Kentucky

Plain-language summary

Kentucky's cooperative purchasing authority sits in KRS Chapter 45A, the Kentucky Model Procurement Code, at §45A.300. The statutory text is broad and explicit: any public purchasing unit may participate in, sponsor, conduct, or administer a cooperative purchasing agreement for the acquisition of supplies, services, or construction. The authority extends to agreements with other public purchasing units in Kentucky as well as 'foreign purchasing activities' — meaning out-of-state public agencies and federal agencies. 'Cooperative purchasing' is defined in KRS §45A.295 as purchasing conducted by or on behalf of more than one public purchasing unit, or by a public purchasing unit with a foreign purchasing activity. The Model Procurement Code is based on the American Bar Association's Model Procurement Code framework, which is widely regarded as one of the more permissive structural approaches to cooperative purchasing. Kentucky's statute does not impose Tennessee-style out-of-state exclusions, Virginia-style construction prohibitions, or Nevada-style licensing carve-outs.

Key requirements

• →The participating entity must qualify as a 'public purchasing unit' as defined in KRS §45A.295.
• →The cooperative purchasing must occur pursuant to a formal agreement between the participants.
• →Out-of-state participation: a Kentucky public purchasing unit may enter into cooperative purchasing with a 'foreign purchasing activity' (defined to include out-of-state public agencies and federal agencies).
• →The statute explicitly names 'supplies, services, or construction' — construction is named as a permitted category.
• →Use of payments and compliance with procurement code requirements is governed by KRS §45A.310.
• →Local public agencies that have adopted the Kentucky Model Procurement Code (under KRS §45A.343) are subject to the same cooperative purchasing framework.

Construction services

Kentucky is among the most construction-friendly states for cooperative purchasing. KRS §45A.300 explicitly authorizes cooperative purchasing agreements for 'supplies, services, or construction' — placing Kentucky alongside Texas, Louisiana, South Carolina, and other states that name construction directly in the statutory text. The authority extends to foreign purchasing activities, including out-of-state public agencies and federal agencies, allowing Kentucky public purchasing units to participate in national cooperative purchasing programs administered by organizations like OMNIA Partners or Region 14 ESC Texas. As with any cooperative procurement, public agencies should verify with counsel that the specific cooperative contract was originally awarded through a competitive process appropriate for the construction services being procured, and confirm compliance with any local ordinances, charter provisions, or agency-specific procurement requirements that may apply.