§ 5-22-13-5 — Supplies and services must meet specifications; determination of fair market price

(a) Supplies and services purchased under this
chapter must:
(1) meet the specifications and needs of the purchasing
governmental body; and
(2) be purchased at a fair market price as described under
subsection (b).
(b) A fair market price under this section must cover for the
qualified agency the costs of raw materials, labor, overhead, and
delivery cost. In determining the fair market price, the purchasing agent
shall determine if the fair market price is within ten percent (10%) of
the average price estimates or quotes using one (1) or more of the
following:
(1) Available information from reliable market sources.
(2) A market survey from a person designated by the committee.
(3) Previous contract prices.
(4) The range of bids from the most recent solicitation, including
a determination of:
(A) the median price of the bids;
(B) the average price of the bids; and
(C) any market conditions or specifications that have changed
since the most recent solicitation.

Legislative History

As added by P.L.49-1997, SEC.1. Amended by P.L.46-2007, SEC.4; P.L.37-2018, SEC.2.