3403.1 When a procurement has been designated for the sheltered market under the Minority Contracting Act of 1976, D. C. Code §1-1141, et seq. and only one (1) bid or proposal is received from a responsible, certified firm, the contracting officer shall not make an award to that contractor unless the contracting officer determines that the contractor qualifies as a sole source in accordance with this chapter, or the contracting officer follows the procurement procedures set forth in §§3403.2 through 3403.5.

3403.2 If the contracting officer cannot justify procuring the supplies or services from the single sheltered market vendor on a sole source basis, the contracting officer shall do one (1) of the following:

(a) Cancel the invitation for bids ("IFB") or request for proposals ("RFP") and reissue the solicitation on the open market;

(b) In the case of an IFB issued under chapter 32, determine whether the bid price is competitive with the open market in accordance with the provisions of §§3403.3 through 3403.5; or

(c) In the case of an RFP issued under chapter 33, negotiate with the sheltered market vendor pursuant to §§3403.3 through 3403.5.

3403.3 If the contracting officer, using the methods and standards set forth in chapter 33 of this title, is able to determine from price history or price analysis that the price offered by the single sheltered market vendor is reasonably competitive with a price that might be obtained on the open market, the contracting officer may issue the contract after negotiation pursuant to §§3403.4 and 3403.5.

3403.4 Before attempting to negotiate a contract with the single sheltered market vendor under §3403.2, the contracting officer, using the methods and standards set forth in chapter 33 of this title, shall establish a pre-negotiation position based on a reasonable price and other terms under which the contract might be let in the open market.

3403.5 The contracting officer shall negotiate with the sheltered market vendor on the basis of competitive price and contract terms and may award the contract if the price and other terms agreeable to the vendor are reasonably within the range of price and terms that could be obtained in the open market, and if issuing the contract is in the best interests of the University.

3403.6 If the contracting officer is unable to negotiate a contract with the single sheltered market vendor on the basis of reasonably competitive price and terms, the contracting officer shall cancel the sheltered market solicitation and reissue the solicitation in the open market.

SOURCE: Final Rulemaking published at 39 DCR 2566 (April 10, 1992).