Title 5 — PUBLIC PROPERTY, PURCHASES AND CONTRACTS

Terms used in this chapter and chapters 5-18B , 5-18C , and 5-18D mean: (1) "Acceptance," the formal resolution of a purchasing agency authorizing the execution of a design-build contract; (2) "Biobased," any materials composed wholly or in a significant part of biological produc…

The purchasing agency shall maintain a record listing each contract made under sole source procurement and emergency procurement for a minimum of five years. The record shall contain: (1) Each contractor's name; (2) The amount and type of each contract; and (3) A listing of the s…

Unless otherwise specified by statute, purchases of supplies and services under fifty thousand dollars must be made as follows: (1) Notwithstanding other provisions of chapter 5-18A or 5-18D , the Bureau of Human Resources and Administration may authorize state agencies and insti…

An invitation for bids, a request for proposals, or other solicitation may be canceled, or any or all bids or proposals may be rejected in whole or in part as may be specified in the solicitation, if the purchasing agency determines it is in the best interests of the agency. The …

There is hereby created a centralized public bid exchange. The Bureau of Human Resources and Administration shall establish the exchange either within the bureau or within another public or private organization. The purpose of the exchange is to facilitate the publishing of offic…

After receiving notice of a contract award, the successful bidder or offeror shall enter into a contract with the purchasing agency within the time specified in the invitation for bids or request for proposals. If any bidder or offeror fails to enter into a contract within the ti…

If any successful bidder or offeror fails to fulfill the conditions of an awarded contract, the purchasing agency may proceed to recover from the defaulting party whatever damages may have been sustained as a result of the default. The purchasing agency shall have all remedies pr…

No state officer or employee who approves, awards, or administers a contract on behalf of a state agency, may have an interest in a contract or derive a direct benefit from a contract that is within the scope of the officer's or employee's official duties, nor for a one-year peri…

A state officer or employee derives a direct benefit from a contract if the state officer or employee, the officer's or employee's spouse, or other persons with whom the state officer or employee lives and commingles assets: (1) Has more than a five percent ownership or other int…

A governing body may authorize an officer or employee whose responsibilities include approving, awarding, or administering a contract on behalf of a state agency or supervising any employee who has these responsibilities to be a party to or derive a direct benefit from a contract…

Within the one-year period prohibiting any contract with a state agency, the governing body of the state agency may approve a former officer or employee to contract with any state agency if the governing body determines that the transaction and the terms of the contract are fair,…

A state officer or employee who knowingly violates the provisions of § 3-16-8 or 5-18A-17 commits malfeasance in office. The state officer or employee shall be removed from office or employment and such person is guilty of a Class 1 misdemeanor. Any benefit to a person or entity …

The term, state agency, does not include any authority created by the Legislature or executive order; (2) "State officer," a person who is elected or appointed to serve a state agency. The term does not include a member of the Legislature, a person who serves without compensation…

Definitions applicable to §§ 5-18A-17 to

Any specification shall seek to promote overall economy for the purposes intended and encourage competition in satisfying the purchasing agency's needs, and may not be unduly restrictive. Brand name or equal specifications may be used if the purchasing agency determines in writin…

Brand name or equal specifications shall seek to designate three, or as many different brands as are practicable, as "or equal" references and shall further state that substantially equivalent products to those designated will be considered for award. Unless the purchasing agency…

Unless otherwise authorized by law, the provisions of this chapter and chapters 5-18B , 5-18C , and 5-18D apply to all contracts issued by any purchasing agency. Source: SL 2010, ch 31 , § 3.

Brand name specification may be used only if the purchasing agency makes a written determination that only the identified brand name item or items will satisfy the agency's needs. The agency shall seek to identify sources from which the designated brand name item or items can be …

Each contract shall be in writing, shall have the printed name of any individual signing the contract, and shall be signed on behalf of the purchasing agency by the authorized officials. Failure to comply with the requirement for a printed name under this section does not void th…

The provisions of this chapter and chapters 5-18B , 5-18C , and 5-18D do not apply to: (1) Any highway construction contract entered into by the Department of Transportation; (2) Any political subdivision's utility contract to be bid in combination with a highway construction con…

Except for canned meat food products that are not available from a domestic source, no purchasing agency may purchase any meat food products that are the products of any foreign country or that are imported from outside the boundaries of the United States. Source: SL 2010, ch 31 …

Any milk processor licensed pursuant to § 39-6-7 , bidding any milk or milk product under a competitive bid contract, shall receive the bid contract if the processor's bid is equal to, or within five percent or less, of any other bidder who is not a licensed processor. Source: SL…

In awarding a contract, if all things are equal, including the price and quality of the supplies or services, a purchasing agency shall give preference: (1) To a qualified agency if the other equal low bid or proposal was submitted by a business that was not a qualified agency; (…

A resident bidder shall be allowed a preference on a contract against the bid of any bidder from any other state or foreign province that enforces or has a preference for resident bidders. The amount of the preference given to the resident bidder shall be equal to the preference …

The Bureau of Human Resources and Administration shall maintain a current list of all states that have a resident bidder preference law and the amount or percent of preference taken by each state. The bureau shall make the list available upon request to any purchasing agency. Sou…

A qualified agency may submit a list of supplies, custodial services, and maintenance services, provided by the agency, to the Bureau of Human Resources and Administration. The bureau shall make the information available to purchasing agencies of the State of South Dakota on a we…

No provision of this chapter or chapter 5-18B , 5-18C , or 5-18D may be so construed as to prohibit any person with a disability from negotiating a contract for service or supplies or in any other manner doing business with any purchasing agency. Source: SL 2010, ch 31 , § 32.

Unless otherwise authorized by law, each contract for supplies, services, and construction shall be awarded by one of the following methods: (1) Competitive sealed bids as provided in § 5-18A-5 ; (2) Competitive sealed proposals as provided in §§ 5-18A-6 and 5-18A-7 ; (3) Small p…

A purchasing agency may give preference to the purchase of supplies manufactured from recycled or biobased materials if the bids are within five percent of the lowest bid offering nonrecycled or nonbiobased materials. Source: SL 2010, ch 31 , § 33.

Prior to the award of a contract, the purchasing agency may require of each bidder or offeror such information as shall allow the agency to determine whether a bidder or offeror is entitled to a preference or subject to having a preference enforced against it under this chapter a…

In addition to the provisions of this chapter and chapters 5-18B , 5-18C , and 5-18D , any procurement utilizing federal funds is subject to any federal statutes and regulations governing the use and payment of such funds. Source: SL 2010, ch 31 , § 35.

Any bidder or offeror who fails to comply with the provisions of this chapter or chapter 5-18B , 5-18C , or 5-18D , or who provides any false information in the submission of any bid or offer is subject to having the bid or offer disallowed by the purchasing agency soliciting the…

The Bureau of Human Resources and Administration shall serve as the central procurement agency of the State of South Dakota. Except for the legislative and judicial branches and as otherwise specifically provided in this chapter and chapters 5-18B , 5-18C , and 5-18D , the Bureau…

In the procurement of supplies or services, a purchasing agency may require a bond or an approved security to be submitted with any bid or proposal as a guarantee that the bidder will enter into a contract with the purchasing agency. No offeror or bidder may be required to leave …

For any public improvement contract, a performance and payment bond is required pursuant to chapter 5-21 . For any other contract, a purchasing agency may require a bond or an approved security to be provided by the successful offeror or bidder as a guarantee of faithful performa…

Any purchasing agency may enter into agreements with purchasing agents in this or any other state or the United States government under which any of the parties may agree to participate in, administer, sponsor, or conduct purchasing transactions under a joint agreement or contrac…

The Bureau of Human Resources and Administration, any other designated state purchasing agent, and any agency making purchases shall, to the extent practicable, make purchasing selections to maximize the purchase of environmentally preferable products. The Bureau of Human Resourc…

Notwithstanding any other provision of this chapter, a purchasing agency may conduct an online reverse auction for the procurement of supplies or nonprofessional services, if the purchasing agency determines in writing that a reverse auction is appropriate for the specific procur…

Contracts shall be awarded by the use of competitive sealed bids except as otherwise provided in this chapter and chapters 5-18B , 5-18C , and 5-18D . Source: SL 2010, ch 31 , § 5.

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 v…

The Bureau of Human Resources and Administration shall conduct any online reverse auction that is for the procurement of supplies on behalf of any state agency. Source: SL 2013, ch 29 , § 3; SL 2024, ch 1 (Ex. Ord. 24-1), § 34, eff. Apr. 8, 2024.

Sections 5-18A-43 to 5-18A-47 , inclusive, are intended to provide for more economical, nondiscriminatory, neutral, and efficient procurement of construction-related goods and services by this state and political subdivisions of this state as market participants by providing for …

Subject to the provisions of § 5-18A-45 , no governmental unit awarding a contract after July 1, 2014, for the construction, repair, remodel, or demolition of a facility and no construction manager acting on behalf of the governmental unit may include any of the following in a bi…

Subject to the provisions of § 5-18A-45 , no governmental unit may award a grant, tax abatement, or tax credit that is conditioned upon a requirement that the awardee include a term described in § 5-18A-43 in a contract or document for any construction, improvement, maintenance, …

Nothing in §§ 5-18A-42 to 5-18A-47 , inclusive, prohibits a governmental unit from awarding a contract, grant, tax abatement, or tax credit to a private owner, bidder, contractor, or subcontractor who enters into or who is party to an agreement with a labor organization, if being…

The head of a governmental unit may exempt a particular project, contract, subcontract, grant, tax abatement, or tax credit from the requirements of any or all of the provisions of §§ 5-18A-43 and 5-18A-44 only if the governmental unit finds, after public notice and a hearing, th…

Nothing in §§ 5-18A-42 to 5-18A-46 , inclusive, prohibits an employer or other party from entering into an agreement or engaging in any other activity protected by the National Labor Relations Act, 29 U.S.C. 151 to 169. Nothing in §§ 5-18A-42 to 5-18A-46 , inclusive, interferes w…

No person involved in the determination of the recipient of a grant or contract from a state agency may be awarded the grant or contract. No recipient or sub-recipient of a grant or contract from a state agency may conduct any external evaluation of the performance of the grant o…

Any person holding a statewide office as defined in § 12-27-1 , and any head of an agency in the executive branch, shall annually sign a form, as created by the Bureau of Human Resources and Administration, acknowledging that the person has reviewed the state conflict of interest…

The following procedures apply to the use of competitive sealed bids: (1) Public notice of the invitation for bids shall be given pursuant to § 5-18A-14 ; (2) The invitation for bids shall include a purchase description, all contractual terms and conditions applicable to the proc…