R23-1-801. Sole Source - Award of Contract Without Competition

  (1) Sole source procurements shall be conducted in accordance with the requirements set forth in Section 63G-6a-802, Utah Procurement Code. All definitions in the Utah Procurement Code shall apply to this Rule unless otherwise specified in this Rule. This administrative rule provides additional requirements and procedures and should be used in conjunction with the Procurement Code.

  (2) A sole source procurement may be conducted if:

  (a) there is only one source for the procurement item;

  (b) the award to a specific supplier, service provider, or contractor is a condition of a donation or grant that will fund the full cost of the supply, service, or construction item; or

  (c) the procurement item is needed for trial use or testing to determine whether the procurement item will benefit the procurement unit.

  (3) An urgent or unexpected circumstance or requirement for a procurement item does not justify the award of a sole source procurement.

  (4) Requests for a procurement to be conducted as a sole source shall be submitted in writing to the Director for approval.

  (5) The sole source request shall be submitted to the Director and shall include:

  (a) a description of the procurement item;

  (b) the total dollar value of the procurement item, including, when applicable, the actual or estimated full lifecycle cost of maintenance and service agreements;

  (c) the duration of the proposed sole source contract;

  (d) an authorized signature of the requester;

  (e) unless the sole source procurement is conducted under Rule R23-1-801(2)(b) or (c), research completed by the requester documenting that there are no other competing sources for the procurement item;

  (f) any other information requested by the Director; and

  (6) a sole source request form containing all of the requirements of Rule R23-1-801(5) may be available on the division's website and/or may be described in specifications or other contract documents.

  (7) Except as provided in (b), sole source procurements over $50,000 shall be published in accordance with Section 63G-6a-406.

  (a) Sole source procurements under $50,000 are not required to be published but may be published at the discretion of the Director.

  (b) The requirement for publication of notice for a sole source procurement is waived:

  (i) for public utility services;

  (ii) if the award to a specific supplier, service provider, or contractor is a condition of a donation or grant that will fund the full cost of the supply, service, or construction item;

  (iii) when the circumstances of the request are clear that there can only be one source; or

  (iv) for other circumstances as determined in writing by the Director.

  (8) A person may contest a sole source procurement prior to the closing of the public notice period set forth in Section 63G-6a-406, when public notice is required under this Rule R23-1-801 by submitting the following information in writing to the Director:

  (a) the name of the contesting person; and

  (b) a detailed explanation of the challenge, including documentation showing that there are other competing sources for the procurement item.

  (9) Upon receipt of information contesting a sole source procurement, the Director shall conduct an investigation to determine the validity of the challenge and make a written determination either supporting or denying the challenge.