<<Prev Rule

Texas Administrative Code

Next Rule>>
TITLE 34PUBLIC FINANCE
PART 1COMPTROLLER OF PUBLIC ACCOUNTS
CHAPTER 20TEXAS PROCUREMENT AND SUPPORT SERVICES
SUBCHAPTER CPROCUREMENT
RULE §20.33Requisitions and Specifications; Proprietary Purchases; Lease Purchases

(a) Requisitions.

  (1) A purchase is initiated by an agency's submission of a requisition containing desired specifications and conditions of the purchase either electronically or on a form provided or approved by the commission. The requisition must also include the agency's certification that funds are available for the purchase.

  (2) Requisitions shall be submitted to the commission far enough in advance to allow sufficient time for preparing and advertising bid invitations, receiving and evaluating bids, awarding contracts, and permitting a normal delivery schedule.

  (3) The agency is responsible for determining its need for a purchase, and the commission will not question the agency's determination of need. However, the commission may require clarification of the specifications to foster open competition. If the agency's specifications unreasonably limit competition, the commission may require an additional written explanation.

(b) Specifications.

  (1) The commission develops standard specifications for a number of commodities purchased by the state and provides agencies with a list of the commodities covered by the standard specifications. If an agency submits a requisition with non-standard specifications when an applicable standard specification exists, it must include an explanation as to why the standard specification is not being used.

  (2) If an agency submits a requisition for the purchase of a product on the open market when an equivalent product is available for purchase under a term contract, it must include an acceptable explanation as to why the contract product is not satisfactory.

  (3) The commission will review the specifications and conditions of purchase submitted by an agency. The commission will not significantly change specifications or conditions of purchase without written approval from the agency, but it may correct typographical errors if doing so will not significantly change the specifications. Incorrect, inadequate, or incomplete requisitions may be returned to the agency, with a written explanation for the return and the requirements for acceptable re-submission.

  (4) The commission will normally specify delivery times that are standard in the industry. If an agency requires shorter than standard delivery times, it must state the requirement in its requisition. If the delivery requirement can only be met by one vendor, written justification will be required. If an agency does not require early delivery but wishes to take advantage of it if available, the commission will state in the bid invitation that the ability to make early delivery may be a factor in making the award. In such cases, when it is to the state's advantage, the commission may accept a bid other than the lowest after consulting with the agency. If the bid invitation contains no statement regarding early delivery, the commission may not consider early delivery in making an award.

(c) Proprietary purchases.

  (1) When the commission finds that an agency has submitted specifications or conditions of purchase which are proprietary to one vendor and do not permit an equivalent product to be supplied, it shall require written justification before processing the requisition. Within 10 days after the commission received the requisition, it will notify the agency of the need for a written justification. An agency may submit a written justification along with its requisition if it chooses to do so.

  (2) A written justification for the use of proprietary specifications or conditions must:

    (A) contain an explanation of the need for the specifications or conditions;

    (B) state the reasons why any competing or equivalent products identified by the commission are not satisfactory, addressing each such product individually;

    (C) contain any other information requested by the commission; and

    (D) be signed by the agency head, the chairman of its governing body, or a person to whom such signature authority has been properly delegated, or in the case of an institution of higher education, by a person properly designated as a purchasing officer for the institution.

  (3) When an agency submits a written justification meeting the above requirements, the commission shall make the requested purchase.

  (4) When the commission reviews specifications or conditions and finds that they limit competition but are not proprietary to one vendor, it shall not return the requisition to the agency for that reason alone. However, a commission purchaser shall discuss with the agency purchaser the limiting effect, and the possible economic effect, of the specification or condition.

(d) Lease-purchase contracts.

  (1) An agency may acquire capital equipment by lease-purchase if it is cost effective.

  (2) If a proposed lease purchase is for information technologies resources, as defined in the Texas Government Code, Title 10, Subchapter A, Chapter 2054, the requisition must include written evidence that the Department of Information Resources has approved the agency's biennial operating plan. For other items, the commission will determine the cost effectiveness of a lease purchase. To establish cost effectiveness, the requisitioning agency should submit the following information:

    (A) anticipated interest charges over the life of the contract;

    (B) anticipated cost savings which would result from outright purchase;

    (C) an affirmative statement that the agency reasonably expects to be able to make payments beyond the current biennium without requiring an increase in appropriations;

    (D) any information requested by the commission; and

    (E) any other information the agency considers relevant.


Source Note: The provisions of this §20.33 adopted to be effective April 20, 1993, 18 TexReg 2297; amended to be effective September 11, 2000, 25 TexReg 8848; transferred effective September 1, 2007, as published in the Texas Register July 6, 2007, 32 TexReg 4237

Next Page Previous Page



Home TxReg TAC OM NewTac Public Footer Bar