INTRODUCTION - 3400

The State Financial Marketplace (SFM) established by the Department of General Services, provides financing and payment programs that serve California State and local government entities. Tax-exempt rates are established with lenders for the purpose of financing both purchases and leases. The GS $Mart (pronounced “G S Smart”) is the program to use to finance a purchase. The Lease $Mart (pronounced “Lease Smart”) is the program to use to finance a lease.

Only approved lenders or lessors participate in the programs. The SFM provides negotiated contractual terms and conditions. The result is financial security regarding such issues as tax-exempt qualifications, financial health of the lender, and the financing’s effect on the state’s credit rating

State departments contemplating financing a transaction are advised to contact a SFM representative early in the acquisition planning process. Proposed use of a source other than the financial marketplace may require advanced approval from the Department of Finance.

SMF representatives can:

1. Provide program information.
2. Guide governmental entities through the financial marketplace process to create a financed contract.
3. Assist with refinancing contracts.
4. Assist with assignment (or novation) of financial marketplace contracts.

Information regarding the SFM is provided on the Procurement Division web site at the following address: State Financial Marketplace

For more detailed procedures please see Chapter 9 of: State Contracting Manual Volume 2 for Non-IT Goods

State Contracting Manual Volume 3 for IT Goods and Services