R19-3-550. Determination of Fair and Reasonable Price

A. For contracts or contract modifications that exceed $100,000, the procurement officer shall determine in writing that the price is fair and reasonable only when one of the following requirements is met: 1. The contract or modification is based on adequate price competition; 2. Price is supported by an established catalog or market prices; 3. Price is set by law or rule; or 4. Price is supported by relevant, historical price data. B. The procurement officer shall request the submission of cost or pricing data from the offeror or contractor when: 1. The procurement officer cannot determine the price is fair and reasonable based on the criteria in subsection (A), or 2. The procurement officer determines in writing that it is in the best interest of the Lottery regardless of the amount of the contract or contract modification.