PROCEDURES HANDBOOK |
SECTION 8: QUALITY ASSURANCE
Quality assurance is a partnership involving the state agency, the
vendor and the Purchasing Division. The agency establishes the quality level by
the specifications, and the Purchasing Division seeks to reduce cost and
maintain quality through the competitive bid process. The agency and the
Purchasing Division perform an evaluation of the offers by bidders to obtain
maximum benefit for the tax dollars spent. The vendor’s responsibility is to
provide the quality level established by the specifications and accepted by the
agency.
8.1 Agency Responsibilities
8.1.1 Proper Acquisition
Planning:
The agency’s first step is to determine the commodity that is needed, the
quantity, the quality level, delivery location and time frame. All offers in the
evaluation process will be compared to the standards established in the
specifications for award.
8.1.2 Receiving:
State agency personnel must verify the shipment of commodities with the
specifications in the purchase order while reporting of any discrepancies,
obvious damages or shortages based upon the purchase order specifications. (See
Section 5.3)
8.1.3 Closing of Purchase
Order:
Agencies should close all encumbered purchase orders in
wvOASIS after receipt of commodities
or last payment made.
8.1.4 Inventory:
Once payment has been made to the vendor and the I-document established,
reportable property must be added to the
wvOASIS Fixed Assets System. (See
Appendix G)
8.1.5 Vendor Performance:
Vendor performance and product quality is crucial in the state purchasing
process. When these factors do not meet expectations, the state agency
designated procurement officers are strongly encouraged to contact the vendor
and voice their concerns. Agency procurement officers must document all efforts
made to resolve the problem and the complaints should be resolved expeditiously
and courteously. It is the responsibility of the agency procurement officer to
initiate all efforts to attempt to resolve the matter and to document his or her
actions.
After all attempts have failed by the agency to resolve the issues,
the complaint should immediately be referred to the appropriate buyer of the
Purchasing Division, who is assigned to the agency, on the Vendor
Performance Report (WV-82),
along with all documentation noting all steps taken to try to resolve the
problem. All written vendor responses must also be included in the packet sent
to the Purchasing Division buyer.
8.1.5.1 Vendor Performance
Report:
The Vendor Performance Report
(WV-
82) is to be used to report all incidents of vendor performance,
both positive and negative, even if a resolution has been reached.
When assistance is requested, a Purchasing Division official will
notify the vendor directly in writing of the problem.
The Vendor Performance
Report is to be sent to
the appropriate buyer of the Purchasing Division who is assigned to the agency
at 2019 Washington Street, East, Charleston, WV 25305.
8.2 Purchasing Division Responsibilities:
The Purchasing Division is responsible for ensuring that the purchase of or
contract for commodities and printing shall be based whenever possible on
competitive bid.
8.2.1 Specification
Review:
The Purchasing Division will review all specifications submitted by an agency to
ensure that the specifications are complete and open to competition.
8.2.2 Evaluation:
The Purchasing Division staff reviews all evaluations and recommendations for
award for validity and consistency. In Best Value Procurement techniques, the
Purchasing Division requires and provides training to all agency evaluation
committee members to ensure proper evaluation procedures are followed and
quality evaluations are submitted in standard format. (See
Section 6.2.4).
8.2.3 Contract
Administration:
Although the agency is responsible for monitoring vendor performance and
compliance with the specifications on a daily basis, the Purchasing Division
assists with dispute resolutions when needed. It is preferred that agency
personnel and the vendor exhaust all avenues in an effort to resolve the dispute
prior to the Purchasing Division’s intervention. Situations where the vendor has
breached contract or established a pattern of poor performance, the Purchasing
Division may cancel the contract and/or suspend the vendor from further
participation in the competitive bid process. In the event that bonds have been
posted by the vendor, the Purchasing Division may also institute action to
recover any damages identified from the vendor’s surety.
8.2.4 Training:
The Purchasing Division provides a variety of training to state agencies in an
effort to increase the level of proficiency. Annual conferences are usually
conducted for agency procurement officers.
In addition, on-going training is offered by the Purchasing
Division in various methods, including the in-house training curriculum which
offers classes throughout the year at the State Capitol Complex and online
modules available on the Purchasing Division’s website. Webinars on various
topics are also offered throughout the year.
In order to be knowledgeable of purchasing requirements, laws and
procedures, it is highly recommended that agency designated procurement contacts
participate in the available purchasing training opportunities. In accordance
with the
West Virginia Code of State Rules 148CSR1,
“all purchases must be approved by the secretary or head of the spending
unit, or a designee, whose name shall be filed with the Director. The person(s)
named must take at least 10 hours annually of available purchasing training and have responsibility for the
function of purchasing. Each spending unit shall process all purchases through
this person(s), who shall be responsible for correspondence and communication
with the Purchasing Division.”
The Purchasing Division strongly encourages agency procurement
officers to provide additional internal training for their staff. Agency
personnel should always consult with the agency procurement officer in
all purchasing matters.
8.2.4.1. Mandatory Training:
In accordance with
West Virginia Code §5A-3-60, all
executive department secretaries, commissioners, deputy commissioners, assistant
commissioners, directors, deputy directors, assistant directors, department
heads, deputy department heads and assistant department heads are hereby
required to take two hours of training on purchasing procedures and purchasing
cards annually. The Director of the Purchasing Division and the State Auditor
shall offer the two-hour training at least two times per year. The training
shall be recorded by audio and visual means and shall be made available to the
individuals listed above in the event they are unable to attend the training in
person.
All individuals required to take this training will be required to certify, in writing, on a form that is posted on the website above which verifies the date, time and location for which they took the training. Completed forms shall be returned to the Purchasing Division to be maintained.
8.3 Vendor Responsibilities:
Each vendor is solely
responsible for delivering a bid to the Purchasing Division prior to the
specified date and time of the bid opening. The official time clock of the
Purchasing Division, for the purpose of receipt of bids, shall be displayed in
the offices of the Purchasing Division. Vendors are responsible for the accuracy
of the information on and in the bid envelopes.
8.3.1 Compliance with
Specifications:
Successful vendors are required to meet or exceed the quality level
accepted and specified on the final purchase order in addition to meeting
delivery requirements.
8.3.2 Follow-Up with
Suppliers:
To ensure delivery deadlines are met, the vendor should communicate
and coordinate with its suppliers to fulfill delivery obligations.
8.3.3 Dispute Resolution:
The vendor is required to negotiate in good faith with agency
personnel should a dispute arise.
8.3.4 Remedies
In the event that a vendor fails to honor any contractual term or
condition, the Director may:
(a) Cancel the contract and re-award the purchase order to the next
lowest bidder (or next highest bidder if best value procurement). The vendor
failing to honor contractual obligations is responsible for any increase in cost
the state incurs as a result of the re-award;
(b) Declare a vendor non-responsible and refuse to award a purchase
order. All such instances shall be substantiated in writing. The documentation
shall be considered a public document and shall be available for inspection at
all reasonable times; or
(c) Suspend, for a period not to exceed one (1) year, the right of
a vendor to bid on state purchases when there is reason to believe the vendor
has violated any of the provisions, terms, or conditions of a contract, this
rule or state law. A suspended vendor may appeal the decision of the Director to
the Secretary of Administration.
The following are adequate grounds for suspension:
(i) A vendor has exhibited a pattern of poor performance in
fulfilling his or her contractual obligations to the state. Poor performance
includes, but is not limited to, a vendor providing or furnishing commodities,
services or printing, materials, or services late, or at a quantity or quality
level below that which is specified in the contract.
(ii) The vendor has breached any contract entered into pursuant to
the provisions of
West Virginia Code,
§5A-3-1, or West Virginia Code of State
Rules; or
(iii) The vendor has been convicted of any federal, state or local
crime punishable as a felony, directly related to the performance of a contract
entered into pursuant to West
Virginia Code, §5A-3-1 et seq. or
West Virginia Code of State Rules.
(d) Debar a vendor on the basis of one or more of the grounds for
debarment contained in
West Virginia Code §5A-3-33b-33f or if
the vendor has been declared ineligible to participate in procurement-related
activities under federal laws and regulation.
8.3.5 Damages
A vendor who fails to perform as required under a contract shall be
liable for actual damages and costs incurred by the state.
If any merchandise delivered under a contract has been used or
consumed by an agency and on testing is found not to comply with specifications,
no payment may be approved by the Director for the merchandise until the amount
of actual damages incurred has been determined.
The Purchasing Director shall seek to collect damages by following
the procedures established by the Office of the Attorney General for the
collection of delinquent obligations.