Action taken by a bidder, offeror (actual or prospective), or by a vendor to seek a hearing before a disinterested person or panel or in an appropriate circuit court challenging a decision.
The sources from which entities or people receive their empowerment to engage in procurement activities, and which set forth the framework and parameters and extend to their empowerment. Such authority includes state statutes; state and local regulations charters; local ordinances; and administrative resolutions, policies, or edicts.
Overall combination of quality, price, and various elements of required services that are in total optimal relative to a public body's needs. Public bodies are encouraged to consider best-value concepts when making procurement decisions involving goods and nonprofessional services, but not construction or professional services.
A competitively priced offer made by an intended seller, usually in reply to an invitation for bids. A price offer made at a public auction.
An insurance agreement in which a third party agrees to be liable to pay a certain amount of money in the event a selected bidder fails to accpet the contract as bid.
One who submits a competitively priced offer in response to an invitation for bids.
Blanket purchage agreement
An arrangement under which a purchaser contracts with a vendor to provide the purchaser's requirements for an item or service, on an as-required and over-the-counter basis. Properly prepared, such an arrangement sets a limit on the period of time it is valid and the maximum amount of money that may be spent at one time or within a specified period and specifically identifies these persons authorized to accept goods.
Offer of vendor bids by individuals or vendors competing for a contract, privilege, or right to supply specified services or goods.
Competitive sealed bid
A bid submitted in a sealed envelope to prevent disclosure of its contents before the deadline set for the receipt of all bids
Method for purchasing goods and services, usually of a highly complex and technical nature whereby qualified individuals or vendors are solicited by means of a request for proposals. Negotiations are conducted with selected offerors and the best proposal, as judged against criteria contained in the request for proposals, is accepted and an award issued.
Confirming purchase order
A purchase order issued after the fact by a procuring agency to a vendor for goods or services ordered orally or by some other informal means.
Something of value given for a promise to make a promise binding. One of the essential elements of a legal contract.
Building, altering, repairing, improving, or demolishing any structure, building, or highway, and any draining, dredging, excavation, grading, or similar work upon real property.
Construction management contract
Contract in which a party is retained by the owner to coordinate and administer contracts for construction services for the benefit of the owner, and may also include, if provided in the contract, the furnishing of construction services to the owner.
Advice or assistance of a purely advisory nature provided for a predetermined fee to an agency by an outside individual, vendor, or organization under contract to that agency.
An agreement enforceable by law, between two or more competent parties, to do or not to do something not prohibited by law, for a consideration. Any type of agreement or order for the procurement of goods or services.
Management of all facets of a contract to ensure the vendor's total performance is in accordance with the contractual commitments and that the obligations of the vendor under the terms and conditions of the contract are fulfilled.
Cost reimbursement type contract that provides for the payment of a fixed fee to the vendor. The fixed fee, once negotiated, does not vary with the actual cost buy may be adjusted as a result of any subsequent changes in the scope of work or services to be performed under the contract.
Form of contract that provides for a fee or profit at a specified percentage of the vendor's actual cost of accomplishing the work. Except in the case of emergency affecting the public health, safety, or welfare, and for some insurance contracts, no public contract shall be awarded on the basis of cost plus a percentage of cost.
Contract that provides for a vendor price under which a vendor bears the full risk for profit or loss.
Contract, fixed-price with escalation/de-escalation
Fixed-price type of contract that provides for the upward and downward revision of the stated contract price upon the occurrence of certain contingencies (such as fluctuations in material costs and labor rates) specifically defined in the contract.
Contract, requirements-type (open-end contracts)
Form of contract covering long-term requirements, used when the total quantity required cannot be definitely fixed, but can be stated as an estimate or within maximum or minimum limits,with deliveries on demand. Such contracts are usually one year or more in duration.
Contract for work to be performed by an independent vendor wherein the service rendered does not consist primarily of the acquisition of equipment or materials, or the rental of equipment, materials, and supplies.
Contract providing for the procurement of suppliers or services on the basis of direct labor hours at specified hourly rates (which include direct and indirect labor, overhead, and profit) and material at cost, or at some bid percentage discount from the manufacturer's catalog or list prices.
Contract officer, purchase officer, buyer
Employee of the institution whose primary assignment is purchasing goods or services
An individual or vendor which has entered into an agreement to provide goods or services.
Process whereby two or more communities, counties, or other governmental jurisdictions voluntarily agree to coordinate their purchases of one or more commodities to obtain the best unit price through volume buying.
Notice, either oral or in writing, that informs vendors that they are in default and states what the vendor has to do to correct the deficiency. If the notice is oral, it shall be confirmed in writing.
An action taken to exclude individuals or vendors from contracting with institutions for particular goods or nonprofessional services for specified periods of time.
Failure of a vendor to comply with the terms and conditions of a contract.
Contract between an institution and another party in which the party contracting with the institution agrees to both design and build the structure, roadway, or other item specified in the contract.
Purchase specification setting forth the essential physical characteristics that an item bid must possess to be considered for award.
Designated public area
An area that is available to the public during normal business hours and is the area designated by an agency for the posting of procurement solicitations and notices.
Evaluation of bids
The process of examining a bid after opening to determine the bidder's responsiveness to requirements, responsbility, and other characteristics of the bid relating to selection for award.
General terms and conditions
Standard clauses and requirements incorporated into all solicitations (IFB/RFP) and resulting contracts which are derived from laws or administrative procedures of the government agency.
Materials, equipment, supplies, printing, and automated data processing hardware and software.
A range of cooperative activities among governments, including various forms of intergovernmental cooperative purchasing, joint or shared use of facilities and supplies, and procurement made by one government from another.
Sum stated in a contract to be paid as ascertained damages for failure to perform in accordance with the contract. The damage figure stipulated must be a reasonable estimate of the probable loss to the agency and not calculated simply to impose a penalty on the vendor.
Minor defect or variation of a bid or proposal from the exact requirements of the invitation for bids or the request for proposals, which does not affect the price, quality, quantity, or delivery schedule for the goods, services, or construction being procured.
Award of contracts to more than one bidder. When a solicitation in its terms and conditions so provides, awards may be made to more than one vendor. Appropriate in situations where the award of a single contract would be impractical and awards are limited to the least number of suppliers necessary to satisfy program requirements.
Process of arriving at an agreement through discussion and compromise when only one source is practically available.
Person who makes an offer in response to a request for proposals.
Payment bond for labor and material
A bond required of a vendor to assure fulfillment of the vendor's obligations to pay all persons supplying labor or materials in the performance of work provided for in the contract.
Contract of guarantee executed in the full sum of the contract amount subsequent to award by a successful bidder to protect the government from loss due to their inability to complete the contract in accordance with its terms and conditions.
Specification setting forth performance requirements that have been determined necessary for the item involved to perform and last as required.
Prebid or preproposal conference
Meeting held with prospective bidders or offerors before submitting bids or proposals to review, discuss, and clarify technical considerations, specifications, and standards relative to the proposed procurement.
Procedure to prequalify products or vendors and limit consideration of bids or proposals to only those products or vendors that have been prequalified.
Procedures for obtaining goods or services, including all activities from the planning steps and preparing and processing a requisition, through receiving and accepting delivery and processing a final invoice for payment.
Work performed by an independent vendor within the scope of practice of accounting, actuarial services, architecture, land surveying, landscape architecture, law, dentistry, medicine, optometry, pharmacy, or professional engineering.
An offer made by one party to another as a basis for negotiations for entering into a contract.
One that restricts the acceptable products or services to those of one manufacturer or vendor
A written complaint about an administrative action or decision brought by a bidder or offeror to the appropriate administrative section with the intention of receiving a remedial result.
Public bid opening
Process of opening and reading bids at the time and place specified in the invitation for bids and in the presence of anyone who wishes to attend.
Display of procurement notices in an area or on a board designated and regularly used for that purpose that is available to the public during normal working hours.
Document the institutions use to execute a purchase transactions with a vendor. It serves as notice to a vendor that an award has been made and that performance can be initiated under the terms and conditions of the contract.
Person or vendor that owns, operates, or maintains a store, warehouse, or other establishment in which the materials, supplies, articles, or equipment of the general character described by the specifications and required under the contract are bought, kept in stock, and sold to the public in the usual course of business.
A person or vendor who has submitted a bid that conforms in all material respects to the invitation for bids.
Procurement method wherein bidders are invited to bid on the opportunity to provide specified goods or nonprofessional services through real-time electronic bidding, with the award being made to the lowest responsive and responsible bidder. During the bidding process, bidders' prices are revealed and bidders shall have the opportunity to modify their bid prices for the duration of the time period established for bid opening. Reverse auctioning may be used to buy goods or nonprofessional services, but not construction or professional services.
Bid that has been submitted in a sealed envelope to prevent its contents from being revealed or known before the deadline for the submission and opening of all bids.
Any work performed by an independent vendor wherein the service rendered does not consist primarily of acquisition of equipment or materials, or the rental of equipment, materials, and supplies.
A work-oriented rehabilitative facility with a controlled working environmnent and individual goals that utilizes work experience and related services for assisting the handicapped person to progress toward normal living and a productive vocational status.
Product or service practicably available only from one source.
Method to obtain bids or proposals from potential vendors. It may include an invitation for bids (IFB) or a request for proposals (RFP), and could be done in writing or verbally through a telephone call; or any other document issued to obtain bids or proposals for the purpose of entering into a contract.
Special terms and conditions
Special clauses pertaining to a specific procurement that may supplement or, in some cases, supersede one or more general terms and conditions.
A one-time purchase made in the open market.
Property in excess of what an agency needs and not required for any foreseeable needs. The property may be used or new, but has some usefulness for the purpose for which it was intended or for some other purpose. It includes scrap, which is material that is damaged, defective, or deteriorated to the extent that it has no value except for its basic material content.
Unpriced proposal that sets forth in detail that which a vendor proposes to furnish in response to a solicitation.
Specifications that establish the material and performance requirements of goods and services.
Normally covers a 12-month period or may cite another specific time to complete the project or service.
A technique by which a source of supply is established for a specific period of time. Term contracts are established based on indefinite quantities to be ordered "as needed," although such contracts can specify definite quantities with deliveries extended over the contract period.
Termination for conveninece
Purchasing office may terminate work done in whole or in part at its discretion. The purchasing office will settle the vendor's claims in accordance with appropriate policy and procedures.
Termination for default
Action taken by the purchasing office to order a vendor to cease work under the contract, in whole or in part, because of the vendor's failure to perform in accordance with the contract's terms and conditions.
An unsealed written offer conveyed by letter or any other viable means of delivery. The bids are normally opened and recorded when received.
Proposal received that is not in response to any institutionally initiated solicitation or program.
Equipment that has been previously owned and used and is offered "where is" and "as is." It does not include demonstration or factory rebuilt or remanufactured equipment marketed through normal distribution outlets.
One who sells goods or services.