1. 2 partners in procurement steve hagar deputy director central purchasing division department of...

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Partners in Procurement

Steve Hagar

Deputy Director

Central Purchasing Division

Department of Central Services

August 24th, 2009

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Central Purchasing Organization Chart

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Contacting Central Purchasing

• All Central Purchasing Employees contact information can be located at our web-site: http://www.ok.gov/DCS/Central_Purchasing/index.html

• Contact information regarding a specific solicitation can be found within the body of the solicitation

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Vendor Registration

• Provides Central Purchasing a pool of suppliers to send solicitation announcements

• Provides automatic notification to suppliers for specific commodities of interest

• Registration can now be accomplished on-line at the DCS/CP web-site

• Vendors need not be registered to submit bids / proposals

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How Does the State Purchasing work?

• Central Purchasing is governed by The Central Purchasing Act: Title 74 Section 85.1 and Central Purchasing Rules OAC 580:15

• Most projects in excess of $25,000 are sent to CP for competitive bid / proposal

• All solicitations are posted on the CP web–site and can be downloaded

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Solicitations???

• All registered and suggested vendors are notified (fax, e-mail, regular mail)

• Questions should be submitted in writing to Contracting Officer

• Answers to questions will be posted in the form of an amendment

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Sole Source/Brand vs. Competitive

• Competition is required for sole brand acquisitions but not sole source

• Agency Chief Administrative Officer is required to sign notarized affidavit for sole source acquisition

• Sole source / brand acquisitions must meet one of 8 exceptions qualifying as in the best interest of the State.

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Alternate Bids?

• Alternate bids are typically acceptable unless otherwise stated in solicitation

• Alternate bids must meet the solicitation requirements

• Alternate bids should stand alone as a complete response

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How Long Does It Take From Closing To Award?

The complexity of the solicitation will impact the amount of time between closing and award.

Evaluation of solicitation responses can take from days to months.

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Debriefing?

Awards are posted on the CP web-site

Meet with CPO after the award

Open Records

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Agency Purchasing

All State Agencies can purchase at least $2,500 ~• Agency < $2,500 (fair & reasonable)• Agency $2,500 < $10,000 ( 3 quotes)• Agency $10,000 < $25,000 (10 quotes)

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Contract Administration?

• Dependant on “contract ownership”

• Central Purchasing “owns” SW Contracts

• CP solicitations for agencies or agency releases are handled by agency

• Vendor reporting requirements

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Bonding???

• CP may require a Performance Bond or Irrevocable Letter-of-Credit equal to the amount of the award to assure contract performance

• Any bonding requirement will be stated in the solicitation and cannot be waived

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Insurance

• Contractors are required to carry liability insurance in accordance with Title 51, OK Statute Supplement 2001, Section 151

• Workers Compensation• Bodily Injury and Property Damage• Products and Completed Operations Liability• Blanket Contractual Liability• State Named as Additionally Insured

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Where Does the Money Come From?

• Agency funds come from three sources:– Money appropriated to agencies by the

legislature – Agency Revolving funds– Federal funding

• The State fiscal year is July 1st to June 30th

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P-Cards

• Most solicitations ask for p-card acceptance• P-card purchases are limited to $2,500 • Separate cards for Statewide contracts, Fuel and

Travel• Used for Internet, phone and walk-in purchases. • State purchases are exempt from State and local

taxes (FEI 736017987)

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When Do I Get Paid?

• The State is required to pay vendors within 45 days of invoice

• Vendors receiving payments outside of 45 days are eligible to receive interest

• Vendor has 90 days from receipt of late payment to make claim for interest payment

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Central Purchasing

Steve Hagar 405-522-3369

Steve_Hagar@dcs.state.ok.us