HD39 - State Agencies Contracting with Private Businesses and Avoiding Unfair Competition

  • Published: 1990
  • Author: Office of the Governor
  • Enabling Authority: House Joint Resolution 213 (Regular Session, 1988)

Executive Summary:
This report is presented in accordance with House Joint Resolution 213, agreed to by the 1988 General Assembly. The report outlines actions taken by the Commonwealth's executive branch agencies to contract with private businesses and to avoid unfair competition with the private sector.

Across the nation, there has been much public debate over the proper role of government in directly providing services to citizens. Decisions to privatize and to eliminate unfair competition with the private sector often involve complex analyses which must carefully weigh advantages and disadvantages.

These issues were the subject of review by the Governor's Commission on Efficiency in Government, which was established in January, 1986. The issues were also addressed in two gubernatorial executive memoranda. Executive Memorandum 1-88 deals with "Increasing State Government Efficiency by Improving Government's Capability to Contract with the Private Sector." Executive Memorandum 2-88 deals with "Eliminating Unfair Competition with the Private Sector."

In response to these actions, state agencies have made significant efforts to increase their contracting with the private sector for goods and services and to eliminate unfair competition. Moreover, the procedures set forth in the executive memoranda will assure that these efforts continue.