Procurement

Emergency purchases are defined as purchases OMB or a purchasing agency cannot make within the required time and which involve public health or public safety, or when immediate expenditures are necessary for repairs of state property to protect it against further loss or damage, or to prevent or minimize serious disruption in state services. Emergency purchases must treat all bidders fairly and promote competition as is practicable under the circumstances (NDCC 54-44.4-02.7).

• An SFN51627 Emergency Purchase Explanation form must be completed and sent to the OMB State Procurement Office after the purchase has been made.

Documentation Requirements

• The procurement file must contain a written determination of (1) the basis for the emergency; and (2) the basis for the selection of the particular contractor.
• If the emergency circumstances warrant a noncompetitive purchase, document a written determination of the basis for the noncompetitive purchase, including the circumstances that justified the noncompetitive purchase.
• If the emergency purchase is subject to federal funding reimbursement, ensure the procurement procedures and documentation are adequate to satisfy requirements for federal reimbursement.

Samples: If time allows, emergency purchases for commodities under this subsection may require a sample for use in determining whether an offered product meets specifications.

Sometimes an unexpected requirement or poor planning creates an immediate need for commodities or services, but the circumstance is not an “emergency” as defined in law. For questions, contact the State Procurement Office or 701.328.2740. An approved Alternate Procurement Request is required prior to deviating from the competition threshold requirements based upon the estimated purchase price. A noncompetitive procurement cannot be justified on the basis of a lack of advanced planning, administrative delays, or pending expiration of budget authority NDAC 4-12-09-04.2.

State law requires: "The Office of Management and Budget, the Institutions of Higher Education, and any other state agency or institution that has authority to purchase products are encouraged to purchase environmentally preferable products" (NDCC 54-44.4-07.1).

North Dakota has laws related to "green" purchasing for:

• Environmentally Preferable Products (EPP)
• Bio-based products
• Recycled paper
• Soy-bean based ink

Guidelines to Environmentally Preferable Procurement

The State Procurement Office has several environmentally "green" state contracts. By including environmental considerations in purchasing decisions, along with price, performance, and availability. The state remains fiscally responsible while promoting practices that will reduce adverse environmental impact.

See the full list of "green" contracts on the State Contracts page and filter by EPB (Environmentally Preferable/bio based).

The State law states: “When practicable, the office of management and budget, and any state agency or institution that has authority to purchase paper and paper products, should specify at least twenty-five percent  recycled material.” (NDCC 54-44.4-08)

ND State Surplus Property provides an outlet for government entities to responsibly dispose of their electronic waste (e-waste) by using the state e-waste contract. View the Reuse and Recycle brochure for more information.

North Dakota entities eligible to use this program are:

• State agencies
• Political subdivisions
• Public schools
• Colleges and universities

For questions, contact State Surplus Property or 701.328.9665.

Effective IT procurement is essential to maximize the value of the State’s IT investments. With the increasingly integrated role of technology, it is crucial to ensure that IT procurement aligns with an agency’s overall strategy and successfully meets its business needs. The IT procurement process ensures compliance with IT standards, consistency with enterprise architecture, conformance to agency IT plans, and adherence to procurement best practices. This approach enables agencies to make informed decisions, reduce risks, and optimize their IT investments.

If you have a IT business need or are planning an IT procurement, submit a North Dakota Information Technology (NDIT) Self-Service Portal Initiative Intake Request and a NDIT Customer Success Manager (CSM) will contact you. NDIT will help you determine if your business needs can be met by an existing IT source or new IT procurement.

Before starting an IT procurement, the following activities may need to be performed depending on the cost and complexity of the procurement:

• Market research
• Business Process Modeling (BPM)
• Business analysis to create outcome-focused requirements

Using an existing IT source saves time and money and some are mandatory. The procurement and contract negotiation have been completed and volume pricing may be available.

An NDIT IT Review is still required prior to the purchase using an existing IT source.

NDIT Services: Agencies can obtain IT services from NDIT. An agency can also solicit bids or proposals from NDIT during a competitive solicitation.

State Contracts: Agencies can obtain hardware and software from State Contracts. The contract summary describes what is offered, any special procedures, and the contact person.

Mandatory IT Sources:

• Application and Hosting Services: Agencies, unless exempted, must obtain application and hosting services through NDIT per NDCC § 54-59-22. 
• Desktop Support Services: Specific agencies must obtain centralized desktop support services from NDIT per NDCC § 54-59-22.1. NDIT’s service provides a holistic approach to managing all of the personal computing devices within an organization, including laptops, desktops, tablets, and mobile phones.
• Telecommunication and Network Equipment and Services: All telecommunication and network equipment and services must be purchased through NDIT’s communication services, including telephones and telephone systems (other than cellular phones), automated attendant systems, call sequencers, lines, circuits, all data and video communication equipment and services, routers, switches, and data circuits per NDCC § 54-59-05.

If your IT business need cannot be met by an existing NDIT service or state contract, you can initiate a new purchase following IT procurement procedures.

NDIT is responsible for reviewing and approving all IT procurements by state agencies per NDCC § 54-59-05 (5). To fulfill this obligation, agencies must initiate an IT Review for all new IT procurements. If the purchase is not in conformance or compliance, NDIT may disapprove the purchase, ask for changes to be made, or require justification for the departure from standards. Involve NDIT early to streamline your IT purchases.

The NDIT IT Review may consist of the following:

• Cataloging the IT Solution
• Evaluating and tracking compliance with the IT Standards​
• Assessing consistency with enterprise architecture
• Verifying if Third-Party Risk Management (TPRM) applies
• Confirming adherence to IT procurement best practices

Any IT acquisition/purchase - Initiate NDIT IT Review

Competitive Solicitations - Use IT Templates for Levels 2, 3, 4, & Major IT

1. Initiate NDIT IT Review
2. Collaborate with NDIT and SPO to draft the solicitation using the latest IT Solicitation Templates
3. Release of approved solicitation via SPO Online
4. Evaluate proposed solutions – Business and IT perspectives
5. Select solution, subject to NDIT Approval
6. Notice of Intent to Award
7. Contract Negotiations
   • NDIT Review of Contract and SOW
   • Collaborate with SPO Procurement, Legal Counsel and OMB Risk Management, as needed
8. Contract Execution

Alternate Procurement (AP)

1. Initiate NDIT IT Review
2. Submit request using State Procurement Work Request System
3. If approved, Contract Negotiations
   • NDIT Review of Contract and SOW
   • Collaborate with SPO Procurement, Legal Counsel, and OMB Risk Management, as needed
4. Contract Execution

IT purchases that occur within the context of IT Projects may trigger additional requirements that the agency must follow per the Project Management for Information Technology Standard.

Projects Over $500,000

• Collaboration between the agency, NDIT, and OMB, in consultation with the Attorney General is required on the procurement, contract negotiations, and contract administration
• Executive Steering Committee (ESC) is established to oversee the project per NDCC § 54-59-32
• Contract and amendments must be signed by agency head and NDIT Chief Information Officer or respective designees

When reviewing IT vendor responses and contracts, watch for “limitation of liability language. Be sure legal counsel reviews these documents during evaluation and prior to your agency signing. An agency has limited authorization to agree to limit a contractor’s liability for purchases related to software, communication, or electronic equipment per NDCC § 32-12.2-15. The agency must prepare written documentation, in consultation with OMB Risk Management Division and the Attorney General’s Office, before agreeing to any liability limitation. Use the Limitation of Liability Template.

NDIT Procurement contact: itprocurement@nd.gov

State Procurement IT Procurement: infospo@nd.gov

• IT Planning and Involving ITD in Project Origination – Update Under Construction
• IT Procurement Guidelines – Update Under Construction
• IT Procurement Matrix – Update Under Construction
• IT Procurement Standard – Update Under Construction
• IT Project Management – Update Under Construction

Newspaper Legal Notice Rates

North Dakota Newspaper Association (NDNA) is required to maintain a statewide legal notice website in accordance with NDCC § 46-05-09. 

NDNA Legal Notice website: www.ndpublicnotices.newzgroup.com.

OMB establishes newspaper legal notice rates in accordance with NDCC § 46-05-03.

Legal notice rates are calculated for each newspaper based on column width, font size and font style. Calculated rates must be used for all legal notices.

If a newspaper changes its column width, font size or font style, it must submit the 2023-2025 Legal Notice Rate Change Request to OMB. OMB will calculate a new rate and issue a new rate certificate to the newspaper.

For questions about legal notice rates contact OMB State Procurement at infospo@nd.gov or 701-328-0819.

Agencies may place legal notices by contacting individual newspapers or the North Dakota Newspaper Association. Review invoices to ensure correct rates are applied and that no additional fees are charged.

Legal Rates

• 2023-25 Legal Notice Rates
• 2023-25 Legal Notice Certificate Instructions
• 2023-25 Legal Notice Rate Change Request

State agencies with questions about printing, mailing and print procurement can email Central Duplicating - Printing and Mailing Services or call 701-328-3494.

Central Duplicating Printing and Mailing Services 

• Effective August 1, state laws were repealed that placed restrictions on state in-plant print shops, limiting quantities of colored copies and envelopes and prohibited certain paper types and sizes.  
• State agencies can order printing and mailing services from the Office of Management and Budget (OMB) Central Duplicating. State law gives OMB authority to operate centralized printing and mailing operations to save time and money!
• Email Central Duplicating or call 701-328-3494 to discuss your agency’s printing and mailing needs! 

Print Procurement and Delegated Authority 

Agencies can submit a Procurement Work Request to have OMB issue printing bids and establish state contracts for printing.

• Contact OMB Print Procurement Officer, 701-328-3346 to discuss your commercial printing needs.  
• Submit your Printing Purchase Request using the Procurement Office Work Request System. 
• Agencies and institutions that do not have access to the Procurement Work Request System should email the printing purchase request to Central Duplicating Services.

Effective August 1, 2023, OMB delegated purchase authority to agencies to purchasing printing up to 9,999.99.

• Level 1 Micro Purchase procedures apply to print purchases less than $10,000.
• The person soliciting bids must complete Level 1 Procurement Officer certification training.  
• State law has a printing preference law, so solicit bids from only resident North Dakota printers, unless determined to be not practicable. (See N.D.C.C. § 46-02-15) 

• Level 1 purchases can be made by soliciting one fair and reasonably priced quote.  
• Printing prices can vary greatly, so obtaining multiple bids can result in cost savings. 
• If soliciting bids, use the printing solicitation templates.  Document vendors contacted and responses received. 
• Award to the lowest-priced, responsible, responsive North Dakota resident printer, unless the solicitation allowed responses from out-of-state printers. 
• If the printing job will require the commercial printer to have access to state or citizen data, determine whether Third Party Risk Management requirements apply.  

Contact OMB Print Procurement Officer, 701-328-3346 to discuss your commercial printing needs.  

See Guidelines to Print Procurement and State Procurement Manual.

North Dakota (ND) has several preference laws that must be applied when evaluating bids and proposals. The term "preference" as it relates to government purchasing means giving types of vendors or products an advantage in consideration for award. For questions, contact State Procurement Office or 701.328.4912.

North Dakota In-State Preference

• Reciprocal Preference. In 2023, the reciprocal preference law (N.D.C.C. § 44-08-01) was repealed. See 2023 Senate Bill 2042.

• Tie Bids or Proposals Preference. N.D.C.C. § 54-44.4-05.1 requires in the event that two or more bids or proposals contain identical pricing or receive identical evaluation scores, preference must be given to a resident North Dakota bidder, seller, vendor, offeror, or contractor as defined in section 44-08-02.

North Dakota Product Specific Preference

• American Flags.
  • N.D.C.C. § 44-08-22 requires that any ND state entity or political subdivision may not purchase a United States of America flag unless the flag is manufactured in the United States of America. Items that are not flags, but which portrays a likeness of a flag of the United States of America, such as food, clothing, lapel pins, a paper product or other non-flag items are excluded from this law.
  • All North Dakota citizens are encouraged to purchase United State flags made out of hemp and manufactured in North Dakota (2023 House Concurrent Resolution No. 3004).
• Coal. When purchasing coal for heating purposes, the state and all of its institutions, all political subdivisions, and all public schools, must comply N.D.C.C. § 48-05-02.1 which describes how to apply preference for bidders supplying coal mined in North Dakota.
• Direct Manufacturer Motor Vehicle Sales Prohibited. N.D.C.C. § 39-22-25 states that a manufacturer or franchiser may not offer to sell directly or sell indirectly, any new motor vehicle to a consumer in this state, except through a new motor vehicle dealer holding a franchise for the line make covering the new motor vehicle. This section does not apply to manufacturer or franchiser sales of new motor vehicles to the federal government, charitable organizations, or employees of the manufacturer or franchiser. Any person violating this section is guilty of a class A misdemeanor.
• Environmentally Preferable Products – Bio-based Products. N.D.C.C. § 54-44.4-07  encourages the Office of Management Budget (OMB), the institutions of higher education, state agencies and institutions to purchase environmentally preferable products. When practicable, bio-based products should be specified. OMB, in coordination with the State Board of Higher Education, shall develop guidelines for a bio-based procurement program.
• Food. 2003 Senate Concurrent Resolution No. 4018  urges all publicly supported entities that purchase food to support North Dakota producers and processors by purchasing food products grown or produced and processed in North Dakota.
• Paper, Recycled. N.D.C.C. § 54-44.4-08, when practicable, the Office of Management and Budget and any state agency or institution that has authority to purchase paper and paper products, should specify at least twenty-five percent recycled material.
• Printing. N.D.C.C. § 46-02-15 requires that if practicable, all state, county, and other political subdivision public printing, binding, and blank book manufacturing, blanks and printed stationery must be awarded to a resident North Dakota bidder as defined in N.D.C.C. § 44-08-02. Also see N.D.A.C. § 4-12-16-01.

Soybean-based Ink. N.D.C.C. § 54-44.4-07(1a) requires that when practicable, specifications for purchasing newsprint printing services should specify the use of soybean-based ink. The North Dakota Soybean Council and the Agriculture Commissioner shall assist the Office of Management and Budget in locating suppliers of soybean-based inks and collecting data on the purchase of soybean-based inks.

Guidelines to North Dakota Purchasing Laws

Save time and money by using state sources of supply. When a need is identified, check first to see if the good, service or IT solution is available from a state source of supply. Agencies and institutions can purchase from directly from state sources of supply and government entities, regardless off the dollar amount. Some multiple award state contracts do require competition within the pool above a certain dollar amount. Some sources of supply may be mandatory.

• State Agencies and Government Entities  Purchase from correctional institutions and government entities. (NDCC 54-44.4-05.2)
• State Contracts - Contracts for common commodities and services.
• Rough Rider Industries (RRI) - All products made by RRI may be purchased directly by governmental and tribal agencies. (NDCC 12-48-03.1)
• Central Supply - Provides office supplies to state agencies.
• State Surplus Property - Distributes state and federal surplus property to state entities, political subdivisions, and eligible nonprofits.
• Central Duplicating - Provides printing and mailing services to state agencies.
• Information Technology Department - Provides a variety of IT services. Some services are mandatory and others are optional.  See Information Technology Services IT Service Catalog.

State law allows OMB to enter into cooperative purchasing agreements and purchase under contracts established by the federal General Services Administration, other government entities, and cooperative purchasing organizations. Submit an Alternate Procurement to State Procurement using the Purchasing Work Request System.  State Procurement must comply with the requirements of NDCC 54-44.4-13.

State law allows any state entity or political subdivision to contract directly with work activity centers (NDCC 25-16.2-01.1): “It is in the public interest to advance employment opportunities to individuals with disabilities so that those individuals may acquire job skills and training and gain greater independence and quality of life. This state is committed to promoting self-sufficiency, integrating individuals with disabilities into our communities, and maximizing the earning potential of individuals with disabilities.”

Current List of Work Activity Centers including the goods and services they offer.

A “work activity center” is a facility, licensed by the Department of Human Services, which is located in the state and operated by a nonprofit corporation organized for the primary purpose of employing and providing rehabilitative activities for individuals with physical disabilities, developmental disabilities, or chronic mental illnesses (NDCC 25-16.2-01).

If acceptable commodities or services are produced or provided by a work activity center at fair market price, any state entity or political subdivision may enter a contract to purchase directly from the work activity center without obtaining competition (NDCC 25-16.2-04).

For questions about work activity centers, please contact the State Procurement Office at 701.328.2683.

This federal program allows state and local units of government to access specific Government Services Administration (GSA) schedules for purchasing in support of counter drug, emergency response, or homeland security activities. Orders must be placed through the State Point of Contact (SPOC), who is selected by the Governor. Please contact the State Procurement Office at 701.328.1721 for questions.