HARRY HUGHES, Governor                                       3435

(5) The nature of the work falls within the
Department of Personnel's standards for emergency appointments.

[18-805.] 61.

(a)  A procurement agency that seeks to enter into a service
contract shall submit data to the departments showing an actual
cost savings for the State under the contract as compared to
performance of the work by State employees.

(b)  The cost savings calculated over the duration of the
contract shall be at least:

(1)  20 percent for any service contract costing up to
$1,000,000; or

(2)  $200,000 for any service contract costing in
excess of $1,000,000.

(c)  In calculating the cost comparison, the procurement
agency shall include the following:

(1)  Direct costs, including fringe benefits;

(2)  Indirect overhead costs, which shall include only
those costs that can be attributed solely to the work in question
and that would not exist if the work were not performed by State
employees. Indirect overhead costs shall include the pro rata
share of existing administrative salaries and benefits, rents,
equipment costs, utilities, and materials;

(3)  Any continuing or transitional costs that would
be directly associated with contracting for the work, including
unemployment compensation and the cost of transitional services;
and

(4)  Additional costs of performance of the work by
State employees, including the salaries and benefits of
additional staff and the cost of additional space, equipment, and
materials needed to perform the function.

[18-806.] 62.

(a)  A procurement agency that seeks to enter into a service
contract shall submit to the departments a formal plan of
assistance to the State employees who will be adversely impacted
by the service contract.

(b)  The plan shall include, but is not limited to, the
following provisions:

(1) Efforts by the procurement agency to place
affected employees in vacant positions in that agency or other
State agencies;