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SOLICITATION OF BIDS, PROPOSALS AND THE AWARD OF PROCUREMENT CONTRACTS | No. 5-25e | Rev. |
| Date 2-23-83 | |||
I. PURPOSE
To establish procedures for the solicitation of bids and proposals and award
of University procurement contracts consistent with the provisions of the
Utah Procurement Code.
II. REFERENCES
Utah Procurement Code, 1953 Utah Code Annotated, SS63-56-1 et. seq.
PPM 3-36, B, 3 and 5, Conflict of Interest
PPM 5-25a, University Procurement
PPM 5-25c, Small Purchases and Expedited Procurement
III. POLICY
A. Competitive Bidding
1. Except as otherwise provided in this policy, procurement of items
in excess of $8,000 will be awarded only after solicitation of
sealed competitive bids or proposals.
2. Bids and proposals shall be invited from the widest practical
selection of firms with proven performance, from whom, in the
judgement of the Purchasing Department, the procurement needs of
the University can be satisfied.
3. Procurement of items estimated to cost $8,000 or less shall be
processed pursuant to PPM 5-25c.
B. Specifications
1. The Purchasing Department is responsible for preparation, issuance,
revision, maintenance and monitoring of specifications for
supplies, services and construction required by the University. In
the preparation of specifications, the director of Purchasing may
obtain the advice and assistance of requisitioning departments as
needed and, in connection with construction contracts, shall
request such advice and assistance from the director of
Architectural Services.
2. All specifications shall seek to promote overall economy and best
use of the purposes intended, shall encourage competition when
applicable in satisfying University needs and shall not be unduly
restrictive.
3. Subject to the non-restrictive policy stated in paragraph 2,
specifications and/or requests for bids or proposals may designate
a brand name "or equal" as a means to identify the performance or
other specific requirements of a procurement. When so used, the
salient features of the named brand that must be met by
bidders/offerors shall be clearly specified.
4. An individual who has participated in the preparation of a specification shall not be eligible to participate in or receive a contract award for any University procurement using such specification. Exceptions to this rule may be granted by the vice president for Administrative Services or his/her designee upon recommendation of the director of Purchasing if (a) an exception is justified by the existence of emergency conditions (see Section
E, 3 below), (b) there is only one practicable source of supply for
the contract requirements (see Section E, 2 below) or (c) it is not
practicable or advantageous to the University to deny an award to
the individual or to a bidder/supplier with which that individual
is associated. Such exception shall be in writing and shall be
attached to the bidding documents.
C. Bidding Procedures
1. The director of Purchasing is responsible for assuring that all
bidding procedures, including the invitation to bid, giving of
notice, establishment of criteria for bid evaluation, opening and
evaluation of bids received, acceptance of bids and award of
contracts are in compliance with the requirements of the Utah
Procurement Code and University regulations.
2. Public notice of invitations to bid shall be given a reasonable
time prior to the date for opening of bids. Such notice shall
include publication in a newspaper of general circulation.
3. Bids shall be opened publicly in the presence of one or more
witnesses at the time and place designated in the invitation for
bids. All bidding documents shall be affixed to the referenced
requisition, filed in the Purchasing Department, and shall be
available for public inspection.
4. Correction or withdrawal of inadvertently erroneous bids prior to
the date for opening of bids shall be allowed provided requests for
correction or withdrawal shall be received at the Purchasing
Department prior to the date and time for opening of bids and
provided such requests are in writing and clearly labeled.
5. Correction or withdrawal of inadvertently erroneous bids after the
opening of the bids, based on such bid mistakes, cannot be made
except by authorization of the vice president for Administrative
Services or his/her designee. Requests for such action must be
made in writing accompanied by full documentation of the facts
leading to the presentation of the erroneous bid. The decision to
permit the correction or withdrawal of a bid or to cancel an award
or contract based on an alleged bid mistake shall be in writing,
with a statement of reasons that takes into consideration the
written evaluation and recommendation of the director of
Purchasing.
After bid opening, no changes in bid prices or other provisions of
bids prejudicial to the interest of the University or fair
competition will be permitted.
6. When it is considered impractical to prepare initially a purchase
description to support an award based on price, an invitation for
bids may be issued requesting the submission of unpriced offers to
be followed by an invitation for bids limited to those bidders
whose offers have been qualified under the criteria set forth in
the first solicitation.
7. An invitation for bids, a request for proposals or other
solicitation may be cancelled, or any or all bids or proposals may
be rejected, in whole or in part, under the following conditions:
a. When the need for items as requested on the bid, proposal or
other solicitation no longer exists
b. When a bid or bids are received after the specified due date
and/or time
c. When it is in the best interests of the University whether for
budgetary reasons or other good and sufficient reasons to
terminate the entire transaction
d. When a bid is not responsive to the requirements of the
specification
e. When a bid proposes an unacceptable alternate item
D. Requests for Proposals
1. If the director of Purchasing determines in writing, with the
approval of the vice president for Administrative Services or
his/her designee, that the use of competitive sealed bids for a
particular procurement contract or for particular types of
recurring procurement contracts is either not practicable or not
advantageous to the University, a contract within the scope of such
determination may be entered into by competitive sealed proposals.
2. The director of Purchasing is responsible for the preparation,
issuance, giving of notice, opening, registering, evaluating,
negotiating and awarding of contracts pursuant to requests for
proposals when the use of request for proposals is authorized;
provided that all such proceedings shall be in conformity with the
Utah Procurement Code and, in order to assure maximum practicable
competition, shall be subject to the applicable time limitations
and other procedures specified in Section III, C above relating to
competitive bidding.
3. Award shall be made to the responsible offeror whose proposal is
determined in writing to be the most advantageous to the
University, taking into consideration price and the evaluation
factors set forth in the request for proposals. No other factors
or criteria shall be used in the evaluation. The contract file
shall be used in the evaluation. The contract file shall contain
the basis on which the award is made.
E. Exceptions/Procurement Without Competition
1. Small purchases
Small purchases shall be processed in accordance with PPM 5-25c.
2. Sole Source Contracts
A contract may be awarded for a supply, service or construction
item without competitive bidding when the director of Purchasing,
with the approval of the vice president for Administrative Services
or his/her designee, determine in writing that there is only one
practicable source for the requisitioned item.
3. Emergency Procurement
When emergency conditions exist that create a threat to public
health, welfare or safety, procurement without full competition may
be authorized pursuant to PPM 5-25c, IV, C.
F. Pre-Qualification
When determined to be necessary or appropriate by the Purchasing
Department, prospective suppliers may be prequalified for particular
types of supplies, services and construction. Solicitation mailing
lists of potential contractors shall include but shall not be limited to
prequalified suppliers.
G. Contractual Terms
1. Any contractual terms permitted by law may be used for University
procurement purposes, as the best interests of the University may
require, except that the use of a cost-plus-a-percentage of cost
contract is prohibited.
2. The director of Purchasing is responsible for assuring compliance
with procedural requirements of the Utah Procurement Code
applicable to the terms and provisions of procurement contracts
including requirements that specified determinations be made as a
condition precedent to the inclusion or modification of specified
contractual provisions (see Utah Code Annotated SS63-56-32, 63-56-40) or the use of change orders (see Utah Code Annotated SS63-56-41).
3. When the best interests of the University so require, the director
of Purchasing may include in University procurement contracts any
or all contract clauses, so far as relevant, that are authorized by
the Utah Procurement Code (Utah Code Annotated SS63-56-40 to 63-56-41) with respect to adjustments in price, time of performance,
scope of contract work, variations between estimated and actual
quantities, site conditions, remedies and other contract
provisions.
4. The Purchasing Department shall develop, modify and maintain a file
of standard contract clauses to be used in University procurement
contracts pursuant to paragraph 3 above and such clauses shall be
deemed incorporated herein by reference. The director of
Purchasing may modify any such clause for inclusion in any
particular contract upon written determination that such variation
will promote the interest of the University or encourage fair and
open competition provided that notice of any such material
variation must be given in invitation to bid or request for
proposals.
H. Procurement of Construction Work
1. Construction contracts will be entered into with responsible
licensed contractors subject to the provisions of the Utah
Procurement Code. (See Utah Code Annotated SS63-56-36 to 63-56-39)
For the purpose of this provision, the term "construction" has the
same meaning as in the Utah Procurement Code, Utah Code Annotated
SS65-56-5(4) and includes remodeling, renovation and landscaping.
2. Construction and remodeling contracts having an estimated cost of
$8,000 or less will be awarded when requested by the Architectural
Services Department on a standard requisition form accompanied by a
copy of the Architectural Services' job estimate and two (2)
written proposals obtained from eligible contractors. One written
proposal and the job estimate will satisfy this requirement when a
written statement by the director of Architectural Services or his
designee accompanies the request setting forth special
circumstances justifying the proposed contract upon that basis.
3. Bid Security
a. Bid security in amount equal to at least five percent (5%) of
the amount of the bid shall be required for all competitive
sealed bidding for construction contracts with an estimated
cost of $30,000 or more and for any other contracts where such
bid security is deemed essential by the director of
Purchasing. Bid security shall be a bond provided by a surety
company authorized to do business in this state, the
equivalent in cash or any other form satisfactory to the
University and consistent with the Utah Procurement Code.
b. When a bidder fails to comply with the requirement for bid
security set forth in the invitation for bids, the bid shall
be rejected unless the director of Purchasing determines in
writing that the failure to comply with the security
requirements is non-substantial.
4. Performance and Payment Bonding
a. When a construction contract is awarded for an amount
exceeding $30,000 and performance and payment bonding is
stipulated in the bid solicitation, performance and payment
bonds or other evidence satisfactory to the University must be
delivered to the University and shall be binding on the
parties upon the execution of the contract subject to the
provisions of the Utah Procurement Code. (See Utah Code
Annotated SS63-56-39.)
b. The form of the performance and payment bonds shall be
substantially the same as provided in rules and regulations
applicable to construction contracts awarded by the Utah State
Building Board.
c. Performance and payment bonds will ordinarily not be required
for construction contracts of $30,000 or less in amount,
provided, however, that to promote the best interest of the
University, the director of Purchasing may require performance
and payment bonds on such small contracts or may waive the
requirement for such bonds on contracts over $30,000.
d. When a bidder fails to comply with the requirement of a
performance or payment bond, the bid shall be rejected unless
the director of Purchasing determines in writing that such
bonding is deemed unnecessary for the protection of Weber
State University.
I. Architect-Engineering Services
1. For contracts costing $8,000 or less, PPM 5-25c, IV, A shall apply.
2. For contracts costing over $8,000 but less than $30,000 it is the
policy of Weber State University to negotiate contracts for
architect-engineering services on the basis of demonstrated
competence and qualification for the type of services required at
fair and reasonable prices. This paragraph does not affect the
authority of and does not apply to procedures undertaken by the
University to obtain the services of architects or engineers in the
capacity of employees.
3. In the procurement of architect-engineer services, the director of
Architectural Services shall encourage firms engaged in the lawful
practice of their profession to submit annually a statement of
qualifications and performance data responsive to published
criteria approved by the director. A selection committee for
architect-engineer services contracts consisting of the director of
Architectural Services and the director of Purchasing shall
evaluate current statements of qualifications and performance data
on file together with those that may be submitted by other firms in
response to the announcement of a proposed contract. The selection
committee shall where feasible consider not less than three firms
and shall select therefrom, based upon the established criteria,
not less than three of the firms deemed to be the most highly
qualified to provide the services required.
4. The director of Architectural Services shall negotiate a contract
with a qualified firm at compensation which the selection committee
determines to be fair and reasonable to the University after taking
into account the estimated value, scope, complexity and
professional nature of the services to be rendered. Should the
director of Architectural Services be unable to agree to a
satisfactory contract with the firm first selected, at a price
determined to be fair and reasonable to the University, discussions
with that firm shall be formally terminated and discussions shall
then be undertaken with a second qualified firm. Failing accord
with the second firm, discussion shall be formally terminated and
discussions shall then be undertaken with a third qualified firm.
Should agreement not be reached or should the University be unable
to award a contract at a fair and reasonable price with any of the
selected firms, the director of Architectural Services, upon
recommendation of the committee, shall undertake discussions with
additional firms until an agreement is reached.
5. The Purchasing Department shall award the contract to the selected firm on the basis of 1, 2, 3 and 4 above.