Glossary of Commonly Used Procurement Terms

Source Key:
ApB - Appendix B, General Specifications
PG - Procurement Council Guidelines
SFL - State Finance Law Article XI
WBS - OGS/NYSPro website
WBST - OGS/NYSPro website/Technology Guidelines

Purchasing Memorandum (PM):   A Purchasing Memorandum is the notification document used by PSG to announce an adjustment, modification, extension or cancellation of a contract.
Request for Information (RFI):   A Request For Information (RFI) provides a preliminary description of the program objectives and specifications and solicits input from offerers as to the availability of products and services to meet the agency's needs (PG)
Request for Proposals (RFP):   A Request for Proposals (RFP) is a type of bid document which is used for procurements where factors in addition to cost are considered and weighted in awarding the contract and where the method of award is "best value ", as defined by State Finance Law. (ApB)
Request for Quotation (RFQ) / Letter Quote (LQ):   A Request for Quotation (RFQ), also referred to as Letter Quote (LQ), is a type of bid document which can be used when a formal bid opening is not required (e.g. discretionary, sole source , single source or emergency purchases). (ApB)
Responsible Bidder:   Responsible Bidder is a bidder that is determined to have skill, judgment and integrity, and that is found to be competent, reliable, experienced and qualified financially, as determined by the Commissioner (OGS/PSG). (ApB) A Responsive Bidder is a bidder whose offer meets the specifications or requirements prescribed in the bid document or solicitation, as determined by the Commissioner (OGS/PSG). (ApB)
Service or Services:   Service or services means, except with respect to contracts for state printing, theperformance of a task or task and may include a material good or a quantity of material goods, and which is the subject of any purchase or other exchange, For the purposes of this article, technology shall be deemed a service. Services, as defined in this article, shall not apply to those contracts for architectural, engineering or surveying services, or those contracts approved in accordance with article eleven-b of this chapter. (SFL) Services consist of the performance of a task or tasks, which may include the use of a material good or a quantity of material goods. According to the Procurement Stewardship Act of 1995, this definition includes technology , which can be either a good or a service or a combination thereof (often referred to as bundled acquisitions). (PG)
Single Source:   A Single Source procurement is one in which two or more vendors can supply the commodity, technology and/or perform the services required by an agency, but the state agency selects one vendor over the others for reasons such as expertise or previous experience with similar contracts. (PG)
Single Source:   Single source means a procurement in which although two or more Contractors (or participating resellers) can supply the required product or service, the Authorized User , upon written findings setting forth the material and substantial reasons therefore, may award the order to one Contractor (or participating reseller) over the other(s). The Authorized User shall document in the procurement record the circumstances leading to the selection of the vendor, including the alternatives considered, the rationale for selecting the specific vendor and the basis upon which it determined the cost was reasonable. Refer to the Procurement Council Guidelines located at the OGS website for further information on Single and Sole Source . (WBST)
Small Business Concern:   Small business concern or small business means a business which is resident in this state, independently owned and operated, not dominant in its field and employs one hundred or less persons. (SFL)
Sole Source:   A Sole Source procurement is one in which only one vendor can supply the commodities, technology and/or perform the services required by an agency. (PG) "Sole source " means a procurement in which only one Contractor is capable of supplying the required product or service. (WBST)