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EAP Policy Manual FFY24 Chapter 6 Energy Related Repair Page 12 Methods of ERR Procurement Local Service Providers must document their methods of procurement. Procurement by Noncompetitive Bids Use this method in sole source or life-threatening situations. The Service Provider may use noncompetitive procurement only when one or more of the following circumstances apply and they determine the price is reasonable: • The emergency does not allow for any delay that could result from competitive bids. If temporary heat can be provided or conditions allow for the Service Provider’s normal procurement method, Service Providers may not deviate from their normal procurement method. • After solicitation of bids from multiple sources, competition is determined inadequate. • The item is available only from a single source. • Commerce EAP expressly authorizes noncompetitive bids in response to a written request from the Service Provider. • For ERR jobs where the aggregate dollar amount does not exceed $4,999. Procurement by Competitive Bids Use this method in non-life-threatening situations. ERR tasks must be awarded to the ERR contractor whose bid is most advantageous to the program, with price and other factors considered. The Service Provider must have a documented system in place to indicate how contractors are selected for each task. Each ERR task awarded must be justified and documented. Bid per job Service Providers develop a list of acceptable contractors to solicit bids from when competitive bids are required. Annual bid Bids are solicited for a number of standard jobs before the start of the program year. When an ERR event occurs, contractor is selected based on the annual bidding information. Expense thresholds (These thresholds are minimum standards.) • For ERR jobs $10,000 and over, the Service Provider must solicit three (3) bids and must receive back at least two (2) bids unless it’s a sole source or an emergency that prohibits waiting for additional bids. Only one (1) bid is required if the job is awarded to a targeted vendor.