N.J. Admin. Code § 16:72-1.5

Current through Register Vol. 56, No. 11, June 3, 2024

Section 16:72-1.5 - Methods of procurement

(a) Invitation for Bid: Except as provided in (c) and (d) below, the formal advertising procedures contained in N.J.A.C. 16:72-2shall be followed for all purchases or contracts in excess of the amounts determined pursuant to Section 2 of P.L. 1954, c. 48 (N.J.S.A. 52:34-7) in which an award is made on the basis of cost, no negotiations are necessary with the bidders, and a firm-fixed priced contract is appropriate.

(b) Quotation: Purchases or contracts not in excess of the amounts determined pursuant to Section 2 of P.L. 1954, c. 48 (N.J.S.A. 52:34-7) or section 13 of P.L. 2018, c. 162 (N.J.S.A. 27:25-11) shall be made in accordance with the process published by the New Jersey Department of the Treasury, Circular No. 16-02-DPP, as amended and supplemented.

(c) Request for proposals: The procurement of goods and services in excess of the amounts determined pursuant to Section 2 of P.L. 1954, c. 48 (N.J.S.A. 52:34-7), which will not be evaluated based solely on cost, shall be accomplished through the issuance of an advertised request for proposal or, for professional and technical services, to a minimum of three vendors, or where determined by the Executive Director, or his or her designee, in writing, that an alternative method of procurement is in NJ TRANSIT's best interest.

(d) An alternate method of advertised procurement may be used when the Executive Director, or his or her designee, determines in writing, that the alternative method is in NJ TRANSIT's best interest.

(e) Procurement-by-exception: The requirements of (a), (b), and (c) above may be waived under the following circumstances and the purchase or contract made in such manner as the Executive Director, or his or her designee, may determine is in the best interest of NJ TRANSIT:

1. The acquisition of public or private entities engaged in the provision of public transportation service, used public transportation equipment or existing public transportation facilities or rights of way;

2. The purchase of perishable foods or subsistence supplies;

3. The leasing of such office space, office machinery, specialized equipment, buildings or real property as may be required for the conduct of NJ TRANSIT's business;

4. The acquisition of any real property by gift, grant, purchase or any other lawful manner in the name of and for the use of NJ TRANSIT for the purpose of the administration of NJ TRANSIT's business in accordance with appropriations made therefor when moneys are required for the acquisition;

5. The procurement of supplies or services for which the bid prices after advertising therefor are not reasonable or have not been independently arrived at in open competition, provided that no negotiated purchase, contract, or agreement may be entered into under this paragraph after the rejection of all bids received unless:

i. Notification of the intention to negotiate and reasonable opportunity to negotiate shall have been given by NJ TRANSIT to each responsible bidder;

ii. The negotiated price is lower than the lowest rejected bid price of a responsible bidder; and

iii. Such negotiated price is the lowest negotiated price offered by any responsible supplier.

6. The purchase is to be made from, or the contract to be made with, the Federal or any State government or any agency or political subdivision thereof;

7. The public exigency requires the immediate delivery of the articles or performance of the service;

8. Only one source of supply is available;

9. More favorable terms can be obtained from a primary source of supply;

10. Articles of wearing apparel are to be purchased which are styled or seasonal in character;

11. Commodities traded on a national commodity exchange are to be purchased and fluctuations of the market require immediate action;

12. The equipment to be purchased is of a technical nature and the procurement thereof without advertising is necessary in order to assure standardization of equipment and interchangeability of parts in the public interest;

13. The procurement of services to be performed by the contractor personally under the supervision of the Executive Director, or his or her designee, and paid for on a timely basis;

14. To acquire or overhaul motorbuses, light rail vehicles, rail cars, locomotives, signal systems, or fare collection systems; and

15. To acquire goods or services related to homeland security and domestic preparedness, that is paid for or reimbursed by Federal funds awarded by the U.S. Department of Homeland Security or other Federal agency, from vendors that:

i. Are holders of a current State contract for the equipment, goods, or services sought;

ii. Are participating in a Federal procurement program established by a Federal department or agency; or

iii. Have been approved by the State Treasurer in consultation with the New Jersey Domestic Security Preparedness Task Force.

(f) For any procurement, for which negotiation is authorized, the Executive Director, or his or her designee, may negotiate with bidders or proposers, the final terms and conditions of any contract, including price. Such ability to so negotiate shall be expressly set forth in the applicable request for proposal, or other solicitation, and submitted proposals or bids shall not be publicly accessible until after negotiations have been completed and the notice of intent to award the contract has been issued.

(g) Authority for procurement-by-exception: The authority for procurement under the circumstances listed in (e) above rests with the Executive Director, or his or her designee, for procurement transactions not in excess of the amounts determined pursuant to Section 2 of P.L. 1954, c. 48 (N.J.S.A. 52:34-7). Transactions in excess of the amounts determined pursuant to Section 2 of P.L. 1954, c. 48 (N.J.S.A. 52:34-7) will require approval as may be set forth in the By-Laws of NJ TRANSIT.

(h) NJ TRANSIT may purchase through, or from, a Federal supply schedule or through other Federal procurement programs, including, but not limited to, online ordering systems, or through, or from, vendors who hold contracts with other states, or multistate authorities, or other governmental entities to operate:

1. Rail passenger service or portions or functions thereof; or

2. Motorbus regular route, paratransit, or motorbus charter services or portions or functions thereof.

(i) NJ TRANSIT may participate in cooperative purchasing to support its operations or capital program by purchasing from a contract that was publicly competed by a public or non-profit entity and pursuant to section 13 of P.L. 2018, c. 162 (N.J.S.A. 27:25-11).

(j) Fragmentation of requirements: NJ TRANSIT's purchase requirements shall not be split into parts for the purpose of avoiding the provisions of (a), (b), or (c).

N.J. Admin. Code § 16:72-1.5

Amended by 51 N.J.R. 1209(b), effective 7/15/2019