Transcript Slide 1

Comptroller of Public
Accounts
Procurement Manual Updates
and Revisions
Texas Procurement and Support Services (TPASS)
Website
http://www.window.state.tx.us/procurement/
Topics

Updated/Revised Sections of the Procurement
Manual

Significance of Revised Sections

Future Plans for Procurement Manual Revisions
Completed Sections
1.1 Training & Certification
1.3 Reports & Notification
2.1 Acquisition of Surplus Property
2.6 Catalog Purchase Procedures
2.7 Term Contracts
2.8 Open Market Purchases
2.12 Automated Information Systems/Telecommunications
Commodities and Services
Purchases
2.21 Proprietary Purchases
2.21.3 Printing & Copying Services
2.28 Historically Underutilized Business (HUB) Program
2.29 Surety Bonds
2.33 Centralized Master Bidders List (CMBL)
2.36 Bid Receipt
Completed Sections
2.37 Bid Opening & Bid Tabulation
2.41 Awards
2.42 Inspection, Testing & Acceptance
2.49 Purchase Order Change Notices
2.50 Vendor Performance
2.52 Prepayment & Advance Payments
2.53 Early Payment Discounts
2.54 Late Payments
2.57 Paying for Purchases
2.59 The State Payment Card
2.61 Purchase Category Codes
2.62 Disposal of Property
4.5 Exemptions
1.1 Training & Certification
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Clarified purchaser training requirements.
Who should attend?
- All state agency purchasing personnel, including
exempt agencies
- Participating CO-OP purchasing entities are especially
encouraged, but not required
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Provided links to class/course schedules,
registration, and testing & certification
applications
1.1 Training & Certification
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Additional courses
- Contract Manager Training (CMT)
- State Government Contracting (SGC)
- Project Management (PM)
- Power Negotiations (PN)
- Supply Chain Optimization (SCO)
1.3 Reports & Notifications
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Removed DIR reporting related information
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Removed Nonresident Bidders Report which
was repealed by House Bill 2753, section 10
2.1 Acquisition of Surplus
Property
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Updated language to better describe Federal and
State Surplus Property
Clearly stated who is eligible for obtaining
surplus property and requirements for applying
Provided links to:
- Application for Assistance Organizations
- The list of approved Assistance Organizations
2.6 Catalog Purchase
Procedures
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The entire section has been removed from the
Procurement Manual
HB 2918 repealed the Catalog Information Systems Vendor
(CISV) program and transferred TXMAS Schedule 70
Information Technology Contracts to the Department of
Information Resources (DIR) effective September 1, 2007.
TXMAS Schedule 70 Contracts will be available on the DIR
website September 1, 2007. For more information
regarding the repealed CISV program, please visit our
website.
2.7 Term Contracts
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Updated the Automated Term Contract orders
- Online access to Impala/Telnet for direct entry or
through completion of a Contract Purchase Requisition
Form
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Clarified P.O. and POCN notices
- Ordering entity reviews PO upon receipt for
completeness and accuracy, not CPA
2.7 Term Contracts
- Errors should be corrected via POCN
- POCN is mailed to the vendor and a copy sent to
CPA
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Updated links to view Non-Automated Term
Contracts
2.8 Open Market Purchases
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CPA Administered Open Market Purchase
- #3 The average CPA processing time for an open
market requisition is approximately 45 calendar days
- #4 The appropriate CPA Purchaser reviews the
requisition and communicates any suggested changes to
your agency within approximately 14 days of receipt of
the requisition
2.12 Automated Information
Systems/Telecommunications
Commodities and Services Purchases
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Added new section to reflect the provisions of
HB 2918
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Included the Request for Offers (RFO) process
- RFP purchasing method
- RFO procedures
Section 2.12 can be found in the Procurement Manual on our
website
2.21 Proprietary Purchases
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Wording change in the last paragraph
- “These specifications are being advertised under TX.
Gov’t. Code, Section 2155.067. Only responses to
solicitations for items conforming exactly to these
specifications will be considered in determining an
award. ‘Conforming exactly to these specifications
includes bidding only the brand name(s) make and
model number(s) specified in this solicitation.”
2.21.3 Printing & Copying
Services
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Added link for contacting Purchasing
Operations and Customer Service (POCS)
- To obtain certification for the purchase of print services from
anyone other than TCI, contact
http://www.window.state.tx.us/procurement/contacts/
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Clearly defined procedures for procuring
printing and copying
2.28 HUB Program
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Changed formatting
Updated total value of HUB’s receiving portion
of contracts that the agency expects to award in
a fiscal year
Clarified language regarding HUB
Subcontracting Plan (HSP) and provisions
Added more references to Texas Administrative
Code (TAC) 20.14 for notifying subcontractors
after the primary contractor was awarded
2.29 Surety Bonds
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Changed title from “Performance Bonds” to “Surety
Bonds”
- this covers Blanket Bonds and Performance Bonds
Referenced TGC 2156.011
- explains statutory requirement regarding the use of
Performance Bonds
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Deleted portion on the Texas Insurance Code regarding
the definition of “Bid Deposit” as it is no longer valid
Replaced with TGC 2156.004
- CPA requirements for a Bid Deposit
2.29 Surety Bonds
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Added link to the State Contract Management
Guide
- bonding requirements associated with major contracts
over $1 million in value
2.33 CMBL
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Changed formatting
A clear explanation of CMBL program
Removed CISV content
Added internet sources and provided new links
Clearly defined the dollar amount in the “Required
Use” portion
A clear explanation for supplementing the CMBL
- TAC 20.34
2.36 Bid Receipt
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Expanded and clarified language on
“Withdrawing Bids”
- Agencies are responsible for their own internal
procedures for receipt and control of bids
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Expanded on information regarding “Log for
Bids Received”
- Which is optional
Better explanation on the process for “Bids
Inadvertently Opened”
2.37 Bid Opening & Bid
Tabulation
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Changed formatting
Expanded on “Bid Opening” by adding rules &
requirements
“Late Bids” and “Unsigned Bids” basically
remained the same
- Added additional language regarding CPA’s
liability for equipment failure or operator error
when bids are received via fax
2.41 Awards
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Removed language about “lowest and best bid” and
replaced with “best value” content
Added links to reference TGC 2155.074 and 2155.075
- Best value criteria must be specifically addressed in the
solicitation
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Provided a link to the Contract Management Guide
(CMG)
- For more complex solicitations.....
http://www.window.state.tx.us/procurement/pub/contractguide
/
2.41 Awards
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Added content to “Aids to Evaluation”
regarding the Written Data Rule
- Changed wording in #2 from “will” to “may”
- Added #3 which explains the significance
(Caution should be exercised when using this mandatory
requirement as its use will prohibit the acceptance of an
otherwise best value bid. The use of the word “may” as
opposed to “will” is considered more appropriate
because it gives the State the option of requesting the
required information.)
2.41 Awards
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Changed the “Franchise Tax” portion to read “Tax
Status”, as we no longer check Franchise Tax
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Clarified/Added language regarding making an award
to a vendor that is on tax hold and not in good standing
and the options that should be exercised
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Added “Note:” statement to explain the rationale for
making an award to an otherwise qualified bidder
2.41 Awards
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Deleted “Texas Family Code Clause”
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Fixed broken links to the Comptroller’s Tax
Status
- http://ecpa.cpa.state.tx.us/coa/coainst.html
2.42 Inspection, Testing &
Acceptance
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Basically straight from TGC 2155.069 and
2155.070
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Quality Assurance Inspection (QAI) Program
has developed an automated P.O. selection
process that will identify high risk/high dollar
commodities for inspection
2.42 Inspection, Testing &
Acceptance
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Phase 1 complete
- automated P.O. selection for high risk/high dollar commodities
Phase 2 in the works
- use the Vendor Performance Tracking System (VPTS) to
determine delinquent vendors, product substitution, nondelivery, etc. to further identify high risk vendors and
commodities
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Manual updates will follow the completion of the
QAI enhancements
Contract Administration
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Covers sections 2.43 – 2.50
- Currently under review to coincide with 2.42 Testing,
Inspection & Acceptance
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For additional information regarding contract
administration
**See Contract Management Guide**
http://www.window.state.tx.us/procurement/pub
/contractguide/
2.49 Purchase Order
Change Notices
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Basically remained the same
Added information regarding the use of a POCN
- The POCN form shall be used to:
#3.……“For scheduled purchases, the purchasing
entity is to seek approval and coordinate changes in
quantities with the CPA unless variations are specifically
addressed in the terms and conditions of the schedule.”
2.49 Purchase Order
Change Notices
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Deleted #4 regarding the misuse of a
POCN
- A POCN form shall not be used to:
Change a scheduled purchase order
2.50 Vendor Performance
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Added link to TAC 20.108
- State agencies shall report a vendor's performance on any
purchase of $25,000 or more from contracts administered by the
commission or any other purchase made through an agency's
delegated authority…..
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Fixed broken link to access instructions for
completing a Vendor Performance Form (VPF)
http://www.window.state.tx.us/procurement/pr
og/vendor_performance/performanceform/
2.50 Vendor Performance
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Updated the “Purpose” portion to specifically
address what the VPTS is for
Provided detailed information relating to the
operations for maintaining contract records for
tracking vendor performance
Clarified that agencies shall report not only poor
performance, but satisfactory and exemplary
performance via Vendor Performance Form
(VPF)
2.50 Vendor Performance
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Updated the number of days a vendor is
required to respond
Better explained process for reporting VP
- 14 days, not 10 like previously stated
Reformatted Vendor Performance Codes to
simplify searching
New enhancements to the VPTS
- manual updates will follow the enhancements
2.52 Prepayment &
Advance Payments
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New language added regarding the contents of a hard copy
purchase voucher
- http://www.window.state.tx.us/procurement/pub/manual/252.pdf
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Added language to the exceptions for entering prepayment
information into the Uniform Statewide Accounting System
(USAS)
- A state agency may pay an annual maintenance agreement in
advance, regardless of whether it covers more than one
appropriation year.
2.52 Prepayment &
Advance Payments
- A state agency may pay tuition to an institution of
higher education no earlier than the 42nd day before
the class begins
-- as opposed to….”no earlier than six weeks….”
- A state agency that needs to make an advance
payment for a reason not listed above may do so only if
the agency determines before making the payment that
making the payment in advance is necessary and would
serve a proper public purpose
2.53 Early Payment
Discounts
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Updated language using TAC 20.36 which states
- “Cash discounts are acceptable but not
considered in making an award. All cash
discounts will be taken if they are earned by the
agency".
2.54 Late Payments
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Deleted portion regarding “Invoices” as it doesn’t flow with Late
Payment content
Updated “How to Calculate Interest”
Example of How to Calculate Interest - In this example, the following
assumptions apply:
a state agency executed a contract with a vendor to purchase goods on
September 10th;
the goods were received September 24th;
the agency received the vendor's invoice on October 6th;
the agency's payment was postmarked December 9th; and
the amount of the agency's payment was $500.00.
annual percentage rate of 7.25% to calculate late payment interest
2.54 Late Payments
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Determine the due date for the payment. Count 30 days
beginning on the day after the agency received the invoice.
In this example, the due date was November 5th.
Determine how many days the payment was late. Start
counting on the day after the due date and stop counting
on the date the payment was postmarked. In this example,
the payment was late by 34 days.
Use the following formula to determine the amount of
interest due: (# of days late/365) x (.0725) x (amount of
payment) = (interest due)
In this example, the formula becomes: (34/365) x (.0725) x
($500.00) = $3.38
2.57 Paying for Purchases
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Added “Invoicing” to this section because it lists
the necessary information required on the
invoice to the agency in order to expedite
payment
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This addition flows better with the content
about the payment process
2.59 The State Payment
Card
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Changed title to read as “The State Payment
Card” as opposed to “The State Procurement
Card”
- the idea comes from the viewpoint that this card is
used for payment and is not another method for
procuring commodities/services
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Corrected link to reference to TAC 5.57
2.61 Purchase Category
Codes
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Added category “I”
- Purchases of items from DIR Contracts. See Texas
Government Code, Chapter 2157 - Purchase of
Automated Information Systems
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Updated dollar limits for codes E, F, and Q
Added category “X”
- Purchases of items from TXMAS Contracts. See CPA
Rule 34TAC 20.47 – Multiple Award Schedule
2.61 Purchase Category
Codes
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Removed language regarding CISV
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Reformatted chart for easier use
2.62 Disposal of Property
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Updated the link that refers to section 2.1 regarding
Surplus Property
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Referenced TGC Section 2175
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Updated the State of Texas Surplus Storefront
locations
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Updated contact information for the Surplus Property
Program
4.5 Exemptions
 Removed
list of exempt agencies
as CPA does not maintain this list
Future Plans
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CPA is currently reviewing additional sections
of the Procurement Manual to ensure all new
legislative changes are reflected in the content
Contact Information
Purchasing Operations and Customer
Service (POCS) Supervisor
Cody Hays
Office: (512) 463-3392
Fax: (512) 475-0851
Email: [email protected]
Customer Service Line: (512) 463-3034