Current through Register Vol. 63, No. 9, September 1, 2024
(1) The
Lottery may Award a Contract as an Alternative Procurement pursuant to the
requirements of this section. Such procurements allow the Lottery to enter into
a series of Contracts over time pursuant to the authorization provided in
regard to the Alternative Procurement and without necessarily following the
requirements of an Intermediate or Large Procurement. The Director must approve
each use of an Alternative Procurement, and may approve or deny Alternative
Procurement requests submitted in a written memorandum that includes the
information specified in Subsection (2) below. The Alternative Procurement
request shall identify whether it is for one or more particular Contracts or
classes of Contracts.
(2) For
purposes of OAR 177-038-0090 the following definitions are applicable:
(a) "Class Alternative Procurement" means a
contracting procedure that differs from the procedures defined in OAR
177-038-0070(3)(a) through (e) and is for the purpose of entering into a series
of Contracts over time or for multiple projects.
(b) "Contract - Specific Alternative
Procurement" means a contracting procedure that differs from the procedures
defined in OAR 177-038-0070(3)(a) through (e) and is for the purpose of
entering into a single Contract or a number of related Contracts on a time
basis or for a single project.
(c)
"Alternative Procurement" means a Class Alternative Procurement, a Contract -
Specific Alternative Procurement, or both.
(3) In a written memorandum, the Alternative
Procurement requests shall contain the following:
(a) Reasons why the Lottery has elected to
use an Alternative Procurement.
(b)
A description of the alternative process designed by the Lottery, which shall
include a description of the Goods and Services that are the subject of the
Alternative Procurement and the procurement process that the Lottery intends to
use to acquire those Goods or Services, including provisions for amendment to
the resulting Contract, and criteria for selection.
(c) Any additional information the Director
determines reasonably necessary to evaluate the Lottery's request for approval
of an Alternative Procurement.
(4) The Director may approve or deny the
request for an Alternative Procurement in accordance with this rule. Following
the Director's approval the Lottery may conduct the Alternative
Procurement.
(5) The Director
declares the following as classes of Alternative Procurements:
(a) Books, Memberships, and Subscriptions:
The Lottery may purchase copyrighted materials directly and without a
competitive procurement where there is only one known supplier available for
such goods. This includes but is not limited to dues and fees for books,
memberships, or subscriptions.
(b)
Sponsorships: The Lottery may direct Award sponsorship agreements directly and
without competitive procurement to help entities carry out their projects or
activities that align with the Lottery's mission in exchange for
advertising.
(c) Gaming Contracts:
The Lottery may issue a direct Award for Contracts for (a) Video Lottery
terminals and Video Lottery games (including the equipment and services
necessary to operate and maintain the Video Lottery terminals and Video Lottery
games); (b) Goods or Services involving the receiving or recording of number
selection in any Lottery game, or any Goods or Services involving the
determination of winners in any Lottery game; (c) gaming devices, which means
any type of equipment or method, including any electronic or manual equipment
or combination thereof, or video device, on which a game is authorized by the
Oregon State Lottery Commission is played. The device must display the amount
that may be won, the amount wagered and any play credits available to the
player. A gaming device may include a device that is intended primarily for
personal or business use; or (d) gaming device game, (including the equipment
and services necessary to operate and maintain the gaming device games), which
means any procedure authorized by the Oregon State Lottery Commission that is a
game on a gaming device, whereby by the opportunity to win includes a wagering
process using a methodology that is based predominantly on chance to determine
the outcome of the wager. The outcome of the wager may involve skill as long as
the element of chance plays a predominant role. The methodology used must be
testable by an independent testing laboratory.
(d) Repair Contracts: The Lottery may direct
Award equipment repair and overhaul Contracts subject to the following
conditions:
(A) The service or parts required
are unknown and the cost cannot be determined without extensive preliminary
dismantling or testing; or
(B) The
service or parts required are for sophisticated equipment for which
specifically trained personnel are required and such personnel are available
from only one source.
(e)
Security Contracts: The Lottery may direct Award Contracts to security vendors
for studies, assessments or other security services that review secure and
sensitive Lottery information, including material or systems that affect the
fairness, integrity, security or honesty of the Lottery or any Lottery
games.
(f) Manufacturer Direct
Supplies: The Lottery may purchase Goods directly from a manufacturer if the
price from the manufacturer is the same or less than the cost the manufacturer
charges to its distributor(s).
(g)
Software and Hardware Maintenance, Licenses, Subscriptions, and Upgrades: The
Lottery may directly enter into a Contract or renew existing Contracts for
information technology hardware or software maintenance and support, licenses,
subscriptions and upgrades without competitive Solicitation where the
maintenance, upgrades, subscriptions, and licenses are either available from
only one provider or, if available from more than one provider, are obtained
from the Lottery's current provider in order to utilize the pre-existing
knowledge of the provider regarding the specifics of the Lottery's hardware or
software systems. The Lottery shall document in the procurement file the facts
that justify that maintenance, license(s), subscriptions, and upgrades were
available from only one provider or from the current vendor.
Statutory/Other Authority: ORS Chapter 461 & Oregon
Constitution, Article XV, §4(4)
Statutes/Other Implemented: ORS
461.400, ORS
461.410,
ORS
461.420,
ORS
461.430 & ORS
461.440
