2. County Procurement How to Do Business Legally as a Member of County Government

3. Lets Work Together

4. ProcureTo obtain: acquire Procurement is an essential government business function. Procurement (expenditures to the private sector for goods & services) makes up the 2 nd largest expenditure of taxpayers dollars.

5. Integrity Integrity is the most crucial component of the countys procurement process. Credibility. More public officials have been criticized for real or perceived conflicts of interest in spending of public funds than any other financial activity.

6. A unique relationship… The Purchasing Agent is a resource of Commissioners Court, which must ensure all county offices have the goods & services needed to serve the taxpayers at a fair cost. The Purchasing Agent is also responsible for ensuring that the county is doing business in a fair manner as detailed by State Statutes.

7. Local Government Code §262.011 (D) (d) The county purchasing agent shall purchase all supplies, materials, and equipment required or used, and contract for all repairs to property used, by the county or a subdivision, officer, or employee of the county, except purchases and contracts required by law to be made on competitive bid. A person other than the county purchasing agent may not make the purchase of the supplies, materials, or equipment or make the contract for repairs.

8. Local Government Code §262.011 (E) (e) The county purchasing agent shall supervise all purchases made on competitive bid and shall see that all purchased supplies, materials, and equipment are delivered to the proper county officer or department in accordance with the purchase contract.

9. Only 2 Entities Have Authority Commissioners court as a voting body approve all expenditures exceeding the statutory limit. The purchasing agent must approve all expenditures under the statutory limit.

10. The Procurement Process Planning & budgeting Specifications Source selection (purchasing) Contract Administration

11. Planning & Budgeting

12. Commissioners Court: By law, is the governing and administrative body in county government. Among the many duties of Commissioners Court is the power to determine the county budget and make appropriations of funds to meet the budget.

13. Have you ever felt like this?

14. County Auditors Office Why have a County Auditor? Main reason: To maintain the integrity of the financial administration of the County. Texas Local Govt. Code Chapter 112 Auditor has oversight of all financial books and records of all officers of the County and is charged with administering the budget.

15. County Auditors Duties: Forecast financial data for budgetary formulation purposes. Audits records and accounts of the various county departments. Administers the county budget as approved by Comm. Court. Prepares and administers accounting records for all county funds

16. Both the County Auditor and Commissioners Court are required by law, TLGC § 115.021,to approve or reject claims for disbursement of county funds. Simply put the financial integrity of county financial administration is entrusted to a dual control system of checks and balances. This systems works, not just because there is a County Auditor and not just because there is a Commissioners Court; it works because neither has creative or authoritative control over the other.

17. This process is accomplished through teamwork. Department needs Auditors interaction Purchasing price and procure Department receives Auditor Pays

18. How can we better serve you? Budget Planning Grant Administration Pay the Bills Strengthen Internal Controls Performance Measure Development Projection of Revenues Payroll Services Treasury Services

19. How you can help us Process requests in correct accounts Process paperwork in timely fashion Be familiar with grant requirements Plan budget accordingly Safeguard you assets Timely deposit and reporting If unsure about any of these please dont hesitate to ask

20. Whats Ahead? Web Site Development (FAQs, on-line training) Financial Application Development (FAMIS,ADPICS,FAACS,BPREP) Continued emphasis on Performance Measures County Grant Guidelines (handbook)

21. Specifications Theres gotta be an easier way to figure out what they want!

22. Specifications (contd.) The purpose of any specification is to provide purchasing personnel w/clear guides from which to purchase, and to provide vendors w/firm criteria of a minimum standard acceptable for goods or services.

23. Specifications (Contd.) Establish the minimum acceptability of the goods or services. Promotes competitive bidding. Contains provisions to test/inspect for acceptability. Provides for equitable award to lowest responsible bidder.

24. Specifications (Contd.) Final acceptance of specifications will rest with the purchasing department for compliance with legal purchasing requirements.

25. Source Selection (Bidding)

26. The Methods to the Madness Formal Bids Request for Proposals Request for Qualifications Request for Information Informal or Telephone Bids

27. To Formal Bid or Not to Formal Bid?

28. Competitive Bidding the Statutory Limit The statutory limit for formal competitive bidding is $25,000. Texas local Govt. Code §262.023. All purchases under $25,000 require informal quotes and shall be made by the purchasing agent

29. Texas Supreme Court Competitive bidding requires that all bidders be placed upon the same plane of equality & that they each bid upon the same terms & conditions involved in all the item & services & parts of the contract, & that the proposal specify as to all bids the same, or substantially similar specifications. Its purpose is to stimulate competition, prevent favoritism, & secure the best work & materials at the lowest practicable price for the best interest of the taxpayers & property owners.

30. Bid or Proposal? Its all in the specs Exact specs, & know exactly what you want, a formal bid. More general specs, room for vendor creativity and options, a proposal.

31. Formal Bid Must advertise in local newspaper of general circulation twice 14 days prior to the bid opening. Specifications describing the goods & services to be purchased. How the bid is being awarded--lump sum or unit pricing. Any bonding requirements. Method of payment.

32. And the Winner is... Purchasing and user department evaluate bids. Evaluate price, quality, delivery, repair history, vendor history. Commissioners Court shall reject or award bid. Ties broken by casting lots. Contract may not be awarded to a bidder who is not the low bidder meeting specs unless, each low bidder is notified & given an opportunity to appear before Commissioners Court to dispute any claims

33. Much More Professional services, technology purchases, state contracts Consult with purchasing staff

34. Dont Be Afraid to Ask Tx Loc Govt code 271- Public property finance Tx Govt code 791- Interlocal cooperation agreement Tx Govt code 2251- Prompt payment Tx Govt code 2252- Bidders from other states Tx Govt code 2253- Public works bonds Much more

35. Dont Do the Crime If… § 262.034. Criminal Penalties (a)A county officer or employee commits an offense if the officer or employee intentionally or knowingly makes or authorizes separate, sequential, or component purchases to avoid the competitive bidding requirements of Section 262.023. An offense under this subsection is a Class B misdemeanor.

36. You cant do the time (b) A county officer or employee commits an offense if the officer or employee intentionally or knowingly violates Section 262.023, other than by conduct described by Subsection (a). An offense under this subsection is a Class B misdemeanor. (c) A county officer or employee commits an offense if the officer or employee intentionally or knowingly violates this subchapter, other than by conduct described by Subsection (a) or (b). An offense under this subsection is a Class C misdemeanor.

37. Contract Management