Current through Register Vol. 48, No. 38, September 20, 2024
a) When
making a small purchase, the university shall ensure maximum reasonable
competition and promote small businesses, diversity, transparency and other
statutory policies. For all small purchases of $20,000 or more, quotes must be
sought from at least three vendors whenever practical, be in writing, and be
maintained in the procurement file.
b) Small Purchase Threshold
1) Individual procurements of $100,000 or
less for supplies or services, other than professional and artistic, may be
made without the notice or level of competition otherwise required of
competitive sealed solicitations.
2) Procurements for construction and
construction-related services of $100,000 or less may be made without the
notice or level of competition otherwise required of competitive sealed
solicitations.
3) Procurements of
$100,000 or less for professional and artistic services and that have a
nonrenewable term of one year or less may be made without the prior notice or
level of competition otherwise required of competitive sealed solicitations.
Notice of award of these small professional and artistic service contracts must
be published in the Bulletin within 14 days after contract execution, and shall
include the name of the SPO, reason for the exception, description of the
procurement, name of the university decision maker, contract reference number
and contract price.
c)
Determination and Application of CPI
1) Each
April the CPO-HE will determine the CPI adjustment to the small purchase
thresholds applicable to the next fiscal year.
2) If the CPI is greater than zero, the
thresholds identified in Section 20-20(a) of the Code will be reduced in an
amount that, with the CPI increase, would result in the small purchase
thresholds remaining as stated in subsection (b).
3) By July 1, 2019 and every five years
thereafter, the CPO-HE will review the small purchase thresholds to determine
if a modification to the thresholds is needed. If a modification is needed, the
CPO-HE shall consult with the Procurement Policy Board.
d) Determination of Small Purchase Status
1) In determining whether a contract is under
the small purchase limit, the stated value of the supplies or services, plus
any optional supplies and services, and the value of any renewals, determined
in good faith, shall be utilized. Trade-in value is not to be considered in
determining whether a contract is under the small purchase limit. When the
value is calculated month-to-month or in a similar fashion, the amount shall be
calculated for a 12 month period.
2) If only a unit price or hourly rate is
known, the contract shall be considered small and shall have a not-to-exceed
limit applicable to the type of procurement (see subsection (a)).
3) If, after signing the contract, the actual
cost of completing the contract is determined to exceed the small purchase
amount, and the SPO determines that a supplemental procurement is not
economically feasible or practicable because of the immediacy of the agency's
needs or other circumstances, the SPO shall follow the procedures for sole
source or emergency procurement, whichever is applicable, to complete the
contract.
e) Purchases
shall not be artificially divided so as to avoid a competitive
procurement.
f) Repetitive Need
If there is a repetitive need for small procurements of the
same type (which may be evidenced by a pattern of small purchases, as
determined by the university or the SPO), the university shall consult with the
SPO to consider whether issuing a competitive sealed bid or proposal for
procurement of those needs is in the best interests of the
State.
