(a) Notwithstanding any other provision of this code, the director is hereby authorized to initiate reverse auctions to procure commodities. The director may not use reverse auctions for the procurement of services under any circumstances.
(b) Reverse auctions may be utilized if the director determines their use would be fair, economical and in the best interests of the state, and the commodities to be procured:
(1) Are subject to low price volatility;
(2) Have specifications that are common and not complex;
(3) Vary little between suppliers;
(4) Are sourced primarily based on price, with limited ancillary considerations;
(5) Require little collaboration from suppliers; and
(6) Are sold by a large, competitive supply base.
(c) For purposes of this section, "reverse auction" means a process by which bidders compete to provide commodities in an open and interactive market, including but not limited to the Internet. Reverse auction bids are opened and made public upon receipt by the director, and then bidders are given the opportunity to submit revised bids until the bidding process is complete. The contract is awarded to the lowest responsible bidder.
(d) The director may contract with qualified, industry-recognized third-party vendors to conduct reverse auctions on behalf of the director.
(e) The director shall propose rules for legislative approval in accordance with the provisions of article three, chapter twenty-nine-a of this code to establish the procedures for conducting reverse auctions. The rules shall include procedures for contracting with qualified, industry-recognized third-party vendors.
Structure West Virginia Code
Chapter 5A. Department of Administration
Article 3. Purchasing Division
§5A-3-1. Division Created; Purpose; Director; Applicability of Article; Continuation
§5A-3-1a. Prescription Drug Products
§5A-3-2. Books and Records of Director
§5A-3-3. Authority of Director of Purchasing
§5A-3-3a. Additional Exemptions From Purchasing Requirements
§5A-3-6. Purchasing Section Standard Specifications -- Advisers From Spending Units
§5A-3-8. Facilities of Division Available to Local Governmental Bodies
§5A-3-9. Examination and Testing of Purchases; Report Required
§5A-3-10b. Best Value Procurement
§5A-3-10c. Direct Award Procurement
§5A-3-10e. Prequalification Agreement; Agency-Delegated Bidding
§5A-3-11a. Negotiation When All Bids Exceed Budget in Requisition
§5A-3-11b. Discussion and Final Offers
§5A-3-13. Contracts to Be Approved as to Form; Filing
§5A-3-15. Emergency Purchases in Open Market
§5A-3-16. Special Fund; Purposes; How Composed
§5A-3-17. Purchases or Contracts Violating Article Void; Personal Liability
§5A-3-18. Substituting for Commodity Bearing Particular Trade Name or Brand
§5A-3-19. Purchases From Federal Government and Other Sources
§5A-3-20. Spending Units to Submit Lists of Expendable Commodities
§5A-3-29. Penalty for Violation of Article
§5A-3-31. Corrupt Actions, Combinations, Collusions or Conspiracies Prohibited; Penalties
§5A-3-32. Power of Director to Suspend Right to Bid; Notice of Suspension
§5A-3-33. Review of Suspension by Secretary
§5A-3-33d. Grounds for Debarment
§5A-3-33e. Debarment Procedure
§5A-3-33f. Effects of Debarment
§5A-3-34. Authority Over Inventories and Property
§5A-3-35. Submission of Annual Inventories
§5A-3-36. Inventory of Removable Property
§5A-3-37. Reciprocal Preference; Preference for Resident Vendors for Certain Contracts
§5A-3-43. State Agency for Surplus Property Created
§5A-3-44. Authority and Duties of State Agency for Surplus Property
§5A-3-46. Warehousing, Transfer, etc., Charges
§5A-3-47. Department of Agriculture and Other Agencies Exempted
§5A-3-48. Travel Rules; Exceptions
§5A-3-50. Acquiring and Disposing of Vehicles and Aircraft
§5A-3-51. Maintenance and Service to Vehicles and Aircraft
§5A-3-53. Enforcement of Travel Management Regulations
§5A-3-57. Buy American Task Force; Study; Report
§5A-3-58. Creation of the Purchasing Improvement Fund
§5A-3-59. Small, Women and Minority-Owned Businesses