State Agencies are required to purchase through DIR (TGC 2157.068), however, certain purchases may be exempt depending on the purchase and the program area the purchase would be made under (Cooperative Contracts, Communications Technology Services (CTS), or Shared Technology Services (STS)).
What is an exemption request?
An exemption request is a waiver for a state agency to purchase IT hardware/software and other technology services through an alternative channel other than DIR.
Filing an exemption request must be approved by DIR before the exemption is granted. Reminder - Start with DIR to file your exemption before starting your procurement process.
As a rule of thumb, these conditions do not qualify for exemptions:
- Existing Procurement that has already been executed (i.e. Exemption should not be filed after purchase)
- Hardware/software/technology Service that is currently offered through a DIR contract
- Product is valued at lower than $5,000 or exceeds $5 million
Reasons for Filing Exemption Request
Generally, reasons for filing an exemption request are because the product or service:
- Cannot be found on a DIR contract, or
- Does not meet the needs of the agency, or
- Is not compatible with the existing technology infrastructure of the agency.
Learn more about the types of exemption requests for State Agencies below.
Note: The Cooperative Contracts and Data Center Services programs are governed by separate government code, and therefore have unique exemption requirements. Agencies within the DCS program are required to have approved DCS exemptions in addition to any exemptions that may be needed or may have already been approved through the DIR Cooperative Contracts program.
Submitting Exemption requests for DIR approval depends on the type of request. Review the exemption types below based on your purchase request and whether an exemption request is required to be submitted.
Learn more about types of Exemption Requests
State Agencies must adhere to processes depending on the purchase type. Please review the cards below to learn more about each Exemption type.