Published: 2007-10-26

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(1) The department is responsible for all procurements of all state supplies and services. All activities, including procedures, manuals, and forms, which govern such procurements will be prepared by or under the supervision of the department.

(2) The division will establish a vendors list, determine eligibility for residence preference of vendors for purchases made under Title 18, chapter 4, MCA, investigate complaints against vendors, and remove vendors from the state list as described in ARM 2.5.401, 2.5.402, and 2.5.407.

(3) The division shall process requisitions for agencies for items not delegated in accordance with ARM 2.5.302.

(4) Except as indicated in ARM 2.5.301, the division will identify and purchase all controlled items.

(5) The department is responsible for the review and approval of the following equipment or service procurements regardless of delegated authority:

(a) all printing-related equipment involving duplicating, printing, bindery, and graphic arts for state agencies within a ten-mile radius of the capitol area–approval by Print and Mail Services is required;

(b) information technology resources, including hardware, software, and associated services and infrastructure used to store or transmit information in any form, including voice, video, and electronic data–approval by the Information Technology Services Division is required, except as provided in 2-17-516, MCA;

(c) communications equipment and systems–approval by Information Technology Services Division is required; and

(d) mail equipment to be used within a ten-mile radius of the capitol area–approval by Print and Mail Services is required.

(6) The division delegates its procurement authority as follows:

(a) except for controlled items, or as specified in (5), authority is delegated to all agencies for the procurement of supplies and services of $5,000 or less;

(b) authority to purchase supplies and services when the total contract value is expected to be greater than $5,000 may be granted or revoked after consideration of the following factors:

(i) the expertise of the potential delegate in terms of procurement knowledge and any specialized knowledge pertinent to the authority to be delegated;

(ii) the past experience of the potential delegate in exercising similar authority;

(iii) the degree of economy and efficiency to be achieved in meeting the state's requirements if authority is delegated; and

(iv) the consistency of delegation under similar circumstances.

(c) delegation greater than $5,000 will be given through a written delegation agreement with the State Procurement Bureau. The written delegation shall specify:

(i) the activity or function authorized;

(ii) any limits or restrictions on the exercise of the delegated authority;

(iii) whether the authority may be further delegated; and

(iv) the duration of the delegation.

(7) The division will provide training to agencies on purchasing in accordance with delegated responsibilities.

(8) The division may perform reviews of agency purchasing procedures to ensure compliance with the delegation agreement, these rules, and Title 18, chapter 4, MCA.

(9) The department's Property and Supply Bureau will dispose of, or supervise the disposal of, all surplus supplies belonging to the state as provided in ARM 2.5.701 and 2.5.702.

History: 18-4-221, MCA; IMP, 2-17-301, 2-17-512, 18-4-221, 18-4-222, MCA; NEW, 1983 MAR p. 1918, Eff. 12/30/83; AMD, 1985 MAR p. 244, Eff. 3/15/85; AMD, 1987 MAR p. 2144, Eff. 11/28/87; AMD, 1990 MAR p. 1770, Eff. 9/14/90; AMD, 1994 MAR p. 383, Eff. 2/25/94; AMD, 1995 MAR p. 1788, Eff. 9/15/95; AMD, 1995 MAR p. 2241, Eff. 11/1/95; AMD, 1997 MAR p. 1816, Eff. 10/7/97; AMD, 2000 MAR p. 65, Eff. 2/1/00; AMD, 2001 MAR p. 2009, Eff. 10/12/01; AMD, 2007 MAR p. 1657, Eff. 10/26/07.