Bidding Policies and Procedures

Best Judgement (PRO-302)

A method of procurement used when the estimated cost is less than the minimum of the simplified bidding threshold using the total value anticipated for the purchase, and when the need cannot otherwise be met on a mandatory contract. See PRO-101, Procurement Definitions and Thresholds and PRO-402, Statewide Contracts: Standards and Utilization.

Agencies will use all reasonable efforts to solicit small businesses, veteran-owned businesses, supplier-diverse businesses and work centers, and will report such transactions with supplier-diverse businesses as required by PRO-606, Supplier Diversity Policy and Reporting.

Best judgment does not apply to purchases of printing. See PRO-505, Printing Procurement Policy and Procedure.

Link: https://doa.wi.gov/ProcurementManual/Pages/PRO-302.aspx

Simplified Bidding (PRO-303)

A method of procurement used when the estimated cost of a transaction is less than the minimum of the official sealed bidding threshold, but more than the best judgment threshold, using the total value anticipated for the purchase, and when the need cannot otherwise be met on a mandatory contract. See PRO-101, Procurement Definitions and Thresholds and PRO-402, Statewide Contracts: Standards and Utilization.

Agencies will use all reasonable efforts to maximize competition in the solicitation and award of simplified bids, including but not limited to the use of existing systems and bidders lists. See PRO-103, Procurement Systems and Bidders Lists.

Agencies will report such transactions with supplier-diverse businesses as required by PRO-606, Supplier Diversity Policy and Reporting.

Agencies will use all reasonable efforts to solicit small businesses, veteran-owned businesses, supplier-diverse businesses and work centers. The simplified bid process will not be used to restrict competition or to prevent qualified bidders from bidding on procurements.

A minimum of three bids from qualified bidders from any of the sources below:

• Price lists
• Quotes of file
• Phone or verbal quotes (documented)
• Written bids

E-mail quotes from vendors are considered written documentation of a bid. Phone and verbal quotes should be confirmed in writing by the successful vendor. Must be "Apples to Apples" compare of product on the quote.

Departments Needs to Provide:

• Purchase Order Requisition
• Simplified Bid Record
• Bids from the vendors(three minimum) - MUST be in writing
• W9 if new vendor

Link: https://doa.wi.gov/ProcurementManual/Pages/PRO-303.aspx

Sole Source or Waiver of Bidding Process (PRO-501)

"Noncompetitive negotiation" is the process that may be used to purchase a product or service that can be obtained only from one source. The agency must demonstrate and the State Bureau of Procurement must concur that only one source exists, that the price is equitable, and/or that noncompetitive negotiation is in the best interests of the state.

1. One or more of the following circumstances, with adequate justification, may serve as the basis for using noncompetitive negotiation:

1. The service is unique or of a proprietary nature available from only one source.
2. Grant monies are involved, that cannot qualify as an exemption, that require subcontracts and specify the contractor.
3. A public emergency exists where the urgency for the required service will not permit  competitive solicitation.
4. Substantial time pressure exists beyond the agency's control. (This does not include administrative delays or confusions in processing the necessary paperwork for purchasing approval.)

2. A Request for Purchasing Approval/Authority (RPA) form that identifies the sole source and includes a proposed contract, when more than a purchase order will be used. For sole source requests, over $25,000, the RPA form will contain the signature of the agency head, deputy, chancellor or vice chancellor.
3. a. A justification letter, signed by the agency head or designee, that includes:

1. A description of the product or service and why it is needed;
2. A demonstration that only one source exists;
3. A statement showing that the price is reasonable either on a fair market value or on a cost basis;
4. A statement indicating that the procurement is in the best interests of the state.

4. Names, telephone numbers, and/or copies of correspondence to verify that current sources were contacted to support the sole source claim.
5. A copy of the price quotation from the sole source vendor.

A justification letter (Sole Source Justification), signed by the agency head or designee that includes:

1. A description of the product or service and why it is needed; why is this unique
2. A demonstration that only one source exists;
3. A statement showing that the price is reasonable either on a fair market value or on a cost basis
4. A statement indicating that the procurement is in the best interests of the state

Link: https://doa.wi.gov/ProcurementManual/Pages/PRO-501.aspx

Official Sealed Bids (PRO-304)

The procedure used for soliciting bids from at least three (3) bidders (when available) when the procurement is expected to cost over $50,000.

Can only be ran by authorized agent

Procedures and timing are strictly regulated by law and processing time varies depending on commodity.  Please contact Purchasing at Ext #3232 for information regarding high dollar purchases.

Link: https://doa.wi.gov/ProcurementManual/Pages/PRO-304.aspx