SOUTH CAROLINA PROCUREMENT CODE IN A NUTSHELL AS OF JUNE 23, 2000 Prepared by the Budget and Control Board Office of General Services Office of Audit and Certification THIS PAMPHLET IS NOT TO BE CONSTRUED AS A COPY OF THE CONSOLIDATED PROCUREMENT CODE AND IS ISSUED SIMPLY FOR INFORMATION TABLE OF CONTENTS PAGE Forward 1 Purposes and Policies 2 Obligation of Good Faith 2 Application of this Code 3 Payment for Goods and Services Received by State 3 Political Subdivisions and Required to Develop and Adopt Procurement Laws 3 School Districts Subjects to Consolidated Procurement Code 4 Definitions 4 Public Access to Procurement Information 5 Exemption 5 Chief Procurement Officers 5 Certification 5 Approval of Internal Procurement Procedures Manual 5 Audit and Fiscal Reporting 6 Administrative Penalties 6 Authority to Contract for Auditing Services 6 Authority to Contract for Legal Services 6 Authority to Contract for Certain Professional Services 6 Methods of Source Selection 6 Competitive Sealed Bidding 7 Competitive Sealed Proposals 7 PAGE i Small Purchases (Less than $25,000.00 7 Competitive Fixed Price Bidding 8 Competitive Best Value Bidding 8 Procurements At Auction 9 Sole Source Procurement 9 Emergency Procurement 9 Information Technology Procurements 9 Telecommunications Procurements 10 Leasing of Real Property 10 Multi-Term Contracts 10 Record of Procurement Actions 10 Construction, Architect-Engineer, Construction Management and Land Surveying Services 10 Regulations for Sale, Lease, Transfer and Disposal of Personal Property 11 Lease, Lease - Purchase, Installation Purchase and Rental of Personal Property 12 Legal and Contractual Remedies 13 Intergovernmental Relations 13 Assistance of Minority Business 13 Procurements of Conference Facilities 14 Unauthorized Procurements 14 Attachments 1 - Exemptions 2 - Certified Agencies 3 - Telephone Quotes 4 - Request for Quotations 5 - Sole Source Determination ii 6 - Emergency Determination 7 - Multi-term Determination 8 - Telephone Services 9 - Justification for Contracts Between State Agencies 10 - Justification for Conferences Site Selection iii FORWARD The South Carolina Consolidated Procurement Code, hereinafter referred to as the Code, was enacted in 1981 (Reference, Title 11, Chapter, Code of Laws of South Carolina 1976, as amended). The Code provided all government bodies procurement authority of $2,500.00 per commitment. Simplified small procedures were allowed for these transactions. The State Government Accountability and Reform Act of 1993 made significant changes to the Code designed to update dollar limits, streamline processes and simplify procedures. General agency procurement authority was increased from $2,500.00 to $5,000.00. The initial dollar threshold for general application of the Code was raised from $500.01 to $1,500.01. The formal sealed bidding threshold was raised from $2,500.00 to $25,000.00. A second major revision of the Code was enacted on June 13, 1997, to more efficiently manage the State’s procurement activity by providing additional procedures to enhance quality in the goods, services, and construction being procured under the Code and to ensure that the Code’s procedures allow for implementation of electronic commerce. Although the Code currently provides central procurement authority in the Materials Management Office for all procurements exceeding $5,000, governmental bodies may request additional authority through the certification process to increase the basic $5,000 limit to higher limits for established categories of procurements as well as for specific items that fall within the particular expertise of the agency. To date, forty-one agencies have been granted certification of various dollar amounts. The document is prepared in an attempt to highlight the Code requirements. It is not intended to be all inclusive. It is merely a “nutshell” guide which references the Code and Regulation sections of most concern to auditors. Further, this guide assumes the reader has a working knowledge of South Carolina State Government. 1 CODE AND REGULATION REFERENCES The following Code and Regulation references are of key interest: I. PURPOSES AND POLICIES Code reference 11-35-20 This section of the Code expresses its basic intent as the following purposes and policies: a) b) c) d) e) f) g) h) to provide increased economy in state procurement activities and to maximize to the fullest extent practicable the purchasing values of funds while ensuring that procurements are the most advantageous to the State and in compliance with the provisions of the Ethics Government Accountability and Campaign Reform Act; to foster effective broad-based competition for public procurement within the free enterprise system; to develop procurement capability responsive to appropriate user needs; to consolidate, clarify and modernize the law governing procurement in this State and permit the continued development of explicit and thoroughly considered procurement policies and practices; to require the adoption of competitive procurement laws and practices by units of state and local governments; to ensure the fair and equitable treatment of all persons who deal with the procurement system which will promote increased public confidence in the procedures followed in public procurement; to provide safeguards for the maintenance of a procurement system of quality and integrity with clearly defined rules for ethical behavior on the part of all persons engaged in the public procurement process; and to develop an efficient and effective means of delegating roles and responsibilities to the various government procurement officers. Obviously, the Code intends to provide protection for state government, vendors that sell to state government and, primarily, the citizens of the State of South Carolina. II. OBLIGATION OF GOODS AND FAITH Code references 11-35-30 This section states: Every contract or duty within this Code imposes an obligation of good faith in its negotiation, performance or enforcement. “Good and faith” means honesty in faith in the conduct or transaction concerned and the observance of reasonable commercial standards of fair dealing. III. APPLICABLE OF THIS CODE 2 Code reference 11-35-40 Regulation reference 19-445.2000A The Code applies to every expenditure of funds by this State under contract acting through a governmental body irrespective of the source of funds. Where federal funds are used, the more restrictive requirements (federal or state) apply. A governmental body, as defined in Section 11-35-310(18) of the Code, means a state government department, commission, council board, bureau, committee, institution, college, university, technical school, agency, government corporation, or other establishment or official of the executive, or judicial branches of this State. Governmental body excludes the General Assembly or its respective branches or its committees, Legislative Council, the Office of Legislative Printing and information Technology Resources, and all local political subdivisions such as counties, municipalities, school districts, or public service or special purposes districts or any entity created by act of the General Assembly for the purpose of erecting monuments or memorials or commissioning art that is being procured exclusively by private funds Section 11-35-40(4) was added in 1987 to include, “The acquisition of any facility or capital improvement by a foundation or eleemosynary organization on behalf of or for the use of public funds in the acquisition, financing, construction, or current or subsequent leasing of the facility or capital improvement……” (Reference 1987 Act No. 170, Part II, 42) IV. PAYMENT FOR GOODS AND SERVICES RECEIVED BY THE STATE Code reference 11-35-45 Upon satisfactory receipt of goods or services and the resulting invoice, whichever is received later, an agency has 30 working days to deliver vouchers for payment to the Comptroller General’s Office. (Lump sum agencies are responsible for payment within 30 working days.) Vouchers and payments not processed within 30 working days after satisfactory receipt of goods or services are subject to a late payment penalty charge up to 15% per annum from funds available to the agency. V. POLITICAL SUBDIVISION REQUIRED TO DEVELOP AND ADOPT PROCUREMENT LAWS Code Reference 11-35-50 All political subdivision shall adopt ordinance or procedures embodying sound principles of appropriately competitive procurement no later than July 1, 1983. 3 VI. SCHOOL DISTRICTS SUBJECT TO CONSOLIDATED PROCUREMENT CODE Code Reference 11-35-70 Irrespective of the source of funds, any school district whose budget of total expenditures, including debt service, exceeds $75 million annually is subject to the Code. However, they may develop an alternative code if, in the opinion of the Office of General Services, it is substantially similar to the State Code. A procurement audit of each one of these districts must be performed every three years. Currently, the districts are: 1. Aiken County School District 2. Berkeley County School District 3. Charleston County School District 4. Beaufort County School District 5. Dorchester County School District Two 6. Florence County School District One 7. School District of Greenville County 8. School District of Five of Lexington and Richland Counties 9. Horry County School District 10. School District of Pickens County 11. School District of Oconee County 12. Richland County School District One 13. Richland County School District Two 14. Rock Hill School District Three of York County 15. Lexington County District One VII. DEFINITIONS Code Reference 11-35-310 Definition of 36 technical terms used in the Code and regulations are located in Section 11-35-310 of the Cod. One definition of key importance to you is that of a term contract per 1135-310(35) that states: “Term Contracts” means a contract established by the chief procurement officer for a specific product or service for a specified time and for which it is mandatory that all governmental bodies procure their requirements for the goods and services during its term. If a governmental body is offered goods and services at a price that is at least ten percent less than the term contract price for the same goods or services, it may purchase from the vendor offering the lower price after first offering the vendor holding the term contract the options to meet the lower price. If the vendor holding the term contract meets the lower price, then the governmental body must purchase from the contract vendor. A 4 term contract may be a multi-term contract as provided in Section 11-352030. VIII. PUBLIC ACCESS TO PROCUREMENT INFORMATION Code Reference 11-35-410 Procurement information is public record as required by the Freedom of Information Act. IX. EXEMPTION Code Reference 11-35-710 The General Assembly exempted certain agencies and commodities from the Code. The Budget and Control Board may exempt specific supplies or services from the purchasing procedures of the Code. See Attachment 1 for a current list of universal exemptions. X. CHIEF PROCUREMENT OFFICER Code Reference 11-35-810, 11-35-820, and 11-35-830 Regulation reference 19445.2000(b) The Code established the following chief procurement officers who are the authorities for their respective areas: - Materials Management Officer - Goods and Services and Consultants - Information Technology Management Officer - Information Technology - State Engineer - Construction XI. CERTIFICATION Code reference 11-35-1210 Regulation reference 19-445.2000(b) and 19-445.2020 These sections of the Code and regulations limit your procurement authority to $5,000.00. Higher procurement authority is possible through certification by the Budget and Control Board. Certification is contingent upon favorable audit results and recommendations by the Office of General Services. See attachment 2 for the current list of certified agencies. NOTE: XII. These $5,000.00 limit applies to the total potential commitment of a purchasing transaction. A one year contract for $3,000 with an extension option for an additional year is a $6,000 procurement APPROVAL OF INTERNAL PROCUREMENT PROCEDURES MANUAL 5 Regulation reference 19-445.2005 This section requires that each governmental body prepare an internal procurement procedures manual and that it be reviewed and approved in writing by the Management Office. XIII. AUDIT AND FISCAL REPORTING Code reference 11-35-1230 This section authorizes audits of procurements activity whether certification is requested or not. XIV. ADMINISTRATIVE PENALTIES Code reference 11-35-1240 This section allows the Budget and Control Board to prescribe administrative penalties for violations of the Code and regulations. XV. AUTHORITY TO CONTRACT FOR AUDITING SERVICES Code reference 11-35-1250 Regulation reference 19-445.2025(e) Contract for auditing or accounting services must be approved in advance by the State Auditor. XVI. AUTHORITY TO CONTRACT FOR LEGAL SERVICES Code reference 11-35-1260 Regulation reference 19-445.2025(d) Contract for the services of attorneys must be approved in advance by the State Attorney General or the Office of General Services. XVII. AUTHORITY TO CONTRACT FOR CERTAIN PROFESSIONAL SERVICES Code reference 11-35-1270 Regulation reference 19-445.2030, 19-445.2100, 19-445.2015, and 19-445.2110 Unless specifically exempted, all contracts for professional services are subject to the Code. 6 XVIII. METHODS OF SOURCE SELECTION Code reference 11-35-1510 Regulation reference 19-445.2000(d) This section list the authorized source selection methods of the Code. procurements must be made by one of these methods. All For goods and services, consultants, and information technology the methods are: -Competitive Sealed Bidding -Competitive Sealed Proposals -Fixed Price Bidding -Competitive Best Value Bidding -Small Purchases -Sole Source -Emergency -Exemptions -Procurements at Auction XIX. COMPETITIVE SEALED BIDDING Code reference 11-35-1520 Regulation reference 19-445.2030 A formal competitive procurement procedure for transactions greater than $25,000.00 where award is based on low bid only. Formal solicitations must be developed. Sealed written bids must be returned before a designated date and time. When bids are received, they must be locked away until opened, all bids must be tabulated with the sheet being signed and witnessed. After evaluation of all bids, award is made to the lowest responsive and responsible bidder. All sealed bid solicitations must be advertised in South Carolina Business Opportunities (SCBO). XX. COMPETITIVE SEALED PROPOSALS Code reference 11-35-1530 Regulation reference 19-445.2095 A formal competitive procurement procedure for transactions greater than $25,000.00 where award is based on weighted evaluation factors. Low bid is not the only award criteria. The same solicitation requirements listed above for competitive sealed bidding apply except that award may be based on evaluation criteria other than cost such as experience and knowledge of the industry. Negotiations are allowed with responsive offerors. XXI. Before an agency can make a request for proposal solicitation, it must prepare a determination justifying the use of this method instead of competitive sealed bidding. SMALL PURCHASE (LESS THAN $25,000.00) 7 Code reference 11-35-1550 Regulation reference 19-445.2100 Procurement less than $25,000.0 are made under this procurement authority. Large procurements cannot be artificially divided to give the appearance of a small purchase. The competition requirements for dollar thresholds are as follows: 1 - Purchase not in excess of $1,500.00 - No competition is required if prices are considered fair and reasonable. 2 - Purchases from $1,500.01 to $5,000.00 - Solicitations of verbal (telephone) or written quotes from a minimum of three qualified sources of supply. Use a telephone quote form for documentation. See Attachment 3 3 - Purchases from $5,000.01 to $10,000.00 - Solicitations of three written quotations from qualified sources of supply. A Request for Quotation form is a helpful tool for agencies. 4 - Purchase from $10,000.01 to $25,000.00 - Written solicitations of written quotes, bids, or proposal are allowed. Each procurement must be advertised at least once in South Carolina Business Opportunities (SCBO). See Attachment 4. Remember, these thresholds apply to the total potential commitment including fixed or optional extension. The protest provisions of Section 11-35-4210 do not apply to procurements less than $25,000.00. XXII. COMPETITIVE FIXED PRICE BIDDING Code reference 11-35-1525 The purpose of fixed price bidding is to provide multiple sources of supply for specific goods or services based on a preset maximum amount the State will pay. A written determination must be prepared to show why competitive sealed bidding is either not practicable or not advantageous to the State. Notice of solicitation must be made per Section 11-35-1520(3). The Bidders not responding to initial fixed price solicitations can be added if responsible and responsive. Failure of bidder to received business is not grounds for contract controversy under Section 11-35-4230. XXIII. COMPETITIVE BEST VALUE BIDDING Code reference 11-35-1528 The purpose of best value bidding is to allow factors other than price to be considered in the determination of award for specific goods or services based on pre-determined criteria identified by the state. A written determination must be prepared to show why competitive sealed bidding is either not practicable or not advantageous to the State. Notice of solicitation must be made per Section 11-35-1520(3). Evaluation 8 factors shall be established with cost representing at least 60% of the numerical factor. Award will be made to the responsive and responsible bidder who’s bid is most advantageous to the State taking into consideration all evaluation factors in the solicitation. XXIV. PROCUREMENTS AT AUCTION Code reference 11-35-1575 A governmental body determines fair market value and establishes maximum price for item in advance of auction and does not exceed maximum price at the auction. XXV. SOLE SOURCE PROCUREMENT Code reference 11-35-1560 Regulation reference 19-445.2105 All agencies may make sole source procurements up to any amount as long as a written determination is approved in advance by the agency head or a designee above the level of the procurement officer and the item or service is both: 1 - Unique 2 - Available from only one source of supply See Attachment 5 XXVI. EMERGENCY PROCUREMENT Code reference 11-35-1570 Regulation reference 19-445.2110 All agencies may make emergency procurements up to any amount as long as a written determination is approved by an authorized official. Unlike sole source, this determination may be signed by the procurement officer. There must be a serious need that cannot be met through normal purchasing procedures, which threatens public health, welfare, critical economy and efficiency or safety. Emergency procurements must be limited to the extent of the crisis. As much competition as is practical under the circumstances shall be obtained. See Attachment 6. XXVII. INFORMATION TECHNOLOGY PROCUREMENTS Code reference 11-35-1580 Regulation reference 19-445.2115 This section established the authority and responsibility of the Information Technology Management Office. It requires each agency to prepare an information technology plan annually and submit it to the Budget and Control Board Office of Research and Statistics. Procurement of information technology greater than $5,000 9 must be submitted to the Information Technology Management Office of the Office of General Services unless your agency is certified in this procurement area. XXVIII. TELECOMMUNICATIONS PROCUREMENTS Code reference 1-11-430 This section of law designates all authority to purchase telecommunication equipment and services to the Budget and Control Board. Through exemptions the Board authorized the Office of Information Resource Management to manage this responsibility. See Attachment 8 XXIX. LEASING OF REAL PROPERTY Regulation reference 19-445.2120 Leasing of real property is the authority of the Office of Real Property Management of the Budget and Control Board. This cannot be done without its approval unless the lease is for less than three months or the total cost is less than $10,000.00 in a single fiscal year. XXX. MULTI-TERM CONTRACT Code of reference 11-35-2030 Regulation reference 19-445.2135 These are contracts, which extend or have the potential to extend beyond 12 months. Written determinations are required prior to the original solicitation. Competition and authority thresholds are based on the total potential commitment. The maximum time for a multi-term contract is 5 years. Contracts up to 7 years are allowed if approved, prior to the original solicitation, by the Office of General Services. Contracts exceeding 7 years must be approved, prior to the solicitation, by the Budget and Control Board. See Attachment 7 XXXI. RECORD OF PROCUREMENT ACTIONS Code reference 11-35-2440 Agencies are required to report quarterly all sole source and emergency procurements to the Office o General Services. XXXII. CONSTRUCTION, ARCHITECT-ENGINEER, CONSTRUCTION MANAGEMENT AND LAND SURVEYING SERVICES Code reference Article 9, 11-35-2910, 11-35-3020, 11-35-3230, 11-35-3240 Regulation reference 19-445.2145 10 Before any procurement actions are initiated for projects anticipated to cost more than the State permanent improvement project limit the project must be approved by the Joint Bond Review Committee and the Budget and Control Board. Once projects are approved, procurements of architect-engineer services, land surveyors, construction managers and construction constructors fall under the authority of the State Engineer’s Office and are governed by the Manual for Planning and Execution of State Permanent Improvements. Some specifics are: A. Architect-Engineer and land Surveyors 1. If fees will exceed $25,000 a formalized selected process must be followed. 2. If fees will not exceed $25,000 a contract may be negotiated with one firm. B. Construction Management Construction methods and construction management contracts must be approved by the State Engineer. C. Construction Services Construction procurements are made through the competitive sealed bid procedures noted in XIX above except that: 1 - Invitations for bids must be advertised in South Carolina Business Opportunities (SCBO) 2 - Prime contracts must list their subcontractors on their bids. 3 - Bids must include 5% bid bond with a power of attorney. 4 - Before the successful bidder can start work on a contract in excess of $100,000, the bidder must deliver a performance bond and a material and labor payment bond to the State. Each of these bonds must be for 100% of the contract amount. Only the State Engineer’s Office and agencies certified for construction services may solicit bids for construction. XXXIII. REGULATIONS FOR SALE, LEASE, TRANSFER AND DISPOSAL OF PERSONAL PROPERTY Code reference 11-35-3810, 11-35-3840 Regulation reference 19-445.2150 A. Authority - Code 11-35-3820 Regulation 19-445.2150 Any disposal, sale, lease or transfer of public personal property must be approved by the office of General Services. 11 B. Reporting - Regulation 19-445.2150(a)(2) Item declared surplus to any agency must be reported to the Office of General Services within 190 days. Information technology surplus must be reported to the Information Technology Management Office. All other surplus items must be reported to the Surplus Property Management Office. C. Disposal - Code 11-35-3820, Regulation 19-445.21509(a)(2) All disposals of surplus personal property must be conducted by the Surplus Property Management Office. Agencies may request that surplus property sale proceeds, less service charges, be returned to them. If this occurs, the sale proceeds must be used for the purchase of like kind property. If return of proceeds is not requested, proceeds are deposited in the State General Funds. D. Trade-in Sales - Code 11-35-3830 Regulation 19-445.2150(g) Governmental bodies may trade in personal property, whose original unit purchase price do not exceeded $5,000, the trade in value of which must be applied to the purchase of new item. When the original unit purchase price exceeds $5,000, the governmental body shall refer the matter to the Materials Management Officer, the Information Technology Management Officer, or the designee of either, for disposition. Governmental bodies must submit a listing of trade in sales quarterly to the Materials Management Office. E. Sale of Junk - Code 11-35-4020 Regulation 19-4458.2150(h) Surplus Property Management Office must declare it junk. Once declared junk, it may be discarded or sold. If it is sold it must be advertised in a newspaper of general circulation for 15 days in advance of the sale. XXXIV. LEASE, LEASE - PURCHASE, INSTALLMENT PURCHASE AND RENTAL OF PERSONAL PROPERTY Regulation reference 19-445.2152 The same competition requirements and authority limits apply. Straight lease or operation leases as they are called where the property has a value of more than $10,000 and the rental agreement is more than 90 days must use the State of South Carolina Standards Equipment Agreement. Vendor agreements are not acceptable. Any alteration to the Standard Equipment Agreement must be approved by the Office of General Services. 12 Lease purchase and installment purchase of personal property must be approved by the Office of General Services and the State Treasurer’s Office. Such purchases are not allowed less than $25,000.00. XXXV. LEGAL AND CONTRACTUAL REMEDIES Code reference - Article 17, 11-35-420, 11-35-4410 Any actual or prospective bidder, offerer, contractor or subcontractor who is aggrieved in connection with a solicitation or award may protest. Anybody can protest any procurement of $25,000 or more. This includes sole sources and emergencies. Protests are made first to the Chief Procurement Officer, then to the Procurement Review Panel. Beyond that, the aggrieved part may go to court. XXXVI. INTERGOVERNMENTAL RELATION Code reference Article 19, 11-35-4610, 11-35-4890 In 1983 the Code was changed to require competitive bidding for contracts between state agencies., However, on March 22, 1994, the Budget and Control Board modified its November 1984 exemption for interagency contracts. The Board delegated to the Office of General Services the authority to exempt contracts between state agencies for supplies and services as follows. In accordance with Section 11-35-710 of the Consolidated Procurement Code, delegated to the Office of General Services the authority to exempt contracts between state government agencies under Section 11-35-4830 and 1-35-4840 for supplies or services, provided a cost justification is submitted to the Office in advance. The following types of contracts between state government agencies shall be exempt from the Consolidated Procurement Code and submission to General Services is not required: (1) agreements between state government agencies which are mandated by federal or state laws; and (2) services agreements between state government agencies for services authorized by that agency’s enabling legislation s its purpose, duty, or mission. NOTE: See original exemption date 11/05/84 Interagency agreement allowable procurement procedures are listed below in the order of preference: 1 - Competitive Solicitation 2 - Sole Source 3 - Exemption for Contracts Between State Agencies Advance approval is required for exemption procedure. Cost justification is the prerequisite criteria. See Attachment 9. XXXVII. ASSISTANCE TO MINORITY BUSINESSES 13 Cod reference Article 21, 11-35-5010, 11-35-5270 Regulation reference 19-445.2160 The Office of General Services encourages the use of certified minority firms. However, to date, this is not a set aside or a preference program. It is simply an assistance program. At this time, there is no minority preference. A. MBE Plan Code reference 11-35-5240 Regulation 19-45.2160(e) All agencies are required to prepare annually a Minority Business Enterprise Utilization Plan (MBE Plan) and submit it to the Governor’s Office of Small Minority Business Assistance (OSMBA). This establishes an agency’s intent and its goal for minority business procurements. It is due August 1 each year. B. Reporting Procedures Code reference 1-35-5260 Regulation reference 19-445-2160(e) and (g) Progress reports must be submitted quarterly to the OSMBA within 10 days after the end of the quarter. Annual reports must be submitted to the OSMBA no latter than 15 days after the end of the fiscal year. NOTE: The OSMBA may accept a letter of intent instead of a full MBE plan from smaller agencies. Contact OSMBA to find out. The OSMBA may accept an annual report only instead of the quarterly reports from small agencies. Contact OSMBA to find out. XXXVIII PROCUREMENTS OF CONFERENCE FACILITIES The Budget and Control Board exempted the procurement of conference facilities from the Code on December 13, 1998. However, the members expressed their concern that agencies not go to the same place all the time. The Office of General Services was required to develop guidelines to result a greater geographic spread of conference sites instate. If the conference is held in the same city as the agency’s central office, a minimum of two hotels/motels shall be contacted in that city. If the conference is being held out of town, a minimum of two hotel/motels must be contacted in at least two different cities. See Attachment 10 for guidelines. XXXIX. UNAUTHORIZED PROCUREMENTS Regulation reference 19-445.2015 14 An unauthorized procurement is an act obligating the State in a contract by a person without the requisite authority to do so. There are 2 types of unauthorized procurements: 1 - Where someone with no procurement authority obligates the State 2 - Where a person or agency exceeds their procurement authority. This means the total potential commitment. Ratification request must provide the following: 1 - The facts and circumstances surrounding the act 2 - What corrective action is being taken to prevent recurrence 3 - Action taken against the individual committing the act 4 - Documentation that the price is fair and reasonable 15 ATTACHMENT 1 Consolidated Procurement Code Master List of Exemptions Granted As of February 9, 1999 07/30/81 1. The Construction, maintenance and repair of bridges, highways and roads; vehicle and road equipment maintenance and repair; and any other emergency type parts or equipment utilized by the Department of Highways and Public Transportation. 07/30/81 2. The purchase of raw materials by the South Carolina Department of Corrections, Division of Prison Industries. 07/30/81 3. South Carolina State Ports Authority. 07/30/81 4. South Carolina Public Railways Commission. 07/30/81 5. South Carolina Public Service Authority. 07/30/81 6. Expenditure of funds at State institutions of higher learning derived wholly from athletic or other student contests, from the activities of student organizations and from the operation of canteens and bookstores, except as such funds are used for the procurement of construction, architectengineer, construction-management and land surveying services. 07/30/81 7. Livestock, feed and veterinary supplies. 07/30/81 8. Articles for commercial sale by all governmental bodies. 07/30/81 9. Fresh fruits, vegetables, meats, fish, milk and eggs. 07/30/81 10. South Carolina Arts Commission and South Carolina Museum Commission for the purchase of one-of-a-kind items such as paintings, antiques, sculptures and similar objects. Before any governmental body procures any such objects, the head of the purchasing agency shall prepare a written determination specifying the need for such objects and the benefits to the State. South Carolina Arts Commission shall review such determination and forward a recommendation to the Board for approval. NOTE: Regulation 19-445.2010(B) further clarified this exemption in the following respect: Before any governmental body procures any art objects such as paintings, antiques, sculptures or similar objects above $200.00, the head of the governmental body shall prepare a written determination specifying the need for such objects and benefits to the State. The South Carolina Arts Commission acting on behalf of the Board shall have the responsibility to review such determination for approval prior to any acquisition. The 1985/86 Appropriations Act increased this limit to $500.00. The 1996/97 Appropriations Act increased this limit to $1,000.00 1 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 07/30/81 11. Published books, periodicals, and technical pamphlets. 07/30/81 12. South Carolina Aeronautics Commission from the provision of Section 1135-1520 of the Code in the procurement of maintenance services for aircraft. 02/25/82 13. Postage. 03/23/82 14. Granted special exemption provided in Section 11-35-710 of the Consolidated Procurement Code to the Wildlife and Marine Resources Department to allow that Department to dispose of the research vessel "Atlantic Sun" declared to be surplus property and authorized the application of funds received from this sale toward modifying, redesigning and equipping the "Lady Lisa" as a research vessel, paying Colleton County for storage of the "Lady Lisa", paying the cost of selling the "Atlantic Sun", with any remaining funds to be deposited in the general fund, on the condition that the Department of Wildlife and Marine Resources report back to the Board on the results of this transaction. 04/27/82 15. Invoices for gas and electricity, water and sewer services provided by public utilities subject to rate regulation by the Public Service Commission. 04/27/82 16. U.S. Post Office box rentals. 04/27/82 17. Copyrighted education films, filmstrips, slides and transparencies. NOTE: See 05/10/94 modification also. 04/27/82 18. Oil company credit card purchase for gas, oil and jet fuel charges only. 04/27/82 19. 04/27/82 04/26/83 04/27/82 Professional dues and registration and membership fees. 05/11/82 20. Raw materials and related supplies to be exclusively used in the production of a finished product by clients for the Department of Vocational Rehabilitation on a contract basis with industry 07/13/82 21. Attorneys, subject to approval by the Attorney General's Office (See Note 1) 07/13/82 22. Certified public accountants and public accountants engaged to perform financial and/or compliance audits, subject to approval by the State Auditor's Office, with actuarial audits and other accounting services to be procured under the terms of the Consolidated Procurement Code. (See Note 1) 07/13/82 23. Hospital and medical clinic services. (See Note 1) 2 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 07/13/82 24. Medical doctors. (See Note 1) 07/13/82 25. Optometrists. (See Note 1) 07/13/82 26. Dentists. (See Note 1) 07/13/82 27. Registered nurses. (See Note 1) 07/13/82 28. Licensed practical nurses. (See Note 1) 07/13/82 29. Psychiatrists. (See Note 1) 07/13/82 30. Investment counselors. (See Note 1) 07/13/82 31. Clergy. (See Note 1) 07/13/82 32. Court reporters. (See Note 1) 07/13/82 33. Expert witness services. (See Note 1) 08/04/82 34. Furniture refurbishing services of the Department of Corrections. 08/24/82 35. Services and/or supplies provided by the Division of General Services to public procurement units. 08/24/82 36. Printed examination forms used in the administration of state licensing examinations. NOTE: See 8/26/93 modification also. 08/24/82 37. Expenditure of funds by the Department of Corrections derived wholly from its canteen operations. 08/24/82 38. Expenditure of funds by the Office of State Treasurer in the issuance of bonds to include printing costs and any fees associated with any bond issuance. 08/24/82 39. Fuel oil and diesel oil (the $2,500 limit is waived; however, competition should be obtained whenever possible). (See Note 1) 08/24/82 40. Contracts between the Insurance Reserve Fund and insurers and reinsurers for primary and reinsurance coverage. 09/14/82 41. Actuaries. (See Note 1) 09/14/82 42. Certified the State Personnel Division to competitively solicit and enter into consultant service contracts related to employee insurance programs 3 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 with a $55,000 certification limit in any yearly period, pursuant to the authority in Section 11-35-1210 of the Consolidated Procurement Code (an increase from $35,000). 12/17/82 43. Professional artists utilized by the South Carolina Arts Commission. (See Note 2) 12/20/82 44. Granted an exemption from the provisions of the Consolidated Procurement Code to Francis Marion College for purchases of office and other supply items from the College Bookstore by departments of the College, on the condition that the sales of such supplies to other departments of the College under this exemption not exceed 5% of total bookstore sales or $30,000, whichever is less, in any fiscal year, and, further, on the condition that this exemption be effective for the same twoyear period for which Francis Marion College is certified by the Board to make purchases above $2,500, as recommended by the Division of General Services in accord with the requirements of the Procurement Code Section 11-35-710. 01/11/83 45. Doctors of osteopathy.(See Note 1) 03/08/83 46. Instructional training seminars offered by governmental bodies to state employees on a registration fee basis and those contractual consultant services necessary to provide the professional instruction for the seminars. 03/22/83 47. Physical therapists and physical therapy assistance. (See Note 1) 03/22/83 48. Speech pathologists. (See Note 1) 05/10/83 49. Occupational therapists.(See Note 1) 09/13/83 50. Veterinary services customarily obtained on a fee basis rather than by competitive solicitation. (See Note 1) 09/13/83 51. Health and Human Services Commission when placing funds with recipients as defined in Section 11-35-310(18) of the Code, in administering Title XIX of the Social Security Act (Medicaid), including early periodic screening, diagnostic and treatment program, community long-term care system, and social services block grant program, provided that recipients receiving such funds shall follow the requirements of the Code in the expenditure of such funds. 09/21/83 52. Every expenditure of funds by the South Carolina Research Authority under contract for supplies, construction, and services, as defined in Code Section 11-35-310(7), (8), (26), (28). 4 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 12/20/83 53. All expenditures paid from the Tokyo office operated by the Development Board, the Ports Authority, and the Department of Agriculture. 06/27/84 54. The Department of Mental Retardation's $500,000 emergency purchase of hepatitis B vaccine from their annual limit for the procurement of pharmaceuticals on contract. 08/14/84 55. The Board authorized an exception to the Procurement Code process under which the Division of Information Resource Management is to determine the most advantageous service provider of long distance telecommunications service with the approved filings of the Public Service Commission and the FCC to represent the established lowest responding rates available to the State. 11/05/84 56. The Board delegated to the Division of General Services the authority to exempt contracts between State government agencies and for supplies and services provided a cost justification is submitted to the Division in advance. NOTE: See amendment dated 03/22/94. 02/28/85 57. The purchase or continued lease of embedded telephone systems when approved by Information Resource Management as being advantageous to the State. 03/12/85 58. Appraisers. (See Note 1) 06/25/85 59. Health maintenance organizations (HMO'S). 07/01/85 60. Expenditures made for the various commodities Boards of the Department of Agriculture. (Ref. 1985/86 Appropriations Act, Part I, Section 63). 08/27/85 61. Historical artifacts, weapons, flags, firearms, etc., which are rare and reasonably priced in the judgment of the Confederate Relic Room and Museum staff. 10/09/85 62. Community Mental Health Centers from the requirements of Part II, Section 5 of the 1985/86 Appropriations Act. The exemption applied to the transaction by the Catawba Mental Health Center involving the sale of property at 311 Elm Street in Lancaster to Richland L. McKinney and Herbert McKinney for $18,000. 10/09/85 63. Upholstering supplies and services procured by the Governor's Mansion Complex. 10/22/85 64. The State Housing Authority from the requirements of Part II, Section 5 of the 1985/86 Appropriations Act relating to the approval and recording of 5 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 real property transactions. 10/22/85 65. All governmental bodies from the real property leasing procedure requirements of Part II, Section 5 of the 1985/86 Appropriations Act in the leasing of the following types of real property: State-owned student housing/dorm space; Parking spaces in State-owned garages or lots; State-owned lecture halls, theatres, coliseums, athletic areas, recreation areas and other areas for periods of less than seven days Non-State-owned real property (a) (b) for less than 3 months in a single fiscal year; or for a total cost of less than $5,000 in a single fiscal year; State-owned box or other seats. 10/22/85 66. The following governmental bodies from the real property leasing procedure requirements of Part II, Section 5 of the 1985/86 Appropriations Act in the leasing of the following types of real property: Department of Agriculture: State-owned farmers' market. Highways and Public Transportation: lands for maintenance and construction purposes. Community Mental Health Centers Department of Corrections; farm lands Mental Retardation: farm lands Forestry Commission: forest lands PRT: State parks and recreation lands Wildlife Department: game management areas 12/17/85 67. The financing arrangements of a contract to acquire telecommunications. Authorized Ted L. Lightle, Director of the Division of Information Resource Management, to execute an agreement for such an acquisition on behalf of the State. 01/16/86 68. The Governors' Mansion Committee from the requirements of the Procurement Code concerning matters of interior design for the three houses in the Governors' Mansion Complex and the Old Town House at Charles Towne Landing and exempted donated labor and materials on these facilities notwithstanding any other provisions of the law. 02/27/86 69. Any acquisition required to implement the Generally Accepted Accounting Principles (GAAP) conversion project. 6 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 02/27/86 70. All procurements and sales by the Clarks Hill Russell Authority under its October, 1984 Little River project master plan, as recommended by the Division of General Services, after agreeing that (1) periodic audits of such procurements and sales would be conducted by the Division of General Services; (2) the State Treasurers' Office would follow closely the implementation of the project; and (3) that periodic reports on the project would be presented to the Board. 03/11/86 71. The financing provisions of lease/purchase contracts entered into by Winthrop College, the College of Charleston, DHEC and the University of South Carolina with First Union Corporation. 03/25/86 72. The financing provisions of lease/purchase contracts and other debt and banking functions of the State Treasurer's Office. 04/08/86 73. The Research Authority from the requirements of Part II, Section 5 of the 1985-86 Appropriations Act (Code Section 1-11-65). This exempts them from approval of the Board for real estate transactions. 04/22/86 74. Animals acquired experimentation. 04/22/86 75. Advertisements in professional journals or publications. 04/22/86 76. Advertising time or space in newspapers, radio or television. (Note: Consultants obtained to handle advertising campaigns for agencies such as PRT and State Development Board are not exempted.) 04/22/86 77. Expenses of evaluation committees required for institutions of higher learning in order to maintain accreditation (i.e., Southern Association of Colleges and Schools). 04/22/86 78. License agreements for computer software after such software has been competitively bid as required by the Procurement Code. 05/13/86 79. The acquisition of all local and long-distance telecommunications service for or on behalf of the State of South Carolina from the requirement that they be purchased through the respective chief procurement officer's area of responsibility, and authorized the Division of Information Resource Management to secure such telecommunications services upon such terms and conditions as are regarded by it to be appropriate. 05/27/86 80. Clarified the exemption under Section 11-35-710 to exclude late payment charges under Section 11-35-45 effective July 1, 1986 thereby allowing public utilities to assess late payment charges under their respective tariffs as approved by the South Carolina Public Service Commission. for specific 7 or general research, testing or Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 07/15/86 81. Clemson University real estate transactions involving any real estate that is part of the Agriculture Experiment Stations or other lands deeded to Clemson University by the Federal government and held for agriculture and forestry research purposes from the requirements of the Board's surplus property disposal procedures, but did not exempt the transactions from the requirements of Code Section 1-11-65. 07/29/86 82. Service provider contracts awarded by the Health and Human Services Finance Commission funded from Federal Title XIX (Medicaid) which are for the direct provision of services to eligible clients where each client has freedom of choice to select a provider. (In order to be eligible for this exemption, the procurement must meet the following requirements: (1) the service must be Medicaid eligible, (2) the provider of service must be recognized by the Department of Health and Human Services as qualified to provide the requested service, (3) the client must be eligible to received Medicaid services, and (4) the service must be provided under the Federal Title XIX freedom of choice requirements.) 01/06/87 83. Approved a request by the Division of General Services to exempt the transaction under which Club Sertoma of South Carolina, Inc., will donate a swimming pool and bath house to Clemson University (Camp Hope), pursuant to Code Section 11-35-710. 03/24/87 84. Under authority granted to the Board in Section 11-35-710, exempted from Section 11-35-45 late payment charges from regulated companies providing telecommunication services to State agencies thereby allowing public utilities to assess late payment charges under their respective tariffs as approved by the South Carolina Public Service Commission effective for late payment charges arising from services rendered after July 1, 1987. 07/14/87 85. Exempted tuition paid to all institutions of higher learning from certain requirements of the procurement code in accordance with Code Section 11-35-710. 01/22/88 86. In accord with Code Section 11-35-710, exempted procurements of US Department of Education certified National Diffusion Network programs and related costs to include materials and those contractual consultant services necessary to provide the professional instruction. 01/08/88 87. The acquisition of all local and long-distance telecommunications equipment and maintenance and other services procured under the terms of the Settlement Agreement entitled "Agreement between the South Carolina Budget and Control Board and AT&T", approved by the Budget 8 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 and Control Board on March 8, 1988, in settlement of the case of AT&T Information Systems, Inc. v. The State Budget and Control Board, an agency of the State of South Carolina, 87-CP-40-0876 06/28/88 88. In accord with Section 11-35-710, exempted from the requirements of the procurement code procurement of pharmacy services by the South Carolina Retirement Systems under the prescription drug card program where retirement system members have freedom of choice to select from among participating pharmacies. 06/28/88 89. With regard to property reinsurance bids, after it was advised that the Procurement Review Panel had concluded, in response to a protest, that the Brown agency bid is non-responsive and agreed to exercise the exemption granted to the Insurance Reserve Fund on August 24, 1982, from requirements of the Procurement Code and thereby exempted the 1988 property reinsurance bids from those requirements. 09/13/88 90. In accord with Code Section 11-35-710, exempted the donation of a memorial structure to Clemson University by the Class of 1939. 11/30/88 91. 12/13/88 92. In accord with Section 11-35-710, exempted the Patriot's Point Development Authority from the requirements of the Procurement Code (a) in the selection of a developer to continue construction of a marina and hotel and (b) in the hiring of a construction financial advisor. In accord with Code Section 11-35-710, approved an exemption from procurement procedures for the acquisition process for conference facilities, on the condition that staff implements guidelines for the process designed to result in a greater geographic spread of conference sites inState 03/28/89 93. Approved self-insurance of the school bus program by the Insurance Reserve Fund; and granted an exemption under Section 11-35-710 for a contract with the existing claims service provider for 12 months during the transition, with a new claims service contract to be bid within six months of the effective date of the contract. 04/25/89 94. In accord with Code Section 11-35-710, exempted the Patriots Point Development Authority from the requirements of the Procurement Code for its food concession and public relations contracts until August 1, 1989. 06/05/89 95. Exempted from the requirements of the Procurement Code the Medical University acquisition of a building in the Charleston Research Park; charged the Division of General Services and the Medical University with the responsibility of negotiating the most cost-effective contract, which may involve a lease/purchase, for biomedical research facility in the Charleston Research Park; and directed staff to report back to the Board on the cost comparisons. 9 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 07/18/89 96. In accord with Code Section 11-35-710, extended the exemption of the Patriots Point Development Authority from the requirements of the Procurement Code for the food concession and public relations contracts until January 1, 1990. a) On 3/13/90, this was extended to 9/1/90. b) b) On 9/12/90, this was extended again. 09/12/89 97. Approved an agreement and a lease between Duke Power Company and the Department of Parks, Recreation and Tourism for the proposed 622acre Devil's Fork State Park and exempted this transaction from the requirements of the Procurement Code. 12/20/89 98. In accord with Code Section 11-35-710, as recommended by the Division of General Services, approved the following exemptions from the purchasing policies and procedures of the Procurement Code: (a) the following medical items invasive to the human body which would be selected by a patient and doctor: implants, grafts, pacemakers, heart valves, joint replacements, organs, tissue, blood and blood components; and (b) the following State Development Board procurements: all procurements paid from the Frankfurt, West Germany office for the use of that office; leases for office space in foreign countries; and all part-time international business consultants who represent the State of South Carolina in foreign countries. 01/29/90 99. Approved a study of the appeal process and related matters associated with the Division of State Fire Marshal and the Fire Marshal Appeal Panel, and to expedite the study completion, exempted the contract to be involved from the requirements of the Procurement Code. 06/27/90 100. Approved an increase in the exemption level for commercial leases. Effective immediately, commercial leases, that is, lease of non-state owned property, which commit less than $10,000 in a single fiscal year are not subject to the lease procurement process. However, agencies must report these exempt leases to the Division of General Services Property Management by copy of the executed lease document. This exemption level was $5,000. This grants to agencies more responsibility for the negotiation of lower cost leases and, hopefully, makes the process more expeditious. 08/14/90 101. Exempted the Commission on Higher Education procurement of consultants for evaluations of academic programs from the requirements of the Procurement Code, provided the Commission follows procedures approved by the Division of General Services. 10 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 09/12/90 102. In accord with Code Section 11-35-710, granted an extension to the Patriots Point Development Authority exemption from the requirements of the Procurement Code for food concession and public relations contracts. 11/21/90 103. Granted an exemption from the requirements of Code Section 11-35-710 to permit Clemson University to enter into an agreement by which an anonymous donor will provide for the construction of a horse research facility on land owned by Clemson University. 02/12/91 104. Granted an exemption (not including State appropriated funds) from the purchasing procedures of the expenditure of private sector donations by the Development Board used to sponsor special marketing events. 06/11/91 105. 07/17/91 106. In accord with Code Section 11-35-710, exempted from the purchasing procedures of the Consolidated Procurement Code and the Chief Procurement Officer's areas of responsibility all procurement activity relating to the development and construction of facilities needed for locating Ebasco Services, Inc., in Aiken, as requested by the Savannah Valley Authority. Exempted from the requirements of the Consolidated Procurement Code the Labor Department employment of consulting engineers to examine the Charleston industrial explosion. 07/17/91 107. In accord with Code Section 11-35-710, exempted from the purchasing procedure of the Consolidated Procurement Code the following, as requested by the State Museum Commission; (a) Historical artifacts, to include both current, specific items and objects of future historical significance; (b) Scientific specimens, to include study skins, skeletal mounts, taxidermy mounts, models, fossils, rocks and minerals, and other such materials representative of, or illustrative of, the natural world; (c) Artworks, to include examples of fine art, decorative art, and folk art and craft work; (d) Collection disciplines, to include cultural history, science and technology, art and natural history; and (e) Exhibits, to include design and fabrication and specialty materials not commercially available that are used as components of exhibits. 05/12/92 108. Delegated to the Director of the Division of General Services the authority to grant exemptions from the Consolidated Procurement Code to permit agencies to accept gifts with a total value of $100,000 or less, on the condition the five-year budgetary impact statement is positive. 05/12/92 109. Received as information a decision to declare the pending mobile data communications system proposal non-responsive; and, in accord with Code Section 11-35-710, granted an exemption from the Procurement Code to the Division of Information Resources Management to acquire two-way mobile radio voice and/or data communications systems to meet 11 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 state agency needs; and authorized a contract in excess of five years but not exceeding ten years. 05/12/92 110. Authorized the Division of Insurance Services to continue the actuarial consultant services contractual agreement with The Wyatt Company for fiscal year 1992-93, and exempted this contract from the requirements of the Procurement Code. 06/02/92 111. Exempt the South Carolina Jobs-Economic Development Authority from the South Carolina Consolidated Procurement Code. Provided the Authority developes an alternative code that is approval by the Budget and Control Board. 06/15/92 112. Exempt the Savannah Valley Authority from the South Carolina Consolidated Procurement Code except for Minority Business Provisions. Provided the Authority developes an alternative code that is approval by the Budget and Control Board. 02/25/93 113. Authorized the Division of Insurance Services to proceed with negotiations with potential vendors to provide life and long-term care insurance for the State employee group outside the limits of the State Procurement Code with any negotiated agreement to be subject to Board approval. 07/14/93 114. In accord with Code Section 11-35-710, exempted the acquisition of all local and long-distance telecommunications services for or on behalf of the State of South Carolina from the requirement that they be purchased through the respective chief procurement officer's area of responsibility and from the purchasing procedures of the Consolidated Procurement Code, until further Board action; and authorized the Division of Information Resource Management to secure such telecommunications services and equipment upon such terms and conditions as are regarded by it to be appropriate. 08/26/93 115. Modified the exemption from the requirements of the Consolidated Procurement Code of printed examination forms used in the administration of state licensing examinations to read as follows: electronic and printed examination forms and their administration for State licensing examinations. NOTE: See original exemption dated 08/24/82. 03/22/94 116. Modified an existing exemption to the requirement of the Consolidated Procurement Code for contracts between state government agencies to read as follows: In accord with Section 11-35-710 of the Consolidated Procurement Code, delegated to the Office of General Services the authority to exempt contracts between state government agencies under 12 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 Section 11-35-4830 and 11-35-4840 for supplies or services, provided a cost justification is submitted to the Office in advance. The following types of contracts between state government agencies shall be exempt from the Consolidated Procurement Code and submission to General Services is not required: (1) agreements between state government agencies which are mandated by federal or state laws; and (2) services agreements between state government agencies for services authorized by that agency's enabling legislation as its purpose, duty, or mission. NOTE: See original exemption dated 11/05/84. 03/22/94 117. In accordance with Code Section 11-35-710, exempted procurements made by a requesting agency for the purchase of grant-specified and approved major equipment, subcontracts, and consultants the agency determines to be essential to the successful completion of the grantfunded project if those procurements are made in accordance with procedures approved by the Office of General Services on an agency-byagency basis. 05/10/94 118. Amended an existing exemption to the requirements of the Procurement Code to read as follows: The procurement of copyrighted educational films, filmstrips, slides and transparencies, CD ROM documents, data bases, computer assisted instructional materials, interactive video programs and other related materials made available by information technology that can only be obtained from the company providing the information or service. NOTE: See original exemption dated 04/27/82. 05/10/94 119. Granted an exemption to the Procurement Code, until June 30, 1995, to allow the procurement of all environmental remediation contracts from purchasing policies and procedures, provided these environmental remediation contracts will be procured under the authority of and in accordance with procedures established by the State Engineer's Office. 08/24/94 120. Exempted the contract for an automated child welfare system from the purchasing policies and procedures of the Procurement Code, provided the procedures outlined in the DSS Automated Child Welfare System Background and Requested Action document are followed. 08/24/94 121. Exempted the excess ITFS capacity transactions between Greenville Technical College and Prescient Telecommunications International and between Trident Technical College and Wireless Low Country Cable Management Corporation from purchasing the equipment involved 13 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 through the respective chief procurement officer's area of responsibility and from the purchasing procedures of the Procurement Code; and, pursuant to Code Section 1-11-420, approved the contract thereon, subject to the coordination of the Information Technology Planning Office and the advice, assistance and approval of the Office of Information Resources. 11/03/94 122. Approved the Jobs-Economic Development Authority procurement policies, thereby exemption JEDA from the requirements of the Procurement Code except for Code Sections 11-/35-5120 through 11-355270, inclusive; 11/03/94 123. Granted an exemption from the requirements of the Procurement Code for the Health and Human Services Finance Commission contracts for the Medicaid Claims Control System and the Medicaid Insurance Verification Services, until such time as the State is certain as to the full schedule and impact of the Palmetto Health Initiative, or no later than December 31, 1995. 01/10/95 124. Exempted the Department of Health and Environmental Control form the requirements of the Consolidated Procurement Code for all contracts for home health services, on the condition that a written certification that this exemption will not adversely affect the medicaid reform waivers is received from the Health and Human Services Finance Commission; 1/12/95 125. The purchase of goods, products, and services by state offices, departments, institutions, agencies, boards, and commissions or the political subdivisions of this State from the South Carolina Department of Corrections, Division of Prison Industries. 3/28/95 126. Exempted Trident Technical College from surplus property procedures and approved the sale of 2.293+ acres of surplus College property off Rivers Drive in Charleston County to the adjacent land owner, with proceeds of the sale to be deposited in the capital improvement account of the local area commission as provided in Code Section 59-53-53. 10/24/95 127. In accord with Code Section 11-35-710, exempted environmental remediation projects from the purchasing policies and procedures of the Procurement Code, provided that these contracts will be procured under the authority of and in accordance with procedures established by the Office of State Engineer with the work effort to be monitored by the State Engineer. 11/14/95 128. Under authority of Section 11-35-710 of Code, granted an extension to the exemption granted November 3, 1994, for the current Medicaid Insurance Verification Services contract from the Consolidated 14 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 Procurement Code until a succeeding contract is awarded and implemented. 11/14/95 129. Increased the lease procurement exemption from $10,000 to $25,000 for college and universities, and directed staff to report on the impact of the change within twelve months. 03/05/96 130. Granted an exemption from the leasing procedures for the leasing of Clemson University PSA lands provided that the leasing be done in accordance with procedures to be approved by the Office of General Services. 11/04/97 131. Granted an exemption from the Consolidated Procurement Code to allow the Office of General Services the authority to identify high volume procurement items such as office supplies, office equipment, information technology products, vehicles, petroleum products and pharmaceutical products that are used in the operation and the administration of state government which are suited for pursuant to multi-state cooperative agreements and to enter into those agreements using procurement procedures appropriate for each transaction and agreeable to the participating states in those instances in which clear cost savings can be realized. 06/18/98 132. Granted an exemption for the Department of Health and Human Services, in coordination with other appropriate agencies and organizations, for the development of a coordinated system of services, as required by Proviso 72.58, which provides for a continuum of long term care services for elderly individuals and their families through the distribution of applicable funds to Area Agencies on Aging. 02/09/99 133. Amended the July 13, 1992, exemption for legal services pursuant to Section 11-35-710 of the Code to exempt attorneys approved by the Budget and Control Board. 04/11/00 134 06/21/00 135 Approved an exemption from the Consolidated Procurement Code for the State Forestry Commission to procure fire equipment and related supply items from the Wildlife Protection Equipment and Supplies Catalog and subsequent editions through the Cooperative Fire Program of the U.S. Forestry Service. Under the authority of Section 11-35-710 of the Consolidated Procurement Code, granted an exemption to allow all state law enforcement programs to procure law enforcement equipment and supplies for counter drug activities through Federal procurement channels under the United States Government’s State and Local Law Enforcement Equipment Procurement Program created by the National Defense Authorization Act of 1994 provided, however, that the law enforcement agency must certify that the prices paid under this program are 15 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 advantageous to the State. 16 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 NOTES 1. For the exemption to apply to these categories, the individual or firm involved must be licensed to perform the specific professional services, must provide that specific service to the requesting governmental body, and the contractual relationship created by the individual or firm and the governmental body cannot be an employer/employee relationship which would be governed by State Personnel Rules and Regulations; and categories 29, 30, and 39 must be considered independent contractors. 2. The Arts Commission maintains lists of approved artists including painters, sculptors, poets, playwrites, theater groups, craftsmen, etc. which are available to governmental bodies. This exemption includes procurements of these services by all governmental bodies if approved by the Arts Commission. 04/26/83 3. The Board clarified that exemptions granted to date are exemptions from the competitive bid procedure only and that all other aspects of the Code, specifically, the disposition of property procedure and the reporting procedures, must be complied with. 05/27/86 4. Clarified the exemption for invoices for gas and electricity, water and sewer services provided by public utilities subject to rate regulation by the Public Service Commission to exclude late payment charges under Section 11-35-45 effective July 1, 1986 thereby allowing public utilities to assess late payment charges under their respective tariffs as approved by the South Carolina Public Service Commission. 17 Consolidated Procurement Code Master List of Exemptions Granted As of June 21, 2000 MEMORANDUM TO: Voight Shealy Mike Thomas Ron Moore Mike Spicer Lynn Bone Jimmy Culbreath Ron Cathey Vic Traywick Susan Long FROM: Larry G. Sorrell, Manager Audit and Certification DATE: June 23, 2000 SUBJECT: Active Alphabetical Listing of Certified Agencies The Budget and Control Board certified the following agencies on June 21, 2000. Department of Parks, Recreation and Tourism - Goods & Services - $25,000; Information Technology - $25,000; Consultant Services - $25,000; Construction Contract Award $100,000; Construction Contract Change Order - $25,000 per change order; and Architect/Engineering Contract Amendment - $15,000; Trident Technical College - Goods & Services (local funds only) - $100,000; Information Technology (local funds only) - $100,000; Consultant Services (local funds only) - $75,000; Construction Services (local funds only) $25,000; Construction Contract Change Order (local funds only) - $25,000, per change order; and Architect/Engineering Contract Amendment (local funds only) - $5,000 per amendment. Please contact me if you need additional information. LGS/jl c: Audit Staff 2 ACTIVE ALPHABETICAL LISTING OF CERTIFIED AGENCIES AS OF June 23, 2000 CERTIFICATION NO. AGENCY CERTIFICATION DATE EXPIRATION DATE PROCUREMENT AREA/ COMMODITY CLASS AMOUNT PER COMMITMENT/CONTRACT 211) ADJUTANT GENERAL 06/18/98 06/18/00 Goods and Services $ 25,000 per commitment 226) AIKEN TECHNICAL COLLEGE 09/14/99 09/14/02 $ 25,000 per commitment $ 25,000 per commitment 202) ALCOHOL AND OTHER DRUG ABUSE SERVICES 02/10/98 02/10/01 Goods and Services (Local Funds Only) Information Technology in with the approved Information accordance Technology Plan (Local Funds Only) Goods and Services Information Technology Consultant Services 193) ARTS COMMISSION 07/08/97 07/08/00 Design and Printing Services Goods and Services 225) THE CITADEL 09/14/99 09/14/02 Goods and Services Consultant Services Information Technology Construction Contract Award 221) CLEMSON UNIVERSITY 05/11/99 05/11/02 2 Construction Contract Change Order Architect/Engineer Contract Amendment Goods and Services $ 25,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $100,000 per commitment $ 10,000 per commitment $100,000 per commitment $100,000 per commitment $100,000 per commitment $100,000 per commitment $ 25,000 per change order $ 15,000 per change order $200,000 per commitment ACTIVE ALPHABETICAL LISTING OF CERTIFIED AGENCIES AS OF June 23, 2000 CERTIFICATION NO. AGENCY CERTIFICATION DATE EXPIRATION DATE PROCUREMENT AREA/ COMMODITY CLASS Consultant Services Information Technology Consultant Services Revenue Generating Mgt. Services Construction Contract Award 219) COASTAL CAROLINA 05/11/99 05/11/02 Construction Contract Change Order Architect/Engineer Contract Amendment Goods and Services Consultant Services Information Technology Construction Services 216) COLLEGE OF CHARLESTON 02/09/99 02/09/02 Goods and Services Construction Services Consultant Services Information Technology 210) OFFICE OF THE COMPTROLLER GENERAL 05/12/98 05/12/01 Goods and Services Information Technology 3 AMOUNT PER COMMITMENT/CONTRACT $200,000 per commitment $200,000 per commitment $200,000 per commitment $10,000,000 per commitment $500,000 per commitment $100,000 per commitment $ 50,000 per commitment $ 50,000 per commitment $ 25,000 per commitment $ 50,000 per commitment $ 25,000 per commitment $100,000 per commitment $ 25,000 per commitment $100,000 per commitment $100,000 per commitment $ 10,000 per commitment $ 10,000 per commitment ACTIVE ALPHABETICAL LISTING OF CERTIFIED AGENCIES AS OF June 23, 2000 CERTIFICATION NO. 187) AGENCY DEPT. OF CORRECTIONS CERTIFICATION DATE 03/11/97 EXPIRATION DATE 03/11/00 PROCUREMENT AREA/ COMMODITY CLASS Goods and Services Construction Materials and Equipment Information Technology in with the approved Information accordance Technology plan Consultant Services Construction Services 208) SCHOOL FOR THE DEAF AND THE BLIND 05/12/98 05/12/01 Goods and Services Information Technology Consultant Services 230) DEPT. OF DISABILITIES SPECIAL NEEDS AND 01/27/00 01/27/03 Pharmaceutical Drugs Pharmaceutical Services Goods and Services Consultant Services Information Technology in with the approved Information accordance Technology Plan Construction Contract Award 4 Construction Contract Change Order AMOUNT PER COMMITMENT/CONTRACT $100,000 per commitment $100,000 per commitment $100,000 per commitment $ 50,000 per commitment $ 50,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $1,000,000 total annual contracts $1,000,000 total annual contracts $100,000 per commitment $100,000 per commitment $100,000 per commitment $250,000 per commitment $50,000 per change order ACTIVE ALPHABETICAL LISTING OF CERTIFIED AGENCIES AS OF June 23, 2000 CERTIFICATION NO. 214) AGENCY EDUCATION, DEPT. OF CERTIFICATION DATE 10/13/98 EXPIRATION DATE 10/13/01 PROCUREMENT AREA/ COMMODITY CLASS Architect/Engineer Contract Amendment $25,000 per change order Goods and Services $ 25,000 per commitment $ 25,000 per commitment Information Technology Consultant Services 227) EDUCATIONAL COMMISSION TELEVISION 11/09/99 11/09/01 Goods and Services Consultant Services Information Technology Construction Contract Award Construction Contract Change Order Architect/Engineering Contract Amend. 199) EMPLOYMENT SECURITY COMMISSION 12/09/97 12/09/00 189) FLORENCE-DARLINGTON TECHNICAL COLLEGE 04/08/97 04/08/00 5 AMOUNT PER COMMITMENT/CONTRACT Goods and Services $ 25,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $ 25,000 per change order $ 5,000 per change order $ 25,000 per commitment Information Technology $ 25,000 per commitment Consultant Services $ 25,000 per commitment Goods and Services (Local Funds $ 25,000 per Only) commitment Information Technology in $ 25,000 per with the approved Information accordance commitment Technology Plan (Local Funds Only) ACTIVE ALPHABETICAL LISTING OF CERTIFIED AGENCIES AS OF June 23, 2000 CERTIFICATION NO. 230) AGENCY FORESTRY COMMISSION CERTIFICATION DATE 01/27/00 EXPIRATION DATE 01/27/03 PROCUREMENT AREA/ COMMODITY CLASS Goods and Services Information Technology in with the approved Information accordance Technology Plan Consultant Services 207) FRANCIS MARION UNIVERSITY 04/14/98 04/14/01 Goods and Services Information Technology Consultant Services Construction Services 223) DEPARTMENT OF HEALTH & ENVIRONMENTAL CONTROL 08/12/99 08/12/02 Annual Term Contracts for: Drugs, biological for human use; Contraceptives, biochemicals and and contraceptives, biochemicals biochemical research biochem other management and device and all commodities Annual Term Contracts for Sundries hospital and germicides All other Goods and Services Information Technology in accordance with the approved Information Technology Plan Consultant Services 224) HEALTH AND HUMAN SERVICES 09/14/99 09/14/02 6 Service Provider Contracts Any Source Service Provider Funded From Being a AMOUNT PER COMMITMENT/CONTRACT $ 50,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $100,000 per commitment $100,000 per commitment $ 10,000 per commitment $ 25,000 per commitment $3,000,000 maximum of contracts combined all $1,700,000 maximum of all contracts combined $100,000 per commitment $ 50,000 per commitment $ 50,000 per commitment $2,000,000 per contract, year. per Limit four one-year ACTIVE ALPHABETICAL LISTING OF CERTIFIED AGENCIES AS OF June 23, 2000 CERTIFICATION NO. AGENCY CERTIFICATION DATE EXPIRATION DATE PROCUREMENT AREA/ COMMODITY CLASS Provider of Services Directly to a client Consultant Services including Information Technology Consultants AMOUNT PER COMMITMENT/CONTRACT extension options $ 150,000 per commitment Information Technology $ 25,000 per commitment Goods and Services $ 25,000 per commitment Goods and Services (Local Funds $ 30,000 per Only) commitment Consultant Services (Local Funds $ 30,000 per Only) commitment Information Technology (Local $ 30,000 per Only) Only) Funds commitment 220) HORRY-GEORGETOWN TECHNICAL COLLEGE 05/11/99 05/11/02 191) OFFICE OF INSURANCE SERVICES, INSURANCE BENEFITS MANAGEMENT SECTION 05/20/97 05/20/02 Employee Insurance Programs Unlimited 218) DEPT. OF JUVENILE JUSTICE 05/11/99 05/11/02 Goods and Services $ 50,000 per commitment $ 50,000 per commitment $ 50,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $ 25,000 per commitment Consultant Services Information Technology Construction Services 209) DEPT. OF LABOR, LICENSING AND REGULATION 05/12/98 05/12/01 Goods and Services Information Technology Consultant Services 7 ACTIVE ALPHABETICAL LISTING OF CERTIFIED AGENCIES AS OF June 23, 2000 CERTIFICATION NO. 201) AGENCY LANDER UNIVERSITY CERTIFICATION DATE 02/10/98 EXPIRATION DATE 02/10/01 PROCUREMENT AREA/ COMMODITY CLASS Goods and Services Consultant Services Construction Services Information Technology in 192) SOUTH CAROLINA LAW ENFORCEMENT DIVISION 07/08/97 07/08/00 Goods and Services Consultant Services Information Technology in with the approved Information accordance Technology Plan 197) MEDICAL UNIVERSITY OF SOUTH CAROLINA 09/16/97 09/16/00 8 AMOUNT PER COMMITMENT/CONTRACT $ 50,000 per commitment $ 50,000 per commitment $ 30,000 per commitment $ 50,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $ 25,000 per commitment Chemical/Reagents, Injectables, $6,000,000 per Prescription Drugs, Intravenous commitment Solutions and Sets and all other Commodities Defined in the Management Office (MMO) Materials Code Manual under #115Commodity Research and #270-Drugs, Biochemical ceuticals, Biologicals-Human Use PharmaInitially Approved by MUSC's Products Evaluation Committee Medical Supply Items and All $3,000,000 per other Commodities in the MMO commitment Commodity Code Manual under Hospital Sundries, including #475Gas Cylinders and Liquid Oxygen Linens, Patient Use, Initially Approved by for MUSC's ACTIVE ALPHABETICAL LISTING OF CERTIFIED AGENCIES AS OF June 23, 2000 CERTIFICATION NO. AGENCY CERTIFICATION DATE EXPIRATION DATE PROCUREMENT AREA/ COMMODITY CLASS AMOUNT PER COMMITMENT/CONTRACT Products Evaluation Committee Hospital, Laboratory and Re Equipment search $100,000 per commitment All other Goods and Services $ 50,000 per commitment $ 25,000 per commitment $ 100,000 per commitment $ 50,000 per commitment Consultant Services Construction Services Information Technology in with the approved Information accordance Technology Plan 212) DEPT. OF MENTAL HEALTH 06/18/98 06/18/01 Underpads, diapers $1,000,000 total annual Contracts contract Hospital sundries excluding diapers underpads, $200,000 total annual contracts Consultant/Contractual Services 196) MIDLANDS TECHNICAL COLLEGE 09/16/97 09/16/00 9 $250,000 per commitment Goods and Services $100,000 per commitment Information Technology $ 50,000 per commitment Construction Services $ 50,000 per commitment Goods and Services (Local Funds $ 25,000 per Only) commitment Information Technology in $ 25,000 per with the approved Information accordance commitment Technology Plan (Local Funds Only) ACTIVE ALPHABETICAL LISTING OF CERTIFIED AGENCIES AS OF June 23, 2000 CERTIFICATION NO. 203) AGENCY NATURAL RESOURCES CERTIFICATION DATE 02/10/98 EXPIRATION DATE 02/10/01 PROCUREMENT AREA/ COMMODITY CLASS Consultant Services (Local Funds Only) Construction Services to include change orders for construction (Local Funds Only) services $ 25,000 per commitment $ 25,000 per commitment Goods and Services $ 50,000 per commitment $ 50,000 per commitment $ 50,000 per commitment $ 25,000 per commitments $ 25,000 per commitment $ 100,000 per commitment $ 25,000 per commitment Consultant Services Information Technology Construction Services 194) PARKS, RECREATION AND TOURISM 07/08/97 07/08/00 Goods and Services Construction services Information Technology in with the approved Information accordance Technology Plan Consultant Services 232) DEPT. OF PUBLIC SAFETY 01/27/00 01/27/03 Goods and Services Information Technology in with the approved Information accordance Technology Plan Consultant Services Construction Contract Award 10 AMOUNT PER COMMITMENT/CONTRACT $ 25,000 per commitment $ 50,000 per commitment $ 50,000 per commitment $ 50,000 per commitment $ 25,000 per commitment ACTIVE ALPHABETICAL LISTING OF CERTIFIED AGENCIES AS OF June 23, 2000 CERTIFICATION NO. 215) AGENCY DEPT. OF SOCIAL SERVICES CERTIFICATION DATE 02/09/99 EXPIRATION DATE 02/09/02 PROCUREMENT AREA/ COMMODITY CLASS Construction Contract Change Order Architect/Engineer Contract Amendment Service Provider Contracts Funded from Social Services Block Grant and Child Welfare Service Provider Contracts funded from Federal Title IVService Provider being provider of services directly to a client $ 25,000 per change order $ 5,000 per change order $2,000,000 per contract with option to extend per year, additional years Goods and Services $ 50,000 per commitment $ 50,000 per commitment $ 50,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $ 25,000 per commitment $100,000 per commitment $ 50,000 per commitment $ 50,000 per commitment Consultant Services Information Technology 200) SOUTH CAROLINA STATE UNIVERSITY 02/10/98 02/10/01 Goods and Services Consultant Services Information Technology 204) DEPT. OF REVENUE 02/10/98 02/10/01 Goods and Services Printing Services 217) DEPT. OF TRANSPORTATION 03/09/99 03/09/02 Goods and Services Information Technology Consultant Services 11 AMOUNT PER COMMITMENT/CONTRACT ACTIVE ALPHABETICAL LISTING OF CERTIFIED AGENCIES AS OF June 23, 2000 CERTIFICATION NO. AGENCY CERTIFICATION DATE EXPIRATION DATE PROCUREMENT AREA/ COMMODITY CLASS Prefabricated Concrete Bridge Spans Construction Services 195) TRIDENT TECHNICAL COLLEGE 07/08/97 07/08/00 228) UNIVERSITY OF SOUTH CAROLINA 11/09/99 11/09/02 206) VOCATIONAL REHABILITATION 04/14/98 04/14/00 12 AMOUNT PER COMMITMENT/CONTRACT $250,000 per commitment $ 50,000 per commitment Aggregate $250,000 per commitment Goods and Services (Local Funds $ 75,000 per Only) commitment Consultant Services (Local Funds $ 50,000 per Only) commitment Information Technology in $ 75,000 per with the approved Information accordance commitment Technology Plan (Local Funds Only) Construction Services (Local $ 25,000 per Funds Only) commitment Goods and Services $200,000 per commitment Consultants $200,000 per commitment Information Technology $200,000 per commitment Construction Contract Award $500,000 per commitment Construction Contract Change Order $250,000 per change order Architect/Engineer Contract $100,000 per Amend. commitment Revenue Generating Services $15,000,000 per Management commitment Goods and Services $ 25,000 per commitment Consultant Services $ 25,000 per commitment ACTIVE ALPHABETICAL LISTING OF CERTIFIED AGENCIES AS OF June 23, 2000 CERTIFICATION NO. AGENCY CERTIFICATION DATE EXPIRATION DATE PROCUREMENT AREA/ COMMODITY CLASS AMOUNT PER COMMITMENT/CONTRACT Information Technology $ 25,000 per commitment Case Services Funds $ 25,000 per commitment Construction Service change $ 15,000 per contracts orders to previously approved by commitment State Engineer’s Office the 229) WIL LOU GRAY OPPORTUNITY SCHOOL 11/09/99 11/09/02 Goods and Services $ 25,000 per commitment 213) WINTHROP UNIVERSITY 08/11/98 08/11/01 Goods and Services $ 50,000 per commitment $ 50,000 per commitment $ 25,000 per commitment $ 50,000 per commitment Information Technology Construction Services Consultant Services 13 2