Sole Economically Feasible Source Procurement

Section 1120 Section 1120.2025  Sole Economically Feasible Source Procurement a)         Application The provisions of this Section apply to procurement from a sole economically feasible source (referred to as sole source) unless the estimated amount of the procurement is within the limit set in Section 1120.2020  or unless emergency conditions exist as defined in Section 1120.2030. b)         Conditions for Use of Sole Source Procurement Sole source procurement is permissible when a requirement is available from only a single supplier or when only one supplier is deemed economically feasible.  A requirement for a particular proprietary item does not justify a sole source procurement if there is more than one potential bidder or offeror authorized to provide that item.  The following are examples of circumstances that could necessitate sole source procurement: 1)         the compatibility of equipment, accessories, replacement parts, or service is a paramount consideration; 2)         a sole supplier's items are needed for trial use or testing; 3)         a sole supplier's item is to be procured for commercial resale; 4)         public utility regulated services are to be procured; 5)         the item is copyrighted or patented and the item or service is not available except from the holder of the copyright or patent; 6)         the procurement is of media and advertising; 7)         the procurement is of art or entertainment services; and 8)         existing contracts are being changed (see subsection (c)). c)         Changes 1)         Changes to an existing contract that are germane and reasonable in scope and cost in relation to the original contract or program, that are necessary or desirable to complete the contract or program,  and that can be best accomplished by the contract holder may be procured under this Section when the CPO determines that the cost of delay or disruption to the contract or program, and the cost of new solicitation, clearly indicate that the existing vendor is the sole economically feasible source. 2)         A change (whether in cost or rate) that does not exceed the applicable small purchase limit as defined in Section 1120.2020 or that is an emergency as defined in Section 1120.2030, may be made in accordance with procedures governing those Sections and need not comply with these sole source procedures.  A change in the length of the contract that does not exceed 30 days and other minor, immaterial changes to the scope or administrative provisions of a contract shall not be considered changes subject to these sole source procedures. d)         CPO to Determine 1)         The determination as to whether a procurement shall be made as a sole source shall be made by the CPO.  The determination and the basis for the determination shall be in writing.  The CPO may specify the application of the determination and the duration of its effectiveness. 2)         Any purchase request submitted to the CPO suggesting that a procurement be restricted to one potential vendor shall be accompanied by an explanation as to why no other vendor will be suitable or acceptable to meet the need. e)         Publication of Sole Source Notice The CPO shall publish in the Bulletin notice of intent to contract with that vendor at least 14 days prior to execution of the contract. 1)         If no challenge to this determination is made by a vendor within the 14 day period, the CPO may execute a contract with that vendor. 2)         If a challenge is received, the Procurement Officer shall consider the information and shall commence a competitive procurement if the CPO determines that more than one economically feasible source may be available and the sole source designation is, therefore, not appropriate, unless an emergency situation exists. 3)         Any person challenging a sole source determination may request a public hearing. f)         Negotiation in Sole Source Procurement The Procurement Officer shall conduct negotiations, as appropriate, to reach contract terms, including price, and shall maintain a record of each sole source procurement showing: 1)         the vendor's name; 2)         the amount and type of the contract; and 3)         a listing of the supplies, services or construction procured under each contract. g)         Prohibition Against Amending a Contract for Professional or Artistic Services The provisions of this Part shall not apply to an amendment to a contract for professional or artistic services if: 1)         there is an increase in the amount paid under the contract of more than 5% of the initial award; or 2)         the term of the contract would extend by a period not to exceed the time reasonably needed for a competitive procurement or 2 months, whichever is less.