1. Sole Source Procurements
What is considered a sole source procurement?
Sole source procurements are normally procurements of commodities or services that are available from one source. There are exceptions to the rule.

2. Exceptions to the rule Repairs involving hidden damages.
Products bought from manufacturer at a much reduced rate.
Restricted territory
Used equipment sold at auction
If you take a tractor in for repair that would cost under $5,000 and they tear it down and discover another problem that the cost to repair would be over $5,000
Sometimes products are available from distributors but you can get them directly from the manufacturer at a much lower price. This just needs to be researched and justified.
Sometimes the manufacturer restricts a dealer’s territory so that you can only purchase from the dealer in your region.

3. Sole Source Justification
1.Why is this service or commodity needed?
2. What method(s) were used to determine that a lack of responsible competition exists for this service or commodity?
3. How was it determined that this service, provider or commodity has exclusive processes or properties?
4. Can requirements be modified so that the services or commodity can be competitively bid? If not, why?
5. Are there patent, copyright or proprietary rights which make the required service or commodity unavailable from other sources?
6. What would the agency do if the service or commodity were no longer available?
7. Detail any program considerations, which make the use of a “Sole Source” critical to the successful completion of the task(s).
Why do you need it. How do you know there is only one place to get it. 3. Primarily for services How do you know they are only ones that can do it. Can you change something so that it can be bid. Is it proprietary. What would you do if it was no longer available. What makes this critical that you have it.

4. Sole source policy and check list may be found on our web-site at

5. Sole Source Procurements
Sole source policy and check list may be found on our web-site at

7. Sole Source Check List
(A) $5, to $25, sole source procurements ‐ Steps 1, 2 and 3
(B) $25, to $100, sole source procurements of commodities ‐ Steps 1, 2, 3, and 4
(C) $25, to $100, sole source procurements of services ‐ Steps 1, 2, 3, 4 and 5
(D) $100, or more existing IT (software)procurements (renewals) ‐ Steps 2 (coded EL instead of SS), 3, 4, 5, and 6
(E) $100, or more new IT (software)sole source procurements ‐ Steps 1, 2, 3, 4, 5, 6, and 7
(F) $100, or more IT sole source procurements for software specifically designed or majorly modified for an agency ‐ Steps 1, 2, 3, 4, 5, 6, 7 and 8
(G) $100, or more sole source procurements for Health Services, Human Services or Educational Services ‐ Steps 1, 2, 3, 4, 5, and 8
(H) $250, or more sole source procurements for commodities involving services (non IT) ‐ Steps 1, 2, 3, 4, 5, and 9
(I) $250, or more sole source procurements for commodities involving services (IT related that does not fall under F) ‐ Steps 1, 2, 3, 4, 5, 6, 7, and 9

8. Step 1: Develop a written justification per the sole source policy guidelines found at
Step 2: Create your purchase order or outline agreement, code it SS (exception: existing IT – see Section D ‐ coded EL instead of SS) and attach documentation to the purchase order or outline agreement
Step 3: Agency must release the purchase order or outline agreement in AASIS
Step 4: Attach a disclosure form to the Purchase Order or Outline Agreement
Step 5: Attach an illegal immigrant certification to the Purchase Order or Outline Agreement
Step 6: Add the technology access and state architecture clauses to your purchase order or outline agreement
Step 7: Attach an approval letter from DF&A Intergovernmental Services to your purchase order or outline agreement. All new purchases of Information Technology products or services with an anticipated cost of $100, or more require DF&A Intergovernmental Services approval.
Step 8: These procurements go to Legislative Council for review
Step 9: These procurements are reported to the Legislative Council.