PROCUREMENT POLICY

Policy Overview

The Kings County Area Public Transit Agency (KCAPTA) procurement activities are governed by implementing policies and guidelines as prescribed by federal law and state law. This procurement policy incorporates all applicable legal requirements and sets out guidelines for meeting these requirements.

The Executive Director shall review on a semi-annual basis the status of all contracts and purchase orders over $100,000 awarded by the transit agency and shall identify the funding source and provide a progress report and/or purpose statement for each contract.

The Procurement Manager shall monitor established administrative procedures to ensure proper review and budgetary adherence for each procurement activity.

I.Procurement of Materials, Supplies, and Equipment:

A.  Purchase of materials, supplies, and equipment up to $10,000:

i.  One informal quote. A determination that the price is fair and reasonable and how this determination was derived. Secured by a Purchase Order.

ii.  If federally funded in whole or in part and over $2,500 and up to $10,000, price or rate quotations shall be obtained from an adequate number of qualified sources.

B.  Purchase of materials, supplies, and equipment over $10,000 and up to and including $25,000:

i.   Price or rate quotations shall be obtained from an adequate number of qualified sources.

ii. Secured by purchase order or written contract as determined by the Procurement Manager.

C.  Purchase of materials, supplies, and equipment over $25,000:

i.   Procurement by formal advertisement soliciting bids, sealed bid and award to the lowest responsive, responsible bidder.

ii.   Written contract required.

II. Procurement of Professional Services (Non-Architectural and Engineering)

A.  Professional services up to $10,000:

i.    One informal quote. A determination that the price is fair and reasonable and how this determination was derived.

ii.   If federally funded in whole or in part, over $2,500 and up to $10,000, price or rate quotations shall be obtained from an adequate number of qualified sources.

iii.    Secured by purchase order or written contract, as determined by the Procurement Manager.

B.  Professional services over $10,000 and up to and including $100,000:

i.   Solicited by informal request for proposal directed to an adequate number of qualified sources.

ii.   Secured by a purchase order or written contract as determined by the Procurement Manager.

C.  Services over $100,000 per vendor in each Fiscal Year:

Procurement by formal advertisement soliciting proposals. Award to the     proposer whose proposal is deemed most advantageous to the The transit agency, with cost as a consideration. In evaluating the relative merit of proposals submitted, cost shall be given at least equal weight to the highest technical evaluation criterion. Written contract required.

III. Procurement of Architectural and Engineering Services (including Construction Management Services)

A.  Under state and federal law, regardless of cost:

i. Qualifications based procurement. Award to the most qualified proposer subject to negotiation of a fair and reasonable price.

• Under $100,000, request for qualifications solicited from an adequate number of qualified sources. Secured by purchase order or written contract, as appropriate.

iii.  Over $100,000, procurement by formal advertisement. Written contract required.

IV. Construction Services, Including Repairs or Remodeling of The transit agency Facilities

A.  Construction services up to $10,000:

i.   One informal quote. A determination that the price is fair and reasonable and how this determination was derived. Compliance with state prevailing wage laws required for procurements over $1000. Purchase order or written contract as determined by the Procurement Manager.

ii.   If federally funded in whole or in part, over $2,500, price or rate quotations shall be obtained from an adequate number of qualified sources. Compliance with the Davis Bacon Act wage rate submissions is required for procurements of $2,000 or greater. Purchase order or written contract as determined by the Procurement Manager.

B.  Construction services over $10,000:

i.    Procurement by formal advertisement soliciting bids, and award to the lowest responsive, responsible bidder.

ii.    Written contract required.

V. Negotiated Procurement of Rolling Stock and Other Technology

A.  Notwithstanding the provisions of the preceding paragraphs of this Policy the procurement of computers, telecommunications equipment, fare collection equipment, radio and microwave equipment, and other related electronic equipment and apparatus used in transit operations and specialized transit equipment including buses may be made using competitive negotiations in accordance with California Public Contract Code Sections 20216 and 20217.

B.   The KCAPTA Board of Directors may direct the purchase by competitive negotiation upon a finding by two-thirds vote of all members of the Board that the purchase of the above-described items by competitive sealed bid does not constitute a method of procurement adequate for the transit agency’s needs.

C.   Procurement under this section will be by formal advertisement requesting proposals. Award shall be made to the proposer whose proposal is deemed most advantageous to the transit agency, with cost as a consideration. Written contract required.

VI. Board Approval

A. The KCAPTA Board of Directors shall approve all formal solicitations and contracts prior to award where the services are not included in the approved Annual Budget, and the anticipated cost is over $100,000 per contract year.

B.   Any modification or change to Board approved contracts in excess of 0% of the original contract amount requires Board of Director approval.

• Board of Director approval is required for the issuance of solicitations and for contract award for the following professional services regardless of cost or project inclusion in the approved Annual Budget:

• Actuarial services

• Advocacy services

• Audit services

• Bus Advertising services

• Legal services

• Rolling stock

D. Board of Directors approval is required for the contract award for the following professional services regardless of cost or project inclusion in the approved Annual Budget:

• Financial Advisory services

• Health and Welfare Benefit contracts

• Workers' Compensation Third Party Administration Services

VII. Procurement by Noncompetitive Proposals (Sole Source)

A. Sole Source procurement is accomplished through solicitation or acceptance of a proposal from a single source. A contract amendment or change order that is not within the scope of the original contract is considered a sole source procurement.

B.   Sole source procurement is a limited exception to the procurement process and may be used only where the award of a contract is infeasible or impracticable under competitive procedures and at least one of the following circumstances applies, supported by written justification and documentation:

i.  The item is available only from a single source, and there is no comparable or “as equal” itemavailable;

• There exists a public exigency or emergency (not including delays in planning for or in initiating the procurement) which will not permit the delay accompanying competitive solicitation;

iii.   The procurement is FTA funded, and sole source procurement is authorized under FTA Third Party Contracting Guidelines (FTA Circular 4220.1E).

C. In the appropriate case, where supported by case law or statutory authority, the Procurement Manager may recommend to the Executive Director the authorization of exception to the competitive bidding requirements provided for in this Policy.

PROCUREMENT PROTEST PROCEDURES

I. PURPOSE AND APPLICABILITY

The Kings County Area Public Transit Agency (KCAPTA) procurement protest procedures are governed by implementing policies and guidelines as prescribed by federal law and state law. This procurement protest procedure incorporates all applicable legal requirements and sets out guidelines for meeting those requirements. KCAPTA has established formal procedures for the filing of protests in connection with the Agency’s procurement activities. All protests shall be processed in accordance with the procedures herein.

These protest procedures shall apply to all types of procurement activities, including

formal competitive bidding and requests for proposal. Potential bidders/ proposers

will be advised of KCAPTA’s protest procedures in its solicitations for bids and requests for proposals. Failure to follow the Agency’s protest procedures may result in the rejection of a protest.

The Procurement Manager shall notify the Federal Transit Administration (FTA) of all protests involving federally funded projects.

II. DEFINITION OF PROTEST

A protest under these procedures is defined as an allegation, made with respect to a

particular procurement action, that asserts that the agency, in performing that action:

A.  Failed to follow or comply with applicable federal or state law or regulation, Agency policy or procedure relative to developing, soliciting, evaluating, negotiating and/or awarding a procurement contract.

B.  Failed to comply with the relevant requirements and procedures contained in the solicitation.

C.  Failed to follow Agency protest procedures.

III. TYPES OF PROTESTS

There are two basic types of protests:

A.  Protests Based Upon the Content of the Solicitation:

Protests based upon restrictive specifications or alleged improprieties in the      bidding procedure or contract specifications, which are apparent or

reasonably should be discovered prior to bid opening.

B.  Protests Based Upon Grounds Other Than the Content of the Solicitation:

Protests based upon alleged improprieties that are not apparent or which could not reasonably have been discovered prior to bid opening, such as disputes over the staff recommendation for contract award.

IV. STANDING TO PROTEST

In order to file a valid protest, an individual, association, corporation, company or

other legal entity must be an actual or prospective supplier of goods or services,

whose direct economic interest would be affected by the award or failure to award a

contract. A protest filed by anyone who fails to establish standing to protest shall be

rejected.

V. TIMELINESS OF PROTESTS

In order to be considered timely, a protest of a procurement action must be filed after

a solicitation is issued and meet the following time constraints:

A.  Protests Based Upon the Content of the Solicitation in procurements other than Negotiated Procurements under California Public Contract Code §20217: Any protest concerning any of the contents of the solicitation must be filed prior to the bid opening or proposal submission date and time.

B.  Protests Based Upon Grounds other than the Content of the Solicitation in

procurements other than Negotiated Procurements under California Public

Contract Code §20217: Protests must be filed no later than ten (10) calendar days after the Agency’s notice of intent to award, or notice of award, or notice of non-award, which occurs first.

C.  Protests in Negotiated Procurements for Rolling Stock and other Technology under California Public Contract §20217:

1.  Protests in Negotiated Procurements based upon the Content of the Solicitation (Request for Proposals or RFPs) must be filed with the Agency within ten (10) calendar days after the RFP is first advertised. Such protests may be renewed by refiling the protest with the Agency within fifteen (15) calendar days after the staff recommendation for award has been made available to the public.

2.  Protests based upon grounds other than the Content of the Solicitation (Request for Proposals or RFPs) must be filed within fifteen (15) calendar days after the staff recommendation for award has been made available to the public.

VI. CONTENT OF PROTESTS

Protests must be submitted in writing to the KCAPTA administrative office.  All relevant information and referenced material supporting the protest should be attached.  Protests should include the following:

A.  The IFB (Invitation for Bids) or Request for Proposals (RFP) number. If any addendum or addenda issued by the Agency in connection with a solicitation is the basis for a protest, the protest must also identify that addendum(a). If any other Agency communication is the basis for a protest, it should also be identified.

B.  The name and address of the protester. If the name or address is different

than that shown on any bid or proposal of the protestor, the protest should

include a reference to the original name and/or address. Because standing to protest may be an issue, protests filed under a name other than the name stated on the bid or proposal submitted should indicate the basis supporting standing to protest.

C.  A full and complete statement specifying in detail the grounds for the protest, including identification of any laws, regulations, or procedures violated, and providing all pertinent facts in support of the protest.

D.  The specific remedy requested by the protester.

E.  Identification of person(s) and address(es) of those to whom Agency

communications on the matter of the protest should be directed.

VII. PROTEST SUBMISSION

Protest submissions should be issued to the Agency as follows:

A.  Protests should be directed to:

Kings County Public Transit Agency

Attn: Ms. Angie Offenburger, Procurement Manager

1340 North Drive

Hanford, CA  93230

B.  Protests based upon grounds other than the content of the solication,

as well as all protest appeals should be addressed to:

Kings County Public Transit Agency

Attn: Mr. Ron Hughes, Executive Director

1340 North Drive

Hanford, CA  93230

C.  In all cases, the exterior of the envelope should be marked:

“Attention: Protest Material” and reflect the pertinent IFB or RFP number.

VIII. PROCESSING OF PROTESTS

All submitted protests will be processed as follows:

A.  Protests based upon the Content of the Solicitation in procurements other

than Negotiated Procurements under California Public Contract Code

§20217: The Procurement Manager will issue a written decision prior to the opening date for bids or closing date for the submission of proposals. If the decision cannot be made within these time periods, the bid opening or proposal submission date for the procurement may be extended by the Agency.

B.  Protests based on grounds other than the Content of the Solicitation in

Procurements other than Negotiated Procurements under California Public Contract Code §20217: The Procurement Manager will issue a written decision within ten (10) working days after the receipt of the protest by the Agency. If the Procurement Manager’s decision cannot be rendered within this time period, the Agency will notify the protester of the new date when a decision on the protest will be issued.  If the Procurement Manager upholds the protest, the Procurement Manager’s decision will include remedial action to be taken.  If the Procurement Manager denies the protest, the written notice of the decision will include notice of the protester’s appeal rights.

C.  Protests in Negotiated Procurements for Rolling Stock and other Technology under California Public Contract Code section §20217:

1.  In protests based upon the Content of the Solicitation, the

Procurement Manager will issue a written decision prior to the opening of proposals.

2.  In protests based upon grounds other than the Content of the

Solicitation, the Procurement Manager will issue a written decision within ten (10) working days after the receipt of the protest by the Agency. If the Procurement Manager’s decision cannot be issued within this time period, the Agency will notify the protester of the new date when a decision on the protest will be issued.

3.  Protesters shall have an opportunity to appear and be heard before

the Agency prior to the opening of proposals in the case of protests

based on the content of the request for proposals, or prior to final

award in the case of protests based on other grounds or the renewal of protests based on the content of the request for proposals.

IX. APPEAL OF PROTEST DECISIONS

A.  Appeal of Decision of Procurement Manager:

Protesters may appeal an adverse decision by the Procurement Manager to the Executive Director by submitting an appeal, in writing, within five (5) working days after the date of issuance of the Procurement Manager’s decision. The appeal must state the basis for disputing the decision. The Executive Director will issue a decision to grant or deny the appeal within ten (10) working days after receipt of appeal.

B.  Appeal of Decision of Executive Director:

Protesters may appeal an adverse decision by the Executive Director to the

KCAPTA Board of Directors by submitting an appeal, in writing, within five (5) working days after the date of issuance of the Executive Director’s decision.  The appeal must state the grounds for disputing the decision of the Executive Director.  Appeals should be directed to the KCAPTA Administrative Office.

C.  KCAPTA Board of Director Appeal Process:

At the next regularly scheduled Board meeting following receipt of notice of appeal from the decision of the Executive Director, the Board will consider whether it wishes to entertain the appeal and schedule an appeal hearing to be heard by the Board of Directors at a future Board meeting. The decision whether to hear the appeal will be based on the Board’s review of the following documents: the protest submitted by the protester, the decision of the Executive Director denying the protest, the appeal submitted by the protester, and any additional documentation submitted by staff to the Board. If a majority of the Board of Directors votes against entertaining the appeal, the decision of the Executive Director will become final.

If a majority of the Board votes to consider the appeal, the Board will notify the protester of the date of the hearing before the Board of Directors.  At the hearing on the appeal, the protesting party will be afforded a reasonable opportunity to present its case. Unless otherwise permitted by the Board, presentations will be limited to oral argument and documentary evidence. The Board may allow for a question and answer period following presentation of the appeal.

Upon conclusion of the hearing, the Board will either render a decision or continue the matter for decision at the next regularly scheduled Board of Directors meeting.

X. PROTESTS TO THE FEDERAL TRANSIT ADMINISTRATION (FTA)

In accordance with the provisions of FTA Circular 4220.1E, the Procurement Manager, or designee, will be responsible for providing information regarding protests of federally funded procurements to the Federal Transit Administration’s Regional Office on a quarterly basis for inclusion in the transit agency’s quarterly Progress Report.  The FTA will only review protests regarding the failure of the transit agency to have written protest procedures or its failure to follow such procedures.