5-18A-40. Procedures applicable to reverse auctions.
The following procedures apply to the use of an online reverse auction:
(1)The purchasing agency shall pre-qualify bidders to participate in the reverse auction event. The pre-qualification shall be completed by issuing an invitation to qualify. The factors used to determine a vendor qualified for the reverse auction shall be clearly stated in the invitation to qualify. No other factors may be used to qualify a vendor for the reverse auction than those stated in the invitation to qualify;
(2)Public notice shall be given pursuant to §5-18A-14 of the invitation to qualify;
(3)The purchasing agency shall notify any responding vendor as to whether the vendor has qualified. The purchasing agency may not disclose to the public or other vendors, the name of any vendor that has been invited to the reverse auction until after the reverse auction has occurred;
(4)A bidder shall directly enter bids on the internet to participate in the reverse auction. The purchasing agency may not accept bids via any alternate method;
(5)Any clarification, negotiation, and acceptance of all specifications, requirements, and terms and conditions shall occur before the purchasing agency decides whether to invite a vendor to the reverse auction. After the reverse auction, the purchasing agency may permit changes only if the changes do not affect the justification that was used to eliminate any other vendor from being qualified;
(6)During any reverse auction, the online view of the bids presented to the bidders may not identify who has placed a particular bid. Each bidder may see only the amount of the bid;
(7)If a bidder loses the ability to place bids during an auction for any reason, the auction shall be suspended until all bidders regain the ability to place bids via the internet auction site. If no resolution to the problem is imminent, the reverse auction may be terminated and rescheduled by the purchasing agency. In addition, the auction may be suspended or terminated for any reason by the purchasing agency or the reverse auction service provider. Upon resuming an auction after a suspension, the time remaining shall be the time remaining when the auction was suspended or ten minutes, whichever is greater;
(8)In conducting a reverse auction, the agency may establish an extension activation period, which is the number of minutes before the end of the auction during which, if a bid is received, the auction will be extended by a pre-defined number of additional minutes. The minimum extension activation period that may be used is ten minutes; and
(9)After the reverse auction is completed, the award shall be made in accordance with §5-18A-5.
Source: SL 2013, ch 29, §2.
Structure South Dakota Codified Laws
Title 5 - Public Property, Purchases and Contracts
Chapter 18A - Public Agency Procurement--General Provisions
Section 5-18A-1 - Definition of terms.
Section 5-18A-2 - Application to purchasing agency contracts.
Section 5-18A-3 - Methods of awarding contracts.
Section 5-18A-4 - Competitive sealed bids required.
Section 5-18A-5 - Procedures for competitive sealed bids.
Section 5-18A-6 - Competitive sealed proposals--When permitted.
Section 5-18A-7 - Procedures for competitive sealed proposals.
Section 5-18A-8 - Unique supplies or services--Sole source procurement--Negotiations.
Section 5-18A-9 - Emergency procurement.
Section 5-18A-10 - Records of sole source procurement and emergency procurement contracts.
Section 5-18A-11 - Purchases of supplies and services under twenty-five thousand dollars.
Section 5-18A-13 - Centralized public bid exchange created.
Section 5-18A-15 - Time for entering into contract.
Section 5-18A-16 - Recovery from defaulting bidder or offeror.
Section 5-18A-17.1 - Direct benefit from contract.
Section 5-18A-17.3 - Authorization of contract with former officer or employee.
Section 5-18A-17.5 - Specific conflict of interest prohibitions not affected.
Section 5-18A-17.6 - Definitions applicable to §§ 5-18A-17 to 5-18A-17.5.
Section 5-18A-19 - Requirements for brand name or equal specifications.
Section 5-18A-20 - Circumstances under which brand name only specifications permitted.
Section 5-18A-21 - Written contract required--Signatures.
Section 5-18A-22 - Procurements exempt from chapters 5-18A through 5-18D.
Section 5-18A-23 - Purchase of foreign meat food products prohibited.
Section 5-18A-24 - Grade A milk processors preferred.
Section 5-18A-27 - List of states with resident bidder preferences.
Section 5-18A-29 - Persons with disabilities.
Section 5-18A-30 - Supplies manufactured from recycled or biobased materials.
Section 5-18A-31 - Information regarding preferences to be provided.
Section 5-18A-32 - Procurements utilizing federal funds.
Section 5-18A-33 - Disallowance of noncomplying bid or offer--Contracts in violation void.
Section 5-18A-34 - Bureau of Administration to serve as state's central procurement agency.
Section 5-18A-35 - Bond or approved security.
Section 5-18A-36 - Performance and payment bond or approved security.
Section 5-18A-37 - Cooperation and agreements with other state and federal purchasing agencies.
Section 5-18A-38 - Environmentally preferable products to be selected.
Section 5-18A-39 - Reverse auction permitted for certain procurements.
Section 5-18A-40 - Procedures applicable to reverse auctions.
Section 5-18A-42 - Fair and open competition in government contracts.
Section 5-18A-43 - Terms prohibited in construction contracts.
Section 5-18A-45 - Conditions related to agreements with labor organizations.
Section 5-18A-46 - Exemptions for special circumstances.
Section 5-18A-47 - Construction with National Labor Relations Act.