term contracts may be improved."
SECTION 2.  This act becomes effective July 1, 2003.