Contracting Process and CPS Organizational Structure
The Contract and Vendor Management (CVM) Division in the DIR Technology Sourcing Office is responsible for the Cooperative Contracts (Co-op Contracts) Program. Co-op Contracts are established for use by state agencies, local governments, and some non-profits and out-of-state public entities (eligible customers). These contracts comply with state purchasing requirements and leverage the bulk buying power of the state so that eligible customers can buy IT products and services at aggressive discounts without the need for a lengthy procurement process.
Co-op Contracts uses customer input and sourcing analytics to determine the need for IT products and services and then releases Requests for Offers (RFOs) when sufficient customer demand exists. Multiple contracts are awarded to vendors with established discounts but no guaranteed purchases. Once the contracts are established, eligible customers buy directly from the contracted vendors. The customers may negotiate additional discounts, such as for large volume purchases; develop customized statements of work, including performance and service level agreements; or even issue their own RFOs among contracted vendors. The Co-op Contracts Program is designed to allow eligible customers the flexibility to buy from the base contract as-is or tailor contracts to their specific needs, budgets, and projects.
Co-op Contracts are established using the following process, which complies with all state purchasing requirements:
- We post the RFO on the Electronic State Business Daily (ESBD)
- Vendors submit proposals to DIR by the required deadline
- We evaluate vendor responses
- Vendors who offer the best value to the state are sent an invitation to negotiate
- After successful negotiations, contracts are awarded for a specified term
- We strive to award multiple contracts to allow choice for customers
Customers are our first priority. Vendors are important partners. RFOs or vendor negotiations may terminate at any time during the process if it is determined by DIR to be in the best interest of the state.