Competition with private enterprise by institutions of higher education - rules.

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(1) Institutions of higher education shall not, unless specifically authorized by statute:

  1. Provide to persons other than students, faculty, staff, and invited guests, through competitive bidding, goods, services, or facilities that are available from private enterprise, unless the provision of the good, service, or facility offers a valuable educational or research experience for students as a part of their education or fulfills the public service mission of the institution of higher education; however, institutions of higher education may sponsor or provide facilities for recreational, cultural, and athletic events or facilities for food services and sales. If the institution of higher education enters into competitive bidding, its bids shall include all direct and indirect costs of providing the good or service unless the agency receiving the bid requires all bidders to use a specific procedure or formula.

  2. (I) Provide goods, services, or facilities for or through another state agency or unit oflocal government, including by intergovernmental or interagency agreement, which, if provided directly by the institution of higher education would be in violation of this section.

(II) In determining whether the provision of a good or service offers a valuable teaching, educational, or research experience, the following criteria shall be considered:

  1. Whether the provision of the good, service, or facility is substantially and directlyrelated to the instructional, research, or public service mission of the institution of higher education;

  2. Whether the provision of the good, service, or facility is necessary or convenient forthe campus community;

  3. Whether there is a demand in the public for the good, service, or facility;

  4. Whether the price charged for the good, service, or facility reflects the direct andindirect costs and overhead costs of providing such good, service, or facility and the price in the private marketplace; and

  5. Whether measures have been taken to ensure that the provision of a good, service, orfacility is only for students, faculty, staff, or invited guests and not for the general public.

(2) (a) The commission shall develop, after consultation with governing boards of institutions of higher education and Colorado business organizations, guidelines for the provision of goods, services, and facilities to students, faculty, and staff of institutions of higher education and to the invited guests of such students, faculty, and staff.

  1. Repealed.

  1. (a) The governing board of each institution of higher education shall adopt, in accordance with guidelines established by the commission, procedures for the hearing of complaints by privately owned businesses. If a privately owned business makes a complaint of unfair competition in relation to the activities of an institution of higher education, the business shall have an opportunity for a hearing regarding such complaint. The complaint shall first be heard by the chief executive officer of the institution, or his designee, and appeal may be made by the privately owned business to the governing board of the particular institution involved in the complaint.

    1. Repealed.

  2. This section shall not apply to:

  1. The Colorado health sciences center operated by the university of Colorado, exceptin those cases in which the health sciences center provides prosthetic or medical devices, or services related to such devices, and a surgical or medical treatment or procedure is not involved in the application of the device;

  2. The provision of free medical services or equipment to indigents in association witha community service health program;

  3. Public service radio and television stations licensed to a governing board or to theinstitution of higher education under its jurisdiction.

Source: L. 88: Entire article added, p. 987, § 1, effective April 22. L. 96: (3)(b) repealed,

p. 1834, § 9, effective June 5; (2)(b) repealed, p. 1232, § 59, effective August 7.

Cross references: For the legislative declaration contained in the 1996 act repealing subsection (2)(b), see section 1 of chapter 237, Session Laws of Colorado 1996.


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