Current through Register Vol. 49, No. 9, September, 2024
R1:
19-11-203
Definitions of terms used in this Act Exempt
commodities and services means:
(a)
(14) (D) (i) Commodities procured for resale does not include items used to
support the sale of goods or services such as reusable items or items used in
preparing, serving, dispensing, or packaging, except for vendor packaging
included with the item purchased.
(b) (14) (I) (i) Farm products includes
unprocessed feed for livestock.
(c)
(14) (M) "License" does not mean software license.
(d) (14) (O) Livestock breeding to include
ova and semen.
(e) (14) (P)
Technical equipment for maintenance purposes shall include, but not be limited
to, medical, dental, laboratory, and health aid equipment, climate control
equipment, water treatment services, elevators, musical instruments,
communications equipment, data processing equipment, and specialized research
equipment.
(f) (14) (S) Perishable
foodstuffs shall be limited to produce.
(g) (14) Retail gasoline credit card
purchases are exempt by regulation, regardless of the amount.
(h) (14) Renewals of termite protection
contracts with the contractor who performed the initial treatment of the
facility are exempt. Not exempt are termite protection contracts which include
the initial treatment.
R2:
19-11-203
Capital Improvements
(14)
(AA)
Capital improvements valued at less than Twenty Thousand Dollars ($20,000) and
not subject to ABA minimum standards and criteria are exempt from the
requirements of the Procurement Law.
R1: 19-11-205
Definitions concerning
commodity management
(a) "Tax
supported institutions" means institutions that derive at least fifty percent
(50%) of their revenue by appropriation from a taxing jurisdiction.
(b) "Cannibalization" means the process
whereby a nonexpendable surplus or excess commodity is dismantled for parts to
be used as replacements or as components of other machines or
devices.
R1: 19-11-214
Determination
(a) Written
procurement determinations. Written determinations and findings shall be signed
by the employees making said determinations and findings.
(b) Contract files must be retained for five
(5) years after all contract renewals (if any) have
expired.
R1: 19-11-217
Authority of the State Procurement Director
Quality assurance, inspection, and testing. The State Procurement
Director or agency procurement official shall be responsible for assuring that
commodities and services conform to the necessary specifications, terms and
conditions in the following situations:
(1) upon delivery, in response to a purchase
order or contract award;
(2) before
delivery when the bidder has responded to an invitation for bids and/or
received a contract award;
(3)
after a vendor(s) has submitted an alternative bid. Examination of commodities
and services may, where and when necessary, include laboratory testing and/or
simulation studies.
R2:
19-11-217
Authority of the State Procurement Director
Reporting. The State Procurement Director shall have the authority to
collect information from all procurement agencies to facilitate the preparation
of statistical and financial reports on state government procurement
activity.
R3: 19-11-217
Authority of the State Procurement Director
(a) Vendor fee. Vendors shall make
application on the Office of State Procurement web site at
www.accessarkansas.org/dfa/purchasing
to have their name placed on the State Master Vendor list for the commodities
and services they wish to supply or provide. An annual fee may be
required.
(b) State master vendor
master list. Inclusion of the name of a business on the vendor's list does not
indicate whether the business is responsible with respect to a particular
procurement or otherwise capable of successfully performing a
contract.
(c) Vendors not on vendor
lists. Hard copies of invitations to bid requested in response to public notice
or other notification of a particular procurement will be provided to the
requestor at a charge consistent with the current costs of reproduction and
distribution.
(d) Recommended
vendors. Vendors listed as recommended vendors on agency purchase requests will
be furnished invitations to bid, however, if the contract is awarded to a
"recommended vendor", that vendor must register on the State Master Vendor List
and pay the fee.
R4:
19-11-217
Vendor's List
(a) Vendor's list. The Office of State
Procurement and each agency procurement official shall maintain a vendor's
list.
(b) Application. A business
shall make application on the Office of State Procurement web site at
www.accessarkansas.org/dfa/purchasing
to have its name placed on the vendor's list for the commodities and services
it wishes to supply or provide. The business must provide complete information
requested in the application before it will be considered for placement on a
vendor's list.
(c) Determination.
The procurement agencies may refuse to list any prospective bidder not making
proper application. The prospective bidder has the burden of showing that it
meets the qualifications for inclusion on the vendor's list on which it seeks
to be listed. The prospective bidder will be promptly advised if its
application is disapproved and the reasons for disapproval shall be
stated.
(d) Reapplication. Any
prospective bidder whose application is disapproved may reapply following the
date of disapproval.
(e) Removal.
(1) Any bidder who requests in writing to be
removed from the vendor's list shall be removed.
(2) Bidders who have been suspended and/or
debarred shall be removed from the vendor's list.
R1: 19-11-218
Appointment of assistants and other employees; Delegation of authority by
the State Procurement Director
(a)
Delegation. The delegation to state agencies of the authority for the
procurement of commodities and services may be made by the State Procurement
Director. The delegation may be for a specific commodity or service or for all
commodities and services for a specific period of time. Such delegation shall
be made by a written order signed by the State Procurement Director or by
regulations promulgated by the State Procurement Director setting forth with
particularity the kind or type of procurement activity or function delegated
together with any limitations or restrictions on the exercise of such
authority.
(b) Limitations. All
delegations of procurement authority shall remain in force according to the
original terms thereof unless modified or until rescinded by the State
Procurement Director.
(c) Small
procurements and competitive bidding. All state agencies shall be authorized to
make purchases according to the procedures for small purchases and competitive
bidding as authorized by §§
19-11-231 and
19-11-234 and
regulations adopted pursuant thereto. All state agencies not having an agency
procurement official shall designate a procurement agent for said delegated
purchases and shall submit a letter signed by the administrative head of the
state agency to the State Procurement Director designating each employee who
shall be a procurement agent.
R1:
19-11-220
Procurement agencies
(a) Designation. Each state agency authorized
by §
19-11-220
to elect to have an agency procurement official shall submit a letter signed by
the administrative head of the state agency to the State Procurement Director
designating an employee who shall be the agency procurement official.
(b) Internal procedures. The internal
procurement procedures must ensure adequate management and control of the
agency procurement functions pursuant to law and regulations. Each agency shall
ensure that a current copy of its internal procurement procedures and
regulations is kept on file. The internal procurement procedures established
may include, but are not limited to:
(1) A
method of recording and filing each transaction as follows:
(A) legal notice where applicable;
(B) the original invitation for bids,
purchase order, internal purchase request, printing order, or other applicable
document;
(C) a list of all bidders
invited to participate;
(D) the
original of all bids received;
(E)
an abstract of bids received; and
(F) a copy of all correspondence, memos, or
other documents related to the award and administration of each transaction,
including administrative determinations or justifications when
applicable.
(2) A file
containing each vendor's application and reports regarding the vendor's
performance.
(c)
Limitations. Upon request of the Director of the Department of Finance and
Administration or his designee, the agency procurement official shall make
available for audit and inspection records of any and all transactions
pertaining to the procurement of commodities and services.
(d) General. A state agency having an agency
procurement official may request the Office of State Procurement to procure
specific commodities and services which the agency procurement official is
authorized to procure or to procure all commodities and services which the
agency procurement official is authorized to procure for a specific period of
time.
R1: 19-11-223
Commodities and services under state contract
(a) Notice. Notice of all term contracts
initiated by the Office of State Procurement will be given to applicable
agencies at least thirty (30) days prior to issuance of invitations for bids in
order to invite comments and questions, and notice will be posted on Office of
State Procurement website. See
www.state.ar.us/dfa/purchasing/index.html.
(b) Request for exclusion. State agencies
having agency procurement officials may request exemption from a proposed state
contract no less than ten (10) calendar days prior to issuance of an invitation
for bids by submitting to the State Procurement Director a written
justification for such exemption.
(c) Determination by State Procurement
Director. Approval or denial of exemption from a state contract shall be made
in writing by the State Procurement Director prior to issuance of the
invitation for bids.
R1:
19-11-224
Interest, carrying charges, and termination
fees
(a) Limitations.
(1) Contracts may be entered into which
contemplate the payment of interest or carrying charges only in the following
conditions:
(A) when the interest or carrying
charge is required because the term of the contract is extended over a period
of time; and
(B) when a provision
for termination of the contract is included in the contract, as provided in
§
19-11-238(c)
and the regulations promulgated pursuant thereto.
(2) Contracts may be entered into which
contain a provision for the payment of the following charges on delinquent
accounts: interest charges, carrying charges, late payment charges or any other
charge which may be construed as a penalty, but only if incurred sixty (60)
days after the due date.
(3)
Service charges may be paid on credit card procurements.
R1: 19-11-229
Competitive sealed bidding Definition.
Invitations for bids shall be mailed, hand delivered, or conveyed in
written or electronic form, to all parties on the applicable vendor's list in
adequate time to allow response.
R2:
19-11-229
Competitive sealed bidding Conditions for
use.
(a) Lease. All contracts for the
lease of a commodity which exceed a cost of Twenty-five Thousand Dollars
($25,000) during the initial period of the contract shall be awarded on the
basis of competitive sealed bids. All contracts for the lease of a commodity
which do not exceed Twenty-five Thousand Dollars ($25,000) during the initial
period of the contract but contain an option to purchase a commodity costing
more than Twenty-five Thousand Dollars ($25,000) shall be awarded on the basis
of competitive sealed bids. No lease duration including renewals can extend
beyond a seven-year period. The term "lease" shall include rent.
(b) Purchase of commodities subject to the
Arkansas Constitution, Amendment 54. Commodities subject to the Arkansas
Constitution, Amendment 54 (printing, stationery and supplies) may be purchased
only by the State Procurement Director or his designee.
R3: 19-11-229
Competitive sealed
bidding Commodities and services which are not practicable to procure by
competitive sealed bidding:
(1)
Postage meter leases;
(2) Motor
vehicle rentals (for thirty (30) days or less) may be procured by use of
competitive bid procedures. All motor vehicle leases (over thirty days) must be
approved by the State Procurement Director.
(3) Agricultural equipment leases for 180
days or less may be procured by use of competitive bid
procedures.
R4: 19-11-229
Competitive sealed bidding Leases.
Lease of commodities on state contract. No contract greater than ninety
(90) days for the lease of commodities on state contract shall be approved
unless the State Procurement Director determines in writing that it is in the
best interest of the state and states the reasons therefore.
R5: 19-11-229
Competitive sealed
bidding Bid submission.
(1) Bidders
shall submit bids at the place and on or before the date and time set in the
invitation for bids. Bids received after the date and time designated for bid
opening are late bids and shall not be considered.
(2) All bids and any modifications to bids
previously filed, received prior to the date and time fixed for opening bids,
shall be kept secure and unopened. If a bid is submitted and the invitation for
bids number is not clearly marked to indicate the date and time of bid opening
the State Procurement Director or agency procurement official shall make a
reasonable attempt, including, but not limited to, opening, marking and
resealing, to determine which bid the submission is for, resealing it and shall
open it formally at the date and time of that bid opening.
(3) Retrieval of a bid for purposes of
modification or withdrawal shall be permitted prior to date and time of opening
upon positive identification of a bona fide representative of the
business.
R6: 19-11-229
Competitive sealed bidding
Bid opening. When practical, the names of the bidders and amounts of
their bids may be read aloud. Except where it may be deemed impractical, due to
the nature or complexity of an invitation for bids, an abstract of bids which
contains the amount of each bid and the name of the bidder shall be prepared
for each invitation for bids. An abstract of bids shall be retained in the bid
file and shall be available for public inspection.
R7: 19-11-229
Competitive sealed
bidding Bid evaluation.
(1) Those
criteria that will affect the bid price and be considered in evaluation for
award shall be stated in the bid and objectively measured, such as
transportation costs and total or life cycle cost. Judgmental evaluation of
commodities and services may be used in determining whether the commodity or
service offered by a bidder meets the specification requirements of the
procurement, or the bidder is qualified to provide the service.
(2) The following matters shall be applicable
to all invitations for bids issued, bids submitted, and contracts awarded for
the purchase of commodities:
(A) Time
discounts or cash discounts shall not be considered;
(B) Quantity discounts should be included in
the price of the item. When not included in the item price, the discount shall
be considered only if the procurement agency, or the agency for whose benefit
the procurement has been undertaken, deems it to be in the state's best
interest. The unit price shown on the contract shall be the net price, less the
discount, unless otherwise indicated in the bid;
(C) An award may be made to the lowest
aggregate bidder for all items, group of items, or on an individual item basis,
whichever is deemed to be in the state's best interest.
(D) Only signed, sealed bids delivered prior
to the date and time of bid opening shall be accepted.
(E) Past Performance
(i) Past performance must be supported by
written documentation. Documentation used for evaluation should not be greater
than three years old. Documentation may be as a formal Vendor Performance
Report, an informal memo (signed and dated) or any other appropriate
authenticated notation of performance to the vendor file. Reports, memos and
files may be in electronic form. Past performance may be positive or
negative.
(ii) Past performance on
contracts from other Arkansas State Agencies may also be used for evaluation.
Supporting documentation should be provided.
(iii) Past performance evaluation should not
take the place of suspension or debarment procedures.
(3) Tie bids. In the event the
lowest prices offered result in a tie bid, the person responsible for awarding
a contract must ensure that all offers meet specifications. An award will be
made by lot (flip of a coin). The coin flip will be done in the presence of a
witness by the person responsible for awarding the contract. The witness must
be an employee of the State of Arkansas. A documentation of the coin flip must
be included on the tabulation or bid history sheet and be signed by both
parties.
R8: 19-11-229
Competitive sealed bidding Rejection. Grounds for rejection of bids
include but shall not be limited to:
(1) failure of a bid to conform to the
essential requirements of an invitation for bids;
(2) any bid which does not conform to the
specifications contained or referenced in any invitation for bids unless the
items offered as alternatives meet the requirements specified in the
invitation;
(3) any bid which fails
to conform to a delivery schedule established in an invitation for bids, unless
the invitation for bids contains provisions for acceptance of offers with
alternative delivery schedules;
(4)
a bid imposing conditions which would modify the terms and conditions of the
invitation for bids;
(5) any bid
determined by the procurement official in writing to be unreasonable as to
price;
(6) bids received from
bidders determined to be nonresponsible bidders;
(7) failure to furnish a bid guarantee when
required by an invitation for bids; and
(8) any or all bids when the procurement
official determines it to be in the best interest of the
state.
R9: 19-11-229
Competitive sealed bidding
(a)
Correction or withdrawal of bids.
(1) The
State Procurement Director or agency procurement official may waive
technicalities or minor irregularities in bids which do not affect the material
substance of the bids when it is in the state's best interest to do
so.
(2) Amendments to bids shall be
allowed if the amendments are in writing and signed, are received prior to the
date and time of bid opening, and clearly indicate the date and time of bid
opening and bid number.
(3) If
there is a suspected bid mistake, the State Procurement Director or agency
procurement official may request confirmation of a bid and shall request the
confirmation to be made in writing. The bid of any bidder who fails or refuses
to clarify in writing within a reasonable time any matter contained in his bid
shall be rejected. The written clarification shall become a part of the
contract awarded on the basis of that bid.
(4) Bid prices shall be based on the unit
prices and any correction of the price extension or of the price addition by
the Office of State Procurement or state agency having an agency procurement
official shall not be considered the correction of a bid. Bid prices shall not
be increased after the date and hour of bid opening. A bid price may be
decreased only after a determination has been made that the bid is
low.
(5) An otherwise low bidder
may be permitted the opportunity to furnish other information requested in the
invitation for bids and not supplied due to oversight, so long as it does not
affect responsiveness.
(6) When a
mistake in a bid is claimed by the vendor prior to award and the evidence is
clear and convincing that a material mistake was made in the bid, and that due
to such mistake the bid submitted was not the bid intended, the bidder may be
permitted to withdraw his bid. Where the evidence is clear and convincing that
a material mistake has been made in a bid after the award of a contract and the
contractor will sustain a financial loss (a reduction or diminution in profit
margin shall not be deemed a financial loss under this subsection) if required
to perform the contract, the contract may be rescinded.
(b) Correction. Any negotiated adjustments,
as defined in §
19-11-229(h),
will not be considered the correction of a bid.
R10: 19-11-229
Competitive sealed
bidding
(a) Award. After a reasonable
bid evaluation period, the bid shall be awarded to the responsive and
responsible bidder who has submitted the lowest bid that meets the requirements
and criteria set forth in the invitation for bids. All bids may be rejected if,
after evaluation of the bids, including consideration of any clarifying or
explanatory information submitted by the bidders, it is determined by the
procurement official that no satisfactory bid has been received.
(b) Negotiation. In the event that
negotiation is necessary, a bidder may be determined to be non-responsive if
the bidder and agency are unable to reach a negotiated adjustment. If
negotiations fail or the agency is unable to reach a negotiated adjustment with
the apparent low bidder, the next lowest bidder can be contacted for the
purposes of entering into negotiations.
(c) Unsuccessful bid. In the event no bids
are received or items bid do not meet specifications and it is apparent that
further solicitation of bids would be futile, requested commodities may be
purchased from any available source.
R11: 19-11-229
Competitive sealed
bidding Life cycle cost.
(1) Life cycle
or total ownership costs may include but are not limited to, costs of
operation, maintenance, repair, disposal and/or acquisition.
(2) Application. Life cycle cost formulas may
be used for procurements. Certain specified commodities must be procured using
life cycle cost formulas provided by the Office of State Procurement. For those
specified commodities, the State Procurement Director shall provide formulas to
be used in the evaluation of bids by the State Procurement Director, the agency
procurement officials or the procurement agents.
R12: 19-11-229
Competitive sealed
bidding
Cancellation of invitations for bids. A notice of cancellation shall
be listed on the OSP website (www.state.ar.us/dfa/purchasing).
The bids submitted will be returned if the bid is properly
identified.
R13: 19-11-229
Procedures for approval of information technology products or services
obtained by competitive sealed bids
Agencies must submit to the Executive Chief Information Officer (ECIO)
any Invitation for Bid, (IFB), Request for Proposal (RFP) or Request for
Qualifications (RFQ) for Information Technology products or services where the
anticipated cost is $100,000 or more. In addition, any IFB, RFP or RFQ that
includes Information Technology products or services as part of the IFB, RFP or
RFQ, where that part may be $100,000 or more, must be submitted to the ECIO for
approval.
If approved by the ECIO, the ECIO will provide a letter of approval to
the Office of State Procurement prior to release for bid. The ECIO shall have
20 business days from receipt of the bid documents to complete the necessary
reviews. If the ECIO review is not completed within the timeframe allowed, the
agency and the ECIO must mutually agree to an extension of the review
process.
R14: 19-11-229
Ethical standards
In accordance with §
19-11-708(a),
(b), and (c), the following statement must be
conspicuously set forth in all contracts and solicitations costing more than
$5,000: "It shall be a breach of ethical standards for a person to be retained,
or to retain a person, to solicit or secure a state contract upon an agreement
or understanding for a commission, percentage, brokerage, or contingent fee,
except for retention of bona fide employees or bona fide established commercial
selling agencies maintained by the contractor for the purpose of securing
business."
R15: 19-11-229
Negotiations
(a) Negotiation of
Competitive Sealed Bids should be authorized only in those cases where the best
interests of the State are served. Only those procurement professionals who are
trained in negotiation and procurement processes should conduct
negotiations.
(b) Prior to
negotiation, a written justification authorizing negotiations must be signed by
the Director of the Office of State Procurement or the head of a procurement
agency. The justification must include:
(1)
Bid tabulation with indication of lowest responsive and responsible
bidder.
(2) Certification of
available funds by agency chief fiscal officer.
(3) Reason(s) precluding re-solicitation
including but not limited to time constraints and economic impact to
agency.
(c) After
approval to negotiate is granted, appropriate representatives shall proceed
with negotiations and award recommendation. Appropriate representatives shall
include purchasing staff and representatives from the original requesting
unit.
(d) Agency should investigate
the factors affecting the price offered by the apparent low bidder to include
but not be limited to cost, delivery requirements, warranty, location of
supplier, volatile nature of goods or services requested and current economic
condition of the market.
(e) The
agency must develop a plan to include at least:
(1) The acceptable range of price, the
desired "best" price and the highest acceptable price.
(2) What adjustment may be made to delivery
requirements that may affect price.
(3) Acceptable adjustments in
quantity.
(4) A prioritized list of
acceptable adjustments in specifications that may result in price
reduction.
(5) Timetable for
completion of negotiation.
(f) Negotiation plan shall not be revealed to
bidder(s) nor made available for public review until after award.
(g) An acceptable negotiated contract shall
be signed and in writing listing agreed upon terms, conditions, specifications,
quantities and pricing.
(h) If a
negotiated contract can not be developed, the bidder may be declared
non-responsive and time permitting, the negotiation process may be repeated
with the next low bidder.
(i) If
negotiations do not result in an acceptable contract, the Director or head of a
procurement agency may rebid or elect to procure by sole source method (§
19-11-232) or special procurement (§
19-11-263).
R1: 19-11-230
Competitive sealed proposals
Conditions of use. Competitive sealed bidding is the preferred method
of procurement; however, if it is not practicable and advantageous, competitive
sealed proposals may be authorized as provided in §
19-11-230(b).
The key element in determining the necessity for utilization of the
competitive sealed proposal method is the type of evaluation required. Where
evaluation involves the relative abilities of bidders to perform, including the
degree of technical or professional experience, and price is not the only
consideration, use of competitive sealed proposals is appropriate. Further,
where the types of supplies or services may require the use of comparative,
judgmental evaluation, competitive sealed proposals is the appropriate
procurement method.
R2:
19-11-230
Competitive sealed proposals
(a) Evaluation. The evaluation shall be based
on the evaluation factors set forth in the request for proposals. A written
determination shall be made by the evaluator(s) stating the basis on which the
recommendation for award was found to be most advantageous to the
state.
(b) Tie bids. In the event
the evaluation of criteria and awarding of points result in a tie bid, the
person responsible for awarding a contract must ensure that all offers meet
specifications. An award will be made by lot (flip of a coin). The coin flip
will be done in the presence of a witness by the person responsible for
awarding the contract. The witness must be an employee of the State of
Arkansas. A documentation of the coin flip must be included on the tabulation
or bid history sheet and be signed by both parties.
R3: 19-11-230
Negotiations
(a) Negotiation of Competitive Sealed
Proposals should be authorized in those cases where the best interests of the
State are served. Only those professionals who are trained in the negotiation
process should conduct negotiations.
(b) Prior to negotiation, a written
determination addressing the need for negotiations must be signed by the
Director of the Office of State Procurement; the head of a procurement agency
or the designated representative above the level of the agency purchasing
agent. The determination must include the stated purpose of the negotiations
and the objectives to be achieved.
(c) After written determination is made,
appropriate representatives shall proceed with negotiations and award
recommendation. Appropriate representatives shall include purchasing staff and
representatives from the original requesting unit.
(d) Agency should investigate, with the
provider determined most likely to be awarded a contact, factors affecting the
price, performance, and scope of services to be offered including current
market conditions.
(e) Prior to
initiating negotiations, the agency must develop a plan to include at least:
(1) The acceptable range of price, the
desired "best" price and the highest acceptable price.
(2) Adjustments to the scheduled delivery of
services that may have an impact on price.
(3) Acceptable modifications in the overall
scope of work.
(4) A prioritized
list of acceptable changes in services that may result in price
reduction.
(5) Timetable for
completion of negotiation.
(f) No part of any negotiation plan shall be
revealed to bidder(s) or made available for public review until after a contact
award.
(g) An acceptable negotiated
contract shall list agreed upon terms, conditions, specifications, quantities
and pricing, and be signed by the agency and the provider.
(h) If a satisfactorily negotiated contract
can not be developed, the bidder may be declared non-responsive and time
permitting, the negotiation process may be repeated with the next respondent
deemed most likely to be awarded a contract.
(i) If negotiations do not result in an
acceptable contract, the Director or head of a procurement agency may authorize
that a new solicitation be issued or elect to procure by special procurement
(§
19-11-263).
R4: 19-11-230
Ethical standards
In accordance with §
19-11-708(a),
(b), and (c), the following statement must be
conspicuously set forth in all contracts and solicitations costing more than
$5,000: "It shall be a breach of ethical standards for a person to be retained,
or to retain a person, to solicit or secure a state contract upon an agreement
or understanding for a commission, percentage, brokerage, or contingent fee,
except for retention of bona fide employees or bona fide established commercial
selling agencies maintained by the contractor for the purpose of securing
business."
R5: 19-11-230
Procedures for approval of information technology products or services
obtained by competitive sealed proposals
Agencies must submit to the Executive Chief Information Officer (ECIO)
any Invitation for Bid, (IFB), Request for Proposal (RFP) or Request for
Qualifications (RFQ) for Information Technology products or services where the
anticipated cost is $100,000 or more. In addition, any IFB, RFP or RFQ that
includes Information Technology products or services as part of the IFB, RFP or
RFQ, where that part may be $100,000 or more, must be submitted to the ECIO for
approval.
If approved by the ECIO, the ECIO will provide a letter of approval to
the Office of State Procurement prior to release for bid. The ECIO shall have
20 business days from receipt of the bid documents to complete the necessary
reviews. If the ECIO review is not completed within the timeframe allowed, the
agency and the ECIO must mutually agree to an extension of the review
process.
R1: 19-11-231
Small procurements Conditions for use.
(1) Lease. All state agencies may lease
commodities with the exclusion of vehicles (See §
22-8-102) where the cost does not exceed Five Thousand Dollars ($5,000) during the
initial period of the contract without seeking competitive bids, provided the
lease does not contain an option to purchase. Such leases may not be renewed
beyond accumulated expenditures of Five Thousand Dollars ($5,000).
(2) Purchase of commodities subject to
Amendment 54 to the Arkansas Constitution. Purchase of commodities subject to
Amendment 54 to the Arkansas Constitution must be procured in accordance with
competitive bidding and competitive sealed bidding procedures. (See §
19-11-222(b)
for definitions of printing, stationery, and supplies.)
R1: 19-11-232
Proprietary or sole
source procurements
(a) General. Sole
source procurements shall be those procurements which, by virtue of the
performance specification, are available from a single source. Brand name or
design specifications shall not be sufficient explanation for sole source. Such
procurements may include but shall not be limited to:
(1) requirements of performance compatibility
with existing commodities or services; or
(2) repairs involving hidden
damage.
(b) Approval.
Request for approval shall be made in writing and shall include:
(1) a copy of the purchase order;
and
(2) an explanation of sole
source procurement, to include:
(A) listing of
the commodities/services to be procured
(B) rationale for the procurement of those
commodities/services to the exclusion of all others
(C)) summary of other similar
commodities/service providers and why they were inadequate
(D) the "Contract and Grant Disclosure and
Certification Form" required by Governor's Executive Order 98-04.
(c) procurements under
this section shall be approved in advance by the head of a state agency having
an agency procurement official or the State Procurement Director for all other
state agencies, or a designee of either officer above the level of agency
procurement official.
(d) Sole
Source Procurements of Professional and Consultant Services. The procurement
from a single source, as it relates to professional and consultant service
contracts, should only be used when all other methods of contracting are
clearly not applicable. The agency chief fiscal officer or equivalent or
director, division director or deputy director of an agency, college or
university may authorize the use of sole source purchases. Sole source
professional and consultant service contracts, except for those exempt by law
and those that are documented by sole source justification, may only be awarded
after legal public notice of intent has been published in a newspaper of
statewide circulation and no other provider responds. If any other provider
responds and requests the opportunity to bid, then the sole source procurement
method cannot be used. The notice must clearly state the nature of the
contract, the contracting agency, and the deadline by which interested
providers must respond. Notification must also be posted on the agency or
Office of State Procurement website.
(e) Sole Source Justification. Sole source
professional and consultant service contracts, except for those exempt by law
and those that are published in a newspaper of statewide circulation, must be
accompanied by written justification and be approved by the Director of the
Office of State Procurement. The justification must clearly demonstrate that to
contract otherwise would not be in the best interests of the state. The
justification must fully address:
(1) why the
service is needed;
(2) the methods
used to determine that a lack of responsible/responsive competition exists for
the service;
(3) how it was
determined that the provider possesses exclusive capabilities;
(4) why the service is unique;
(5) whether or not there are patent or
proprietary rights which make the required service unavailable from other
sources;
(6) what the agency would
do if the provider/service were no longer available, and any program
considerations which make the use of a "Sole Source" critical to the successful
completion of the agency's task.
(f) Sole Source by Law. The procurement of
professional and consultant services from a specific provider that results from
a mandate issued by the court systems or state or federal
law.
R2: 19-11-232
Ethical standards
In accordance with §
19-11-708(a),
(b), and (c), the following statement must be
conspicuously set forth in all contracts and solicitations costing more than
$5,000: "It shall be a breach of ethical standards for a person to be retained,
or to retain a person, to solicit or secure a state contract upon an agreement
or understanding for a commission, percentage, brokerage, or contingent fee,
except for retention of bona fide employees or bona fide established commercial
selling agencies maintained by the contractor for the purpose of securing
business."
R1: 19-11-233
Emergency procurements
(a) Bids.
The state agency must, at a minimum, receive three (3) competitive bids unless
the emergency is critical. The quotation abstract must show the names of at
least three (3) firms contacted in attempting to obtain competition.
(b) Approval. All emergency procurements
shall be approved in advance by the State Procurement Director, the head of a
procurement agency, or a designee of either officer. Where time or circumstance
does not permit prior approval, approval must be obtained at the earliest
practical date. Requests for approval shall be made in writing and shall
include:
(1) a copy of the purchase
order;
(2) a copy of the quotation
abstract; and
(3) a written
explanation of the emergency.
(c) Tie bids. In the event the lowest prices
offered result in a tie bid, the person responsible for awarding a contract
must ensure that all offers meet specifications. An award will be made by lot
(flip of a coin). The coin flip will be done in the presence of a witness by
the person responsible for awarding the contract. The witness must be an
employee of the state of Arkansas. A documentation of the coin flip must be
included on the tabulation or bid history sheet and be signed by both
parties.
(d) Professional and
Consultant services. Emergency procurements of professional and consultant
services that total $25,000 or less may be procured using the method as
described in R1
19-11-233(A)
through (C). For those P&CS contracts
that exceed $25,000, the agency chief fiscal officer or equivalent or director,
division director or deputy director of an agency, college or university may
institute a request for emergency action review of a professional or consultant
service contract by providing in writing a request to the Director of State
Procurement. The request must detail that to procure using other methods would
endanger human life or health, state property or the functional capacity of the
agency. The State Procurement Director may then approve submission of the
contract to the Legislative Council. Under its emergency action procedures, the
Co-chairpersons of the Legislative Council and/or the Co-chairpersons of the
Legislative Council Review Committee may review P&CS contracts on behalf of
the Legislative Council, provided a written report of the review process is
presented to the Legislative Council at its next regular meeting. (This
regulation implements Arkansas Legislative Council Rule #
19).
R2: 19-11-233
Ethical standards
In accordance with §
19-11-708(a),
(b), and (c), the following statement must be
conspicuously set forth in all contracts and solicitations costing more than
$5,000: "It shall be a breach of ethical standards for a person to be retained,
or to retain a person, to solicit or secure a state contract upon an agreement
or understanding for a commission, percentage, brokerage, or contingent fee,
except for retention of bona fide employees or bona fide established commercial
selling agencies maintained by the contractor for the purpose of securing
business."
R1: 19-11-234
Competitive bidding Conditions for use.
Purchase of commodities subject to the Arkansas Constitution, Amendment
54. The commodities subject to Amendment 54 to the Arkansas Constitution are
printing, stationery, and supplies. (See also §
19-11-222(b).)
(1) Supplies. All state agencies may purchase
certain supplies subject to Amendment 54 under the following conditions:
if the cost of the commodity is Twenty-five Thousand Dollars ($25,000)
or less, the state agency must obtain, wherever possible, at least three (3)
written competitive bids.
(2) Printing and stationery. The State
Procurement Director or his designee shall purchase all printing and stationery
subject to Amendment 54 under the following conditions:
if the cost of the commodity is Twenty-five Thousand Dollars ($25,000)
or less, the State Procurement Director or his designee must obtain, wherever
possible at least three (3) written competitive bids.
R2: 19-11-234
Competitive bidding Leases.
(1)
Lease of commodities on state contract. No contract greater than ninety (90)
days for the lease of commodities on state contract shall be approved unless
the State Procurement Director determines in writing that it is in the best
interest of the state and states the reason therefore.
R5: 19-11-234
Competitive bidding
Rejection. Grounds for rejection of bids include but shall not be limited
to:
(1) failure of a bid to conform to
the essential requirements of an invitation for bids;
(2) any bid which does not conform to the
specifications contained or referenced in any invitation for bids unless the
items offered as alternatives meet the requirements specified in the
invitation;
(3) any bid which fails
to conform to a delivery schedule established in an invitation for bids, unless
the invitation for bids contains provisions for acceptance of offers with
alternative delivery schedules;
(4)
a bid imposing conditions which would modify the terms and conditions of the
invitation for bids;
(5) any bid
determined by the procurement official in writing to be unreasonable as to
price;
(6) bids received from
bidders determined to be non-responsible bidders;
(7) failure to furnish a bid guarantee when
required by an invitation for bids; and
(8) any or all bids when the procurement
official determines it to be in the best interest of the
state.
R6: 19-11-234
Competitive bidding
Tie bids. In the event the lowest prices offered result in a tie bid,
the person responsible for awarding a contract must ensure that all offers meet
specifications. An award will be made by lot (flip of the coin). The coin flip
will be done in the presence of a witness by the person responsible for
awarding the contract. The witness must be an employee of the state of
Arkansas. Documentation of the coin flip must be included on the tabulation or
bid history sheet and be signed by both parties.
R7: 19-11-234
Ethical standards
In accordance with §
19-11-708(a),
(b), and (c), the following statement must be
conspicuously set forth in all contracts and solicitations costing more than
$5,000: "It shall be a breach of ethical standards for a person to be retained,
or to retain a person, to solicit or secure a state contract upon an agreement
or understanding for a commission, percentage, brokerage, or contingent fee,
except for retention of bona fide employees of bona fide established commercial
selling agencies maintained by the contractor for the purpose of securing
business."
R1: 19-11-235
Nonresponsibility
(a)
(1) Determination of responsibility is
accomplished prior to award of a contract.
(2) A non-responsible bidder or offeror is
one who has been determined through evaluation of bid/offer to lack the
capability, integrity and/or reliability to fully perform the
contract.
(b)
Determination of responsibility may include, but not be limited to some or all
of the following:
(1) the ability, capacity
and skill to perform the contract or provide the service;
(2) the responsibility and experience of the
business;
(3) the quality of
performance on previous contracts or services;
(4) the previous and existing compliance by
the business with laws relating to the contract or services; and
(5) the sufficiency of the financial
resources and ability of the bidder to perform the contract or provide the
services.
R2:
19-11-235
Bonds Bonds.
(1) General. Bidders shall submit bid bonds
or performance bonds or similar assurances when required by the terms and
conditions of the invitation for bids, solicitation or request for proposals,
as obligee with surety satisfactory to the procurement agency, in a sum not to
exceed one hundred percent (100%) of the contract price.
(2) Award. A bid shall not be awarded to any
bidder who fails or refuses to provide a bond when required by the invitation
for bids.
(3) Default. A contractor
may be declared in default of his contract with the state, and his bond
forfeited, when it is determined by the procurement official that the
contractor is in breach of the terms and conditions of the
contract.
R1: 19-11-241
Issuance of standard specifications
(a) Initiating development of a standard
specification. The State Procurement Director shall regularly review all state
procurement needs to ascertain the commodities or services for which standard
specifications can be developed. Any using agency may request the State
Procurement Director to develop a standard specification for any commodity or
service. The State Procurement Director shall develop standard specifications
requested by a using agency unless the State Procurement Director or the
designee of such officer determines that a standard specification need not be
developed for that item.
(b)
Development of the initial draft of a standard specification. In developing the
initial draft of a standard specification, the State Procurement Director shall
consider the recommendations of all concerned using agencies and shall, to the
extent practicable, make use of similar specifications of the federal
government, other state and local governments, and professional, commercial,
and trade organizations. In developing that draft, it also may consider the
benefits of simplification, standardization, and interchangeability of
equipment and spare parts.
(c)
Review of draft standard specifications.
(1)
Distribution for comments. Copies of all draft standard specifications shall be
distributed with a request for comments. Distribution shall be made, to the
extent practicable, to known suppliers of similar commodities or services,
concerned state agencies, and trade, scientific, or technical organizations
known to be concerned with similar commodities or services. The State
Procurement Director may give such further public notice of the preparation of
a draft standard specification as such officer deems appropriate.
(2) Availability of comments. All comments
submitted shall be placed in a standard specifications file and made available
for inspection.
(d)
Preparation of final standard specifications. After opportunity for comment,
the State Procurement Director may distribute additional drafts for comments or
prepare the final standard specification.
(e) Revisions of standard specifications. The
State Procurement Director shall develop revisions to standard specifications
in the same manner as a standard specification unless such director determines,
in writing, that the revision would not change a significant technical
requirement of the specification and would not significantly reduce
competition. If such written determination is made, the revision may be
developed.
(f) Standard
specifications file. The State Procurement Director shall maintain a file of
every standard specification and any revision thereof.
R2: 19-11-241
Issuance of nonstandard
specifications
(a) Initiating
development of a nonstandard specification. Nonstandard specifications shall be
originated upon an agency's written request and after approval by the State
Procurement Director or the designee of such officer. A nonstandard
specification will be developed for a commodity or service that fails to meet
those requirements which would necessitate a statewide standard specification
but that needs standardization in order to meet a requirement of one or more
agencies.
(b) Development of the
initial draft of a nonstandard specification. In developing a nonstandard
specification, the State Procurement Director may consider recommendations of
the requesting agency and utilize federal, state, local, professional,
commercial, and trade organization information to the extent practicable and
consistent with agency needs.
(c)
Review of draft nonstandard specifications.
(1) Distribution for comment. Copies of all
draft nonstandard specifications shall be forwarded to the requesting agency
and to known suppliers of similar commodities or services, to the extent
practicable, with a request for comment.
(2) Availability of comments. All comments
submitted shall be placed in a nonstandard specification file and made
available for inspection.
(d) Preparation of final nonstandard
specification. After opportunity for comment, the State Procurement Director or
designee of such officer will cause the nonstandard specification to be
finalized and copies forwarded to the requesting agency.
(e) Revision or cancellation of nonstandard
specifications. Revision or cancellation may be initiated upon written request
by a using agency unless the State Procurement Director or designee of such
officer determines that the revision or cancellation would not serve the best
interests of other using agencies.
(f) Specifications file. The State
Procurement Director shall maintain a file for each nonstandard specification
and any revisions thereof.
R3:
19-11-241
Issuance of restrictive specifications
Restrictive specifications. A specification may be drafted which
describes a product which is proprietary to one manufacturer only where there
is a requirement for specifying a particular design or make of product due to
factors of compatibility, standardization, or maintainability.
R4: 19-11-241
Issuance of qualified
products list specifications Qualified products list.
(1) Restrictions on use. A specification for
commodities may include a qualified products list only when the State
Procurement Director has approved in writing the written determination of the
agency Procurement official or Office of State Procurement that:
(A) the interests of the state require
assurance before award that the desired commodity is satisfactory;
and
(B) the cost or the time
required to test before award would be excessive.
(2) Notice of intent to adopt a qualified
products list. Whenever it is determined to include a qualified products list
in any specification or to adopt such a list, prompt notice of the intent shall
be given to all reasonably known makers and suppliers of the affected
commodity. Such notice shall describe all requirements for achieving
qualification.
(3) Written records
of evaluation. Detailed written records shall be made of the evaluation of any
and all commodities offered for inclusion on any qualified products list.
Except for records which contain trade secrets or other proprietary
information, those records shall be made available for inspection by any member
of the public upon request.
R1:
19-11-242
Agency commodity management procedures Disposition
of commodities other than computers and electronic equipment.
(a) Resale. Marketing and Redistribution
shall make available to agencies and tax supported entities commodities in
serviceable condition and/or commodities of potential use by agencies or tax
supported entities for a twenty-day period prior to making them available to
the general public. During the twenty-day hold period commodities shall be sold
to agencies or tax supported entities by Marketing and Redistribution.
Commodities that historically have not sold to agencies or tax supported
entities or items that are unserviceable may be offered for sale to the general
public without the requirement of the twenty-day hold period. The Director may
waive the 20 day requirement when he determines that such waiver is in the
state's best interest.
(b)
Transfer. Commodities that are no longer needed by an agency may be sold to
another agency by submitting a written request to Marketing and Redistribution
detailing the equipment description, serial number, property number, the agency
the property will be sold to and the dollar value agreed upon. Written
communication from the agency requesting the purchase must also be forwarded to
Marketing and Redistribution indicating agreement to the transfer and the
dollar value agreed upon.
(c)
Disposal. When commodities have no scrap or resale value, a written request for
disposal shall be submitted to Marketing and Redistribution, which shall then
forward, within ten (10) working days, a certificate of property disposal
indicating the proper handling procedure for the commodities.
(d) Cannibalization.
(1) The disassembly of an item for use of its
component parts for repair or maintenance of a similar item will only be
authorized if such action has greater potential value and benefit than disposal
or trade-in of the item in its existing form. Authorization for cannibalization
shall be approved by Marketing and Redistribution prior to any disassembly or
removal of components parts. If authorized, the item will be removed from the
agency's property listing by the requesting agency. Any residual material
remaining after cannibalization must be processed through Marketing and
Redistribution. Requests for authorization for cannibalization shall be
expedited. If properly marked, authorization should be returned to agency with
ten (10) working days. It is understood that there may be no residual material
remaining after cannibalization, but if any, residual material must be
processed through Marketing and Redistribution.
(2) Motor vehicles eligible to be registered
for highway use (cars and trucks), whether registered or not, may be
cannibalized after obtaining authorization from Marketing and Redistribution.
These vehicles WILL NOT be removed from the property listing until the carcass
of the vehicle has been disposed of by Marketing and Redistribution. In no
event shall more than ninety days (90) elapse between the authorization of
cannibalization and processing of the carcass by Marketing and Redistribution.
These procedures do not exempt an agency from compliance with any other
requirements relating to the disposal or acquisition of motor
vehicles.
(e) Handling
of Surplus Equipment. Agencies with surplus Items must contact Marketing and
Redistribution to schedule a delivery or pickup date. A Surplus Disposal Form
(SDF) shall be transmitted by the agency showing the agency name, address,
phone number, contact person and listing all items with serial and property
numbers (if available). The property transfer request will be processed by
Marketing and Redistribution when the surplus items are delivered or picked
up.
R2: 19-11-242
Auction and on-site sales Disposition of commodities after holding
period.
(1) General requirements.
Commodities having no foreseeable use to an agency or tax-supported entity or
commodities that have completed the twenty-day hold period may be offered for
sale. Furniture or equipment may be loaned or rented to a state agency with the
approval of the owning agency. The rental fee(s) less applicable handling
fee(s) will be remitted to the owning agency.
(2) Notice required. Public notice of
commodities sold by competitive sealed bid shall be given at least five days
prior to the date established for the sale. The notice will include publication
in any electronic or printed medium.
(3) Public auction.
(A) Public auction whether electronic or
traditional may be used when deemed in the best interest of the State. Auction
costs will be paid from proceeds. In a traditional auction, if proceeds do not
cover the costs, the agency requesting the auction will be responsible for any
expenses not covered from the proceeds. Any cost associated with an electronic
auction will be covered by proceeds from the sale.
(B) Procedures. In a traditional auction a
licensed auctioneer will be used. The solicitation to bidders shall stipulate,
at a minimum: all terms and conditions of any sale, that the purchaser must
remove all items purchased within a stated time, and that the state retains the
right to reject any and all bids. In an electronic auction items will be
shipped to the successful bidder, unless the bidder wishes to pick up the
item.
(4) Competitive
sealed bidding.
(A) Competitive sealed bidding
will be used when:
(i) the value of the item
cannot be determined based on market value or past history of same or similar
items sold; or
(ii) it is
determined by Marketing and Redistribution that it is in the best interest of
the State.
(B)
Procedures. When surplus commodities are to be sold by competitive sealed
bidding, the procedures followed shall be in accordance with §
19-11-204,
§
19-11-228,
§
19-11-229
and the regulations promulgated hereunder except:
(i) the award shall be made to the highest
bidder with the state retaining the right to accept or reject any or all bids
when in the best interest of the State.
(5) On-site Sales.
(A) Definition. Onsite sales includes the
process of (1) internet auctioning and (2) sale of commodities to the general
public from the Marketing and Redistribution office, a satellite location
and/or other agency locations when approved by Marketing and
Redistribution.
(B) Onsite sales
will be used for surplus items not purchased by other state agencies or tax
supported entities.
(C) Procedure.
Selling price will be established by Marketing and Redistribution based upon
demand, condition of commodities, past experience gained from auction or
competitive sealed bid sales; and prevailing retail prices for same or similar
commodities in the local market.
(6) Negotiated sale. Negotiated sale may be
used if no acceptable bids were received during the bid process and an offer is
made "after the fact" for the item. Offers will only be accepted from bidders
that participated in the sealed bid offering the item.
(7) Trade-in. Surplus commodities may be
traded in when the Marketing and Redistribution Manager or Assistant Marketing
and Redistribution Manager determines that the trade-in value is expected to
exceed the value estimated to be obtained through the sale of the commodity
less administrative expenses incurred during a sale.
(8) Donation. Surplus property may be donated
to tax supported entities, non-profit organizations, etc. when requested in
writing by the owning agency and approved by Marketing and Redistribution.
(A) Written communication must be submitted
identifying the equipment by name, serial number, property number, etc. to the
Marketing and Redistribution Manager. The Marketing and Redistribution Manager
will estimate the property value and forward the request to the Director of the
Office of State Procurement for his approval/disapproval.
(B) The Director of the Office of State
Procurement will respond in written communication to the requesting agency on a
case-by-case basis.
(C) The
requesting agency must maintain a copy of the original request for the donation
and the written approval/disapproval from the Director of the Office of State
Procurement for audit purposes.
(D)
Copies of the request and approval/disapproval will also be maintained at
Marketing and Redistribution.
(9) The Arkansas State Highway and
Transportation Department may dispose of commodities without the assistance of
the Office of State Procurement, but it shall comply with the procedures
outlined herein for said disposition. Nothing herein is intended to prohibit
the use of the Office of State Procurement for the disposition of those
commodities, and the Department may request the Office of State Procurement
make the disposition.
(10) Excess
commodities in remote locations and/or property too heavy or expensive to
transport to Marketing and Redistribution.
(A)
Excess commodities that are in remote locations and/or commodities where the
cost to transport to Marketing and Redistribution would be prohibitive should
be reported by written communication to Marketing and Redistribution with a
complete description and details of the condition of the equipment. Marketing
and Redistribution will make one of the following recommendations:
(i) The commodity should be redistributed for
state use and Marketing and Redistribution will notify agencies and/or
tax-supported entities that could utilize the commodity. When the property is
sold, the receiving agency will be responsible for the removal of the item(s),
with the expense of moving being taken into consideration when price is
determined.
(ii) Marketing and
Redistribution will prepare an invitation for bids or authorize the agency to
prepare an invitation for bids with inspection being held at the agency
location.
(iii) A certificate of
property disposal will be transmitted to the owning agency designated as
follows:
(a) The property identified is
authorized for cannibalization by the Marketing and Redistribution Manager who
hereby authorizes the agency to perform the cannibalization.
(b) The property identified is authorized for
destruction by the Marketing and Redistribution manager who hereby authorizes
the agency to perform the destruction.
(c) Property that has a material content of
lead, copper, brass, iron, etc. will be disposed of by sale to a local scrap
dealer(s) at local prices. Payment(s) received are to be sent and made payable
to: Marketing and Redistribution with a copy of the Certificate of Property
Disposal authorizing the sale.
(d)
Property with resale value that is not feasible for transport to Marketing and
Redistribution may be disposed of by obtaining quote bids "as is, where is".
Owning agencies should attempt to obtain (3) bids. A copy of the bid quotes, a
copy of the Certificate of Property Disposal authorizing the sale and the
proceeds are to be sent and made payable to Marketing and
Redistribution.
(11) Specialized commodities may be offered
for trade-in with the trade-in price offered being forwarded in a written
transmission to Marketing and Redistribution for determination of price
acceptability.
(12) If none of the
above procedures are applicable, the Director of the Office of State
Procurement shall make an individual determination.
R1: 19-11-243
Allocation of proceeds
from sale or disposal of surplus commodities
(a) Using agency. The allocation of proceeds
from the sale, lease, or disposal of surplus commodities, less appropriate
fees, will be made and deposited monthly to the using agency which had
possession of the commodity.
(b)
Fee schedule. The Office of State Procurement will develop a fee schedule to
defray the costs of the commodity management program. The fee schedule will set
forth various charges for services rendered.
R1: 19-11-244
Decision
After submittal of a timely protest and prior to issuance of a written
decision to that protest, the protestor shall be afforded an opportunity to
discuss with the Director or head of a procurement agency the issues giving
rise to the protest.
R2:
19-11-244
Authority to resolve protested solicitations and
awards Authority to resolve protested solicitations and awards.
(1) Counsel. Before agreeing to settle any
protest by the award of costs, the State Procurement Director or head of a
procurement agency shall consult the Attorney General or legal
counsel.
(2) Award. The award of
costs shall be allowed only to compensate a party for reasonable expenses
incurred in preparation and submission of a bid or proposal for which that
party was wrongfully denied a contract award, and shall be allowed only by
filing a claim with the Claims Commission for the agreed costs.
(3) Costs. The costs which are allowable
shall be those which the party is able to prove that are incurred in
preparation and submission of the bid or proposal in question, but exclude
travel and production costs that may result from participation in pre- bid
conferences; attending on-site inspections, and demonstrations or presentations
made in responding to formal solicitations issued by the State. No party can
recover profit which it anticipates would have been made if that party had been
awarded the contract. Attorney's fees associated with the filing and
prosecution of the protest are not recoverable.
R1: 19-11-245
Suspension
(a) Prior to any suspension the contractor
will be afforded an opportunity to discuss with the Director or head of a
procurement agency the circumstances which led to the possible suspension and
to potentially reach a settlement.
(b) Suspension. In the event a bidder is
suspended, a written determination shall be made by the State Procurement
Director or head of a procurement agency concerning the facts of any allegation
or claim that a bidder has done any action in R3:
19-11-245(b)
and shall be sent to the bidder at the address shown in the procurement
agency's records.
R2:
19-11-245
Debarment
Prior to any debarment hearing the suspended contractor will be
afforded an opportunity to discuss with the Director or head of a procurement
agency the circumstances which led to the suspension and to potentially reach a
settlement.
R3: 19-11-245
Authority to debar or suspend Authority to debar or suspend.
(a) General. Any bidder or contractor to the
state of Arkansas who, except for good cause shown, shall have done any of the
matters listed in subsection (2) may be suspended or debarred from
consideration for award of contracts.
(b) Causes for debarment or suspension. The
causes for debarment or suspension include, but are not limited to, the
following:
(1) conviction for commission of a
criminal offense as an incident to obtaining or attempting to obtain a public
or private contract or subcontract, or in the performance of such contract or
subcontract;
(2) conviction under
state or federal statutes of embezzlement, theft, forgery, bribery,
falsification or destruction of records, receiving stolen property, or any
other offense indicating a lack of business integrity or business honesty which
currently, seriously, and directly affects responsibility as a state
contractor;
(3) conviction under
state or federal antitrust statutes arising out of submission of bids or
proposals;
(4) violation of
contract provisions, as set forth below, of a character which is regarded by
the State Procurement Director or the head of a procurement agency to be so
serious as to justify debarment action:
(A)
deliberate failure without good cause to perform in accordance with the
specifications or within the time limit provided in the contract; or
(B) a recent record of failure to perform or
of unsatisfactory performance in accordance with the terms of one or more
contracts; provided that failure to perform or unsatisfactory performance
caused by acts beyond the control of the contractor shall not be considered to
be a basis for debarment;
(5) continuous failure to post bid or
performance bonds, or to provide alternate bid or performance guarantee in the
form acceptable to the procurement agency in lieu of a bond, as required by an
invitation for bids or a solicitation for proposals;
(6) substitution of commodities without the
prior written approval of the contracting authority;
(7) failure to replace inferior or defective
commodities within a reasonable time after notification by the procurement
agency or the agency to which such commodity has been delivered;
(8) refusal to accept a contract awarded
pursuant to the terms and conditions of the contractor's bid;
(9) falsifying invoices, or making false
representations to any state agency or state official, or untrue statements
about any payment under a contract or to procure award of a contract, or to
induce a modification in the price or the terms of a contract to the
contractor's advantage;
(10)
collusion or collaboration with another bidder or other bidders in the
submission of a bid or bids for the purpose of lessening or reducing
competition;
(11) falsifying
information in the submission of an application for listing on a state vendor's
list;
(12) any other cause the
State Procurement Director or head of a procurement agency determines to be so
serious and compelling as to affect responsibility as a state contractor,
including debarment by any other governmental entity for any cause;
and
(13) violation of the ethical
standards set forth in §
19-11-708.
(c) Debarment. Prior to any action
for debarment, the Office of State Procurement or agency procurement official
shall notify the bidder of the opportunity for a hearing fourteen (14) days
prior to said hearing. Such notification shall state the facts of any
allegation or claim. The State Procurement Director or head of a procurement
agency shall consult with the Attorney General or legal counsel prior to
debarring a person for cause from consideration for award of
contracts.
(d) Debarment hearing.
(1) The director or head of a procurement
agency shall form a Committee composed of three qualified individuals, from
government and private industry to hear the Debarment proceedings.
(2) The Attorney General or legal counsel
representing the Director or head of a procurement agency will have the right
to present evidence and elicit testimony from witnesses and cross examine
opposing witnesses before the Committee.
(3) The Contractor may be heard in person or
by counsel, may cross-examine witnesses and may offer witnesses, documentary
evidence and/or evidentiary depositions in defense of the debarment charges.
The committee will subpoena witnesses for the Contractor upon timely request.
Should Contractor fail to appear, the Committee shall proceed to hear the
state's evidence and make its recommendations to the Director or head of a
procurement agency.
(4) After
hearing the evidence the Committee will make recommendations to the Director or
head of the procurement agency.
(5)
The Director or head of a procurement agency will receive the recommendation
and review the record of the hearing and make a decision regarding the
debarment.
(e) Decision.
The written decision concerning debarment will be sent to the contractor within
14 days and shall state the reasons for the action taken and shall inform the
debarred person involved of his rights to judicial review.
(f) Other remedies. The procedures in this
section shall not preclude the taking of other action by the state, based on
the same facts, as may be otherwise available, either at law or in
equity.
(g) Distribution of
decisions. All agency procurement officials shall send a copy of any
determination of debarment to the Office of State Procurement and the Office of
State Procurement shall send a copy of its determinations to each agency
procurement official.
R1:
19-11-246
Authority to resolve contract and breach of
contract controversies
(a) General.
Any contractor who is determined in writing by the State Procurement Director,
or the procurement official, or a designee of either officer to be in breach of
any of the terms and conditions of a contract held by such contractor shall, at
the discretion of the procurement official, be declared in default and such
contract may be terminated as a result of such default. Declaration of default
and contract termination may only be determined by the procurement official who
awarded the contract, and only after the contractor has been afforded the
opportunity, to discuss with the Director or agency procurement official
circumstances giving rise to the potential breach of contract to cure the
breach of contract.
(b) Default. A
default in performance by a contractor for which a contract may be terminated
shall include, but shall not necessarily be limited to, failure to perform the
contract according to its terms, conditions and specifications, or failure to
make delivery within the time specified or according to a delivery schedule
fixed by the contract.
(c)
Contractor's liability. The contractor and/or his surety, if a performance or
payment bond has been required under the contract, shall be jointly and
severally liable to the state for any and all loss or damage as provided in the
contract between the state and the contractor as a result of the contractor's
default; provided, however, that a contractor's surety's liability shall not
exceed the final sum specified in the contractor's bond.
R1: 19-11-249
Cooperative
purchasing
Cooperative purchasing contracts or agreements must be approved by the
Director of the Office of State Procurement prior to being entered into by a
state public procurement unit.
R1:
19-11-250
Sale, acquisition or use of commodities by a
public procurement unit Department of Correction Industry Program.
(1) The Department of Correction is
authorized to enter into contracts, purchase orders, compacts or agreements
with the appropriate officials of agencies of other states or of the federal
government for the buying and selling of raw materials, goods and products
produced by and belonging to their respective institutions. The buying and
selling of these materials will be for the purpose of producing finished
products through a correctional industries program.
(2) The Department of Correction shall be
governed by the Arkansas Code of 1987 Annotated, §
12-30-101
et seq., §
12-30-201 et
seq., and other appropriate laws when utilizing the provisions of these
regulations. The procurement official/agent for the Department of Correction is
authorized to enter into contracts, orders, compacts or agreements pursuant to
these regulations.
(3) Copies of
all such contracts, orders, compacts or agreements entered into under the
provisions of this regulation shall be filed with the Office of State
Procurement and a complete set of books and records shall be kept by the
Department of Correction with respect to all transactions, deliveries, and
obligations under each contract, compact, or agreement. Copies of these books
and records shall be filed monthly with the Office of State
Procurement.
(4) All records and
reports required pursuant to this regulation shall be available to public
inspection during normal business hours, and shall be retained for a period of
three (3) years after completion of the contract, compact, or
agreement.
R1: 19-11-251
Intergovernmental agreements
(a)
Intergovernmental agreements should include at a minimum:
(1) Scope of work to be
accomplished;
(2) Amount of
compensation (if any);
(3)
Delineation of responsibilities and duties of each entity;
(4) Term of agreement; and
(5) Authorized signatures from each
entity.
(b)
(1) All intergovernmental agreements
involving commodities and/or technical services will not be reviewed by the
Office of State Procurement prior to implementation.
(2) Those agreements which contemplate the
use of professional consultant services will be reviewed by the Office of State
Procurement.
R1:
19-11-262
Multiple award contracts
No multiple award contracts can be awarded unless the invitation for
bids or request for proposals included notification of the right to make
multiple awards.
R1:
19-11-263
Special procurement reporting
Agencies are required to report special procurements to the Office of
State Procurement. The reports shall include a copy of the written
determination of the basis for the procurement and for the selection of a
particular contract, and a copy of the contract. The reports will be reviewed
and collated and a consolidated report for the state will be forwarded to the
Legislative Council as required.
R1:
19-11-801
Arkansas Building Authority Criteria
The guidelines and procedures established by the Arkansas Building
Authority shall be used by all agencies, except those exempt from ABA review,
in selecting architects, land surveyors and engineers for state construction
projects. Refer to Architectural Section 6-100 of ABA Standards and Criteria -
Professional Services Selection Procedures for State Agencies.
R2: 19-11-801
Procedures for Approval
of Architects, Interior Designers, and Engineers and Land Surveyor
Contracts
With the exception of those agencies exempt from Arkansas Building
Authority review, All all contracts for architectural, interior design, and
engineering and land surveyor services must be first submitted to Arkansas
Building Authority for their recommendation and approval as to the propriety
and legality of the contract. Agencies shall submit contracts to ABA seven (7)
working days prior to the deadline for submittal to DF& A. After receiving
the recommendation and approval of Arkansas Building Authority, the contract
shall be submitted to the Office of Accounting State Procurement of the
Department of Finance and Administration. No contract requiring ABA review
shall be submitted to the Office of Accounting State Procurement without first
seeking the recommendation and approval of Arkansas Building Authority.
In the event Arkansas Building Authority refuses to give a favorable
recommendation to the propriety of the contract, the agency involved may
request the Legislative Council to review the decision of Arkansas Building
Authority. The Legislative Council may then request Arkansas Building Authority
to review their previous decision, abide by the decision of Arkansas Building
Authority, or request the agency to make changes in the contract.
In no event shall Arkansas Building Authority have the final authority
to deny a contract solely on the basis of its propriety.
R1: 19-11-802
Request for
Qualifications (RFQ) Procurement Method Used in the Establishment of
Professional and Consultant Service Contracts
Request for Qualifications (RFQ): The Request for Qualifications is, in
the absence of sole source justification, the procurement method recommended
when contracting for architectural, engineering, land surveying and legal
services. It may also be used, with prior approval from the Office of State
Procurement, as the selection method for other P&CS contracts when it is
determined to be the most suitable method of contracting. The RFQ is sent to
those vendors whose work resume' indicates they are best suited to perform the
work specified. Notification to the public shall be in accordance with the
provisions of § 19-ll-229 (d). The agency makes its initial selection
based upon the respondent's qualifications. Only after the most qualified
respondent is identified does cost become a factor in determining the award.
Discussions may be conducted with responsible offerors who based upon
qualifications submitted are determined to be reasonably susceptible of being
selected for the purpose of clarification to assure full understanding of, and
responsiveness to, the solicitation requirements, and to obtain best and final
offers.
R1: 19-11-902
Work Center-Made Products Program regulations
For the purposes of the Work Center-Made Products Program, the fair
market price of commodities offered in a competitive environment shall be at
least twenty percent (20%) more than the cost of materials. In the case of
services, those services must be performed by disabled individuals directly
under the control of Work Center representatives.
R2: 19-11-902
Work center
certification.
Before commodities and services may be procured from Work Centers, the
Work Center will be required to maintain evidence of: certification from the
United States Department of Labor as a "sheltered workshop" and a license from
the Division of Developmental Disabilities Services of the Arkansas Department
of Human Services or certification from Arkansas Rehabilitation
Services.
R3: 19-11-902
Work center product and service schedules
Work Centers must provide a schedule of their commodities, services
and prices to Office of State Procurement. Schedules will be posted on the
Office of State Procurement website (www.accessarkansas.org/dfa/purchasing).
Ordering offices will contract directly with Work Centers.
R4: 19-11-902
Work center applications
for bidding
(a) All Work Centers who
wish to participate in the Work Center Made Products Program will be required
to register as a vendor with the Office of State Procurement.
(b) The Office of State Procurement may check
with Arkansas Rehabilitation Services, Developmental Disabilities Services and
Department of Labor to verify certification(s).
R5: 19-11-902
Purchase procedure
In the case of small order procurement, competitive bidding, and
competitive sealed bidding and proposals, the agency shall procure commodities
and services from the Work Centers, when contract terms and specifications are
equal and the price is not more than ten percent (10%) above the lowest
competitive price, obtained from a non-work center.
R6: 19-11-902
Reporting
Agencies must document purchases of Work Center Made Products as well
as purchases of non-work center made commodities and services when work centers
are competing but were unsuccessful in obtaining the contract. Semi-annual
reports including the circumstances and documentation of purchase exceptions
shall be submitted to the Office of State Procurement, (See
www.state.ar.us/purchasing/index.html).
R1: 19-11-1006
Performance Evaluation
and Expenditure Review of Professional and Consultant Service Contracts
Professional and consultant service contracts between state agencies
where the total contract amount exceeds Twenty-five Thousand Dollars ($25,000),
must be presented to the Performance Evaluation and Expenditure Review
Committee (PEER) or Joint Budget Committee by the Department of Finance and
Administration prior to the execution date of such contract.
R2: 19-11-1006
Review Requirements of
Professional and Consultant Service Contracts that are Amended
Amendments to contracts that were originally reviewed by Legislative
Council or Joint Budget Committee: An amendment will require review by
Legislative Council or Joint Budget Committee prior to approval by the
Department of Finance and Administration if the original contract was reviewed
by Legislative Council or Joint Budget Committee and the amendment increases
the dollar amount and/or involves major changes in the objectives and scope of
the contract.
Amendments to contracts that originally did not require review by
Legislative Council or Joint Budget Committee: Any amendment which increases
the total dollar amount of a professional or consultant service contract to
exceed the sum of $25,000, shall require review by the Legislative Council or
Joint Budget Committee, prior to the approval of the Department of Finance and
Administration and before the execution date of the amendment. The amendment
along with a copy of the original contract and any attachments thereto must be
submitted to the Office of State Procurement in accordance with the time
guidelines as prescribed in R2: 11-19-1012. Contracts which have expired cannot
be amended.
R1: 19-11-1008
Professional and Consultant Service
Contracts Requiring Approval of the
Office of State Procurement Only
Those contracts for professional and consultant services not defined in
R1:
19-11-1006
and R2:
19-11-1006
as requiring review of the Legislative Council or Joint Budget Committee,
excluding those of the Arkansas State Highway and Transportation Department,
require prior approval ONLY of the Department of Finance and Administration,
Office of State Procurement.
The requesting agency shall submit the original and one (1) copy each
of the contract and attachments thereto, to the Office of State Procurement.
Those contracts for architectural, engineering and land surveyor services
require an original and one (1) copy and shall first be submitted to the
Arkansas Building Authority. The approved original will be returned to the
agency; a copy filed in the Office of State Procurement.
R2: 19-11-1008
Procedures for Approval
of Architects, Engineers and Land Surveyor Contracts
With the exception of those agencies exempt from Arkansas Building
Authority review, all contracts for architectural, engineering and land
surveyor services must be first submitted to Arkansas Building Authority for
their recommendation and approval as to the propriety and legality of the
contract. Agencies shall submit contracts to ABA seven (7) working days prior
to the deadline for submittal to DF& A. After receiving the recommendation
and approval of Arkansas Building Authority, the contract shall be submitted to
the Office of State Procurement of the Department of Finance and
Administration. No contract requiring ABA review shall be submitted to the
Office of State Procurement without first seeking the recommendation and
approval of Arkansas Building Authority.
In the event Arkansas Building Authority refuses to give a favorable
recommendation to the propriety of the contract, the agency involved may
request the Legislative Council to review the decision of Arkansas Building
Authority. The Legislative Council may then request Arkansas Building Authority
to review their previous decision, abide by the decision of Arkansas Building
Authority, or request the agency to make changes in the contract.
In no event shall Arkansas Building Authority have the final authority
to deny a contract solely on the basis of its propriety.
R3: 19-11-1008
Procedures for Approval
of Data Processing and Telecommunications Planning or Services
All contracts for data processing, management systems, or
telecommunications equipment planning or services must be submitted first to
the State Executive Chief Information Officer for recommendation and approval.
After receiving the recommendation and approval of the State Executive Chief
Information Officer, the contract shall be submitted to the Office of State
Procurement of the Department of Finance and Administration. No contract shall
be submitted to the Office of State Procurement without first seeking the
recommendation and approval of the State Executive Chief Information
Officer.
Contracts for projects with an estimated value of $25,000 or more
involving the planning and installation of cabling or other capital
improvements shall be submitted to ABA for review and approval prior to
forwarding to the Office of State Procurement.
If the State Executive Chief Information Officer refuses to give
favorable recommendation, the agency may appeal in writing to the Governor
whose decision is final as provided under Arkansas Code
25-4-115.
R1: 19-11-1009
Professional and
Consultant Service Contracts on File at a State Agency.
Professional and Consultant Service Contracts on file with a state
agency shall be available for public inspection to the extent permitted by
Arkansas State Freedom of Information Laws.
R1: 19-11-1010
Use of Performance Based
Standards in Professional and Consultant Service Contracts
All P&CS contracts over $25,000, other than those listed herein and
those specifically exempted by the Director of the Office of State Procurement,
will include performance standards. Agencies are encouraged, however as a
matter of good procurement principle, to include performance standards in all
professional and consultant service contracts. The purpose of these standards
will be to allow the agency to effectively measure the level of performance
provided by the contractor at various stages of the contract.
Performance standards may be standardized for use with similar
contracts or may be specifically developed for unique requirements.
Performance standards should measure, at prescribed points throughout
the term of the contract, the quality and quantity of work being
performed.
Performance standards may be refined by the agency and the provider as
a part of the contract negotiations.
A provider's inability to meet established performance standards may be
sufficient cause for declaring default and may also result in cancellation of
the contract.
Contracts that may be exempt from the use of performance standards
include:
(1) Sole source by law
contracts in which the state is compelled as a result of court, state or
federal mandate to award for services from a specific provider.
(2) Emergency contracts in which the need for
expediency does not permit for the development of performance
standards.
(3) Architectural and
Engineering contracts that are awarded using Arkansas Building Authority
criteria or similar criteria developed by those colleges and universities which
are exempt from ABA review.
R1:
19-11-1011
Professional and Consultant Service
Contracts on File in the Office of State Procurement
All agencies will be required to maintain copies in accordance with
current document retention laws (§
19-11-214) of all purchase orders issued for the procurement of professional and
consultant services.
R1:
19-11-1012
Compensation
Each professional and consultant service contract shall clearly state
the compensation, and indicate if various levels of expertise are to be
supplied by the contractor. A rate for each level and the number of personnel
within each level should be listed. All calculations should be extended and
totaled. A schedule of allowable reimbursable expenses and estimated rates for
each item of expense should be agreed to. All items should be listed along with
respective rates. Rates should be totaled by item column, and a total
compensation provided that is inclusive of reimbursable
expenses.
R2: 19-11-1012
Contract Dates
For each professional and consultant service contract, the agency is
required to enter the beginning and ending date of the contract. The beginning
date of all contracts shall be defined as the date upon which performance of
the services to be rendered under the contract are to begin and not the date
upon which the agreement was made. This date should be arrived at with emphasis
placed on the following:
(a) any
contract or amendment to a contract that requires review by the Legislative
Council Committee must be submitted to the Department of Finance and
Administration, Office of State Procurement, no less than ten (10) working days
prior to the Committee meeting. Those requiring Sole Source Justification
approval must be submitted at least fifteen (15) days prior to the published
review date of the Legislative Council Review Committee. The beginning date of
the contract must not precede the date of the Arkansas Legislative Council
meeting in which such contract is to be reviewed. The Review Committee meets on
the first Wednesday of each month, and the Legislative Council meets the third
Friday of each month except when the General Assembly is in session, at which
time Joint Budget will review contracts. The Legislative Council or the Joint
Budget Committee shall provide the Chief Fiscal Officer with their review as to
the propriety of the contract within thirty (30) days of said
submission;
(b) all contracts,
unless specifically excepted, must be filed with the Department of Finance and
Administration and/or the Office of Construction of Arkansas Building Authority
no fewer than five (5) working days prior to the starting date of such
contracts.
R3: 19-11-1012
Required Information
Information should be provided on each professional and consultant
service contract form listing the name and relationship of those persons who
will be supplying services to the state agency insofar as they are known at the
time the contract is signed. If the names are not known at the time of the
execution of the contract, the contractor shall submit the names along with the
other information as they become known. Such persons shall, for all purposes,
be employees or independent contractors operating under the control of the
contractor (sub-contractors), and nothing herein shall be construed to create
an employment relationship between the agencies and the persons
listed.
R4: 19-11-1012
Reporting Multiple Purchase Orders for Professional and Consultant
Services issued from the same Cost Center or Business Area to the same Provider
during the same Fiscal Year
To assist the Director of State Procurement in determining whether an
agency is issuing multiple purchase orders in an attempt to circumvent the
requirement of establishing a professional or consultant service contract,
agencies will be required to provide to the Office of State Procurement a copy
of each purchase order issued for professional or consult services to the same
provider from the same cost center or business area during the same fiscal
year. Each purchase order will be accompanied with an explanation of the nature
of work performed and the reason why a professional or consultant service
contract was not initially developed. This information will be due within ten
(10) working days from the date of the most recent purchase
order.
R5: 19-11-1012
Professional and Consultant Service Contract Form Each contract should be
completed and include the following information:
(1) agency assigned contract number or
outline agreement and amendment number. All amendments must have a copy of the
original contract and any previous amendments attached. For those contracts for
which payment will be made wholly or in part against a Method of Financing,
enter the assigned Method of Financing on the contract form.
(2) date the agreement was signed by the
agency and the contractor, the outline agreement or contract number and the
vendor number. Also enter the agency's code (or business area) and title,
division, if applicable, and the contractor's Federal ID number, name, and
address.
(3) funding source: State,
Federal, Cash, Trust or Other (specify).
(4) any resources to be provided by the
agency to the contractor as part of the agreement.
(5) name of the agency representative who
will represent the agency in coordinating the work of the contractor.
(6) disclose all information as required
under the terms of Executive Order 98-04. The contractor shall also require the
subcontractor to disclose the same information. The Contract and Grant
Disclosure and Certification Form (Form PCS-D, Attachment II - 10.3) shall be
used for this purpose.
R6:
19-11-1012
Disclosure Requirements for Professional and
Consultant Service Contract
(1) No
contract for services greater than the dollar limit established by Executive
Order 98-04, shall be awarded, extended, amended, or renewed by any agency to
any contractor who has not disclosed as required in Executive Order
98-04.
(2) Contracts with another
government entity such as a state agency, public education institution, federal
government entity, or body of a local government are exempt from disclosure
requirements.
(3) The failure of
any person or entity to disclose as required under any term of Executive Order
98-04, or the violation of any rule, regulation or policy promulgated by the
Department of Finance and Administration pursuant to this Order, shall be
considered a material breach of the terms of the contract, lease, purchase
agreement, or grant and shall subject the party failing to disclose or in
violation to all legal remedies available to the agency under the provisions of
existing law.
R1:
19-11-1203
Procurement Authorization
The State Procurement Director may authorize solicitations on behalf of
state agencies for the purpose of developing a guaranteed energy cost savings
contract.
R1: 19-11-1204
Procurement Method
All energy cost savings contracts, unless specifically exempted by the
Director of the Office of State Procurement, will be developed in accordance
with procedures issued by the Office of State Procurement.
R1: 19-11-2157
Collection and
Maintenance of Vendor EEO Policies
For purposes of this Act, Equal Opportunity Policies are required from
vendors who submit responses to state agencies or the Office of State
Procurement for procurements of Professional and Consultant Services; Technical
Services and Commodities where the dollar value is greater than $25,000.
The Office of State Procurement will maintain a file of vendor Equal
Opportunity Policies. State agencies which issue solicitations will be
responsible for confirming that vendors have a current E.O. Policy on file with
the State either through requesting that it be supplied with the solicitation
response; maintaining an agency file of vendor supplied E.O. Policies or by
accessing and checking the files maintained by the Office of State Procurement.
A contract may not be awarded prior to determining that a copy of the vendor's
current E.O. Policy is on file with the State.
Vendors will be responsible for supplying the State with updated
versions of their respective E.O. Policies as they are
implemented.
R1: 25-34-107
Marketing and Redistribution Surplus Computer Sales Procedures
(a) Sales made within the agency. The agency
will:
(1) create a customer receipt for the
sales price and calculate sales tax. Included on the receipt will be the type
of equipment, model number, serial number and property tag number, who the
equipment was sold to and the amount.
(2) Record the receipt in the cash journal as
a customer payment.
(3) Request a
funds transfer through DFA-Office of Accounting from the receipting agency's
fund to:
(A) Marketing and Redistribution's
Cost Center 383333, Fund MPH0000 - fifteen percent (15%) of the sales
price.
(B) Arkansas Department of
Environmental Quality's Cost Center 451346, Fund MER0100 - twenty-five percent
(25%) of the sales price.
(4) The sales tax will be paid when
DFA-Office of Accounting does their (owning agency's) monthly billing for Sales
& Use tax.
(b) Sales
made through Marketing and Redistribution on behalf of the agency Marketing and
Redistribution will:
(1) create a customer
receipt to record the sales price and sales tax
(2) record the receipt as a customer payment
in the cash journal
(3) request
funds transfer through DFA - Office of Accounting from Marketing and
Redistribution fund MPH0000 to Agency fund and cost center - fifty percent
(50%) of the sales price Arkansas Department of Environmental Quality Cost
Center 451346, Fund MER0100 - twenty-five (25%) of the sales price.
(4) The sales tax due will be included in the
DFA monthly report of Sales & Use tax
R1: 25-34-108
Surplus computer sale
reporting
(a) Each agency shall be
responsible for providing to Marketing and Redistribution by the
10th of the month following the sale a list of all
items sold. Include the type of equipment, model number, serial number, and
property tag number, to whom the equipment was sold and the amount.
(b) If the sale is conducted by Marketing and
Redistribution outside the agency, the agency will receive fifty percent (50%)
of the proceeds, twenty-five (25%) of the proceeds will be retained by
Marketing and Redistribution, and twenty-five percent (25%) of the proceeds
will go to the Computer and Electronic Recycle Fund at
ADEQ.
R1: 25-36-104.
Data recording and tracking
(a)
Agency Procurement Officials shall submit reports monthly to the Office of
State Procurement, data regarding minority participation in that agencies
contracts which exceed $25,000 (
www.state.ar.us/dfa/purchasing/index.html)
(b) The Director of the Office of State
Procurement shall gather the above information and similar information
regarding all other state agencies and submit a report semi annually to the
Governor and to the co-chairs of the Legislative Council and to the Legislative
Joint Audit Committee and the Minority Business Advisory
Council.
