Senate Bill 565 History
Senate Bill No. 565
(By Senator Snyder (By Request))
[Introduced March 19, 2013; referred to the Committee on
Government Organizaation .]
A BILL to amend the Code of West Virginia, 1931, as amended, by
adding thereto a new section, designated §5A-3-10d, relating
to the creation of a reverse auction pilot program for
purchasing office supplies; outlining criteria for the
Director of the Purchasing Division to consider in determining
whether use of the reverse auction pilot program is
appropriate; defining "reverse auction"; permitting third-
party vendors to administer reverse auctions; affording the
Director of the Purchasing Division rule-making authority to
implement the reverse auction pilot program; and providing
that the reverse auction pilot program expires on July 1,
Be it enacted by the Legislature of West Virginia:
That the Code of West Virginia, 1931, as amended, be amended
by adding thereto a new section, designated §5A-3-10d, to read as follows:
ARTICLE 3. PURCHASING DIVISION.
§5A-3-10d. Reverse auction pilot program.
(a) Notwithstanding any other provision of this code, the
director is hereby authorized to initiate a reverse auction pilot
program to procure office supplies. The director may not use the
pilot program for the procurement of services under any
(b) The reverse auction pilot program may be utilized if the
director determines the use of a reverse auction would be fair,
economical and in the best interests of the state, and the office
supplies to be procured:
(1) Are subject to low price volatility;
(2) Have specifications that are common and not complex;
(3) Vary little between suppliers;
(4) Are sourced primarily on price, with limited ancillary
(5) Require little collaboration from suppliers; and
(6) Are sold by a large, competitive supply base.
(c) For purposes of this section, "reverse auction" means a
process by which bidders compete to provide office supplies in an
open and interactive market, including but not limited to, the
Internet. Reverse auction bids are opened and made public upon
receipt by the director, and then bidders are given the opportunity to submit revised bids until the bidding process is complete. The
contract is awarded to the lowest responsible bidder.
(d) The director may contract with qualified, industry-
recognized third-party vendors to conduct reverse auctions on
behalf of the director.
(e) The director shall propose rules for legislative approval
in accordance with the provisions of article three, chapter twenty-
nine-a of this code to establish the procedures for conducting
reverse auctions under the pilot program authorized by this
section. The rules shall include procedures for contracting with
qualified, industry-recognized third-party vendors.
(f) This section shall expire and be of no further force and
effect on and after July 1, 2017.
NOTE: The purpose of this bill is to authorize a reverse
auction pilot program for purposes of purchasing office supplies in
This section is new; therefore, strike-throughs and
underscoring have been omitted.