Procurement Policy

Issuance No: A23
Issuance Date: October 8, 2010, Revised 1/1/17; 7/11/17; 12/6/17; 9/10/19
Subject: Procurement Policy

The Northwest Workforce Development Board (WDB) shall abide by the purchasing / expenditures section of the NCMC Board Policy Manual for procurement of goods/services, which reads:

6.4. Purchasing/Expenditures and Investment Policies

6.4.1. Purchasing/Expenditures: The Board of Trustees authorizes the College President to administer the College purchasing policy in accordance with state and federal laws. The guidelines outlined below shall be followed by the President in approving College purchases. Entire purchasing section updated 6/25/19

6.4.1.1. Purchases of twenty‐five thousand dollars ($25,000) or greater, regardless of the method of procurement, shall be presented for approval by the Board of Trustees. When a sole source item is being purchased, or if the President determines that it is in the best interest of the College and the amount of the purchase is less than $25,000, or the purchase constitutes an emergency purchase, the President may authorize the purchase. In the case of emergency purchases, notification to the president of the Board of Trustees is required with ratification by the full board at the next regular Board meeting. The College President or his/her designee may elect to utilize the state, local and other purchasing agreements that were competitively bid currently available to the College in lieu of taking bids. These agreements shall satisfy the competitive bidding requirement so long as they are consistent with NCMC policies, were procured in a competitive nature, or contain a “piggyback” clause permitting other organizations to purchase off of the same contract accessing the contract terms and values. Bids will normally be awarded to the vendor that submits the lowest, most responsive bid that meets all requirements of the specifications. However, the College has the right to reject any and all bids.

6.4.1.1.1. Informal Competitive Bid Process

6.4.1.1.1.1. Items to be procured that cost less than $3,000 do not require multiple quotes or bidding, although all reasonable efforts should be taken to ensure the lowest cost to NCMC.

6.4.1.1.1.2. Items that cost $3,000 ‐ $24,999: (1) An Informal competitive bid process shall be required as described in this section for purchases of three thousand dollars ($3,000) but less than twenty‐five thousand dollars ($25,000). (2) Three Competitive Bids ‐ At least three (3) competitive written bids (where reasonable) shall be obtained. The written bids shall be submitted by the potential vendor to the College and obtained independently. The written bids shall be based on the same scope of service for the product or services to be obtained. Discounts shall be taken into consideration in determining the low bidder meeting all provided specifications. (3) Lowest and Best Bidder ‐ Purchases shall be awarded to the bidder providing the best products and/or services that are available for the lowest price consistent with specifications.

6.4.1.1.2. Formal Competitive Bid Process for Items that cost $25,000 or Greater

6.4.1.1.2.1. A Formal competitive bid process for any purchase of supplies, materials, equipment, or services with an estimated cost of twenty‐five thousand dollars ($25,000) or greater shall be purchased using a formal written bidding procedure as provided herein, with the bidder providing the best products and services that are available for the lowest price, meeting specifications unless otherwise provided for in 6.4.1.2.6.

6.4.1.1.2.2. Formal Competitive Bids, Notice of Invitation: A Notice of Invitation for Bids shall be provided in the manner the Business Office deems most appropriate to the subject matter of the bid, with the objective of encouraging fair and unbiased competition. The notice shall be designed to secure a reasonable distribution to potential bidders and may include direct mail, electronic mail, College webpage, other online listing services, newspaper advertisements, and/or such other means as deemed appropriate. The notice inviting competitive bids shall be distributed and/or publicly posted at least five (5) business days preceding the last day for receipt of bids, and shall include a general description of the products or services to be purchased; provide where bid forms, specifications, or other detailed plans may be obtained; and indicate the time and place for submission and opening of bids, along with NCMC’s general terms and conditions.

6.4.1.1.2.3. Bidders and Suppliers List: The appropriate department leader shall review the bidders, seek potential bidders from end user, and suppliers list for prospective bidders, and shall solicit bids from as many such bidders as is necessary to assure a reasonable distribution of the solicitation and adequate competition.

6.4.1.1.2.4. Bid Security Deposits or Surety Bid Bonds: When deemed necessary by the College or applicable state law, bid security deposits or surety bid bonds, or both, shall be prescribed in the Notice of Invitation for Bids. (1) Returned Bid Security Deposit: An unsuccessful bidder who stands ready to perform according to the terms of its bid shall be entitled to the return of its bid surety deposit. (2) Enforcement of Surety Bid Bond: The College shall seek enforcement of a surety bid bond according to its terms as set forth in the bid document. (3) Surety Bid Bonds, Listing in Federal Register: All surety bid bonds must be with companies listed in the Department of the Treasury Federal Register as surety companies acceptable on federal bonds.

6.4.1.1.2.5. Performance, Labor, and Material Payment Bonds: Where the nature of the contract is such that the College deems a performance bond necessary, or a bond is required by law, the Notice of Invitation for Bids shall specify the amount of bond that is required. The notice shall also specify that any bid submitted pursuant to said solicitation will be presumed to include the cost of the required bond. Surety Performance
Bonds Requirement, Listing in Federal Register: All surety performance bonds and surety labor and material bonds must be with companies listed in the Department of the Treasury Federal Register, as surety companies acceptable on federal bonds.

6.4.1.1.2.6. Procedure for Receiving and Opening Bids: Bids shall be recorded as received by the Business Office. Bids shall be opened and read aloud publicly by the Business Office and recorded in writing.

6.4.1.1.2.7. Bid Evaluation and Recommendations: The appropriate department leader shall evaluate the bids submitted and provide a recommendation for award to their Cabinet designee who shall, within the shortest practicable time, confirm the recommended award or submit objections to the Business Office. Such objections shall include specific reference to the manner in which an alternate bid complies with the provisions of this section, or the request to rebid. The Business Office shall have the authority to reject individual bids, parts of all bids, or all bids for any one or more supplies or contractual services included in the proposed contract for failure to comply with the requirements of the invitation for bids or when the public interest will be served thereby, and may require the solicitation of new bids.

6.4.1.1.2.8. Recommend Award of Bid: The College President or his/her designee shall recommend to the Board of Trustees the award of the contract to the lowest and best bidder meeting specifications, unless all bids have been rejected as authorized by this policy.

6.4.1.1.2.9. Factors Which Shall Be Considered When Determining Lowest Cost and Best Bids Meeting Specifications: The following factors shall be considered in determining the bidder that provides the best products and/or services that are available for the lowest price meeting specifications (including but not limited to): cost, future maintenance cost, ability to perform, quality of past work, and compliance with laws and bid documents. A five percent preference may be granted to all firms, corporations, or individuals doing business as firms, corporations, or individuals within the NCMC service region.

6.4.1.2. Competitive Bids Not Required, Circumstances: The following purchases shall be permitted without following the informal or formal competitive bidding procedures.

6.4.1.2.1. Purchases of Less than $3,000: Competitive bidding or quotes shall not be required on any purchase if the amount is less than three thousand dollars ($3,000) made from any one business, person, or corporation.

6.4.1.2.2. Sole Source: Competitive bidding shall not be required when the items to be purchased can be obtained from only one source or cannot reasonably be provided by another source, such as a proprietary provider; to ensure consistency and standardization with other existing equipment; or for other documented reasons. A sole source shall be determined by the Business Office.

6.4.1.2.3. Acquisition from Other Governmental Entity: Competitive bidding shall not be required when the items to be purchased are being obtained from another
governmental entity.

6.4.1.2.4. Emergency Purchases: Competitive bidding shall not be required when the College President has declared the purchase to be an emergency. The College
President will notify the president of the Board of Trustees for approval in advance of the purchase being authorized for those twenty‐five thousand dollars ($25,000) or greater. Purchases made under the provisions of this subsection shall be presented as a Board item to the Board of Trustees at the next regular meeting for ratification.

6.4.1.2.5. Fixed Price Contractual Documents: Competitive bidding shall not be required when the items purchased are the subject of existing and current federal, state, or local government fixed price contractual documents, if the prices quoted in those documents are more advantageous than local market prices for like items.
Before a purchase is made pursuant to this subsection which has a purchase price of twenty‐five thousand dollars ($25,000) or greater, the purchase shall be submitted to the Board of Trustees for approval.

6.4.1.2.6. President’s Discretion: If the College President determines that a purchase is in the best interest of the College and the amount of the purchase is less than twenty‐five thousand dollars ($25,000), the purchasing process or procedure may be waived by the President in writing with rationale to be included in the purchasing document. Any purchases of twenty‐five thousand dollars ($25,000) or greater shall be subject to the competitive bidding procedure outlined herein.

6.4.1.3. Contracted Services Request for Proposals and Request for Qualifications

6.4.1.3.1. The College will normally request proposals for contracted services such as professional services, consultants, banking services, auditors, bond counsel,
investment bankers, maintenance contractors, and other related contracted services. However, the President may elect to either solicit proposals or negotiate for these services.

6.4.1.3.2. For certain professional services, the College may elect to issue a Request for Proposals (RFP) for the contracted services stating the nature and scope of the professional services to be provided, requirements to be submitted as part of the proposal, and a date and time by which the proposals shall be submitted to the College, along with NCMC’s general terms and conditions. In making the determination of the lowest and best respondent to the RFP, NCMC shall consider such factors as the cost proposals, the project approach, resources of the respondents, and the timeline for the product or service. The President or his or her designee shall approve all contracts up to $25,000. All contracts of $25,000 or greater shall be approved by the Board of Trustees.

6.4.1.3.3. For architectural, engineering, surveying, and other certain professional services consistent with Missouri State law, a Request for Qualifications (RFQ)
may be issued by the Business Office stating the nature and scope of the professional services to be provided, requirements to be submitted as part of the Proposal, and a date and time by which the proposals shall be submitted to the College, along with NCMC’s general terms and conditions. The best respondent to the RFQ shall be selected based solely upon qualifications and then the cost negotiated as part of the final contract.

6.4.1.3.4. All proposals are confidential until such time as a final contract has been awarded.

6.4.1.4. Other Types of Purchases

6.4.1.4.1. Auxiliary Services Purchases: Purchases for resale items in auxiliary business units will be procured by the managers responsible for those functions in accordance with the process approved by the President.

6.4.1.4.2. Library Books and Materials: Library books and materials will be ordered direct from the appropriate vendors as recommended by library personnel in accordance with the process approved by the President.

6.4.1.4.3. Equipment Leases: When it has been determined that it is in the best interest of the College, equipment may be leased rather than purchased. The President shall approve all equipment leases up to $25,000 per year. All equipment leases $25,000 or greater per year shall be approved by the Board of Trustees.

6.4.1.4.4. Utilities and Postage: Procurement of standard utilities such as electricity, gas, water, etc. as well as postage shall not require Board of Trustees approval.

6.4.1.5. Purchase Requisition, Purchase Order, and Contract

6.4.1.5.1. Purchase Requisition: An approved Purchase Requisition is required before any goods or services are ordered, regardless of the method of procurement unless otherwise authorized through a Purchasing Card (P‐Card) or an item authorized to be purchased and paid through a check request. For all purchases twenty‐five thousand dollars ($25,000) or greater, the Board of Trustees must approve the request prior to the purchase, unless provided for in NCMC policy.
Adequate funding must be in place prior to the processing of the requisition as verified by the Business Office.

6.4.1.5.2. Purchase Order and Contract: Once a Purchase Requisition is approved, a Purchase Order, and contract if applicable, will be issued by the Business Office to the vendor. This will be the official approval to proceed with the purchase. No work shall proceed until such time as the Purchase Order is issued and any applicable contract is fully executed.

6.4.1.5.3. Bonds and Insurance: In the event bonds and insurance are required as part of the scope of work set forth in the Notice of Invitation to Bid or Request for Proposals, the Business Office will be responsible for ensuring these are on file with the College prior to work commencing.

6.4.1.6. Receiving Goods and Services, Authorizing Payment

6.4.1.6.1. Notice to Proceed: A written notice to proceed will generally be provided to all vendors performing services or work upon full execution of a written contract if required.

6.4.1.6.2. Receiving: The department requesting the purchase is responsible for verifying the goods, materials, or services were completed or received.

6.4.1.6.3. Authorization for Payment: Upon completion of the purchase and receipt of the goods, materials, or services; or upon partial completion as provided for in the scope of services or contract if applicable, the department requesting the purchase shall sign off on all invoices and forward for payment to the Business Office.

6.4.1.6.4. Refusal to Pay: In the event the goods, materials, or services do not meet the bid specifications, are damaged, or are otherwise unacceptable, the Business Office should be immediately notified. The Business Office will work with the vendor to rectify the issue, return the goods, or cancel the Purchase Order and/or contract.

6.4.1.7. Other Provisions

6.4.1.7.1. Unauthorized Purchases: Only authorized personnel may contract on behalf of the College. Any purchase not properly authorized will be considered invalid and the College shall not be financially responsible.

6.4.1.7.2. Recommend Disqualification of Bidders: The Business Office may recommend that the President, or his or her designee, designate as irresponsible bidders, vendors who default on their bids or perform poorly on prior work, and disqualify them from receiving any business from the College for a stated period of time. Disqualification shall only be designated upon the inability or unwillingness of the vendor to remedy the issue.

6.4.1.7.3. Maintain Records of Bidders: The Business Office shall maintain records of bidders which shall list all persons, firms and corporations which have applied for that listing.

6.4.1.7.4. Conflict of Interest: With prior approval of the College President, NCMC may transact business with vendors that have a direct/indirect, personal, professional, business, financial, or family interest/relationship with College personnel. If the business transaction involves the College President and/or his family, it must be approved by the president of the Board of Trustees.

6.4.1.7.5. Vendor Drafting Bid Specifications, Disqualification: No contract shall be awarded to any person, firm, or corporation, whether or not any valuable consideration has been provided for any services in connection with the development of the contract’s bid specifications, unless upon recommendation of the Business Office and approval by the Board of Trustees that such award is in the College’s best interests, unless otherwise prohibited by law.

6.4.1.7.6. Records: The Business Office shall keep a written or electronic record of all purchases accomplished under this section and all bids submitted in competition for those purchases, and those records shall be open to public inspection. Each such record shall describe the means by which the bid was received and any specific considerations or conditions attached to the bid and/or product or service, the number of respondents, and the successful bidder.

6.4.1.7.7. Use of Logo: Use of the College name or logo requires authorization of the marketing department. The College name or logo may not be used to promote any product, opinion, cause, or political candidate. Representation of personal opinions as those of the College is prohibited.

6.4.1.7.8. Federal Award Programs: The director of a federal award program shall determine the allocability, allowability, and reasonableness of costs in accordance with the provisions of the applicable federal cost principles and the terms and conditions of the award. Final approval of expenditures shall be made by the NCMC Board of Trustees in consultation with the Vice President for Business and Finance and College President.

6.4.1.7.8.1. Procurement procedures for federal awards will follow OMB Uniform Guidance, 2 CFR 200.317 through 200.326: Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Some of the general standards over federal grant procurement include: a) Grant recipients must avoid acquisition of unnecessary or duplicative items; b) Where appropriate, an analysis shall be made of lease versus purchase alternatives, and any other appropriate analysis to determine the most economical approach; and c) Solicitations for goods and services shall follow NCMC’s purchasing/expenditures and conflict of interest policies.

6.4.1.7.8.2. Federal award programs should also follow the additional guidelines found in the North Central Missouri College Consolidated Guidance for Federal Grant Management, which is available from the Business Office.

In addition to the NCMC Board Policy Manual stated above, the NW WDB will adhere to the following guidelines specifically established at 2 CFR Part 200:

Section 318(h) The non-Federal entity must award contracts only to responsible contractors possessing the ability to perform under the terms and conditions of the procurement. Consideration will be given to such matters as contractor integrity, compliance with public policy, record of past performance, and financial and technical resources (see Suspension and Debarment at 200.213); and

Section 321(a) The non-Federal entity must take all necessary affirmative steps to assure that minority business, women’s business enterprises, and labor surplus area firms are used when possible.

 

 

For procurement of service providers of WIOA Youth, Adult, Dislocated Worker and One-Stop Operator services, the following policy is established.

To ensure full and open competition for provision of services under the Workforce Innovation and Opportunity Act (WIOA), the Northwest Workforce Development Board (NW WDB) has established the processes outlined below.  These processes comply with 2 CFR Part 200.318-326; TEGL 35-10; and DWD Issuance 04-2016, C1.

The DRAFT Request for Proposals will be presented to eligible NW WDB Members for their review prior to release to the public.

Advertisement/Notification: 

To foster competitive procurement in accordance with WIOA guidelines, the NW WDB maintains a list of potential bidders who receive the Request for Proposals either in hard copy or electronic format. That list is updated periodically as the NW WDB becomes aware of new/different organizations that might have an interest in providing services.  The notice of Request for Proposals is also posted on the NW WDB website (www.nwwdb.org).

Proposal Response Time:

The notice of Request for Proposals is posted, and correspondence to potential bidders is sent 30 days prior to the grant submission deadline.  With the announcement of solicitation for proposals, we provide potential bidders a brief background on the service delivery area; the projected amount of funds available for the WIOA program(s)we are soliciting proposals on; instructions for completing the proposal;  attachments that must be included with the proposal; the application submission address and deadline; date/time the proposals will be opened at the NW WDB office; and instructions for questions regarding the Request for Proposals and/or process.

Proposal Evaluation:

NW WDB staff develop an evaluation (score) sheet based on criteria required for successful performance of the WIOA program.   Evaluation factors considered include completeness and timeliness of proposals (all the required elements are addressed/attached and the proposal was received prior to deadline expiration); reasonableness of costs; performance targets; probability of achieving proposed targets; compliance with WIOA; and past performance (if applicable).

Conflict of Interest Policy:

Each NW Workforce Development Board Member, NW WDB Committee Member, NW WDB staff member, and WIOA subcontractor staff member is required to sign and adhere to a Conflict of Interest/Code of Conduct policy.  The introductory statement of policy reads:

 “Statement of Policy:  It is the policy and expectation of the Northwest Workforce Development Board (NW WDB) that its Members will fulfill the fiduciary duties applicable to their service as Members of the NW WDB.  Due to the legal and statutory structures of the NW WDB, it is expected that conflicts of interest will arise and this policy is intended to provide a framework that will allow the work of the NW WDB to be achieved without the fact of or appearance of impropriety.  Where this document references “Member” it shall mean any agent, WDB employee, WIOA subcontractor employee, officer, Youth Advisory Committee Member and Board Member. “

The intent of the policy is to prevent any obvious or perceived conflicts of interest in selection of WIOA providers and conduct of business at board meetings.  Each member is also required to complete and sign a disclosure of interest statement declaring conflict(s) of interest as appropriate.

Review of Proposals:

For the WIOA Adult and Dislocated Worker programs and the One-Stop Operator, the Northwest Workforce Development Board (NW WDB) Executive Committee members receive RFP guidelines, the proposals received in response to the RFP, and the proposal evaluation sheet after the submission deadline.  For the WIOA Youth program, eligible members of the NW WDB Youth Advisory Committee receive the RFP guidelines, the proposals received in response to the RFP, and the proposal evaluation sheet after the submission deadline.  Committee members who represent an agency which has submitted a proposal for consideration are not included in this distribution. NW WDB staff and committee members independently review and score each proposal.   Each proposal reviewer will be assigned a randomly-generated evaluator code to use when scoring proposals.

Chapter 610, Missouri Revised Statues, also known as the Sunshine Law, provides authorization for closing meetings and records under very prescribed circumstances.  Chapter 610.021(11) states”…a public governmental body is authorized to close meetings, records and votes to the extent they relate to the following…specifications for competitive bidding, until either the specifications are officially approved by the public governmental body or the specifications are published for bid”; and Chapter 610.021(12) states …“For the purpose of sealed bids and related documents, until the bids are opened; and sealed proposals and related documents or any documents related to a negotiated contract until a contract is executed, or all proposals are rejected…”  When the DRAFT requests for proposals are reviewed by the full NW WDB, the NW WDB reserves the right to close that portion of a NW WDB business or special meeting.  Likewise when eligible NW WDB Executive and NW WDB Youth Advisory Committee Members meet to review proposals received, the NW WDB reserves the right to close those Committee meetings in accordance with the Missouri Revised Statues (Sunshine Law) cited above.

Award Recommendation:

During a joint meeting of the NW WDB Executive and NW WDB Youth Advisory Committees, those members discuss and review evaluations; a vote is cast in committee to recommend subcontractor(s) to the full board for contract award vote.

Award/Non-award Notification:

Each organization that responds to the RFP with a written proposal is notified via letter of award/non-award based on majority vote at the board meeting.

In the event of no response to a Request for Proposals:

The competitive procurement process identified in 2 CFR Part 200.318-326; TEGL 35-10; and DWD Issuance 04-2016, C1 will be followed in every instance of service provider procurement.  In the event the Northwest Workforce Development Board receives no response to a Request for Proposals after following Department of Labor competitive procurement procedures, the NW WDB reserves the right to solicit proposals from existing service providers or to appoint an existing service provider as contract awardee.

All such contracts are subjected to a thorough competitive solicitation process with a risk assessment completed prior to contract award.

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