Mississippi Administrative Code
Title 12 - Finance and Administration
Part 6 - Office of Purchasing, Travel and Fleet Management
Chapter 10 - Special Procedures
Sec2 12-6-10.102 - Purchasing Petroleum Products
Current through December 10, 2024
Section 31-7-13(h), Mississippi Code of 1972, Annotated, provides that when any agency or governing authority shall have a need for gas, diesel fuel, oils and/or other petroleum products in excess of, $5,000 the agency or governing authority may purchase the commodity after having solicited and obtained at least two competitive written bids as defined in Section 31-7-13(b), Mississippi Code of 1972, Annotated. I f two competitive written bids are not obtained, the entity shall comply with the formal bidding procedures set forth in Section 31-7-13(c), Mississippi Code of 1972, Annotated. After having advertised for bids for the purchase of gas, diesel fuel, oils and other petroleum products and no acceptable bids can be obtained, the agency or governing authority may negotiate in such a manner as to secure the best price available. Therefore, when purchasing these products, the following procedures should be followed:
(1)If the total purchase does not exceed, $5,000 the purchase may be made without any quotes or bids. We recommend that the purchasing entity contact at least two sources to assure that the price paid is not excessive.
(2) If the total purchase exceeds, $5,000 you may obtain two written, signed quotes and purchase from the vendor who has offered the lowest and best bid. State agencies will not be required to submit a P-1 f or gasoline purchases.
(3) If the entity is unable to obtain two written quotes, the entity must advertise as set forth in Section 31-7-13(c), Mississippi Code of 1972, Annotated. We suggest that the advertisement be for a contract to purchase gasoline for a term of 12 months. Upon receipt of bids if the low bid is acceptable, then you may award the contract and make all purchases for the period from the awarded vendor. If no bids are acceptable, then the entity should reject all bids and may negotiate to meet their needs. Please note that a bid with an escalation clause may be an acceptable bid provided that the invitation to bid included a price adjustment clause and the basis and method of adjusting unit prices. After having advertised and received no acceptable bids, we suggest that the entity obtain telephone quotes each time gasoline is needed. After obtaining an adequate number of telephone quotes, the entity should purchase from the vendor offering the lowest and best bid. It will be absolutely imperative that a file be maintained which should include:
