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  Forms of Cooperative Purchasing

 

 

There are three general approaches to cooperative purchasing.

Guaranteed Volume
This approach involves a commitment from a government entity that they will purchase a certain volume of job order contracting services. This commitment assures the JOC of a minimum volume of orders to support the program to service requests from participating entities that receive volume discounts as an incentive to commit to purchase minimum volumes.
   
Potential Volume
This approach involves no commitment as to the exact volume that will be purchased. An estimated volume of purchases based on past experience may be presented to the JOC to use in vendor negotiations.
   
Piggyback Contracts
  Piggyback contracts are contracts that allow agencies to use Program Purchase Agreements to “piggyback” on the contract terms and prices. The advantage of this approach is that it is relatively easy to administer and reduces administrative costs and can result in a significant bid price reduction.
   
  The law encourages participation in cooperatives to eliminate duplication of efforts and increase overall efficiencies in procurement, thereby saving taxpayers’ dollars.
 
 
 

Cooperative Purchasing Agreements (COOP)
> RHJ-JOC's Involvement with COOP
> Benefits of Cooperative Purchasing
> Forms of Cooperative Purchasing
> Implementing a COOP