State and Local Government Procurement

Overview

State and local governments represent one of the largest and most diverse public sector marketplaces in the United States, purchasing trillions of dollars in goods, services, and infrastructure through thousands of independent procurement organizations. Unlike the federal government, each state and local entity operates under its own procurement laws, policies, and purchasing procedures, making it essential for suppliers to understand the unique requirements of each jurisdiction.

The resources featured in this website provide access to state procurement portals, cooperative purchasing organizations,  procurement associations, market research tools, and educational materials that will help you identify opportunities, understand purchasing practices, connect with government buyers, and develop effective market-entry strategies. These resources will help domestic and international companies better understand and navigate the complexities of the U.S. state and local government marketplace and compete more effectively for public sector contracts.  

Explore State Markets

The interactive map below provides guidance on how individual state procurement systems work, where to register, which contract vehicles are available, how to find contract opportunities, and what suppliers should know before entering this market. The individual state pages address fundamental questions and provides insights to important topics including  a State Overview, Market Size, State Procurement Website, Vendor Guide and Registration link, Statewide Contracts available, State Specific Procurement Programs, and links to other important programs within that state.   Please note that the 20 largest US states provides access to nearly 90% of the U.S. population.  

Cooperative Procurement

It is estimated that more than $65 billion in government purchases are made annually through cooperative purchasing organizations in the United States, enabling suppliers with a single competitively awarded contract to market to tens of thousands of state agencies, counties, cities, school districts, and other public entities.   Cooperative public procurement allows one public agency—or a cooperative organization acting on behalf of many agencies—to competitively solicit and award a contract that can subsequently be used by other eligible public entities.  

The benefits are substantial:

  • Government agencies save time and administrative costs by avoiding repetitive procurements.
  • Suppliers gain access to a much larger customer base through a single competitively awarded contract.
  • Taxpayers benefit from lower pricing achieved through aggregated purchasing volume.
  • Public procurement remains compliant because contracts are awarded through full and open competitive processes consistent with applicable procurement laws. 

Today, thousands of U.S. state agencies, counties, municipalities, school districts, universities, and special districts routinely purchase through cooperative contracts.   For companies looking to enter the U.S. public sector, cooperative purchasing is one of the fastest and most effective paths to market. Rather than responding to hundreds of individual solicitations from states, counties, cities, schools, and other public entities, a supplier can compete for a cooperative contract that is then made available to thousands of eligible government buyers nationwide.  

 

Although dozens of regional and specialty cooperatives exist, three organizations dominate the national cooperative purchasing landscape; NASPO ValuePoint, Sourcewell, and Omnia Partners.  All are quality organizations and serve the market in slightly different ways.  Below are links to their organizations and contract offerings. 

NASPO ValuePoint

Started in 1992, NASPO ValuePoint is the cooperative purchasing division of the National Association of State Procurement Officials (NASPO), facilitating cooperative public procurement solicitations using the NASPO ValuePoint Lead State Model®.    NASPO aggregates the demand of all 50 states, the District of Columbia, the US territories, their political subdivisions, and other eligible entities, spurring best value, innovation, and competition in the marketplace. NASPO ValuePoint delivers high-value, reliable, and competitively sourced cooperative contracts – offering public entities outstanding prices, favorable terms and conditions, and value-added services.

What distinguishes NASPO ValuePoint is its Lead State Model™:

  • A multi-state sourcing team develops specifications and evaluates proposals. Because of the input given by many states ValuePoint contracts tend to be highly developed.
  • One state conducts the competitive solicitation under it’s state procurement statutes.
  • Master Agreements are awarded and states are then able to participate through state-specific Participating Addenda which are negotiated with the awarded suppliers.
  • Political subdivisions such as counties, cities, and schools may also participate where authorized by state law. 

Explore ValuePoint portfolios here. In addition, ValuePoint posts their open, upcoming, and in progress portfolios on their website shown here. 

Sourcewell is a service cooperative created by the Minnesota legislature as a local unit of government (Minn. Const. art. XII, sec. 3). Sourcewell is governed by local elected municipal officials and school board members. Minn. Stat. § 123A.21 Subd. 4 (2017). As a public agency, all Sourcewell employees are government employees.  Sourcewell is not governed by state procurement directors. Instead, it independently conducts national solicitations that participating agencies may use.  Sourcewell has become especially popular with:

  • Local governments
  • School districts
  • Public safety organizations
  • Public works departments
  • Transit agencies

Sourcewell portfolios includes thousands of participating government entities purchasing products ranging from construction equipment and fire apparatus to software, fleet vehicles, office equipment, playgrounds, and furniture. Explore their portfolios here. 

OMNIA Partners is the largest commercial cooperative purchasing organization serving the public sector.   OMNIA Partners operates as a private company that manages competitively solicited contracts awarded by lead public agencies.  Their contracts are available to:

  • State governments
  • Counties
  • Cities
  • School districts
  • Colleges and universities
  • Special districts
  • Nonprofit organizations

Explore their contract offerings here.