Chapter 06 — LBJ American Samoa Medical Center Procurement Policy

The policies codified in this chapter shall be known and cited as the LBJ Tropical Medical Center Procurement Policy. History: Rule 8, eff. March 3, 1999.

The rules in this policy are promulgated pursuant to the authority granted under Title 13 ASCA and Public Law 25-20. History: Rule 8, eff. March 3, 1999.

The purpose of this policy is to prescribe uniform rules necessary to fully implement Title 13 ASCA and Public Law 25-20. History: Rule 8, eff. March 3, 1999.

As used in this policy, the words or acronyms in this section shall have the following meanings unless the context otherwise requires. A. “LBJ” means the LBJ Tropical Medical Center. B. “Title 13 ASCA” and “Public Law 25-20” means the revised Title 13 ASCA, Sections 13.0101 to 13…

A. Except as otherwise specified by law this policy applies to all expenditures of public funds including federal assistance, moneys and enterprise funds under any contract. This policy also applies to the disposal of goods and properties. B. This policy does not apply to either …

Except as otherwise provided by law or executive order, all rights, duties and authority related to the procurement of construction, goods and services, and the management, control, warehousing, sale, and disposal of construction, goods and services, now vested in, or exercised b…

A. Location. The LBJ Chief Procurement Officer shall be the Chief Financial Officer. The LBJ Procurement Office shall perform the functions of procurement, contracting and policy development and review. B. Appointment and Qualifications. The LBJ Board of Directors shall appoint t…

Delegation of Authority. The LBJ Chief Procurement Officer may delegate authority to execute and administer contracts to a procurement officer or other LBJ official who is responsible for administering procurement on behalf of LBJ under the provisions of this policy. The LBJ Proc…

Under procedures adopted by the CPO, and except when a special evaluation or selection group is appointed, the CIP or Equipment Committee and Board of Directors, shall review and approve the procurement of all construction, goods, and services which exceed $25,000 prior to execut…

A. The Attorney General, or such officer as the Attorney General may designate, shall serve as legal counsel and provide legal services to the LBJ Chief Procurement Officer. B. The Attorney General shall approve all LBJ contracts exceeding $10,000 as to legal sufficiency prior to…

A. The LBJ Chief Procurement Officer shall, or cause to develop, issue and maintain procedures governing the preparation and initiation of requisitions for the purchase of construction, goods, and services by LBJ Tropical Medical Center. History: Rule 8, eff. March 3, 1999.

A. The Chief Financial Officer shall certify as to the availability of funding for all requisitions involving the expenditure of public funds, irrespective of source. B. It shall be the policy of LBJ to identify in advance, to the extent feasible, planned purchases and procuremen…

As used in this article, the following definitions shall apply: A. “Bidding time” means the time between the issuance of solicitation and opening of bids or the due date for proposals. B. “Cost-reimbursement contract” means a contract under which a contractor is reimbursed for co…

A. It is the policy of LBJ Tropical Medical Center to conduct all purchases and procurement actions in a manner that provides maximum open free competition. B. Unless otherwise specified by law, all LBJ contracts shall be executed by competitive sealed bidding, in accordance with…

Any procurement not exceeding $10,000, including purchases made using imprest funds shall be made using simplified small purchase procedures promulgated by the Chief Procurement Officer. Procurement requirements may not be artificially divided so as to constitute a small purchase…

Contracts shall be awarded by competitive sealed bidding, except as provided in Subsection 4.02 (b), provided that the following conditions are present: 1. A clear, complete, accurate and realistic purchase description or specification for the good or service to be procured is av…

A. An invitation for bids shall be issued and shall include: 1. Invitation for bids number. 2. Date of issuance. 3. Name, address, and location of issuing office, including room and building where bids must be submitted. 4. Date, hour, and place of bid opening. 5. A purchase desc…

A. A bid may be rejected for any of the following: 1. Failure to conform to essential requirements of the invitation for bids, such as specifications or time of delivery. 2. Imposition of conditions or restrictions in the bid which modify requirements of the invitation, or limit …

A. Correction or withdrawal of inadvertently erroneous bids, before or after award, or cancellation of awards or contracts based on such bid mistakes must be supported by a written determination made by the Chief Procurement Officer and approved by the Attorney General or designe…

Withdrawal of a bid shall only be permitted where the otherwise low bidder alleges a mistake and there is clear and convincing evidence as to the existence of a mistake but not as to the bid intended. History: Rule 8, eff. March 3, 1999.

Cancellation of awards or contracts shall only be permitted when: 1. evidence of the existence of bid mistakes is not discovered until after the award. 2. there exists no clear and convincing evidence to support the bid intended; and 3. performance of the contract at the award pr…

A. A contract shall be awarded with reasonable promptness by written notice to the lowest reasonable, responsive, responsible bidder whose bid fully meets the requirements of the invitation for bids and the rules set forth in this Chapter. Unsuccessful bidders shall be promptly n…

A. Contracts may be awarded by competitive negotiation when the LBJ Chief Procurement Officer determines in writing that the use of competitive sealed bidding under subsection 4.02(d) is not practicable because of the nature of the goods or services to be procured. B. A request f…

A. Public notice shall be made in accordance with paragraph 4.02(d) (3). B. Proposal times shall conform to the requirements in paragraph 4.02(d)(4). C. A list of prospective offerors shall be prepared in accordance with requirements of paragraph 4.02(d)(5). D. Proposals shall be…

A. Conditions for use. Contracts may be awarded without competition when the LBJ Chief Procurement Officer determines in writing that award of a contract is unfeasible under small purchase, competitive sealed bidding, or competitive negotiation procedures and that there is only o…

A. Conditions for use. Not withstanding any other provision of this chapter, the CEO of LBJ Tropical Medical Center may make or authorize emergency procurement when there exists a threat to public health, welfare, or safety under emergency conditions as defined under section 26.0…

A. The Medical Supply Officer is authorized to negotiate for the best price on a sole source basis for the following reasons: emergency need, physician preference, reliability of service, and distribution system conductive to the freight delivery system. B. The Medical Supply Off…

An invitation for bids or requests for proposals may be canceled, and any or all bids or proposals may be rejected, when such action is determined in writing by the LBJ Chief Procurement Officer to be in the best interest of LBJ based on based on: A. Inadequate or ambiguous speci…

A. Responsibility factors. To be determined responsible, a prospective contract must: 1. have adequate financial resources to perform the contract, or the ability to obtain them; 2. be able to comply with the required delivery or performance schedule; 3. have a satisfactory perfo…

Prospective suppliers of goods or services may be qualified for particular types of construction, goods, and services when determined necessary by the LBJ Chief Procurement Officer. Opportunity for qualification before solicitation shall be notified to suppliers. History: Rule 8,…

A. Use of cost-plus-a-percentage-of-cost and percentage of construction cost methods of contracting are prohibited. B. Normally, a firm-fixed-price contract shall be used unless use of cost reimbursement contract is justified under subsection (c) below. C. A cost reimbursement co…

Every contract modification, change order, or contract price adjustment under a construction contract shall be subject to prior written certification by the LBJ’s responsible officer or other official responsible for monitoring and reporting upon the status of the costs of the to…

A. Applicability. Architect-engineer services shall be procured as provided in this section except as authorized by subsections 4.02 c (small purchases), 4.02(e)(2) (non-competitive negotiation) or subsection (4.02) (f) (emergency procurement). B. Policy. It is the policy to publ…

The following clauses shall be included in all contracts as prescribed: A. For contracts in excess of $10,000, “Termination for Convenience” (Appendix A). B. For contracts in excess of $10,000, “Termination for Default” (Appendix B2). C. For contracts in excess of $10,000, “Equal…

The LBJ Chief Procurement Officer may promulgate additional contract provisions as are required for contracts for goods and services. The LBJ Chief Procurement Officer may require bid bonds and performance and payment bonds on contracts other than construction contracts upon a wr…

It shall be the policy of LBJ to use its procurement rules to promote local business investment, activity, and competitiveness with other non-local business by decreasing cash outflow and assisting to overcome the limitations of size, isolation from the mainstream of commercial a…

As used in this article, the following definitions apply: A. “Local bidder” for procurement of goods and services means an individual, sole proprietorship, partnership, joint venture, corporation, other unincorporated association, or private legal entity which has a valid America…

A. For construction procurement where the contract value is estimated by LBJ at $50,000 or less, the procurement shall be set aside and restricted to local bidders only. Bids received from off-island bidders will be rejected. B. For all construction procurement where the contract…

The LBJ Chief Procurement Officer and other officials delegated authority to award and administer LBJ contracts shall be responsible for monitoring contract performance in accordance with the terms, conditions and specifications of the contract. History: Rule 8, eff. March 3, 199…

For each contract awarded, an official contract file shall be established and contain the following information: Purchase requisition; Public Notice; Bid or offeror’s mailing list; Invitation for bids or request for proposals; Bid abstract or record, Determination of non-responsi…

A. Definition. “Dispute” means any disagreement between contractors or potential contractors and LBJ regarding an LBJ official’s decisions on mistakes-in-bidding, source selection, contract interpretation, or termination for convenience or default. B. Requirements. All such dispu…

Public employment is a public trust. In governmental contracting, public employees shall discharge their duties impartially so as to assure fair competitive access to governmental procurement by responsible contractors and conduct themselves in a manner as to foster public confid…

As used in this article, the following definitions shall apply: A. “Confidential information” means any information which is available to an employee as a result of the employee’s status as an employee of LBJ, and is not a matter of public knowledge or available to the public on …

A. Ethical Standards for Employees. Any attempt to realize personal gain through public employment by conduct inconsistent with the proper discharge of the employee’s duties is a breach of a public trust. In order to fulfill this ethical standards, employees must meet the require…

A. It shall be a breach of ethical standards for any person to offer, give, or agree to give any employee or former employee, or for any employee or former employee to solicit, demand, accept, or agree to accept from another person, a gratuity or an offer of employment in connect…

A. It shall be a breach of ethical standards for a person to be retained, or to retain a person, to solicit or secure a LBJ contract upon an agreement or understanding for a commission, percentage, brokerage, or contingent fee, except for retention of bona fide employees or bona …

A. Present employees. It shall be a breach of ethical standards for any employee who is participating directly or indirectly in the procurement process to become or be, while such an employee, the employee of any person contracting with a LBJ body by whom the employee is employed…

It shall be a breach of ethical standards for any employee, within twelve months after cessation of the former employee’s official responsibility, knowingly act as a principal, or as an agent for anyone other than LBJ, in connection with any: 1. judicial or other proceeding, appl…

It shall be a breach of ethical standards for a business in which an employee has a financial interest knowingly to act as a principal, or as an agent for anyone other than LBJ, in connection with any: 1. judicial or other proceeding, application, request for a ruling, or other d…

It shall be a breach of ethical standards for any former employee to engage in selling or attempting to sell supplies, services, or construction to LBJ for six months following the date employment ceased. The term “sell” as used herein means signing a bid, proposal, or contract; …