CHAPTER 7.3. NEGOTIATED BIDDING
IC 5-22-7.3
Chapter 7.3. Negotiated Bidding
IC 5-22-7.3-1
Applicability
Sec. 1. (a) This chapter applies only to a purchasing agency in the
executive branch.
(b) Subject to the policies of the purchasing agency, a purchasing
agent may follow the procedure described in this chapter in awarding
a contract for supplies instead of awarding a contract under
IC 5-22-7.
As added by P.L.160-2006, SEC.6.
IC 5-22-7.3-2
Invitations for bids; requirements
Sec. 2. (a) A purchasing agent may issue an invitation for bids.
(b) An invitation for bids must include the following:
(1) A purchase description.
(2) All contractual terms and conditions that apply to the
purchase.
(3) A statement of which, if any, of the following will be used
to evaluate bids:
(A) Inspection.
(B) Testing.
(C) Quality.
(D) Workmanship.
(E) Delivery.
(F) Suitability for a particular purpose.
(G) The requirement imposed under IC 5-22-3-5.
(H) Any other evaluation criteria stated in the invitation for
bids.
(4) The procedure for opening the bids, including the date, time,
and place for opening the bids.
(5) A statement concerning whether a bid must be accompanied
by a certified check or other evidence of financial responsibility
that may be required in accordance with policies of the
purchasing agency.
(6) A statement concerning the conditions under which a bid
may be canceled or rejected in whole or in part as specified
under IC 5-22-18-2.
(7) A statement concerning whether, and the procedures under
which, discussions may be conducted with bidders before a
contract is awarded. The procedures for conducting discussions
with bidders must be consistent with fair competition among all
bidders.
As added by P.L.160-2006, SEC.6.
IC 5-22-7.3-3
Evaluation criteria
Sec. 3. Evaluation criteria that will:
(1) affect the bid price; and
(2) be considered in the evaluation for an award;
must be objectively measurable.
As added by P.L.160-2006, SEC.6.
IC 5-22-7.3-4
Criteria used in bid evaluation
Sec. 4. Only criteria specified in the invitation for bids may be
used in bid evaluation.
As added by P.L.160-2006, SEC.6.
IC 5-22-7.3-5
Invitation for bids; notice
Sec. 5. (a) The purchasing agency shall:
(1) give notice of the invitation for bids in the manner required
by IC 5-3-1; and
(2) provide electronic access to the notice through the computer
gateway administered by the office of technology.
As added by P.L.160-2006, SEC.6.
IC 5-22-7.3-6
Bid opening; agency employee witnesses
Sec. 6. (a) An employee of the purchasing agency shall open bids
in the presence of one (1) or more other employees of the purchasing
agency according to the procedure stated in the invitation for bids as
required by section 2(b)(4) of this chapter.
(b) Individuals other than employees of the purchasing agency
may not be present at an opening of bids unless the bids are opened
publicly.
As added by P.L.160-2006, SEC.6.
IC 5-22-7.3-7
Bids; confidentiality during negotiation; evaluation
Sec. 7. Bids must be:
(1) opened so as to avoid disclosure of contents to competing
bidders during the process of negotiation; and
(2) evaluated based on the requirements provided in the
invitation for bids.
As added by P.L.160-2006, SEC.6.
IC 5-22-7.3-8
Contract award
Sec. 8. A contract must be awarded with reasonable promptness
by written notice to the lowest responsible and responsive bidder.
As added by P.L.160-2006, SEC.6.
IC 5-22-7.3-9
Bid register requirements; public inspection of contract files;
confidential proprietary information
Sec. 9. (a) The purchasing agency shall prepare a bid register.
(b) The bid register must contain the following:
(1) A copy of all documents that are included as part of the
invitation for bids.
(2) A list of all persons to whom copies of the invitation for
bids were given.
(3) A list of all bids received. The list of bids received must
include the following information:
(A) The name and address of each bidder.
(B) The dollar amount of all bid prices received during the
bidding process.
(C) The name of the successful bidder and the dollar amount
of that bidder's bid.
(4) The basis on which the award was made.
(5) Documentation of the purchasing agency's negotiating
process with bidders. The documentation must include the
following:
(A) A log of the date and times of each meeting with a
bidder. The log must include the identity of the bidder.
(B) A description of the nature of all communications with
each bidder.
(C) Subject to subdivision (6), a copy of all written
communications, including electronic communications, with
each bidder.
(6) The entire contents of the contract file except for proprietary
information included with a bid, such as trade secrets,
manufacturing processes, and financial information that was not
required to be made available for public inspection by the terms
of the invitation for bids.
(c) Except as provided in section 10 of this chapter, the bid
register is subject to public inspection only after the contract award.
As added by P.L.160-2006, SEC.6.
IC 5-22-7.3-10
Purchases over $200,000
Sec. 10. (a) This section applies only if the amount of the
purchase is more than two hundred thousand dollars ($200,000).
(b) After the purchasing agency has completed any negotiations,
the purchasing agency shall set a date, time, and place for publishing
the bid register required by section 9 of this chapter. The date set
under this subsection may not be less than seven (7) days before the
purchasing agency notifies the successful bidder of the award of the
contract.
As added by P.L.160-2006, SEC.6.
IC 5-22-7.3-11
Erroneous bids
Sec. 11. (a) The purchasing agency may establish policies to allow
any of the following:
(1) Correction or withdrawal of inadvertently erroneous bids
before or after an award.
(2) Cancellation of awards or contracts based on a mistake
described in subdivision (1).
(b) Except as provided in a rule or policy, a purchasing agency
must make a written decision to:
(1) permit the correction or withdrawal of a bid; or
(2) cancel awards or contracts based on bid mistakes.
As added by P.L.160-2006, SEC.6.
IC 5-22-7.3-12
Additional material in bid
Sec. 12. If a bidder inserts contract terms or bids on items not
specified in the invitation for bids, the purchasing agent shall treat
the additional material as a proposal for addition to the contract and
may do any of the following:
(1) Declare the bidder nonresponsive.
(2) Permit the bidder to withdraw the proposed additions to the
contract in order to meet the requirements and criteria provided
in the invitation for bids.
(3) Accept any of the proposed additions to the contract, subject
to section 13 of this chapter.
As added by P.L.160-2006, SEC.6.
IC 5-22-7.3-13
Acceptance of contract additions; written determination by agency
required
Sec. 13. (a) The purchasing agent may not accept proposed
additions to the contract that are prejudicial to the interest of the
governmental body or fair competition.
(b) A decision of the purchasing agent to permit a change to the
requirements of the invitation for bids must be supported by a written
determination by the purchasing agency.
As added by P.L.160-2006, SEC.6.