Utah State Bulletin, January 15, 2012, Vol. 2012, No. 2

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NOTICES OF PROPOSED RULES DAR File No. 35613Administrative Services, Purchasingand General ServicesR33-3Source Selection and ContractFormationNOTICE OF PROPOSED RULE(Amendment)DAR FILE NO.: 35613FILED: 01/03/2012RULE ANALYSISPURPOSE OF THE RULE OR REASON FOR THECHANGE: H.B. 476 (2011 General Session) directs that rulesbe drafted governing the procurement, management, andcontrol of any and all technology to be procured by the state.SUMMARY OF THE RULE OR CHANGE: This amendmentmakes changes to the bidding and procurement process asthey related to technology acquisition.STATUTORY OR CONSTITUTIONAL AUTHORIZATION FORTHIS RULE: Title 63G, Chapter 6ANTICIPATED COST OR SAVINGS TO:♦ THE STATE BUDGET: It is possible that cost savings maybe obtained by state agencies for not having to conduct reprocurementsfor new technologies and/or upgrades. Itallows state agencies greater flexibility in conducting pilottests of new technology which may reduce costs for research.♦ LOCAL GOVERNMENTS: It is possible that cost savingsmay be obtained by local governments for not having toconduct re-procurements for new technologies and/orupgrades.♦ SMALL BUSINESSES: May allow small business access tostate agency technology opportunities to demonstrate or pilotnew technology or upgrades/enhancements to existingtechnologies.♦ PERSONS OTHER THAN SMALL BUSINESSES,BUSINESSES, OR LOCAL GOVERNMENTAL ENTITIES:Cost savings may be realized by all government entities andall those doing or interesting in doing business with the state.COMPLIANCE COSTS FOR AFFECTED PERSONS: None--There are no known compliance costs.COMMENTS BY THE DEPARTMENT HEAD ON THEFISCAL IMPACT THE RULE MAY HAVE ON BUSINESSES:I foresee the potential for greater efficiencies in governmentthrough the ability of government entities being able to modifyexisting contracts for technology-related enhancements,provided the ability to modify was contained in the originalsolicitation, thereby reducing procurement-related costs tovendors. Potential state contractors will have the opportunityto pilot their technology and technology-related goods andservices without a lengthy competitive process.THE FULL TEXT OF THIS RULE MAY BE INSPECTED,DURING REGULAR BUSINESS HOURS, AT:ADMINISTRATIVE SERVICESPURCHASING AND GENERAL SERVICESROOM 3150 STATE OFFICE BLDG450 N STATE STSALT LAKE CITY, UT 84114-1201or at the Division of Administrative Rules.DIRECT QUESTIONS REGARDING THIS RULE TO:♦ Paul Mash by phone at 801-538-3138, by FAX at 801-538-3882, or by Internet E-mail at pmash@utah.govINTERESTED PERSONS MAY PRESENT THEIR VIEWS ONTHIS RULE BY SUBMITTING WRITTEN COMMENTS NOLATER THAN AT 5:00 PM ON 02/14/2012THIS RULE MAY BECOME EFFECTIVE ON: 02/21/2012AUTHORIZED BY: Kent Beers, DirectorR33. Administrative Services, Purchasing and GeneralServices.R33-3. Source Selection and Contract Formation.R33-3-1. Competitive Sealed Bidding; Multi-Step SealedBidding.3-101 Content of the Invitation For Bids.(1) Use. The Invitation for Bids is used to initiate acompetitive sealed bid procurement.(2) Content. The Invitation for Bids include thefollowing:(a) Instructions and information to bidders concerning thebid submission requirements, including the time and closing datefor submission of bids, the address of the office to which bids are tobe delivered, and any other special information;(b) The purchase description, evaluation factors, deliveryor performance schedule, and inspection and acceptancerequirements not included in the purchase description;(c) The contract terms and conditions, including warrantyand bonding or other security requirements, as applicable.(3) Incorporation by Reference. The Invitation for Bidsmay incorporate documents by reference provided that theInvitation for Bids specifies where the documents can be obtained.(4) Acknowledgement of Amendments. The Invitationfor Bids shall require the acknowledgement of the receipt of allamendments issued.(5) Technology Acquisitions. The Invitation for Bidsmay state that at any time during the term of a contract, theacquiring agency may undertake a review in consultation with theUtah Technology Advisory Board and the Department ofTechnology Services to determine whether a new technology existsthat is in the best interest of the acquiring agency, taking intoconsideration cost, life-cycle, references, current customers, andother factors and that the acquiring agency reserves the right to:6 UTAH STATE BULLETIN, January 15, 2012, Vol. 2012, No. 2
DAR File No. 35613NOTICES OF PROPOSED RULES(a) negotiate with the contractor for the new technology,provided the new technology is substantially within the originalscope of work;(b) terminate the contract in accordance with the existingcontract terms and conditions; or(c) conduct a new procurement for an additional orsupplemental contract as needed to take into account newtechnology.3-102 Bidding Time. Bidding time is the period of timebetween the date of distribution of the Invitation for Bids and thedate set for opening of bids. In each case bidding time will be set toprovide bidders a reasonable time to prepare their bids. A minimumof 10 calendar days shall be provided unless a shorter time isdeemed necessary for a particular procurement as determined inwriting by the Chief Procurement Officer.3-103 Bidder Submissions.(1) Bid Form. The Invitation for Bids shall provide aform which shall include space in which the bid price shall beinserted and which the bidder shall sign and submit along with allother necessary submissions.(2) Electronic Bids. The Invitation for Bids may statethat electronic bids will be considered whenever they are received atthe designated office by the time specified for bid opening.(3) Bid Samples and Descriptive Literature.(a) Descriptive literature means information available inthe ordinary course of business which shows the characteristics,construction, or operation of an item and assists the purchasingagency in considering whether the item meets requirements orcriteria set forth in the invitation.(b) Bid sample means a sample to be furnished by abidder to show the characteristics of the item offered in the bid.(c) Bid samples or descriptive literature may be requiredwhen it is necessary to evaluate required characteristics of the itemsbid.(d) Samples of items, when called for in the Invitation forBids, must be furnished free of expense, and if not destroyed bytesting, will upon request, be returned at the bidder's expense.Samples submitted by the successful bidder may be held forcomparison with merchandise furnished and will not necessarily bereturned. Samples must be labeled or otherwise identified as calledfor by the purchasing agency.(4) Bid Security. Bid and performance bonds or othersecurity may be required for supply contracts or service contracts asthe procurement officer deems advisable to protect the interests ofthe purchasing agency. Any requirements must be set forth in thesolicitation. Bid or performance bonds should not be used as asubstitute for a determination of bidder or offeror responsibility.(5) Bid Price. Bid prices submitted in response to aninvitation for bids must stand alone and may not be dependent upona bid submitted by any other bidder. A bid reliant upon thesubmission of another bidder will not be considered for award.3-104 Public Notice.(1) Distribution. Invitation for Bids or notices of theavailability of Invitation for Bids shall be mailed or otherwisefurnished to a sufficient number of bidders for the purpose ofsecuring reasonable competition. Notices of availability shallindicate where, when, and for how long Invitation for Bids may beobtained; generally describe the supply, service, or constructiondesired; and may contain other appropriate information. Whereappropriate, the procurement officer may require payment of a feeor a deposit for the supplying of the Invitation for Bids.(2) Publication. Every procurement in excess of $50,000shall be publicized in any or all of the following:(a) in a newspaper of general circulation;(b) in a newspaper of local circulation in the areapertinent to the procurement;(c) in industry media; or(d) in a government internet website or publicationdesigned for giving public notice.(3) Public Availability. A copy of the Invitation for Bidsshall be made available for public inspection at the procurementofficer's office.3-105 Bidder List; Prequalification.(1) Purpose. Lists of qualified prospective bidders maybe compiled and maintained by purchasing agencies for the purposeof soliciting competition on various types of supplies, services, andconstruction. Qualifications for inclusion on the lists may includelegal competence to contract and capabilities for production anddistribution as considerations. However, solicitations shall not berestricted to prequalified suppliers, and unless otherwise providedinclusion or exclusion on the name of a business does not determinewhether the business is responsible with respect to a particularprocurement or otherwise capable of successfully performing acontract.(2) Public Availability. Subject to procedures establishedby the procurement officer, names and addresses on bidder listsshall be available for public inspection.3-106 Pre-Bid Conferences.Pre-bid conferences may be conducted to explain theprocurement requirements. They shall be announced to allprospective bidders known to have received an Invitation for Bids.The conference should be held long enough after the Invitation forBids has been issued to allow bidders to become familiar with it,but sufficiently before bid opening to allow consideration of theconference results in preparing their bids. Nothing stated at the prebidconference shall change the Invitation for Bids unless a changeis made by written amendment as provided in section 3-107 and theInvitation for Bids and the notice of the pre-bid conference shall soprovide. If a written summary of the conference is deemedadvisable by the procurement officer, a copy shall be supplied to allthose prospective bidders known to have received an Invitation forBids and shall be available as a public record.3-107 Amendments to Invitation for Bids.(1) Application. Amendments should be used to:(a) make any changes in the Invitation for Bids includingchanges in quantity, purchase descriptions, delivery schedules, andopening dates;(b) correct defects or ambiguities; or(c) furnish to other bidders information given to onebidder if the information will assist the other bidders in submittingbids or if the lack of information would be inequitable to otherbidders.(2) Form. Amendments to Invitation for bids shall beidentified as such and shall require that the bidder acknowledgereceipt of all amendments issued.(3) Distribution. Amendments shall be sent to allprospective bidders known to have received an Invitation for Bids.UTAH STATE BULLETIN, January 15, 2012, Vol. 2012, No. 2 7
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Utah State Bulletin, January 15, 2012, Vol. 2012, No. 2

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