E29706 - Approve an Ordinance authorizing a Master Intergovernmental Cooperative Purchasing Agreement between the City of Houston and The Interlocal Purchasing System (TIPS).
Specific Explanation:
The Chief Procurement Officer recommends that City Council approve an ordinance authorizing the execution of a Master Intergovernmental Cooperative Purchasing Agreement between the City of Houston and The Interlocal Purchasing System (TIPS).
This ordinance authorizes the City of Houston to participate in a cooperative purchasing program with TIPS. Chapter 271, Subchapter F of the Texas Local Government Code allows local governments to participate in cooperative purchasing programs with another local government or local cooperative organizations to purchase goods or services utilizing contracts currently existing between another local government and its vendors. This process satisfies the states competitive bid law requirements.
The City of Houston will utilize contracts between TIPS and various vendors under the same terms and conditions. Under this agreement, goods or services purchased equal to or greater than the State of Texas bid law requirements must be approved by Houston City Council.
Participation in cooperative purchasing programs enable the City to take advantage of the nationally leveraged and aggregated pricing and services offered through contracts established by these organizations, which ultimately result in savings of valuable taxpayers dollars. These alternative purchasing vehicles save staff time and the costs associated with advertising, preparing and printing of bid documents, in addition to reducing procurement lead-time, thus enabling the user departments to receive goods and services available on contracts established by these organizations in an expeditious manner.
This agreement is part of the Strategic Procurement Division's ongoing effort to improve the City of Houston's purchasing process.
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Jerry Adams, Chief Procurement Officer
Finance/Strategic Procurement Division