(a) Purpose. The purpose of this rule is to establish
the approval authority, responsibilities and reporting for all formal
procurements.
(b) Applicability. This rule applies to all formal
procurements made by the agency.
(c) Definitions. As used in this section, the following
terms shall have the following meanings, unless the context clearly
indicates otherwise.
(1) Contract--A written agreement between the agency
and a vendor for goods or services.
(2) Formal Procurement--A formal competitive solicitation,
for the purchase or lease of goods and/or services expected to exceed
$25,000, conducted in order to receive at least three sealed competitive
bids or proposals pursuant to the issuance of an IFB, RFP, RFQ, or
another statewide contract process, respectively.
(3) Major Procurement--Any formal procurement for goods
or services that directly supports the agency's core gaming business
function and has a cumulative contract value equal to or greater than
ten (10) million dollars.
(4) Major Contract--Any contract resulting from a Major
Procurement.
(5) Prime Contract--Any contract, other than those
contracts designated as Major Contracts, which has a cumulative contract
value that exceeds one (1) million dollars.
(6) Value--The agency adopts by reference the determination
of contract value set forth in the Texas Procurement and Contract
Management Guide published by the Comptroller of Public Accounts.
The determination of contract value shall be the estimated dollar
amount that the agency may be obligated to pay pursuant to the contract
and all executed and proposed amendments, extensions and renewals
of the contract. The agency shall base its determination of the proposed
length of and compensation during the original term and the renewal
periods of the contract on best business practices, state fiscal standards
and applicable law, procedures and regulations.
(d) Major Procurement and Major Contract Approval Authority,
Responsibilities and Reporting.
(1) Texas Lottery Commission Approval. The executive
director or his/her designee shall present all major procurements
to the Texas Lottery Commission for review and approval. After a vendor
is selected and a contract has been fully negotiated, the Texas Lottery
Commission shall provide final approval of the contract with the selected
vendor.
(2) Amendments/Renewals/Extensions to Major Contracts.
The executive director or his/her designee shall provide the Texas
Lottery Commission advance notice of any amendment, renewal or extension
to a major contract.
(3) Enhanced Contract Monitoring. The executive director
or his/her designee shall immediately notify the Texas Lottery Commission
of any serious issue or risk that is identified with respect to a
major contract.
(e) Prime Contract Reporting. The executive director
or his/her designee shall provide the Texas Lottery Commission advance
notice of any procurement, amendment, renewal or extension to a prime
contract.
(f) Agency Approval. Except for a contract that by
law requires the Commission's approval, the Texas Lottery Commission
delegates authority to the executive director (or his/her designee)
to approve all contracts and purchase orders not defined as major
procurements in subsection (c) of this section.
(g) Authority to Execute Contracts. The Texas Lottery
Commission delegates authority to the executive director to execute
all contracts for the agency. This authority may be delegated by the
executive director.
(h) Contract Planning.
(1) The executive director or his/her designee will
present the status of all major and prime contracts to the Texas Lottery
Commission annually for informational purposes. The report will be
presented at the beginning of each fiscal year.
(2) As deemed necessary by the executive director or
his/her designee, updates to the status of certain contracts may be
provided to the Texas Lottery Commission periodically throughout the
fiscal year for informational purposes.
|
Source Note: The provisions of this §401.105 adopted to be effective January 1, 2014, 38 TexReg 9528; amended to be effective December 31, 2015, 40 TexReg 9632; amended to be effective May 2, 2019, 44 TexReg 2156 |