§ 34.42 RECOVERY FROM DEFAULTING BIDDER OR OFFEROR.

   If any successful bidder or offeror fails to fulfill the conditions of an awarded contract, the purchasing agency may proceed to recover from the defaulting party whatever damages may have been sustained as a result of the default. The purchasing agency shall have all remedies provided in the contract and provided by law.

(SDCL § 5-18A-16)

§ 34.43 EXEMPT PROCUREMENTS.

    The provisions of SDCL Chapters 5-18A, 5-18B, 5-18C, and 5-18D do not apply to:

   (A)   Any highway construction contract entered into by the Department of Transportation;

   (B)   Any contract for the purchase of supplies from the United States or its agencies or any contract issued by the General Services Administration;

   (C)   Any purchase of supplies or services, other than professional services, by purchasing agencies from any active contract that has been awarded by any government entity by competitive sealed bids or competitive sealed proposals or from any contract that was competitively solicited and awarded within the previous 12 months;

   (D)   Any equipment repair contract;

   (E)   Any procurement of electric power, water, or natural gas; chemical and biological products; laboratory apparatus and appliances; published books, maps, periodicals and technical pamphlets; works of art for museum and public display; medical supplies; communications technologies, computer hardware and software, peripheral equipment, and related connectivity; tableware or perishable foods;

   (F)   Any property or liability insurance or performance bonds, except that the actual procurement of any insurance or performance bonds by any department of the state government, state institution, and state agency shall be made under the supervision of the Bureau of Administration;

   (G)   Any purchase of surplus property from another purchasing agency;

   (H)   Any animals purchased;

   (I)   Any authority authorized by SDCL Chapters 1-16A, 1-16B, 1-16E, 1-16G, 1-16H, 1-16J, 5-12, or 11-11;

   (J)   Any purchase of supplies for any utility owned or operated by a municipality if the purchase does not exceed the limits established in SDCL § 5-18A-14;

   (K)   For political subdivisions, any contract for asbestos removal in emergency response actions and any contract for services provided by individuals or firms for consultants, audits, legal services, ambulance services, architectural services and engineering, insurance, real estate services, or auction services; or

   (L)   For political subdivisions, any purchase of equipment involving the expenditure of less than $50,000.

(SDCL §  5-18A-22)

§ 34.44 PUBLIC SALE OR AUCTION; PERFORMANCE BOND; COMPETITIVE QUOTATIONS; RECORDS TO BE RETAINED.

   (A)   Exempted. The governing board of a unit of this municipality shall be exempted from the provisions of SDCL Chapters 5-18C, 5-18A, 5-18B, and 5-18D if it is able to purchase supplies at a substantial savings at a public sale or auction.

   (B)   Performance bond waived. Any performance bond required by SDCL § 5-21-1 may be waived on items purchased for less than $10,000 at a public sale or auction.

   (C)   Competitive quotes. The governing board shall contact and attempt to obtain competitive quotations from at least three suppliers of identical or similar supplies. The board may authorize an agent to attend a sale or auction and expend an amount not in excess of 80% of the average of the quotations received.

   (D)   Records retained. A record of the names of the suppliers, the quotations received, and the procurement procedures used in purchasing shall be documented, noted in the minutes, and retained on file by the governing board.

(SDCL § 5-18C-3)