The Business Council supports this legislation, which would enable state agencies to undertake competitive negotiations when the basis of an award is best value, and permit them to develop alternative procurement methods for non-construction related commodities, services and information technology.
Allowing for simultaneous negotiations with two or more responsive offerors is a negotiating tactic already employed in federal procurement and in other states. This method is particularly useful in some of the more complex procurements. Current law allows for an agency to negotiate with the successful bidder after an award, but even then, material terms cannot be negotiated. This legislation will help the state realize innovative solutions in procurement and allow vendors an opportunity to showcase their company’s capabilities during the negotiating process.
Additionally, according to a recent National Association of State Procurement Officials survey of state procurement practices, over half of states responding to the survey (25) developed alternative competitive procurement practices other than competitive sealed bidding and competitive sealed proposals. 1
The provisions in this legislation will generally allow for greater flexibility in state procurement and increased opportunities for vendors. For these reasons, The Business Council supports this legislation.