The following words and terms, when used in this chapter, have the following meanings, unless the context clearly indicates otherwise:

1. (1) "Benefit" means anything reasonably regarded as pecuniary gain or pecuniary advantage.

2. (2) "Best value" means the optimum combination of economy and quality that is the result of fair, efficient, and practical procurement decision-making and which achieves HHSC procurement objectives. Best value may consist of a combination of:

   1. (A) purchase price;
   2. (B) meeting required specifications;
   3. (C) installation costs;
   4. (D) life cycle costs;
   5. (E) anticipated quality and reliability of the goods/services;
   6. (F) delivery terms;
   7. (G) respondent's performance under past contracts and ratings in the Comptroller's Vendor Performance Tracking System;
   8. (H) cost of any required training for employees; and
   9. (I) other relevant factors for that specific contract.
3. (3) "Competition" means a contract or purchasing action in which HHSC posts a solicitation, inviting proposals, offers, or bids from qualified vendors.
4. (4) "Contract" means a written agreement, including a purchase order, to purchase goods or services between HHSC and a vendor.
5. (5) "Contracting personnel" means all HHSC personnel involved in a procurement, contract administration, contract management, contract monitoring, and contract oversight.
6. (6) "Contractor" means an individual, firm, or entity that contracts with HHSC to provide goods or services.
7. (7) "Emergency purchase" means a purchase for which delay would create a hazard to life, health, safety, welfare, or property or would cause undue additional cost to the state.
8. (8) "Enrollment contract" means the contracting of vendors that meet qualifications or criteria for participation specified by HHSC and agree to provide the contracted goods or services in accordance with specific terms and conditions including for a standard rate or cost reimbursement.
9. (9) "HHSC" means the Texas Health and Human Services Commission or its designee.
10. (10) "Parceling" means the artificial division or intentional division of a purchase of same, like, or related goods, services, or construction into several purchases of smaller quantities, in order to circumvent competitive procurement.
11. (11) "Preferred supplier" means a provider of goods or services that state or federal law requires HHSC to provide a preference in the procurement of goods or services.
12. (12) "Procurement method" means the procedure employed by HHSC to acquire goods and services in accordance with this chapter.
13. (13) "Procurement file" means written documentation pertaining to the management of a procurement, including evidence of the decisions made by HHSC regarding the method, selection, and justification of a procurement.
14. (14) "Proprietary purchase" is the purchase of a product or service that is proprietary to one vendor and the proprietary nature of that good or service does not permit an equivalent good or service to be obtained.
15. (15) "Protestant" means any actual or potential respondent that files a protest in connection with a solicitation, evaluation or award of a contract, in accordance with §391.403 of this subchapter (relating to Applicability).
16. (16) "Respondent" means a person or entity that submits a written or electronic response to a solicitation.
17. (17) "Sole source" means a type of proprietary purchase where the good or service is only available through a single vendor.
18. (18) "Solicitation" means the written invitation for bids, request for offers, request for proposals, or similar instrument that is posted on the HHSC Website and/or Electronic State Business Daily, seeking responses from qualified vendors for needed goods and services. This term includes "price requests" and "pricing requests" sent to Department of Information Resources vendors to get pricing, based on a specific scope of work, through a Cooperative Contract or DBITS contract.
19. (19) "Specifications" means the written statement or description and enumeration of particulars of goods to be purchased or services to be performed.
20. (20) "Vendor" means an individual or entity that is organized for the purpose of offering goods or services for sale, lease, lease-purchase, or contract.

Source Note:The provisions of this §391.103 adopted to be effective June 17, 2015, 40 TexReg 3632.