phone: (718) 403-8503
email: Jgioia@oti.nyc.gov
PIN#85823Y0393 INNOVATIVE MWBE PROCUREMENT FOR RED HAT ENTERPRISE REHL LICENSE
The City has implemented its M/WBE program in an effort to remedy the documented disparity in utilization of certain groups of vendors as compared to their willingness and ability to do business with the City. As an additional tool which will allow the City to utilize more M/WBEs in a more efficient way, this method will aid the City in its goal of decreasing and ultimately eliminating this documented disparity against such groups. The current PPB Rules only allow for MWBE noncompetitive small purchases to be made up to and including $500,000. This method operationalizes the recent New York State law (Chapter 569 of the Laws of 2022) that amended the NYC Charter § 311 and gives agencies the specific authority granted under such legislation to make such purchases up to and including $1,000,000. By removing competition for these procurements, it will allow agencies to provide a variety of important services to New Yorkers in a faster and more efficient way. Finally, this new noncompetitive small purchase will increase the number of procurements that are going to M/WBEs, especially those under-utilized M/WBEs, and further the effectiveness of the program.
The innovative procurement method to be used for these M/WBE purchases will vary in a number of respects from the procedure otherwise applicable pursuant to the PPB Rules, including but not limited to, PPB Rule § 3-08(c)(1)(iv). As with other noncompetitive purchases, changes to and/or renewals of purchases pursuant to this method must not bring the total value of the procurement to an amount greater than the M/WBE discretionary buying threshold amount. Key elements of the M/WBE purchase method include the following:
No competition will be required for the procurement of goods, services, and construction to City-certified M/WBEs within this limit, except that in making such purchases, agency contracting officers should obtain price or rate quotations from at least three City-certified M/WBE vendors capable of providing goods, services, or construction needed. If, after exercising reasonable efforts, the agency has not received three responses, they may proceed with the award. Documentation of such purchases must identify the vendor the item was purchased from, the item purchased, and the amount paid.
Determinations required pursuant to PPB Rule § 2-01, presolicitation review including public notices of solicitation and the presolicitation review reports pursuant to PPB Rule § 2-02, and recommendations for awards pursuant to PPB Rule § 2-09 will not be required. Agencies should consider any issues that may affect the responsibility of a vendor before issuing an award pursuant to PPB Rule § 2-08.
After a vendor has been selected, the contracting officer must issue a contract, as appropriate, to the successful bidder or offeror. The procurement file must include at a minimum all of the requirements of PPB Rule § 3-08(e)(1)-(7), (12) and (14), in addition to the dollar amount of the contract. As with small purchases pursuant to PPB Rule § 3-08, vendor protests per PPB Rule § 2-10 will not be permitted. Performance evaluations pursuant to PPB Rule § 4-01 shall not be required except in cases of deficient performance.
Pursuant to PPB Rule § 3-12(e), a notice of award must be provided for each purchase made. Agencies may also utilize this innovative procurement method to amend M/WBE noncompetitive small purchases made pursuant to PPB Rule § 3-08(c)(1)(iv) to above $500,000 and up to and including $1,000,000.
The proposed method will be evaluated to determine whether it is in the City’s best interest to be codified and used within the PPB rules.
Under this proposed method, the agency will be soliciting for Red Hat Enterprise REHL Licenses. At this time, OTI would like to give this opportunity to accept comments and expressions of interest on this proposed method. Comments and expressions of interest may be emailed to John Gioia at Jgioia@oti.nyc.gov.
