The NTTA participates in and utilizes cooperative purchasing to keep costs in line and gain operational efficiencies.
Cooperative purchasing allows entities to order under established contracts without additional formal bidding. As a political subdivision of the State of Texas, the NTTA is eligible to participate in many cooperative purchasing programs, including those listed in the table below. Provided the contracts were competitively advertised and awarded, no additional justification or bidding is required.
There are many reasons the NTTA uses cooperative purchasing contracts.
1. Lower costs through increased volume. By combining orders, the quantities purchased will increase, resulting in the purchaser earning greater quantity discounts.
2. Lower (shared) administrative costs. By eliminating duplicated effort, participants save on time and costs.
3. Improved response from vendors. Vendors realize that they are bidding on a larger order and will be encouraged to compete for the purchase. Vendors from the entire area are attracted, rather than from just one locality. Greater competition leads to lower bids.
4. Shared experience leading to better product specifications. Combining the knowledge of all members of the cooperative effort results in developing a much better specification for goods and services purchased. Often, an acceptable specification will already exist between the parties.
5. Better compliance with state statutes on purchasing. Since most purchases will be subject to competitive bids, they will be in compliance with the statutes on bidding. There should also be a heightened awareness of legal requirements.
The NTTA currently participates in cooperatives with multiple governmental entities around the Dallas-Fort Worth Metroplex and with the cooperatives listed below.