N.J. Admin. Code § 19:2-7.2

Current through Register Vol. 56, No. 12, June 17, 2024

Section 19:2-7.2 - Purchases in excess of the threshold as set by the Governor

(a) Rules concerning advertising and awards of bids include the following:

1. All purchases of personal property or services where the aggregate cost involved exceeds the threshold amount as determined by the Governor pursuant to 52:34-7, which threshold amount shall be adjusted by the Governor as provided in (a)2 below, shall be made only after public advertisement for competitive bids, except where exempted by law. In cases where public advertising is not required, the Authority shall follow procedures outlined in the Authoritys Purchasing Manual to ensure that said purchase, contract, or agreement promotes full and free competition whenever competition is practicable.

2. The Governor, in consultation with the Department of the Treasury, shall, no later than March 1 of each odd numbered year, adjust the threshold, as set forth in (a)1 above, in direct proportion to the rise or fall of the Consumer Price Index for all urban consumers in the New York City and the Philadelphia area as reported by the United States Department of Labor. The adjustment shall become effective on July 1 of each odd numbered year, and such amount shall determine the threshold for competitive bidding.

3. Advertisements for competitive bids shall be placed in appropriate newspapers or journals having a large circulation in the State. All advertisements shall be approved by the Executive Director. Such advertisements shall be published not less than seven calendar days preceding the date upon which the proposals are to be received and opened. All advertisements must contain:

i. A brief description of the supplies, materials, equipment or services to be furnished or performed;

ii. Notice of the place where quotation forms, specifications, terms and conditions may be obtained;

iii. The place, date and time when the sealed bids shall be publicly opened.

4. In addition to advertising, bids may be solicited from all known interested parties by mail or web-based advertising. Such solicitations shall provide prospective bidders with at least the same information contained in the public advertisement.

5. In the event that amendment of any pertinent information supplied prospective bidders becomes necessary, notice of the change(s) shall be given to all prospective bidders at least three days prior to the opening of the bids. If such notice is given orally, it shall be timely confirmed in writing.

6. When the requisitioning unit specifies either the source or the brand name of personal property or services with a value exceeding the adjusted threshold, the related Department Director shall file with the Director of Finance a memorandum stating the basis or reasons for the particular selection; the memorandum shall be approved by the Executive Director prior to submission to the Commissioners.

7.Prior to the award of any contract, the related Department Director and Executive Director shall forward their recommendations to the Commissioners. All awards of contracts shall be made by the Commissioners. The Executive Director or his or her designee may reject any and all bids when such rejection is in the best interests of the Authority. In determining the Authoritys best interest, the Authority may consider, but is not limited to, the following:

i. Availability of funds;

ii. Budgetary constraints; and/or

iii. Credibility and reliability of bidder.

8. For valid reasons, the Commissioners may award the contract to a person other than the lowest bidder.

(b) Rules concerning terms and conditions applicable to submission of bids include

1. All bids are to be submitted in sealed envelopes on quotation forms provided in accordance with applicable instructions on or before the time fixed for the public opening.

2. All bids must be properly signed and executed.

3. Any correction of an entry made on the quotation form should be initialed by the party signing the bid.

4. Bidders may withdraw, or withdraw and resubmit, bids at any time up to 15 minutes prior to the public opening as long as the resubmitted bid fulfills all requirements applicable to the initial bid. Traditional paper bids so withdrawn shall be returned to the bidders unopened.

5. With respect to bids submitted, the Executive Director or his or her designee may reject any and all bids when such rejection is in the best interests of the Authority in accordance with the criteria set forth in 19:2-7.2(a)7. The Authority retains the right to waive informalities and minor irregularities and to make awards at any time within 90 calendar days of the public opening. If an award is not made within 90 calendar days of public opening, written extensions of time should be obtained from bidders whose bids remain under consideration.

6. In the case of inconsistencies or errors in unit prices, extensions and totals, the Authority shall have sole discretion to make determinations with regard to same.

7. Unless contrary to the nature of the procurement, or unless otherwise instructed, bidders shall be permitted to submit partial bids. The Authority reserves the right to accept any item or group of items of any bid.

(c)Rules concerning receipt and opening of bids include:

1. All bids solicited by the Authority must be submitted in accordance with the Authoritys Standard Specifications or the specific provisions of each bid or proposal specifications or contract documents before the time fixed for the public opening. Any bids received by mail after the bidding has been closed shall be returned unopened.

2. The purchasing agents shall maintain a secure place for the purpose of receiving bids. When sealed envelopes containing bids are received in the office of the purchasing division, they shall be dated, time-stamped and deposited (unopened) in the appropriate secure location.

3. On the appropriate date and at the time and place announced in the invitation to bid or in the advertisement, that person, designated by the Executive Director, shall open and publicly read the bids.

4. Simultaneously with the public reading of the bids, the bids shall be recorded in writing or electronically. A copy of the summary shall be forwarded to the related Department Director and the Executive Director will make an award recommendation to the Board of Commissioners for their action thereon.

(d) Rules concerning bid guarantees include:

1.Except when specifically waived by the Authority, all bids submitted relative to acquisitions wherein the total bid price aggregate exceeds the adjusted threshold, shall be accompanied by a bid guaranty in an amount not less than 10 percent of the bid, but may not exceed $ 20,000. In the event that the Authority deems necessary a higher bid guarantee, such amount shall be mutually agreed upon by the Director of Finance and the Director of Engineering. The form and amount thereof shall be set forth or specified in the bid specifications.

2. All bids must be properly signed and executed for paper bids and certified for electronic bids.

3. Any correction of an entry made on a quotation form submitted as a traditional paper copy should be initialed by a duly authorized representative of the bidder.

4. In the event any bidder fails to accept an award in accordance with his bid, the security submitted shall be forfeited.

5. All bid guarantees submitted in the form of a check, except the three lowest submitted bids, shall be returned to bidders as soon as possible after the award of a contract.

(e) Rules concerning security for faithful performance include:

1. Where the aggregate cost of all purchases of personal property or services exceeds the adjusted threshold, the successful bidder, simultaneously with his delivery of the executed contract to the Authority in addition to all of the foregoing requirements, may be required to furnish a surety bond or bonds as security for faithful performance of the goods and services to be furnished in accordance with the bid quotations and for the payment of all persons performing labor on the project and furnishing materials in connection therewith as specified in the general conditions covering the submission of bids and furnishing of personal property and services.

2. The surety on such bonds shall be a duly authorized surety company satisfactory to the Authority.

3. In furtherance of the Authority's policies of advancing opportunities for small business enterprises including minority and women-owned businesses, the Executive Director, in his discretion, may modify this requirement on contracts with a value of $50,000 or less to allow bidders on such contracts to post a certified check in the amount of five percent of the bid amount or $1,000, whichever is less, which check would serve as the bid and performance bond of such bidder on such contract.

(f) Rules concerning dispensing with bids when an emergency exists include:

1. When the Commissioners deem that the health, welfare, safety, or protection of the public or of its or other public property, the public convenience or the exigency of the Authoritys service will not allow sufficient time to advertise and award bids according to the requirements of these regulations, the Commissioners may waive the requirement of public bidding.

2. If the Commissioners shall find that one of the emergencies, as set forth in paragraph 1 of this subsection, exists, they shall, by resolution passed by an affirmative vote of a majority of the members of the Commission, declare an emergency to exist and set forth in the resolution the nature thereof, the approximate duration and the approximate amount to be expended during the duration of such emergency.

N.J. Admin. Code § 19:2-7.2

Amended by 46 N.J.R. 879(a), effective 5/19/2014.