1. A WC may identify a current contract between an agency and a non-WC and formally request the opportunity to obtain the contract. The agency will give the WC an opportunity to contract at the date of the existing contract's renewal or expiration date, whichever is sooner.
   
   
2. A WC may request development of a contract when an agency need is identified and when the WC is capable of meeting appreciable contribution requirements, contract specifications and fair market pricing. The agency will notify the Bureau of Procurement of a WC request for contract development.
   
   
3. WC research and development (R&D) period
   
   
   1. A WC may request a first-come, first-served R&D period for a future contract if no other WC is listed on VendorNet as capable of providing the commodity/service. In this situation, a WC may not currently have the capabilities to meet contract specifications but desires to develop those capabilities.
      
      
   2. Once granted R&D rights for development of a contract, a WC may proceed to develop its capabilities knowing that a contract will be available. The agency will continue to contract with the non-WC vendor during the development period. If another WC requests the same contract, it will be placed on a waiting list.
      
      
   3. R&D periods are established for 90 calendar days. A purchasing manager may grant an additional 90-calendar day extension if progress has been made in the development of the commodity/service. Additional extensions must be approved by the State Use Board (SUB). Notify the coordinator of the WC program to place a request for extension on the SUB meeting agenda.
      
      
   4. A WC may be granted no more than three R&D period requests for different commodities/services at one time. Agency purchasing managers will contact the coordinator of the WC program to confirm that a WC is eligible for a R&D period.
      
      
   5. The agency will notify the Bureau if a R&D period is granted.

1. Specifications;
   
   
2. Contract price history; and
   
   
3. Previous volume history by units and dollar.
   
   

1. The agency will determine if the request for a contract or contract development is appropriate. Contracts exempt from the WC program include:
   
   
   1. Interagency purchases;
      
      
   2. Existing Badger State Industries contracts;
      
      
   3. Existing mandatory contracts;
      
      
   4. Printing and stationery; and
      
      
   5. Those that are covered by the 15% gross sales impact rule as follows:
      
      
      1. If an existing vendor will lose more than 15% of its yearly sales or production upon loss of a contract, the contract will be exempt from the WC program.
         
         
         (1) The agency will inform a vendor that its contract will not be renewed because it has been requested by a WC.
         
         (2) The agency will inform the vendor that it may challenge the loss of the contract if the contract accounts for more than 15% of the vendor's gross annual sales.
         
         (3) A vendor will provide, under cover letter requesting a review of the contract termination, documentation of its gross annual sales; preferably a copy of the vendor's last federal income tax return.
         
         (4) Upon receipt of the vendor's request for review, the agency will compare the vendor's annual total gross sales with the contract annual gross sales to determine if the impact on the vendor's gross sales will be greater than 15%. The agency will inform the vendor and the WC of the results of the review.
         
         (5) If the 15% rule is not met, the agency will continue with WC contract development.

If the agency determines that the request for a contract or contract development is appropriate under the WC program, it will proceed with contract development.

1. The agency will reference VendorNet to determine if any other WC provides the commodity/service.
   
   
   1. If no other WC is shown on the list, the agency may proceed with contract development.
      
      
   2. If one or more other WCs are shown on the list under the related commodity code, the agency will proceed with contract development under PRO-K-1, Agency Initiation of a Contract.
   
   
2. The agency will develop specifications, delivery requirements and performance standards for the required commodity/service.
   
   
   1. The agency will include as part of the specifications the need for WCs to certify that not less than 75% of the total hours of direct labor are performed by individuals with severe disabilities.
      
      
   2. The agency will determine if the WC meets appreciable contribution requirements for commodity contracts. Refer to PRO-K-5, Appreciable Contribution.
   
   
3. The agency will award the contract.
   
   
   1. Issues to be considered in awarding a contract include:
      
      
      1. 75% direct labor requirement;
         
         
      2. Fair market price;
         
         
      3. Ability to meet specifications;
         
         
      4. Ability to meet delivery requirements;
         
         
      5. Quality control; and
         
         
      6. References.
   
   
4. The agency will determine fair market price as outlined in PRO-K-3, Fair Market Price.