Texas
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:
Statewide/Enterprise, National Cooperative
Amount and Frequency of Fees Collected:
Contracts where purchase orders are issued through Texas SmartBuy are subject to 1.5% admin fee charged through vendors to state agencies. TXMAS (Cooperative) contracts are also subject to a 073875% vendor rebate.
State authority to conduct best value procurement (BVP)
Best Value Procurement Definition:
Best Value Procurement Definition
Definition of Best Value Procurement:
Yes
Citation:
TEX. GOV’T CODE § 2155.0755
Citation Language:
(a) The contract manager or procurement director of each state agency shall: (1) approve each state agency contract for which the agency is required to purchase goods or services using the best value standard; (2) ensure that, for each contract, the agency documents the best value standard used for the contract; and (3) acknowledge in writing that the agency complied with the agency's and comptroller's contract management guide in the purchase. (b) For each purchase of goods or services for which a state agency is required to use the best value standard, the comptroller shall ensure that the agency includes in the vendor performance tracking system established under Section 2262.055 information on whether the vendor satisfied that standard.
Westlaw Flags:
No Flag
Statutory, regulatory, and procedural guidance for bid protests
Protest Procedure:
Protest Procedure
Status:
Statutory Guidance
Citation:
TEX. GOV’T CODE § 2155.076
Citation Language:
(a) To be considered by the comptroller, a protest must be: (1) in writing and contain: (A) the specific rule, statute or regulation the protesting vendor alleges the solicitation, contract award or tentative award violated; (B) a specific description of each action by the division that the protesting vendor alleges is a violation of the statutory or regulatory provision the protesting vendor identified in subparagraph (A) of this paragraph; (C) a precise statement of the relevant facts including: (i) sufficient documentation to establish that the protest has been timely filed; (ii) a description of the adverse impact to the comptroller and the state; and (iii) a description of the resulting adverse impact to the protesting vendor: (D) a statement of the argument and authorities that the protesting vendor offers in support of the protest; (E) an explanation of the subsequent action the vendor is requesting; and (F) a statement confirming that copies of the protest have been mailed or delivered to the using agency: (2) signed by an authorized representative and the signature notarized; (3) filed in the time period specified in this section; and (4) mailed or delivered to: (A) the comptroller; and (B) the using agency. (b) To be considered timely, the protest must be filed: (1) by the end of the posted solicitation period, if the protest concerns the solicitation documents or actions associated with the publication of solicitation documents; (2) by the day of the award of a contract resulting from the solicitation, if the protest concerns the evaluation or method of evaluation for a solicitation; (3) no later than 10 days after the notice of award, if the protest concerns the award; or (4) no later than 10 days after a vendor grade of C or lower is posted in the system, if the protest involves a grade assigned to a contractor in the vendor performance tracking system.
Statutory, regulatory, and procedural guidance for bid responsiveness
Bid Responsiveness:
Bid Responsiveness Definition
Citation:
Texas Procurement and Contract Management Guide - Version 2.1. p.74
Citation Language:
“Responsive” Response . A response is “responsive” if it conforms in all material respects to the solicitation requirements (e.g., timely submitted, signed response, completed forms) The Contract Developer will make the initial determination as to whether a response is responsive to the solicitation. The initial determination of responsiveness is subject to change during the course of the evaluation process
Definition:
Yes
Statutory, regulatory, and procedural guidance for bidder responsibility
Responsible Bidder Definition:
Responsible Bidder Definition
Definition:
No
Name:
Commodity Code
Commodity Code:
NIGP
Name:
Competitive Thresholds
Formal/Competitive Sealed Bidding:
$25,000
Citation:
Texas Procurement and Contract Management Guide Version 3.0 pg.33
Citation Language:
value not to exceed fifty thousand dollars ($50,000.00) or such amount approved by the
Small Purchases/Informal Purchasing:
$10,000; $25,000
Citation 2:
34 TAC § 20.82.
Public Link 2:
Citation Language 2:
(a) General delegation. The purchase of the following goods and services is delegated to state agencies: (1) one-time purchases of goods, including goods for resale, the estimated cost of which does not exceed $50,000; (2) emergency purchases; (3) purchases of perishable goods; (4) purchases of services, including services for resale, the estimated cost of which does not exceed $100,000; (5) purchases of publications directly from the publisher; (6) fuel, oil, and grease purchases; (7) distributor purchases; and (8) professional memberships. (b) Provisions generally applicable to delegated purchases. (1) Competitive bidding is not required for purchases of $10,000 or less. (2) All required solicitations of informal bids must be directed to vendors which normally offer for sale the goods and services being purchased. (3) Items purchased under delegated authority may not include items available under a term or cooperative contract (unless purchased in quantities less than minimum ordering quantities of the contract) or any item required by law to be purchased from a particular source. (4) The state agency must solicit formal bids from all eligible vendors on the centralized master bidders list (CMBL) when making purchases in excess of $25,000. (5) The state agency must maintain documentation justifying a proprietary purchase in excess of $10,000. A solicitation for a proprietary purchase must indicate that it is proprietary and products or services other than those specified will not be considered. (6) An agency's cost estimate must be developed in good faith using a method that is reasonable 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:
34 TAC § 1.365
Citation Language:
(a) The chief administrative officer or, if designated in the contract, another officer of the unit of state government shall examine the claim and any counterclaim and negotiate with the contractor in an effort to resolve them. The negotiation must begin not later than the 120th day after the date the claim is received. (b) Repealed by Acts 2005, 79th Leg., ch. 988, § 8. (a) A contractor who asserts a claim of breach of contract under Government Code, Chapter 2260, must file a notice of the claim as provided under this section. (b) The notice of claim shall: (1) be written and signed by the contractor or the contractor's authorized representative; (2) be delivered by hand, certified mail return receipt requested, or other verifiable delivery service, to the agency officer who is designated in the contract to receive a notice of claim of breach of contract under Government Code, Chapter 2260; if no person is designated in the contract, then the notice shall be delivered to the comptroller; and (3) state in detail: (A) the nature of the alleged breach of contract, including the date of the event that the contractor cites as the basis of the claim and each contractual provision that the contractor alleges has been breached; (B) a description of damages that resulted from the alleged breach, including the amount and method that the contractor has used to calculate those damages; and (C) the legal theory for recovery, including the causal relationship between the alleged breach and the damages that the contractor claims. (c) In addition to the mandatory contents of the notice of claim that are required under subsection (b) of this section, the contractor may submit supporting documentation or other tangible evidence to facilitate the agency's evaluation of the contractor's claim. (d) The notice of claim shall be delivered not later than 180 days after the date of the event that the contractor cites as the basis of the claim.
Statutory, regulatory, and procedural guidance for contract claim appeals before a specialized body
Administrative Contract Claims Appeals:
Administrative Contract Claims Appeals
Status:
No Official Guidance
Comments:
Decision must be challenged in court.
eProcurement:
eProcurement
Platform:
Peoplesoft by Oracle
System Type:
ERP
Public Link:
System Name:
TXSmartBuy
The rules concerning the size and composition of evaluation committees for formal solicitations
Eval Committees:
Evaluation Committees
Evaluation Team Requirements:
The recommended size of an evaluation committee is three to five scoring members.
Citation:
Texas Procurement and Contract Management Guide - Version 3.0 | 75-76
Citation Language:
The evaluation committee is composed of subject matter experts and stakeholders. The committee should have a diverse relevant disciplinary expertise and knowledge of the product or service being procure Because service on an evaluation committee involves a significant time commitment, care should be taken to ensure that each member selected as a scoring member is able to attend the committee meetings, oral presentations, and site visits to respondent premises Evaluation committee selection should occur prior to receipt of the responses. It is common for the evaluation committee members to have been involved in the procurement planning activities. The Contract Developer is usually designated as the committee chair, serving as a non-scoring member of the evaluation committee. Depending on the procurement, the Contract Manager may participate as either a scoring or non-scoring member. The scoring and non-scoring members of the committee must be noted in the procurement file The recommended size of an evaluation committee is three to five scoring members. To avoid potential individual bias, the committee should not have fewer than three scoring members. Depending on the procurement, the agency may determine that a larger committee is necessary. There is no restriction as to how many individuals the agency may include on an evaluation committee; however, good judgment dictates that the number of individuals on the committee be limited to the minimum required to accomplish its purpose Each evaluation committee member will independently assess the content of each response using only the evaluation criteria and weights published in the solicitation and, if applicable, unpublished subcriteria (i.e., a smaller component of the published base criterion). Accordingly, the evaluation committee members must fully understand the solicitation, be able to critically read and evaluate the responses, and document their decisions in a clear and concise manner Each committee member will be expected to score each response on how it meets, exceeds or fails to meet the standards established in the solicitation. If the agency plans to use individuals during the evaluation process (e.g., evaluation committee members, technical advisors) who are not agency employees, it is recommended that agency legal counsel be consulted to ensure that appropriate procedures are implemented to protect the interests of the State For procurements exceeding $20 million, the Contract Developer must include the reasons an evaluation committee member was selected and their relevant qualifications, as determined by the agency, in the procurement file.
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:
TEX. GOV’T CODE § 2155.061
Citation Language:
(a) The comptroller shall acquire by purchase, lease, rental, or another manner all goods and services for a state agency, including a purchase that does not require a competitive bid or a spot purchase. (b) The comptroller shall operate an effective and economical system for purchasing goods and services.
State authority to conduct multistep competitive sealed bidding
Authorization for Multi-Step Competitive Sealed Bidding:
Authorization for Multi-Step Competitive Sealed Bidding
Status:
No Authorization
Name:
Nonprofit Usage of Statewide Contracts
Authorization:
No
Organizational location for the dedicated procurement attorney assigned to assist with and review purchasing and contracts.
Procurement Counsel Location:
Embedded in Procurement Office
Reports To:
Other
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:
34 TAC § 20.538
Citation Language:
(a) If a protest is based on a solicitation or contract award, the protesting party may appeal a determination of a protest by the director to the general counsel. An appeal of the director's determination must be in writing and received in the office of the general counsel not later than 10 days after the date the director sent written notice of the director's determination. The scope of the appeal shall be limited to review of the director's determination. The protesting party must mail or deliver to the using agency and all other interested parties a copy of the appeal, which must contain a certified statement that such copies have been provided. (b) The general counsel may refer the matter to the associate deputy comptroller or chief clerk for consideration or may issue a written decision that resolves the protest. (c) If the general counsel refers the protest to the associate deputy comptroller or chief clerk, the general counsel shall deliver the information the associate deputy comptroller or chief clerk determines necessary. (d) A protest or appeal that is not filed timely shall not be considered unless good cause for delay is shown or the chief clerk determines that an appeal raises issues that are significant to agency procurement practices or procedures in general. (e) A written decision issued by the chief clerk, associate deputy comptroller or the general counsel shall be the final administrative action of the comptroller.
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:
Also applies to RFPs
Formal Solicitation - Minimum Window for Proposals/Bids:
7 Days
Citation:
TEX. GOV’T CODE § Sec. 2155.083
Citation Language:
(a) A notice inviting bids shall be published at least once in at least one newspaper of general circulation in the state not later than the seventh day before the last day set for the receipt of bids.
State authority to conduct reverse auctions
Authorization for Reverse Auction:
Authorization for Reverse Auctions
Status:
Full Authorization
Citation:
TEX. GOV’T CODE § 2155.085
Citation Language:
(a) The comptroller shall: (1) purchase goods or services using the reverse auction procedure whenever: (A) the procedure provides the best value to the state; or (B) all purchasing methods provide equal value to the state; (2) offer historically underutilized businesses assistance and training relating to the reverse auction procedure; and (3) advise historically underutilized businesses on contracts available using the reverse auction procedure. (b) The comptroller shall set a goal of purchasing at least 20 percent of the dollar value of goods or services purchased by the comptroller using the reverse auction procedure.
Official state procurement manual available to public
Public Link to State Procurement Manuals:
State Procurement Manual
Notes:
Version 2.1
Awarded contracts as provided by each state
Link to State-Wide Contracts:
State-wide contracts
State-Wide Contracts Link:
Information for suppliers as provided by each state
Link to Supplier Registration:
Supplier Registration
Supplier Registration Link:
https://comptroller.texas.gov/purchasing/vendor/registration/
State entity with the statutory authority and oversight for the purchasing of technology
Technology Procurement Entity:
Technology Procurement Entity
Entity:
State Department of Information Resources
Citation:
TEX. GOV’T CODE § 2157.068
Citation Language:
(a) In this section, “commodity items” means commercial software, hardware, or technology services, other than telecommunications services, that are generally available to businesses or the public and for which the department determines that a reasonable demand exists in two or more state agencies. The term includes seat management, through which a state agency transfers its personal computer equipment and service responsibilities to a private vendor to manage the personal computing needs for each desktop in the state agency, including all necessary hardware, software, and support services. (b) The department shall negotiate with vendors to obtain the best value for the state in the purchase of commodity items. When negotiating with a vendor, the department shall use information related to the state's historical spending levels on particular commodity items to secure the best value for the state. The department may consider strategic sourcing and other methodologies to select the vendor offering the best value on commodity items. The terms and conditions of a license agreement between a vendor and the department under this section may not be less favorable to the state than the terms of similar license agreements between the vendor and retail distributors. The department shall, to the greatest extent practicable, negotiate a specific price for commonly purchased commodity items. If the department selects a vendor based on the vendor's offer of a percentage discount from the list price of commodity items, the department shall document in writing how that arrangement obtains the best value for the state. (c) In contracting for commodity items under this section, the department shall make good faith efforts to provide contracting opportunities for, and to increase contract awards to, historically underutilized businesses and persons with disabilities' products and services available under Chapter 122, Human Resources Code. (d) The department may charge a reasonable administrative fee to a state agency, political subdivision of this state, or governmental entity of another state that purchases commodity items through the department in an amount that is sufficient to recover costs associated with the administration of this section. Revenue derived from the collection of fees imposed under this subsection may be appropriated to the department for: (1) developing statewide information resources technology policies and planning under Chapters 2054 and 2059; and (2) providing shared information resources technology services under Chapter 2054. (e) The department shall compile and maintain a list of commodity items available for purchase through the department that have a lower price than the prices for commodity items otherwise available to state agencies under this chapter. The department shall make the list available on the world wide web or on a suitable successor to the world wide web if the technological developments involving the Internet make it advisable to do so. (e-1) A state agency contracting to purchase a commodity item shall use the list maintained as required by Subsection (e) as follows: (1) for a contract with a value of $50,000 or less, the agency may directly award the contract to a vendor included on the list without submission of a request for pricing to other vendors on the list; (2) for a contract with a value of more than $50,000 but not more than $1 million, the agency must submit a request for pricing to at least three vendors included on the list in the category to which the contract relates; and (3) for a contract with a value of more than $1 million but not more than $5 million, the agency must submit a request for pricing to at least six vendors included on the list in the category to which the contract relates or all vendors on the schedule if the category has fewer than six vendors.
