Procurement Types

Our Procurement Services department works with several types of procurement. A description of each is provided below.

  • Competitive Sealed Bid:  Bid containing a specified scope of work, work processes, timelines and standards or detailed specifications for a commodity.  This procurement method is used when LWC has outlined the entire scope of work and seeks to identify suppliers who are capable of performing the service or providing the commodity.

  • Request for Proposal (RFP):  Proposal which includes evaluation criteria and weighting. Cost is not the sole determining factor for award. Normally used when:

    • Scope of work cannot be accurately and completely defined;
    • Quality, availability or capability overrides price in procurement of research and development, technical supplies or services; or
    • Marketplace will respond better to a range of alternative proposals, evaluation and discussion, before making an award.
  • Professional Service:  Skills which require a professional license (issued by a state examining board), an advanced educational degree, or recognized expertise. Professions which can be characterized as professional services include, but are not limited to lawyers, engineers, physicians, artists, certified public accountants, insurance brokers and registered land surveyors.  
  • Sole Source:  A situation in which there is only one known capable supplier of a commodity or service, occasioned by the unique nature of the requirement, the supplier, or market conditions. The key to determination of "sole source" is the documentation of the search for other sources for the required commodity or service.
  • Certificate of Emergency:  A condition which creates an immediate and serious need for goods and/or services, whose appropriate redress precludes the use of normal competitive procurement methods, and whose existence seriously threatens the function of Louisville Water Company, its ability to provide the public water supply, the preservation or protection of property, or the health and safety of any person.
  • Cooperative Procurement:  Purchases made from open-ended state public procurement unit contracts or an agreement with another public purchasing agency in accordance with the agreement entered into between the participants.
  • Small Dollar Procurement:  Purchases needed for operations. Small dollar procurements cover purchases under $20,000 which are not formally advertised and bid.