Services
Salt Procurement: Sealed Bidding
Counties often procure road salt through either sealed competitive bidding or a reverse auction process. Both methods are designed to ensure transparency, fair competition and the responsible use of public funds. The following steps outline a recommended process consistent with Kentucky procurement law, including KRS Chapter 424 and the Model Procurement Code (KRS Chapter 45A).
Step 1: Advertisement
Before accepting bids, the county must publicly advertise the procurement opportunity to ensure open competition.
Publication Requirements
The solicitation must be advertised at least once through one of the following methods:
- Qualified newspaper publication pursuant to KRS 424.260, or
- Internet or newspaper advertisement under the Model Procurement Code (KRS 45A.365).
Although not required, counties are encouraged to also send the solicitation directly to current contractors and known salt suppliers to maximize competition.
Timeline Requirements
The advertisement must appear within the following timeframes:
- KRS Chapter 424: Not less than 7 days and not more than 21 days before the bid opening or reverse auction date.
- Model Procurement Code: At least 7 days prior to the bid opening or reverse auction.
Counties may choose to advertise earlier if market conditions warrant additional vendor outreach.
Required Advertisement Information
At a minimum, the notice should include:
- Bid or reverse auction due date and location
- Time and place of public bid opening
- If a reverse auction is used, instructions and relevant auction information
- Estimated tonnage of salt to be purchased
- Delivery requirements or delivery schedule
- Evaluation criteria, particularly if factors other than price will be considered (e.g., delivery capability, storage capacity, quality specifications)
- Instructions on how to obtain bid documents or specifications
- Contact information for questions
Optional Advertisement Information
Counties may include additional requirements that help ensure reliable suppliers, such as:
- Bidder qualifications or prequalification requirements
- Past performance requirements or references
- Minimum delivery capabilities or timeliness standards
- Experience supplying road salt to governmental entities
- Electronic bid submission instructions
Providing these details in the advertisement helps prevent confusion and ensures that bidders understand expectations.
View an advertisement example here.
Step 2: Receipt of Bids
The county must establish a clear and secure process for receiving bids.
Acceptable Submission Methods
Bids may typically be submitted through one of the following methods:
- In-person delivery
- Mail or commercial courier
- Electronic submission (if allowed in the solicitation)
If electronic submission is permitted, the county should specify instructions to ensure the bid remains sealed until opening. For example:
Subject line: “Sealed Bid – Road Salt Procurement”
Counties should ensure that all bids remain confidential and unopened until the official bid opening.
Bid Handling Best Practices
- Maintain a bid log documenting the date and time bids are received.
- Secure bids in a designated location until opening.
- Reject bids received after the deadline unless the solicitation explicitly allows otherwise.
Step 3: Public Bid Opening
Kentucky law requires sealed bids to be opened publicly.
Opening Procedure
The bid opening should be conducted:
- At the time and location specified in the advertisement, and
- By the County Judge/Executive or a designated county official.
During the opening:
- Each bid should be announced publicly, including the bidder name and price.
- All attendees must have the opportunity to observe the process.
Documentation
The county should create an official record of the bid opening, including:
- List of bidders
- Bid amounts
- Date and time of opening
- Names of officials conducting the opening
This documentation helps ensure transparency and protects the county in case of bid protests.
Step 4: Bid Evaluation
Following the bid opening, the county must evaluate bids to determine the lowest and best bidder.
Evaluation Considerations
If the solicitation states that the award will be made strictly on price, the contract should go to the lowest responsible bidder.
However, counties may also consider additional evaluation factors if disclosed in the solicitation, such as:
- Delivery schedule and reliability
- Supplier storage capacity
- Salt quality specifications
- Vendor experience and past performance
- Ability to meet emergency demand
Evaluation Process
The evaluation may be conducted by:
- The County Judge/Executive
- A designated evaluation committee, or
- Appropriate county staff (such as road department leadership)
If the contract is awarded to a bidder other than the lowest price bidder, the county should prepare a written justification explaining why the selected bid represents the best value.
View a sample contract here.
This documentation can help defend the award if challenged.
Step 5: Fiscal Court Approval and Contract Execution
All contracts must receive formal approval from the Fiscal Court before execution.
Approval Process
- Staff or the evaluation committee presents the recommendation for award.
- The Fiscal Court votes to approve the contract award.
- The contract should be reviewed by the County Attorney for legal compliance.
Contract Execution
After approval:
- The County Judge/Executive signs the contract on behalf of the county.
- The county should maintain a complete procurement file, including:
- Advertisement
- Bid documents
- Bid opening record
- Evaluation documentation
- Fiscal court approval
- Final executed contract
Maintaining this documentation is important for audit purposes and public transparency.
