Information about http://www.documents.dgs.ca.gov/pd/policy/calpcaglossary.pdf
…
Tags: accepting an offer, acquisition phase, benefit, circumstances, consumer services agency, contract change, contract law, definitions, glossary, health and human services, health and human services agency, information technology, legal act, liabilities, offeror, post award administration, procurement, specific services, technology goods,Pages: 17
Language: english
Created: Thu Jan 11 09:55:49 2007
Display cached document
Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Page 8
Page 9
Page 10
Page 11
Page 12
Page 13
Page 14
Page 15
Page 16
Page 17
1/11/07
California Acquisition Glossary
Note: Italicized words within the definitions are terms included in the Glossary.
Term Definition
Acceptance 1. Acceptance of offer: In contract law, the act of accepting an offer
to provide goods/services and creating contractual liabilities for
both the offeror and the offeree.
2. Acceptance of performance (goods/services): The legal act by
which the State assumes ownership of goods or approves
specific services rendered as partial or complete performance of
the contract.
Acquisition A process to obtain goods/services, through purchase or lease, for
the benefit of the State. The process begins with identification of a
need and consists of three phases: Acquisition Planning, Acquisition
Phase, and Post Award Administration. Sometimes referred to as
contracting, purchase or procurement.
Acquisition Approach One of three options utilized to acquire goods, services, and
information technology goods/services. Circumstances and
requirements of the acquisition are used to determine whether
goods/services are obtained using existing sources, through
competition, or require a non-competitive approach.
Agency 1. One of the State's "super" agencies such as the State and
Consumer Services Agency or the Health and Human Services
Agency.
2. Sometimes used interchangeably with department.
Amendment A document used to effect a contract change or modification in one or
more provisions of an existing contract.
Arbitration A method of dispute resolution involving one or more neutral third
parties who are usually agreed to by the disputing parties and whose
decision is binding.
Architectural and Professional services of any individual, firm, partnership, corporation,
Engineering (A&E) association, or other legal entity permitted by law to practice the
profession of architecture, landscape architecture, engineering,
environmental services, land surveying, or construction project
management.
Award A department's acceptance of an offer to provide goods or services
by issuance of a contract/order.
Awarding Agency 1. The department that conducts the Acquisition Phase and awards
California Acquisition Glossary - Page 1 of 17
1/11/07
the contract.
2. For reporting purposes, in many instances, the awarding agency
or department is the entity with the approved funding. Per PCC
10115.1(a) an "awarding department" is any State agency,
department, governmental entity, or other officer or entity
empowered by law to enter into contracts on behalf of the State of
California.
Best Value 1. Any factor or criterion related to requirements and supplier
selection for a particular transaction that is established by a State
department to ensure that their business needs and goals are
effectively met and that the State obtains the most value.
2. Synonymous with value effective.
Bid 1. An offer, made in response to a request to perform a contract for
work/labor or to supply goods at a specified price, whether or not
it is the result of competition or a non-competitively bid contract.
Also known by other names such as proposal or quote.
2. An offer made in response to an Invitation for Bids (IFB).
Bid Bond A form of collateral provided by the contractor that assures that funds
are available to reimburse the State for damages incurred should the
contractor refuse or fail to execute a State contract based on the
contractor's proposal.
Bidder 1. A supplier who submits, or has identified their intention to submit,
a bid to the State in response to a solicitation.
2. An individual, sole proprietorship, firm, partnership, corporation,
or any other business venture that responds to an Invitation for
Bids.
Bidder's Conference A public meeting concerning a particular solicitation that is attended
by potential bidders and/or other interested parties and is held during
the Acquisition Phase prior to the bid submission date.
Breach of Contract Violation of a contractual obligation either by failure, without legal
reason, to comply with the terms of the contract or interference with
another party's performance.
Budget A plan of operation for a specific period of time expressed in financial
terms.
1. A program budget expresses the operating plan in terms of
the costs of activities to be undertaken to achieve specific
goals and objectives.
2. A traditional budget expresses the plan in terms of the
costs of the goods or services to be used to perform specific
functions.
Budget Change A BCP is a proposal to change the level of service or funding sources
Proposal (BCP) for activities authorized by the Legislature, or to propose new
California Acquisition Glossary - Page 2 of 17
1/11/07
program activities not currently authorized.
Buyer An individual with fiduciary responsibility authorized to act as an
agent for the State to acquire goods and/or services. Sometimes
referred to as a contract or purchasing official or professional.
CAL-Buy The State of California's online procurement system. The CAL-Buy
system automates contracts, linking government buyers to thousands
of products and helping streamline the purchasing process.
CAL-Card A payment mechanism (VISA payment card) that can be used in
conjunction with a department's delegated purchasing authority. It
can have flexible spending limits up to $25,000, is issued in the name
of the cardholder and is billed to the department.
California Code of Regulations that have been adopted by State agencies in order to
Regulations (CCR) implement a statute after a period of public comment, review and
approval by the Office of Administrative Law.
California Multiple A program that establishes leveraged contracts based upon an
Award Schedules existing federal GSA (General Services Administration) Multiple
(CMAS) Award Schedule or some other competitively bid or assessed multiple
award contract.
California Procurement A DGS program that provides professional development courses and
and Contracting seminars and certifies the proficiency of State contracting and
Academy (Cal-PCA) purchasing professionals and managers.
California State An online State publication containing advertisements for
Contracts Register solicitations, a list of contracts for which exemptions from bidding
(CSCR) have been approved, and other features such as the Subscription
Outreach Services that provides suppliers an opportunity to establish
business profiles and automatically receive notice of solicitation
advertisements matching the profile.
Certified Small A business that has been certified by the Office of Small Business
Business and DVBE Certification (OSDC), Department of General Services, as
a small business as defined in GC 14837 and 2 CCR 1896. OSDC
issues the business a letter of certification that allows the business to
claim the small business preference when submitting bids and to
obtain statutory penalties for late payments on contracts.
Commodity Goods, including such tangible items as moveable or personal
property such as materials, supplies and/or equipment. Does not
include information technology goods.
Competition 1. Full and open competition: All suppliers are permitted to compete
for a contract. Bidders are evaluated on the same fixed criteria.
2. Competitive approach: An acquisition approach where the dollar-
value of the transaction guides use of procedures for full and
open competition, competition based on fair and reasonable
evaluation, or use of the SB/DVBE option. This approach is
contrasted with use of existing sources or a non-competitive
California Acquisition Glossary - Page 3 of 17
1/11/07
approach.
3. Effective competition: Requirements for a particular transaction
type that determine whether adequate competition has been
achieved and a contract can be awarded.
Competitive Solicitation A process conducted when using a competitive approach. The
Process solicitation method (phone, fax, written, etc.), solicitation document,
and procedures vary based upon transaction type, approach (formal,
informal, SB/DVBE option) and estimated dollar-value of the
acquisition.
Consideration The exchange of something of value between the parties to a
contract. The consideration may include some right, interest, profit,
or benefit obtained by one party, or some forbearance, detriment,
loss, or responsibility assumed by the other party. It is one of the key
elements required to have a binding contract.
Consultant Entity that performs a service which is of an advisory nature providing
a recommended course of action or personal expertise. The end
product is basically a transmittal of information either written or verbal
that is related to the governmental functions of State agency
administration and management.
Contract A legally binding obligation or agreement by whatever name known or
in whatever format used (including purchase orders), between the
State and another entity, public or private, for the provision of goods
or services.
Contract Manager 1. A person designated by the responsible State agency or
department to manage performance under a contract.
2. Per PCC 10348.5 at least one position per State agency must be
designated as a contract manager. Every contract manager shall
have knowledge of legal contractual requirements.
Contract Professional 1. See buyer.
2. A person with the authority to enter into, administer, and/or
terminate contracts and make related determinations and
findings.
Contractor 1. The business entity with whom the State enters into a contract.
2. Contractor is sometimes used interchangeably with supplier,
vendor or other similar term.
Cooperative Agreements that consolidate the needs of multiple entities to leverage
Agreements buying power and obtain the benefits of volume purchasing and/or
reduction in administrative expenses.
Default Failure to perform an obligation in a contract.
Deliverables Contracted goods, services, other items (e.g. reports), or results a
supplier agrees to produce/provide in performance of a contract.
California Acquisition Glossary - Page 4 of 17
1/11/07
Department Any office, department, board, bureau, commission or other
organizational entity within State government. Sometimes used
interchangeably with agency.
Desktop and Mobile The DMCP is used by the Department of Finance (DOF) to delegate
Computing Policy expenditure approval to a department to acquire desktop and mobile
(DMCP) computing goods necessary to support programmatic functions and
business needs. The policy is used in lieu of submission of a
Feasibility Study Report to DOF.
Disabled Veteran A business that meets all of the following criteria:
Business Enterprise
1. At least 51 percent of the business is owned by one or
(DVBE)
more disabled veterans, or in a business whose stock is
publicly held, at least 51 percent or more of the stockholders
are disabled veterans;
2. The management and control of the business are
exercised by one or more disabled veterans;
3. The business is domestically owned and its home office is
in the United States; and
4. The business has been certified as a DVBE by OSDC.
Dispute A difference of contract interpretation between the State and the
contractor or asserting a right to contract performance by one party
against the other.
Emergency 1. Public Contract Code (PCC) Section 1102: A sudden,
unexpected occurrence that creates a clear and imminent danger,
requiring immediate action to prevent or mitigate the loss or
impairment of life, health, property, or essential public services.
2. Emergency acquisition: Authorization given by the Department of
General Services Procurement Division to a State department to
effect their own goods or information technology acquisition over
their established delegated purchasing authority limit in the case
of an emergency involving public health, welfare, or safety.
Emergency Purchase authority is provided on Form 42,
Authorization to Exceed Monetary Limits by Sub-Purchase Order.
Enterprise Zone Act A program based in law that provides preferences for State
(EZA) contracting opportunities in designated enterprise zones.
Evaluated Bid Price The monetary figure used to determine the low bidder selected for
award. The figure is derived by applying all eligible preferences to
the net bid price and when specified in the solicitation, adding freight.
Evaluation and A written document prepared by the buyer to describe the goods or
Selection Report information technology acquisition with emphasis on the supplier
selection process, price analysis and other pertinent facts and
decisions supporting the transaction (i.e., a contract award or
change). Also known by other names or specific forms (e.g.,
Procurement Summary, etc.).
California Acquisition Glossary - Page 5 of 17
1/11/07
Executive Orders A directive issued by the Governor that establishes binding policy for
government agencies covered therein.
Exemption 1. DGS Exemption: A formal waiver by DGS, of DGS
responsibilities required by statute regulation, or policy, or a
delegation of such responsibilities by DGS to a State department.
Some common exemptions waived by DGS for non-IT services
involve contract approval, advertising, and competitive bidding
requirements.
2. Statutory Exemption: Departments and/or transactions identified
in law that are exempt from DGS review, approval, oversight,
competitive bidding, etc.
Existing Sources An acquisition approach. Existing sources include, but are not limited
to, leveraged procurement agreements, Community-based
Rehabilitation Programs (CRPs), and State programs (such as
property reutilization, Prison Industry Authority programs, and use of
State resources through Interagency Agreements). This approach is
contrasted with use of a competitive approach or a non-competitive
approach.
Fair and Reasonable An evaluation methodology that can be used for acquisitions less
than $5,000 that is either objective or subjective. It is used to
determine if the price paid is reasonably close to that price which
would be paid by another prudent buyer under similar circumstances.
Feasibility Study A process generally conducted prior to the encumbrance or
Report (FSR) expenditure of funds on an information technology project that results
in a standardized written report. A Feasibility Study Report (FSR),
documents the feasibility study, must be approved prior to the
encumbrance or expenditure of funds, including the use of staff
resources, on any information technology project beyond the
feasibility study stage.
Formal Competition A competitive acquisition above specified dollar levels requiring
standardized procedures and use of specified solicitation
document(s). Occasionally, a formal process might also be used for
informal acquisitions.
General Provisions 1. Terms and conditions applicable to a contract.
(GP)
2. A document that is required to be included with certain goods and
information technology contracts.
Good Faith Effort A sincere effort meeting the legal steps made by a bidder or potential
(GFE) contractor to meet DVBE goals as defined in PCC 10115.2(b) and the
implementing regulations.
Goods 1. PCC 10290(d): All types of tangible personal property, including
but not limited to materials, supplies, and equipment.
2. Transaction type: An acquisition classification. Identifying the
acquisition of tangible items as goods as opposed to services or
California Acquisition Glossary - Page 6 of 17
1/11/07
information technology goods. Also known as commodities.
Government Code A compilation of statutes adopted by the Legislature generally
(GC) regarding how State and local governments will function.
GS $MartŠ The Golden State Financial ($) Marketplace. The State of California's
Internet-based program that offers an alternative form of financing for
State purchases.
Indemnification Contractual provision in which one party will compensate the other
party for settlements or judgments on claims arising from the
contract.
Informal Competition A competitive acquisition below specified dollar levels where varying
procedures, methods (phone, fax, written, etc.), and solicitation
documents are allowed.
Information Technology 1. SAM 4819.2: All computerized and auxiliary automated
(IT) information handling, system design and analysis, conversion of
data, computer programming, information storage and retrieval,
voice, video, data communications, requisite system controls, and
simulation.
2. Transaction type: An acquisition classification. Identifying the
acquisition of goods/services as information technology as
opposed to non-IT services or goods.
Information Technology An ITPP describes the overall strategy necessary to accomplish and
Procurement Plan manage an information technology (IT) acquisition by formally
(ITPP) documenting that the proposed approach for the acquisition satisfies
State requirements. The ITPP is used to assess a project's
readiness to start the acquisition phase.
Information Technology Services performed directly on or pertaining to electronic technology
Service and telecommunications hardware, firmware, and software including,
but not limited to, computerized and auxiliary automated information
handling, system design and analysis, data conversion, computer
programming, information storage and retrieval, voice, video, data
communications, requisite system controls, simulation, electronic
commerce, maintenance and repair, software licensing and support,
training, and all related interactions between people and machines.
Also included are services of an advisory nature requiring a
recommended course of action or personal expertise as it pertains to
an information technology project and information technology support
functions.
Interagency Agreement An agreement between two or more State agencies/departments.
(IAA)
Invitation for Bids (IFB) A type of solicitation document used in a formal competitive bidding
process for goods, services, and IT goods/services and sometimes
for informal acquisitions of IT goods/services. An IFB is used when
specifications are detailed in functional and/or technical terms for
California Acquisition Glossary - Page 7 of 17
1/11/07
goods and IT, or for non-IT services when there is little discretion
performing the work. Award is based on low price.
Invoice A document received by the State from the contractor. It is a bill for
contract execution, generally for services rendered or for goods
delivered.
Leveraged A leveraged procurement is the method used to combine State
Procurement departments' requirements for the same items or for families of
Agreement (LPA) similar items, thus providing standardization and "leveraging" the
State's buying power to:
1. Achieve lower prices, better terms/conditions, and/or
improved service through volume purchasing; and
2. Minimize the administrative costs associated with individual
departments having to undergo the acquisition process
repetitively to fulfill their individual, ongoing requirements for
the same item(s).
Examples of the State's leveraged procurement agreements include
Master Agreements (such as cooperative agreements for the
Western States Contracting Alliance [WSCA] contracts), California
Multiple Award Schedules (CMAS), Statewide Contracts (including
strategically sourced contracts), Software Licensing Program (SLP)
contracts, and the State Price Schedules.
Local Agency Military A program based in law that provides preference for State contracting
Base Recovery Area opportunities in designated local agency military base areas.
Act (LAMBRA)
Management Memo An instrument to universally transmit information about policies,
(MM) procedures, programs, etc.
Mandatory Mandatory Source or Contract: Refers to, unless exempted, the
required use of specified existing sources (e.g., products/services
available through Prison Industry Authority or some Leveraged
Procurement Agreements) for listed goods, services, and information
technology goods/services.
Market Research The process used for collecting and analyzing information about
capabilities within the market to satisfy a department's needs.
Market Survey An effort to ascertain what qualified sources capable of satisfying the
State's requirements exist and to obtain market research information
about their products, services, and capabilities. A Request for
Information is sometimes used for this purpose.
Master Agreement An agreement entered into by the Department of General Services
resulting in set prices for a specific period of time that can be used by
other government entities within California to obtain the listed
goods/services.
Master Purchase See Master Agreement as it relates to purchase of goods.
California Acquisition Glossary - Page 8 of 17
1/11/07
Agreement (MPA)
Master Rental
See Master Agreement as it relates to rental of goods.
Agreement (MRA)
Master Service 1. See Master Agreement as it relates to acquiring services.
Agreement (MSA)
2. May also be an agreement for non-IT services by a State
department for use by divisions of that department.
Microbusiness A subset of certified small business that together with any affiliates is
either:
1. A service, construction, or non-manufacturer with 25 or
fewer employees, and average annual gross receipts of
$2,500,000 or less over the previous three years, or
2. A manufacturer with 25 or fewer employees.
Net Bid Price The adjusted price of a proposed bid in response to a solicitation.
Adjustments can include, but may not be limited to, items such as
mathematical corrections or omissions, allowable discounts and
trade-ins. Depending upon specific solicitation requirements, freight
is either included in the net bid price or the evaluated bid price. Items
such as sales and use tax are generally not evaluated and therefore,
usually not included unless specifically stated otherwise in the
solicitation.
Non-Competitive Bid A non-competitive transaction adhering to a specific approval process
(NCB) in which only a single supplier is afforded the opportunity to offer the
State a price for the specified goods or services.
Offer A promise or commitment that, if accepted, would bind the offeror to
perform the resultant contract.
Offeror Any entity that has submitted an offer, generally in response to a
solicitation.
Option A unilateral right of the State contained in a written contract by which,
for a specified time, the State may elect to purchase additional goods
and/or services called for by the contract, or may elect to extend the
terms of the contract under the same or similar terms and conditions
for an additional period, provided that the option was considered in
the evaluation for award.
Participation programs Programs with legislatively set goals for achievement of participation
as a result of the acquisition process. Agencies seek to meet an
overall contracting goal for participation of certain types of
businesses/products.
Payment bond 1. A form of collateral provided by the contractor that assures that
funds are available to pay certain workers, subcontractors, and
suppliers should the contractor fail to perform.
2. A bond required for public works contracts in excess of $5000.
California Acquisition Glossary - Page 9 of 17
1/11/07
The bond covers the costs of the contractor's employees,
subcontractors, and suppliers in the event that the contractor fails
to make those payments. The payment bond must equal the
contract price.
Performance Contractor's actions and deliverables provided to fulfill the legal
obligations of a contract.
Performance Bond 1. A form of collateral provided by the contractor that assures that
funds are available to reimburse the State for damages if the
contractor fails to perform or causes damage while performing the
contract.
2. A bond required for public works contracts in which progress
payments are made. The bond insures costs in the event that the
contractor abandons the work before its completion or fails to
complete the work as required by the contract. The performance
bond must equal the contract price.
Preference Programs Legislatively mandated programs that promote business within the
State by providing an evaluation advantage to qualifying bidders.
Preferences During bid evaluation, an adjustment made to provide a monetary or
other advantage to a qualified bidder as established by law and
regulation and which may impact the determination of supplier
selection. Types of preferences include: Small Business, Target Area
Contract Preference Act (TACPA), Enterprise Zone Act (EZA), Local
Agency Military Base Recovery Area (LAMBRA) Act, and Recycled
Content Program.
Price The cost of goods and/or services plus any fee or profit.
Price Analysis An evaluation of a supplier's proposed price to examine it's
reasonableness without evaluating its separate cost elements and
proposed profit.
Prime Contractor The primary party who has contracted with the State for completion of
the contract.
Procurement See acquisition.
Procurement Approach See acquisition approach.
Procurement and The individual responsible for direction of the acquisition system for
Contracting Officer each State department, including implementation of the unique
(PCO) acquisition policies, regulations, and standards of the department.
Procurement See contract professional.
Professional
Program Manager The person responsible for a program which usually has very focused
goals and includes the execution of various projects.
California Acquisition Glossary - Page 10 of 17
1/11/07
Progress Payments Partial payment approach identified in a contract related to steps or
phases toward the completion of the contract. Use of this payment
approach can require withhold of a percentage of payment pending
completion of the entire contract and a bond.
Project Management The application of knowledge, skills, tools, and techniques to project
activities in order to meet or exceed stakeholder needs and
expectations from a project.
Project Manager The individual responsible for managing a project.
Project Team Member Individuals that participate in, or have a role during, an acquisition
process. Examples include program manager, project manager,
buyer, contract manager, etc.
Prompt Payment Act Statutory provisions that establish contract payment timelines and set
interest penalties on late payments for State contracts.
Proposal 1. See bid.
2. An offer made in response to a Request for Proposals (RFP).
Protest 1. Intent to Award: A bidder's objection, formally filed with the
department prior to purchase order/contract award, against the
proposed or intended awarding of a purchase order/contract.
2. Solicitation requirements: A bidder or prospective bidder's written
challenge of stated requirements in a published solicitation
document.
Protestant A bidder who files a protest that challenges the intended award.
Public Contract Code A compilation of statutes adopted by the Legislature generally
(PCC) regarding how State and local agencies will contract for goods and
services.
Public Works Contract A contract for the erection, construction, alteration, repair, or
improvement of any State structure, building, road, or for other State
improvement of any kind.
Purchase Document A term used generically to refer to both contracts and purchase
orders.
Purchase Estimate A standard form (Std. 66) that initiates a purchase of goods or
information technology goods and services. It contains the details of
a purchase to meet a department's need, replenish stock or obtain
goods and services for specific programs. It provides departmental
budgetary authority in the form of an estimated cost, internal
purchase authorization, and serves as an accounting record of
purchases in process. It is submitted to the Department of General
Services, Procurement Division to conduct the acquisition on behalf
of the requestor.
California Acquisition Glossary - Page 11 of 17
1/11/07
Purchase Order A contractual document which formalizes the State's acceptance of
an offer to buy goods and/or services from a supplier. Upon
acceptance of the offer by the State, an enforceable contract for the
sale of goods and/or the performance of services is formed.
Purchasing Authority The authority to conduct acquisitions of information technology
goods/services and/or goods (except for competitive purchases of
goods $100 or less). Purchasing authority is granted by DGS to
departments that meet specific requirements. Delegated purchasing
authority must be obtained prior to use of most existing sources such
as the State's leveraged procurement agreements (CMAS, Master
Agreements including WSCA, Statewide Contracts, Software
Licensing program contracts, and State Price Schedules).
Quotation 1. See bid.
2. An offer made in response to a Request for Quotations (RFQ).
Reasonable Price See fair and reasonable
Rejection The act that determines that the goods or services fail to conform to
the contract in some material respect.
Request for Information A document used to obtain market pricing, or other market
(RFI) information or capabilities during the Acquisition Planning phase.
Request for Interest A document issued during the Acquisition Phase that requests
(RFI) suppliers to acknowledge their interest to receive a solicitation thus
potentially serving as a cost-saving step by reducing the quantity of
documents distributed.
Request for Offer A document generated by a department when using a Leveraged
(RFO) Procurement Agreement (LPA), such as CMAS or MSA. It is sent to
LPA contractors, contains requirements for a specific transaction, and
requests a response or offer.
Request for Proposals A type of solicitation document used in a formal competitive process
(RFP) for non-IT services and IT goods/services. An RFP is used for:
1. IT when specifications are stated in a more general nature
describing the problem to be solved or goal to be achieved,
or
2. Non-IT services, Primary Method, when the service
approach can vary and award is based on low price, or
3. Non-IT services, Secondary Method, when the service
approach can vary and award is based on a point system.
Request for Quotations
(RFQ) A type of solicitation document used in an informal competitive
process to acquire goods and IT goods/services.
Requisition A general term for an official written request to acquire goods and
California Acquisition Glossary - Page 12 of 17
1/11/07
services that is sent to a purchasing department or entity. The type
of written request varies by acquisition approach or department policy
and may include use of a standard Purchase Estimate, service
request document, request memo or other format.
Responsible A bidder who is fully capable of performing the contract.
Supplier/Bidder Considerations include a supplier deemed to satisfactorily
demonstrate some or all of the following, pertinent to the specific
transaction:
1. Adequate financial resources or the ability to obtain
the resources required to perform the contract;
2. An adequate cost accounting system;
3. The capability to comply with the required or proposed
delivery or performance schedule considering all
existing commitments;
4. A satisfactory record of performance;
5. A satisfactory record of integrity;
6. Qualified and eligible to receive an award under all
applicable laws and regulations;
7. Necessary organization, experience, operational
controls and technical skills (or the ability to obtain
them);
8. Necessary production and technical equipment and
facilities;
9. The ability to satisfy special capability standards when
required by a unique procurement or class of
procurements; and
10. An adequate quality assurance program.
Responsive A bidder whose solicitation response is compliant with solicitation
Supplier/Bidder requirements and indicates performance without material deviation
from the terms and conditions of the proposed contract.
SB/DVBE Option A competitive acquisition allowed per GC 14838.5 (a) & (b). It can be
used for transactions within a specified dollar range and targets
participation from only small businesses or disabled veteran business
enterprises.
Scope of work See statement of work
Services 1. Non-IT services: A contract in which the contractor provides a
duty or labor, as opposed to commodities or goods.
2. IT services: IT contracts for personal labor, effort, or time,
including services for computer hardware and software
maintenance or repair; programming and analysis of IT systems;
IT training or other IT consulting service.
3. Transaction type: An acquisition classification. Identifying the
California Acquisition Glossary - Page 13 of 17
1/11/07
acquisition as non-IT services as opposed to goods or information
technology goods/services.
Small Business See certified small business.
Socioeconomic See participation programs and preference programs.
Programs
Software An all-inclusive term which refers to any computer programs,
routines, or subroutines supplied by the contractor, including
operating software, programming aids, application programs,
program products, and any associated documentation.
Software Licensing Contracts established with resellers designated by the publishers, for
Program (SLP) proprietary software that reduces the need for individual departments
Contracts to conduct repetitive acquisitions. Discounts for proprietary software
licenses are offered based on the anticipated volume of sales.
Solicitation The process, by whatever name known or in whatever format used,
of notifying prospective bidders that the State wishes to receive bids
for furnishing goods and/or services.
Specification A generic term to refer to a written requirement of a solicitation or
contract that provides a concise and accurate description of the
goods or services to be provided including the procedure by which it
can be determined that the requirements have been met. A
specification defines what the buyer wishes to buy and consequently,
what the contractor is expected to provide.
Stakeholders Individuals and organizations that are involved in, or may be affected
by, project activities.
State Administration A manual governing State functions published by the Department of
Manual (SAM) General Service, Office of State Publishing. Provides uniform
guidance to State agencies in their fiscal and business management
affairs, relative to statewide policies, procedures, law or regulations.
State Contract Advisory SCAN is a network comprised of State employees dedicated to
Network (SCAN) improving the State's non-IT service contracting process.
State Contract and An Internet based application that provides a uniform reporting
Procurement process for all purchases or contracts over $5,000. The database
Registration System generates a unique registration number for each transaction that
(SCPRS) must be included on contracts and purchase orders.
State Contracting Resource manual providing uniform guidance to State agencies for
Manual (SCM) acquisitions of services, consultant services, public works,
architectural & engineering services, and interagency agreements.
State Price Schedule A type of LPA for unique or proprietary items whereby the supplier
(SPS) agrees to accept orders from the State at fixed prices for a specified
period of time.
California Acquisition Glossary - Page 14 of 17
1/11/07
State Purchase Card See CAL-Card.
Program
Statement of Work A written description of work to be performed under a contract to
(SOW) satisfy the State's needs. It can include what is to be done, when,
where, and how plus define the roles and responsibilities of the State
and the contractor. Sometimes referred to as scope of work.
Statewide Contract A contract based on a competitive process providing various goods
for a specified period of time at a fixed price. While some of these
contracts may be restricted to use by a specific agency, most are
available for use by all State and local government agencies.
Strategically Sourced Contracts established through competition that are used on a
Contracts statewide basis. The strategic sourcing process includes analysis of
various factors and use of contracting techniques to obtain the best
values available in the marketplace. Use of these contracts is
mandatory unless otherwise specified in the User Instructions. There
are no monetary thresholds for orders placed against these contracts.
Subcontractor An individual or business contracting to perform part, or all, of
another's contract.
Subject Matter Expert A person who has a recognized level of competency on a specific
subject matter as a result of their education, work experience, and/or
professional certification.
Supplier 1. An individual, sole proprietorship, firm, partnership, corporation,
or any other business venture.
2. Sometimes used interchangeably with bidder, vendor, merchant
or contractor.
Supplier Selection 1. The act of determining the supplier to receive a State contract
award. Some situations may result in the decision not to award a
contract.
2. Sometimes referred to as source selection or evaluation and
selection.
Surety An individual or corporation legally liable for the debt, default, or
failure of a principal to satisfy a contractual obligation.
Target Area Contract A program based in law that provides preferences for contracting
Preference Act opportunities in distressed areas.
(TACPA)
Termination A contract action taken to stop performance, either in whole or in part.
Termination may be with the bilateral (mutual) agreement of the
parties, for the unilateral (sole) convenience of the State or for the
default of one of the contracting parties who has materially breached
the contract.
California Acquisition Glossary - Page 15 of 17
1/11/07
Terms and Conditions 1. Provisions, qualifications or clauses in a contract which create,
suspend, or terminate the obligations of the contracting parties.
2. Standardized language commonly referred to as "boilerplate"
which is used in a uniform context in contracts without variation.
3. A document that is required to be included with certain non-IT
service or other contracts.
Transaction 1. Acquisition/procurement transaction: An undertaking to acquire
goods/services as part of a specific project. It can take various
forms such as a new contract, amendment, etc.
2. Transaction type: An acquisition's classification. Examples
include classifying an acquisition as goods, services, or
information technology.
Uniform Commercial A compilation of commercial law regarding sales of goods over $500,
Code (UCC) installment sales, commercial paper, etc., which is the result of an
attempt to make the laws of the 50 states consistent in these areas.
The California Legislature has generally adopted the UCC, but has
made modifications to some sections, which can be found in the
California Commercial Code.
Unilateral Change A contract change permitted by the terms of the contract that is
directed by the State, doesn't require agreement by the contractor,
and must be performed.
Value Effective 1. Synonymous with best value.
2. Consideration of requirements and evaluation methodology for
information technology acquisitions that may include but not be
limited to, the following:
(a) The operational cost that the State would incur if the bid or
proposal is accepted.
(b) Quality of the product or service, or its technical
competency.
(c) Reliability of delivery and implementation schedules.
(d) The maximum facilitation of data exchange and systems
integration.
(e) Warranties, guarantees, and return policy.
(f) Supplier financial stability.
(g) Consistency of the proposed solution with the State's
planning documents and announced strategic program
direction.
(h) Quality and effectiveness of business solution and
approach.
(i) Industry and program experience.
(j) Prior record of supplier performance.
California Acquisition Glossary - Page 16 of 17
1/11/07
(k) Supplier expertise with engagements of similar scope and
complexity.
(l) Extent and quality of the proposed participation and
acceptance by all user groups.
(m) Proven development methodologies and tools.
(n) Innovative use of current technologies and quality results.
Vendor 1. See contractor or supplier.
2. An individual, sole proprietorship, firm, partnership, corporation,
or any other business venture that responds to an IT Request for
Quotations or Request for Proposals.
Warranty A promise or affirmation given by a contractor to the State regarding
the nature, usefulness, or condition of the supplies or performance of
services furnished under the contract. Generally, a warranty's
purpose is to delineate the rights and obligations for defective items
and services, and to foster quality performance.
Western States A consortium of multiple states that establishes cooperative contracts
Contracting Alliance using a competitive process. Participating state governments join
(WSCA) together in order to achieve cost-effective and efficient acquisition of
quality products and services through volume discounts.
California Acquisition Glossary - Page 17 of 17