Arizona
Administrative Fees:
Administrative Fees on State Contracts
Disclaimer:
This information is self-reported by the state via the Survey of State Procurement Practices
Administrative Fees in Use:
Yes
Types of Contracts with Admin. Fees:
National Cooperative, State Cooperative
Amount and Frequency of Fees Collected:
2% of sales
State authority to conduct best value procurement (BVP)
Best Value Procurement Definition:
Best Value Procurement Definition
Definition of Best Value Procurement:
Yes
Citation:
AZ ADC R2-7-F308
Citation Language:
A. The agency chief procurement officer may conduct negotiations with any or none of the offerors. B. The agency chief procurement officer may conduct negotiations to improve offers in such areas as cost, price, specifications, performance, or terms and conditions, and to achieve best value for the state. C. The agency chief procurement officer shall document the results of negotiations in writing by requesting a best and final offer as defined in R2-7-C315. D. The agency chief procurement officer shall ensure that negotiations do not disclose any information derived from other offers.
Westlaw Flags:
No Flag
Statutory, regulatory, and procedural guidance for bid protests
Protest Procedure:
Protest Procedure
Status:
Statutory Guidance
Citation:
AZ ADC R2-7-A901
Citation Language:
A. Any interested party may protest a solicitation, a determination of not susceptible for award, or the award of a contract. B. The interested party shall file the protest in writing with the agency chief procurement officer, with a copy to the state procurement administrator, and shall include the following information: 1. The name, address and telephone number of the interested party; 2. The signature of the interested party or the interested party's representative; 3. Identification of the purchasing agency and the solicitation or contract number; 4. A detailed statement of the legal and factual grounds of the protest including copies of relevant documents; and 5. The form of relief requested. C. If the protest is based upon alleged improprieties in a solicitation that are apparent before the offer due date and time, the interested party shall file the protest before the offer due date and time. D. In cases other than those covered in subsection (C), the interested party shall file the protest within 10 days after the agency chief procurement officer makes the procurement file available for public inspection. E. The interested party may submit a written request to the agency chief procurement officer for an extension of the time limit for protest filing set forth in subsection (D). The written request shall be submitted before the expiration of the time limit set forth in subsection (D) and shall set forth good cause as to the specific action or inaction of the purchasing agency that resulted in the interested party being unable to submit the protest within the 10 days. The agency chief procurement officer shall approve or deny the request in writing, state the reasons for the determination, and, if an extension is granted set forth a new date for submission of the filing. F. If the interested party shows good cause, the agency chief procurement officer may consider a protest that is not timely filed. G. The agency chief procurement officer shall immediately give notice of a protest to all offerors.
Statutory, regulatory, and procedural guidance for bid responsiveness
Bid Responsiveness:
Bid Responsiveness Definition
Citation:
AZ ADC R2-7-C312
Citation Language:
A. An agency chief procurement officer shall determine, at any time during the evaluation period and before award, that an offeror is responsible or nonresponsible. B. The agency chief procurement officer may consider the following factors before determining that an offeror is responsible or nonresponsible: 1. The offeror's financial, business, personnel, or other resources, including subcontractors; 2. The offeror's record of performance and integrity; 3. Whether the offeror has been debarred or suspended; 4. Whether the offeror is legally qualified to contract with the state; 5. Whether the offeror promptly supplied all requested information concerning its responsibility; and 6. Whether the offeror meets any responsibility criteria specified in the solicitation. C. The agency chief procurement officer shall promptly notify the offeror in writing of the final determination that the offer is nonresponsible unless the agency chief procurement officer determines notification to the offeror would compromise the state's ability to negotiate with other offerors. The agency chief procurement office shall file a copy of the determination in the procurement file. D. The agency chief procurement officer shall only disclose responsibility information furnished by an offeror in accordance with A.R.S. § 41-2540(B). E. For the offeror awarded a contract, the agency chief procurement officer's signature on the contract constitutes a determination that the offeror is responsible.
Definition:
Yes
Statutory, regulatory, and procedural guidance for bidder responsibility
Responsible Bidder Definition:
Responsible Bidder Definition
Definition:
Yes
Citation:
AZ ADC R2-7-B313
Citation Language:
A. The agency chief procurement officer shall determine before an award whether an offeror is responsible or nonresponsible. B. The agency chief procurement officer shall consider the following factors before determining that an offeror is responsible or nonresponsible: 1. The offeror's financial, business, personnel, or other resources, such as subcontractors; 2. The offeror's record of performance and integrity; 3. Whether the offeror has been debarred or suspended; 4. Whether the offeror is legally qualified to contract with the state; 5. Whether the offeror promptly supplied all requested information concerning its responsibility; and 6. Whether the offeror meets the responsibility criteria specified in the solicitation. C. If the agency chief procurement officer determines an offeror is nonresponsible, the agency chief procurement officer shall promptly send a determination to the offeror stating the basis for the determination. The agency chief procurement officer shall file a copy of the determination in the procurement file. D. The agency chief procurement officer shall only disclose responsibility information furnished by an offeror in accordance with A.R.S. § 41-2540. E. For the offeror awarded a contract, the agency chief procurement officer's signature on the contract constitutes a determination that the offeror is responsible.
Name:
Commodity Code
Commodity Code:
UNSPSC
Name:
Competitive Thresholds
Formal/Competitive Sealed Bidding:
$100,000
Citation:
** **AZ ST § 41-2532 ; AZ ST § 41-2535
Public Link:
Citation Language:
2532 Unless otherwise authorized by law, all state contracts shall be awarded by competitive sealed bidding as provided in section 41-2533 or as provided in sections 41-2534 through 41-2538 and sections 41-2554, 41-2558, 41-2559, 41-2572, 41-2578, 41-2579, 41-2581 and 41-2636. ; 2535 A. Any procurement that does not exceed the aggregate dollar amount of one hundred thousand dollars may be made in accordance with rules adopted by the director, except that the procurements shall be made with such competition as is practicable under the circumstances.
Small Purchases/Informal Purchasing:
$100,000
Citation 2:
AZ ST § 41-2535
Public Link 2:
Citation Language 2:
A. Any procurement that does not exceed the aggregate dollar amount of one hundred thousand dollars may be made in accordance with rules adopted by the director, except that the procurements shall be made with such competition as is practicable under the circumstances.
Statutory, regulatory, and procedural guidance for contract claims before a specialized body
Contract Claims Procedure:
Contract Claims Procedure
Status:
Statutory Guidance
Citation:
AZ ADC R2-7-B901
Citation Language:
A. A claimant shall file a contract claim with the agency chief procurement officer, with a copy to the state procurement administrator, within 180 days after the claim arises. The claim shall include the following: 1. The name, address, and telephone number of the claimant; 2. The signature of the claimant or claimant's representative; 3. Identification of the purchasing agency and the solicitation or contract number; 4. A detailed statement of the legal and factual grounds of the claim including copies of the relevant documents; and 5. The form and dollar amount of the relief requested. B. The agency chief procurement officer shall have the authority to settle and resolve contract claims, except that the agency chief procurement officer shall receive prior written approval of the state procurement administrator for the settlement or resolution of a claim in excess of the amount prescribed in A.R.S. § 41-2535.
Statutory, regulatory, and procedural guidance for contract claim appeals before a specialized body
Administrative Contract Claims Appeals:
Administrative Contract Claims Appeals
Status:
Statutory Guidance
Citation:
AZ ADC R2-7-B904
Citation Language:
A. The claimant may appeal the final decision of the agency chief procurement officer to the director within 30 days from the date the decision is received. The claimant shall file a copy of the appeal with the director, the agency chief procurement officer, and the state procurement administrator. B. The claimant shall file the appeal in writing and shall include the following: 1. A copy of the decision of the agency chief procurement officer; 2. A statement of the factual areas of agreement or disagreement; and 3. The precise factual or legal error in the decision of the agency chief procurement officer from which an appeal is taken. C. The agency chief procurement officer shall file a complete report on the appeal with the director and the state procurement administrator within 14 days from the date the appeal is filed, providing a copy to the claimant at that time by certified mail, return receipt requested, or by any other method that provides evidence of receipt. The report shall include a copy of the claim, a copy of the agency chief procurement officer's decision, if applicable, and any other documents that are relevant to the claim. D. The director shall resolve appeals on claim decisions as contested cases under A.R.S. § 41-1092.07.
eProcurement:
eProcurement
Platform:
APP by Ivalua
System Type:
eProcurement
Public Link:
The rules concerning the size and composition of evaluation committees for formal solicitations
Eval Committees:
Evaluation Committees
Comments:
Chapter 6.6 of AZ Procurement Manual describes recommendations for evaluation teams
Evaluation Team Requirements:
Evaluation teams may be one or more persons. It is recommended there be separate sub-teams to perform technical and cost evaluations for proposals.
Citation:
§ 41-2516. Procurement advisory groups or evaluation committees § 41-2616. Violation; classification; liability; civil penalty; enforcement authority Arizona Procurement Code
Public Link 1:
https://spo.az.gov/sites/default/files/2025-05/Arizona%20Procurement%20Code_04-25.pdf
Citation Language:
Technical Proposal Review Team – This team is typically comprised of program and technical experts, and may conduct its evaluation under the direction of a team leader (most commonly the procurement officer). The team is responsible for all aspects of the evaluation of the technical proposal. This may include review of vendor qualifications, such as the number of past projects performed of a similar size and scope, and proposed personnel resources, such as staff capacity. Depending on the nature of the RFP, the team may also be responsible to perform such activities as benchmark tests, site visits, and reference checks. Cost Proposal Review Team – The cost proposal review team is typically comprised of one individual (usually the procurement officer), but may be a team of people, responsible for evaluating and scoring the cost proposals submitted in response to the RFP. The cost team works under the direction of the procurement officer. NOTE: While it may be necessary for the cost team to obtain technical information to clarify the association between costs and technical components, the technical evaluators must not be provided with the proposed costs until after their evaluation is complete. 6.6.2 Single Team/Evaluator Approach - Under this model, one team or one individual evaluator conducts all evaluations. When a single team/evaluator is used, the cost proposals must remain sealed until completion of the technical evaluation.
State entity with the statutory authority and oversight for the purchasing of goods and services
Goods and Services Procurement Entity:
Goods and Services Procurement
Entity:
Central Procurement Office
Citation:
41-2511
Public Link:
Citation Language:
A. Except as otherwise provided in this chapter, the director may adopt rules, consistent with this chapter, governing the procurement and management of all materials, services and construction to be procured by this state and the disposal of materials. B. The director shall serve as the central procurement officer of this state. C. Except as otherwise provided in this chapter, the director shall, in accordance with rules adopted under this chapter: 1. Procure or supervise the procurement of all materials, services and construction needed by this state. 2. Establish guidelines for the management of all inventories of materials belonging to this state. 3. Sell, trade or otherwise dispose of surplus materials belonging to this state. 4. Establish and maintain programs for the inspection, testing and acceptance of materials, services and construction. 5. Establish and maintain programs to ensure procurement compliance with this chapter and applicable rules. 6. Establish and maintain a mandatory procurement training and certification program to ensure consistency in procurement practices for those authorized to perform procurement functions under this chapter. 7. Employ staff as necessary to perform the duties prescribed in this chapter. 8. Establish procurement offices as the director determines necessary to maintain an effective and efficient program of procurement administration. 9. Provide consultation to state agency management in all aspects of procurement to increase efficiency and economy in state agencies by improving the methods of procurement with full recognition of the requirements and needs of management. 10. Enter into agreements with any state government unit or political subdivision of this state or agency of a political subdivision of this state to furnish procurement administration services and facilities of the department. Unless monies have been appropriated by the legislature for this purpose, any agreement shall provide for reimbursement to this state of the actual cost of the services and facilities furnished, as determined by the director. 11. Enter into agreements with the attorney general for dedicated legal resources to support any state governmental unit in procurement legal matters, including negotiations, protests and appeals.
State authority to conduct multistep competitive sealed bidding
Authorization for Multi-Step Competitive Sealed Bidding:
Authorization for Multi-Step Competitive Sealed Bidding
Status:
Full Authorization
Citation:
AZ ST § 41-2533
Citation Language:
H. The multistep sealed bidding method may be used if it is not practicable to initially prepare a definitive purchase description that is suitable to permit an award based on competitive sealed bidding. An invitation for bids may be issued requesting the submission of technical offers to be followed by an invitation for bids limited to those bidders whose offers are determined to be technically acceptable under the criteria set forth in the first solicitation, except that the multistep sealed bidding method may not be used for construction contracts.
Public Link:
Name:
Nonprofit Usage of Statewide Contracts
Citation:
Arizona Procurement Code
Citation Language:
A nonprofit corporation may enter into an agreement pursuant to this section if one or more of the parties involved is a public procurement unit. An agreement entered into as provided in this article is exempt from section 11-952, subsection D. Parties under a cooperative purchasing agreement may: 1. Sponsor, conduct or administer a cooperative agreement for the procurement or disposal of any materials, services or construction. 2. Cooperatively use materials or services. 3. Commonly use or share warehousing facilities, capital equipment and other facilities. 4. Provide personnel, except that the requesting public procurement unit shall pay the public procurement unit providing the personnel the direct and indirect cost of providing the personnel, in accordance with the agreement. 5. On request, make available to other public procurement units informational, technical or other services or software that may assist in improving the efficiency or economy of procurement. The public procurement unit furnishing the informational, technical or other services or software has the right to request reimbursement for the reasonable and necessary costs of providing these services or software. 6. Pursuant to the rules for cooperative purchasing adopted by the director, purchase materials, services, professional services, construction or construction services under the terms of a contract between a vendor and a public procurement unit or an external procurement activity without complying with the requirements of sections 41-2533, 41-2534 and 41-2535. B. The school facilities board or school districts, or both, may enter into an agreement with a public procurement unit pursuant to this section for the purpose of procuring materials and services needed to correct deficiencies in school facilities. C. The activities described in this section do not limit what parties may do under a cooperative purchasing agreement. D. A nonprofit corporation operating as a public procurement unit under this section, on request of the auditor general, shall provide to the auditor general all documentation concerning any cooperative purchasing transaction the public procurement unit administers under this section. E. A nonprofit corporation operating as a public procurement unit under this section shall comply with all procurement laws applicable to the public procurement unit participating in a cooperative purchasing transaction that the nonprofit corporation administers. F. This section does not abrogate the responsibility of each public procurement unit to ensure compliance with procurement laws that apply to the particular public procurement, notwithstanding the fact that the cooperative purchase is administered by a nonprofit corporation operating under this section. G. Any public procurement unit conducting or administering a cooperative purchasing agreement for the procurement of construction services or professional services shall comply with the requirements of section 34-603 or 41-2578.
Authorization:
Yes
Organizational location for the dedicated procurement attorney assigned to assist with and review purchasing and contracts.
Procurement Counsel Location:
Attorney General's Office
Reports To:
Attorney General
Official state procurement website for public
Public Link to Official State Procurement Website:
State Procurement Website
Public Link:
Statutory, regulatory, or procedural guidance for protest appeals before a specialized body
Administrative Protest Appeals:
Administrative Protest Appeals
Status:
Statutory Guidance
Citation:
AZ ADC R2-7-A905
Citation Language:
A. An interested party may appeal the decision entered or deemed to be entered by the agency chief procurement officer to the director within 30 days after the date the decision is received or deemed received under R2-7-A903. The interested party shall file a copy of the appeal with the director, the agency chief procurement officer, and the state procurement administrator. B. The interested party shall file the appeal in writing and shall include the following information: 1. The information prescribed in R2-7-A901(B) including the identification of confidential information under R2-7-103; 2. A copy of the decision of the agency chief procurement officer; and 3. The precise factual or legal error in the decision of the agency chief procurement officer from which an appeal is taken. C. The director may consider any appeal that is not filed timely if: 1. The interested party shows good cause; or 2. The director finds there is good cause.
Westlaw Flags:
No Flag
The required time between the issuance of a formal solicitation and the scheduled opening of bids or proposals
Public Notice:
Public Notice
Comments:
Procurement Operating Manual 2020: "(a) for the first time only, in at least one newspaper circulating widely in Samoa to reach sufficient bidders to ensure effective competition, and every other notice/publication shall be via the website; (b) if applicable, internationally, in at least two English language newspapers or other printed media or on widely read internet websites with adequate circulation to attract international suppliers. It may be appropriate to advertise in a relevant trade publication or technical or professional journal; (c) on the procuring entity’s website, if any; and (d) on the Ministry of Finance website."
Formal Solicitation - Minimum Window for Proposals/Bids:
14 Days
Citation:
AZ Rev. Statutes 41-2533 C
Citation Language:
The publication shall be not less than two weeks before bid opening and shall be circulated within the affected governmental jurisdiction.
State authority to conduct reverse auctions
Authorization for Reverse Auction:
Authorization for Reverse Auctions
Status:
Partial Authorization
Citation:
Public School District (AZ ADC R7-2-1018)
Citation Language:
A. Using reverse auctions 1. If a governing board determines in writing that use of reverse auctions is more advantageous to the school district than other procurement methods prescribed by Articles 10 and 11, the school district may use reverse auctions for the purchase of materials. 2. The written determination shall include, but is not limited to the following information: a. An estimate of the number of prospective bidders; b. An explanation of how reverse auctions will foster competition; c. An explanation of why reverse auctions is more advantageous to the school district than other prescribed procurement methods; and d. The scope and estimated total dollar value of the proposed procurement. B. Reverse auction procedures 1. The school district shall develop and implement procedures prior to conducting procurement via reverse auctions. The procedures shall include: a. The method or methods to ensure the integrity and security of the reverse auctions; b. The method or methods for registering bidders for reverse auctions; c. The method or methods for notifying vendors of reverse auction opportunities; d. The method or methods for receiving reverse auction bids; and e. The school district official or officials authorized to conduct reverse auctions. 2. School districts may require bidders to register before the date and time for opening the reverse auction for submission of bids and, as part of that registration, require bidders to agree to any terms, conditions or other requirements of the invitation for bids. 3. Notice of a reverse auction shall be issued at least 14 days before the date and time for opening the reverse auction for submission of bids, unless a shorter time is determined necessary by the school district. If a shorter time is necessary, the school district shall document the specific reasons in the procurement file. The reverse auction notice shall include: a. The school district's requirements for registering prior to the opening date and time, if any; b. The designated site on the Internet for bidder registration and bid submission; c. A link to the designated site on the Internet; d. The scheduled date and time for opening the reverse auction for bid submission; and e. The scheduled date and time for closing the reverse auction for bid submission. 4. The school district shall issue the notice of reverse auction as follows: a. Mail or otherwise furnish the notice of reverse auctions to all prospective bidders registered with the school district for the specific material being solicited. b. Notice of reverse auction shall be given by the school district pursuant to R7-2-1022. c. In addition to the notice provided in subsections (a) and (b), the school district may give such additional notice as the school district deems appropriate, including posting on a designated site on the Internet. 5. The school district shall prepare an invitation for bids that includes: a. Notice that all information submitted by bidders will be made available for public inspection following the award of the contract, except for bid prices which will be made available to other bidders and the public when submitted by the bidder; b. Information for submitting bids, including: i. The date and time for opening the reverse auction for bid submission; ii. The date and time for closing the reverse auction for bid submission; iii. The provisions for extending the period for bid submission, if any; iv. Instructions for submitting bids and other required information, including the designated site on the Internet for submitting bids; v. Notice that bids shall be accepted electronically at the time and in the manner designated in the invitation for bids; vi. Notice that bidders' prices shall be disclosed electronically to other bidders and the public on a real time basis; vii. Notice that bidders may submit multiple prices and may reduce their bid prices until the reverse auction bidding is closed; viii. Notice that the lowest price offered shall become the official bid price; ix. Notice that the bidder is required to certify that submission of the bid did not involve collusion or other anticompetitive practices; x. Notice that the bidder is required to declare whether the bidder has been debarred, suspended, or otherwise lawfully prohibited from participating in any public procurement activity, including, but not limited to, being disapproved as a subcontractor of any public procurement unit or other governmental body;
Public Link:
https://regulations.justia.com/states/arizona/title-7/chapter-2/article-10/part-iii/r7-2-1018/
Comments:
Reverse auction defined in procurement code but only public school districts have laid out a procedure for reverse auctions.
Official state procurement manual available to public
Public Link to State Procurement Manuals:
State Procurement Manual
Awarded contracts as provided by each state
Link to State-Wide Contracts:
State-wide contracts
State-Wide Contracts Link:
Notes:
Look for the contracts marked with the check mark for "state-wide"
Information for suppliers as provided by each state
Link to Supplier Registration:
Supplier Registration
Supplier Registration Link:
https://app.az.gov/page.aspx/en/usr/login?ReturnUrl=%2fpage.aspx%2fen%2fbuy%2fhome
State entity with the statutory authority and oversight for the purchasing of technology
Technology Procurement Entity:
Technology Procurement Entity
Entity:
State Central Procurement Office
Citation:
AZ ST § 41-2513
Public Link:
Citation Language:
A. For the purpose of procuring the services of clergy, certified public accountants, legal counsel pursuant to § 41-192, subsection D, physicians or dentists as defined by the laws of this state, any state governmental unit may act as a purchasing agency and contract on its own behalf for such services, subject to this chapter and rules adopted by the director. B. In accordance with § 41-192, subsection D and notwithstanding any contrary statute, no contract for the services of legal counsel may be awarded without the approval of the attorney general. C. The auditor general shall approve state agency contracting for financial and compliance auditing services except if specific statutory authority is otherwise provided. The auditor general shall ensure that such contract audits are conducted in accordance with generally accepted governmental auditing standards. An audit shall not be accepted until it has been approved by the auditor general. D. The department may approve all information technology purchases exceeding twenty-five thousand dollars for a budget unit as defined in § 18-101. Purchases shall not be artificially divided to avoid review. E. Payment for any services, including those services described in subsections A, B and C of this section, procured under this chapter shall not be made unless pursuant to a fully approved written contract.
Comments:
Excluding Statutory Exempt Agencies, Boards and Commissions, the SPO releases Delegation of Authority to Agencies, Boards and Commissions