Bypass "approved vendor" lists for sole source procurement

Bypass "approved vendor" lists for sole source procurement

What problem does it solve? When highly specific IT consultation is needed, one must put it out to bid and use an "approved vendor" as a middle man between the State and the sole source. The "approved vendor" gets a cut of the cost charged by the sole source provider, thereby increasing the overall cost to the State or reducing the amount available for consulting services. Funding that could go to the sole source is wasted on the middle man. This idea would eliminate that problem and save time and money. What is your solution and who does it apply to? When only one consultant/company/contractor has been proven able to provide the necessary service (for example, because they created the system the agency uses), the process of sending out bids to approved vendors should be bypassed in subsequent years when contracts are renewed. This would apply to any state agency using specialized computer applications or needing other specialized skills. What is the anticipated impact? It would save the State money. If federal funds are used for a project, the portion wasted on a middle man company (that does nothing but pass bills and payments between the state agency and the sole source vendor) could be used more wisely. While I understand that approved vendors are in place to avoid someone hiring a family member's or friend's company, for example, once the sole source has been vetted and verified, there should no longer be a requirement to use an approved vendor as a middle man. This would also eliminate the time wasted preparing an RFP and all the other paperwork related to procuring consultant services.

Points

Agree! Many times the products/services offered by an "approved vendor" are more expensive for the exact same thing.

An example of this might be when you are buying software such as SAS. It it not reasonable to buy it from one of the five approved sub-contractors.

I think this is a great idea only after a source is properly vetted and approved especially when it comes to IT/cyber security.

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