Southern Polytechnic State University P & P No.: 790.0
Policy and Procedure Manual  Date: February 1987
  Revised: August 1994
 
Acquisition of Electronic Data Processing Equipment

I. Policy
Under an executive order from the governor, the state Electronic Data Processing (EDP) Committee must approve the acquisition of specified classes of computer systems, computer-related equipment, and computer software and services (subsequently referred to collectively as EDP goods and services) by any board, department, or agency of the state government. This executive order applies to all University System of Georgia units, as well as to all other state agencies. Consequently, the state EDP Committee requires that EDP requests be completed for specified classes of goods and services. The committee further requires that copies of these requests be forwarded to them regardless of delegated authority. EDP approval is usually obtained before procurement action is initiated and, in all cases, is required by State Purchasing before a purchase order is issued.

Included in these procedures are (1) the classes of EDP goods and services that require approvals; (2) delegated authorities for such approvals; (3) a description of the standard EDP request format, procedures, and sample request forms; and (4) the methods to be used in obtaining the requisite approvals.

II. Types of EDP Acquisitions

A. Computer-related procurement actions for items covered in the Microcomputer Acquisition and Management Plan which require local EDP request preparation and approval are as follows: * all microcomputer systems, peripherals, and software to be purchased with the processor when the net cost of a functional system is $15,000 or less per system or have an aggregate cost for all systems of less than $75,000 (instructional) or $50,000 (administrative) for an individual purchase action;

* all computer peripherals intended for direct (cable) or telecommunications attachment to an existing microcomputer system or to some component of a microcomputer system that have an individual cost of less than $2500 and an aggregate cost of less than $25,000 for an individual purchase action;

* computer software (programs) that have an individual cost of less than $2500 and an aggregate cost of less than $25,000 for an individual purchase action;

(Note: all items in this category must be purchased from existing state-wide contracts when available)
 

 B. The classes of EDP goods and services that require preparation of a formal EDP request and approval at the state level are as follows: *any request to purchase microcomputers from sources other than existing state-wide contracts, require separate justification and approval from the Vice Chancellor in addition to regular EDP approval;

* all mainframe computer systems, peripherals, and software to be purchased with the processor;

* all minicomputer systems, peripherals, and software to be purchased with the processor;

* all microcomputer systems, peripherals, and software to be purchased with the processor when the net cost of a functional system is over $15,000 per item or have an aggregate cost of over $75,000 (instructional) or $50,000 (administrative) for an individual purchase action;

* all computer peripherals intended for direct (cable) or telecommunications attachment to a computer system or to some component of a computer system (e.g., printers, terminals, OCR (optical character recognition) units, fixed and floppy disk drives, COM (computer output microform) units, magnetic tape drives, controllers, etc.), which cost over $2,500 per item or have an aggregate cost of over $25,000 for an individual purchase action;

* computer software (programs) that cost over $2,500 per item or have an aggregate cost of over $25,000 for an individual purchase action; and

* all EDP related services for which the contracted amount or estimated expenditure will exceed $2,500 (e.g., technical consultants, data conversion, computer programming or systems analysis, use of external computer systems, etc.).
 

 C. Other types of computer-related procurement actions that do NOT require individual EDP request preparation and approval are as follows: * maintenance services for EDP goods and services obtained either through contract or on an individual incident basis;

* all data communications equipment and services required to connect EDP goods and services via common carrier facilities (e.g., acoustic couplers, modems, bridges, routers, cables, etc.). However, these items may require approval of the Telecommunications Division of the Department of Administrative Services.

* renewals of existing rent, installment purchase, or maintenance agreements for installed EDP goods and services;

* supplies to be used on computer systems such as paper, ribbons, magnetic tapes, disks, diskettes, etc.;

* all EDP related services for which the contracted amount or estimated expenditure will not exceed $2,500 (e.g., technical consultants, data conversion, computer programming or systems analysis, use of external computer systems, etc.); and

 III. Approval Authority
All EDP requests require the approval of the Administrative Committee for Information Technology (ACIT) Institutional Representative , the Vice Chancellor for Information Technology's (VCIT) office and the state EDP Committee, except as described under the rules of delegation of authority below.

The principal criteria for approval are (l) adherence to the institution's and the University System's Three-year EDP Plan, (2) justification of need and strategy for solution, (3) technical soundness of the request, and (4) completeness and accuracy of the information provided in the EDP request. EDP requests which do not satisfy all of these criteria will normally be returned to the originating institution for clarification and/or reconsideration.

Each year the three-year EDP plan will be reviewed and updated by the college and submitted to the state EDP Review Committee for approval.

Following are the rules for delegation of authority to approve certain EDP acquisitions:

A. Individual institutions are delegated the authority to purchase with local approval EDP peripherals and software which cost less than $2,500 per item and have an aggregate cost of $25,000 or less for an individual purchase action. This authority is limited to items being purchased for upgrading existing processors.

B. The Vice Chancellor for Information Technology is delegated authority to approve all requests which have an aggregate cost of $100,000 or less to purchase or $3,500 per month rent for administrative purposes and all requests for equipment for instructional or research use which have an aggregate cost of $150,000 or less to purchase or $6,000 per month to rent. (Copies of the EDP requests and a consolidated listing of these requests and approvals must be sent each month to the EDP Committee by the VCIT.)

The state EDP Committee has approved a new procedure by which microcomputer EDP approvals may be obtained. Individual institutions may submit a Microcomputer Acquisition and Management Plan which, when approved, authorizes institutions to approve locally all microcomputer requests conforming with the plan which have an aggregate cost of $50,000 or less for administrative purposes, and all requests for equipment for instructional or research use which have an aggregate cost of $75,000 or less.

It is important to note that the splitting of either EDP requests or purchase requests in order to circumvent the dollar limitation is forbidden and could result in removal of the institutional approval authority. (Copies of the Microcomputer Acquisition and Management Plan must be on file in the office of the VCIT, and a quarterly activity report of the EDP approvals under the plan must be sent to the VCIT who will forward the reports to the EDP Committee.)

C. All requests with an aggregate cost over $100,000 for administrative use ($3,500 per month for rent) and over $150,000 for instructional and research use ($6,000 per month for rent) must be submitted for review by the EDP Committee at their monthly meetings.

D. The manner of grouping items for rules (B) and (C) above is important. All items required to accomplish a particular objective or program within an organizational unit should be included in the same request. If items required for a particular objective or program are split among several EDP requests for the convenience of the institution, they should be grouped and submitted as one request for purposes of review and approval. Separate, ungrouped EDP requests relating to the same organizational objective or program will be returned to the institution for revision or, where possible, will be grouped by the VCIT for review and approval.

 IV. Terms of Approval
EDP requests are valid for one year from the date of approval.

V. Procedures

A. The steps outlined below are to be followed for all EDP goods and services that are covered in the approved Microcomputer Acquisition and Management Plan and require local approval: Step 1: Ascertain EDP Acquisition Requirements. This should be a complete assessment in terms of appropriate hardware, software, and service components. Care should be taken to insure that both immediate and future requirements are determined.

Note: If the net cost of a functional system is greater than $15,000 or the aggregate cost is greater than $75,000 (instructional) or $50,000 (administrative) a formal EDP request must be prepared.

Step 2: Prepare a Microcomputer EDP Request. Fill out the abbreviated request following the format for Microcomputer EDP requests. Incomplete forms will be returned to the originating department Step 3: Attach the EDP request form to your departmental request and submit to the Director of Microcomputer Support Incomplete forms will be returned to the originating department for completion. Items not adhering to the Three-year EDP Plan or conforming to the institutional standards may require additional approvals. Step 4: Forward the departmental request for purchase The Director of Microcomputer Support will record the information for quarterly reporting, check relationship to the submitted and approved plan and ensure that the request does not require additional state approvals. The departmental request will then be forwarded to procurement.

B. The steps outlined below are to be followed for all EDP goods and services that require preparation of a formal EDP request and approval at the state level:
 

Step 1: Ascertain EDP Acquisition Requirements. This should be a complete assessment in terms of appropriate hardware, software, and service components. Care should be taken to insure that both immediate and future requirements are determined.
  Step 2: Prepare an EDP Request. The section entitled EDP Request Format details the instructions for preparing an EDP request. The purpose of the request is to justify the need for the acquisition and to demonstrate that sound technical and managerial plans for its use exists. Relationships with existing systems should be described. Security provisions should be included. Also, the ACIT institutional representative will indicate where and how the goods and services are covered in the institution's Three-year EDP Plan.
  Step 3: Submit your EDP request to the Director of Microcomputer Support The request must be submitted either on a diskette or electronically through the use of e-mail for approval and forwarding to the Vice Chancellor's office.
  Step 4: Forward One (1) Copy to the Vice Chancellor for Information Technology. After the EDP request form has been completed and the appropriate institutional approvals have been obtained, one (1) copy is sent to the Vice Chancellor for Information Technology by the Director of Microcomputer Support.
  Step 5: Await Receipt of Approval. The VCIT will notify the ACIT institutional representative in writing immediately upon approval by that office or receipt of approval from the state EDP Committee. The requesting group will receive a copy of the approval letter and original request from the Director of Microcomputer Support. Copies of the approval letter and the EDP request must be attached to each departmental request submitted to procurement for items contained in that EDP request. * NO approvals will be faxed unless there is a legitimate emergency situation.  
C. Timing The state EDP Committee currently schedules meetings once a month (except for June when no meeting is scheduled), typically on the third Wednesday of each month. All EDP requests must be received by their staff at least seven (7) working days prior to the scheduled meeting. The OIT staff, in turn, requires at least five (5) working days prior to the state EDP Committee's deadline to prepare the necessary review documents, copies, and request summaries. Therefore, to be assured of consideration, EDP requests must be received by the VCIT at least twelve (12) working days prior to a scheduled state EDP Committee meeting. Notification of action (approval, disapproval, a request for reconsideration, or a request for further information) is generally available within one week following the committee's meeting. EDP requests for which approval authority has been delegated to the VCIT will usually be acted upon within one (1) work week after receipt of a properly completed and authorized request.

Under present state purchasing rules and regulations, many EDP procurements such as purchase, installment purchase, rent, and/or maintenance must be handled by the state's Department of Administrative Services. Given the time required to obtain the necessary EDP approvals and to handle procurement actions for computer-related equipment, plans should be made to initiate these procedures and the associated paperwork as far ahead as possible. The EDP request may be initiated and approvals obtained well in advance of identified funding.

VI. Formal EDP Request Format
An EDP request is processed as a single, independent document, so it must contain all the information needed to identify the requesting department and institution and the use(s) to be made of the goods and services. The narrative should be easily readable and complete. The EDP goods and services requested should emphasize both present and future requirements. The purpose of the request is to justify and describe the need, the strategy for solution, and the specific items to be procured. Thus, the work to be performed must reflect the appropriateness of the proposed acquisition. Attention must also be given to alternative means for accomplishing the work, as well as the availability of existing equipment for this purpose.

Care must be taken to make the planned use of the requested goods and services self-explanatory. Familiarity with specific research and instructional activities should not be assumed. Specific requirements of instruction and research should be explained carefully. For administrative applications, consideration of standards, compatibility, security, auditability, economy, and long-ranged planning will be of special importance. Also, disposition of equipment to be replaced should be described.

Format for Local EDP request
Format for Formal EDP request
Formal EDP request form