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RESOLUTIONS ABA MODEL PROCUREMENT CODE Whereas, the National Institute of Governmental Purchasing, Inc. has long expressed an interest in the need for codifications of the best principles and practices of public purchasing, and Whereas, the American Bar Association, recognizing the diversity of state and local purchasing programs, has developed a public contract law to serve as a general model for consideration or appropriate revision by a state government to meet the requirements of state governments, has introduced a modified draft for local governments, and now has developed recommended regulations for support of and implementation of the "Model Code". Whereas, the National Institute of Governmental Purchasing endorses the American Bar Associations efforts to modify the code, to recognize changes in technology and procurement environment. Now Therefore, Be IT RESOLVED that the National Institute of Governmental Purchasing commends the American Bar Association for dissemination of Recommended Regulations as an important support document to the Code.
RESOLUTION CENTRALIZED PURCHASING Whereas, a strong, well managed purchasing program is essential to good government, and Whereas, poorly managed purchasing programs result in inefficient and wasteful government, and Whereas, improper purchasing results in the loss of public confidence in the integrity of the government, and Whereas, governmental purchasing functions best in a free and open environment, and Whereas, openness, centralization, and professionalism serve a government well, and Whereas, where there is a public record of the acquisition of goods and services there is public confidence, and Whereas, the centralization of the purchasing authority is the basis for responsibility and accountability of governmental purchasing, and Whereas, the central purchasing office objectively exercises the purchasing authority of a government, independent of internal special programs and special interests, and Whereas, professionalism - adherence to high ethical standards - reduces the cost of government, by awarding contracts impartially, and instills public confidence in the integrity of the government, Now Therefore, BE IT RESOLVED, that the National Institute of Governmental Purchasing, Inc., urgently recommends the adoption of centralized purchasing as the standard government organization
RESOLUTION CONFLICTS OF INTEREST Whereas, it is the policy of the National Institute of Governmental Purchasing to promote free and open competition in public purchasing, and to conduct its operations in a manner that merits the respect and confidence of the public agencies which it serves. Now Therefore, BE IT RESOLVED, that no member of the Board of Directors or Officer of the Corporation shall serve as an employee, member of a Board, Advisory Board or Committee, or any other policy level position, with or without remuneration, of a for-profit organization which sells products or services to Governmental entities, or a for-profit organization whose primary clients sell products or services to Government entities.
RESOLUTION DAVIS-BACON ACT Whereas, The National Institute of Governmental Purchasing is committed to the prudent expenditure of public funds; and Whereas, the economic conditions and wage practices prevalent during the Great Depression in the 1930's no longer exist in substance; and Whereas, the Davis-Bacon Act enacted in 1931 has sponsored a bureaucratic regulatory system that inflates construction costs; and Whereas, unusual conditions regarding labor rates are not prevalent on a national basis and can be resolved at the State and local level on an exception basis. Now Therefore, BE IT RESOLVED, that the National Institute of Governmental Purchasing opposes the continuation the selected occupational wage rates required by the Davis-Bacon Act.
RESOLUTION DAVIS-BACON REFORM Whereas, the economic conditions and wage practices that led to the need for the enactment of the Davis-Bacon Act no longer exists, and Whereas, collective bargaining guaranteed by the National Labor Relations Act have secured rates in keeping with applicable regional areas of the country, and Whereas, these Acts have resulted in higher costs for Federal, State, Local Governments, and Whereas, it has been determined that raising the threshold from the current $2,000.00 to a more reasonable threshold of $1 million dollars, would save the Department of Defense $148 million to $180 million dollars per year, and Whereas, it is essential that the Federal Government seek every possible method to help reduce the Federal deficit, and Whereas, the 1934 Copeland Anti-Kickback Act, makes kickbacks from the workers wages to the contractor illegal, and requires contractors to furnish weekly statements of wages paid each employee during the preceding week, and Whereas, the Labor Department requires contractors to furnish weekly statements of wages paid each employee during the preceding week, and Whereas, the Labor Department requires contractors to file a Statement of Compliance which includes complete weekly payroll records, and Whereas, Federal, State and Local Governments pay for this duplication both to the contractor for preparing and providing the reports and for the cost of the agencies that audit them, and Whereas, a "helper classification" is widely utilized by contractors on private construction jobs, and this provides opportunities to utilize minorities, females, handicapped, and young workers to develop skills and eventually become journeymen, and Whereas, it has long been the intent of Congress "that wages paid on government projects mirror those paid for similar labor by private industry". Now Therefore, BE IT RESOLVED, that the National Institute of Governmental Purchasing, Inc. recommends the Davis-Bacon Act be reformed as follows:
Davis-Bacon Reform (continued)..
Be it further resolved, that the National Institute of Governmental Purchasing, Inc. encourages the support of all Federal, State and Local agencies and respectfully requests their assistance in having the Davis-Bacon Reform Program as stated above, introduced, considered, and adopted.
RESOLUTION GSA MOST FAVORED CUSTOMER Whereas, competitive bidding is officially regarded by federal, state, and local governments as being in the public interest; and Whereas, the use of "most favored customer" pricing practices used by General Services Administration and other governmental organizations in public purchasing has the effect of establishing fixed prices for all users, and especially is restrictive upon other governmental purchasers in entering into supply contracts; and Whereas, the Federal Supply and Services procurement regulations do not provide that schedule contractors who wish to submit bids in response to state and local Governments are not excluded from the requirements of their Price Reduction Clause; and Whereas, some manufacturers are apparently utilizing the terms of GSA contracts to maintain artificially high prices; Now Therefore, BE IT RESOLVED, that the National Institute of Governmental Purchasing Officials request GSA to explain its policy to the various manufacturers that the quoting of lower prices to state and local governments is not prohibited by GSA policy or regulation, and will not necessarily result in renegotiation of prices offered to GSA.
RESOLUTION GSA "MOST FAVORED CUSTOMER" PRICING CLAUSES OR PRACTICES Whereas, the use of "most favored customer" pricing practices used by General Services Administration and other Governmental Organizations in public purchasing has the effect of establishing fixed prices for all users, and especially is restrictive upon other governmental purchasers in negotiating supply contracts; and Whereas, competitive bidding is officially regarded by Federal, State and Local Governments as being in the public interest; and Whereas, "most favored customer" pricing practices result in pre-established and uniform pricing and thereby defeat the principles of competitive bidding and laws and policies which support these principles; and Whereas, the Federal Supply Service procurement regulations provide that schedule contractors who wish to submit bids in response to State and Local Government requirements may do so freely, as sales made to State and Local Governments are excluded from the requirements of their Price Reduction Clause. Now Therefore, BE IT RESOLVED, the National Institute of Governmental Purchasing again affirms its opposition to practices at any level of Government which restrict "the price suppliers may offer to other purchasers", and urges the abolishment of such practices in public purchasing.
RESOLUTION INTERGOVERNMENTAL PURCHASING Joint Purchasing and Cooperative Purchasing Whereas, voluntary purchasing agreements between and among state governments, state and local governments, and local governments have been shown to improve competition, quality, and services, and provide lower prices for goods and services, and Whereas, intergovernmental agreements, although widely varied, generally may be characterized as either Joint Purchasing agreements or Cooperative Purchasing agreements, and Whereas, Joint Purchasing is a result of written contract or legislative action, between two or more local governments, to create a consolidated purchasing office, which may charge an internal fee to program participants, has been shown to reduce, or eliminate, staff costs, avoid duplication of efforts, provide price savings, improve service, and Whereas, Cooperative Purchasing results from written agreements wherein lead agencies volunteer to purchase specified commodities or services for themselves and participating cooperative members by compiling quantity estimates, preparing the solicitation, receiving bid/proposals and awarding a contract for mandatory use by all participating members. And, wherein the lead agency is responsible for placing, receipt and payment of its own orders only, while individual participating members separately process and pay for their own requirements. Now, therefore, the Board of Directors of the National Institute of Governmental Purchasing, by this resolution, urges all public purchasing officials to take a proactive role in the development of Joint Purchasing and Cooperative Purchasing agreements, urging initiative to foster, design, and administer intergovernmental purchasing agreements.
RESOLUTION INTERNATIONAL FREE TRADE Whereas, the National Institute of Governmental Purchasing, Inc. continues to support the competitive bidding process as the most effective vehicle for acquiring products and services for the public sector; and Whereas, preferences, national and in-state, are unreasonable restraints of trade, which invite retaliation from other nations and states; and Whereas, the Institute is opposed to all restraints of trade, whether by law or practice, and views them as impediments to cost effective procurement of goods, services and construction in a free trade system. Now therefore, BE IT RESOLVED that the National Institute of Governmental Purchasing, Inc.:
JOINT RESOLUTIONS OF NIGP/NASPO Number: 1010 Whereas, the Office of Management and Budget has issued a revised Attachment "O", OMB Circular A-102 (revised), effective October 1, 1979; and Whereas, the National Institute of Governmental Purchasing and National Association of State Purchasing Officials agree with OMB and the Office of Federal Procurement Policy that important elements of the amended Attachment include:
Now Therefore, BE IT RESOLVED, that the National Institute of Governmental Purchasing and National Association of State Purchasing Officials:
Whereas, The National Institute of Governmental Purchasing and the National Association of State Purchasing Officials hereby reaffirm their support in principle for the American Bar Joint Association Model Procurement Code for State and Local Government as follows: Whereas, the National Institute of Governmental Purchasing and the Natal Association of State Purchasing Officials have long expressed an interest in and need for the codifications of the best principles and practices of public purchasing in the form of a purchasing law; and Whereas, the American Bar Association, recognizing the diversity of state and local purchasing programs, has developed a public contract law to serve as a general model for consideration and appropriate revision to meet the requirements of state and local governments, Now Therefore, BE IT RESOLVED, that NIGP and NASPO do not endorse all provisions of the Model Procurement Code with respect to all its provisions, language, or specific alternatives due to a number of reservations by the memberships, nevertheless endorse the concept of the Code and remain among its constituency advocating clear-headed discretion in adaptation of those portions of the Code which meet a need for revision in an existing state purchasing law
END OF JOINT RESOLUTIONS ----------------------------- ADDENDUM The NIGP Board of Directors and the NASPO Executive Committee unanimously agreed that the two organizations should jointly enter into discussions with the ABA Coordinating Committee to acquire the rights for printing, distribution and sale of the suggested implementing regulations of the Model Procurement Code as well as any necessary reprinting, distribution and sale of the Model Code itself; Further that NIGP/NASPO should in coordination with the ABA Coordinating Committee provide technical assistance to state and local governments in the review and analysis of existing procurement legislation and the evaluation of the Model Procurement Code; Further that NIGP/NASPO should, in coordination with the ABA Coordinating Committee develop an educational and training program on the provisions of the Model Code and the Joint Resolutions suggested implementing regulations to be made available to state and local governmental activities in a seminar series on a reimbursable basis. Mr. Lewis E. Spangler, Executive Vice President, NIGP, was directed to enter into such discussions with the appropriate officials of the ABA Coordinating Committee.
RESOLUTION METRIC STANDARDS Whereas, the use of metric measurement standards has been authorized by law since the Act of July 28, 1866 (14 Stat 339) which authorized the use of the metric system of measurement in all transactions, public and private; and Whereas, the Metric Conversion Act of 1975 declared the policy of the United States to coordinate and plan the increasing use of the metric system in the United States; and Whereas, Federal civil and military departments and agencies have established policies to eliminate unjustified barriers to the purchase of metric products and services; and Whereas, it is good public purchasing practice to eliminate impediments to voluntary metric transition by U.S. commerce and industry and avoid inadvertent discrimination against products designed to metric standards; Now Therefore, BE IT RESOLVED, that the National Institute of Governmental Purchasing and the National Association of State Purchasing Officials support the development and use of purchase descriptions and standards which broaden the procurement base by allowing metric designed products to compete equally with products designed to "customary" standards wherever possible.
RESOLUTION MULTI-NATIONAL MISSION Whereas, it is the purpose of the National Institute of Governmental Purchasing, Inc. (NIGP) to establish and maintain public purchasing and materials management functions as professional in function and stature, and Whereas, NIGP is dedicated to the interchange of ideas and experiences with purchasing officials from local, state/provincial, national and international governments. Now therefore, BE IT RESOLVED, NIGP will foster relationships with other associations, institutes, agencies and entities engaged in public procurement policy, practice, education and/or research throughout the world, and will actively assist and inform any nation with respect to public procurement activities and initiatives, and Be it further resolved that NIGP will support the scope and purpose of international associations (i.e., IFPMM, ICPS, etc).
RESOLUTION MULTIPLE AWARD CONTRACTS Whereas, the National Institute of Governmental Purchasing consistently favors policies and practices which encourage maximum competition in bid solicitations for Federal, State and Local Government business, and Whereas, Federal, state, and Local Government public purchasing officials are committed to competitive bidding as the preferred and most effective means for obtaining products and services at the most favorable prices; and Whereas, the competitive bid process tends to discourage favoritism and the purchase of products or services on the basis of personal and brand preferences. Now Therefore, BE IT RESOLVED, that the National Institute of Governmental Purchasing reaffirms its support of the use of competitive bid solicitations and competitive awards, which means a single award according to the criteria set forth in the bid or proposal to the lowest responsive and responsible bidder, and to utilize the practice of establishing "multiple award" type contracts for similar commodities only when a single competitive award cannot be made.
RESOLUTION NON-DISCRIMINATION Whereas, the National Institute of Governmental Purchasing, Inc. was incorporated on the unstated assumption of equal rights to all citizens, and Whereas, the Institute has always operated, internally and externally, on a non-discriminatory basis. Now Therefore, BE IT RESOLVED, that the National Institute of Governmental Purchasing, Inc. codifies this tradition by declaring that preference for or discrimination against individuals based on race, creed, color, national origin, political or religious affiliation, sex, sexual orientation, age, marital status, marital relationship, or physical disability is prohibited within the Institute. BE IT FURTHER RESOLVED, that the Institute urges the end to discrimination in all of society.
RESOLUTION PERFORMANCE BONDING REQUIREMENTS Whereas, legislation requiring the mandatory use of performance bonds was, historically, enacted to assure the completion of public projects and protect public funds when other protections were not available, and Whereas, the National Institute of Governmental Purchasing, Inc. has developed administrative methods to insure contractor performance and secure public funds, and Whereas, the Model Procurement Code of the American Bar Association establishes procedures and precautions to be used when expending public funds, and Whereas, mandatory requirements for performance bonds have tended to restrict participation in public purchasing by small businesses and minority owned businesses; Now, Therefore, BE IT RESOLVED, the National Institute of Governmental Purchasing, Inc. recommends that the performance bonding requirements of public purchases be rescinded and that performance bonds be required, only, when other, nonrestrictive methods of protection of public funds are not feasible.
RESOLUTION PREFERENCE Whereas, the National Institute of Governmental Purchasing, Inc. advocates the use of the free, open competitive process for public procurement, and Whereas, the National Institute of Governmental Purchasing, Inc. supports all efforts to include everyone to participate on an equal basis in this process, and Whereas, the practice of preference laws or regulations results in reduced competition and increased prices; Now Therefore, BE IT RESOLVED that the National Institute of Governmental Purchasing, Inc. is opposed to all types of preference law and practice and views it as an impediment to cost effective procurement of goods, services and construction in a free enterprise system.
RESOLUTION PREFERENCE, SOCIO-ECONOMIC Whereas, the National Institute of Governmental Purchasing is committed to the prudent expenditure of public funds; and Whereas, our purpose is achieved by the procurement of goods and services of the proper utility at a proper price generated by free and open competition; and Whereas, the procurement profession's responsibility includes the development of sources for goods and services to further competition. Now Therefore, BE IT RESOLVED that the National Institute of Governmental Purchasing is committed to the development of sources, including minority businesses, women-owned businesses, and disadvantaged businesses, and is also committed to the utilization of good faith efforts to achieve this development.
RESOLUTION PRESIDENTIAL CITATION Whereas, the President of the United States in a communication to the First Annual Conference of the National Institute of Governmental Purchasing wrote concerning governmental buyers of the nation:
Whereas, the Institute is deeply appreciative of the encouragement by our President, Now therefore, BE IT RESOLVED, that the National Institute of Governmental Purchasing assembled in its First Annual Conference in Chicago, Illinois, on August 21, 1946, records its re-affirmation of and re-dedication to the principles upon which the organization was founded and pledges its membership to renewed efforts in the more widespread professionalization of governmental buying as expressed in the official aims and objectives and Code of Ethics of the Institute.
RESOLUTION PROCUREMENT OF RECYCLED AND ENVIRONMENTALLY FRIENDLY PRODUCTS Whereas, disposal of solid waste has become a national/international problem; and Whereas, available landfill for waste disposal is rapidly declining; and Whereas, recycling and reuse of products will reduce the solid waste stream and enhance our environmental condition; and Whereas, the National Institute of Governmental Purchasing has traditionally taken a leadership role in matters of extreme importance to the public sector. Now Therefore, BE IT RESOLVED, that the Institute urges all public purchasers, members and non members, to take an active role to close the recycling loop by purchasing:
Further, the National Institute of Governmental Purchasing recommends that every attempt be made to purchase such products when economically feasible.
RESOLUTION PROCUREMENT UNDER FEDERAL GRANTS Whereas, the Office of Federal Procurement Policy, Office of Management and Budget, Executive Office of the President, is mandated by Public Law 96-83 to address to the Congress integrated proposals for a federal procurement system, procurement management system and procurement legislation; and Whereas, the New Federal Procurement System includes procurement under grants presently regulated by Attachment O - Standards Governing State and Local Grantee Procurement, OMB Circular A-102, Revised - Uniform Administrative Requirements for Grants in Aid to State and Local Governments; and Whereas, the National Institute of Governmental Purchasing has concurred with the Office of Federal Procurement Policy as to important elements in the current revision of Attachment O including:
Now Therefore, BE IT RESOLVED, that the National Institute of Governmental Purchasing:
RESOLUTION PROFESSIONAL CERTIFICATION Whereas, the National Association of State Purchasing Officials has joined with the National Institute of Governmental Purchasing in forming a universal certification council; and Whereas, the National Association of State Purchasing Officials and the National Institute of Governmental Purchasing share the goal of increasing professionalism in public purchasing; Now Therefore, BE IT RESOLVED, that the National Association of State Purchasing Officials strongly recommends to its membership that each state or territorial member aggressively promote the Public Purchasing Buyer (PPB) and Certified Public Purchasing Officer (CPPO) Certification Program for their state purchasing professional staff.
RESOLUTION PROMPT PAY - INVOICE PAYMENTS Whereas, the slow payment of invoices impedes competition and results in increased costs of goods and services. Now Therefore, BE IT RESOLVED, that the National Institute of Governmental Purchasing recommends that each of its membership advise appropriate public officials of the cost benefits to be derived through the implementation of corrective measures which will reduce the time required to process and pay invoices.
RESOLUTION EXTENSION OF GSA SCHEDULES Whereas, the National Institute of Governmental Purchasing, Inc., supports forms of cooperative purchasing agreements between and among government agencies which have been shown to combine purchasing power and resources to obtain lower costs of procurement for quality goods and services, and Whereas, the National Institute of Governmental Purchasing, Inc., recognizes that the Federal General Services Administrations new program extending federal supply schedules to state and local governments, as a cooperative purchasing opportunity, will provide state and local governments with new procurement options, and Whereas, the earliest implementation of this program would benefit many of the agency members of the National Institute of Governmental Purchasing, Inc., as a method for reducing the cost of procuring certain products and services. Now, Therefore, BE IT RESOLVED, that the members of the National Institute of Governmental Purchasing, Inc., support procurement options which reflect professional purchasing practices and are cost effective; look forward to working closely with the General Services Administration; and urge the General Services Administration to expeditiously implement the opportunity for utilization of federal supply schedules by state and local government agencies.
RESOLUTION A RESOLUTION OPPOSING THE PRIVATIZATION OF THE PROCUREMENT AND CONTRACTING FUNCTION OF STATE GOVERNMENT IN ALASKA Having reviewed the main features of SB 160, a bill introduced into the Alaska Legislature, the goal of which is to privatize the Alaska State procurement function, the National Institute of Governmental Purchasing hereby states its opposition to this legislation for the following reasons: Whereas, the public procurement function in Alaska has always been an inherently governmental function; and Whereas, Alaska has the highest level of state spending per capita of any state in the nation, and is the recipient of the highest level of federal funding per capita of any state in the nation; and Whereas, the underlying purposes of the public procurement function are to provide public confidence in the procurement procedures used by government agencies, to maximize to the fullest extent possible the use of public funds, to protect taxpayer funds from fraud and abuse, to foster effective broad-based competition, and to obtain in a cost-effective manner the materials, services and construction required by government agencies; and Whereas, the unique benefits of the public procurement function include the promotion of a transparent system that ensures the fair and equitable treatment of all persons, that provides unfettered access to public dollars by all qualified suppliers, that leverages public spending to enhance socio-economic principles, and that assures integrity through ethical behavior; and Whereas, the public procurement and contracting function is a public trust and, as such, the State of Alaska has previously adopted the Model Procurement Code for State and Local Governments to ensure that trust; and Whereas, the complex and dynamic environment of the public procurement function requires government personnel with relevant, professional experience, continuity, and institutional knowledge; and Whereas, the potential for inherent conflicts of interest between any firm providing privatized procurement functions and the state’s vendor community must be recognized; and Whereas, it is essential that those individuals who manage the public procurement and contracting function be fully committed to serving the public trust and fully accountable to the public rather than being committed and accountable to a for profit business; NOW, BE IT THEREFORE RESOLVED, that the Board of Directors of the National Institute of Governmental Purchasing, Inc. (NIGP) opposes SB 160 and any action by Alaska Legislature to privatize the procurement and contracting function in Alaska State government.
RESOLUTION RESOLUTION ON PUBLIC PROCUREMENT SOCIAL RESPONSIBILITY Whereas , the combined expenditures of federal, state and local governments exceed $700 billion for goods and services each year;Whereas , the "power of the purse" has long been recognized as a tool with which to bring about social change, and public procurement is an appropriate area for public policy enactment;Whereas , socially responsible activities include initiatives related to the environment, human rights, safety, financial responsibility, ethics, improving the welfare of society and the quality of life, diversity, equity, justice and fairness and avoiding harm;Whereas , it is recognized that through the contracting process, public procurement professionals may implement socially responsible policies as enacted by their respective legislative bodies.BE IT THEREFORE RESOLVED , that the Board of Directors of the National Institute of Governmental Purchasing, Inc. (NIGP) encourages all its members to recognize and support Socially Responsible initiatives in public procurement.
RESOLUTION RESOLUTION ON STRATEGIC SOURCING IN PUBLIC PROCUREMENT Whereas , the combined expenditures of federal, state and local governments exceed $700 billion on goods and services each year;Whereas , procurement agencies are responsible for maximizing the value of each tax dollar spent to the maximum extent practicable through tailored sourcing strategies designed to provide the taxpayer with best value;Whereas , Strategic sourcing is the collaborative and structured process of critically analyzing an organization's spend to make decisions about strategies to acquire commodities and services more effectively and efficiently;Whereas , strategic sourcing aids agencies in optimizing performance, minimizing cost, maximizing achievement of socio-economic goals, evaluating total life cycle costs, and otherwise increasing the value of each dollar spent;Whereas , spend and gap analysis are tools that allow the development of a comprehensive strategic sourcing plan;Whereas , procurement professionals are uniquely positioned within their agencies to facilitate and encourage the use strategic sourcing;BE IT THEREFORE RESOLVED , that the Board of Directors of the National Institute of Governmental Purchasing, Inc. (NIGP) endorses the following guiding principles as standard practice in the management of the purchasing and contracting function at all levels of government:
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