Policies and Procedures Manual

40 - Purchasing

Policy Number:40.05
Name:Policy - Tendering (Competitive Bidding Process)
Origin: Director, Supply Management Services
Approved:December 5, 2003
Approval Process:Vice-President (Administration)
Revision Date(s):January 10, 2008; July 19, 2010

1.0 PURPOSE

It is the policy of the University to acquire needed goods and services in such a manner as to obtain maximum value for each dollar disbursed, subject to the terms and conditions set forth by the University, its donors, grantors, and government agencies. The University is committed to a fair and open competitive tendering policy for all interested, qualified suppliers. This objective will be achieved by the use of informal and formal tender documentation obtained and executed by Supply Management Services, who is authorized to enter into contracts, agreements and purchase orders that bind the University to the terms thereof, for goods and services, and to conduct this process in a publicly accountable and transparent manner. The policy also provides staff and faculty with guidelines to receive competitive pricing and best overall value in a manner that meets current legislation, and is in accordance with the resolutions of the University and its Board of Governors.

2.0 POLICY STATEMENT

2.1 The University of Regina's Tendering Policy is based on the following fundamental principles:

Responsibility for ensuring operational adherence to the Policy and their associated strategies is vested in Supply Management Services.

Except as otherwise specifically determined by the Board of Governors, the tendering/quotations of goods and services from all sources of University revenue including, but not limited to, general operating funds, research funds, capital funds and other monies held in trust for special purposes, shall be the responsibility of Supply Management Services.

2.2 Exclusions to 2.1 are:

3.0 PROCEDURES

3.1 Tendering thresholds with respect to the competitive bidding process.

3.1.1 The University's policy on the competitive bidding process is based on the following thresholds:

3.1.1.1 $0 but less than $3,500

The use of the Purchasing Card is recommended as the method of purchase and payment. Supply Management Services encourages, whenever it is advantageous and cost effective to do so, requesting department to explore more than one pricing option or supplier.

All University wide contracts established by Supply Management Services, and made known to the University community, must be utilized by staff and faculty regardless that they may fall under the $3,500 threshold of the Purchasing Card (ie: Stationary and Computer Consumable Contract).

3.1.1.2 $3,500 but less than $10,000

3.1.1.3 $10,000 but less than $50,000

3.1.1.4 $50,000 and above

3.2 Sole Resource Process

A sole source is a situation where the specifications of an item(s) limits its purchase to only one known source of supply. A brief statement on a sole source situation, stating the reason(s) for the specifications and why alternatives are not acceptable, is required from the budget holder, and must be defensible. The sole source statement must be signed by the budget holder requesting the goods and/or services before being forwarded to Supply Management Services.

End users should be aware that although the item may not be tendered to a number of suppliers, Supply Management Services may still issue a tender document to the supplier to establish specific contractual requirements that would benefit both the end user and the University.

3.3 Tender Documentation

3.3.1 General

In general all tender documents shall:

3.3.2 Period Term for Tender Document

Where period terms for tender documents are to be established they should not, as a general rule, run to periods in excess of three years unless there is sound value for doing so. The period may be up to 3 years or offered in one or two year segments, with options to extend to a maximum of three years.

3.4 Changes to Tender Documentation

Interpretations shall be made in reply to queries from suppliers only in the form of written addendum. When it becomes necessary to revise, delete, substitute or add to a tender document under call, Supply Management Services shall execute the issuance of an addendum.

Addenda shall be forwarded to each participating supplier who obtained tender documentation. In certain cases where the addendum requires additional time commitment from the suppliers, the tender closing date may require extension to meet the requirement and will be provided on the addendum.

3.5 Technical Specifications

In general, specifications should be appropriate for the purpose and capable of being readily understood by all prospective suppliers. Care should be taken to avoid unnecessarily restrictive specifications, or specifications which may favour a supplier, particularly when standard products from other suppliers could satisfy the needs.

3.6 Conditions for Tendering Document Closing

All tender documents are to clearly identify the place, date, time and contact for tender document closing. Tender submissions will be accepted in person and via courier. Electronic format, such as facsimile and email, may be accepted, if stated as acceptable on the tender documentation.

Tenders conveyed orally will not be considered.

Tender submissions received after the specified closing time and date will not be considered unless the supplier provides explicit and conclusive evidence that the tender submission was delivered to the issuing office in time and that under normal circumstances, the tender submission would not have been received late.

Any tender submission that is not accompanied by the requirements stated within the tender documentation may be rejected. Any tender submissions in which information is not legible are liable for rejection.

3.7 Conditions for Tender Submissions

Submission of a tender shall be taken to mean that the supplier has obtained all information necessary for its accurate preparation.

The University reserves the right to accept a tender submission for all of the items or for each or any item.

Unless otherwise specified by the supplier, tender submissions shall remain valid for a period of ninety (90) days from closing date of the tender document.

The supplier may be called upon to supply information additional to that shown in the tender submission. The supplier shall, within the time specified, comply with any such requests.

In addition, the University reserves the right to interview or inspect the premises of any supplier prior to contract or order allocation.

All tender submission information and responses to inquiries must be submitted in writing and are to follow the request format as outlined in the tender document. Content of the submission may be incorporated into and be made part of any contract or order between the University and the supplier.

A supplier may submit alternatives if allowed within the tender document. Where an alternative is offered, the supplier shall include a fully detailed description, which allows its technical acceptability, methodology, time and price to be fully assessed, and to state clearly the manner in which it differs from that specified. Separate prices are required for any alternative offers.

The tender submission shall include net pricing (less all discounts), including all direct and indirect costs, ensuring the standard of service called for is maintained consistently throughout the contract or order.

Taxes shall not be applied to the unit pricing of goods or services in the tender submission.

3.8 Tender Submission Selection Criteria

The following criteria will be taken into account in determining the successful supplier:

Suppliers shall provide sufficient information on the above criteria together with any other information that is available to allow an accurate assessment of their tender submissions.

3.9 Tender Submission Acceptance

The University shall not be bound to accept the lowest or any tender, and no tender shall be deemed to have been accepted unless and until notice in writing is provided by the University to the successful supplier in the form of a contract or order.

The tender document, any subsequent written amendment, the offer and the notice in writing of acceptance of the offer shall constitute the agreement between the University and the successful supplier.

Tender submission evaluation shall be undertaken by Supply Management Services and the user department who have the relevant skills and knowledge appropriate to the value and importance of the requirement, and who are free of any conflict of interest which might undermine the objectivity of the assessment.

3.10 Confidentiality of Tenders

Details of tender submissions received are considered confidential. Copies may be provided for internal use by the University only.

3.11 Notification of Unsuccessful Suppliers

Where written tender submissions have been provided, the unsuccessful suppliers shall be advised by letter as soon as practicable after the contract or order has been awarded.

Unsuccessful suppliers may ask the University to specify the reasons why their tender submissions were unsuccessful, to enable the suppliers to improve competitiveness in future tendering. Information should not however be divulged about the pricing details of the successful suppliers' submission.

3.12 Pre-Qualification of Suppliers

All suppliers participating in the tendering process with the University must qualify prior to receiving the tender documents. Once a supplier has qualified, that supplier will be added to the vendor list for that commodity for future tender document submissions. Pre-qualification information can be found on Supply Management Services website at http://www.uregina.ca/sms/tendinfo.shtml.

Vice-President (Administration)
Vice-President (Administration)