1.1                          A bill for an act 
  1.2             relating to local government; authorizing the use of 
  1.3             reverse auction and electronic bidding; amending 
  1.4             Minnesota Statutes 2002, section 471.345, by adding 
  1.5             subdivisions. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 2002, section 471.345, is 
  1.8   amended by adding a subdivision to read: 
  1.9      Subd. 16.  [REVERSE AUCTION.] Notwithstanding any other 
  1.10  procedural requirements of this section, a municipality may 
  1.11  contract to purchase supplies, materials, and equipment using an 
  1.12  electronic purchasing process in which vendors compete to 
  1.13  provide the supplies, materials, or equipment at the lowest 
  1.14  selling price in an open and interactive environment. 
  1.15     Sec. 2.  Minnesota Statutes 2002, section 471.345, is 
  1.16  amended by adding a subdivision to read: 
  1.17     Subd. 17.  [ELECTRONIC BIDDING.] Notwithstanding any law to 
  1.18  the contrary, vendors may submit bids, quotations, and proposals 
  1.19  electronically in a form and manner required by the 
  1.20  municipality.  A municipality may require that bid, performance, 
  1.21  or payment bonds, or other security, be furnished electronically.