State Use Procurement Preference
In order for a State of Illinois Agency to conduct business with a qualified not-for-profit agency without advertising or calling for bids, the State Agency must send a written request for Committee approval to the manager* of the State Use Program. This letter must include the name of the qualified-not-for-profit agency, type of contract (e.g. supplies, services, janitorial) and description of the products or services to be purchased, the initial contract term (as well as the number and length of any renewals), and dollar amounts (for the initial term and each renewal). In addition, the Agency must demonstrate that the price offered is not substantially more than if it had been competitively procured. The State Agency must complete and submit a procurement business case if the proposed contract has an annual value of $10,000 or greater.
The qualified not-for-profit agency must provide a Certificate of Assurance that shows the number of persons with significant disabilities to be assigned to the job and a narrative of how the qualified not-for-profit agency will perform the contract. These documents are then presented to the State Use Committee for approval.
The State Use Committee has been created to facilitate the purchase of products and services from persons with significant disabilities. The Committee is empowered to:
- request from any State Agency information as to product specifications and service requirements in order to carry out its purpose;
- request a quarterly report from each participating qualified not-for-profit agency describing the volume of sales of each product or service sold;
- prepare a publication listing all the products and services available from qualified not-for-profit agencies and distribute the list to all State Procurement Officers and State Agencies;
- encourage diversity in supplies and services by qualified not-for-profit agencies and discourage unnecessary duplication or competition among not-for-profit agencies; review all bids submitted under the provisions of the State Use Law and reject any bid for any purchase that is determined to be substantially more than the purchase would have cost had it been competitively bid; and
- develop a 5-year plan for increasing the number of products and services purchased from qualified not-for-profit agencies, including the feasibility of developing mandatory set-aside contracts.
Upon Committee approval, the State Agency is given the authority to proceed with the contract without advertising or calling for bids, provided the State Agency meets all other Procurement Code and Rule requirements. The Committee meets at least quarterly to review proposed contracts, develop guidelines to be followed by qualified not-for-profit agencies, and assist State Use staff in the development of policy. The Committee prepares an annual report for submission to the Governor.
*State Use Program Manager
Bureau of Strategic Sourcing
1000 E. Converse St.
Springfield, IL 62702