Printing, Design and Mailing Services
REG 07.45.4
Purchasing Department
Authority: Vice Chancellor for Finance and Business
History: First Issued: August 30, 2001.
Contact Info: Purchasing Director (919-515-2171)
1. Purpose
This rule addresses policies and procedures for the procurement of, 1) design
services, 2) printing services, and 3) mailing services.
2. Procedures
2.1. As per the Division of Purchase and Contract Purchasing Manual, "Competition
is the cornerstone around which public contracting is built. In its best
form, it is a mirror of a free and open economy. North Carolina's purchasing
program is built on the principle of competitive bidding. Where it is not
sought, or obtained, the reason must be valid and must be documented."
This statement best describes the reason for the addition of this section
to the Administrative Manual. There are few areas within the procurement
process that generate as many questions as design and printing services.
2.2. Writing and design services. There are no state contracts for writing
and design services. Competition is to be sought whenever possible, and
the process is administered by Purchasing. However, acknowledging the difficulty
associated with the bidding of these services, a department is permitted
to recommend a justifiable single source. Each single source recommendation
is evaluated based on merit. Departments are encouraged to work with vendors
to insure that the selection process works satisfactorily. Discussion between
the vendor and the department is expected to cover areas of content, format,
scheduling, pricing, and any other issues pertinent to the needs of the
department. When the department nears the end of this process and is ready
to formalize the decision, Purchasing is to be notified and will send the
vendor a Request for Proposal (RFP). Work is not to begin until a purchase
request has been submitted and approved by Purchasing, and the purchase
order has been issued. When any procedure in this process is knowingly violated,
the individual may be held responsible for all incurred financial obligations
and legal liabilities, and may face disciplinary action. Writing and
design services are considered to be contractual services. When the cost
remains below $250,000, the purchase requisition is processed and approved
by NCSU Purchasing. Purchase requisitions are forwarded to the Division
of Purchase and Contract for review and approval when the purchase is projected
to exceed $250,000, and extra time should be built into the schedule to
accommodate this process. Under no circumstances is a designer allowed to
subcontract the printing portion of a project. The printing portion must
be bid separate from the design.
2.3. Mailing services are administrated by University Mail Services
through a convenience contract negotiated by the State. All unsorted
first and third class mail is sent through University Mail Services to the
contract vendor. Presorted mail, in which the mail is already prepared
(sorted, tied or trayed, bagged, and labeled) according to USPS requirements,
is excluded. Also excluded are mailings performed off-campus as part of
a competitively bid printing/mailing project.
2.4. Printing services. There are no state contracts for printing services.
All printing and related services (die-cutting, foil stamping, prepress,
sewing, binding, etc.) exceeding $5000 to non-state printers must use the
competitive bidding process as administered by Purchasing. Departments may
use the Voucher Process up to $5000. All expenditures exceeding $250,000
are required to go to the State Division of Purchase and Contract for competitive
bidding or review of sole/single source requests. University Graphics may
be utilized for all printing needs, regardless of dollar amount, and no
restrictions apply when using Graphics.
2.5. Purchase of printed materials. The purchase of already printed
material, copyrighted and/or published by others (newspapers, magazines,
books, pamphlets, maps, charts, etc.) is not part of these printing procedures.
Departments should use normal purchasing procedures for these commodities.
2.6. Credit for work performed. Acknowledging and/or endorsing any design
or printing work that is performed by private enterprise is not allowed
on any state publication. Credit may only be given to other state agencies.
2.7. University Graphics is the University's in-house supplier of printing
and photocopying services. Graphics provides a wide range of graphic arts
services including high quality four-color printing. Departments are encouraged
to deal directly with Graphics. When dealing with Graphics please use a
Service Unit Billing. The Purchase Requisition/Purchase Order process
is not used. Among the other benefits, departments may legitimately
bypass the competitive bidding process when dealing with Graphics. There
is no dollar limitation or review process when a department uses Graphics,
as long as the work is performed by Graphics. All subcontracting of work
performed by Graphics is subject to review by Purchasing. Payment of sales
tax is also avoided when using Graphics.
2.8. State of North Carolina Correction Enterprises also provides printing
and photocopying services. For information on the services available
please contact the State Printing Office, a part of the Division of Purchase
and Contract, at 733-5194. Campus departments may deal directly with Correction
Enterprises and, as with Graphics, there is no dollar limitation or required
review process.
2.9. Completion of the Purchase Request - Purchasing will not work on
the Purchase Requisition (Peoplesoft) or the bid process until the completed
Purchase Requisition has been approved at the department and college levels,
and arrives in Purchasing. This procedure insures that the printing
request is legitimate and that the department intends to proceed. In addition, the completed requisition is the key reference point in the
Peoplesoft system for all correspondence, quotes, etc.
2.10. Completion of the Purchase Order - Authorization for work is not
to be given until the Purchase Order is complete. When this procedure
is knowingly violated, the individual may be held responsible for all incurred
financial obligations and legal liabilities, and may also face disciplinary
action.
2.11. Competitive Bidding Process. This process is used for all proposed
purchases, exceeding $5000, to a non-state vendor. Departments may use the
Voucher process up to $5000. All expenditures exceeding $250,000 are required
to go to the State Division of Purchase and Contract for competitive bidding
or review of sole/single source requests.
An alternative to the competitive bidding process is to use either University
Graphics or Correction Enterprises. Both are exempt from the competitive
bidding process because they are state agencies. Departments are encouraged
to work directly with Graphics. Departments will find that Graphics is much
easier to use than the bidding process. Negotiation on pricing is permitted
(and encouraged) between the department and Graphics. The requisition process
is not used when dealing with Graphics. Additional money is saved
when using Graphics because sales tax is not charged.
In many cases a department may ask Graphics to quote on a job, yet still
wants the job to go out on competitive bid. Though both Graphics and
Correction Enterprises are prohibited from participating in the competitive
bidding process with private enterprise, the following procedures enable
a department to legitimately receive prices from Graphics while also competitively
bidding the job.
2.11.1. For purchases UNDER $250,000 departments may obtain pricing directly
from Graphics. A completed purchase requisition is also required,
which NCSU Purchasing will use for conducting the competitive bidding
process with non-state vendors. The department must make the decision
to use Graphics prior to the bid opening. Once the bids are opened Graphics
is disqualified from consideration.
2.11.2. All competitive bidding for purchases OVER $250,000 is done by the State
Division of Purchase and Contract. A department may obtain pricing
directly from Graphics. However, because of the fact that the State
is involved in the bidding process, a department must make the decision
to use Graphics before the purchase requisition is sent downtown for competitive
bidding. The rule of thumb is that Graphic's prices may never be
compared to competitively bid prices. A department may seek informal pricing
from vendors and may use these prices for an informal comparison to Graphics,
but informal communications must be concluded before the purchase requisition
is approved and sent to NCSU Purchasing. Informal pricing cannot be used
for making commitments. The department has up until the deadlines discussed
above in 1.) and 2.) to decide whether or not to use Graphics, but the
decision must be made prior to these deadlines. Once the decision
is made to use Graphics the competitive bidding process is halted.
2.12. Lead Times - This is one of the most difficult areas of printing
to work with. One of the most often heard pleas from departments is that
there isn't enough time to go through the quoting/bidding process for printing.
It's needed immediately! There are provisions for accommodating true emergencies;
however, these should be few and far between. The following lead times are
provided to assist in the planning of printing jobs:
2.12.1. NCSU purchasing needs three to five working days to process a printing
request. This time begins after the approved requisition and complete
specifications are received in Purchasing.
2.12.2. If NCSU Purchasing does the competitive bidding (up to $250,000) the
bid document must remain open for vendor response for fourteen (14) calendar
days. Once the bid responses are opened the user will evaluate the
quote packages and make a recommendation for award. Onto this the
production time must be added.
2.12.3. If a printing purchase requisition must go downtown to State Purchase
and Contract for competitive bidding (over $250,000) it will take an AVERAGE
of 42 calendar days (estimated by P&C) from the time our request is
delivered to P&C until the purchase order is issued to the vendor. Onto this the actual production time by the printer must be added.
HOW TO MINIMIZE DELAYS DUE TO LEAD TIMES. The most effective method
for working around lead times and the delays that may arise is to start
the competitive bidding process as soon as possible. The biggest obstacle
to this is that the department often has not yet "nailed down"
the specs. The best way to work through this is by writing specifications
that enable the printer to quote accurately on a number of options.
When the specifications are finalized by the department it becomes a simple
matter of selecting the quoted options that fit. As an example, a
department may know that the publication will be between twenty and twenty-six
pages. The bid specs can ask for incremental pricing from twenty to
twenty-six pages. If there will be approximately fifteen half-tones the
specifications can ask for a cost per item. If the paper stock has
not been decided the printer can be asked to quote on a number of paper
stocks. Please remember that quoting on options is more work for the
printer, and should not be asked for unless there is no other alternative. However, using this method allows the department to begin the bidding process
much sooner.
2.13. Paid advertising. Whenever paid advertising appears in a University
publication the publication becomes exempt from the requirements of the
Administrative Code and the Division of Purchase and Contract. However,
good purchasing procedures should still be followed and the purchase is
still guided by the University's purchasing program.
2.14. Specifications. Departments should avoid requesting unnecessary
technical processes in preparing printing and publication specifications.
These include embossing, die cuts, bleeds, foil stamping, varnishes, metallic
ink, traps, screens, UV coating, special order paper stocks, odd sizes,
and many others. The use of these must be shown as necessary for printed
material to fulfill its purpose better or more completely than if not used.
Less complex jobs such as forms, letterhead, single-page newsletters, envelopes,
etc. usually do not require extensive specifications if a sample is furnished.
However, more complex jobs and all those that are to be purchased on the
open market require complete specifications either on the requisition or
as a separate attachment. These specifications should include:
2.14.1. ITEM (what is it... form, brochure, book, etc.; what is its title)
2.14.2. QUANTITY (how many do you want, will you pay for overruns...if
so, what percentage will be accepted and paid for)
2.14.3. SIZE (how big is it...number of pages, finished page size, number
of parts to the form, etc.)
2.14.4. CONSTRUCTION (how is it made... folds, binding, perforations,
etc.)
2.14.5. COPY (what is in the item...text, photos, line drawing, etc.;
how is it to be given to the printer...manuscript, camera-ready copy,
boards, photos, negatives, slides, disks...size/language/format etc.)
If the piece will be presented to the printer in the form of a disk, indicate
whether its origins are Mac or PC-based and the name and version of software
used to create the piece.
2.14.6. PRINTING (what should item look like...number of ink colors,
halftones, separations, bleeds, screens, foil stamping, embossing, tight
registration, varnish, etc.)
2.14.7. PROOFS ( what kind do you want to see...page, blueline, composite,
progressive color, color key, etc...remember, when a department signs
off on a proof, the printer is responsible for delivering the quality
equal to that agreed on - no more or no less.
2.14.8. STOCK (what surface is the ink to be put on...kind/grade of text
and cover, vinyl, cardboard, etc.)
2.14.9. SAMPLES (an ample number of the previous job should be included
with the bids, if applicable; what kind of samples, if any, do you want
to see from the bidders).
2.14.10. PACKAGING (how should the item be packaged when you receive it;
any unusual or special packaging instructions).
2.14.11. SPECIAL INSTRUCTIONS (be very specific about any special or unusual
thing that is needed).
2.14.12. DELIVERY (when will the project be ready to give to the printer;
when would you like to have the item; when must you have the item; where
should the item be delivered; is there anything special or unusual about
deliveries...inside delivery, drop ship, split delivery, etc.).
2.14.13. PROPOSAL (is there anything special or unusual about how you
wish to receive prices...various quantities, various printing options,
etc.).
If any special requirements exist they should be stated on an attachment
to your requisition. The more information that can be given in a bid, the
more likelihood that the department will be satisfied with the finished
product. Departments shall be held responsible for being on time with
needed materials and the return of proofs. Late delivery of these
items normally relieves the printer of delivery commitments.
2.15. Four-color process printing. Reference: G.S.
143-169 Four- color printing is the process normally used to reproduce
color photographs as they appear to the human eye. Public funds are
not intended to provide deluxe or luxurious levels of quality. As
general policy, specifications should be developed toward buying good quality,
standard grades of printing. Since the use of four-color printing
significantly increases the cost of printed materials, it should not be
used unless there is a valid reason. That it makes a printed piece look
better is not a valid justification for the additional cost. Some valid
justifications are color printing that:
2.15.1. is produced for departments with specific authority to advertise or
promote tourism, industrial, agricultural, and business development, or
other programs intended to increase State revenues.
2.15.2. is designated for specified audiences outside of government and intended
to yield significant benefits to the State.
2.15.3. is produced for use in a competitive environment and as such may require
multiple colors and other special features. For example, a publication
the Department of Commerce produced to attract out-of-state businesses
to locate in North Carolina would qualify as a promotional publication. A department's annual report, or other reports, even if provided to non-governmental
audiences, are not promotional publications.
2.15.4. is produced to encourage non-government participation in conferences,
seminars, meetings, etc., where the cost of such multi-color printing
will be recouped from registration or attendance fees or other non-tax
funded sources.
2.15.5. is produced specifically for the Governor, Cabinet Secretaries
or Council of State members and intended to reflect the status of these
offices.
2.15.6. contains scientific illustrations which would be unintelligible if published
in black and white.
All requests for four color process printing must meet one or more of the
criteria above and must be accompanied by a letter of justification approved
at the department and college level. Each request must be approved by the
State Printer in the Division
of Purchase and Contract before work begins on the job. These
guidelines apply whether using University Graphics, Correction Enterprises,
or any commercial printer. University Purchasing will submit the request
for approval to Purchase and Contract.
It is the intent of the State to produce as much printing as possible on
contract recycled paper in black ink and printed front and back. There
must be a significant reason to deviate from this standard.
2.16. Paper Stocks Reference G.S.
143-58, 143-169, 130A-309.14, Executive Order No. 8, signed April 1993.
It is the policy of the State to encourage and promote the purchase of products
with recycled content. The University shall, to the extent economically
practical, require the purchase and use of products with recycled content.
The Department of
Administration has developed a benchmark or model for reports published
by The University of North Carolina system. This model report satisfies
the following:
2.16.1. The paper in the report shall, to the extent economically practical,
be made from recycled paper and shall be capable of being recycled.
2.16.2. The other constituent elements of the report shall, to the extent economically
practical, be made from recycled products and shall be capable of being
recycled or reused.
2.16.3. The report shall, to the extent practical, be printed on both sides
of the paper.
The Department of Administration has determined that the model report
shall be printed front and back on 20 pound white recycled paper using
black ink, and if a cover is required, with a 65 pound recycled card stock
cover, and if binding is required, with one or two staples.
It is the intent of the Division of Purchase and Contract, in response
to legislative and executive direction, to promote the procurement of
and the use of printed materials on recycled stocks that are printed as
simply and economically as possible.
2.17. Statement of Recycled Paper Required on Public Documents. Whenever a public document that is published by the University is printed
on recycled paper, the document shall contain a printed statement or symbol
indicating that the document was printed on recycled paper.
2.18. Cost Statement Requirements for Printing. G.S. 143-170.1(a)
states that every agency publishing a public document, other than one published
for the principal purpose of sale to the public, shall cause the following
statement to be printed adjacent to the identification of the agency responsible
for the publication. For purposes of the cost statement, a public
document is generally designed to be distributed to non-state employees.
The wording on the statement should be:
(Number of copies) copies of this public document were printed at a cost
of $XXX.XX or $XXX per copy.
The cost of a publication includes:
2.18.1. Identifiable design cost. This is the cost charged to the department
for design service, but should not include the cost of a department's
internal staff time and effort.
2.18.2. Printing. Total cost of production, to include prepress, printing, binding,
shipping, and all materials.
The cost statement is required regardless of who does the printing. When supplying camera ready copies to a printer the accrued cumulative cost
must be presented to the printer so that it may be calculated into the cost
statement.
2.19. Copyright clearance. Copyrighted materials, whether printed or
non-printed, may not be duplicated without first receiving permission from
the copyright holders, including the publisher and author. Guidelines
for copying and distribution of copyrighted materials are:
Any University employee using any type of service to reprint, copy, or
reproduce all or part of copyrighted materials is responsible for supplying
accurate source documentation (title, author, publisher, edition, and authorization)
to the organization performing the reprint service at the time the order
is placed. Any University employee responsible for unauthorized work may
be held accountable for the cost of the work and any resulting liability. Unauthorized work includes reproduction without permission of the author
or publisher, and failure to pay royalty fees.
Employees are prohibited from receiving incentives of any kind from the
company performing the copying. It is acceptable, however, for an
employee to receive a complimentary copy of unauthored work, and to benefit
from copying his/her own authored work.
Exclusion of a copyright statement in the original work does not mean that
a publication is not copyrighted. Rather, assume that all work is copyrighted.
If a publication is viewed to be in the public domain please provide the
proper documentation prior to copying. "Fair use" provisions in
copyright laws cannot be assumed to apply to NCSU. It is the employee's
responsibility to insure that proper copying permission has been documented.
To secure copyright permission, a request to copy material should be sent
to the Permissions Department of the publisher or copyright holder. Include
a SASE. The request should contain:
2.19.1. Title, author, and/or editor, and edition.
2.19.2. Material to be used, including page numbers and photocopy of materials,
if possible.
2.19.3. Number of copies to be made.
2.19.4. How material is to be used.
2.19.5. How material will be distributed.
2.19.6. Method used to reprint (photocopy, printing).
2.19.7. If material is to be sold.
The user has the option of asking the copying service to obtain copyright
permission, however it remains the responsibility of the user to insure
that permission is obtained. Permission to duplicate is not always
granted, and may take weeks to receive. If the initial copy amount
requested is not enough, the user is required to request and receive approval
for additional copies.
2.20. Course packs should be treated as textbooks for the purpose of "adoption" with the NCSU Bookstores. The employee responsible
for the copying should be treated as a publisher for purposes of the adoption
listing. In accordance with University procedures, course packs should
be sold through the University Bookstores. The cost of course packs
will reflect any royalties required by the author/publisher, the cost of
production, and the cost of handling by the bookstore.
