313.270. Purchase of goods and services--minority contracts, expiration date--investigation costs--bond--termination of vendor's contract.

MISSOURI STATUTES AND CODES

313.270. Purchase of goods and services--minority contracts, expiration date--investigation costs--bond--termination of vendor's contract.

Purchase of goods and services--minority contracts, expirationdate--investigation costs--bond--termination of vendor'scontract.

313.270. 1. The director, pursuant to rules and regulations issuedby the commission, may directly purchase or lease such goods or services asare necessary for effectuating the purposes of sections 313.200 to 313.350,including procurements which integrate functions such as lottery gamedesign, supply of goods and services, and advertising. The lotterycommission by approved rule may purchase goods made in the United Statesand sold by a Missouri business to be given away as prizes within theprovisions of section 313.321. Contracts shall be awarded to lotterycontractors or lottery vendors on the basis of lowest and best bid on anevaluated basis in order to maximize revenues to the lottery fund. Thedirector may also utilize state purchasing procedures. The director shallaward at least ten percent of the aggregate dollar amount of all contractsto provide goods and services to the lottery to minority businessenterprises as defined by the office of administration and shall award atleast five percent of the aggregate dollar amount of all contracts toprovide goods and services to the lottery to women business enterprises asdefined by the office of administration. No contract awarded or enteredinto by the director may be assigned by the holder thereof except byspecific approval of the commission.

2. Any contract awarded to any lottery contractor or vendor shallprovide that such contractor or vendor shall award a minimum of ten percentof his subcontracted business to minority business enterprises as definedby the office of administration and shall award a minimum of five percentof his subcontracted business to women business enterprises as defined bythe office of administration. This section shall not apply to multistatelottery.

3. Any lottery vendor which enters into a contract to supply lotterymaterials, services or equipment for use in the operation of the statelottery shall first disclose such information as the commission mayrequire, by rule and regulation, concerning the selection of lotteryvendors.

4. The costs of any investigation into the background of theapplicant seeking a contract shall be assessed against the applicant andshall be paid by the applicant at the time of billing by the state.

5. Performance bonds shall be posted by each contractor with thecommission with a surety acceptable to the commission in an amount as maybe required by the commission, but not to exceed the expected total valueof the contract. The contract of any lottery contractor who does notcomply with such requirements may be terminated by the commission. Thecommission may terminate the contract of any lottery vendor who:

(1) Is convicted of any felony;

(2) Is convicted of any gambling-related offense;

(3) Is convicted of any crime involving fraud or misrepresentation;

(4) Fails to comply with the rules and regulations of the commissionexisting at the time the contract was entered into; or

(5) Fails to periodically update any disclosure requirements.

6. The provisions in this section requiring that certain percentagesof lottery contracts and subcontracts be awarded to businesses owned andcontrolled by women or ethnic and racial minorities shall expire on January1, 2005.