Arkansas Administrative Code › Agency 004 - DEPARTMENT OF CORRECTIONS › Rule 004.00.91-020 - Contracts Requiring Board of Correction Approval

Current through Register Vol. 49, No. 6, June, 2024
118 Contracts Requiring Board of Correction
		  Approval
I.
AUTHORITY
:
The authority to promulgate this Administrative Regulation is
			 vested in Act 50 of 1968, First Extraordinary Session, as amended.
II.
PURPOSE
:
To establish guidelines in the procurement/purchasing, leasing,
			 and sales processes; to designate approval levels of staff when Board of
			 Correction approval is required prior to contracting; and, to establish
			 guidelines for approvals and/or notification for amendments to contracts
			 previously approved by the Board of Correction.
III.
APPLICABILITY
:
Applies to the Board of Correction, the Director, and staff
			 charged with the responsibility of purchasing/procurement, sales, leasing, and
			 amendments to the documents.
IV.
DEFINITIONS
:
A.
Professional Services
		  Contract
- Contracts between a state agency and a contractor in
		  which the relationship between the contractor and the state agency is that of
		  an independent contractor rather than that of an employee. The services to be
		  rendered consist of the personal services of an individual or company which are
		  professional in nature. Each contract shall specify the results expected from
		  the rendering of the services.
B.
Emergency Purchases
- The acquisition of commodities
		  or services above $5,000 which if not immediately initiated will endanger human
		  life, health, state property, or the functional capability of a state agency.
		  Emergencies require that at least three quote bids be obtained when
		  possible.
C.
Single
		  Source Purchases
- Purchases made from one source after it is
		  determined that no other source can provide the product or service
		  specified.
V.
POLICY
:
It shall be the policy of the Department to follow all rules and
			 regulations governing the purchase or sales of all commodities and equipment as
			 set forth in the State Purchasing law; to ensure that leases, purchases or
			 sales of buildings and land, and property-improvements are in accordance with
			 State Building Services rules and regulations; and, that procurement of
			 professional services contracts are in accordance with state laws, policies and
			 procedures.
VI.
PROCEDURES
:
A.
		  Purchasing Through State Purchasing
1.
		  Purchase of commodities and services require approval of the appropriate deputy
		  or assistant director or his or her designee. A purchase order signed by the
		  Purchasing Section of the Administrative Services Division is required prior to
		  completing the purchase unless a specific exemption is provided.
2. Purchases of equipment, furniture, and
		  vehicles require approval of the Director, except, the Director may delegate
		  approval authority to the deputy or assistant directors based on specific items
		  or specific dollar amounts as specified in an administrative
		  directive.
3. Purchases of personal
		  computers, terminals, and other computer equipment requires approval of the
		  Director, deputy/assistant directors and Department of Computer Services prior
		  to processing with State Purchasing.
4. Emergency purchases require approval of
		  the Director.
5. Single source
		  purchases of equipment, in amounts as specified in an administrative directive,
		  require pre-approval by the Director and appropriate Board committee. Bids will
		  be obtained whenever possible.
6.
		  Procedures from cash funds are made in accordance with the state purchasing
		  law.
a. Purchases for operations of the cash
		  fund are approved by the warden/center supervisor based on annual budgets as
		  approved by the Director.
b.
		  Purchases of replacement or new equipment for operations are approved by the
		  warden/center supervisor, appropriate assistant director and Director. The
		  Director may delegate approval authorities on specific dollar amounts on
		  specific items as designated in an administrative directive.
c. Non-operating purchases from inmate
		  Welfare Fund are approved by warden/center supervisor, appropriate assistant
		  director, and are subject to the following subsequent approvals:
(1) up to $300 - Assistant Director,
		  Administrative Services
(2) $300 -
		  $1,000 - Director
(3) over $1,000 -
		  Board of Correction
d.
		  Other purchases, sales, leases and contracts follow the procedure indicated in
		  this administrative regulation.
7. Internal purchasing procedures will be
		  issued as a part of the Administrative Services Division Procedures Manual and
		  made available to all employees of the Department involved in the purchasing
		  process.
8. Budgeted funds must be
		  available prior to issuing a purchase order.
B. Sales Through State Purchasing
1. Equipment and vehicles are sold through
		  Marketing and Redistribution of State Purchasing.
2. Farm produced commodities are sold in
		  accordance with the Administrative Regulation titled "Farm Produced
		  Commodities."
3. Industry sales are
		  sold in accordance with the administrative regulations pertaining to: Industry
		  Program Procedures, Sales or Acquisitions and Arkansas Correctional
		  Industries.
4. Sales of natural
		  resources (timber, gravel, etc.) require involvement of Department of Finance
		  and Administration National Resources Office.
5. Other sales contracts require Director's
		  approval. In the event annual contract amount exceeds $50,000, Board approval
		  is also required.
C.
		  Leases
1. State Building Services is
		  responsible for negotiating all leases for offices and storage space. Leases of
		  space require approval of the appropriate deputy or assistant director and
		  Director prior to issuance of lease contract. Lease of office space for the
		  Compliance Office requires approval of the Board Chairman.
2. Leases of land for agricultural operations
		  or buildings to house inmates are negotiated by State Building Services and are
		  to be approved by the Director and Board of Correction.
3. Leases of equipment require appropriate
		  deputy or assistant director's approval and are processed through State
		  Purchasing.
4. Lease purchases will
		  follow the same procedures as purchases. Lease purchases over $50,000 will
		  require both Director and Board approval if not required in the procedure for
		  that item.
5. Income leases or
		  leases with no exchange of funds will follow the same procedures as leases
		  requiring expenditure of funds.
D. Purchases of Land, Buildings, Major
		  Construction, and Major Renovation in the amount of $50,000 and above.
1. Appropriation and funds must be available.
		  Bond funds require funds available only.
2. All original projects must be approved by
		  Director and Board of Correction.
3. A "Method of Finance" must be approved by
		  State Building Services, Director of Department of Finance and Administration,
		  and when required, reviewed by the Legislative Council prior to initiating the
		  project.
4. Land acquisitions also
		  require Attorney General review.
5.
		  The Director will issue an administrative directive covering internal
		  procedures for purchases and provide copies to the Board of
		  Correction.
E. Minor
		  Construction and Renovation Under $50,000
1.
		  Appropriation and funds must be available.
2. Project must be approved by Director prior
		  to submitting a method of finance.
3. A "Method of Finance" must be approved by
		  the Director of the Department of Finance and Administration and State Building
		  Services prior to initiation of the project.
F. Sales or Disposal of Buildings and Land
1. Sales require processing by State Building
		  Services rules and regulations.
2.
		  Sales require Director and Board of Correction approval.
3. Land disposed of at no income or cost
		  require Director and Board approval and will be processed by State Building
		  Services.
4. Demolition of
		  buildings require Director and Board of Correction approval.
G. Professional Services Contracts
1. Contracts up to an annual amount of
		  $50,000 require approval of appropriate deputy director or assistant director
		  prior to approval of Director and prior to processing as required by law.
		  Contracts over $50,000 also require Board of Correction approval.
2. Architect contracts for new construction
		  require Board selection and approval of architect. Amendments to contracts that
		  would increase/decrease the architect's percentage to the total contract amount
		  require Board approval.
3.
		  Contracts for medical services and medical services review require Board
		  selection and approval of provider. The Director signs resulting contract as
		  approved by Board of Correction. Amendments to the contract that effect scope
		  of service or the inmate cost per month require Board approval.
4. Contracts for legal services for
		  representation of the Department shall be administrated in accordance with Ark.
		  Code Annotated
		  25-16-702
		  after receiving the approval of the Director and Board. Amendments to contracts
		  effecting the scope of the service or dollar amount require Board
		  approval.
H. Other
		  Contracts
1. Telephone contracts not included
		  in construction contracts require the Director's approval and are purchased
		  through State Purchasing after approval of Department of Computer
		  Services.
2. Utilities contracts
		  are approved by the Construction Administrator and Assistant Director of
		  Administrative Services.
3.
		  Maintenance contracts are approved by appropriate deputy or assistant
		  director.
I. Emergency
		  Approvals
In the event of an emergency as defined in IV. B., any
			 procurement/purchase, lease, sales process, or contract that requires Board of
			 Correction approval may be processed with approval of the Board of Correction
			 Chairperson. In his or her absence, the Vice-chairperson should be contacted
			 for approval.
Once the emergency process has been approved, it shall be
			 submitted to the full Board of Correction for ratification at the next
			 regularly scheduled meeting.
Board of Correction Approval Date: 9/24/91
Attorney General Review Date: 9/24/91
Date Filed Secy, of State: 9/26/91