TEA Purchasing Manual_DRAFT_2011

Purchasing and Contracts Division

Internal Purchasing Manual

Table of Contents

Introduction 1 Overview of TEA Purchasing Authority and Policy 2TEA Purchasing Code of Ethics 3Purchasing Methods…. 6 Purchasing Agent Authority and Responsibilities 4Other General Purchasing Process 5The Requisitioning Process ……………………………………………............................................6Terms Contracts…. 6Delegated Purchases…. 6 Smart Buy Order Procedure…………………………………………………………………………………………6 Catalog Purchase Procedures…. 6 Open Market Purchase Process6Competitively Solicited Purchases Exceeding $50,000…. 6 State Purchasing Programs… 6 Specifications 6Special Purchases…. 6 Renewal of Equipment Leases and Maintenance Contracts 6 Receipt of Goods 6Cancellations……………………………………………………………………………………………...................6 Substitutions…. 6Restocking Charges…. 6Shipping and Receiving…. 6 Purchase Order Change Notice (POCN)…. 6 Fiscal Year End Purchases…. 6 Substitutions…. 6 Late Payments 6 Professional Development Certification 6 Definitions 6

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Type chapter title (level 3) 6

Overview of TEA Purchasing Authority

This manual serves as the guide for purchasing in the State of Texas and the Texas Education Agency. These procedures include statutory requirements and those established by rule of the commission as contained in 1 TAC 113.1 et seq. It is not the intent to establish procurement procedures outside the scope of Texas Government Code, Title 10, Subtitle D, Section 2151 et seq. Glossary of Purchasing terms are contained in this document. As a State of Texas employee involved the procurement of goods and services have a responsibility to uphold Texas procurement laws and to serve the best interests of our agency and the State of Texas. This responsibility requires a thorough knowledge of the Texas Government Code, Title 10, Subtitle D and Texas Administrative Code (TAC), Title 34, Part 1, as well as the procedures contained in this internal manual.

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CPA Non-Delagated Purchases

Commodities over $25,000: Open Market Invitations for Bid

(includes Reverse Auctions); Gov’t. Code § 2156.121

Services over $100,000: Request for Proposals (RFP)

-- No upper dollar limit; Gov’t. Code § 2156.121

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State Agency Delegated Purchases and Procedures

Delegated Purchases Gov’t. Code § 2155.132

Commodity Purchases under $25,000

Purchases of Services under $100,000

Direct Publications Internal Repair Purchases Perishable Purchases Fuel, Oil & Grease

Purchases Distributor Purchases Emergency and Proprietary

Purchases IT Commodities and

Services

Public Utilities Gov’t. Code § 2155.001

Interagency Agreement Contract (IAC)Gov’t. Code Ch. 771

Specific Statutory Exemptions

Determining the Purchasing Method Applicable To the Purchase

The following steps outline the procurement process, which must be followed to obtain any commodity (including services). Keep in mind that if the item you’ve requested appears to have a functionally equivalent item available at TIBH or TCI, TEA Purchasing are required to procure the item from set-aside vendors, unless we have documentation regarding why we are not using them. Contact your TEA Purchasing Liaison: Connie (x62435), Shabrel (x63164), or Johnny (x63166), if you have any questions.

Step 1 - Collect detail specification: The detailed specification for the required good or service. Requirements, such as maximum time to delivery, special

circumstances, etc. A reasonable estimate of the good or service’s purchase price

based on a market survey, a catalog price comparison or a previous purchase of the same specification

Step 2 -Determine the estimated dollar amount of the purchase

Step 3 – Establish the commodity class and item number http://www.window.state.tx.us/procurement//com_book/index.html

Step 4 - Check purchasing procedures based on commodity class and item

Step 5 - Please verify the requirements and specification meet the criteria for:

See if item is available in the TEA Supply Room The TEA supply room item list can be found on the T Drive under “Agency Form” folder, then click on file “A=Supply Requisition”. Please view link at http://itea/Purchasing/Copy%20of%20A=SUPPLY%20REQUISITION.xlsm.

On small purchases of supplies such as pencils, erasers, toner cartridge, etc., please check on the availability of the item through the TEA Supply/ Receiving stocked supply area before entering you’re purchase requisition to obtain the item from an outside source.

See if item is available from TIBH Catalog or TIBH Central Storehttp://www.tibh.org/store/

See if item is available from Texas Correctional Industries (TCI)http://www.tci.tdcj.state.tx.us/ If a TCI commodity or service meets the specification and other requirements, purchase it from TCI.

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http://www.tci.tdcj.state.tx.us/

http://www.tibh.org/store/

http://itea/Purchasing/Copy%20of%20A=SUPPLY%20REQUISITION.xlsm

http://www.window.state.tx.us/procurement//com_book/index.html

See if item is available from Council on Competitive Government (CCG)

Contracts. If commodity or service is available on a CCG contract, purchase it according to the instructions in the CCG contract

http://www.ccg.state.tx.us/

Internal repair, follow the procedure in Procurement Manual, 2.11 Delegated Purchase Procedure.

Proprietary purchase, follow the instructions in Procurement Manual, Section

2.21 Proprietary Purchases.

Scheduled Purchase Contract, follow the procedures in Procurement Manual, Section 2.9 Scheduled Purchase Contracts.

Professional and consulting services, purchase it using instructions from Section 2.20 Professional and Consultant Services

IT Commodity and/or Telecommunications services, follow the instructions for procuring telecommunications services in the Procurement Manual, Section 2.21.1 Department of Information Resources Contracts.

Department of Information Resources (DIR) IT Commodity List. If the specification is for commodity items, consider purchasing from Go DIRect Program contracts.

CPA TXMAS Contracts. If the specified commodity or service is available on TXMAS Contract, obtain a price quote from as many TXMAS vendors as are necessary to provide a best value determination.

Step 6 - See if item is available through the State Term Contracts. If a CPA Term

Contract commodity or service meets the specification, note its price for your best

value determination. http://www.window.state.tx.us/procurement//cat_page/

Step 7 - Search the Smart Buy on-line catalog for commodities http://www.window.state.tx.us/txsmartbuy/

Step 8 - If item is a computer related item (software, printers, printer supplies, digital camera, etc.), contact IT prior to going to any other source. TEA IT division will work with you (and explore possible Department of Information Resources (DIR) Store options) to ensure that the proper equipment is ordered

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http://www.window.state.tx.us/txsmartbuy/

http://www.window.state.tx.us/procurement//cat_page/

http://www.ccg.state.tx.us/

and that it is compatible with existing TEA equipment and related software. http://www.dir.state.tx.us/servlet/dirStore

TEA IT Commodity Approval Procedures

Verify if the commodity/service to be procured fall under a set-aside program (ex. DIR). The Purchaser sends email to IT Commodity Approvals mailbox, for approval of the IT Commodity or Service. When you receive approval from IT, you can then proceed with a purchase order to the vendor.

The email should include the following:

1. Detailed description;2. Quote or Estimated Cost;3. Quantity;4. Vendor Name;5. Requesting Division; and6. Requesting Division Contact

(Example of email you should send to IT Commodity Approvals)

I am seeking approval to procure the following for 103 –State Initiatives:

HP Color Laser Jet CP3520 Printer Series Model

Product# CC469A

Quantity: 1

Price: $634.00

PR# 32726 (DIR-SDD-223)

Step 9 - If item is communication service related item (phone, pager, firewall, interpreter, etc.) visit the DIR’s TEX-AN 2000 Contract before going to any other source. Please review Operating Procedure 08-12 to review guidelines before proceeding with ordering the devices. Prior approval must be obtained before ordering any communication service related item. The division requisitioner must fill out Cell Phone/PDA Request and route for appropriate division approvals. Your TEA Purchasing Liaison will provide guidance on which devices and services are available through the DIR contract. (You may skip Steps 5 through 8 if you are looking for a communication service related item.) http://www.dir.state.tx.us/tex-an/index.htm

Other links to know:

CPA’s Texas Procurement and Support Services (TPASS) Main Page http://www.window.state.tx.us/procurement/

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http://www.window.state.tx.us/procurement/

http://www.dir.state.tx.us/tex-an/index.htm

http://www.dir.state.tx.us/servlet/dirStore

CMBL Main Page http://www.window.state.tx.us/procurement/cmbl/cmblhub.html

Vendor Performance Main Page http://www.window.state.tx.us/procurement/prog/vendor_perfor mance/

Internal Supply Requisition Process

In regards to office supplies, purchasers should consult the online Supply Requisition to see if any office supplies are available from the TEA Supply Room, prior to creating a requisition. That form can be located under the T: drive-Agency Forms.

Open TEA website at http://itea/ Click on Purchasing link at http://itea/prinav_Purchasing.htm Click on TEA Internal Supply Requisition Form at

http://itea/Purchasing/Copy%20of%20A=SUPPLY%20REQUISITION.xlsm Print and forward the requisition form to the TEA Supply Store via email at

[email protected] or interagency mail located on the Ground Floor, Room G-102B

Your supplies will be delivered

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mailto:[email protected]

http://itea/Purchasing/Copy%20of%20A=SUPPLY%20REQUISITION.xlsm

http://itea/prinav_Purchasing.htm

http://itea/

http://www.window.state.tx.us/procurement/cmbl/cmblhub.html

Procedures for Divisions to Search Smart Buy for Commodities

Step 1 – Open the Texas Smart Buy Page at http://www.window.state.tx.us/txsmartbuy/

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Step 2 – Click on Search TxSmartBuy

Step 3 – At the Delivery Destination Page type in “Austin”; click on “Go”

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Step 4 – At the Smart Buy Catalog Page, click on the Supplier tab

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Step 5 - At the Smart Buy Punch-Out Page, select vendor on-line catalog and click on highlighted vendor link. You can choose to view vendor catalogs such as: AHI, Office Max, and TIBH.

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Step 6 – At the Security Warning page, click “No”

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Step 7 – At vendor page you can search catalog. On your requisition add the description of the item from the vendor catalog page

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Step 8 – To view other on-line vendor catalog, click on the Return to Marketplace Home at the top of the vendor page

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Step 9 – You will be routed back to vendor punch-out page, select another vendor and click on the vendor link. Repeat steps 1-7 to view all vendor’s catalogs.

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Requisitions

A requisition is an automated form generated by the division requisitioner in the ISAS system that requests (authorizes) TEA Purchasing Department to enter into a contract with a vendor to purchase goods or services using the requestor’s budget. The requisition is for internal use and the division requisitioner cannot use it to order materials directly from a vendor.

Requisitions should fully describe to TEA Purchasing Department what to buy, when it is required, and where the goods are to be delivered or the services to be performed. There may be a request for different types of information are required depending on the type of good or service requested. The chart below identifies the steps to submitting a requisition and processing it into a purchase order.

Steps In Creating Internal Requisition

Responsibility

Gather necessary information to input requisition (source of supply) Division RequisitionerEnter requisition into ISAS system with complete and accurate information Division RequisitionerRequisitioner submit requisition to department approver for electronic approval, the requisition is then electronically forward to TEA Accounts Payable

Division Approver

TEA Accounts Payable verifies accounting information and sufficient funding and forward electronically to TEA Purchasing work list

Accounts Payable

Purchasing verifies information is complete and correct on requisition. Purchasing Division

If requisition is incorrect or incomplete, the division requisitioner is contacted Purchasing DivisionDivision Requisitioner modifies requisition to reflect complete and accurate information

Division Requisitioner

Process requisition according to type and dollar value and generate Purchase Order

Purchasing Division

Send Purchase Order to vendor including standard terms and conditions

Purchasing Division

File purchase order with all pertinent information includes: EPLS, Vendor Purchasing Division

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Hold Search, and back-up documentation

Purchase Requisition (PR) Change Order ProceduresIf changes need to be done to a saved ISAS PR, the following steps must be performed:

1) Check to see if the PR has been sourced to a Purchase Order (PO) by running the following ISAS query: E_PO_REQ_SRC_TO_PO. If the PR has been assigned a PO then continue with Step 1. If the PR has not been sourced to a PO, then go to Step 2. (It is not necessary to contact your purchaser since the PR will enter into their worklist as usual.) a) DECREASE A PR TOTAL

Contact your Purchasing Liaison regarding the changes needed. The purchaser will un-finalize the PO and proceed with changes. The purchaser will notify the vendor within seven (7) business days.

The PR does not need to be editedb) INCREASE A PR TOTAL

Contact the purchaser regarding the changes needed. The purchaser will un-finalize the PO and/or line which will enable you to edit the PR.

Proceed with PR change order Step 2

2) Bring up the PRa) QUANTITY Changes – (Done from the “Line Details “ tab/ Main Page)

Click the Blue Triangle to activate a CHANGE ORDER (which is located on the LINE DETAILS page)

Make your changes Select the ADD COMMENTS and provide a detailed description of

changes made to the PR (include date) Save the PR (must be done in order for PR to reflect the edits)

b) PRICE Changes – (Done from the SCHEDULE icon/tab) Click the Blue Triangle to activate a CHANGE ORDER Make your changes Select the ADD COMMENTS and provide a detailed description of

changes made to the PR (include date) Save the PR (must be done in order for PR to reflect the edits)

Upon PR edit completion, you must contact the purchaser informing them of changes made to PR so that the same changes are completed on the PO. If you fail to contact the purchaser, the PO will not reflect

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the revised PR and therefore will delay Accounting in making a payment to the vendor. Upon purchaser PR change notification, the PO will be edited to reflect the PR and the vendor will be notified within seven (7) business days.

ISAS should generate an email notification to the Division ISAS Approver and Accounting for re-approval. It is a good idea for you to also notify the Division ISAS Approver. Upon re-approval, the system will automatically re-budget check the PR.

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Preparation for a Bid Opening

Step 1 – Notification of Bid Due Date

Purchaser sends out an email regarding the bid opening and the time the bid will close. The email includes the following below:

The Purchasing & Contracts Division has bid openings on X/XX/11 for the subjects listed below. Please forward any proposals received to Room 2-125 before or no later than X:XX PM.

Ex. IFB No. 701-XXXXX29000 – IFB Name

Note: Receipt of ESBD posting: (if applicable)

Contract specialist will receive an email from ESBD posting with due date of RFP

Step 2 – Receipt of Bids

Vendors can submit bids until the deadline. The Purchasing and Contract staff date stamps all bids that are hand delivered on a Bid, Offer or Proposal receipt confirmation form. The bid receipt confirmation form lists solicitation number, name, due date, respondent firm, purchasing and contract staff whom received the bid.

You make a copy of the bid receipt form and give to the representative Contracting keeps the original form and attach to the proposal A copy of the bid receipt form is attached to the box

Step 3 – Opening Bid/Checking in Bids

Bids are not opened until appointed time and date listed on the bid. Once all receipts have been received you can then open and review contents.

Check in Bid/Proposal receipts

Print out a copy of the Respondents in Response to RFP Provide the number of responses received Provide the initial of whom received the responses

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Include the Vendor Name, Address, Contact Person, Phone number, VID# Verify if all proposal requirements are provided. If a portion of the

proposal is missing leave box blank Enter respondent in response information onto the electronic copy and

place a copy of the form to box Email should be sent to Norma and Purchasing and Contract staff should

read as follows: If a HSP is required – Send email to Norma and copy Debra

The email sent should include the number of proposals received and the original proposals have been forwarded to Debra.

Print out an electronic copy of the respondent in response in color and give to Debra for review.

All original copies of the proposals received go to Debra for review

Step 4 – Reviewers of Proposal

Purchaser sends out an email to reviewers chosen to evaluate the bid.

Step 5 – Assembling Reviewers Packets

Once reviewers are chosen Norma will send an email to prepare packets. The evaluator cover sheets are copied in green paper. You will prepare a cover sheet for each evaluator.

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Reserve a Purchase Order ID

Step 1 - Log into ISAS (PeopleSoft)

Step 2 - Go to Menu – Select: Purchasing – Purchase Order – Reserve PO ID’s – Purchase Order Reservation Page

Enter, select or verify the following:

Business Unit: TEXAS

PO ID: NEXT

Click: ADD button

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Step 3: At Purchase Order Reservation screen, you can enter the number of PO’s you would like to reserve.

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Step 4: Click the Save button to reserve the purchase order

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Step 5: Email the end user the PO# assigned

Step 6: Email the assigned PO# to the division requisitioner

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Awarding Contracts

Process Steps

1. Awarding Contracts a. Originating division prepares the IFB solicitation and forwards to

P&C for compliance reviewb. Purchasing and Contracts conducts compliance review on draft of

IFB. All divisions are required to submit draft contracts to P&C for review prior to forwarding the contract to vendor for signature, regardless of the dollar value of the contract.

c. If errors are found on draft contract P&C will correct errors.d. Once draft contract is approved by Division Director three copies of

the contract are mailed to vendor for signature.e. The contract is forwarded to Associate Commissioner of Budget &

Operations for review and signature.

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f. Purchasing & Contracts will distribute signed contracts to the vendor and to programs

Once all contracts are signed, P&C will distribute signed contracts to the vendor and to programs. Once the contract is established, TEA programs assume the lead role in working with the vendor during contract service delivery, monitoring accomplishment of contracted services and deliverables, managing performance, and evaluating options for extensions/renewals.

Contract administration is the management of all post contract award actions that must be taken to ensure compliance with the contract. Contract administration is a critical part of the procurement process, but is generally considered the most neglected part of the procurement process. Contract administration includes the following four (4) general processes:

1. Planning

2. Monitoring Vendor Performance

3. Payment Approval

4. Change Management

Set-Up New Purchase Order

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Go to Menu – Select Purchasing – Purchase Orders – Add/Update PO’s

1. At Purchase Order screen, select Add A New Value for new PO2. Select the Add button3. At the Maintain Purchase Order screen, type in the VID# (Vendor

Identification Number)4. Select Buyer Name5. Go to Copy From field, click on the drop-down box and click and select

requisition a. At Copy Purchase Order from Requisition screen, type in the

requisition number in this fieldb. Select the search buttonc. Requisition number will populate in the Select Requisition

Lines boxi. Select each requisition line appropriate to the purchase orderii. Click the Copy to PO buttoniii. Select the Save button

6. Return to Maintain Purchase Order Screen7. Go to the PO Matching screen8. Go to Match Action tab, click on drop down button select Standard9. Go to Match Rule, click on magnifying glass and choose Two_Way

(services) and Three_Way (commodities)10. Click Ok11. Go to Line Details tab, click on view all (if applicable)

a. Select Schedule Iconb. At Schedules screen, select Distribution/Chart fields icon

Distributions for Schedule 1 At Distribute by choose Quantity at drop down button for commodities and choose Amount at drop down button for services

c. Click Ok d. Return to Main Page

12. Click Show All Columns button (looks like an arrow)a. Populate the NIGP Class/Item Code for itemb. Select the Purchasing Method and Purchase Category Codec. At Vendor Catalog type “NO” if item is DIR, TIBH and or TXMAS

Contracti. If vendor is HUB vendor, leave the vendor catalog field

blankii. If the item is a commodity and requires receiving check each

box which applies13. Click the Show All Columns button to return to the main page14. Click the Save button15. The PO# will populate16. Select Copy Standard Comments

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a. Select Comment Type DLT – if applicable (Federal Monies or Interagency Contracts), if the project number in the chart field is greater than 3 federal funds are being utilized.

b. If all project(s) numbers are greater than three, you will choose EP/O for the purchasing method and purchase category code.

c. Select Comment Type TEA, select family code TC 10 (Family Code) and TC4

(Catalog Purchase) and include statement: This purchase order is being processed in accordance with the DIR “Go Direct” contract# DIR-SDD-XXX

If you receive a quote include along with vendors name and contact person and contact information

Purchasing Method for IT related commodities/services will be “CP” (Purchasing Method) and PCC is “I” (DIR Master Contracts)

17. Return to the main page, click Approve Amounts18. Click the Save button19. Select Add/Updates, click on Find Existing Value Tab, type PO#

in the PO ID column and click Search button20. Return to Main Page, click the Budget Check icon, status should

change from “Not Checked” to “Valid”21. Once PO status is approved & budget status is valid, send email to

James requesting him to dispatch and print your PO.

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Procedures for ordering Office Supplies through CPA 615 A-1 Term Contract via Smart Buy

Step 1Log into the Smart Buy Order System at http://www.window.state.tx.us/txsmartbuy/

Step 2 – At the log in page, enter your USER ID and PASSWORD

Step 3 – At the Navigator Page, select Agency/Co-op Purchaser link

Step 4 – Under the Agency/Co-Op Purchaser tab, select iProcurement

Step 5 – At the iProcurement page, select the Go Shopping link

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Step 6 – At the Enter the Delivery Destination City to begin box, enter Austin, click “Go”

Step 7 – At the Smart Buy Catalog Solution page, at the Search box enter the following

First box, drop down button select Supplier Part# Select Supplier Tab, then select one or more vendor catalogs that apply

to order, then click “Go” Select either AHI or OfficeMax under the Supplier Tab, then click on the

vendor highlighted link This should take you directly to the vendors website

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At the Security Alert box, Click No

At the Security Warning Box, Click No

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Step 8 – Search for item at the vendor’s website

At the search icon, enter the commodity product numbero Click the Search buttono Always add HEW on all HP toners to receive brand name, if you

don’t they will supply you with remanufactured toners ( Ex. HEW CB540A)

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o Once you click the Search button your item will appear as the example above

o Click add to carto Once you have entered all your items to the Cart, you are routed to

the “Punch Out Quote Ready Page, click on “submit order”

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o At the “My Cart” page you can view your order carto Once order is validated, click the ‘checkout” button

Step 9 – At Shopping Cart page, select Check Out button, the system generates a requisition number

Step 10 – At “Check Out” page – description of item is automatically generated, the Requisition Description (you can change the description or leave as it appears)

Second field – Customer Requisition Number – at this field enter in the TEA Purchase order number (ex. 701-00000XXXXX)

Click “next button” on the checkout page

Step 11 – At the Requester and Purchaser Name page, there are two fields Delivery Location and Invoice location:

At the Preloaded Delivery Location Code field, enter in agency code (ex. 701), utilize the shipping address listed on your TEA Purchase Order

At the Preloaded Invoice Location Code field, enter agency code (ex. 701), utilize accounts payable information listed on the TEA Purchase Order

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Step 12 – Click Next button at the initial Check Out page

Step 13 – Add Attachments, click Add Attachments button (Step 2 of 3)

You should scan your documents prior to completing the check out process

o All documents should be scan and save at the SCAN-PDF’s file located in the S://drive

o Once you have attached the document, click the SAVE buttono Click the Next button, o At the Checkout: Review and Submit Requisition page (Step 3

of 3), if requisition is correct click the Submit button

Step 14 – At the Confirmation page, your requisition number will appear and it will be confirmed your requisition was submitted

Step 15 – Click on My Requisition page, to view your requisition and your Smart Buy PO number

Step 16 – Add the Smart Buy PO and requisition numbers to the TEA PO created in ISAS

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RETURN OF MERCHANDISE TO VENDOR When goods need to be returned to a vendor, certain steps must be followed to receive credit for goods returned to the vendor

1. Please take the item(s) down to TEA Supply/Receiving and contact your purchasing liaison of your request to return. Please provide your requisition number or purchase order number to your Purchasing Liaison

2. Your Purchasing Liaison will notify the vendor, notifying vendor of the return of the item and to verify their procedures for returns.

3. The vendor will issue a Return Authorization (RA), with the “call tag” number for the package. This number will identify the package the carrier will pick up.

4. Any returned goods must be properly packaged in compliance with

shippingregulations for certain freight companies

5. The vendor will follow-up with a credit memo or acknowledgment of merchandise

received the transaction. Please remember all invoices or vendor credit memos should be sent to [email protected]. If reimbursement will be a paper check please send to the following address:

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Texas Education AgencyAttn: Agency Accounting1701 N. Congress AveAustin, Texas 78701

Texas Smart Buy

Texas Smart Buy through CPA/State Purchasing is the latest on-line ordering system utilized to order services and/or commodities that are available on Term Contract. Some of the benefits of this program are that you can easily search and browse contractor e-catalogs for price and product information, and the vendors receive purchase orders immediately, and Purchase’s are advised via e-mail of when their order is placed. Basically, when State Purchasers receive an e-mail, the vendor is receiving the same e-mail relating to the purchase order. TEA Purchasers utilize Smart buy mainly by submitting orders for office supplies (includes toner*), office furniture, name plates, name tags, etc. The two office supply vendor’s that are utilized are AHI Enterprises, (877)-865-4402 or [email protected] and Office Max, (877)-226-6189 or [email protected]. Orders for office supplies can be placed with these two vendors’ via Texas Smart buy. The other vendor utilized when purchasing using Texas Smart Buy is TCI-Texas Correctional Industries. All TEA Purchasers new to TEA will be given a login name and password. This will be set up for you by your TEA Purchasing Manager.

Note: The two referenced vendors stock a number of the most highly purchased TIBH items and will have these available for 1-3 day delivery. As approved by the Texas Council on Purchasing from People with Disabilities (TCPPD), TIBH items purchased by State Agency Purchasers will be considered TIBH purchases.

Note: There is a minimum order of $75.00 for the office supply contract.

Note: Regarding the purchase of Toner = TEA Purchasers need to conduct a price analysis utilizing other local vendors to verify that the prices from Office Max and AHI are the best prices. If you as a TEA Purchaser are getting pricing from vendors for remanufactured toner, then compare with Office Max’s and AHI’s remanufactured toner. Don’t compare new to remanufactured. Some toner, such as the colored toner, shall be purchased as new manufactured toner only. If Office Max or AHI are lower, proceed with the order. If their prices are not the best price, please consult with your Purchasing Manager or Purchasing Director, and obtain permission to purchase off the contract. They will need to obtain a waiver from CPA. If we get audited, we will need to justify why we didn’t buy off the term contract. TEA Purchasing wants to ensure they have

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documentation referencing that Purchasing saved money by not utilizing the term contract and that management approved purchasing the toner off the contract, because it was in TEA’s best interest.

TXSmartBuy – Purchase Order Process

There are two basic types of term contract purchases - Automated and Non-Automated.

Term contract purchase orders are processed through TxSmartBuy Online Ordering System through the completion of a purchase requisition form.

The information required for both on-line entry and the Contract Purchase Requisition form is:

1) Agency/Ordering Entity unique requisition number

2) Quantity

3) Unit of Measure from the CPA Term Contract

4) 11-digit commodity code number

Agencies are required to utilize the term contracts unless they fail to meet their needs. In such a case, the justification should be documented on the Agency’s purchase order and in the procurement file.

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Division creates purchase requisition (PR)

Division route PR to Accounting for approval and generate TEA PO

Purchaser finds item and order utilizing

TX Smart Buy

Vendor receives order electronically

Item received by Agency

Step 1 – Log into the Texas Smart Buy Order shttp://www.window.state.tx.us/txsmartbuy/

Step 2 – At the log in page, enter your USER ID and PASSWORD

Step 3 – At the Navigator Page, select Agency/Co-op Purchaser link

Step 4 – Under the Agency/Co-Op Purchaser tab, select iProcurement

Step 5 – At the iProcurement page, select the Go Shopping link

Step 6 – At the Enter the Delivery Destination City to begin box, enter Austin, and click “Go”

Step 7 – At the Smart Buy Catalog Solution page, at the Search box enter the following:

First box, drop down button select Supplier Part# Second box w/magnifying glass, type in the first five digits of the

commodity code Select Supplier tab, then select one or more vendor catalogs that apply to

order, then click “Go”

Step 8 – At the Results page, all vendors with various selected commodity codes should populate

Step 9 – Search for your item by the commodity code (Supplier Part#), enter in the quantity amount on in the Qty box

Step 10 – Click “Add to Cart” button, once you add item to cart on the Results page, the message “Items successfully added to cart. Click here to view your cart”

Step 11 – Once you have added all items to your cart you will then click on the “click here to view your cart” link

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Step 12 – At My Cart page, after you have added all items click on the “Check Out button”,

Step 13 – Go to Shopping Cart page, select Check Out button, this where requisitions and PO numbers are created automatically

Step 14 – Go to the Check Out – Requisition Information page, Step 1 of 3 will start with the Requisition Description (you can change the description or leave as it appears)

Second field – Customer Requisition Number – at this field enter in the TEA Purchase order number (ex. 701-00000XXXXX)

Step 15 – At the Requester and Purchaser Name page, there are two fields Delivery Location and Invoice Location:

At the Preloaded Delivery Location Code field, enter in agency code (ex. 701), utilize the shipping address listed on your TEA Purchase Order

At the Preloaded Invoice Location Code field, enter agency code (ex. 701), utilize accounts payable information listed on the TEA Purchase Order

Step 16 – Click Next button at the initial Check Out page

Step 17 – Add Attachments, click Add Attachments button (Step 2 of 3 – Check Out Process)

You should scan your documents prior to completing the check out process

o All documents should be scan and save at the SCAN-PDF’s file located in the S://drive

o Once you have attached the document, click the SAVE buttono Click the Next button, o At the Checkout: Review and Submit Requisition page (Step 3

of 3), if requisition is correct click the Submit button

Step 18 – At the Confirmation page, your requisition number will appear and it will be confirmed your requisition was submitted

Step 19 – Click on My Requisition page, to view your requisition and your Smart Buy PO number

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How to Process Equipment Rental and Lease Renewals

Please contact Sandy Ledesma in the IT area. IT will review division’s requirements and recommend the copier equipment to best meet the need. Once the type of copier equipment has been determined, division requisitioner should create a purchase requisition and submit for the appropriate approvals. The assigned TEA Purchasing Liaison will complete the ordering process to the recommended vendor.

When preparing a purchase requisition for copier renewals the division should utilize the following format below:

1. Provide Renewal of (name of copier/model#)a. Unit of Measure (UOM) : MO (month)b. Quantity: 12c. Line Comments: List previous years requisition#, and the serial

number, the location of copier, division name, division contact person and phone number

2. Accessory Charge (if applicable, this will be a sorter or finisher on your copier). There will some who may not need this line

a. Unit of Measure (UOM): MO (month)b. Quantity: 12c. Line Comments: name of accessory (example: sorter/finisher)

3. Overage Chargesa. Unit of Measure (UOM): Lotb. Quantity: 1c. Line Comments: list the amount to allow for overage charges

(usually divisions list an amount of $100.00). The amount depends

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on whether you feel your division will exceed the amount of copies allowed). If necessary, Purchasing can adjust the amount during the fiscal year

Leased Equipment: For lease equipment renewals are not required on an annual basis except at the time of or prior to the expiration of the actual lease term which is based upon the initial installation and acceptance (24, 36, 48 and 60 months). Lease renewals, as applicable, must be entered through the TxSmartBuy system if renewing for increments of 24, 36, 48 or 60 months.

Rental Equipment: For rental equipment rentals are required to be renewed on an annual basis beginning September 1. There are no automatic renewals.

Step 1: Log into the TxSmartBuy system.

a. Select “i-Procurement” linkb. Select “Go Shopping” link

Step 2: Enter the appropriate city (must match the delivery destination city)

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Step 3: To locate a specific item, the most efficient method is typically to search by the item’s commodity code, which is referred to as the “Supplier Part Number”

Step 4: To search by “Supplier Part Number”, select the appropriate search type from the dropdown menu, and then optionally select the contractor(s) or category(s) to search within. Please see the example below.

Step 5: Enter the total quantity of machines (base unit). In this example, assume 3 machines need rental renewals. After entering the quantity, select the “shopping cart” icon/button to add the items to the cart

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Step 6: From the term contract page (see step 3), note the commodity code for the monthly lease amount. Search for the supplier part number under e-Catalogs and select the line item for the quantity of months:

Step 7: Enter the total quantity of months for the rental or lease renewal. In this example, assume 3 machines need to have rental renewals at 12 months each, for a total quantity of 36 months. After entering the quantity, select the “shopping cart” icon/button to add the items to the cart

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Step 8: Follow the standard process to checkout from the catalog area in Vinimaya and into the Checkout area in Oracle (click on cart icon, review your shopping cart, and click on the “checkout” button in both Vinimaya and Oracle).

Step 9: Before submitting your order, click Edit Lines:

Step 10: Enter the serial number(s) and Delivery Date(s) of the machine(s) being renewed. Separate multiple serial numbers with commas. The serial number field has a maximum length of 75 characters. If more space is needed, enter the serial numbers in a line item comment or attachment.

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Purchase Order Change Notice (POCN) – Documentation Formats


Step 2 - Go to Menu – Select: Purchasing – Purchase Order – Add/Update PO – Search for PO#

Purchaser Instruction:

o Highlight the revision number and dated on first page of the POCN and all text detailing the change for the revision

o Do not use acronyms in the POCN documentation format unless they have previously been spelled out

o Any deviation from these formats below must be approved by the manager

Purchase Order (Not CPA Term Contract or TxMAS Contract)

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Revision No.#, mm/dd/yy

Revised by: First initial, Last name

Increase or decrease quantity of Line Item XX: From: 1 To: 44

Change purchase order total:

From: $ 10,000 to: 11,000

Purchase order total increased (or decreased) by: $1,000

Reason: [example]:

To accept over-shipment by vendor, per email request from “Joe User” dated mm/dd/yyyy

Purchase Order Change Notice (POCN) for Liquidation of PO

Revision No. #, mm/dd/yy

Revised by: First initial, Last name

Decrease Quantity of Line Item#, $975,000 (Encumbrance Amount) to $783,504.62 (Liquidated Amount)

Decrease Quantity of Line Item#, $XXX,XXX (Encumbrance Amount) to $XXX,XXX (Liquidated Amount)

Change Purchase Order Total:

From: $XXX, XXX To:$ XXX,XXX

Purchase Order Dollar Amount was reduced by: $ XXX, XXX

Reason for Change: Purchase Order Change Notice issued to liquidate FYXX funds

Vendor Identification Number Change:

Revision No. #, mm/dd/yyyy

Revised by: First Initial, Last Name

Change Vendor Name:

From: ABC Inc,

VID# 12345678900000

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To: XYZ Corp.

VID#: 1119995557777

Reason: [example]

Vendor name changed in response to change request letter from XYZ Corp dated mm/dd/yyyy

OR

XZY Corp. purchased ABC Inc’s Company, including the existing contract and its receiveables

Purchase Order Renewal

Revision No. #, mm/dd/yyyy

Revised by: first initial, last name

Change term of purchase order:

From: March 15, 2004 through March 14, 2005

To: March 15, 2004 through March 14, 2006

Change purchase order total:

From: $100,000 to: $220,000

Purchase order total increased (or decreased) by: $ 110,000

Reason: To renew the purchase order # for ____ additional months I accordance with the original terms and conditions, and change quantities per email request from “Joe User” dated mm/dd/yyyy. Agreement from the vendor dated mm/dd/yyyy is on file.

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IFB Procedures for Meeting & Hotel Service Contracts

Step 1 – The Division will submit a Invitation for Bid (IFB) contract with all the specifications for the requested Meeting or Hotel Service. At the same time the division should create a requisition for the total amount of the meeting.

Step 2 – Purchaser reviews the specifications for the following:

Lodging Accommodations Overall costs; Ample parking at the hotel or meeting place Number of attendees Mission of meeting

According to Texas Government Code 2113, Section 106, a state agency shall utilize state-owned or state occupied facilities for meetings, conferences, and

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administration of group examinations and may not use appropriated money to lease private facilities for these purposes unless state facilities are not available when needed, are not adequate to accommodate the meeting, conference, or examination, or are not an economically favorable alternative to other facilities

Step 3 – After Purchaser has reviewed the IFB from the division, the Purchaser will re-route IFB to the division for revisions

Assign PO# to Invitation for Bid (IFB) If bid exceeds $25,000 it will need to be posted to the Electronic

State Business Daily ( ESBD) for 14 days regardless of funding source

Please visit https://portal.cpa.state.tx.us/ , the CPA Web Application Portal to post the IFB

Step 4 – If no corrections, Purchaser will email the IFB Austin Convention and Visitor’s Bureau to email contact person Keva Washington at [email protected]

In Section 6.0 Submission of Bid, this is where you will enter the dates bid need to be received to TEA

Allow 14 business days for submission of bids to TEA Purchasing

Step 5 – If corrections are needed by the division they will complete the corrections or revisions return to your purchaser

See Step 4 bullets for sending out IFB to vendors

Step 6 – Opening Bids/Checking in Bids

Vendors can submit bids until the deadline. The Purchasing and Contract staff date stamps all bids that are hand delivered on a Bid, Offer or Proposal receipt confirmation form. The bid receipt confirmation form lists solicitation number, name of IFB, due date, respondent firm, purchasing and contract staff whom received the bid. Write on the receipt # of boxes submitted for the proposal by the responding firm and if any extenuating circumstances/issues were associated with the receipt of the proposal (i.e. – Bid not labeled with IFB # - had to open box to verify bid, etc.)

You make a copy of the bid receipt form and give to the representative

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https://portal.cpa.state.tx.us/

Contracting keeps the original form and attach to the proposal A copy of the bid receipt form is attached to the box

Bids are not opened until the bid is officially closed (after 2:00 PM or 3:00 PM whatever the circumstance for the bid). Once all receipts have been received you can then open and review contents.

Step 7 – Review Committee Confirmation

Purchaser will confirm with the Division who will be on the review committee this is usually done via email. At this time you should request a scoring mechanism for the evaluation of bid for the IFB. This form can be emailed to you.

Note: Non-Disclosure Statement - please sign and return to Purchasing and Contracts Division the non-disclosure statement before reviewing any proposals. The Purchaser must sign a non-disclosure as well.

Step 8 – Evaluation Packets

Purchaser makes copies of all bids received of IFB based on the number of reviewers. Once packets are assembled you send out an email confirming packets are complete and they are ready for pick up by the Division

Step 9 – Awarded Vendor

The Division should provide you with an email of their awarded vendor. Purchaser should do the following:

At the time of award, file documentation must contain:o Excluded Parties List Systems (EPLS) printout prior to

contract awardo Posting to Electronic State Business Daily (ESBD) if

purchase is $25,000 or Greater

o Conduct a Vendor Hold Search

Once Division has named the awarded vendor, Purchaser shall sent out an email requested a draft contract sales agreement to be sent to TEA Purchasing for review.

The contract sales agreement from the vendor should include:

Cost breakdown of all the (meeting room rental, occupancy tax, service charges, AV Equipment Rental)

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Step 10– Create PO

Once hotel services contracts have been signed by both the vendor and TEA Management it is then a PO is created and faxed to the vendor. The Purchasing file will include: copy of PO, copy of IFB, all responses to IFB, divisions scoring mechanism etc.

The PO should include the following:

1. Meeting Room Rental2. Service Charge3. Occupancy Tax4. A/V Equipment Rental

Divisions may require the need for meeting room rental and sleeping room accommodations for attendees of conferences and or trainings. Purchasing issues divisions the authority to complete the standard IFB form for such events. Purchasing needs to ensure that Bids are distributed at least 3-6 months prior to the event. The IFB form is submitted to the division to complete. It is returned to Purchasing for review and approval, and is then posted by TEA Purchasing Unit for a total of 14 days. The NIGP class/item# for meeting room rentals is 971-65, and the main vendor listed under this class/item through the Centralized Master Bidder’s List is the Austin Convention and Visitor’s Bureau. The AC&VB forwards the IFB to Hotels within the Austin area. When the bid is submitted, other hotel vendor and/or meeting room facilities will be referenced, please ensure the IFB is distributed to every hotel and/or meeting room facility referenced under NIGP class/item# 971-65.

Once the bids are received, copies are distributed to the requesting division to review. Visits are conducted to the hotels. A best value determination is made, and award is granted. Evaluation Criteria Sheets, along with a non-disclosure statement are each completed by those involved in the bid review process, which includes the Purchaser. A contract agreement is then provided by the Hotel vendor to TEA Purchasing for review, and authorized signature. The signed contract is then issued back to the hotel for their authorized signatory. Along with this, TEA Purchasing attaches the TEA Special Provisions. The division processes a requisition, and a purchase order is processed. Note: There are instances where the meeting rooms are complimentary and TEA pays for the sleeping room accommodations. This only occurs if the Division has an authorized committee and as such, can be direct billed to the agency. Such committee is the Textbook Review Committee, which is authorized through the Appropriations Act. Therefore; no purchase requisition is required. Presently cost center 211 has such committee, and they have such meetings at least 3-4 times per fiscal year.

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SpecificationsA specification is a description of a product or service a user seeks to procure, and is also, a description of what a bidder must offer to be considered for an award. Specifications are the primary means of communication between an agency and a vendor.Specifications control:

• the quality level of the product;• the amount of competition;

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• the suitability of the product or service for the job to be done; and• the method of evaluation used in making an award and in determining the best value bid for the purchase.

Characteristics of an Effective Specification:

A bidder or contract participant may provide free technical assistance to an agency. A state agency may not accept a bid or award a contract to a vendor who received compensation from the agency to participate in the preparation of the specifications or request for proposals on which the bid or contract is based.

Agency SpecificationsIf no Texas specifications exist for the commodity needed, acceptable specifications covering the agency's needs must be developed. These specifications should provide a clear and accurate description of the requirements for the merchandise or service to be purchased. Specifications must be clear and understandable to the bidders. They must permit competition between products of equal quality. Descriptions may include a statement regarding the qualitative nature of the purchase and should identify minimum essential characteristics and standards to which the purchase must conform if it is tosatisfy its intended use. "Performance" requirements should be identified. "Design" or "construction" specifications may be written where minimum mandatory design characteristics are appropriate.

Procedures for Obtaining Temporary Workers

TEA is required to use CPA’s TPASS Term Contract 962-69 Temporary Personnel – TIBH for temporary personnel requirements prior to seeking services through outside vendor or any other contract outside of TPASS. TIBH is the primary temporary worker supplier is GTS. The second supplier, Peak

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SIMPLE: Avoid unnecessary detail, but be complete enough to ensure that requirements will satisfy their intended purpose. CLEAR: Use terminology that is understandable to the agency and bidders. Use correct spelling and appropriate sentence structure to eliminate confusion. Avoid legalese type language and jargon whenever possible. ACCURATE: All quantities and specific requirements should be clearly and correctly identified. COMPETITIVE: Avoid unneeded "extras" that could reduce or eliminate competition and increase costs. FLEXIBLE: Avoid inflexible specifications which prevent the acceptance of a bid that could offer greater performance for fewer dollars. Use approximate values (such as dimensions, speed, etc.) when possible if they will satisfy the intended purpose. If approximate dimensions are used, it should be within a 10% rule of thumb unless otherwise stated in IFB.

Performers, to be contacted only when GTS cannot provide a temporary worker that meets the requirements of the division/program.

General Provisions

1. The vendor shall retain all responsibility for assignment, management, discipline, and termination of the temporary worker.

2. Non-Discrimination 3. Reasonable Accommodations4. Criminal Background Checks

Process for Obtaining Temporary Workers

1. A Contract Resource Request (CRR) form is completed by the Division and forwarded to the Budget Office. It is important that the estimated number of hours the temporary worker will need to be on site, the estimated rate per hour, and the purchase requisition number be filled out on the form. Attached all pertinent information with the CRR.

a. View Temporary Staff Services Job Descriptions at http://sao.hr.state.tx.us/compensation/index.html

b. Visit State Auditor’s Office Salary Schedules at http://sao.hr.state.tx.us/Compensation/schedule.html/schedule/2011A

2. Once the CRR is approved by Budget Office, the Division may contact the vendor to describe what they are looking for, the desired or expected skills and abilities of the individual, and the required duties of the temporary position. The description of the duties and required skills should be specific as possible, in order to ensure that all the essential functions

3. The Division shall prepare a Purchase Requisition (PR) in ISAS, which pre-encumbers the funds for the requested service, and obtain necessary approvals

4. Once Purchasing receives the approved PR and receives the approved CRR form from Budget (Contact: Rachid Ighiouer) along with other backup documentation

5. Purchaser will create a PO which will begin with PO# 028609- last digits of the division number. The first five digits is a blanket PO which is created each year for the fiscal year

6. TEA Purchaser will issue a PO along with a specifications fax sheet to the vendor. The documentation shall include, but not limited to, information relating to instructions for report time, work hours, hourly rate, contact person of work area, expected duties, etc

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http://sao.hr.state.tx.us/Compensation/schedule.html/schedule/2011A

http://sao.hr.state.tx.us/Compensation/schedule.html/schedule/2011A

http://sao.hr.state.tx.us/compensation/index.html

7. Purchasing shall provide vendor with a purchase order including a detailed description of requirements and specifics of the job

8. The vendor will fax the temporary specifications sheet along with the name of the designated temporary for the assignment

COST CENTER RESPONSIBILITIES

1. Prepare Contractor Resource Request (CRR) form and forward to Budget.

2. Contact the vendor to discuss requirements of position, including agreeing on the title and hourly bill rate. Get familiar with the General Contract Information on Term Contract 962-69. Make sure that division/program requirements complement the requirements outlined in the term contract.

3. When the temporary position is approved by Budget, prepare Purchase Requisition (PR) with hourly rate, hours, duties, report data, dates of service, work area supervisor, room number, and any other pertinent information indicated, and forward to Purchasing.

4. Supervisor should contact Purchasing if it becomes apparent that the period of service will end prior to the original timeframe that was stated or estimated. The vendor should communicate any reduction in the period of service with the temporary worker.

5. Supervisor shall contact Purchasing if the temporary worker fails to adequately perform the work assigned or engages in any form of misconduct. The end user should not counsel with the temporary worker regarding performance concerns. If problems arise, the end user may notify Purchasing to either release the worker or contact the vendor to resolve the problem. The vendor will handle any disciplinary actions that may be required.

PROCEDURES FOR RELEASING TEMPORARY WORKERS

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In order to initiate the release of a temporary worker from an assignment, the end user should notify the purchasing office [by submitting the “Release from Temporary Assignment” form]. Purchasing will notify the vendor that the worker is no longer needed.

The end user shall not inform a temporary worker that he or she is terminated. All matters involving the employment relationship, including termination, are the responsibility of the vendor. The purchasing staff is responsible for contacting the vendor regarding the release of a temporary worker.

This form below is to be filled out and forwarded to the Purchasing and Contracts Section in order to initiate the release of a temporary worker from an assignment.

Name of Temporary Worker:

Division or Office:

Reason for Release:

Assignment ended

Failure to report to duty

Excessive tardiness

Does not possess necessary job skills

Unsatisfactory Performance

Specify:

Other:

Specify:

Would you use this individual again or recommend this individual to another TEA Division/Program? Yes No

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Comments:

Signature:_________________________ Date:__________________

Procedures for Mobile Communication Devices (Blackberry/Cellular Phone Service)

Please review the Agency Operating Procedure OP-08-12 – Mobile Communication Devices regarding the completion and approval of a Cell

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Phone/PDA Request Form. Second, contact your divisions’ buyer. They will guide you through the pertinent website(s) so that you can look at the devices and review the device’s functional requirements and accessorial options, and will share with you the various plans. Once the Request Form is approved, you will process an ISAS purchase requisition based on the information your buyer gives you.

When preparing your purchase requisition for new service and or renewals. The below format should be utilized:

(1) NATION GSM (450)-(USERNAME-CELL#)(2) Provide the Account# (3) 12 MONTHS @ 29.59/MONTH = $355.08

Line 1 Comments: Includes National Long Distance and Roaming, Call Waiting, Call Forwarding, Three-Way Calling, Caller ID, Voicemail, and 100 free Text Messages, overage for text messaging is 10 cents/message; overage if plan is exceeded = 0.45 (note: review plan and select the overage amount and place in line 1 comments, (if the end user has unlimited text messaging, then this needs to be a separate requisition line), which would then be 12 months @ 10.00/month, (list cell# and if you have, the account#, please list that in the comments, & if you do not have the account # information, no problem, Accounting staff and I will verify, if need be).

(2) DATA Service/ 12 months @ $XX.XX/month; Line 2 Comments: Blackberry Enterprise Unlimited-Add on, (list cell# and if you have, list the account# in the comments).

(3) MISCELLANEOUS FEES THAT MAY OCCUR DURING THE YEAR - 12 months @ (estimated amount)

Line 3 Comments - FUSC (Federal Universal Service Charges), E911 at $1.52; however, this fee may fluctuate depending on percentage of charges for this service, also directory assistance fee, interconnection fee, and overages that may occur during the period of 09/01/XXXX through 08/31/XXXX.

Please note: All rates are after the 26% State government discount

Note: There may be some staff member who may have UNLIMITED Voice and UNLIMITED Data, the current rate for unlimited Voice are $69.99/month and unlimited Data is $29.60/month.

Note: If the end user will be traveling outside the U.S., please contact TEA Purchasing at least 7 days before they travel, so the correct (international) rate

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can be obtained, as we have had some staff travel to Canada and Mexico, and rates vary depending on the location. There will be a need to create a separate requisition will be needed, if this happens during the course of the fiscal year.

Please contact TEA Purchasing to discuss any rate plans to ensure, the end user has adequate services to meet their needs, so during the year, the service plan is adequate, and therefore; overage charges will be eliminated.

:

Centralized Master Bidders List (CMBL)

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The Centralized Master Bidders List (CMBL) is a database of registered vendors who have provided contract information and goods/services they offer. Texas Government Code, Title 10, Subtitle D, Subchapter E. Section 2155.263 requires the Comptroller of Public Accounts (CPA) to maintain the CMBL. Bid Invitations and Requests for

Proposals (RFPs) are for the solicited commodity and/or service. Vendors pay a nominal annual fee to receive bid invitations and RFP’s for solicited commodities and/or services. Unless exempted by law, the CMBL must be used for all procurements subject to CPA’s procurement authority. The CMBL must also be used to the fullest extent possible by state agencies that make purchases exempt from CPA’s purchasing authority. The CMBL may also be used to gather information for noncompetitive procurement processes and for vendor performance data.

For purchases between $5,000 and $25,000, informal bid procedures must be followed:

Obtain a minimum of 3 bids from vendors on the CMBL with 2 bids from the CPA certified Historically Underutililized Business (HUB) list (one minority-owned and one female-owned of any ethnicity). Purchases under $5,000 may also be supplemented with non-CMBL bidders.

The CMBL is to be used for purchases over $25,000 to locate all vendors who provide the required commodity or service and also service the agency’s geographic region.

Purchasers use the CMBL to develop a mailing list to distribute bid opportunities and notifications.

Manufacturers, suppliers, and other vendors wishing to furnish materials, equipment, supplies, and services to the state should register for the CMBL to receive bidding opportunities.

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Procedure for Procuring Print a nd Print Related Services:

Print and print related service procurements exceeding $1,000 in estimated purchase price must follow the procedures outlined below. It is a violation to purposefully divide job requests for the purpose of avoiding the procedures outlined below. TEA Purchasing has established internal procurement procedures for print and print related service requests less than $1,000.

State Print Services are now being provided to state agencies and local governments through five state agency print shops franchised by the Council on Competitive Government (CCG) and through the print shops of the Texas Correctional Industries (TCI).

HOW TO SUBMIT YOUR PRINT REQUEST - http://ccg.state.tx.us/contracts/printshop.htmlTo submit specifications to the State Print Shops for bid, agency personnel must complete the CCG Print Shop Job Request Form, as referenced in the link above. Once completed, click on the submit button on the bottom of that form and the form will be routed to contacts at each of the State Print Shops. Once submitted, the person completing the form will need to print or save a copy of the results page for their records. The Print Shops have up at least 36 hours to respond to the Bid Request, unless a date and time are provided.

Once the bids are returned, the division needing the print services, can review the bids and select a print shop based on "Best Value", meeting specifications. After a print shop is selected, a purchase requisition can be processed (to pre-encumber the funds) by the requesting division, and a purchase order will be processed by the Agency Purchasing Department and submitted to the Awarded Print Shop. Class# 966- , Account code: Printing Service -7273-2009B

Who actually submits the print request form? The division can submit the Print Request Form, which is electronically delivered to all State Print shops referenced below. Please keep Purchasing apprised, and when the bids are received. Submit an e-mail to your division Buyer advising them of the Print Shop bid results, and reference which Print Shop will meet the division needs in the way of Best Value. Purchasing will review and approve.

The appropriate Interagency Cooperation Contract Number below must be notated on the purchase order by TEA purchasing staff to the awarded vendor to access services under this contract: Feel free to reference that contract number in the comments of the purchase requisition.

Texas Department of Public Safety – PSIAC-01-2010Department of State Health Services – PSIAC-02-2010Texas Department of Transportation – PSIAC-03-2010The University of Texas at Austin – PSIAC-04-2010 (UTAUS CN: 6593)Texas Workforce Commission – PSIAC-05-2010Texas Correctional Industries – PSIAC-06-2010

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http://ccg.state.tx.us/contracts/printshop.html

Please contact your Division Buyer when Printing needs are requested that exceed $1000.00 and when our (TEA Copy Center) cannot provide due to do reasonably required high-volume duplication. Feel free to contact TEA Purchasing with any questions pertaining to these printing needs.

TEA Purchasing Staff may determine best value for their print procurement using the following procedure/steps:

o Identify print job specifications and estimated priceo Submit a print shop bid request formo Evaluate bids and Award bid

If TCI provides a bid response, TEA must provide TCI a final opportunity to negotiate on price prior to seeking approval to conduct a competitive solicitation. In accordance with state statute, agencies will be required to utilize TCI if they can provide the requested service and if they submit the lowest price in a best and final request.

o Hobby Print Shop (Marlin, TX) - focuses on digital printing services, traditional offset printing and bindery services

o Wynne Graphics (Huntsville, TX) - focuses on adhesive backed products, such as stickers and decals.

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Electronic State Business Daily (ESBD)

The Electronic Business Daily (ESBD) is a database of solicitations that allows both vendors and agencies to see available procurement opportunities within the State.

For all purchases greater than $25,000, regardless of the source of funds, agencies are required to post either notice of a procurement opportunity for 21 calendar days or the entire bid or proposal package for 14 calendar days on the ESBD. Minimum posting times does not apply for:

Emergency Purchases Internal Repair Procurements Multiple Award Schedule Contract Purchases

Solicitations and awards are searchable by entity type, requisition number, key word, and NIGP code

The state agency posting requirements are as follows. Your entities requirements may differ, so please consult your purchasing procedures.

Estimated Procurement/Contract Amount Minimum days for AdvertisementExceeding $25,000: If posting entire bid or proposal solicitation package 14 calendar daysIf not posting entire bid or proposal solicitation package 21 calendar days

Bid notices include the following information: a short title and a brief description of the goods or services to be procured

and any applicable state product or service commodity codes for the goods and services;

the last date and time on which bids, proposals, or other applicable expressions of interest will be accepted;

the estimated quantity of goods or services to be procured; the estimated date on which the goods or services to be procured will be

needed; the name, business mailing address, and business telephone number of

the ordering entity point of contact to obtain all necessary information related to making a bid or proposal or other applicable expression of interest for the procurement contract;

the agency's purchase requisition number, and any applicable documents, such as complete specifications, may be

attached.

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SPECIAL PURCHASES State Procurement Policy and Procedures require state certified purchasers to utilize special set-aside vendors such as Texas Correctional Industries, http://www.tci.tdcj.state.tx.us/, and TIBH Industries, www.tibh.org. For example, with TCI, The Prison Made Goods Act requires that an agency purchase goods made by and services offered by the Texas Correctional Industries (TCI) and with TIBH, an agency is required to purchase products and services from people with disabilities. Before contacting any other vendor, ensure these two entities are checked first.

Order Process

Step 1 – Look at the estimated dollar amount of your purchase

Step 2 - Verify if special programs or set-aside contracts take precedence such as Texas Correctional Industries (TCI) catalogue, Texas Industries for Blind and Handicapped (TIBH) and for special purchase procedures

Step 3 - Establish the commodity class and item number. Please reference the NIGP Book

Step 4 - Please view the TCI website at http://www.tci.tdcj.state.tx.us/default.aspx. This website is TCI’s online catalog where you can look at all of the furniture and chairs they have to offer

State Procurement Policy and Procedures require state certified purchasers to utilize special set-aside vendors such as Texas Correctional Industries and TIBH Industries, www.tibh.org For example, with TCI, The Prison Made Goods Act requires that an agency purchase goods made by and services offered by the Texas Correctional Industries (TCI) and with TIBH, an agency is required to purchase products and services from people with disabilities

Step 5 – Create a purchase requisition and submit for approval. The purchase requisition should Include the following information:

Include the Name of item Commodity Code Color

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http://www.tci.tdcj.state.tx.us/default.aspx

http://www.tibh.org/

http://www.tci.tdcj.state.tx.us/

If delivery time frame is a concern or price is lower through another vendor, then a Prison Made Goods Act Waiver will need to be submitted to TCI, and they can either approve or deny the waiver. Once the “waiver” is returned to TEA Purchasing, and if it is denied, then an order can be processed with TCI through the Texas Smart buy ordering system, as most commodities and/or services through TCI are ordered utilizing Texas Smart buy. Note: The only time an order is not ordered utilizing Texas Smart buy is if a “custom” quote is obtained from TCI. Therefore; an order is processed directly to Texas Correctional Industries. If the waiver was approved, then order processing can be achieved with the vendor (HUB if possible), that is able to provide the commodity or service due to being lower in price or due to delivery time frame. The waiver can be located under the CPA/Purchasing site, under forms/procurement forms.

TCI – Furniture to include ergonomic seating, desks, shelving, lateral files, awards, printing needs, desk name plates, name badges, etc.

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Please see point of contacts below

Graphic / Janitorial Chemicals

Linda Thornton

Phone: 936-437-8426

Fax : 936-437-8498

[email protected]

Garment / Janitorial Mops, Brooms & Brushes

Jamie Brinegar

Phone - 936-437-6388

Fax - 936-437-8423

[email protected]

Modular Furniture

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Jana Townsell

Phone - 936-293-4116

Fax - 936-293-4126

[email protected]

Furniture Products

Karla Velasquez

Phone - 936-437-6661

Fax - 936-437-8610

[email protected]

Metal Products

Ruby Dawson

Phone - 903-928-3112

Fax - 903-928-2647

[email protected]

Create HUB Bid Tracking


Step 2 - Go to Menu – Click HUB Bid Tracking from menu Select: HUB Bid Tracking link

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Step 3 – Click on the HUB Bid Tracking link

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Step 4 – At HUB Bid Tracking Page, select “Add a New Value Tab”

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Step 5 – At the HUB Bid Tracking, enter purchase order number in the Bid ID field

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Step 6 – Select the HUB Header Tab

o Fill out Description Field - ex. Toner, Office Supplies, etc.o TEA Contact : Assigned Buyer for the divisiono Req ID : enter requisition numbero PO ID: enter purchase order numbero NIGP Class/NIGP Item: enter one class/item code from purchase

ordero Do not click the SAVE button

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Step 7 – Select the HUB Line Tab

o Enter the Vendor ID Numbero Enter the Vendor Contacto Enter the Bid Status (click on the magnifying glass) o Enter the Amount of purchase order

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Step 8 – Return to the HUB Header Tab

o Enter Response Due Date - enter same date as the purchase order date

o Select Bid Completeo Click Save button

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HUB Bid Tracking Report

Step 1 - Go to ISAS Menu – Select: Reporting – HUB Reporting – HUB Bid Tab Report

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Step 2 – At HUB Bid Tab Report page, click the Search button

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Step 3 – At Search Results page, select BUD_CHECK_REQ run control ID

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Step 4 – At Run Control ID page, enter PO number in the “BUD ID” field

1. Select the RUN button2. At the Process Scheduler Request page, click OK

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Step 5 – Go back to the HUB Bid Report page, click on Process Monitor link’

Step 6 – At the “View Process Request For” page, click on the Refresh button until Run Status shows “Success” and “Distribution” shows “Posted”

Step 7 – Click the Process Detail link and it will take you to the Process Detail Page

Step 8 – At the Process Detail Page, select ”View Log/Trace” link

Step 9 – At the View Log/Trace page, under the File List tab select MM HUBBT.PDF link to retrieve the HUB Bid Report

Step 10 - Click on the “Go Back to The HUB Bid Tab Report” page and repeat steps 1-9 for each report which needs to be printed

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Procedures for Purchase Orders for Contract 966-N2(Printing/Custom Printed Continuous/Tractor FED/ & Snap-Out Forms)

1. Log in the Smart Buy system by clicking on “Purchaser Login”

2. Click on “iProcurement”

3. Click on “Add quotes or Charges to Purchase Order” (highlighted in blue)

4. At Shopping List: Personal Favorites page, from drop down list select the vendor (“i.e. Miami Systems Corporation”), click “Go” tab

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5. Under “Printing – Custom Printed Continuous/Tractor Fed and Snap-Out Forms” – Enter amount of PO total

6. Click on “Add to Cart”

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7. From “Contract Type” – Select Term; In “Contract Number” – Enter “966-N2”

8. Click on “Continue”9. In “Shopping Cart” section (upper right corner), click on “View Cart and

Checkout”10. Click on “Checkout”11. Click on “Edit Lines”12. Put check mark in the select box, then click on “Update”13. This screen would allow you to add any special instructions (name

of forms, beginning numbers, etc) in the “Note to Supplier” section and/or add the quote received from the vendor as the attachment

14. Click on “Return” (twice)15. Continue as you normally do for issuing the PO

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Registration for Training of Employees or Conferences

TEA no longer requires a purchase requisition/purchase order for registration to attend conferences/seminar unless the vendor requires a PO. Please contact Sharon Stinnett in TEA Accounts Payable regarding Seminar/Conference Registration Voucher. Please review OP 08.08 for registration fees are fees charged for an employee’s or official enrollment and attendance at staff development opportunities or meetings sponsored by professional If you received a requisition for registration fees, you should code as follows:

REGISTRATION FEES FOR training or education

Must be related to the duties or prospective duties of the administrator or employee,

Utilize class/item# 963-64 –Registration fees – EP/O

Registration for Attending a Conference, you should code as follows:

RE/E, 963-37, Fees, Conference/Convention

TEA no longer requires a purchase requisition/purchase order for registration to attend conferences/seminars unless the vendor requires a PO. Registration fees are paid out of budget category 2000B, Operating Expenses.

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TEA Historically Underutilized Business (HUB) Program

The policy of TEA Purchasing Office is to make a good faith effort to utilize HUB’s participation in the procurement process of goods, services, and public utility contracts in accordance with Texas Government Code, Chapter 2161 and Texas Administrative Code, Title 34, Part 1, Chapter 20, Subchapter B.

For estimated purchases up to $5,000 – Statute does not require a competitive bid process. Although they are not required to do so, it is encouraged to purchase from HUBs in these instances.

For estimated purchases of $5,000.001 to $25,000 – Agencies must obtain at least informal bids, 2 of which must be from CPA certified HUBs

For estimated purchases over $25,000 – Agencies must solicit bids or proposals from all eligible vendors on the Centralized Master Business List (CMBL)

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Historically Underutilized Business Subcontracting Plan (HSP)

It is required the ordering entity identify subcontracting opportunities prior to the solicitation for all purchases over $100,000 or more. If subcontracting opportunities are probable the contracting agency will state such probability in its bid, proposal, offer or other applicable expression of interest (solicitation) and require the prime contractors (respondents) to complete and submit an HSP with their response. . The HSP is sent with the solicitation as an attachment

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Close Purchase Orders Procedures


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Go to Menu – Select Purchasing – Purchase Order – Reconcile PO’s – Reconciliation Workbench

Step 2: At Reconciliation WorkBench page, select Search

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Step 3: Under Search Results page, select CLOSE PO

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Step 4: At Filter Option page, under Purchase Order enter PO number in both boxes

Step 5: Click Search

Step 6: Under Select POs for Further Processing, select the box next to the Purchase Order Number

Step 7: At the Action page, click on the yellow Close button

Step 8: At the Processing Results page, click the blue arrow button and move PO ID from non – qualified to qualified

Step 9: At Proceed, select the yellow YES button

Step 10: Screen will appear to proceed click yellow YES.

Step 11: At the Reconciliation Workbench page, PO status should be complete

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Legislative Budget Board Reporting

Posting Contracts to Legislative Budget Board

Step 1 – Scan & Save contract to S://Purchasing Contracts/SCAN-PDF’s

Step 2 – Log Into LBB website:

http://contracts.lbb.state.tx.us/UnexpectedError.aspex?aspxerrorpath=/DataEntry/Contracts2.aspx

User Name: agy701b7

Password: pib55190

Step 3 – Go to Edit Contract Information

1. Agency name tab: Central Education Agency2. Document Type tab: select Contracts3. ID# Category tab: enter contract number assigned4. Award Date: enter beginning date of the contract5. Completion tab: enter end date of the contract6. At Vendor Information, select the vendor name and verify if it is

already uploaded into the LBB. If not, click on Add New Vendor 7. Under Explanation tab, enter the RFP number, number of renewal

options8. At Amount tab, enter in the amount of contract9. At Number of Attachment tab, select and attach the contract from

S://SCANS-PDF’s.10. Click Save button after finished11. Click Submit to LBB tab, the contract is uploaded to LBB website12. Click Reopen contract, if you need to make changes to

information on contract

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Emergency Purchases

Emergency purchases occur as the result of unforeseeable circumstances and may require an immediate response to advert an actual or potential public threat. If a situation arises in which compliance with normal procurement practice is impracticable or contrary to the public interest an emergency purchase may be warranted to prevent a hazard to life, health, safety, welfare, property or to avoid undue additional cost to the state. The decision to declare an “emergency” is the sole responsibility of the ordering Division.

Solicitation Procedures for Emergency Purchases

TEA requires at least three informal bids are encouraged whenever possible on all emergency purchases. An award should be made based on best value, considering the type of emergency. An agency is responsible for handling any complaints or protests that result from emergency procurements.

Emergency purchases over $25,000.00 must be posted in the Electronic State Business Daily (ESBD), however, the minimum posting requirements do not apply.

CPA has delegated to all state agencies the authority to make emergency purchases.

TEA is encouraged to use standard informal bid procedures including obtaining the required number of bids.

Justification Requirements for Emergency Purchases

Emergency purchases require a letter of justification documenting the emergency which must be signed by the purchasing director or an authorized representative, and at a minimum address the following:

State the reason for the emergency by explaining what the emergency is and/or what caused the emergency situation

State the financial or operational damage that will occur if needs are not satisfied immediately ; and

State why the needs were not or could not be anticipated so that items could have been requisitioned through regular procurement procedures

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Purchase of Automated Information Systems/Telecommunication Commodities and Services

1. Purchasing must first determine if the IT commodity of service is available through Department of Information Resources contract(s); if not, a DIR exemption must be included in the documentation indicating the product or service may be procure from another vendor.

These are contracts and awards for AIS (Automated Information Systems) and technology based commodities and services. These are also exempt from competition. Go to the DIR website at http://www.dir.state.tx.us/index.htm

Search by Vendor Name, Contracts, or by Class/Item Code/CISV Negotiation allowed

2. If the IT commodity or service exceeds $5,000, an informal bidding requirements must be Indicated in the documentation

a. Purchaser must utilize the CMBL printouts verifying at least three vendors were solicited, two (2) of which must be certified HUB’s

b. The CMBL printout must reflect date solicited

3. Create a purchase order for the commodity or service. The PO should include the following:

a. If utilizing DIR “ Go Direct” Master Contract must be on the PO (ex. DIR-SDD-XXXX)

b. The legal citation

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http://www.dir.state.tx.us/index.htm

Delegated Purchases

A delegated purchase is a procurement in which the authority to manage the competitive process is delegated to TEA by CPA Rule or by statutory exemption. The delegated purchase procedure does not apply to mandatory State use purchasing programs or requirements that can be satisfied by other purchasing methods specifically authorized by state statutes.

TEA is delegated the authority to purchase supplies, materials, or equipment.

Procedure for Delegated Purchases

1. Verify that your agency has been delegated authority over the competitive process by CPA or State statute.

2. Collect the following:

The detailed specification or SOW for the required product or service. A reasonable estimate of the good or service’s purchase price based

on a market survey, a catalog price comparison or a previous purchase of the same specification. Please note that the solicitation and award authority of an individual purchaser is limited to dollar amounts corresponding to their state purchasing certification.

If the estimated purchase price is $5,000 or less, statute does not require a competitive, however TEA policy requires at least one bid from a “Certified HUB”.

Follow internal agency’s procedures for procuring commodities or services in an amount of $5,000 or less.

Commodity

A commodity purchase is a procurement of supplies, materials, or equipment and does not include the purchase of real property or services. TEA has the authority to purchase commodities whose estimated purchase price does not exceed $25,000.

Service Delegated PurchasesA service is defined as the furnishing of skilled or unskilled labor or professional work Delegated purchases of services do not include:• Professional and consulting services covered by the Professional Services Act as defined by Texas Government Code, Title 10, Subtitle D, Section 2254.• Services of an employee of a state agency.

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• Services of public utilities.

Service Delegated Purchase ProcedureIf the estimated purchase price is:1. Less than or equal to $25,000, purchase the service using the Open Market Informal Solicitation Process. 2. Greater than $25,000 and less than or equal to $100,000:

a. The solicitation information must be posted to the ESBD (Electronic State Business Daily)

b. Solicit vendors and make and award using an appropriate formal competitive process

3. If solicitation is greater than $100,000, the authority to procure services is not automatically delegated to your agency. If you have not done so, submit a requisition for these services according to CPA Administered Open Market Purchase. If CPA delegates the authority to procure a service for which the estimated purchase price exceeds $100,000 to your agency:

a. Include the letter delegating procurement authority in your procurement file.

b. Make any changes required by CPA to the advertised specifications, terms, and conditions.

c. Post the solicitation information to the ESBD (Electronic State Business Daily)

d. Solicit vendors and make and award using an appropriate formal competitive process.

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Direct Publication Purchases (PCC K)Direct publications are publications only available from a single source. Any publication that could be purchased using a competitive process is not considered a direct publication. For example, publications that are available through subscription services are not direct publications.Examples of direct publications include, but are not limited to:

Subscriptions only available directly from the publisher. Foreign publications. Back issues of magazines, journals, and newspapers. Publications produced by professional societies. Audio, visual or audiovisual materials (films, audio presentations, etc.)

that are only available directly from the publisher. Computer software and software maintenance which is only available

directly from the publisher. Electronic data service directly from the publisher (not to be confused

with internet service providers such as Earthlink or America On-line, which are not

direct publications). Collections of any of the foregoing items, including microfilm or

microfiche copies of the collection. Library of Congress cards. Theses, dissertations, research findings and academic publications.

Direct Publication Purchase Procedure1. If the estimated purchase price is greater than $25,000, post the solicitation information to the ESBD (Electronic State Business Daily).

2. Please add the following declaration “Not available from any other source” to the purchase orderAcceptable documents include but are not limited to:

a. A signed memorandum with the above statement.b. The PO with the above signed statement.

3. Purchase the publication directly from the sole vendor that publishes it.

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Internal Repair PurchasesAn internal repair is a repair to state-owned equipment that cannot be reasonably defined prior to the actual repair and the extent of which cannot be determined until the equipment is disassembled. Furthermore, internal repairs are usually the result of an unexpected, basic service outage. For example, the unexpected failure of a building’s air conditioner may result in unanticipated repair to electrical circuitry, which would constitute an internal repair. internal repairs must contain labor and may also include parts.

Internal Repair Purchase Procedure1. Please note procurement file with "Internal Repair"

2. To limit agency liability, include the following on the purchase order:“Not to exceed {insert reasonable dollar limit} for repair services unless prior authorization is provided by the agency.”

3. If the estimated purchase price is greater that $25,000, post the solicitation or award information to the ESBD (Electronic State Business Daily) as appropriate.

4. Competitive award is not required for an internal repair. Please follow TEA’s internal procedures for procuring an internal repair.

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Open Market Purchases

An open market purchase is the purchase of a good or service made by soliciting from any available source. The open market purchase procedure is authorized by Texas Government Codes 2155.062(a)(3) and 2156.061.

The open market procedure always includes a competitive bidding process. The goals of the open market purchase procedure are to ensure a truly competitive purchase process and to provide an appropriate balance between administrative costs and potential savings.

Open Market Blanket Purchase Orders

An open market blanket purchase order is a purchase contract for a good or service for which your agency has a repetitive need on an "as-required" basis. The advantages of this type of order include avoiding large inventories and avoiding the administrative expense of processing frequent purchase orders. A disadvantage of this type of order is that purchase quantities are not guaranteed, which may not result in the best prices. With an open market blanket PO, the vendor does not ship goods or perform services until your agency authorizes them to do so in writing, via a "call out." Establish a procedure for recording blanket order call outs to assist your agency in meeting order inspection requirements. Purchase order call outs may only be used to purchase goods for the fiscal year to which they apply. For example, you may not purchase consumables for the next fiscal year using a blanket PO established for the current fiscal year.

When establishing an open market blanket PO, include the following:

The beginning and ending time period for the blanket order. A statement noting that all deliveries will be ordered on an "as required"

basis. The estimated quantity. A statement limiting the maximum quantity that may be purchased. A statement that none of the quantities are guaranteed.

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Open Market Standing Purchase Orders

An open market standing purchase order is a purchase contract for a good or service for which your agency has a repetitive need and can predetermine purchase quantities and delivery times. Open market standing POs differ from open market blanket POs in that the goods are delivered on a predetermined schedule instead of on an as-needed basis.

Renewing Open Market Blanket and Standing Purchase Orders

To renew an open market purchase order, the following conditions must apply:

1. There must be a provision in the specifications allowing for renewal. This provision may or may not require consent from the vendor.

2. The renewal must be requested before the contract has expired.

Open Market Purchase Procedures

The correct open market procedure for a purchase depends on the estimated dollar amount of the purchase and whether or not your agency has been delegated the authority to make the purchase. For this reason, this subsection is divided into three parts:

Open Market Informal Solicitation is used for TEA open market purchases of commodities or services greater than $5,000 but not greater than $25,000.

Open Market Formal Solicitation is used for agency administered open market purchases of commodities or services greater than $25,000. For example, this process could be used by your agency to purchase fuel, oil or grease, or for a service purchase in excess of $100,000 that has been delegated to your agency.

CPA Administered Open Market Purchase is used for TEA open market purchases of commodities or services. This process is used for all open market purchases that are not delegated to your agency.

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Open Market Informal Solicitation

TEA Purchasing utilizes the Open Market Informal Solicitation for commodities or services greater than $5,000 but not greater than $25,000.

To determine whether this process is appropriate for a given purchase following instructions:

Collect the detailed specification for the required good or service. Identify End User Needs, for more information on specifications.

1. Using the CMBL for vendors who provide the required good or service until you have a list of at least three (3) vendors of which two (2) must be HUB (Historically Underutilized Business) vendors who provide the required commodity or service

2. The acceptable methods for soliciting and collecting informal bids (greater than $5,000 but not greater than $25,000) are:

a. In person.b. Via direct mail.c. Over the telephone.d. Via facsimile transmission.e. Via electronic mail

3. Tabulate the bids and select the vendor who provides best value to the State

Include the following information in your tabulation:

a. Vendors contacted, including those who did not respond, and their corresponding bid amounts.

b. For HUBs, the ethnicity/gender of the CPA Certified HUB.c. Agents contacted and their telephone numbers, email addresses,

etc.d. Awarded vendor.e. Statement of reasons for award

4. Keep a record of all open market bids. Make open market bid tabulationsopen for public inspection, and retain the tabulation of the bids for inspection by the state auditor.

5. At the time of award, purchasing file documentation must contain:a. Excluded Parties List System (EPLS) printout prior to contract

award

b. Awarded vendor’s CMBL profilec. Vendor Hold printout

6. Issue a PO to the awarded vendor 7. Fax PO to the vendor

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Open Market Formal Solicitation

Open Market Formal Solicitation is used for agency administered open market purchases of commodities or services greater than $25,000

Procedures for performing an Open Market Formal Solicitation:

1. Determine the procurement method, to determine whether this process is appropriate for a given purchase

2. Identify the need of the end user3. Review the specifications for the required commodity or service4. Create a written IFB (Invitation for Bid)5. Utilize the CMBL (Central Master Bidders List) and locate all vendors who

provide the required commodity or service. Print the CMBL vendor list and add to the procurement file

6. Post the solicitation to the ESBD (Electronic State Business Daily)

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Vendor Performance Tracking

The Vendor Performance Tracking Program was designed to enhance the relationship between the vendor community, state agencies and cooperative purchasing members. The vendor tracking program provides a comprehensive tool for evaluating vendor performance and for reporting both satisfactory and unsatisfactory performance.

http://www.window.state.tx.us/procurement/prog/vendor_performance/VPTS

Information regarding reported vendor performance can be found on each vendor’s profile on the CMBL website.

http://www2.cpa.state.tx.us/cmbl/cmblhub.html

Ordering entities shall report vendor performance on purchases over $25,000 from contracts administered by the commission or any other purchase over $25,000 made through delegated authority granted by CPA (TAC 20.108). Ordering Entities are also encouraged to report vendor performance for purchases under $25,000. Please provide supporting documentation for both Ordering Entities can submit the Vendor Performance Form (VPF) electronically.

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http://www2.cpa.state.tx.us/cmbl/cmblhub.html

http://www.window.state.tx.us/procurement/prog/vendor_performance/VPTS

The purpose of the Vendor Performance Tracking System is to:

• Identify vendors that have exceptional performance.

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• Aid purchasers in making a best value determination based on vendor past performance.

• Protect the state from vendors with unethical business practices.

• Identify vendors that have repeated delivery and performance issues.

• Provide performance scores in four measurable categories for the CMBL vendors.

• Track vendor performance for delegated and exempt purchases.

Centralized Master Bidders List (CMBL)

The Centralized Master Bidders List (CMBL) is a database of registered vendors who have provided contract information and goods/services they offer. Texas Government Code, Title 10, Subtitle D, Subchapter E. Section 2155.263 requires the Comptroller of Public Accounts (CPA) to maintain the CMBL. Bid Invitations and Requests for Proposals (RFPs) are for the solicited commodity and/or service. Vendors pay a nominal annual fee to receive bid invitations and RFP’s for solicited commodities and/or services.

Unless exempted by law, the CMBL must be used for all procurements subject to CPA’s procurement authority. The CMBL must also be used to the fullest extent possible by state agencies that make purchases exempt from CPA’s purchasing authority. The CMBL may also be used to gather information for noncompetitive procurement processes and for vendor performance data.

For purchases between $5,000 and $25,000, informal bid procedures must be followed: Obtain a minimum of 3 bids from vendors on the CMBL with 2 bids from the CPA certified Historically Underutililized Business (HUB) list (one

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minority-owned and one female-owned of any ethnicity). Purchases under $5,000 may also be supplemented with non-CMBL bidder

How to Search the CMBL: Enter one or any combination of the following search terms: Vendor ID or Vendor Number Vendor Name Vendor located in a specific City Specific Class and Item Codes (search by the goods or services the vendor can provide)

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The CMBL is to be used for purchases over $25,000 to locate all vendors who provide the required commodity or service and also service the agency’s geographic region. Purchasers use the CMBL to develop a mailing list to distribute bid opportunities and notifications. Manufacturers, suppliers, and other vendors wishing to furnish materials, equipment, supplies, and services to the state should register for the CMBL to receive bidding opportunities.

EPLS (EXCLUDED PARTIES LIST SYSTEM PROCEDURES )

In compliance with CPA rules, the state may consider debarment actions of other government entities as possible indicators of vendor responsibility. Therefore, prior to awarding any contracts or purchase orders, state agencies and local government purchasing entities are required to check the list of vendors excluded from doing business at the federal level by utilizing the

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federal Excluded Persons List System (EPLS). No contract should be awarded to any person/entity found on the EPLS system.

NOTE: This requirement is mandatory for any procurement transaction regardless of funding stream.

In an effort to ensure adherence to these rules and laws that govern Texas’ procurement practices, CPA identified GSA’s Excluded Parties List System (EPLS) to be the most effective searchable database to utilize. CPA recommends that Purchasers conduct a search after bid tabulation. Because EPLS may update these databases more than one time in a 24 hour period, a final check of the EPLS should be made prior to any contract award so to not award contracts to any person or vendor whose name appears on the EPLS.

NOTE: Purchasers are required to conduct their search at the EPLS web site located at http://www.epls.gov/. A printed copy of the EPLS search results from the specified website must be used as evidence of the vendor search and must be included in the purchasing file.

PURCHASING AND CONTRACTS DIVISION - OVERVIEW It is the intent of the agency that purchase requisitions are processed before the issuing of purchase orders. The end-user shall communicate with Purchasing

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Purchasing Unit

Invitation for Bid (IFB) or Request for Offer (RFO)

Purchase Order (PO)

staff by issuing a purchase requisition that shall include specifications of the requested commodity or service, before the service or commodity is achieved and/or delivered. Following State Purchasing rules and procedures, authorized Purchasing Staff will process a purchase order. TEA authorized and certified purchasers are the only staff within the agency, that have the authority to expend State funds.

Determining the Procurement Method

Purchasing Unit PurposeServices and goods procured through state purchasing delegated authority procedures using the Invitation for Bid (IFB) or Request for Offer (RFO)

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procurement methods. Purchases require a requisition for authorization, approval and pre-encumbrance of funds. Purchase Orders are issued to the vendors, which completes the encumbrance. Orders are issued following CPA/State Purchasing Rules and Procedures.Bid Requirements$5,000 - Noncompetitive Purchase. Bids are not required. Utilize HUBs whenever possible. $10,000 – Informal Bids. Minimum 3 bids/2 from HUBs.$25,000 – Formal Bids – Minimum 3 bids/2 from HUBs.$25,000 – Formal Bids from all eligible vendors on the CMBL/HUB Directory, advertise on the Texas Marketplace for a minimum of 14 days.$100,000 – Approval from Texas Procurement and Support Services (TPASS)/ Comptroller of Public Account (CPA), formal bids from all eligible vendors on the CMBL/HUB Directory, advertise on the Electronic State Business Daily (ESBD) for a 14-21 days. Identify subcontracting opportunities. HUB Coordinator must review specification/scope of work prior to solicitation. HUB Coordinator must also approve all HSP submitted prior to award. Services Obtained Through Purchasing

1. Temporary Employment Services (TIBH)2. Services from Central Master Bidders List (CMBL) or HUB Directory

such as products or services that are associated with automation (computers) or telecommunication systems. Includes hardware, software, programming, maintenance, repair, and installation of systems.

3. Equipment/Building Maintenance4. Equipment Rental5. Freight Contracts6. Conference/ Hotel Room Rental7. Interpreter Services Deaf/Language8. Court Reporting 9. Canned Training10. Mobile Communication Services11. Fax machine, electronic date stamp machine & scanner repair

Commodities Obtained Through Purchasing

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1. Business Cards2. Furniture3. Awards4. Office Supplies

Restocking Fee: The customer may request that a contractor accept return of the contractor may request a reasonable restocking charge. The customer may pay a restocking charge, or other similar charge if the CPA or customer determines that the charge is justifiable. As a guideline, restocking charges of 15% or less (plus freight) of the original cost of the materials are generally considered reasonable. Charges exceeding this guideline may require additional justification.

Less than 15% - The customer can process payment without CPA approval.Greater than 15% - CPA contract manager approval is required.

Minimum Order Quantity and Fee: Minimum orders for this contract are $75. Both awarded vendors have agreed to supply orders under this $75 threshold for a small order fee. Customers are highly encouraged to consolidate orders to avoid this fee.

The following small order fee will be charged in cases where the total PO value is less than $75.

Invoicing/Payment: (a) Mail or provided invoice to address listed on purchase order. The address is Texas Education Agency, Attn: Agency Accounting, 1701 N. Congress AveAustin, Texas 78701

(b) The invoice must show name of vendor exactly as shown on the purchase order, the Texas Identification Number System (T.I.N.S.), and the correct "Remit to:" address.

(c) Invoice must show name of ordering entity.

(d) All invoices should be emailed to [email protected]

(d) Invoice must show requisition number and order number. Some contracts are awarded with blanket CPA numbers and do not require that the orders issued by qualified ordering entities be processed through the CPA prior to being sent to the vendor. Invoices for this type contract must show the blanket term contract purchase order number and the qualified ordering entity requisition number supplied by the qualified ordering entity.

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ETHICS Purchasing involves the ability to discern difficult or subtle questions of rightness, fairness, or equity. For this reason, it is essential that employees carry out their duties in an honest, fair, and reasonable manner. The appearance of impropriety or favoritism in the selection of contractors must be avoided to avoid a perception of conflict of interest. Conflicts of interest might arise from contracting with a former employee, a relative of a current or former employee, or from other improper or questionable practices.

Competition

The bid document should be competitively solicited and contract(s) awarded to the responsive, responsible proposer/respondent whose proposal/offer/bid is determined in writing to be the most advantageous to the state utilizing best value evaluation factors. Subjective (criteria other than price) as well as objective criteria should always be used to evaluate and select vendor(s). The element of cost shall always be a significant consideration in evaluation of proposals.

RELEVANT RULES AND REGULATIONS FOR STAFF All persons involved in the contracting process should read and adhere to the policies and laws cited below.

OP 07-02 Agency Principles of Public Service

OP 07-04 Agency Standards of Conduct and Conflicts of Interest

TX Penal Code §36.08 (d)

Agency employees are advised that under the Texas Penal Code Provisions Regarding Gifts to a Public Servant, an offense under the following section is a Class A misdemeanor.

“A public servant who exercises discretion in connection with contracts, purchases, payments, claims, or other pecuniary transactions of government commits an offense if he solicits, accepts, or agrees to accept any benefit from a person the public servant knows is interested in or likely to become interested in any contract, purchase, payment, claim, or transaction involving the exercise of his discretion.”

Applicable to the Permanent School Fund and other state board contracts and grants:19 TAC §33.5 Texas Education Agency Statement of Investment Objectives, Policies, and Guidelines of the Texas Permanent School Fund Code of Ethics

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Vendor Conduct

1 TAC §111.4 Ethical Standards details ethical standards of conduct required of vendors and potential vendors:

(f) A vendor or potential vendor may not offer, give, or agree to give an employee anything of value.

(g) When an actual or potential violation of subsections (b)-(f) of this section is discovered, the person involved shall promptly file a written statement concerning the matter with an appropriate supervisor. The person may also request written instructions and disposition of the matter.

(h) If an actual violation of subsections (b)-(g) of this section occurs or is not disclosed and remedied…The vendor or potential vendor may have a pending bid or proposal rejected, be barred from receiving future contracts and/or have an existing contract canceled.”

SCHOOL DISTRICTS OR ESC EMPLOYEES When contracting with an individual employed by a school district or by an ESC, a fee for services cannot always be paid. A fee may be paid if the employee is working outside of his or her contract period. If the person is contracted to share expertise that was gained as a result of having received grant funds or other payments from TEA, a fee cannot be paid without prior written approval from the appropriate deputy commissioner. For example, approval is required if the expertise was gained as a result of serving on a committee/task force, which was organized and paid for by TEA. A copy of the approved request, along with the written agreement, and Authorization to Contract form must be forwarded through the approval process.

General Terms and Conditions

State and federal statutes requires prospective bidders/respondents on any solicitation document to affirm their compliance with particular state laws, federal laws or TBPC rules. Bidder affirmations and General Terms & Condition become part of any solicitation and are binding terms and conditions of any resulting contract or purchase order. Any misrepresentation or false statement that is deemed material by the State, is a breach of contract, which shall void

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any solicitation or resulting contract. Such bidders may be removed from the Centralized Master Bidders List (CMBL) or any other state bid list, in addition to being barred from participating in future contracting opportunities with the State of Texas.

Non-Compliance

Legal consequences due to improper performance of contract requirements by TEA staff may include:

Contracts may be voided; Contracts may not be paid; Services may be charged back to the employee who signed the

contract; Legal action may be taken by the contractor against the signer;

and Termination of employment.

Standard Audit Test Any agreement entered into by TEA, must minimally meet the following criteria which are considered to be a standard audit test:

Reasonable in cost according to prudent business practices and current market value, and

Necessary to accomplish the objectives of the program/activity.

Records must be kept for five (5) years beyond the end of the year of the monies availability. Retain all records relating to the contract (and generated by the division).

TEA may not accept a vendor's bid or award a contract to a vendor who received compensation from TEA to participate in the preparation of the specifications or request for proposals on which the bid or contract is based.PURCHASE ORDER SIGNATURE PROCEDURES LEGAL AUTHORITYFederal and state statutes, Texas Education Code, and other Agency directives.

Signature Authority

Currently, only two positions within the agency have authority to sign contracts of any dollar value. The Commissioner must approve this level of delegation. The Commissioner has delegated authority to the following positions: The Associate Commissioner for Finance/CFO and the Deputy Associate Commissioner for Budget & Operations.

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All Purchasing contracts must be routed for approval through the Manager of Purchasing and the Director of Purchasing & Contracts.

Responsibilities of Requisitioners and Purchasing Staff

It is the responsibility of the division to ensure that each purchase requisition is properly budgeted and that funds are available and expended. It is the responsibility of the Purchasing staff to ensure the Purchase Order is legally binding and funds are properly budgeted and expended. A purchase order is one that is in compliance with applicable laws, rules, regulations, and guidelines.

INTELLECTUAL PROPERTY RIGHTS One of the most valuable aspects of a good or service is the right to copy the deliverable in the future, to modify it, or to transfer it to other parties. TEA owns all rights to goods or services developed under a contract, unless otherwise negotiated by the agency. TEA is entitled to collect license fees or royalties generating from any sale of a product developed through its federal and state-funded contracts. All contracts or grants where a copyright is indicated or becomes a possibility shall be discussed with the Division of Planning and Evaluation, the Office of Legal Services, and Contracts Management Unit. OP 08-11 – License Fees and Royalties.

REQUESTS FOR PUBLIC INFORMATION Procedures pertaining to the release of information, such as review scores for competitive proposals, amounts, comments by reviewers, etc., are established in agency OP 03-03 Release of Information to the Public Under the Public Information Act and are not contained in this manual. Consult with the Office of Legal Services (Office of Primary Responsibility) if you have questions on this procedure.

DISCLOSURE STATEMENTS NO PERSON SHALL PARTICIPATE OR ASSUME A RESPONSIBILITY IN THE IMPLEMENTATION AND EXECUTION OF THIS PROCEDURE INCLUDING, BUT NOT LIMITED TO, THE EVALUATION OF PROPOSALS AND SELECTIONS OF CONTRACTORS, WHEN SUCH PARTICIPATION CONSTITUTES A CONFLICT OF INTEREST AS DEFINED BY LAW.

A state agency or any state employee shall not furnish any technical information, or solicit proposals and/or prices for its requirements or take any

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type of action which would or could be construed to give a direct or indirect advantage or disadvantage to any potential proposer/respondent.

Any person participating in a procurement on behalf of the state and acting under these procedures in the capacity of purchasing officer, evaluation team member or administrative support staff, and who may have access to contents of proposals and related procurement information, shall be required to execute a Non-Disclosure Statement

CREATING AND MAINTAINING CONTRACT FILES AND SUPPORT DOCUMENTATION

1. Contract files: the Contract Administrator should set up and maintain a file for each purchase order/contract. The file should include the following common elements:

1. Solicitation document, response evaluation, and notice of award2. Contract, agreement, or lease and all modifications3. Specifications, drawings, manuals. etc4. Invoice log, copy of all invoices and letters pertaining to contract

deductions or fee adjustments, progress payments and applicable documents

5. Record of vendor performance for contract deliverables, including promptness and accuracy of delivery, correct unit measures, problem resolution, e.g. damaged goods, etc., packaging, product quality, service performance, billing accuracy

6. Documentation of problem resolution, 7. All Purchase Change Order Notice(POCN) e.g. corrections to

contract, change orders8. Disclosure statement for purchasing personnel

MONITORING CONTRACTOR PERFORMANCE

Monitoring the performance of the contractor ensures the contractor is performing all duties in accordance with the contract and allows the Texas Education Agency to become aware of and address problems that arise.

1. The contract administrator will design a monitoring program that includes the following elements:

Focus on outcomes (deliverables) that result from the purchase order/contract.

Include follow-up to ensure that corrective action is taken in response to identified issues.

Maintain documentation of all issues, follow-up, and corrective action.

Renewal dates should be monitored.

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2. Unsatisfactory vendor performance should be reported to the TEA Purchasing and Contracts division.

APPROVING PAYMENTS

1. Contractor payments should be reviewed with the following considerations and using measurable progress data. Costs incurred or invoices submitted are not sufficient indicators of the contractor's progress if not accompanied by measurable progress data.

1. Reported costs should be in accordance with the contract rate schedule

2. Invoice indicates:1. The contractor's billing coincides with the contractor's

progress2. The goods or services have been received and accepted3. The invoice is correct and complies with the terms and

conditions of the contract3. The total payments do not exceed the contract limits

2. Contractor payments should be withheld until a satisfactory explanation is received if the requested payment appears to exceed the contractor's progress.

1. If the contractor's explanation is not sufficient, it may be necessary to withhold payment from the contactor in order to protect the interests of the University. All related documentation should be retained in the contract files.

2. If a requested payment appears to be appropriate or if a questioned payment is backed up with a sufficient explanation, payment must be made in accordance with the Texas Prompt Payment Law, which requires correct invoices be paid within 30 days from the date the correct invoice was received, or the goods/services received, whichever is the later

3. Revenue-generating royalties should be paid in accordance with the schedule stated in the agreement.

1. All royalty checks should be accompanied by a written report showing the royalty due and the dollar amount of sales.

2. A summary showing all monthly and year-to-date sales by the contractor should also be included if applicable

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MANAGING CHANGES

1. Throughout the term of a contract it may become necessary to make changes to the contract. These changes can be minor administrative changes such as a change of address or they can be substantial changes that affect price and delivery. Failure to manage and control changes can result in an unintentional modification to the scope of work, extension of the schedule, increase in the contract cost, circumvention of management controls and diminished contractor accountability. An effective change management process might include:

Formal, written approval of all changes prior to the change taking place

Evaluation of the impact of each change to the contracting objective, the corresponding deliverable and/or products, the schedule, the cost and increase in agency overhead resulting from the change, the impact to work in progress/completed work, the standards, and the acceptance criteria

A procedure for how "draws" against an available contingency allowance will be requested and approved

Documentation of all changes, no matter how small, to prevent informal and undocumented changes

2. The contract administrator should function as the single point of contact for change management and should:

1. Recommend or authorize all changes2. Provide a contract amendment documenting the impact on the

scope of work for each approved change

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FISCAL YEAR-END PURCHASES

The state fiscal year starts on September 1 and ends on August 31 of each year. State funds are appropriated by the Texas Legislature on a biennium basis.

When submitting a request for payment, the ordering entity must designate which fiscalyear will be charged for the purchase. This is necessary because three appropriation years (five for construction, repair, or remodeling appropriations) are always available to be charged for any purchase.

All state funds must be encumbered by the division before 8/31/11. Note: August 27, is a skeleton crew day so please plan accordingly.

Division copiers (this does not include floor copiers) are not automatically renewed. Divisions must issue a requisition to renew or extend the rental contract period

Cell phones and Blackberries are not automatically renewed. Divisions must enter new purchase requisitions yearly to ensure services are available at the commencement of each fiscal year

There are different criteria for payments of consumables, services, capital assets, andmixed purchases. The general requirements below reflect current CPA policies andprocedures.

Consumables

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An ordering entity must charge a purchase of consumables to the appropriation year inwhich the delivery of the consumables occurred and they are reasonably expected to beconsumed

ServicesAn ordering entity must charge a purchase of services for the appropriation year in whichthe services were rendered

Capital AssetsCapital assets are real or personal property that have an estimated life of greater than oneyear. When an ordering entity purchases a capital asset, the entity may charge thepurchase to any appropriation year or combination of appropriation years that are inexistence on the date that the ordering entity enters into the purchase contract. Thedelivery date of a capital asset is never a relevant factor when determining theappropriation year that must be charged for the purchase of the asset.

Mixed PurchasesMixed purchases are a combination of consumables, services and capital assets.The appropriation year principles are determined by the dominant purpose of thecontract. For example, if the dominant purpose of the mixed contract is to purchaseservices, then the appropriation year determination principles for services would governthe entire purchase

Exceptions to the Appropriation Year Determination ProceduresSeminars and ConferencesExcept as discussed in the next sentence, a state agency may use money appropriated fora particular fiscal year to pay expenses related to conducting or attending a seminar orconference only to the extent it occurs during that fiscal year. To the extent that it is cost effective, a state agency may use money appropriated for a particular fiscal year to pay

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expenses related to conducting or attending a seminar or conference that will occur partlyor entirely during a different fiscal year.

Periodical subscriptions, maintenance contracts, post office box rentals, insurance, andsurety or honesty bonds

A state agency may use money appropriated for a particular fiscal year to pay the entirecost or amount of a periodical subscription, a maintenance contract, a post office boxrental, insurance, or a surety or honesty bond, regardless of whether it covers more thatone fiscal year.

Utility ServicesA state agency may use money appropriated for a particular fiscal year to pay for a utilityservice provided during that fiscal year and September of the next fiscal year. Theapplicable statute specifically defines “utility service” to mean:

The furnishing of electricity, water, or natural gas; or A telecommunications service, a wastewater treatment services, or a

waste disposal service; or Any similar commodity or service that the Comptroller considers to be

a utility service.

PROCEDURES FOR PROTESTS, DISPUTE, RESOLUTION TO PURCHASING AND CONTRACT ISSUES

RULE § 30.2002

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(a) Any actual or prospective bidder, offer or, or contractor who is aggrieved in connection with the solicitation, evaluation, or award of a contract under the jurisdiction of the Texas Education Agency (TEA) may formally protest to the director of the division responsible for purchasing and contracts. Such protests must be in writing and received in the director's office within 10 working days after such aggrieved person knows, or should have known, of the occurrence of the action which is protested, unless the director finds the good cause for delay is shown or determines that a protest or appeal raises issues significant to the TEA’s procurement practices or procedures.

(b) Formal protest must conform to the requirements of this subsection and subsection (d) of this section, and shall be resolved, and shall be resolved in accordance with the procedure set forth in subsections (e) and (f) of this section. Copies of the protest must be mailed or delivered by the protesting party to the TEA and to the other interested parties. For the purpose of this section, “interested parties” means all respondents who have submitted bids, proposals, or offers for the contract involved. Names and addresses of all interested parties may be obtained by sending a written request for this information to the purchasing and contracts director.

(c) In the event of a timely protest or appeal under this section, the TEA shall not proceed further with the solicitation or with the award of the contract unless the commissioner of education or the commissioner’s designee, in consultation with the purchasing and contracts, makes a written determination that the expeditious award of contract is necessary to protect substantial interests of the state. A copy of this determination shall be mailed to the protesting party.

(d) A formal protest petition must be sworn and must contain:

1. a specific identification of the statutory or regulatory provision(s) that the action complained of is alleged to have violated;

2. a specific description of each act alleged to have violated the statutory or regulatory provision(s) identified in paragraph (A) of this subsection;

3. a precise statement of the relevant facts; 4. an identification of the issue or issues to be resolved; 5. argument and authorities in support of the protest; and 6. a statement that copies of the protest have been mailed or delivered to

the TEA and other identifiable interested parties.

(e)The Director of Purchasing and Contracts shall have the authority to settle and resolve the dispute concerning the solicitation or award of a contract. The director may solicit written responses to protest petition from other interested parties, and if he or she makes such a request, the protesting party shall be given notice of the director’s request and of any written responses to the

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request that the director receives. The director may consult with the TEA office of legal services concerning the dispute

(f) If the protest is not resolved by mutual agreement, the Director of Purchasing and Contracts will issue a written determination on the protest.

1. If the director determines that no violation of rules or statutes has occurred, he or she shall so inform the protesting party and other interested parties by letter which sets forth the reasons for the determination.

2. If the director determines that a violation of the rules or statutes has occurred in a case where a contract has not been awarded, he or she shall so inform the protesting party and other interested parties by letter which sets forth the reasons for the determination and the appropriate remedial action.

3. If the director determines that a violation of the rules or statutes has occurred in a case where a contract has been awarded, he or she shall so inform the protesting and other interested parties by letter which sets forth the reasons for the determination. In such a case, the director has the authority to declare the contract void. If he or she declares the contract void, this fact shall be included in the determination letter.

(g)The purchasing and contracts director's determination on a protest may be appealed by an interested party to the commissioner of education or the commissioner’s designee. An appeal of the director's determination must be in writing and must be received in the commissioner’s office no later than 10 working days after the date of the director's determination. The appeal shall be limited to those issues raised in the protest petition and the determination letter. Copies of the appeal must be mailed or delivered by the appealing party to TEA and other interested parties and must contain a sworn statement that such copies have been provided.

(h)The commissioner or the commissioner’s designee shall review the protest petition, the purchasing and contracts director’s requests for written responses to the protest petition, any written responses received from other interested parties, the determination, and the appeal

(i)A decision issued in writing by the commissioner or the commissioner’s designee shall be the final administrative action of the TEA.

The department shall maintain documentation concerning complaints in the manner specified in Section 2054.036, Texas Government Code. The department shall maintain documentation about the purchasing process to be used by maintaining access to current information regarding applicable statutory law, administrative rules, and guidelines affecting the purchasing process

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One-Time Exemption Requests Instructions and Evaluation Procedures

If, for any reason, a state agency wants to procure an item available on the DIR IT Commodity List through an avenue other than a DIR contract, the agency must first obtain an exemption for the procurement from DIR. Sufficient information to support the validity of the exemption request must be provided to DIR. State agencies must complete an Exemption Request Form with basic information pertaining to the proposed procurement and an explanation of the reason for requesting the exemption. Reasons – and the required validation information for each – include, but are not limited to, the following:

Cost. Includes the cost of making the procurement, cost for implementation, and any recurring costs over the term of the requested exemption. If a state agency determines the cost for procuring an IT commodity is less expensive through an avenue other than a DIR contract, the cost information must be provided to DIR. Any quotes received from vendor(s) must be included with the request.

Terms and Conditions. If a state agency determines that certain terms and conditions are not available through the DIR contract and cannot be added to the DIR contract, the terms and conditions and the state agency requirement that is satisfied by those terms and conditions must be include in the request.

Funding Source Restrictions. If a state agency encounters specific restrictions related to the funding source that would prevent it from procuring an IT commodity through a DIR contract, a description of those restrictions must be included in the request.

Compatibility with Existing Technology Infrastructure. If a state agency determines that its technological requirements cannot be delivered by an IT commodity available through DIR contracts, a detailed description of the compatibility issues must be included in the request. The use of a particular hardware, software, or technology service by itself is not sufficient justification for exemption.

Proprietary Restrictions. If a state agency encounters proprietary restrictions that would prevent it from procuring an IT commodity item through a DIR contract, a description of those restrictions must be included in the request.

Other Circumstances or Requirements. If a state agency has other extenuating circumstances or requirements that would justify why an IT commodity cannot be procured through a DIR contract, a description of the circumstances or requirements must be included in the request.

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The Exemption Request Form may be submitted electronically, faxed, or mailed to DIR.

Please view the Exemption Request form at http://www2.dir.state.tx.us/SiteCollectionDocuments/ICT%20Co-Op%20Contracts/ICT%20DOC_ExemptionRequestForm_V10-10.pdf

Email: [email protected] Fax: 512-475-4759 Telephone: 512-475-0649 Mailing Address: Department of Information Resources Attn: Approvals P.O. Box 13564 Austin, TX 78711-3564

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http://www2.dir.state.tx.us/SiteCollectionDocuments/ICT%20Co-Op%20Contracts/ICT%20DOC_ExemptionRequestForm_V10-10.pdf

http://www2.dir.state.tx.us/SiteCollectionDocuments/ICT%20Co-Op%20Contracts/ICT%20DOC_ExemptionRequestForm_V10-10.pdf

DIR will acknowledge receipt of the request form. If the requesting state agency does not receive acknowledgement of receipt by DIR within three business days of submission, it is the state agency’s responsibility to follow up to ensure DIR’s receipt of the request form. Standard exemptions are processed within thirty calendar days of acknowledgement of receipt. A state agency may submit an expedited exemption request, which DIR will process within three business days. This request must include the Exemption Request Form accompanied by a statement from the agency head, or his/her designee, describing the situation and the reasons for the expedited review. To ensure that expedited exemption requests are evaluated in a timely manner, the requesting state agency should submit the Exemption Request Form and statement from the agency head to DIR (ATTN: EXPEDITED EXEMPTION REQUEST) electronically or by fax, and alert DIR by telephone (512-475-0649) that the request has been sent. It is the state agency’s responsibility to follow up to ensure DIR’s receipt of the request form.

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Exemption Request Evaluation Procedures

DIR will make a good-faith effort to provide the requesting state agency confirmation of receipt of an Exemption Request Form in a timely manner. DIR will evaluate and respond to expedited exemption requests within three business days of receipt. For all other exemption requests, DIR will have a maximum of thirty calendar days from date of receipt for evaluation.

It is the intent of DIR to process exemption requests earlier than the maximum timeframes specified above; however, DIR will spend whatever time is necessary within those timeframes to perform the due diligence to evaluate the request.

If DIR determines, during the evaluation process, that additional information regarding the exemption request is necessary, DIR will notify the requesting state agency contact person listed on the Exemption Request Form. The requesting state agency must make a good-faith effort to provide DIR the additional information within three business days of notification by DIR.

All requests for exemptions will be reviewed on a case-by-case basis to determine if the proposed purchase is in best interest of the state. If the state agency justification for the request is due to cost or to the terms and conditions of a DIR contract, DIR reserves the right to attempt to resolve the discrepancy that caused the state agency to request the exemption.

DIR will notify the requesting state agency of its decision to approve or deny the exemption request. The approval notification will include the specific scope, terms, requirements, and duration for which the exemption is approved. If the approval contains a scope, terms, requirements, or a duration that is not as broad as the state agency’s request, DIR will provide an explanation of the variance.

If the state agency does not receive written approval or denial from DIR within thirty calendar days, or three business days for an expedited exemption request, the state agency may proceed with the IT commodity purchase in accordance with the exact scope, terms, requirements, and duration specified in the state agency’s exemption request.

If the exemption request is denied, DIR shall provide the state agency a written

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explanation of the basis for the denial. A state agency that does not agree with the basis for denial may submit an appeal to the Legislative Budget Board.

DIR Exemption Process

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TEA Purchasing Manual_DRAFT_2011

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