How does IT Capital Procurement work?
For the majority of IT procurements, the goods or services being sought can be obtained through existing 'statewide contracts'. In some cases, these goods and services are not covered under a statewide contract and so a new contract will need to be pursued.
If an agency will be conducting a procurement that is already part of a statewide contract, an RFQ (Request for Quote) is developed to capture requirements and communicate them to the applicable vendor community.
On the other hand, when procurements are for goods or services that are not currently part of a statewide contract, a more extensive form called an RFR (Request for Response) is required. Prior to developing the RFR however, OSD (Operational Services Division) approval is required.
The following sheds a bit more light as to the distinction between these two forms and their uses:
*As a precursor to any capital procurement involving an RFR or RFQ, projects should always be mindful as to whether an RFI (Request for Information) is an appropriate first step (see ‘RFI Requirement’ section above). Additionally, capital projects may also want to consider reaching out to other Commonwealth agencies or states to determine how similar business/technology needs have already been achieved. This is an invaluable, and often overlooked, activity that projects can benefit from given the minimal cost & overhead involved. It's due diligence such as this that will prove beneficial in the end and demonstrate a capital project's readiness.
** When sizeable RFQs (typically procurements in excess of $50K) and RFRs are involved with capital procurements, PMT's (Procurement Management Teams) are usually established to define the requirements, schedule and oversight of the procurement and to ensure best practices are being carried out during the evaluation process. Generally speaking, PMTs are comprised of a subset of individuals in the business and technology area. Additional members may also be recruited from other departments (such as OSD). The PMT is chaired by a PTL (Procurement Team Leader) who provides guidance and expertise throughout the solicitation and contract process to ensure that customers obtain best value (Click here for more - )
For more PMT tidbits, click here -
From a statewide capital procurement standpoint, the following process diagram outlines the steps involved:
For more information concerning developing an RFR and the competitive bid process, please contact OSD
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