Chapter 1600 - Chapter-View
| Subject | Section | |||||
|---|---|---|---|---|---|---|
| ACQUISTION METHOD - LEVERAGED PROCUREMENTS | 1600 | |||||
| LEVERAGED PROCUREMENT ACQUISTION METHODS LIST | 1601 | |||||
| LEVERAGED PROCUREMENT AGREEMENT (LPA) BASICS | 1602 | |||||
| ACHIEVING BEST VALUE USING LPAs | 1603 | |||||
| DOCUMENTING the RESULTS of an LPA OFFER | 1604 | |||||
| AMENDING an LPA PURCHASE DOCUMENT | 1605 | |||||
| STATEWIDE CONTRACTS (SC) | 1606 | |||||
| Statewide Contract (SC) Basics | 1606.1 | |||||
| CALIFORNIA MULTIPLE AWARD SCHEDULE (CMAS) | 1607 | |||||
| CMAS Basics | 1607.1 | |||||
| Achieving Best Value Using CMAS | 1607.2 | |||||
| Not Specifically Priced Items (NSP) | 1607.3 | |||||
| Executing a Purchase Document for CMAS | 1607.4 | |||||
| SOFTWARE LICENSING PROGRAM (SLP) | 1608 | |||||
| Software License Program Basics | 1608.1 | |||||
| STATE PRICE SCHEDULE | 1609 | |||||
| State Price Schedules Basics | 1609.1 | |||||
| MASTER AGREEMENTS (MAs) | 1610 | |||||
| Master Agreement (MA) Basics | 1610.1 | |||||
| Achieving Best Value Using MA | 1610.2 | |||||
| COOPERATIVE AGREEMENTS | 1611 | |||||
| CALNET 2 | 1612 | |||||
| CA 1122 PUBLIC SAFETY PROCUREMENT PROGRAM (GSA Component Only) | 1613 | |||||
| 1122 Basics – Contracting with GSA Suppliers | 1613.1 | |||||
| Achieving Competition | 1613.2 | |||||
| Procurement Procedure | 1613.3 | |||||
ACQUISTION METHOD - LEVERAGED PROCUREMENTS - 1600
Introduction
This chapter describes the various types of the State’s leveraged procurement agreements (LPAs) that provide for all goods and services and how to use them. The categories of LPAs include:
- Statewide Contracts (SC)
- California Multiple Award Schedules (CMAS)
- Software Licensing Program (SLP)
- State Price Schedules
- Master Agreements (MA)
- Cooperative Agreements
- CA 1122 Public Safety Procurement Program
Some of the topics discussed include using LPAs to order goods and services, order limits, obtaining offers, best value determination and amending orders.
Unless identified as a mandatory contract, the use of LPAs is optional, although departments are encouraged to take advantage of the benefits of these pre-established contracts.
Departments must have approved purchasing authority for the applicable category in order to place orders against that category. The requirement for purchasing authority does not apply to DGS/PD when conducting procurements on behalf of customers.
LEVERAGED PROCUREMENT ACQUISTION METHODS LIST - 1601
Once the acquisition type is identified, the next step is to identify the acquisition method.
An acquisition method identifies how the purchase is to be made and what key activities within the procurement process should be followed.
|
FI$Cal Acquisition Method Value |
Acquisition Method |
Acquisition Method - Detail |
Description |
| 029 | Leverage | 1122 Procurement Program (GSA Component) (requires offers) | Written approval from CalOES must be obtained in advance prior to utilizing this method. This method uses Federal GSA Schedules directly and requires further competition utilizing a written solicitation document. |
| 030 | Leverage | CMAS (requires offers) | State policy requires soliciting best value offers from suppliers that have a valid CMAS agreement with the State of CA and must use the CMAS Terms and Conditions. |
| 031 | Leverage | Cooperative Agreements (requires offers) | Individual User Instructions direct users on how to obtain best value offers in accordance with state policy requirements. State agencies may only contract with suppliers that have a valid agreement with the State of CA and must use the terms and conditions offered under those agreements. |
| 032 | Leverage | Cooperative Agreements (no further offers required) | State agencies may issue "orders" against these Agreements in accordance with User Instructions. Purchasing authority dollar threshold is UNLIMITED for this acquisition method. The lead state competitively bid the contract in accordance with CA laws and included CA terms and conditions; the contract award was made to one supplier. Therefore, no further competition is necessary when state agencies use these contracts. |
|
033 |
Leverage | IT Master Service Agreement (MSA) (requires offers) | For use when executing contracts with an IT Consulting Services MSA contractor. State agencies must adhere to IT Consulting Services MSA User Instructions. |
| 034 | Leverage | Master Agreements (requires offers) | Individual User Instructions direct users on how to obtain best value offers in accordance with state policy requirements. State agencies may only contract with suppliers that have a valid MA agreement with the State of CA and must use the terms and conditions offered under those agreements. |
| 035 | Leverage | Master Agreements (no further offers required) | State agencies may issue "orders" against these Master Agreements (MA) in accordance with User Instructions. Purchasing authority dollar threshold is UNLIMITED for this acquisition method. These MAs are based on an award to a single supplier, where further competition could not be achieved, or where the MA is mandatory. Therefore, no further competition is necessary when state agencies use these contracts. Example(s): Credit Card Acceptance; Electronic Library Services does not require further competition since these MAs were created via the NCB process. |
| 036 | Leverage | Software Licensing Program (requires offers) | State policy requires obtaining best value offers. State agencies may only contract with suppliers that have a valid SLP agreement with the State of CA and must use the terms and conditions offered under those agreements. |
| 037 | Leverage | State Price Schedules (requires offers) | A list of suppliers is available. |
| 038 | Leverage | Capital Leases - LEASING |
These acquisitions methods are for use by DGS Real Estate Services Division (RESD) when processing real property lease agreements under RESD’s authority. State agencies conducting acquisitions under purchasing authority granted by the DGS/PD are not authorized to use these two methods. |
| 039 | Leverage | Operational Leases - LEASING | |
| 040 | Leverage | Statewide Contracts (no further offers required) | State agencies may issue "orders" against Statewide Contracts in accordance with User Instructions. Purchasing authority dollar threshold is UNLIMITED for this acquisition method. The Statewide Contract itself, was created as a result of a competitive bid process and awarded to specific suppliers for specified items. Therefore, no further competition is necessary when state agencies use these contracts. |
LEVERAGED PROCUREMENT AGREEMENT (LPA) BASICS - 1602
(Revised: 12/2025 )
Introduction
Leveraged Procurement Agreements (LPAs) are established by DGS, Procurement Division (PD) under Public Contract Code (PCC) sections 10290 et seq. and 12101.5. These agreements streamline state purchasing by eliminating the need for departments to conduct repetitive, resource intensive, costly and time-consuming bid processes. While state departments are authorized to use LPAs under these laws, they are not authorized to create them and must follow all applicable state policies and procedures.
LPAs commonly include “user guides” or “ordering instructions” that are unique to a particular LPA program and/or contract. These instructions, for the purposes of this chapter will be commonly referred to as “user instructions.” Buyers, in addition to reading this chapter, should always refer to the user instructions for the specific LPA being utilized.
Buyers must also be aware of the importance of reading this chapter in its entirety as the chapter was created to consolidate like processes throughout the various LPAs into the beginning section of the chapter.
LPA Prices
LPA prices for products and services vary from category to category. Some LPA prices are listed as maximums and negotiating for lower prices is recommended. Others are at a fixed price for which negotiation is not allowed.
Because of these variables, buyers are required to confirm that the products, services and prices are included in the contract and that the prices in the department’s order are at or below the contract rates. This is accomplished by obtaining a complete copy of the LPA before executing any purchase documents. The contract’s user instructions describe the tasks necessary to solicit offers for the order.
Solicitation Document
Some LPAs require the department to prepare and distribute a Request for Offer (RFO) using an authorized supplier pool. An RFO is a document sent to LPA contractors which contains requirements for a specific transaction and requests a specific response or offer. The individual user instructions will indicate whether additional offers are required.
Establishing LPAs
LPAs are established by the DGS/PD as follows:
|
If the LPA is: |
Established by: |
|
Statewide Contract (SC) Contract number leads with a “1” or “8”. SC numbers that begin with “8” are restricted to California Correctional Training and Rehabilitation Authority (CALCTRA) use only. |
Statewide competitive bid for:
|
|
State Price (SP) Schedule Contract number leads with “2” |
Non-Competitively Bid agreement for:
|
|
California Multiple Award Schedule (CMAS) Contract number leads with “3” for IT and “4” for non-IT |
Competitively assessed, negotiated or bid:
|
|
Master Agreements (MA) Contract number leads with “5” |
Statewide competitively bid (generally) with award to all responsive bidders:
|
|
Cooperative Agreements (CA) Contract number leads with “7” |
Multi-state cooperative purchasing agreements for:
|
Where to find LPA Information?
To access LPA information please click here: Cal eProcure website
Why Do Departments Need a Copy of the LPA Contract?
Departments must obtain a copy of the LPA to be used in order to:
- Validate the contractor is authorized to sell specific products and/or services.
- Determine warranties, guarantees, maintenance provisions, product return policies, bond requirements, travel costs, etc.
- Determine if products and services are available on the LPA.
- Determine which products and/or services are specifically excluded.
- Determine if prices quoted are at or below LPA rates.
- Determine if additional approvals, forms, filings, etc. are required.
- Substantiate the contractor is CA certified as a SB or a DVBE (if applicable).
- Substantiate the contractor has a valid contractor’s license (if applicable).
- Substantiate the contractor has a valid seller’s permit (if applicable).
What LPAs Offer
LPAs offer goods and services that have been competitively assessed, negotiated or bid, and are structured to comply with California procurement codes, policies, and guidelines, providing for maximum contractual protection.
Architectural, engineering, and environmental services, legal services, and public work activities are not available on LPAs.
What is Required to Use LPAs
In order to use LPA contracts, departments must:
- Obtain a complete copy of the LPA contract to be used
- Read through the specific LPA contract and corresponding user instructions to understand the parameters for using a particular LPA. The user instructions include limitations and/or restrictions (if any), the contracting process, requirements, how to secure pricing, and how to ultimately execute the proper purchase document to complete a transaction.
Departments must have purchasing authority to use LPAs for goods and services.
Applicable Codes, Policies and Procedures
The use of LPAs does not exempt adherence to all applicable laws, regulations, codes, and policies relative to state contracting and procurement requirements. This includes but is not limited to: conducting and executing all applicable planning activities, pre-procurement approvals, Government Code, Section 19130 civil service considerations, contract approvals, prompt payment requirements and receiving activities established by this manual.
Standard Purchase Document
Buyers must read the user instructions provided for the individual LPA to determine the appropriate purchase document to be utilized.
LPA Contract Provisions
Departments may add requirements but not delete any LPA terms and conditions without prior written approval from DGS/PD.
Mixing LPAs
Offers cannot be mixed using different types of LPAs to execute a single order. LPA categories (CMAS, MA, SC, and Software Licensing Programs (SLP) cannot be combined to obtain offers to select a supplier.
Example:
An IT consultant is needed. The department has LPA IT purchasing authority for CMAS and Master Agreements (MA). Offers cannot be obtained from both CMAS contractors and the Masters contractors to meet the department’s need and the requirement to obtain offers.
SB and DVBE Consideration
When placing orders against LPAs, offers must be considered from certified SB and/or certified DVBE, when available. The certified prime must perform a Commercially Useful Function (CUF) in the resulting purchase document. Most LPA processes provide departments with a means to claim contracting dollars toward SB or DVBE participation goals.
Expand the pool of California certified SB, Microbusiness (Micro) and Disabled Veteran Business Enterprise (DVBE) firms participating in state contracts by regularly seeking out and identifying certified firms that have not previously done business with, or that are not regularly used by the awarding department and other state agencies, and include those SBs, Micros and DVBEs when using this acquisition method.
SB and DVBE Sub-Contracting Participation Tracking
Subcontracting dollars towards departmental SB or DVBE participation goals may be claimed whenever an LPA contractor subcontracts a CUF to a certified SB or DVBE business. The LPA contractor will provide the ordering department with the name and address of the certified SB or certified DVBE business used and the dollar amount that may be applied towards the SB or DVBE participation goal. The buyer must enter the information in the FI$Cal system or procurement file for tracking purposes.
SB and DVBE Verification
Inquiries through the Office of Small Business and DVBE Services (OSDS) database are to be performed to verify SB and DVBE certification status of all LPA contractors prior to issuing the order. The certification data (SB and DVBE reference number, status, term, business type, etc.) provided from an inquiry, when applicable, must be maintained within the procurement file.
Click here to access the OSDS webpage.
Specifications and EPP consideration
When placing orders against LPAs all offers considered must meet the performance and environmental administrative and specifications requirements, including certifications, in the resulting purchase document. The LPA contractor must provide the ordering department information that validates EPP and SABRC compliance. When EPP and SABRC criteria are to be considered for LPA tracking purposes, the purchasing department must submit the information to DGS Procurement Division for the information to be entered into the FI$CAL system.
CAL-Card Usage
Individual LPA contracts will provide direction as to whether or not the contract allows for credit card payments. Payment may be made for goods and services with a CAL-Card, as long as the contractor accepts a VISA card. CAL-Card is a payment mechanism, not a procurement approach. Consequently, an LPA order must be executed on a purchase document regardless of dollar amount when using CAL-Card for payments.
Disputes
If a supplier dispute occurs, the department shall first attempt to resolve complaints or disputes informally. If the dispute cannot be resolved by the department, the dispute may be elevated to the DGS/PD contract administrator as identified in the individual LPA contract or to the DGS/PD Dispute Resolution Unit.
Categories and Dollar Thresholds
Refer to the Purchasing Authority section for more information on categories and dollar thresholds.
Exemptions from Dollar Thresholds
Exemptions to the dollar threshold for LPAs may be considered if a department meets the necessary requirements. Refer to the Purchasing Authority section for information on how to request an exemption to the dollar threshold on a transactional basis.
Contractor Evaluations
Pursuant to Public Contract Code, Sections 10367 and 10369, each contractor providing consultant services of $5,000 or more shall be advised in writing on the standard contract that the performance will be evaluated.
- One Contract/Contractor Evaluation, form STD 4, must be prepared within 60 days of the completion of the contract. The form shall be uploaded into FI$Cal and kept as part of the procurement file.
- The agency shall document the performance of the contractor in doing the work or in delivering the services for which the contract was awarded.
- The evaluations shall remain on file by the agency for a period of 36 months. If the contractor did not satisfactorily perform the work or service specified in the contract, the agency conducting the evaluation shall place one copy of the evaluation form in a separate agency contract file and send one copy of the form to DGS Office of Legal Service (OLS) within five working days of the completion of the evaluation. (SCM Volume 1, section 3.02.5)
- On filing an unsatisfactory evaluation with DGS/OLS, the state agency shall notify and send a copy of the evaluation to the contractor within 15 days. The contractor shall have 30 days to prepare a statement defending their performance under the contract and to send it to the agency and the department. The contractor's statement shall be filed with the evaluation in the agency's separate contract file and in DGS/OLS's files.
The evaluations and contractor responses on file with the agencies and DGS/OLS are not public records; they should be maintained in a separate file.
Administrative Fees
LPA Administrative Fees, if applicable, are identified within the DGS State Price Book and/or described within the LPA user instructions.
Click here to access the DGS State Price Book.
Protest Language
Since a Request for Offer (RFO) for MA, CMAS and CA 1122 are not considered competitive solicitations, departments must not include protest language.
Legal Reference
Assembly Bill No. 1574, Chapter 756
Government Code, Section 14838(f)
Government Code, Section 14838.5(a) and (b)
Related Policy, Procedures & Resources
Broadcast Bulletin, P-11-22, NEW Requirement to Expand the Pool of Small Businesses and Microbusinesses in State Contracts/Procurements
State Contracting Manual (SCM), Volume 2, Section 1405.3, SB/DVBE Option
State Contracting Manual (SCM), Volume 2, Section 1602, LPA Basics
State Contracting Manual (SCM), Volume 2, Section 1510, Fair and Reasonable (F&R) Acquisition Method Purchases
Attachments
None.
ACHIEVING BEST VALUE USING LPAs - 1603
Seeking Multiple Offers
Multiple offers must be sought whenever multiple suppliers are known to exist unless otherwise directed by individual contract user instructions, policies and/or statutes or identified as an “exempt” contract. “Multiple offers” is defined to be a minimum of three (3) offers, including one CA certified SB and/or DVBE (if available).
See individual LPA topics within this section for additional instructions.
Choose your Words Carefully
Avoid using words:
- That imply competitive bids when using LPA categories such as MA and CMAS
- “Bid”, “quote”, “solicitation” and/or “evaluation” when conducting a supplier comparison or requesting offers. Clarify that there will be a comparison of offers to determine best value.
Do not include language regarding SB preference, DVBE incentive, protest language, intents to award, evaluation criteria or advertising requirements when procuring through the LPA program. When obtaining offers using a written document, the document is referred to as a Request for Offer (RFO).
Since RFOs are not considered competitive solicitations, departments must not use the two-envelope evaluation process.
Best Value
Most LPAs require a supplier be selected based upon a “value effective” is high score and not the same as best value concept or as commonly referred to within the LPA processes as “best value”, when there are multiple providers of products and services. “Best value” relates to requirements and supplier selection criterion or other factors for a particular transaction that are established to ensure that business needs and goals are effectively met and that the State obtains the best value. For the purposes of this section, best value will refer to consideration of factors deemed a priority to the department.
Buyers must know what is important to the program for which the procurement is being made, document those needs and requirements, and then canvas suppliers, either using a pre-qualified supplier group in an MA or searching CMAS contractors who possess the products or skills. Canvassing may take the form of a written RFO outlining the requirements. The best value criteria must be included in the procurement file.
LPAs that have been identified as “exempt” from obtaining multiple offers are not required to document best value, unless otherwise directed by the individual user instructions.
Possible Criteria
Best value can be determined using any one or all of the following criteria as applicable to the effort:
- The price of the product or service
- The operational cost that the State would incur if the offer is accepted
- The quality of the product or service, or its technical competency
- The reliability of delivery and implementation schedules
- SB/DVBE participation as prime or subcontractor (advertising and DVBE forms not required for LPAs) to meet department goals
- Environmentally Preferable Purchasing (EPP) criteria
- The maximum facilitation of data exchange and system integration
- The warranties, guarantees, return policy and take-back for reuse or recycling
- The supplier financial stability
- The consistency of the proposed solution with the State’s planning documents and announced strategic program direction
- The quality and effectiveness of business solution and approach
- The industry and program experience
- The prior record of supplier performance
- The supplier expertise with engagements of similar scope and complexity
- The extent and quality of the proposed participation and acceptance by all user groups
- The proven development and methodologies and tools
- The innovative use of current technologies and quality results
Regardless of other criteria being used to accept an offer, price must always be used as best value criteria.
Supplier Contract Award using Best Value
To determine supplier selection using best value, the following minimum steps are required. Departments shall:
- Define business requirements (for example, in a Statement of Work for services) for inclusion in the RFO
- Obtain a copy of the LPA contract from each contractor contacted
- Review the contracts in context with the department’s requirements and contractor offers
- Compare contracts and offers with those from other contractors
- Select the offer with documented “best value” meeting requirements
Include the supplier selection rationale and the related documentation that supports the selection in the procurement file.
Conduct a Supplier Comparison
Unless otherwise directed by the individual LPA user instructions or when using an exempt contract, multiple offers are required. Contact a minimum of three (3) suppliers who can provide the requested goods and/or services.
This supplier comparison can be in the form of a verbal or written RFO, identifying the department’s needs and requesting contractors to offer their best price and/or offer to meet requirements. An RFO process may be conducted by phone, fax, email, or by other means such as a supplier picking up the RFO in person. Buyers shall refer to applicable user instructions to confirm any special requirements regarding the supplier comparison format.
Departments must document in the procurement file all LPA contractors that were contacted, provide a recap of their offers, and record how the selection was made, including criteria for determining “best value”.
Click here for RFO Templates.
Contacting more than 3 Suppliers
Departments that contact more than 3 suppliers and obtain more than 3 offers shall document their files with all responses, determine best value, and then proceed with the purchase document execution.
Fewer than 3 Offers
Unless otherwise directed by either the LPA user instructions or it has been determined that the LPA being used is exempt from obtaining 3 offers, the procurement file must be documented in sufficient detail to support the supplier selection.
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If a Department Contacts 3 Sources and Receives |
Then the Department shall Document the Procurement File with the Reasons Why |
|
1-offer |
The other two (2) suppliers did not respond. |
|
2-offers |
The third supplier did not respond. |
Only One Source Known
The LPA user instructions will determine the number of offers that have to be obtained. If only one source is known within an LPA type and category (CMAS, MA, SLP, etc.), and thus multiple offers cannot be obtained:
- Conduct a competitive solicitation, if suppliers are known to exist outside of the LPA programs or
- Execute the response as an NCB contract if no other sources are known outside of the LPA program being used. See the section for NCB processing requirements or
- Execute the response as a transaction that is exempt from obtaining multiple offers by either statute or policy and document the procurement file in sufficient detail to support the basis of the exemption. (Examples: authorized dealer letter, proof of copyrighted material, officially licensed good or patented product)
DOCUMENTING the RESULTS of an LPA OFFER - 1604
Documenting the Results
Departments must document all LPA suppliers that were contacted, provide a recap of their offers and record how the selection was made, including criteria for determining “best value”.
Departments have the option to use the Best Value Determination Worksheet or the department’s own form to document the results, or if using an MA LPA defer to the requirements of the user instructions.
The Best Value Determination Worksheet facilitates easy compilation of offers received and supplier selection rationale. Regardless of the format used, the information must be retained in the procurement file.
Click here to access the Best Value Determination Worksheet.
LPA File Documentation
Click here to access the LPA file documentation requirements.
Location of the Entire Contract
If the complete LPA is not maintained in the procurement file, buyers shall document, within the procurement file, where the complete contract is located.
AMENDING an LPA PURCHASE DOCUMENT - 1605
Amendments for Goods and Services
Original orders, which include options for changes (e.g., quantity or time), that were assessed and considered in the selection for award during the RFO process, may be amended consistent with the terms of the original order, provided that the original order allowed for amendments. If the original order did not evaluate options, then amendments are not allowed unless an NCB is approved for those amendments.
Amendments may be executed without NCB approval for incidental omissions such as:
- Transposition of numbers from the RFO response to the purchase document or
- Inadvertent failures to include such things as contact names or for mistyped addresses.
- This does not apply to changes in quantity or time.
Amendments must also be executed for contractor name changes that have been authorized in the LPA contract.
Amendments Unique to Non-IT Services
If the original contract permitted amendments, but did not specify the changes, (e.g., quantity or time), it may be amended. Per Public Contract Code (PCC) 10335(d)(1), a contract may only be amended once under this exemption. The time shall not exceed one year, or add not more than 30% of the original order value and may not exceed $250,000.00. If the original contract did not have language permitting amendments, the NCB process must be followed.
Original transaction valued less than $5,000
Unless otherwise directed by LPA user instructions, the NCB process must be followed if an amendment will cause the original transaction amount to exceed $4,999.99 and the original transaction was established based on fair and reasonable methodology.
STATEWIDE CONTRACTS (SC) - 1606
Introduction
Statewide Contracts (SCs) are competitively bid and awarded contracts established by the DGS/PD to take advantage of lower costs passed on by suppliers bidding on large quantities of goods repetitively used by multiple State departments. These contracts have unlimited dollar thresholds unless otherwise noted in the specific contract user instructions. Departments must use mandatory SCs if so designated in the user instructions.
The DGS/PD has successfully integrated sourcing into its regular operations. Therefore, all LPAs previously referred to as California Strategically Sourced Contracts (CSSI) are now called SCs.
Statewide Contract (SC) Basics - 1606.1
(Revised: 12/2025 )
When to Use SCs
SCs are established to reduce the need for individual departments to conduct repetitive bids for like products. Use of most SCs, is mandatory, but the use of some SCs is non-mandatory. Buyers must verify the mandatory or non-mandatory status of a contract by reviewing the user instructions for each contract.
SC Limitations
SC’s do not have dollar limits or limitations to their use unless otherwise noted in the specific contract and/or user instructions.
Contract Price is Maximum
Contract pricing identified within SCs is the maximum allowed.
Distinguishing SC Contracts
SCs are identified in most cases with a numbering system beginning with “1” although there may be some exceptions, e.g., some contracts previously known as CSSI contracts will retain their original CSSI number beginning with a “1S” until the contract is renewed. In addition, there are some SC contracts that begin with an “8”. SC numbers beginning with an “8” are restricted to California Correctional Training and Rehabilitation Authority (CALCTRA) use only.
Using SCs
The following must be verified before executing an SC order:
- Departments must have the appropriate purchasing authority.
- Is the contract mandatory or non-mandatory?
- Does the order require any CALCTRA waivers?
- Does the order require additional review and approval prior to issuing the order (i.e. Fleet etc.)?
- Obtaining multiple offers is not required since these SCs are established as a result of competition.
- Each SC provides a set of user instructions unique to each contract. This includes instructions to departments for obtaining DGS written approval for any exemption to conduct a purchase outside of an authorized SC.
- The FI$Cal system will identify the SC numbers on the purchase document.
- Procurement files must be documented in sufficient detail to support the purchase transaction in the same fashion as any other LPA purchase activity.
- Purchasing dollar thresholds, although unlimited, must remain within the department’s approved purchasing authority dollar threshold for SCs.
- That all certified SB or DVBE purchases made through the SCs will be reported monthly by the contract holder and be credited to the purchasing department.
Click here to access the list of LPAs contracts.
SB/DVBE Off-Ramp Policy for Mandatory SC
Mandatory SC awarded by the DGS for goods may have a Small Business/Disabled Veteran Business Enterprise (SB/DVBE) Off-Ramp, meaning departments will be permitted to purchase equivalent products at the same or lower price from other sources that are certified SBs or DVBEs. To determine whether a particular mandatory contract has an SB/DVBE Off-ramp, consult the user instructions for that contract or refer to the State Contracts Index Listing.
SB/DVBE Off-Ramp Usage Rules
In order to utilize the SB/DVBE Off-Ramp, departments must document in the procurement file that the goods being purchased are:
- Equivalent to the goods available from the SC including product description, functional requirements and manufacturer warranties as provided in the SC and
- Equal to or less expensive pricing than the pricing offered from the SC for the same product based on the total order value before taxes.
Additional rules for the SB/DVBE Off-ramp are:
- Departments must have applied for and received purchasing authority granted by DGS/PD in order to utilize the SB/DVBE Off-ramp as identified by the user instructions.
- Transactions must be less than $250,000 including sales and use tax, finance charges, postage, and handling charges;
- For purchases greater than $0 and less than $5,000, departments must document in the procurement file that the price is less than or equal to the pricing on the statewide mandatory contract unless otherwise stated in the user instructions;
- For purchases of $5,000 and up to $249,999.99 departments must obtain price quotations from two or more certified SBs or two or more certified DVBEs (must be the same certification type) unless otherwise stated in the user instructions;
- SB/DVBE Off-ramp purchases must be made from a supplier with a current California SB or DVBE certification.
- Other rules as specified in the user instructions.
Purchase Documents
Unless otherwise directed by individual SC user instructions, the common purchase document used to issue SC orders is the purchase order within FI$Cal. When utilizing the SB/DVBE Off-ramp, the system will generate the word “Off-ramp” on the Purchase Order. Buyers must ensure their purchase is an exact match, make and model, when a product is identified as meeting one or more EPP criteria, meeting all applicable specifications and certifications of the original LPA. Departments within their purchase order shall track EPP and SABRC information as it is noted within the FI$Cal Item Master ID list.
Exemptions
Occasionally, a department will need to purchase a product type other than what is available through the mandatory IT Hardware Statewide contracts. In these instances, the department must obtain an exemption from the use of the contract from the Department of General Services Procurement Division (DGS-PD), Contract Administrator.
Click here to access the Exemption Form and Instructions.
If you have additional exemption process questions, please contact your contract administrator.
Body Armor Purchases
Departments shall purchase body armor (stab resistant and/or bullet proof vests) from the mandatory SC. If the products do not meet the department’s requirements, then the department must submit to DGS/PD a requisition for DGS/PD to procure the goods on behalf of the department.
Statewide Pharmaceutical Program
Please click here to access further information on the Statewide Pharmaceutical Program.
CALIFORNIA MULTIPLE AWARD SCHEDULE (CMAS) - 1607
Introduction
The California Multiple Award Schedule (CMAS) program was established in May 1994 and incorporated in Public Contract Codes, Sections 10290 et seq. and 12101.5. CMAS contracts are established for products and services that have been competitively assessed, negotiated, or bid primarily, but not exclusively, by the Federal General Services Administration. The program enables the State to streamline purchases by removing repetitive, resource intensive, costly, and time-consuming bid processes.
CMAS Basics - 1607.1
Products and Services
The CMAS program offers primarily Federal GSA multiple award schedules pricing with California terms and conditions with suppliers that provide goods and services.
Not all products and services listed on a GSA contract comply with California laws and regulations. Departments are responsible for checking compliance prior to purchasing.
Contract Price is Maximum
Contract prices for products and/or services must be equal to or lower than the prices set in the base contract. Negotiating lower prices and seeking competition is strongly encouraged.
Who can Sell on CMAS
Only the prime CMAS contractor and resellers who are explicitly listed in the CMAS contract can sell the goods and/or services using CMAS terms and conditions listed in their CMAS contract.
CMAS Dollar Thresholds
No CMAS order may be executed that exceeds a department’s CMAS purchasing authority threshold, without an approved exemption.
Achieving Best Value Using CMAS - 1607.2
Make a Valid Attempt to Seek Offers
A valid attempt must be made to secure offers from viable contractors who are able to supply the goods and/or provide the services. Neither a lack of sufficient CMAS contractors nor the use of restrictive requirements meets the intent for obtaining offers.
CMAS Purchases less than $5,000
CMAS orders valued less than $5,000 may be executed without obtaining multiple offers if fair and reasonable pricing has been established and documented.
Documentation to support fair and reasonable pricing must be retained in the procurement file.
CMAS Purchases Exceeding $5,000
For CMAS orders for goods and services exceeding $5,000:
- Obtain 3 offers, including one CA certified SB and/or DVBE (if available)
- Document responses
- Execute Purchase Document per the contract user instructions
|
CMAS ORDER IS FOR |
AND DOLLAR AMOUNT IS |
THE BUYER MUST |
| Non-IT Goods |
$5,000 - $100,000 |
|
| Non-IT Services | $5,000 - $50,000 |
|
| Non-IT Services | $50,000.01 and above | See next info block for special requirements |
Review Process for CMAS Non-IT Services Exceeding $50,000
The following requirements are specific to non-IT services CMAS transactions.
Prior to executing a CMAS purchase order (PO) for non-IT services over $50,000, departments need DGS/PD approval. DGS/PD will review the following items:
- Completed purchase document and applicable attachments
- The RFO
- Listing of CMAS contractors contacted
- All supplier responses to RFO
- Complete copy of awarded supplier’s CMAS contract
- Assessment and selection documents (document assessing costs and best value criteria, assessment showing the response meets the RFO requirements up to and including how the selection was determined)
- Identify if service and/or goods used to perform service meet all applicable building, operational and purchasing policies and standards
Once the purchase document is approved by DGS/PD, it will be routed back to the department for issuance to the contractor. CMAS contractors are directed not to accept these POs for non-IT services over $50,000 without DGS/PD/CMAS approval.
Not Specifically Priced Items (NSP) - 1607.3
Open Market, Incidental, Non-Contract Items
The only time that open market/incidental, non-contract items, may be included in a CMAS purchase order is when they fall under the parameters of the Not Specifically Priced (NSP) Items provision.
If the NSP provision is not included in the CMAS contract, or the products and/or services required do not qualify under the NSP parameters, the products and/or services must be procured separate from CMAS.
Non-Contract Products and Services that are Subordinate and Peripheral
The NSP Items provision enables the department to include in the purchase order non-contract products and services that are subordinate and peripheral to the other purchase order items, under the following conditions:
- An order containing NSP items may be executed only if it results in the best value alternative to meet department needs.
- Any product or service already specifically priced and identified in the contract may not be identified as an NSP item in an order.
All NSP items included in an order executed against a CMAS contract are subject to all the terms and conditions set forth in the contract.
Dollar Limits
Maximum Dollar Limitation:
- Purchase orders $250,000 or less: Total dollar value of all NSP items must not exceed $5,000.
- Purchase orders exceeding $250,000: Total dollar value of all NSP items must not exceed 5% of the total cost of the purchase order, or $25,000, whichever is lower.
NSP not Available
Not all contracts include the NSP provision. The NSP provision is included at the option of the contractor and the CMAS Unit. Review your CMAS contract for the NSP provision.
The NSP provision is not included in contracts that are only for services or only for software.
Department orders for NSP items only are prohibited.
Manufacturer Authorization Required
Departments must substantiate (through manufacturer authorizations) that the contractor is an authorized provider of the products and product-related services (maintenance, repair) that are offered under the NSP provision.
Clearly Identify NSP
The NSP items must be separately listed and clearly identified on the order.
Items Specifically Excluded
The following NSP items ARE SPECIFICALLY EXCLUDED from any order issued under the contract:
- Items that are not intended for use in direct support of the CMAS priced items identified in the same purchase order. A NSP item must be subordinate to the specifically priced item that the NSP item is supporting.
- Supply type items, except for the minimum amount necessary to provide initial support to the priced CMAS items included in the same purchase order.
- Items that do not meet the Productive Use Requirements for information technology products.
- Any other items or class of items that are specifically excluded from the scope of the CMAS contract.
- Public Works components that are NOT incidental to the overall project requirements. See CMAS Agency Packet, Section 16, Public Works Projects.
- Products or services the Contractor is NOT factory authorized or otherwise certified or trained to provide.
- Follow-on consultant services.
Trade-ins and upgrades, involving the swapping of boards, are permissible where the CMAS contract makes specific provisions for this action. In those instances where it is permitted, the purchase order must include the replacement item and a notation that the purchase involves the swapping of a board.
Executing a Purchase Document for CMAS - 1607.4
Recording the CMAS Number on the Purchase Document
The FI$Cal system will automatically populate the CMAS contract number on each purchase order executed when using a CMAS contract.
Multiple Contracts on One Purchase Document
Departments wishing to include multiple CMAS contracts on a single order must adhere to the following:
- All contracts must be for the same CMAS contractor
- The purchase order must be for one contractor location
- Type the word “CMAS” in the space labeled “Leveraged Procurement Agreement No.” on the Purchase Order. The word “CMAS” signifies that the purchase order contains items from multiple CMAS contracts.
- The purchasing department may only use one DGS bill code.
- For each individual contract (as differentiated by alpha suffix), the department must identify and group together the contract number with the line items and subtotal per contract number (do not include tax in the subtotal), AND sequentially identify each individual contract as Sub #1, Sub #2, Sub #3, etc. This facilitates accurate billing of administrative fees by DGS/PD. The total of all items on the purchase order may not exceed the CMAS order limit.
- Do not combine items from non-IT goods with IT CMAS contracts The purchase order limits are different for these two types of contracts.
Send Copy of Purchase Document to the DGS/PD
The ordering department is required to send a copy of each CMAS purchase document to:
Department of General Services
Procurement Division-Data Management Unit
707 Third Street, 2nd Floor
West Sacramento, CA 95605
Please refer to the Purchase Documents section for other instructions and requirements for completing and managing purchasing documents.
SOFTWARE LICENSING PROGRAM (SLP) - 1608
Introduction
The Software Licensing Program (SLP) was established in January 1994 and is administered by DGS/PD. Extensive software discounts are negotiated with major software publishers and those discounts are passed on to the State through the SLP contracts established with authorized participating resellers.
Software License Program Basics - 1608.1
(Revised: 11/2024 )
When to Use SLP Contracts
Software Licensing Program (SLP) contracts are established to reduce the need for individual departments to conduct repetitive acquisitions for proprietary software licenses and software upgrades. SLP contracts take advantage of the large volume discounts offered by the software publishers.
What is Required to use SLP Contracts
The department must verify the execution of the order is authorized under the department’s purchasing authority.
This is a requirement for departments with purchasing authority and does not apply to the DGS/PD when conducting procurements on behalf of customers.
A minimum of three (3) suppliers must be contacted to obtain offers. Purchase documents are executed based upon best value criteria as determined by the needs of the individual department. The SLP contractor must be contacted directly to obtain a copy of the specific SLP contract. Conducting a purchase activity using the SLP contracts is no different than for other LPAs (CMAS and MA).
List of SLP Contractors
Click here for a list of authorized participating resellers/contractors with SLP contracts.
Contract Price is Maximum
SLP contract pricing is the maximum allowed. Buyers are strongly encouraged to negotiate lower prices.
SLP Amendments
Original orders, which include options for changes (e.g., quantity or time), that were assessed and considered in the selection for award during the RFO process, may be amended consistent with the terms of the original order, provided that the original order allowed for amendments. Except as identified below, all other amendments must follow the NCB process.
Amendments may be executed for incidental omissions such as:
- Transposition of numbers from the offer to the purchase document or
- Inadvertent failures to include such things as contact names or
- Mistyped addresses
However, this does not apply to changes in quantity or time.
Amendments must also be executed for contractor name changes that have been authorized in the SLP contract.
Exemption from the Dollar Threshold
In order to obtain approval to execute a purchase document that exceeds the SLP purchasing authority dollar threshold, a Purchasing Authority Change Request (PACR) must be completed and submitted to DGS/PD/ Purchasing Authority Unit (PAU).
The following information must be documented and forwarded to DGS/PD/PAU:
- A statement indicating this purchase is “mission critical” to the department, signed by the department CIO;
- A clear statement of what is being purchased including all line items and the estimated dollar amount;
- Identification of the savings that will be realized by this purchase (e.g. list price compared to SLP price);
- The consequences that will occur if the department is unable to make the purchase;
- A statement that this purchase, in this amount, is consistent with the department’s IT Strategic Plan (attach an excerpt of the appropriate section pertaining to this purchase); and
- A copy of the California Department of Technology (CDT) approved ITAP reflecting this purchase.
Upon review and approval of the documentation submitted, DGS/PD will issue an approval letter concurring with the request. Upon receiving approval from DGS/PD, the department may proceed to initiate the RFO approval process.
STATE PRICE SCHEDULE - 1609
Introduction
State Price Schedules (SPS) are non-competitively bid agreements for goods at a fixed price for a specified period of time. These agreements are established by DGS/PD for use by State departments.
State Price Schedules Basics - 1609.1
(Revised: 12/2025 )
State Price Schedules
State Price Schedules (SPS) are non-competitively bid agreements for goods at a fixed price for a specified period of time. SPS agreements are established for unique and unusual items that preclude competitive bidding.
Departments are limited to a $25,000.00 threshold on non-mandatory SPS orders. However, the department must verify whether the execution of the order is authorized under the department’s purchasing authority.
This is a requirement for departments with purchasing authority and does not apply to the DGS/PD when conducting procurements on behalf of customers.
How do Departments use SPS?
Departments must verify the following, prior to executing an SPS order:
- Is execution of the order authorized under the department’s purchasing authority?
- Is there a need to obtain a California Correctional Training and Rehabilitation Authority (CALCTRA) waiver?
- Is the purchase for special adaptive equipment where pricing is required from other providers?
- Are there any pre-approval requirements?
SPS for Adaptive Equipment requires Special Attention
DGS/PD has established a SPS agreement, with an IT component, for Adaptive Equipment and Services for Persons with Disabilities.
Departments executing orders against this SPS must apply all the required approval and documentation requirements as applicable to an IT acquisition.
Example:
A reading system purchased for a visual and/or reading impaired person may include a personal computer, scanner, sound card and reading software. This is considered an IT acquisition.
The use of the Adaptive Equipment and Services for Persons with Disabilities SPS requires departments to obtain offers from a minimum of 3 suppliers listed on the SPS agreement.
Buyers using this SPS must review and adhere to the user instructions unique to this LPA. Documentation requirements, unless otherwise described in the SPS user instructions, will follow the requirements of any LPA activity as outlined.
MASTER AGREEMENTS (MAs) - 1610
Introduction
Master Agreements (MAs) are one of the State’s main procurement vehicles for leveraging its buying power. Departments shall use MAs whenever the functional requirements for which the contract was awarded are substantially the same as the departments’ requirements.
Criteria for Use of MAs
- State departments must obtain equipment from an existing MA if the functions to be performed can be satisfied by the functional requirements and specifications under which the MA was awarded.
- State departments may not acquire equipment from a MA for functional requirements other than those for which the MA was awarded.
- State departments may use equipment acquired from the MA for auxiliary functions only if such functions are incidental to the principal function for which the equipment was justified and is being used.
- State departments must initiate individual competitive procurements to acquire equipment or services under the following situations:
- The functional requirements are different from those for which the MA contract was awarded; or
- The functional requirements are consistent with the MA but the specifications cannot be met by the MA.
Master Agreement (MA) Basics - 1610.1
Review the MA
The MA must be reviewed in its entirety (contract, supplements and user instructions) to determine what requirements are applicable to the department's business need. Most often, an MA will have the requirement to seek offers from authorized suppliers to determine and obtain best value. There are MAs that have been designated "either" by statute or policy from obtaining multiple offers. Buyers should reference the MA user instructions for guidelines.
What is required to use an MA
The following must be verified before executing an MA order:
- Whether execution of the order is authorized under the department's purchasing authority.
Note: This is a requirement for departments with purchasing authority and does not apply to the DGS/PD when conducting procurements on behalf of customers.
- Whether the execution of the order requires prior approval?
- What additional requests for offers from other authorized providers identified within the contract are required.
- Whether the estimated dollar amount requires prior DGS review and approval before issuing an award.
User Instructions
Individual MAs provide user instructions unique to each agreement. User instructions include information such as whether or not the MA requires multiple offers, whether selection of an offer shall be based on “best value and reports that may be required.
Consequently, the user instructions must be read thoroughly in order to properly execute an order and complete any reports required by the individual agreement.
Dollar Threshold Limitations
Departments may not execute a non-IT services MA transaction in excess of purchasing authority dollar threshold. Additionally, departments executing a non-IT services transaction of $50,000 or more from a non-IT MA must obtain DGS/Office of Legal Services (OLS) review and approval prior to executing the purchase document. Refer to the individual non-IT services MA user instructions for further requirements regarding the OLS review and approval process.
Achieving Best Value Using MA - 1610.2
Make a Valid Attempt to Seek Offers
A valid attempt must be made to secure offers from viable contractors who are able to supply the goods and/or provide services. Neither a lack of sufficient Master Agreements (MAs) nor the use of restrictive requirements meets the intent for obtaining offers.
Minimum RFO Requirements
Departments shall solicit offers from a minimum of three (3) suppliers, including one SB and/or DVBE when available, unless otherwise instructed by the individual MA user instructions, and the responses shall be documented.
Buyers must read the User Instructions of an individual MA to verify whether or not the MA contains a specific format.
Documenting the Results
Responses shall be documented in accordance with individual MA user instructions that may provide an evaluation format. Otherwise, the Best Value Determination Worksheet or the department’s own form to document the results of a MA offer may be used.
Contacting more than 3 Suppliers
When more than three (3) suppliers are contacted and the minimum 3 responses are not received, suppliers need to be contacted to determine why they did not respond. The rationale for proceeding with less than 3 responses must be documented in the procurement file.
Transactions over Purchasing Authority Dollar Threshold
MA transactions estimated to exceed purchasing authority dollar threshold must have DGS/PD approval before obtaining offers. Departments must forward a Purchasing Authority Change Request (PACR)for review and approval to DGS/PD/PAU. The following steps must be followed to obtain an exemption for these transactions.
|
Step |
Description |
|
1 |
Submit a PACR to DGS/PD/PAU. The PACR must be completed in its entirety and signed by the PCO. Click to access the PACR form. |
|
2 |
If the request is approved, an approval letter will be issued and must remain in the procurement file. |
|
3 |
The RFO must be submitted to DGS/PD for review and approval before the RFO is released to MA contractors. This process is repeated each time there is a need to modify the RFO. |
| 4 | Upon receiving RFO approval, the RFO may be released to MA contractors and the department may proceed with the selection process. |
| 5 | All qualified MA suppliers must be contacted, unless otherwise specified within the respective MA user instruction. |
| 6 |
Before contract award the following documentation shall be submitted to DGS/PD:
|
| 7 | Upon review and approval of the MA intended awardee, an approval letter will be issued by DGS/PD concurring with the supplier selection recommendation. |
| 8 | Upon receiving the approval letter from DGS/PD, the selection may be made and the order executed. |
| 9 | All documentation must be retained in the procurement file. |
| 10 | Departments are responsible for sending a copy of the revised approval letter to the State Controller's Office with a copy of the PO. |
COOPERATIVE AGREEMENTS - 1611
Introduction
Public Contract Codes, Sections 10298 – 10299 allow the DGS/PD to enter into cooperative purchasing agreements with other states.
Cooperative Agreements Multi-State Contracts
Cooperative Agreements establishes cooperative multi-state contracts where participating states may join together to achieve cost-effective and efficient acquisition of quality products and services.
How to use Cooperative Agreements
When executing orders using the Cooperative Agreements program, departments are not required to obtain three offers or document best value, but conducting price comparisons among the Cooperative Agreements suppliers, if available, is encouraged. Refer to the user instructions of each contract.
To use Cooperative Agreements:
- Define the project scope to determine which - goods and services are needed and meet all California laws, regulations and policies
- Obtain a complete copy of the Cooperative Agreements agreement (Cooperative Agreements base contract, CA participating addendum, CA terms and conditions and ordering instructions)
- Check the electronic catalog and print a copy of an e-quote supporting the order
- Obtain the proper approval for IT orders in accordance with State Administration Manual, Section 5230.1
- Execute the order using the PO, unless otherwise directed within the specific Cooperative Agreements user instructions.
- Retain all documentation in the procurement file.
Cooperative Agreements Pricing
The basis for Cooperative Agreements pricing varies. Some are fixed for the duration of the contract, while some have cost of living adjustments and others are discounted from the manufacturer’s suggested retail price. For an explanation of the pricing for a specific Cooperative Agreements contract, refer to the user guide for that contract. Pricing referenced in the user guide establishes the maximum, but not necessarily the minimum, price that can be charged. For large orders, users are encouraged to negotiate discounts if possible.
Cooperative Agreements Contract Numbers
Many of the Cooperative Agreements contracts use the original Cooperative Agreements contract number from the Cooperative Agreements lead state. However, contracts established beginning in 2008 use the number “7” at the start of the contracts.
Orders Exceeding Purchase Authority Dollar Threshold
Departments seeking to execute Cooperative Agreements orders over purchasing authority dollar thresholds for non-IT goods must obtain the DGS/PD/PAU approval prior to executing the purchase document. The following information must be documented by the department and submitted to the DGS/PD/PAU using the Purchasing Authority Change Request (PACR) form:
- Identify the need for the goods and/or services and the dollar value of the impending purchase document.
- Explain how the department has determined that issuance of a purchase document to this particular contractor makes good business sense and how best value for the department has been achieved.
Upon review and approval of the documentation submitted, the DGS/PD/PAU will issue an approval letter concurring with the department’s request. Upon receiving approval from the DGS/PD/PAU, the department may proceed to execute the order.
Amendments
Unless otherwise instructed by the user instructions, Cooperative Agreements orders that require changes can be amended without submitting NCB contract justification documentation. Any amendment should contain the same degree of detail for changes that the original order contained.
CALNET 2 - 1612
State Telecommunications Management Manual
For additional information regarding CALNET 2 Mandatory Services, delegations, and/or exemptions, refer to the State Telecommunications Management Manual.
CA 1122 PUBLIC SAFETY PROCUREMENT PROGRAM (GSA Component Only) - 1613
Introduction
Prior to utilizing this program, State departments must exhaust all procurement methods.
In order to use the 1122 procurement method, departments must have delegated purchasing authority under the CA 1122 Public Safety Procurement Program (CPSPP) category. This will be indicated on the department’s Purchasing Authority Approval Letter.
The CA 1122 Public Safety Procurement Program is derived from the National Defense Authorization Act (Section 1122) established in FY 1994, revised in FY 2009 and became law under Title 10 Section 381. This law allows for state and local governments to purchase equipment for counter drug (CD), homeland security (HS) and emergency response (ER) activities from specific federal sources. This program establishes sources for non-IT commodities that have been competitively assessed, negotiated, or bid by the Federal General Services Administration (GSA). The program enables State departments with delegated purchasing authority granted by DGS to purchase from Federal GSA schedules. The California Governor’s Office of Emergency Services (CalOES) has been appointed by the Governor as the designated State Point of Contact (SPOC) to certify eligible State agencies. The Department of General Services (DGS) Procurement Division is responsible for developing statewide procurement policies and procedures for this program.
1122 Basics – Contracting with GSA Suppliers - 1613.1
Products
The CA 1122 Public Safety Procurement Program offers primarily Federal GSA multiple award schedule pricing with suppliers that provide non-IT goods.
Contract Price is Maximum
Contract prices for products and/or services must be equal to or lower than the prices set in the base GSA contract. Departments are strongly encouraged to negotiate lower prices and seek competition.
1122 GSA Suppliers
Only the prime GSA 1122 contractor and resellers who are explicitly listed in the GSA contract s can sell the goods listed in their GSA 1122 contract.
How to Apply for 1122 Delegated Authority
To become certified for participation in the CA 1122 Public Safety Procurement Program, a department must apply with CalOES. The requesting department submits a letter to CalOES requesting certification in CD, HS, and/or ER. Prepared letters are reviewed and if approved, a confirmation letter is sent to the department authorizing their participation in the selected activity.
The approval letter from CalOES to the state department must accompany the Purchasing Authority Change Request (PACR) to be considered for delegated purchasing authority by DGS.
Purchasing Authority Dollar Thresholds
No 1122 order (Purchase Order/Contract) may be executed by a department that exceeds the department’s 1122 purchasing authority dollar threshold or 1122 maximum dollar threshold. Exemption requests shall be considered by the DGS/PD on a case by case basis.
Achieving Competition - 1613.2
Make a Valid Attempt to Seek Offers
Departments must make a valid attempt to secure offers from viable contractors who are able to supply the goods. A lack of sufficient 1122 contractors or the use of restrictive requirements to select a single vendor will not meet the intent for obtaining offers.
Contacting Suppliers
Departments shall solicit offers from a minimum of three (3) suppliers.
Departments must document the procurement file in sufficient detail to support the supplier selection as follows:
|
If a Department Contacts 3 Sources and Receives |
Then the Department shall Document the Procurement File with the Reasons Why |
|
1-offer |
The other two (2) suppliers did not respond. |
|
2-offers |
The third supplier did not respond. |
Departments that contact more than 3 suppliers and obtain more than 3 offers shall document their files with all responses, determine best value and then proceed with the purchase document execution.
Documenting the Results
Departments must document all suppliers that were contacted, provide a recap of their offers and record how the selection was made, including criteria for determining “best value”.
The recap documentation must be uploaded in FI$Cal and retained in the procurement file.
If the complete GSA 1122 contract is not maintained in the procurement file, buyers shall document, within the procurement file, where the complete contract is located.
Only One Source Known
If a department knows of only one source that meets its needs (i.e. multiple offers cannot be obtained) the department shall:
- Conduct a competitive solicitation, if suppliers are known to exist outside of the LPA programs or
- Execute the response as an NCB contract if no other sources are known outside of the LPA program being used. Refer to Chapter 6 for NCB processing requirements or
- Execute the response as a transaction that is exempt from obtaining multiple offers by either statute or policy and document the procurement file in sufficient detail to support the basis of the exemption. (Examples: authorized dealer letter, proof of copyrighted material, officially licensed good or patented product)
Purchases less than $5,000.00
1122 orders valued less than $5,000.00 may be executed without obtaining multiple offers if fair and reasonable pricing has been established and documented.
The ordering department must execute the State of California - General Services Procurement Division, Purchasing Authority Purchase Order (STD. 65).
Documentation to support fair and reasonable pricing must be retained in the procurement file.
Purchases $5,000.00 - $100,000.00
The ordering department must solicit a minimum of 3 written offers.
The department must ensure the State’s current Terms and Conditions are agreed upon and accepted by the supplier and their acceptance must be documented in the procurement file.
The ordering department must use the PO generated from the FI$Cal system or utilize the State of California - General Services Procurement Division, Purchasing Authority Purchase Order (STD. 65).
Procurement Procedure - 1613.3
(Revised: 12/2025 )
Procurement Procedure for Transactions greater than $5,000.00
- Department determines the need.
- Department must exhaust the following procurement methods in the following order:
- Surplus Property
- California Correctional Training and Rehabilitation Authority (CALCTRA)
- Mandatory LPAs
- California Certified Small Business/Disabled Business Enterprise (either using fair and reasonable or the SB/DVBE Option).
- Department researches available goods on GSA Advantage (refer to LPA/1122).
- Department develops the Request for Offer (RFO) with the state’s current terms and conditions attached to be agreed upon by the supplier when they submit their bid/quote/offer. The RFO must request the supplier provide Retail Price along with their offer.
- Department receives and evaluates the offer, then awards the contract.
- The department that has been granted the delegated purchasing authority must use the PO generated from FI$Cal which includes:
- Contracting directly with the awarded supplier (GSA contractor)
- The system will identify “1122 -GSA” as the Leveraged Procurement Agreement Number
- Ensuring appropriate approvals been received for the PO and the funding verification.
- The front of the PO must include the following language: “This order is placed pursuant to the CA 1122 Public Safety Procurement Program, in support of counter-drug, homeland security, or emergency response activities, under the authority of CalOES, the State Point of Contact (SPOC) for the State of California.” Following this statement on the front of the PO, there must be a line for the SPOC’s signature, to approve the purchase.
- The Department sends the following to CalOES for approval:
- Completed and signed PO
- The cost sheet from the awardee that lists the retail price and the current bid/quote/offer
- The supplier’s profile print out from GSA Advantage 1122
- Upon receipt, CalOES reviews and approves/signs the PO on the designated line labeled for the SPOC.
- CalOES places the order on behalf of the requesting department by sending the approved PO to the supplier. CalOES simultaneously notifies the department their request has been approved and submitted.
- The goods are shipped directly to the requesting department. Once the good(s) are received, the department follows the Acceptance and Testing period outlined in the state’s current terms and conditions or as specified in the SOW. Upon acceptance, the department completes the receiving in FI$Cal.
- After good(s) are received the department will issue payment directly to the contractor through the FI$Cal system.
Reporting Requirements
The ordering department must register transactions valued over $5,000 in the State Contract and Procurement Registration System. Copies of the STD. 65 for orders less than $5,000 are sent to the DGS Intake and Analysis Unit.
DGS Fees
DGS has waived their administrative fees for all 1122 transactions.