Indiana

Plain-language summary

Indiana's procurement framework is structurally split between supplies/services and construction. The Public Purchasing chapter (IC 5-22) governs purchases of supplies and services by governmental bodies. Within IC 5-22, section 5-22-4-7 specifically addresses cooperative purchasing: 'A governmental body may enter into an agreement with other governmental bodies under IC 36-1-7 to form a cooperative purchasing organization.' Cooperative purchasing organizations are the purchasing agency for participating governmental bodies. Public Works — defined at IC 36-1-12-2 as 'the construction, reconstruction, alteration, or renovation of a public building, airport facility, or other structure that is paid for out of a public fund or out of a special assessment' — is governed by IC 36-1-12 as a separate chapter with its own competitive bidding requirements. The Interlocal Cooperation Law (IC 36-1-7) is the broader cooperation framework. It applies to the state, all political subdivisions, state agencies, public instrumentalities, and political subdivisions of states other than Indiana 'to the extent authorized by laws of the other states.' Importantly, IC 36-1-7 includes specific provisions for cooperation on certain construction-related activities including 'highway construction' — confirming that construction-related interlocal cooperation is contemplated, just through IC 36-1-7 rather than IC 5-22.

Key requirements

• →IC 5-22 (Public Purchasing) applies to supplies and services purchases by governmental bodies — construction is governed separately.
• →IC 5-22-4-7: cooperative purchasing organizations are formed under IC 36-1-7.
• →IC 36-1-12 (Public Works) governs construction, reconstruction, alteration, or renovation of public buildings, airport facilities, highways, streets, bridges, sewers, and other improvements.
• →Public works contracts under IC 36-1-12 have their own competitive bidding requirements separate from IC 5-22.
• →IC 36-1-7 (Interlocal Cooperation Law) applies to the state, all political subdivisions, state agencies, public instrumentalities, and political subdivisions of other states (to the extent authorized by those states' laws), and federal agencies.
• →IC 36-1-7-2(b) permits two or more governmental entities to procure together or with a nonprofit entity if the requirements of the public purchasing statutes are met.
• →IC 36-1-7 includes specific interlocal cooperation provisions for highway construction, firefighting personnel, economic development, and other functions.
• →Indiana public works construction projects must comply with applicable bonding, prevailing wage, and competitive bidding statutes under IC 36-1-12.

Construction services

Indiana's procurement framework deliberately separates public purchasing (IC 5-22) from public works construction (IC 36-1-12). The cooperative purchasing authority at IC 5-22-4-7 operates within the IC 5-22 framework and is naturally oriented to supplies and services rather than construction. Public works projects are governed by the separate IC 36-1-12 chapter with its own competitive bidding requirements. The Interlocal Cooperation Law (IC 36-1-7) provides broader cooperation authority that includes specific provisions for highway construction and other construction-related activities — making IC 36-1-7 the workable pathway for cooperative construction arrangements in Indiana. National cooperatives like OMNIA Partners and Region 14 ESC Texas can be utilized by Indiana governmental bodies through interlocal agreement structures under IC 36-1-7, but participating Indiana entities should engage counsel to verify the specific arrangement satisfies both the interlocal agreement framework AND Indiana's public works competitive bidding statutes under IC 36-1-12.