Legal Authority

  • Minnesota Statute §123A.2 is the enabling legislation of the service cooperatives.  It defines that the service cooperative role is to provide programs and services that meet the needs of members.  Cooperative purchasing is one of those programs.  Membership is open to schools, cities, counties, governmental agencies, non-profit organizations and other partnership agencies.
    Minnesota Statute §471.345 Subdivision 15 defines how our members can purchase from the contracted vendors while staying in compliance with the competitive bidding requirements.  This statute states:
    “A Municipality may contract for the purchase of supplies, materials, or equipment without regard to the competitive bidding requirements of this section if the purchase is through a national municipal association’s purchasing alliance or cooperative created by a joint powers agreement that purchases items from more than one source on the basis of competitive bids or competitive quotation.”

    The combination of these two statutes gives service cooperative members the ability to purchase from our contracted vendors while staying in compliance with the Minnesota competitive bidding requirements.