Office of Purchasing and Contracts Procurement Outreach
Training Level III Procurements $50,000 and Above
Slide 3
NYS Procurement Policy It is the policy of the University at
Albany, SUNY that utilization of preferred sources occur whenever
possible. In accordance with State Finance Law and Corrections Law,
the University is required to make purchases of commodities and
services from preferred sources. Preferred sources must be
considered whenever purchases of commodities or services are
required. Additionally, it is the policy of the University at
Albany, SUNY to take affirmative action to ensure that minority and
women owned business enterprises are given the opportunity to
demonstrate their ability to provide the University with
commodities, services and printing at competitive prices.
Slide 4
State Procurement Levels DOLLAR THRESHOLD POLICY OF THE STATE
OF NEW YORK $0.00 - $10,000 Requires certification by the
Purchasing Associate of reasonableness of price and notification to
Agency Bidders List. $10,000.01 - $50,000 Requires certification by
the Purchasing Associate of reasonableness of price and quarterly
NYS Contract Reporter publication and Notification to Agency
Bidders List $50,000.01 - $125,000 Requires 3 quotes or proposals
and Individual NYS Contract Reporter publication (15 business days
advance notice) $125,000.01 - $250,000 * Requires 5 sealed bids or
proposals and Individual NYS Contract Reporter publication (15
business days advance notice) * For Services: No external agency
prior approval is needed for contracts and purchase orders up to
$250,000 EXCEPT if any one condition exists: a) bid protest; b) low
bid or best value not used; c) award not made in accordance with
provisions of bid; d) single or sole source procurement. If any
single condition exists the approval limit is reduced to $125,000.
* For Services: No external agency prior approval is needed for
contracts and purchase orders EXCEPT if the procurement is a single
or sole source. If so, the exemption approval limit is $50,000 but
no external approval is required at any limit. $250,000.01 Above 5
SEALED BIDS OR PROPOSALS and INDIVIDUAL CONTRACT REPORTER NOTICE
(15 BUSINESS DAYS ADVANCE NOTICE) with approval of Attorney General
(when appropriate) and State Comptroller THE PURCHASING STAFF
RESERVES THE RIGHT TO SEEK COMPETITION AT ANY LEVEL.
Slide 5
Workers Compensation Insurance Workers' compensation provides
medical treatment, wage replacement and permanent disability
compensation to employees who suffer job-related injuries or
illnesses, and death benefits to dependents of workers who have
died as a result of their employment. Prior to any permit being
issued or any contract being entered into for work in which
employees of a business will be engaged in hazardous employment the
University must obtain acceptable proof that a business has secured
workers compensation insurance. Please contact the Office of
Purchasing and Contracts for additional information.
Slide 6
Disability Insurance Disability insurance replaces a workers
income should a sickness or illness prevent the worker from earning
an income. Prior to any permit being issued or any contract being
entered into for work in which employees of a business will be
engaged in hazardous employment the University must obtain
acceptable proof that a business has secured disability insurance.
Please contact the Office of Purchasing and Contracts for
additional information.
Slide 7
The use of Requests for Information Should a Request for
Information (RFI) be done? An RFI allows for the information on the
latest available products on the market place to be obtained. The
RFI does not lead to an award but is a way to gather information
that may be used to draft a Request for Proposal (RFP)/Invitation
for Bid (IFB). The RFI process allows for the gathering of
information from all possible bidders and to drafting a more
successful Request for Proposal /Information for Bid. An RFI must
be advertised in the NYS Contract Reporter.
Slide 8
Bidding Components Information Required to Complete an
Invitation for Bid Requisition to encumber the necessary funds.
Detailed technical specifications. Clear method of award criteria.
Contract Reporter guidelines compliance (State only). Bidders list.
Thorough review of all proposals. Recommendation for award.
Execution of final contract. Final approval from appropriate
authority.
Slide 9
Drafting Bid Specifications Technical specifications should be
developed independently based on the end user needs. A consultant
may be utilized to assist in the drafting and response review.
Vendors who assist in bid drafting are not allowed to bid on the
procurement. Referencing a make and model is permitted but
allowance for equivalent offerings is required.
Slide 10
Drafting Bid Specifications (Contd) Specifications need to
include mandatory requirements but cannot unreasonably restrict the
number of bidders. Inclusion of expected warranty requirements,
detailed delivery requirements and/or custom brokerage charges are
important components to include in the bid documents.
Prequalifications limiting the pool of bidders to those meeting
specific requirements may be used with appropriate justification.
Prequalification criteria may include the requirement that bidders
are authorized Agents of the manufacturer or are certified by the
manufacturer to perform a certain service.
Slide 11
Drafting Bid Specifications (Contd) The requirement of
mandatory items in a bid should be limited to necessary items. If
mandatory specifications are not met by a bidder, the entire bid
must be rejected. Specifications involving installation require a
certificate of insurance and a wage rate schedule from the
Department of Labor with the bid. All bidders must disclose the use
of subcontractors. The primary contractor must ensure that
subcontractors comply with all requirements of the award.
Slide 12
Drafting Bid Specifications (Contd) Terms directly related to
what is being purchased are to be included in the bid. Important
terms include: Right to reject any and all bids; Right to accept
best and final offers; Right to issue amendments to correct errors;
Extension of bid opening date; and Request clarification. MWBE
goals will be noted in the bid and advertised in the NYS Contract
Reporter. Allowance for written Q&As help to ensure that
bidders understand the nature and scope of the bid and may identify
possible problems with bid. Inclusion of the date written questions
are due and the date answers will be sent out are part of the bid
document.
Slide 13
Drafting Bid Specifications (Contd) Walkthroughs for technical
bids or those requiring installation allows potential bidders to
review the project. Walkthroughs must be noted in the document with
the date, time, location and contact person stated. Mandatory
walkthroughs require a sign in sheet which is to be submitted to
the Purchasing Office upon the conclusion of the walkthroughs. Bid
rejection for missing a mandatory walkthrough must be stated in the
bid document. Answers to questions raised at walkthroughs must be
shared with all potential bidders.
Slide 14
Drafting Bid Specifications (Contd) Special bidding regulations
include but are not limited to: Printing; NYS Printing Law.
Textiles; Fair Labor Standards Recycling content specifications;
EO4 Bidders will be required to submit documentation stating that
they can meet the requirements. Debriefing language is to be
included in all bid documents.
Slide 15
Submittal Review Bids received by the opening time are publicly
read by the Purchasing Office. After recording, the bids are
forwarded to the technical team for review. The technical team
makes a written determination of award and forwards it to the
Purchasing Associate (PA). The PA will review the math and
technical scoring. Bid rejection for non-conformance must be for
significant issues and must be outlined in the bid.
Slide 16
Submittal Review (Contd) Bids rejected due to specifications
not being met need to be noted along with supporting documentation
as to why that specification was necessary. The winning bid must be
reviewed to ensure all specifications are met. All bidders will be
notified by the Purchasing Office of the results. Copies of the bid
tabulation can be provided upon request and are available in the
New York State Contract Reporter.
Slide 17
Request for Proposal - Best Value Generally RFPs are created
for large dollar technical purchases, services and consultants.
Consideration in addition to costs are evaluated and may include
references, years of experience, similar experience and or project
history. Require detailed specifications and a pre-established
evaluation matrix to be scored by an evaluation team. Evaluation
teams may include end users and financial personnel.
Slide 18
Drafting an RFP Drafting RFPs Develop the scoring matrix with
the RFP Mandatory items Scoring criteria Bidder qualifications
Licenses Regulatory scoring Equipment list Experience The RFP
document usually includes Information on the University and
Departments mission. A brief description of the project. A list of
mandatory requirements for all vendors to meet. Technical scoring
criteria and informational response section
Slide 19
Drafting RFPs (Contd) The matrix and RFP are drafted together
to ensure that the answers scored in the matrix appear as questions
in the RFP. Mandatory requirements are evaluated on a pass/fail
basis but are not included in the scoring criteria. Proposals
meeting mandatory requirements are scored against the matrix. Cost
should be at least 20% of the total scoring criteria depending on
the value to be placed on the technical portion. Software purchases
may have lower weighted cost (i.e., 25%) while services may have a
higher weighted cost (i.e., 60%).
Slide 20
Drafting RFPs (Contd) Objective questions include the
following: Years of experience Number of similar projects performed
Number of qualified staff assigned to the project Subjective
questions should be avoided because the responses are subject to
interpretation. Benchmarks/standards should be used to compare
bidder responses. References should be reviewed via a
questionnaire. Questions should prompt responses from the reference
such as yes or no or good, fair, poor.
Slide 21
RFP-Evaluation Process Forming and Instructing the Review Team
All members of the RFP evaluation team must participate in the
scoring of all the proposals. Multiple levels of scoring Mandatory
items Technical Specifications References Oral Presentations
Additional Points or Rescoring Financial Statements; may require
assistance from an individual with the ability and expertise to
evaluate the document. Cost
Slide 22
RFP-Evaluation Process (Contd) Most cost awards are based on a
formula. For example, the lowest bidder receives the highest rating
and the next lowest bidders get a portion of the points awarded.
The base score as outlined in the RFP can be set to limit the
number of bidders receiving invitations for oral
interviews/presentations. The scoring used for the oral interviews
must be outlined in the RFP. The scoring process may allow for the
review team to ask for written clarification. Written clarification
required from a bidder must have a due date and time.
Slide 23
RFP-Evaluation Process (Contd) Multiple awards can be made from
one RFP: The awarding of work must be outlined clearly in the RFP.
There is no guarantee of the amount of work to be assigned, but the
contract is to be for the actual amount of work assigned during the
term. Cost is the critical factor in the review by OSC and must be
clear to the auditor. For a new type of RFP or Bid, the Purchasing
Office will often seek out information from other SUNYs, Agencies
or pass a draft of the procurement to OSC for comment before it
goes out to the vendor community. Vendors must be notified in
writing of rejected proposals and be given an opportunity for
debriefing.
Slide 24
Time Line Based on Final Draft RFP & Scoring Matrix
Contract Reporter Advertisement 3 Week Min. Scoring of RFPs
Approximately 2-3 Weeks Contract Development and Signature 3 Weeks
NYS Attorney General Approval 2 Weeks NYS Comptroller Approval 4-6
Week Min.