45A.370 Competitive negotiation.
609 words·~3 min read·
/ky/chapter-45a/45a-370A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(1)A local public agency may contract or purchase through competitive negotiation,
which may include a reverse auction, upon a written finding that:
(a)Specifications cannot be made sufficiently specific to permit award on the
basis of either the lowest bid price or the lowest evaluated bid price,
including, but not limited to, contracts for experimental or developmental
research work, or highly complex equipment which requires technical
discussions, and other nonstandard supplies, services, or construction; or
(b)Sealed bidding is inappropriate because the available sources of supply are
limited, the time and place of performance cannot be determined in advance,
the price is regulated by law, or a fixed price contract is not applicable; or
(c)The bid prices received through sealed bidding are unresponsive or
unreasonable as to all or part of the requirements, or are identical or appear to
have been the result of collusion; provided each responsible bidder is notified
of the intention to negotiate and is given a reasonable opportunity to negotiate,
and the negotiated price is lower than the lowest rejected bid by any
responsible bidder.
(2)Proposals shall be solicited through public notice pursuant to KRS 45A.365(3) or
any other means which can be demonstrated to notify an adequate number of
qualified sources to permit reasonable competition consistent with the nature and
requirement of the procurement. The request for proposals shall indicate the factors
to be considered in the evaluation, including the reciprocal preference for resident
bidders required by KRS 45A.494, and the relative importance of each factor, and
the procedures to be followed if a reverse auction is used in the procurement.
(3)Written or oral discussions shall be conducted with all responsible offerors who
submit proposals determined in writing to be reasonably susceptible of being
selected for award. Discussions shall not disclose any information derived from
proposals submitted by competing offerors. Discussions need not be conducted:
(a)With respect to prices, where such prices are fixed by law, regulation, or
reverse auction, except that consideration shall be given to competitive terms
and conditions; or
(b)Where time of delivery or performance will not permit discussions; or
(c)Where it can be clearly demonstrated and documented from the existence of
adequate competition or accurate prior cost experience with that particular
supply, service, or construction item that acceptance of an initial offer without
discussion would result in fair and reasonable prices and the request for
proposal notifies all offerors of the possibility that award may be made on the
basis of initial offers.
(4)If discussions pertaining to the revision of the specifications or quantities are held
with any potential offeror, all other potential offerors shall be afforded an
opportunity to take part in such discussions. A request for proposals based on
revised specifications or quantities shall be issued as promptly as possible, shall
provide for an expeditious response to the revised requirements and shall be
awarded upon the basis of the lowest bid price or lowest evaluated bid price after
application of the reciprocal preference for resident bidders required by KRS
45A.494 submitted by any responsive and responsible offeror. No discussion shall
be conducted with offerors after submission of revised proposals except for a
compelling reason as determined in writing by the local public agency. The request
for proposals shall state that an award is to be made without discussion except as
herein provided.
(5)Award shall be made to the responsible offeror whose proposal is determined in
writing to be the most advantageous to the local public agency based upon the
evaluation factors set forth in the request for proposals and the reciprocal preference
for resident bidders required by KRS 45A.494.