S.F. No. 921 creates a new section of law that allows local governments to acquire used public safety equipment without competitive bidding or proposals if the equipment is limited to a single source of supply.  Local governments may issue certificates of indebtedness or capital notes to acquire public safety equipment by lease for a term of up to 15 years.

Section 1, subdivision 1 defines “local government” as cities, counties, towns or fire departments as defined in Minnesota Statutes, section 299N.01, subdivision 2.  “Public safety equipment” is defined as vehicles and specialized equipment used in firefighting, ambulance and emergency medical treatment services, rescue, and hazardous materials response.  

Subdivision 2.  A local government may acquire used public safety equipment by purchase or lease without competitive bidding or proposals if the equipment is clearly and legitimately limited to a single source of supply and the contract price may be best established by direct negotiation.  This is allowed notwithstanding current laws to the contrary.

Subdivision 3.  A local government may issues certificates of indebtedness or capital notes to acquire new or used public safety equipment by lease for a term of up to 15 years.  The obligation created by a long-term lease agreement for public safety equipment is not included in the calculation of net debt and does not constitute debt under any statutory provision.  No election is required in connection with executing a lease authorized by this section.  Leases are allowed notwithstanding current laws to the contrary.

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