ITS; authorize to establish certain procurement frameworks for information technology.

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To: Accountability,
Efficiency, Transparency;
Technology
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Representative Ford (54th)

HOUSE BILL NO. 1754

AN ACT TO AMEND SECTION 25-53-5, MISSISSIPPI CODE OF 1972, TO 1
AUTHORIZE THE MISSISSIPPI DEPARTMENT OF INFORMATION TECHNOLOGY 2
SERVICES TO ESTABLISH CERTAIN PROCUREMENT FRAMEWORKS FOR THE 3
PROCUREMENT OF INFORMATION TECHNOLOGY, TELECOMMUNICATIONS, 4
CYBERSECURITY, CLOUD SERVICES AND RELATED HARDWARE AND SOFTWARE; 5
TO PROVIDE THAT CERTAIN PROCUREMENTS ADMINISTERED BY THE 6
DEPARTMENT TO BE AWARDED BASED ON BEST VALUE; TO REQUIRE THE 7
DEPARTMENT TO ESTABLISH A MANUFACTURER-BASED PROCUREMENT FRAMEWORK 8
FOR CYBERSECURITY SOFTWARE, HARDWARE AND ASSOCIATED SERVICES; TO 9
REQUIRE CERTAIN STANDARDS THAT MANUFACTURES MUST MEET TO 10
PARTICIPATE IN THE CYBERSECURITY MANUFACTURER-BASED PROCUREMENT 11
FRAMEWORK; TO BRING FORWARD SECTIONS 25-53-25 AND 31-7-13, 12
MISSISSIPPI CODE OF 1972, FOR THE PURPOSE OF POSSIBLE AMENDMENT; 13
AND FOR RELATED PURPOSES. 14
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 15
SECTION 1. Section 25-53-5, Mississippi Code of 1972, is 16
amended as follows: 17
25-53-5. The authority shall have the following powers, 18
duties, and responsibilities: 19
(a) The authority shall provide for the development of 20
plans for the efficient acquisition and utilization of information 21
technology by all agencies of state government, and provide for 22
their implementation. In so doing, the authority may use the ITS' 23
staff, at the discretion of the executive director of the 24
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authority, or the authority may contract for the services of 25
qualified consulting firms in the field of information technology 26
and utilize the service of such consultants as may be necessary 27
for such purposes. 28
(b) The authority shall immediately institute 29
procedures for carrying out the purposes of this chapter and 30
supervise the efficient execution of the powers and duties of the 31
executive director of the ITS. In the execution of its functions 32
under this chapter, the authority shall maintain as a paramount 33
consideration the successful internal organization and operation 34
of the several agencies so that efficiency existing therein shall 35
not be adversely affected or impaired. In executing its functions 36
in relation to the institutions of higher learning and junior 37
colleges in the state, the authority shall take into consideration 38
the special needs of such institutions in relation to the fields 39
of teaching and scientific research. 40
(c) The authority shall adopt rules, regulations, and 41
procedures governing the acquisition of information technology 42
which shall, to the fullest extent practicable, ensure the maximum 43
of competition between all manufacturers of supplies or equipment 44
or services. In the writing of specifications, in the making of 45
contracts relating to the acquisition of such information 46
technology, and in the performance of its other duties the 47
authority shall provide for the maximum compatibility of all 48
information systems hereafter installed or utilized by all state 49
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agencies and may require the use of common computer languages 50
where necessary to accomplish the purposes of this chapter. The 51
authority may establish by regulation and charge reasonable fees 52
on a nondiscriminatory basis for the furnishing to bidders of 53
copies of bid specifications and other documents issued by the 54
authority. 55
(d) The authority shall adopt rules and regulations 56
governing the sharing with, or the sale or lease of information 57
technology services to any nonstate agency or person. Such 58
regulations shall provide that any such sharing, sale or lease 59
shall be restricted in that same shall be accomplished only where 60
such services are not readily available otherwise within the 61
state, and then only at a charge to the user not less than the 62
prevailing rate of charge for similar services by private 63
enterprise within this state. 64
(e) The authority may, in its discretion, establish a 65
special technical advisory committee or committees to study and 66
make recommendations on matters within the competence of the 67
authority as the authority may see fit. Persons serving on any 68
such committees shall be entitled to receive their actual and 69
necessary expenses actually incurred in the performance of such 70
duties, together with mileage as provided by law for state 71
employees, provided the same has been authorized by a resolution 72
duly adopted by the authority and entered on its minutes prior to 73
the performance of such duties. For the purposes of this 74
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paragraph, such committee meetings are exempt from the 75
requirements of Sections 25-41-1 through 25-41-17. 76
(f) The authority may provide for the development and 77
require the adoption of standardized computer programs and may 78
provide for the dissemination of information to and the 79
establishment of training programs for the personnel of the 80
various information technology centers of state agencies and 81
personnel of the agencies utilizing the services thereof. 82
(g) The authority shall adopt reasonable rules and 83
regulations requiring the reporting to the authority through the 84
office of executive director of such information as may be 85
required for carrying out the purposes of this chapter and may 86
also establish such reasonable procedures to be followed in the 87
presentation of bills for payment under the terms of all contracts 88
for the acquisition of information technology now or hereafter in 89
force as may be required by the authority or by the executive 90
director in the execution of their powers and duties. 91
(h) The authority shall require such adequate 92
documentation of information technology procedures utilized by the 93
various state agencies and may require the establishment of such 94
organizational structures within state agencies relating to 95
information technology operations as may be necessary to 96
effectuate the purposes of this chapter. 97
(i) The authority may adopt such further reasonable 98
rules and regulations as may be necessary to fully implement the 99
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purposes of this chapter. All rules and regulations adopted by 100
the authority shall be published in readily accessible form to all 101
affected state agencies, and to all current suppliers of computer 102
equipment and services to the state, and to all prospective 103
suppliers requesting the same. Such rules and regulations shall 104
be kept current, be periodically revised, and copies thereof shall 105
be available at all times for inspection by the public at 106
reasonable hours in the offices of the authority. Whenever 107
possible no rule, regulation or any proposed amendment to such 108
rules and regulations shall be finally adopted or enforced until 109
copies of the proposed rules and regulations have been published. 110
(j) The authority shall establish rules and regulations 111
which shall provide for the submission of all contracts proposed 112
to be executed by the executive director for information 113
technology, including cloud computing, to the authority for 114
approval before final execution, and the authority may provide 115
that such contracts involving the expenditure of less than such 116
specified amount as may be established by the authority may be 117
finally executed by the executive director without first obtaining 118
such approval by the authority. 119
(k) The authority is authorized to consider new 120
technologies, such as cloud computing, to purchase, lease, or rent 121
information technology and to operate that information technology 122
when in its opinion such operation will provide maximum efficiency 123
and economy in the functions of any such agency or agencies. 124
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(l) Upon the request of the governing body of a 125
political subdivision or instrumentality, the authority shall 126
assist the political subdivision or instrumentality in its 127
development of plans for the efficient acquisition and utilization 128
of information technology. An appropriate fee shall be charged 129
the political subdivision by the authority for such assistance. 130
(m) The authority shall adopt rules and regulations 131
governing the protest procedures to be followed by any actual or 132
prospective bidder, offerer or contractor who is aggrieved in 133
connection with the solicitation or award of a contract for the 134
acquisition of information technology. Such rules and regulations 135
shall prescribe the manner, time and procedure for making protests 136
and may provide that a protest not timely filed shall be summarily 137
denied. The authority may require the protesting party, at the 138
time of filing the protest, to post a bond, payable to the state, 139
in an amount that the authority determines sufficient to cover any 140
expense or loss incurred by the state; however, in no event may 141
the amount of the bond required exceed a reasonable estimate of 142
the total project cost. The authority, in its discretion, also 143
may prohibit any prospective bidder, offerer or contractor who is 144
a party to any protest or litigation involving any such contract 145
with the state, the authority or any agency of the state to 146
participate in any other such bid, offer or contract, or to be 147
awarded any such contract, during the pendency of the protest or 148
litigation. 149
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(n) The authority shall make a report in writing to the 150
Legislature each year in the month of January. Such report shall 151
contain a full and detailed account of the work of the authority 152
for the preceding year as specified in Section 25-53-29(3). 153
All acquisitions of information technology involving the 154
expenditure of funds in excess of the dollar amount established in 155
Section 31-7-13(c), or rentals or leases in excess of the dollar 156
amount established in Section 31-7-13(c) for the term of the 157
contract, shall be based upon bid. The authority may reserve the 158
right to reject any or all bids, and if all bids are rejected, the 159
authority may negotiate a contract within the limitations of the 160
specifications so long as the terms of any such negotiated 161
contract are equal to or better than the lowest bidder, and so 162
long as the total cost to the State of Mississippi does not exceed 163
the lowest bid. If the authority accepts one (1) of such bids, it 164
shall be that which is the lowest and best. The provisions of 165
this paragraph shall not apply to acquisitions of information 166
technology equipment and services made by the Mississippi 167
Department of Health and the Mississippi Department of Revenue for 168
the purposes of implementing, administering and enforcing the 169
provisions of the Mississippi Medical Cannabis Act by June 30, 170
2024. 171
(o) When applicable, the authority may procure 172
information technology in accordance with the law or regulations, 173
or both, which govern the Bureau of Purchasing of the Office of 174
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General Services or which govern the Mississippi Department of 175
Information Technology Services procurement of information 176
technology. In addition, the authority may establish certain 177
procurement frameworks as provided in this paragraph (o), which 178
may be used by state agencies, institutions of higher learning, 179
community and junior colleges and local governing authorities. 180
Use of the frameworks established pursuant to this paragraph (o) 181
by the authority shall be permissive, not mandatory, for entities 182
not under the operational control of the authority. Procurements 183
conducted pursuant to this paragraph (o) shall remain subject to 184
oversight by the Department of Finance and Administration, the 185
Public Procurement Review Board, and the State Auditor as 186
otherwise provided by law. To establish such procurement 187
frameworks, the authority shall have the following powers and 188
duties: 189
(i) The authority may establish and administer 190
express procurement lists, preferred vendor lists, qualified 191
vendor lists or similar procurement frameworks for information 192
technology, telecommunications, cybersecurity, cloud services and 193
related hardware and software. 194
(ii) With respect to information technology or 195
telecommunications hardware that is not otherwise available 196
through an express procurement list or statewide contract 197
administered by the authority, the authority shall provide a 198
procurement pathway by: 199
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1. Entering into a participating addendum or 200
other agreement under a nationally recognized cooperative 201
purchasing program approved by the authority; or 202
2. Establishing and administering an express 203
procurement list, master agreement or similar procurement vehicle 204
directly. 205
Such authority may be exercised for hardware categories that 206
are commonly used in technology or telecommunications systems, 207
including components, endpoints, appliances or related equipment, 208
regardless of whether such hardware is bundled with software or 209
services. Nothing in this subparagraph (ii) shall require the 210
authority to use a particular cooperative contract or to establish 211
a procurement vehicle for every individual product, provided that 212
the authority ensures reasonable access to commonly used hardware 213
categories not otherwise covered. 214
(iii) Procurements conducted pursuant to an 215
express procurement list, cooperative purchasing agreement 216
approved by the authority, or cloud or shared services program 217
administered by the authority may be awarded based on best value. 218
For purposes of this subparagraph (iii), "best value" means a 219
selection based on defined evaluation factors, of which price is 220
required to be considered but is not the controlling factor. An 221
eligible entity shall not be required to select the lowest-priced 222
offering. 223
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(iv) For cybersecurity hardware, cybersecurity 224
software and associated professional or managed services, the 225
authority shall establish and maintain a manufacturer-based 226
procurement framework. In establishing the cybersecurity 227
manufacturer-based procurement framework, the authority shall: 228
1. Establish minimum technical, security and 229
qualification standards that manufacturers must meet to 230
participate; 231
2. Evaluate manufacturers solely for 232
compliance with such minimum standards; 233
3. Maintain and publish a list of qualified 234
cybersecurity manufacturers eligible for procurement under the 235
framework; and 236
4. Issue instructions for use governing 237
procurement under the framework. 238
Any cybersecurity manufacturer meeting the minimum standards 239
established by the authority shall be eligible for inclusion in 240
the cybersecurity manufacturer-based procurement framework. Once 241
qualified, a manufacturer may offer its full portfolio of 242
cybersecurity products, software, subscriptions and associated 243
services under the framework. 244
Eligible entities may select cybersecurity products or 245
services from the offerings of any qualified manufacturer under 246
the framework established under this subparagraph (iv). Following 247
such selection, procurement may be completed through authorized 248
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resellers, distributors or implementation partners in accordance 249
with the applicable instructions for use and the value-based 250
selection standard set forth in this paragraph (o). 251
(p) The authority is authorized to purchase, lease, or 252
rent information technology for the purpose of establishing pilot 253
projects to investigate emerging technologies. These acquisitions 254
shall be limited to new technologies and shall be limited to an 255
amount set by annual appropriation of the Legislature. These 256
acquisitions shall be exempt from the advertising and bidding 257
requirement. 258
(q) To promote the maximum use and benefit from 259
technology and services now in operation or which will in the 260
future be placed in operation and to identify opportunities, 261
minimize duplication, reduce costs and improve the efficiency of 262
providing common technology services the authority is authorized 263
to: 264
(i) Enter into master agreements for information 265
technology, including cloud computing, available for shared use by 266
state agencies, institutions of higher learning and governing 267
authorities; and 268
(ii) Enter into contracts for the acquisition of 269
information technology, including cloud computing, that have been 270
acquired by other entities, located within or outside of the State 271
of Mississippi, so long as it is determined by the authority to be 272
in the best interest of the state. The acquisitions provided in 273
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this paragraph (q) shall be exempt from the advertising and 274
bidding requirements of Sections 25-53-1 et seq. and 31-7-1 et 275
seq. 276
(r) All fees collected by the Mississippi Department of 277
Information Technology Services shall be deposited into the 278
Mississippi Department of Information Technology Services 279
Revolving Fund unless otherwise specified by the Legislature. 280
(s) The authority shall work closely with the council 281
to bring about effective coordination of policies, standards and 282
procedures relating to procurement of remote sensing and 283
geographic information systems (GIS) resources. 284
(t) The authority shall manage one or more State Data 285
Centers to provide information technology services on a 286
cost-sharing basis. In determining the appropriate services to be 287
provided through the State Data Center, the authority should 288
consider those services that: 289
(i) Result in savings to the state as a whole; 290
(ii) Improve and enhance the security and 291
reliability of the state's information and business systems; and 292
(iii) Optimize the efficient use of the state's 293
information technology assets, including, but not limited to, 294
promoting partnerships with the state institutions of higher 295
learning and community colleges to capitalize on advanced 296
information technology resources. 297
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(u) The authority shall oversee the Mississippi 298
Statewide Data Exchange, ensuring compliance with the requirements 299
of Section 25-53-281. The Department of Information Technology 300
Services shall have the authority to promulgate rules and 301
regulations necessary to develop, implement and oversee the 302
Mississippi Statewide Data Exchange. The department shall engage 303
with state agencies and other stakeholders to identify 304
data-sharing opportunities and address potential barriers. 305
Additionally, the department shall establish a Chief Information 306
Officer (CIO) Council, composed of information technology 307
leadership from state agencies, to provide strategic oversight, 308
promote interoperability and recommend policies to enhance the 309
effectiveness and security of statewide data-sharing initiatives. 310
(v) The authority shall increase federal participation 311
in the cost of the State Data Center to the extent provided by law 312
and its shared technology infrastructure through providing such 313
shared services to agencies that receive federal funds. With 314
regard to state institutions of higher learning and community 315
colleges, the authority may provide shared services when mutually 316
agreeable, following a determination by both the authority and the 317
Board of Trustees of State Institutions of Higher Learning or the 318
Mississippi Community College Board, as the case may be, that the 319
sharing of services is mutually beneficial. 320
(w) The authority, in its discretion, may require new 321
or replacement agency business applications to be hosted at the 322
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State Data Center. With regard to state institutions of higher 323
learning and community colleges, the authority and the Board of 324
Trustees of State Institutions of Higher Learning or the 325
Mississippi Community College Board, as the case may be, may agree 326
that institutions of higher learning or community colleges may 327
utilize business applications that are hosted at the State Data 328
Center, following a determination by both the authority and the 329
applicable board that the hosting of those applications is 330
mutually beneficial. In addition, the authority may establish 331
partnerships to capitalize on the advanced technology resources of 332
the Board of Trustees of State Institutions of Higher Learning or 333
the Mississippi Community College Board, following a determination 334
by both the authority and the applicable board that such a 335
partnership is mutually beneficial. 336
(x) The authority shall provide a periodic update 337
regarding reform-based information technology initiatives to the 338
Chairmen of the House and Senate Accountability, Efficiency and 339
Transparency Committees. 340
From and after July 1, 2018, the expenses of this agency 341
shall be defrayed by appropriation from the State General Fund. 342
In addition, in order to receive the maximum use and benefit from 343
information technology and services, expenses for the provision of 344
statewide shared services that facilitate cost-effective 345
information technology shall be defrayed by pass-through funding 346
and shall be deposited into the Mississippi Department of 347
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Information Technology Services Revolving Fund unless otherwise 348
specified by the Legislature. These funds shall only be utilized 349
to pay the actual costs incurred by the Mississippi Department of 350
Information Technology Services for providing these shared 351
services to state agencies. Furthermore, state agencies shall 352
work in full cooperation with the Board of the Mississippi 353
Department of Information Technology Services to identify 354
information technology to minimize duplication, reduce costs, and 355
improve the efficiency of providing common technology services 356
across agency boundaries. 357
SECTION 2. Section 25-53-25, Mississippi Code of 1972, is 358
brought forward as follows: 359
25-53-25. (1) Except as otherwise provided in Section 360
25-53-5, 25-53-25(5) or any other provision of law, nothing in 361
this chapter shall be construed to imply exemption from the public 362
purchases law, being Section 31-7-1 et seq. 363
(2) The authority may establish policies and procedures for 364
the purpose of delegating the acquisition and contracting 365
responsibilities related to the procurement of information 366
technology to the purchasing agency. Such policies and procedures 367
must address the following issues: 368
(a) Establish categories of equipment or services 369
affected; 370
(b) Establish maximum unit and/or ceiling prices of 371
such procurements; 372
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(c) Establish reporting, monitoring and control of such 373
procurements; and 374
(d) Establish other such rules and regulations as 375
necessary to fully implement the purposes of this section. 376
Nothing in this subsection shall be construed to imply exemption 377
from the public purchases law, being Section 31-7-1 et seq. 378
(3) Acquisitions of information technology by institutions 379
of higher learning or junior colleges wholly with federal funds 380
and not with state general funds shall be exempt from the 381
provisions of this chapter; however, nothing in this subsection 382
shall be construed to imply an exemption of such acquisitions from 383
the public purchases law, being Section 31-7-1 et seq. 384
(4) [Repealed] 385
(5) Acquisitions of information technology made by agencies 386
while exempt from the public purchasing requirements of this 387
chapter and/or as specified in the authority's regulations shall 388
remain exempt until a new acquisition is required, as determined 389
by ITS. 390
SECTION 3. Section 31-7-13, Mississippi Code of 1972, is 391
brought forward as follows: 392
31-7-13. All agencies and governing authorities shall 393
purchase their commodities and printing; contract for garbage 394
collection or disposal; contract for solid waste collection or 395
disposal; contract for sewage collection or disposal; contract for 396
public construction; and contract for rentals as herein provided. 397
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(a) Bidding procedure for purchases not over $5,000.00. 398
Purchases which do not involve an expenditure of more than Five 399
Thousand Dollars ($5,000.00), exclusive of freight or shipping 400
charges, may be made without advertising or otherwise requesting 401
competitive bids. However, nothing contained in this paragraph 402
(a) shall be construed to prohibit any agency or governing 403
authority from establishing procedures which require competitive 404
bids on purchases of Five Thousand Dollars ($5,000.00) or less. 405
(b) Bidding procedure for purchases over $5,000.00 but 406
not over $75,000.00. Purchases which involve an expenditure of 407
more than Five Thousand Dollars ($5,000.00) but not more than 408
Seventy-five Thousand Dollars ($75,000.00), exclusive of freight 409
and shipping charges, may be made from the lowest and best bidder 410
without publishing or posting advertisement for bids, provided at 411
least two (2) competitive written bids have been obtained. Any 412
state agency or community or junior college purchasing commodities 413
or procuring construction pursuant to this paragraph (b) may 414
authorize its purchasing agent, or his designee, to accept the 415
lowest competitive written bid under Seventy-five Thousand Dollars 416
($75,000.00). Any governing authority purchasing commodities 417
pursuant to this paragraph (b) may authorize its purchasing agent, 418
or his designee, with regard to governing authorities other than 419
counties, or its purchase clerk, or his designee, with regard to 420
counties, to accept the lowest and best competitive written bid. 421
Such authorization shall be made in writing by the governing 422
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authority and shall be maintained on file in the primary office of 423
the agency and recorded in the official minutes of the governing 424
authority, as appropriate. The purchasing agent or the purchase 425
clerk, or his designee, as the case may be, and not the governing 426
authority, shall be liable for any penalties and/or damages as may 427
be imposed by law for any act or omission of the purchasing agent 428
or purchase clerk, or his designee, constituting a violation of 429
law in accepting any bid without approval by the governing 430
authority. The term "competitive written bid" shall mean a bid 431
submitted on a bid form furnished by the buying agency or 432
governing authority and signed by authorized personnel 433
representing the vendor, or a bid submitted on a vendor's 434
letterhead or identifiable bid form and signed by authorized 435
personnel representing the vendor. "Competitive" shall mean that 436
the bids are developed based upon comparable identification of the 437
needs and are developed independently and without knowledge of 438
other bids or prospective bids. Any bid item for construction in 439
excess of Five Thousand Dollars ($5,000.00) shall be broken down 440
by components to provide detail of component description and 441
pricing. These details shall be submitted with the written bids 442
and become part of the bid evaluation criteria. Bids may be 443
submitted by facsimile, electronic mail or other generally 444
accepted method of information distribution. Bids submitted by 445
electronic transmission shall not require the signature of the 446
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vendor's representative unless required by agencies or governing 447
authorities. 448
(c) Bidding procedure for purchases over $75,000.00. 449
(i) Publication requirement. 450
1. Purchases which involve an expenditure of 451
more than Seventy-five Thousand Dollars ($75,000.00), exclusive of 452
freight and shipping charges, may be made from the lowest and best 453
bidder after advertising for competitive bids once each week for 454
two (2) consecutive weeks in a regular newspaper published in the 455
county or municipality in which such agency or governing authority 456
is located. However, all American Recovery and Reinvestment Act 457
projects in excess of Twenty-five Thousand Dollars ($25,000.00) 458
shall be bid. All references to American Recovery and 459
Reinvestment Act projects in this section shall not apply to 460
programs identified in Division B of the American Recovery and 461
Reinvestment Act. 462
2. Reverse auctions shall be the primary 463
method for receiving bids during the bidding process. If a 464
purchasing entity determines that a reverse auction is not in the 465
best interest of the state, then that determination must be 466
approved by the Public Procurement Review Board. The purchasing 467
entity shall submit a detailed explanation of why a reverse 468
auction would not be in the best interest of the state and present 469
an alternative process to be approved by the Public Procurement 470
Review Board. If the Public Procurement Review Board authorizes 471
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the purchasing entity to solicit bids with a method other than 472
reverse auction, then the purchasing entity may designate the 473
other methods by which the bids will be received, including, but 474
not limited to, bids sealed in an envelope, bids received 475
electronically in a secure system, or bids received by any other 476
method that promotes open competition and has been approved by the 477
Office of Purchasing and Travel. However, reverse auction shall 478
not be used for any public contract for design, construction, 479
improvement, repair or remodeling of any public facilities, 480
including the purchase of materials, supplies, equipment or goods 481
for same and including buildings, roads and bridges. The Public 482
Procurement Review Board must approve any contract entered into by 483
alternative process. The provisions of this item 2 shall not 484
apply to the individual state institutions of higher learning. 485
The provisions of this item 2 requiring reverse auction as the 486
primary method of receiving bids shall not apply to term contract 487
purchases as provided in paragraph (n) of this section; however, a 488
purchasing entity may, in its discretion, utilize reverse auction 489
for such purchases. The provisions of this item 2 shall not apply 490
to individual public schools, including public charter schools and 491
public school districts, only when purchasing copyrighted 492
educational supplemental materials and software as a service 493
product. For such purchases, a local school board may authorize a 494
purchasing entity in its jurisdiction to use a Request for 495
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Qualifications which promotes open competition and meets the 496
requirements of the Office of Purchasing and Travel. 497
3. The date as published for the bid opening 498
shall not be less than seven (7) working days after the last 499
published notice; however, if the purchase involves a construction 500
project in which the estimated cost is in excess of Seventy-five 501
Thousand Dollars ($75,000.00), such bids shall not be opened in 502
less than fifteen (15) working days after the last notice is 503
published and the notice for the purchase of such construction 504
shall be published once each week for two (2) consecutive weeks. 505
The notice of intention to let contracts or purchase equipment 506
shall state the time and place at which bids shall be received, 507
list the contracts to be made or types of equipment or supplies to 508
be purchased, and, if all plans and/or specifications are not 509
published, refer to the plans and/or specifications on file. If 510
there is no newspaper published in the county or municipality, 511
then such notice shall be given by posting same at the courthouse, 512
or for municipalities at the city hall, and at two (2) other 513
public places in the county or municipality, and also by 514
publication once each week for two (2) consecutive weeks in some 515
newspaper having a general circulation in the county or 516
municipality in the above-provided manner. On the same date that 517
the notice is submitted to the newspaper for publication, the 518
agency or governing authority involved shall mail written notice 519
to, or provide electronic notification to the main office of the 520
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Mississippi Procurement Technical Assistance Program under the 521
Mississippi Development Authority that contains the same 522
information as that in the published notice. Within one (1) 523
working day of the contract award, the agency or governing 524
authority shall post to the designated web page maintained by the 525
Department of Finance and Administration, notice of the award, 526
including the award recipient, the contract amount, and a brief 527
summary of the contract in accordance with rules promulgated by 528
the department. Within one (1) working day of the contract 529
execution, the agency or governing authority shall post to the 530
designated web page maintained by the Department of Finance and 531
Administration a summary of the executed contract and make a copy 532
of the appropriately redacted contract documents available for 533
linking to the designated web page in accordance with the rules 534
promulgated by the department. The information provided by the 535
agency or governing authority shall be posted to the web page 536
until the project is completed. 537
4. Agencies and governing authorities using 538
federal funds for the procurement of any good or service, 539
including exempt personal and professional services, must comply 540
with the Uniform Administrative Requirements, Cost Principles, and 541
Audit Requirements for Federal Awards - Subpart D - Post Federal 542
Award Requirements Procurement Standards, in accordance with 2 CFR 543
200.317 through 2 CFR 200.327. 544
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(ii) Bidding process amendment procedure. If all 545
plans and/or specifications are published in the notification, 546
then the plans and/or specifications may not be amended. If all 547
plans and/or specifications are not published in the notification, 548
then amendments to the plans/specifications, bid opening date, bid 549
opening time and place may be made, provided that the agency or 550
governing authority maintains a list of all prospective bidders 551
who are known to have received a copy of the bid documents and all 552
such prospective bidders are sent copies of all amendments. This 553
notification of amendments may be made via mail, facsimile, 554
electronic mail or other generally accepted method of information 555
distribution. No addendum to bid specifications may be issued 556
within two (2) working days of the time established for the 557
receipt of bids unless such addendum also amends the bid opening 558
to a date not less than five (5) working days after the date of 559
the addendum. 560
(iii) Filing requirement. In all cases involving 561
governing authorities, before the notice shall be published or 562
posted, the plans or specifications for the construction or 563
equipment being sought shall be filed with the clerk of the board 564
of the governing authority. In addition to these requirements, a 565
bid file shall be established which shall indicate those vendors 566
to whom such solicitations and specifications were issued, and 567
such file shall also contain such information as is pertinent to 568
the bid. 569
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(iv) Specification restrictions. 570
1. Specifications pertinent to such bidding 571
shall be written so as not to exclude comparable equipment of 572
domestic manufacture. However, if valid justification is 573
presented, the Department of Finance and Administration or the 574
board of a governing authority may approve a request for specific 575
equipment necessary to perform a specific job. Further, such 576
justification, when placed on the minutes of the board of a 577
governing authority, may serve as authority for that governing 578
authority to write specifications to require a specific item of 579
equipment needed to perform a specific job. In addition to these 580
requirements, from and after July 1, 1990, vendors of relocatable 581
classrooms and the specifications for the purchase of such 582
relocatable classrooms published by local school boards shall meet 583
all pertinent regulations of the State Board of Education, 584
including prior approval of such bid by the State Department of 585
Education. 586
2. Specifications for construction projects 587
may include an allowance for commodities, equipment, furniture, 588
construction materials or systems in which prospective bidders are 589
instructed to include in their bids specified amounts for such 590
items so long as the allowance items are acquired by the vendor in 591
a commercially reasonable manner and approved by the 592
agency/governing authority. Such acquisitions shall not be made 593
to circumvent the public purchasing laws. 594
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(v) Electronic bids. Agencies and governing 595
authorities shall provide a secure electronic interactive system 596
for the submittal of bids requiring competitive bidding that shall 597
be an additional bidding option for those bidders who choose to 598
submit their bids electronically. The Department of Finance and 599
Administration shall provide, by regulation, the standards that 600
agencies must follow when receiving electronic bids. Agencies and 601
governing authorities shall make the appropriate provisions 602
necessary to accept electronic bids from those bidders who choose 603
to submit their bids electronically for all purchases requiring 604
competitive bidding under this section. Any special condition or 605
requirement for the electronic bid submission shall be specified 606
in the advertisement for bids required by this section. Agencies 607
or governing authorities that are currently without available high 608
speed Internet access shall be exempt from the requirement of this 609
subparagraph (v) until such time that high speed Internet access 610
becomes available. Any county having a population of less than 611
twenty thousand (20,000) shall be exempt from the provisions of 612
this subparagraph (v). Any municipality having a population of 613
less than ten thousand (10,000) shall be exempt from the 614
provisions of this subparagraph (v). The provisions of this 615
subparagraph (v) shall not require any bidder to submit bids 616
electronically. When construction bids are submitted 617
electronically, the requirement for including a certificate of 618
responsibility, or a statement that the bid enclosed does not 619
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exceed Fifty Thousand Dollars ($50,000.00), on the exterior of the 620
bid envelope as indicated in Section 31-3-21(1) and (2) shall be 621
deemed in compliance with by including same as an attachment with 622
the electronic bid submittal. 623
(d) Lowest and best bid decision procedure. 624
(i) Decision procedure. Purchases may be made 625
from the lowest and best bidder. In determining the lowest and 626
best bid, freight and shipping charges shall be included. 627
Life-cycle costing, total cost bids, warranties, guaranteed 628
buy-back provisions and other relevant provisions may be included 629
in the best bid calculation. All best bid procedures for state 630
agencies must be in compliance with regulations established by the 631
Department of Finance and Administration. If any governing 632
authority accepts a bid other than the lowest bid actually 633
submitted, it shall place on its minutes detailed calculations and 634
narrative summary showing that the accepted bid was determined to 635
be the lowest and best bid, including the dollar amount of the 636
accepted bid and the dollar amount of the lowest bid. No agency 637
or governing authority shall accept a bid based on items not 638
included in the specifications. 639
(ii) Decision procedure for Certified Purchasing 640
Offices. In addition to the decision procedure set forth in 641
subparagraph (i) of this paragraph (d), Certified Purchasing 642
Offices may also use the following procedure: Purchases may be 643
made from the bidder offering the best value. In determining the 644
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best value bid, freight and shipping charges shall be included. 645
Life-cycle costing, total cost bids, warranties, guaranteed 646
buy-back provisions, documented previous experience, training 647
costs and other relevant provisions, including, but not limited 648
to, a bidder having a local office and inventory located within 649
the jurisdiction of the governing authority, may be included in 650
the best value calculation. This provision shall authorize 651
Certified Purchasing Offices to utilize a Request For Proposals 652
(RFP) process when purchasing commodities. All best value 653
procedures for state agencies must be in compliance with 654
regulations established by the Department of Finance and 655
Administration. No agency or governing authority shall accept a 656
bid based on items or criteria not included in the specifications. 657
(iii) Decision procedure for Prequalified 658
Construction. In addition to the decision procedure set forth in 659
subparagraph (i) of this paragraph (d), where purchase involves 660
renovation, restoration, or both, of the State Capitol Building or 661
any other historical building designated for at least five (5) 662
years as a Mississippi Landmark by the Board of Trustees of the 663
Department of Archives and History under the authority of Sections 664
39-7-7 and 39-7-11, or for any other construction procurement with 665
a minimum construction cost of Ten Million Dollars 666
($10,000,000.00) where the agency or governing authority has 667
determined that prequalification of bidders is in the best 668
interest of the state, the agency or governing authority may use 669
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the following procedure: Purchases may be made from the lowest 670
and best prequalified bidder. Solicitation of the 671
prequalification of bidders shall be in accordance with paragraph 672
(c) of this section and shall be determined not less than fifteen 673
(15) working days before the prequalified bidders are invited to 674
submit bids. Prequalification criteria shall be limited to 675
bidder's and proposed sub-contractor's knowledge and experience on 676
projects of similar size and scope, past performance, project 677
management team and financial stability. All best bid and 678
prequalification procedures for state agencies must be in 679
compliance with regulations established by the Department of 680
Finance and Administration. If any governing authority accepts a 681
bid other than the lowest bid actually submitted, it shall place 682
on its minutes detailed calculations and narrative summary showing 683
that the accepted bid was determined to be the lowest and best 684
bid, including the dollar amount of the accepted bid and the 685
dollar amount of the lowest bid. No agency or governing authority 686
shall accept a bid based on items not included in the 687
specifications. 688
(iv) Construction project negotiations authority. 689
If the lowest and best bid is not more than ten percent (10%) 690
above the amount of funds allocated for a public construction or 691
renovation project, then the agency or governing authority shall 692
be permitted to negotiate with the lowest bidder in order to enter 693
into a contract for an amount not to exceed the funds allocated. 694
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(e) Lease-purchase authorization. For the purposes of 695
this section, the term "equipment" shall mean equipment, furniture 696
and, if applicable, associated software and other applicable 697
direct costs associated with the acquisition. Any lease-purchase 698
of equipment which an agency is not required to lease-purchase 699
under the master lease-purchase program pursuant to Section 700
31-7-10 and any lease-purchase of equipment which a governing 701
authority elects to lease-purchase may be acquired by a 702
lease-purchase agreement under this paragraph (e). Lease-purchase 703
financing may also be obtained from the vendor or from a 704
third-party source after having solicited and obtained at least 705
two (2) written competitive bids, as defined in paragraph (b) of 706
this section, for such financing without advertising for such 707
bids. Solicitation for the bids for financing may occur before or 708
after acceptance of bids for the purchase of such equipment or, 709
where no such bids for purchase are required, at any time before 710
the purchase thereof. No such lease-purchase agreement shall be 711
for an annual rate of interest which is greater than the overall 712
maximum interest rate to maturity on general obligation 713
indebtedness permitted under Section 75-17-101, and the term of 714
such lease-purchase agreement shall not exceed the useful life of 715
equipment covered thereby as determined according to the upper 716
limit of the asset depreciation range (ADR) guidelines for the 717
Class Life Asset Depreciation Range System established by the 718
Internal Revenue Service pursuant to the United States Internal 719
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Revenue Code and regulations thereunder as in effect on December 720
31, 1980, or comparable depreciation guidelines with respect to 721
any equipment not covered by ADR guidelines. Any lease-purchase 722
agreement entered into pursuant to this paragraph (e) may contain 723
any of the terms and conditions which a master lease-purchase 724
agreement may contain under the provisions of Section 31-7-10(5), 725
and shall contain an annual allocation dependency clause 726
substantially similar to that set forth in Section 31-7-10(8). 727
Each agency or governing authority entering into a lease-purchase 728
transaction pursuant to this paragraph (e) shall maintain with 729
respect to each such lease-purchase transaction the same 730
information as required to be maintained by the Department of 731
Finance and Administration pursuant to Section 31-7-10(13). 732
However, nothing contained in this section shall be construed to 733
permit agencies to acquire items of equipment with a total 734
acquisition cost in the aggregate of less than Ten Thousand 735
Dollars ($10,000.00) by a single lease-purchase transaction. All 736
equipment, and the purchase thereof by any lessor, acquired by 737
lease-purchase under this paragraph and all lease-purchase 738
payments with respect thereto shall be exempt from all Mississippi 739
sales, use and ad valorem taxes. Interest paid on any 740
lease-purchase agreement under this section shall be exempt from 741
State of Mississippi income taxation. 742
(f) Alternate bid authorization. When necessary to 743
ensure ready availability of commodities for public works and the 744
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timely completion of public projects, no more than two (2) 745
alternate bids may be accepted by a governing authority for 746
commodities. No purchases may be made through use of such 747
alternate bids procedure unless the lowest and best bidder cannot 748
deliver the commodities contained in his bid. In that event, 749
purchases of such commodities may be made from one (1) of the 750
bidders whose bid was accepted as an alternate. 751
(g) Construction contract change authorization. In the 752
event a determination is made by an agency or governing authority 753
after a construction contract is let that changes or modifications 754
to the original contract are necessary or would better serve the 755
purpose of the agency or the governing authority, such agency or 756
governing authority may, in its discretion, order such changes 757
pertaining to the construction that are necessary under the 758
circumstances without the necessity of further public bids; 759
provided that such change shall be made in a commercially 760
reasonable manner and shall not be made to circumvent the public 761
purchasing statutes. In addition to any other authorized person, 762
the architect or engineer hired by an agency or governing 763
authority with respect to any public construction contract shall 764
have the authority, when granted by an agency or governing 765
authority, to authorize changes or modifications to the original 766
contract without the necessity of prior approval of the agency or 767
governing authority when any such change or modification is less 768
than one percent (1%) of the total contract amount. The agency or 769
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governing authority may limit the number, manner or frequency of 770
such emergency changes or modifications. 771
(h) Petroleum purchase alternative. In addition to 772
other methods of purchasing authorized in this chapter, when any 773
agency or governing authority shall have a need for gas, diesel 774
fuel, oils and/or other petroleum products in excess of the amount 775
set forth in paragraph (a) of this section, such agency or 776
governing authority may purchase the commodity after having 777
solicited and obtained at least two (2) competitive written bids, 778
as defined in paragraph (b) of this section. If two (2) 779
competitive written bids are not obtained, the entity shall comply 780
with the procedures set forth in paragraph (c) of this section. 781
In the event any agency or governing authority shall have 782
advertised for bids for the purchase of gas, diesel fuel, oils and 783
other petroleum products and coal and no acceptable bids can be 784
obtained, such agency or governing authority is authorized and 785
directed to enter into any negotiations necessary to secure the 786
lowest and best contract available for the purchase of such 787
commodities. 788
(i) Road construction petroleum products price 789
adjustment clause authorization. Any agency or governing 790
authority authorized to enter into contracts for the construction, 791
maintenance, surfacing or repair of highways, roads or streets, 792
may include in its bid proposal and contract documents a price 793
adjustment clause with relation to the cost to the contractor, 794
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including taxes, based upon an industry-wide cost index, of 795
petroleum products including asphalt used in the performance or 796
execution of the contract or in the production or manufacture of 797
materials for use in such performance. Such industry-wide index 798
shall be established and published monthly by the Mississippi 799
Department of Transportation with a copy thereof to be mailed, 800
upon request, to the clerks of the governing authority of each 801
municipality and the clerks of each board of supervisors 802
throughout the state. The price adjustment clause shall be based 803
on the cost of such petroleum products only and shall not include 804
any additional profit or overhead as part of the adjustment. The 805
bid proposals or document contract shall contain the basis and 806
methods of adjusting unit prices for the change in the cost of 807
such petroleum products. 808
(j) State agency emergency purchase procedure. If the 809
governing board or the executive head, or his designees, of any 810
agency of the state shall determine that an emergency exists in 811
regard to the purchase of any commodities or repair contracts, so 812
that the delay incident to giving opportunity for competitive 813
bidding would be detrimental to the interests of the state, then 814
the head of such agency, or his designees, shall file with the 815
Department of Finance and Administration (i) a statement 816
explaining the conditions and circumstances of the emergency, 817
which shall include a detailed description of the events leading 818
up to the situation and the negative impact to the entity if the 819
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purchase is made following the statutory requirements set forth in 820
paragraph (a), (b) or (c) of this section, and (ii) a certified 821
copy of the appropriate minutes of the board of such agency 822
requesting the emergency purchase, if applicable. Upon receipt of 823
the statement and applicable board certification, the State Fiscal 824
Officer, or his designees, may, in writing, authorize the purchase 825
or repair without having to comply with competitive bidding 826
requirements. 827
If the governing board or the executive head, or his 828
designees, of any agency determines that an emergency exists in 829
regard to the purchase of any commodities or repair contracts, so 830
that the delay incident to giving opportunity for competitive 831
bidding would threaten the health or safety of any person, or the 832
preservation or protection of property, then the provisions in 833
this section for competitive bidding shall not apply, and any 834
officer or agent of the agency having general or specific 835
authority for making the purchase or repair contract shall approve 836
the bill presented for payment, and he shall certify in writing 837
from whom the purchase was made, or with whom the repair contract 838
was made. 839
Total purchases made under this paragraph (j) shall only be 840
for the purpose of meeting needs created by the emergency 841
situation. Following the emergency purchase, documentation of the 842
purchase, including a description of the commodity purchased, the 843
purchase price thereof and the nature of the emergency shall be 844
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filed with the Department of Finance and Administration. Any 845
contract awarded pursuant to this paragraph (j) shall not exceed a 846
term of one (1) year. 847
Purchases under the grant program established under Section 848
37-68-7 in response to COVID-19 and the directive that school 849
districts create a distance learning plan and fulfill technology 850
needs expeditiously shall be deemed an emergency purchase for 851
purposes of this paragraph (j). 852
(k) Governing authority emergency purchase procedure. 853
If the governing authority, or the governing authority acting 854
through its designee, shall determine that an emergency exists in 855
regard to the purchase of any commodities or repair contracts, so 856
that the delay incident to giving opportunity for competitive 857
bidding would be detrimental to the interest of the governing 858
authority, then the provisions herein for competitive bidding 859
shall not apply and any officer or agent of such governing 860
authority having general or special authority therefor in making 861
such purchase or repair shall approve the bill presented therefor, 862
and he shall certify in writing thereon from whom such purchase 863
was made, or with whom such a repair contract was made. At the 864
board meeting next following the emergency purchase or repair 865
contract, documentation of the purchase or repair contract, 866
including a description of the commodity purchased, the price 867
thereof and the nature of the emergency shall be presented to the 868
board and shall be placed on the minutes of the board of such 869
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governing authority. Purchases under the grant program 870
established under Section 37-68-7 in response to COVID-19 and the 871
directive that school districts create a distance learning plan 872
and fulfill technology needs expeditiously shall be deemed an 873
emergency purchase for purposes of this paragraph (k). 874
(l) Hospital purchase, lease-purchase and lease 875
authorization. 876
(i) The commissioners or board of trustees of any 877
public hospital may contract with such lowest and best bidder for 878
the purchase or lease-purchase of any commodity under a contract 879
of purchase or lease-purchase agreement whose obligatory payment 880
terms do not exceed five (5) years. 881
(ii) In addition to the authority granted in 882
subparagraph (i) of this paragraph (l), the commissioners or board 883
of trustees is authorized to enter into contracts for the lease of 884
equipment or services, or both, which it considers necessary for 885
the proper care of patients if, in its opinion, it is not 886
financially feasible to purchase the necessary equipment or 887
services. Any such contract for the lease of equipment or 888
services executed by the commissioners or board shall not exceed a 889
maximum of five (5) years' duration and shall include a 890
cancellation clause based on unavailability of funds. If such 891
cancellation clause is exercised, there shall be no further 892
liability on the part of the lessee. Any such contract for the 893
lease of equipment or services executed on behalf of the 894
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commissioners or board that complies with the provisions of this 895
subparagraph (ii) shall be excepted from the bid requirements set 896
forth in this section. 897
(m) Exceptions from bidding requirements. Excepted 898
from bid requirements are: 899
(i) Purchasing agreements approved by department. 900
Purchasing agreements, contracts and maximum price regulations 901
executed or approved by the Department of Finance and 902
Administration. 903
(ii) Outside equipment repairs. Repairs to 904
equipment, when such repairs are made by repair facilities in the 905
private sector; however, engines, transmissions, rear axles and/or 906
other such components shall not be included in this exemption when 907
replaced as a complete unit instead of being repaired and the need 908
for such total component replacement is known before disassembly 909
of the component; however, invoices identifying the equipment, 910
specific repairs made, parts identified by number and name, 911
supplies used in such repairs, and the number of hours of labor 912
and costs therefor shall be required for the payment for such 913
repairs. 914
(iii) In-house equipment repairs. Purchases of 915
parts for repairs to equipment, when such repairs are made by 916
personnel of the agency or governing authority; however, entire 917
assemblies, such as engines or transmissions, shall not be 918
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included in this exemption when the entire assembly is being 919
replaced instead of being repaired. 920
(iv) Raw gravel or dirt. Raw unprocessed deposits 921
of gravel or fill dirt which are to be removed and transported by 922
the purchaser. 923
(v) Governmental equipment auctions. Motor 924
vehicles or other equipment purchased from a federal agency or 925
authority, another governing authority or state agency of the 926
State of Mississippi, or any governing authority or state agency 927
of another state at a public auction held for the purpose of 928
disposing of such vehicles or other equipment. Any purchase by a 929
governing authority under the exemption authorized by this 930
subparagraph (v) shall require advance authorization spread upon 931
the minutes of the governing authority to include the listing of 932
the item or items authorized to be purchased and the maximum bid 933
authorized to be paid for each item or items. 934
(vi) Intergovernmental sales and transfers. 935
Purchases, sales, transfers or trades by governing authorities or 936
state agencies when such purchases, sales, transfers or trades are 937
made by a private treaty agreement or through means of 938
negotiation, from any federal agency or authority, another 939
governing authority or state agency of the State of Mississippi, 940
or any state agency or governing authority of another state. 941
Nothing in this section shall permit such purchases through public 942
auction except as provided for in subparagraph (v) of this 943
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paragraph (m). It is the intent of this section to allow 944
governmental entities to dispose of and/or purchase commodities 945
from other governmental entities at a price that is agreed to by 946
both parties. This shall allow for purchases and/or sales at 947
prices which may be determined to be below the market value if the 948
selling entity determines that the sale at below market value is 949
in the best interest of the taxpayers of the state. Governing 950
authorities shall place the terms of the agreement and any 951
justification on the minutes, and state agencies shall obtain 952
approval from the Department of Finance and Administration, prior 953
to releasing or taking possession of the commodities. 954
(vii) Perishable supplies or food. Perishable 955
supplies or food purchased for use in connection with hospitals, 956
the school lunch programs, homemaking programs and for the feeding 957
of county or municipal prisoners. 958
(viii) Single-source items. Noncompetitive items 959
available from one (1) source only. In connection with the 960
purchase of noncompetitive items only available from one (1) 961
source, a certification of the conditions and circumstances 962
requiring the purchase shall be filed by the agency with the 963
Department of Finance and Administration and by the governing 964
authority with the board of the governing authority. Upon receipt 965
of that certification the Department of Finance and Administration 966
or the board of the governing authority, as the case may be, may, 967
in writing, authorize the purchase, which authority shall be noted 968
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on the minutes of the body at the next regular meeting thereafter. 969
In those situations, a governing authority is not required to 970
obtain the approval of the Department of Finance and 971
Administration. Following the purchase, the executive head of the 972
state agency, or his designees, shall file with the Department of 973
Finance and Administration, documentation of the purchase, 974
including a description of the commodity purchased, the purchase 975
price thereof and the source from whom it was purchased. 976
(ix) Waste disposal facility construction 977
contracts. Construction of incinerators and other facilities for 978
disposal of solid wastes in which products either generated 979
therein, such as steam, or recovered therefrom, such as materials 980
for recycling, are to be sold or otherwise disposed of; however, 981
in constructing such facilities, a governing authority or agency 982
shall publicly issue requests for proposals, advertised for in the 983
same manner as provided herein for seeking bids for public 984
construction projects, concerning the design, construction, 985
ownership, operation and/or maintenance of such facilities, 986
wherein such requests for proposals when issued shall contain 987
terms and conditions relating to price, financial responsibility, 988
technology, environmental compatibility, legal responsibilities 989
and such other matters as are determined by the governing 990
authority or agency to be appropriate for inclusion; and after 991
responses to the request for proposals have been duly received, 992
the governing authority or agency may select the most qualified 993
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proposal or proposals on the basis of price, technology and other 994
relevant factors and from such proposals, but not limited to the 995
terms thereof, negotiate and enter contracts with one or more of 996
the persons or firms submitting proposals. 997
(x) Hospital group purchase contracts. Supplies, 998
commodities and equipment purchased by hospitals through group 999
purchase programs pursuant to Section 31-7-38. 1000
(xi) Information technology products. Purchases 1001
of information technology products made by governing authorities 1002
under the provisions of purchase schedules, or contracts executed 1003
or approved by the Mississippi Department of Information 1004
Technology Services and designated for use by governing 1005
authorities. 1006
(xii) Energy efficiency services and equipment. 1007
Energy efficiency services and equipment acquired by school 1008
districts, community and junior colleges, institutions of higher 1009
learning and state agencies or other applicable governmental 1010
entities on a shared-savings, lease or lease-purchase basis 1011
pursuant to Section 31-7-14. 1012
(xiii) Municipal electrical utility system fuel. 1013
Purchases of coal and/or natural gas by municipally owned electric 1014
power generating systems that have the capacity to use both coal 1015
and natural gas for the generation of electric power. 1016
(xiv) Library books and other reference materials. 1017
Purchases by libraries or for libraries of books and periodicals; 1018
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processed film, videocassette tapes, filmstrips and slides; 1019
recorded audiotapes, cassettes and diskettes; and any such items 1020
as would be used for teaching, research or other information 1021
distribution; however, equipment such as projectors, recorders, 1022
audio or video equipment, and monitor televisions are not exempt 1023
under this subparagraph. 1024
(xv) Unmarked vehicles. Purchases of unmarked 1025
vehicles when such purchases are made in accordance with 1026
purchasing regulations adopted by the Department of Finance and 1027
Administration pursuant to Section 31-7-9(2). 1028
(xvi) Election ballots. Purchases of ballots 1029
printed pursuant to Section 23-15-351. 1030
(xvii) Multichannel interactive video systems. 1031
From and after July 1, 1990, contracts by Mississippi Authority 1032
for Educational Television with any private educational 1033
institution or private nonprofit organization whose purposes are 1034
educational in regard to the construction, purchase, lease or 1035
lease-purchase of facilities and equipment and the employment of 1036
personnel for providing multichannel interactive video systems 1037
(ITSF) in the school districts of this state. 1038
(xviii) Purchases of prison industry products by 1039
the Department of Corrections, regional correctional facilities or 1040
privately owned prisons. Purchases made by the Mississippi 1041
Department of Corrections, regional correctional facilities or 1042
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privately owned prisons involving any item that is manufactured, 1043
processed, grown or produced from the state's prison industries. 1044
(xix) Undercover operations equipment. Purchases 1045
of surveillance equipment or any other high-tech equipment to be 1046
used by law enforcement agents in undercover operations, provided 1047
that any such purchase shall be in compliance with regulations 1048
established by the Department of Finance and Administration. 1049
(xx) Junior college books for rent. Purchases by 1050
community or junior colleges of textbooks which are obtained for 1051
the purpose of renting such books to students as part of a book 1052
service system. 1053
(xxi) Certain school district purchases. 1054
Purchases of commodities made by school districts from vendors 1055
with which any levying authority of the school district, as 1056
defined in Section 37-57-1, has contracted through competitive 1057
bidding procedures for purchases of the same commodities. 1058
(xxii) Garbage, solid waste and sewage contracts. 1059
Contracts for garbage collection or disposal, contracts for solid 1060
waste collection or disposal and contracts for sewage collection 1061
or disposal. 1062
(xxiii) Municipal water tank maintenance 1063
contracts. Professional maintenance program contracts for the 1064
repair or maintenance of municipal water tanks, which provide 1065
professional services needed to maintain municipal water storage 1066
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tanks for a fixed annual fee for a duration of two (2) or more 1067
years. 1068
(xxiv) Purchases of Mississippi Industries for the 1069
Blind products or services. Purchases made by state agencies or 1070
governing authorities involving any item that is manufactured, 1071
processed or produced by, or any services provided by, the 1072
Mississippi Industries for the Blind. 1073
(xxv) Purchases of state-adopted textbooks. 1074
Purchases of state-adopted textbooks by public school districts. 1075
(xxvi) Certain purchases under the Mississippi 1076
Major Economic Impact Act. Contracts entered into pursuant to the 1077
provisions of Section 57-75-9(2), (3) and (4). 1078
(xxvii) Used heavy or specialized machinery or 1079
equipment for installation of soil and water conservation 1080
practices purchased at auction. Used heavy or specialized 1081
machinery or equipment used for the installation and 1082
implementation of soil and water conservation practices or 1083
measures purchased subject to the restrictions provided in 1084
Sections 69-27-331 through 69-27-341. Any purchase by the State 1085
Soil and Water Conservation Commission under the exemption 1086
authorized by this subparagraph shall require advance 1087
authorization spread upon the minutes of the commission to include 1088
the listing of the item or items authorized to be purchased and 1089
the maximum bid authorized to be paid for each item or items. 1090
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(xxviii) Hospital lease of equipment or services. 1091
Leases by hospitals of equipment or services if the leases are in 1092
compliance with paragraph (l)(ii). 1093
(xxix) Purchases made pursuant to qualified 1094
cooperative purchasing agreements. Purchases made by certified 1095
purchasing offices of state agencies or governing authorities 1096
under cooperative purchasing agreements previously approved by the 1097
Office of Purchasing and Travel and established by or for any 1098
municipality, county, parish or state government or the federal 1099
government, provided that the notification to potential 1100
contractors includes a clause that sets forth the availability of 1101
the cooperative purchasing agreement to other governmental 1102
entities. Such purchases shall only be made if the use of the 1103
cooperative purchasing agreements is determined to be in the best 1104
interest of the governmental entity. 1105
(xxx) School yearbooks. Purchases of school 1106
yearbooks by state agencies or governing authorities; however, 1107
state agencies and governing authorities shall use for these 1108
purchases the RFP process as set forth in the Mississippi 1109
Procurement Manual adopted by the Office of Purchasing and Travel. 1110
(xxxi) Design-build method of contracting and 1111
certain other contracts. Contracts entered into under the 1112
provisions of Section 31-7-13.1, 37-101-44 or 65-1-85. 1113
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(xxxii) Toll roads and bridge construction 1114
projects. Contracts entered into under the provisions of Section 1115
65-43-1 or 65-43-3. 1116
(xxxiii) Certain purchases under Section 57-1-221. 1117
Contracts entered into pursuant to the provisions of Section 1118
57-1-221. 1119
(xxxiv) Certain transfers made pursuant to the 1120
provisions of Section 57-105-1(7). Transfers of public property 1121
or facilities under Section 57-105-1(7) and construction related 1122
to such public property or facilities. 1123
(xxxv) Certain purchases or transfers entered into 1124
with local electrical power associations. Contracts or agreements 1125
entered into under the provisions of Section 55-3-33. 1126
(xxxvi) Certain purchases by an academic medical 1127
center or health sciences school. Purchases by an academic 1128
medical center or health sciences school, as defined in Section 1129
37-115-50, of commodities that are used for clinical purposes and 1130
1. intended for use in the diagnosis of disease or other 1131
conditions or in the cure, mitigation, treatment or prevention of 1132
disease, and 2. medical devices, biological, drugs and 1133
radiation-emitting devices as defined by the United States Food 1134
and Drug Administration. 1135
(xxxvii) Certain purchases made under the Alyce G. 1136
Clarke Mississippi Lottery Law. Contracts made by the Mississippi 1137
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Lottery Corporation pursuant to the Alyce G. Clarke Mississippi 1138
Lottery Law. 1139
(xxxviii) Certain purchases made by the Department 1140
of Health and the Department of Revenue. Purchases made by the 1141
Department of Health and the Department of Revenue solely for the 1142
purpose of fulfilling their respective responsibilities under the 1143
Mississippi Medical Cannabis Act. This subparagraph shall stand 1144
repealed on June 30, 2026. 1145
(xxxix) Purchases made by state agencies related 1146
to museum exhibits. Purchases made by an agency related to the 1147
fabrication, construction, installation or refurbishing of museum 1148
exhibits. An agency making a purchase under this exemption in 1149
excess of the bid threshold set forth in paragraph (c) of this 1150
section shall publicly advertise a Request for Qualifications or 1151
Request for Proposals in which price as an evaluation factor is at 1152
least twenty percent (20%) out of the one hundred percent (100%) 1153
total weight, but shall be otherwise exempt. Any contract arising 1154
from a purchase using this exemption must be approved by the 1155
Public Procurement Review Board prior to execution by the agency. 1156
The agency shall submit a written report on December 1 of each 1157
year to the Chairs of the Senate and House Appropriations 1158
Committees, the Chairs of the Senate and House Accountability, 1159
Efficiency and Transparency Committees and the Chair of the Public 1160
Procurement Review Board, identifying all purchases made by the 1161
agency using this exemption in which the cost of the option 1162
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selected by the agency was more than twenty-five percent (25%) 1163
higher than the lowest cost option available. 1164
(n) Term contract authorization. All contracts for the 1165
purchase of: 1166
(i) All contracts for the purchase of commodities, 1167
equipment and public construction (including, but not limited to, 1168
repair and maintenance), may be let for periods of not more than 1169
sixty (60) months in advance, subject to applicable statutory 1170
provisions prohibiting the letting of contracts during specified 1171
periods near the end of terms of office. Term contracts for a 1172
period exceeding twenty-four (24) months shall also be subject to 1173
ratification or cancellation by governing authority boards taking 1174
office subsequent to the governing authority board entering the 1175
contract. 1176
(ii) Bid proposals and contracts may include price 1177
adjustment clauses with relation to the cost to the contractor 1178
based upon a nationally published industry-wide or nationally 1179
published and recognized cost index. The cost index used in a 1180
price adjustment clause shall be determined by the Department of 1181
Finance and Administration for the state agencies and by the 1182
governing board for governing authorities. The bid proposal and 1183
contract documents utilizing a price adjustment clause shall 1184
contain the basis and method of adjusting unit prices for the 1185
change in the cost of such commodities, equipment and public 1186
construction. 1187
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(o) Purchase law violation prohibition and vendor 1188
penalty. No contract or purchase as herein authorized shall be 1189
made for the purpose of circumventing the provisions of this 1190
section requiring competitive bids, nor shall it be lawful for any 1191
person or concern to submit individual invoices for amounts within 1192
those authorized for a contract or purchase where the actual value 1193
of the contract or commodity purchased exceeds the authorized 1194
amount and the invoices therefor are split so as to appear to be 1195
authorized as purchases for which competitive bids are not 1196
required. Submission of such invoices shall constitute a 1197
misdemeanor punishable by a fine of not less than Five Hundred 1198
Dollars ($500.00) nor more than One Thousand Dollars ($1,000.00), 1199
or by imprisonment for thirty (30) days in the county jail, or 1200
both such fine and imprisonment. In addition, the claim or claims 1201
submitted shall be forfeited. 1202
(p) Electrical utility petroleum-based equipment 1203
purchase procedure. When in response to a proper advertisement 1204
therefor, no bid firm as to price is submitted to an electric 1205
utility for power transformers, distribution transformers, power 1206
breakers, reclosers or other articles containing a petroleum 1207
product, the electric utility may accept the lowest and best bid 1208
therefor although the price is not firm. 1209
(q) Fuel management system bidding procedure. Any 1210
governing authority or agency of the state shall, before 1211
contracting for the services and products of a fuel management or 1212
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fuel access system, enter into negotiations with not fewer than 1213
two (2) sellers of fuel management or fuel access systems for 1214
competitive written bids to provide the services and products for 1215
the systems. In the event that the governing authority or agency 1216
cannot locate two (2) sellers of such systems or cannot obtain 1217
bids from two (2) sellers of such systems, it shall show proof 1218
that it made a diligent, good-faith effort to locate and negotiate 1219
with two (2) sellers of such systems. Such proof shall include, 1220
but not be limited to, publications of a request for proposals and 1221
letters soliciting negotiations and bids. For purposes of this 1222
paragraph (q), a fuel management or fuel access system is an 1223
automated system of acquiring fuel for vehicles as well as 1224
management reports detailing fuel use by vehicles and drivers, and 1225
the term "competitive written bid" shall have the meaning as 1226
defined in paragraph (b) of this section. Governing authorities 1227
and agencies shall be exempt from this process when contracting 1228
for the services and products of fuel management or fuel access 1229
systems under the terms of a state contract established by the 1230
Office of Purchasing and Travel. 1231
(r) Solid waste contract proposal procedure. Before 1232
entering into any contract for garbage collection or disposal, 1233
contract for solid waste collection or disposal or contract for 1234
sewage collection or disposal, which involves an expenditure of 1235
more than Seventy-five Thousand Dollars ($75,000.00), a governing 1236
authority or agency shall issue publicly a request for proposals 1237
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concerning the specifications for such services which shall be 1238
advertised for in the same manner as provided in this section for 1239
seeking bids for purchases which involve an expenditure of more 1240
than the amount provided in paragraph (c) of this section. Any 1241
request for proposals when issued shall contain terms and 1242
conditions relating to price, financial responsibility, 1243
technology, legal responsibilities and other relevant factors as 1244
are determined by the governing authority or agency to be 1245
appropriate for inclusion; all factors determined relevant by the 1246
governing authority or agency or required by this paragraph (r) 1247
shall be duly included in the advertisement to elicit proposals. 1248
After responses to the request for proposals have been duly 1249
received, the governing authority or agency shall select the most 1250
qualified proposal or proposals on the basis of price, technology 1251
and other relevant factors and from such proposals, but not 1252
limited to the terms thereof, negotiate and enter into contracts 1253
with one or more of the persons or firms submitting proposals. If 1254
the governing authority or agency deems none of the proposals to 1255
be qualified or otherwise acceptable, the request for proposals 1256
process may be reinitiated. Notwithstanding any other provisions 1257
of this paragraph, where a county with at least thirty-five 1258
thousand (35,000) nor more than forty thousand (40,000) 1259
population, according to the 1990 federal decennial census, owns 1260
or operates a solid waste landfill, the governing authorities of 1261
any other county or municipality may contract with the governing 1262
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authorities of the county owning or operating the landfill, 1263
pursuant to a resolution duly adopted and spread upon the minutes 1264
of each governing authority involved, for garbage or solid waste 1265
collection or disposal services through contract negotiations. 1266
(s) Minority set-aside authorization. Notwithstanding 1267
any provision of this section to the contrary, any agency or 1268
governing authority, by order placed on its minutes, may, in its 1269
discretion, set aside not more than twenty percent (20%) of its 1270
anticipated annual expenditures for the purchase of commodities 1271
from minority businesses; however, all such set-aside purchases 1272
shall comply with all purchasing regulations promulgated by the 1273
Department of Finance and Administration and shall be subject to 1274
bid requirements under this section. Set-aside purchases for 1275
which competitive bids are required shall be made from the lowest 1276
and best minority business bidder. For the purposes of this 1277
paragraph, the term "minority business" means a business which is 1278
owned by a majority of persons who are United States citizens or 1279
permanent resident aliens (as defined by the Immigration and 1280
Naturalization Service) of the United States, and who are Asian, 1281
Black, Hispanic or Native American, according to the following 1282
definitions: 1283
(i) "Asian" means persons having origins in any of 1284
the original people of the Far East, Southeast Asia, the Indian 1285
subcontinent, or the Pacific Islands. 1286
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(ii) "Black" means persons having origins in any 1287
black racial group of Africa. 1288
(iii) "Hispanic" means persons of Spanish or 1289
Portuguese culture with origins in Mexico, South or Central 1290
America, or the Caribbean Islands, regardless of race. 1291
(iv) "Native American" means persons having 1292
origins in any of the original people of North America, including 1293
American Indians, Eskimos and Aleuts. 1294
(t) Construction punch list restriction. The 1295
architect, engineer or other representative designated by the 1296
agency or governing authority that is contracting for public 1297
construction or renovation may prepare and submit to the 1298
contractor only one (1) preliminary punch list of items that do 1299
not meet the contract requirements at the time of substantial 1300
completion and one (1) final list immediately before final 1301
completion and final payment. 1302
(u) Procurement of construction services by state 1303
institutions of higher learning. Contracts for privately financed 1304
construction of auxiliary facilities on the campus of a state 1305
institution of higher learning may be awarded by the Board of 1306
Trustees of State Institutions of Higher Learning to the lowest 1307
and best bidder, where sealed bids are solicited, or to the 1308
offeror whose proposal is determined to represent the best value 1309
to the citizens of the State of Mississippi, where requests for 1310
proposals are solicited. 1311
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(v) Insurability of bidders for public construction or 1312
other public contracts. In any solicitation for bids to perform 1313
public construction or other public contracts to which this 1314
section applies, including, but not limited to, contracts for 1315
repair and maintenance, for which the contract will require 1316
insurance coverage in an amount of not less than One Million 1317
Dollars ($1,000,000.00), bidders shall be permitted to either 1318
submit proof of current insurance coverage in the specified amount 1319
or demonstrate ability to obtain the required coverage amount of 1320
insurance if the contract is awarded to the bidder. Proof of 1321
insurance coverage shall be submitted within five (5) business 1322
days from bid acceptance. 1323
(w) Purchase authorization clarification. Nothing in 1324
this section shall be construed as authorizing any purchase not 1325
authorized by law. 1326
(x) Mississippi Regional Pre-Need Disaster Clean Up 1327
Act. (i) The Department of Finance and Administration shall 1328
develop and implement a process that creates a preferred vendor 1329
list for both disaster debris removal and monitoring. 1330
(ii) Any board of supervisors of any county or any 1331
governing authority of any municipality may opt in to the benefits 1332
and services provided under the appropriate and relevant contract 1333
established in subparagraph (i) of this paragraph at the time of a 1334
disaster event in that county or municipality. At the time of opt 1335
in, the county or municipality shall assume responsibility for 1336
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ST: ITS; authorize to establish certain
procurement frameworks for information
technology.
payment in full to the contractor for the disaster-related solid 1337
waste collection, disposal or monitoring services provided. 1338
Nothing in this subparagraph (ii) shall be construed as requiring 1339
a county or municipality to opt in to any such contract 1340
established in subparagraph (i) of this paragraph. 1341
SECTION 4. This act shall take effect and be in force from 1342
and after July 1, 2026. 1343