PURCHASING POLICIES AND PROCEDURES

Item #02-04-

2

Information

March 25, 2004

P

URCHASING

P

OLICIES AND

P

ROCEDURES

ISSUE:

Update and documentation of SACOG’s purchasing policies and procedures.

RECOMMENDATION:

This item is for your review and discussion only.

DISCUSSION:

Staff has been reviewing

SACOG’s internal purchasing policies and procedures,

and at the recommendation of our auditors, has begun the process of creating a more formal

statement of our practices.

Attached is a first draft of “Purchasing and Procurement of Goods and Services.” It is being

circulated among key staff members for comments and revisions. This draft is provided for your

review and discussion, and to provide input to SACOG.

Staff intends to bring these policies back for final approval at the May 2004 meeting.

Approved by:

M

ARTIN

T

UTTLE

E

XECUTIVE

D

IRECTOR

MT:JMM:rt

Attachment

PURCHASING & PROCUREMENT OF GOODS AND SERVICES

This memorandum establishes the policy and procedures for procuring goods and services for the Sacramento Area Council of Governments.

This memorandum does not apply to procurement of the following goods and services:

· Various Employee Expenses including business travel (airfare, food, transportation costs, parking), staff training classes and seminars, professional memberships, employee computer purchase program.

· Utility costs (water, sewer, electric, phones, garbage), postage,

· Other goods and services that cannot be procured competitively including transit tickets, temporary services, MOU’s by SACOG with other governmental agencies, and certain pass-through/Contract arrangements.

Code of Conduct

It is the policy of SACOG that goods and services shall he acquired through a procurement process that

provides full and open competition to the maximum extent feasible, consistent with applicable federal and state statutes and regulations, and that such procurements shall be consolidated, whenever possible, to ensure efficient use of SACOG staff resources.

Nondiscrimination in the Procurement Process

No Board member, officer, employee or agent of SACOG shall, on the grounds of race, color, creed, national origin, sex or age, discriminate or permit discrimination against any person or group of persons in connection with the procurement of goods and services.

Disadvantaged Business Enterprise (DBE) Policy

It is the policy of SACOG and its contractors to take all reasonable steps to ensure that disadvantaged business enterprises (DBEs) have the maximum opportunity to compete for SACOG contracting opportunities

Conflict of Interest

No Board member, officer, employee or agent of SACOG shall participate in the selection, award or administration of a contract (including purchase orders) if a conflict of interest, real or apparent, would be involved. Such a conflict would arise if any’ of the following has a financial or other interest in the prospective vendor or contractor (or any subcontractors) considered for award:

The employee, officer or agent or any member of his or her immediate family, His or her domestic or business partner or an organization that employs any of the above, or with which any of them has an arrangement concerning prospective employment.

Financial interest

No Board member, officers, employees or agents of SACOG may have a financial interest in any contract made or influenced by them in their official capacity or, in the case of Board Members, while they are members. Gratuities

No Commissioners, officers, employees or agents of SACOG shall solicit or accept gratuities, favors, or anything of monetary value from consultants, vendors, contractors or potential consultants, vendors, or contractors or parties to sub-agreements, excluding nominal gifts with a value of less than $50.

Organizational Conflict of Interest

It is SACOG's policy not to award contracts to contractors and vendors when there is an organizational conflict of interest. An organizational conflict of interest exists when a contractor or vendor, because of other activities, relationships, or contracts, is unable or potentially unable to provide impartial goods or services to SACOG, and the contractor’s or vendor’s objectivity in performing the contract work is or might be otherwise impaired or a contractor or vendor has an unfair competitive advantage. Violations of the above standards may result in sanctions.

Any questions regarding a potential conflict of interest should be referred to the SACOG’s general Counsel for advice and consultation.

RESPONSIBILITIES:

The Deputy Executive Director of Administration and Public Affairs is responsible for administration of this policy. S/he may delegate responsibility for implementation of this policy to staff members as consistent with various provisions of this policy.

Departmental Managers are responsible for:

1. Ensuring that the procurement procedures as outlined below are followed, for approving or recommending approval of the procurement of goods and services necessary to accomplish the work of the respective department,

2. Reviewing proposed procurements to avoid purchase of unnecessary or duplicative items,

3. Ensuring the goods and services procured are within current approved budget, and if not, obtaining necessary approval through appropriate channels.

Department Managers may delegate implementation of the procurement procedures to the project manager initiating the procurement. Same responsibilities (above) would also apply to Project Managers.

The Accounting Department is responsible for reconciling requisitions and purchase orders with invoices, entering material commitments into the accounting system, and ensuring that purchases are correctly posted and reported.

Expenditure Authorization

The Board of Directors approves all expenditures of funds not delegated to the Executive Director. The adoption of the annual SACOG Budget constitutes delegation of approval authority for capital outlay and other fixed asset acquisitions included in the approved Budget.

The Executive Director, Deputy Executive Directors, Division Directors and Departmental Managers approve expenditures of funds as delegated by Board of Directors and the Executive Director, respectively. Department Managers may delegate expenditure approval to the project manager/or staff initiating the procurement.

PROCEDURE:

CONTRACT ADMINISTRATION Project Management

For procurement of goods and services, the project manager is responsible for day-to-day communications with the contractor/vendor, overall monitoring of the progress of the contract, and quality control, subject to the supervision of the Department Manager. In the performance of this function, project managers may issue oral or written instructions within the scope of the agreement, but cannot change the contract amount, work scope, or delivery dates without an approved, executed, written amendment.

The designated receiving staff will acknowledge receipt of goods/services by inspecting the shipment/service provided against the Purchase Order/contract agreement, signing appropriate paperwork such as packing slip (for goods) and forward appropriated documentation to Accounts Payable.

Approval of Invoices

Invoices are sent directly to appropriate Project Manager or delegated staff. Project Manager

Upon receipt of invoice the project manager will determine whether the goods and services have in fact been received or performed satisfactorily and in a timely manner, if appropriate, per the contract/Purchase

Order/Requisition specifications. If the project requires contract insurance provisions, the project manager must assure that an insurance certificate is on file. After reviewing the invoice, the project manager signs the invoice to indicate recommended payment and forwards it to the Department Manager. If any irregularities are detected by the project manager, s/he should initiate discussions immediately with the Section Manager. If the cost of goods or services exceeded more than $100 by the amount in the Purchase Order, the project manager must initiate and complete an amendment to General Requisition before signing off the invoice.

Department Manager

Based on the recommendation of the project manager, the Department Manager signs the invoice to approve payment and returns it to Accounting (with requisition or purchase order if required). It is the responsibility of the project manager and the Departmental Manager to ensure that payment is made only for satisfactory work or goods.

Record Retention

All invoices and associated records, including but not limited to audit reports and work papers, if appropriate, shall be retained by Accounting for a minimum of four years from the date of last expenditure authorized. In cases involving federal finds, records shall be retained for three years following the final payments to the vendor or the contractor (See 49 CFR Section 18.42 and pertinent FTA grant contract.)

PROCUREMENT PROCEDURES CONCEPTS

SACOG Overall Work Program and Operating Budget

In developing the annual agency operating budget, Departmental Managers, in consultation with the Executive Director, the Deputy Executive Directors, and the Director of Finance, determine the goods and services proposed to be purchased during the fiscal year to accomplish the work assignments of each department. The agency operating budget is recommended by the Administration and the Work Program Committees for adoption by the full Board at the same time that the Overall Work Program (OWP) is adopted, usually in May of each year.

The Work Program Committee is responsible for overseeing the development of the OWP and operating budget, including goods and services, for projects within the work program Elements of the OWP. The

Administration Committee oversees the remaining portion of the budget, including agency-wide revenue issues, indirect expenses and capital acquisitions.

Procurement Categories

· Exceptions to Competitive Purchase Requirements: Sole Source – examples may occur in cases of

one purpose or project, a single provider, compelling business reasons, or a compelling urgency.

· Professional Service Contracts – examples include advocacy contracts, consulting contracts within the

OWP, financial and compliance audits, certain marketing programs and consultants, studies and surveys, Computer consultants, board facilitators, insurance related, and legal services.

· Non-Professional Services – examples include elevator maintenance, alarm testing/repairs, pest

services, window and carpet cleaning, painting, janitorial and landscaping services, building management fees, building agreements, temporary help.

· Other goods and services – examples include printing, office supplies, meeting expenses, other.

· Equipment/Software/Hardware – examples include furniture, office equipment, computer software

and computer hardware, and large dollar leasehold improvements.

Three Expense Authorization Thresholds

· $0 to $5,000 – Project Manager may approve provided the line item fully defined in the approved

budget. Director or Deputy Executive Director approval required if adjustment of line item expenses within OWP Element/Budget Account is required.

· $5,001 - $25,000 – Executive Director, or designee, approval required. Expenditure must meet budget

constraints of applicable OWP Element/Budget Account.

· Over $25,000 – SACOG Board approval required. Exception: Approved budgeted capital outlays,

Exceptions to Competitive Purchase Requirements: Sole Source

Competitive purchasing may be dispensed with in the following situations:

· Single Provider: One firm or individual has unique and exclusive capability by reason of experience or

technical competence to perform work. If a unique capability is claimed, particulars and details must be furnished on how the source is solely qualified. Mere preferability or desirability is not sufficient.

· Compelling Business Reasons:

In non-federally funded purchasing only, compelling business reasons for selecting a particular vendor may override SACOG’s competitive purchasing policy. Mere preferability or desirability is not sufficient and the compelling nature of the sole source procurement must be documented.

· Compelling Urgency:

SACOG’s work would be jeopardized or inhibited if the customary time period for competitive purchasing process is followed. If a claim is made that time requirements dictate a sole source, the project manager must factually demonstrate that the work schedule is critical and must furnish a precise statement of the damage that will be sustained if the purchasing date is changed to allow competition. A mere recitation of an administratively established deadline is not enough. In addition, the project manager must describe the reason that compels SACOG to select this vendor or contractor and this vendor or contractor only.

Procedures for Obtaining Approval for the situations above and cost exceeds $5,000 - Require a sole source justification memorandum that must be approved by the Department Manager, and approved by the Executive Director or the Deputy Executive Director

Federal requirement for sole source purchasing:

The federal requirements for noncompetitive procurement are more restrictive than those stated above. 48 CFR Part 18 should be consulted prior to initiating any sole source purchasing.

Professional Service and Non-Professional Contracts

Professional Services - Examples include advocacy contracts, consulting contracts within the OWP, financial

and compliance audits*, certain marketing programs and consultants, studies and surveys, Computer consultants, board facilitators, insurance related*, and legal services*.

Non-Professional Services – Examples include elevator maintenance, alarm testing/repairs, pest services,

window and carpet cleaning, painting, janitorial and landscaping services, building management fees, building agreements, temporary help, etc.

Note 1: Some contracts may require Board approval prior to acceptance, regardless of dollar amount. Note 2: Executive Director can contract for up to $25,000 without Board approval, provided approved

budgetary constraints are met.

Note 3: Implementation of contracts not specifically budgeted for may need Executive Director approval and/or Board approval. Case by Case basis.

Cost less than $5,000 (or annualized costs is less than $5,000)

For procurement of professional/nonprofessional services costing less than $5,000 (including tax), SACOG may award the bid without advertisement and without competitive biding by calling a bidder with a record of

providing timely service/goods at competitive prices and placing an order. Cost is $5,001 – $25,000

For procurement of professional/nonprofessional services between $5,001 and $25,000, SACOG will contact a minimum of three vendors for price quotations, maintaining a record of each quotation and award to the low responsible bidder; or complete written bid specifications and solicit written sealed bids from appropriate vendors to ensure competition. The project manager may solicit alternative bids by telephone, provided that the specifications may be adequately described by telephone.

Cost is over $25,000

For procurement of professional/nonprofessional services over $25,000 (incl tax), SACOG is to initiate a Request for Proposal (RFP) process.

*Should review every three to five years (or deemed appropriate by Executive Director) as to whether to put out to bid.

OTHER GOODS AND SERVICES

Other goods and services – examples include office supplies, printing, meeting expenses, other.

Small purchases/office supplies/printing/meeting expenses

Purchases for most commodities and services totaling $5,000 or less (small orders), may be made

without bid procedures; however, competition will be used to the maximum extent practicable.

Repeated small quantity procurement of like items to circumvent the $5,000 limit is prohibited.

Recommend that most office supplies, regardless of intended use, be purchased through Scott.

Printing costs (newsletters, quarterly updates, manuals, other mailings as necessary)

Printing costs and vendors should be evaluated yearly for cost and competitiveness. Detailed

specifications and price estimates are a must on all requisitions for printing jobs.

Printing Costs up to $5,000 - Procedures for obtaining approval - Requires a Purchase requisition signed and approved by the appropriate Department Manager.

Printing Costs over $5,000 - Procedures for obtaining approval - Requires a Purchase Order signed and approved by the appropriate Department Manager.

EQUIPMENT PURCHASES (FURNITURE, COMPUTER HARDWARE/SOFTWARE)

“Equipment” as defined for inventory purposes is “all tangible property (mainly furniture, computer hardware/software).

All equipment purchases (regardless of amount) must be approved by Director of Finance. Computer

hardware/software purchases must be routed through the Senior Information Technology Analyst for recommendation before being approved by Director of Finance.

Cost up to $5,000 - Procedures for obtaining approval - Requires a Purchase requisition signed and approved by the appropriate Department Manager and Director of Finance (and Senior Information Technology Analyst, if computer related).

Cost over $5,000 - Procedures for obtaining approval - Requires a Purchase Order signed and approved by the appropriate Department Manager and Director of Finance (and Senior Information Technology Analyst, if computer related).

Guidelines for Purchasing Software

When purchasing software for SACOG, there are a few guidelines that should be followed to help ensure the right product is purchased for the right job. Some of the guidelines will be quite obvious, but they are included here for completeness. Any or all of these steps can also be completed by the Information Technology

department.

· Determine what it is you are trying to accomplish. What does the software need to do for you. · Try to talk to someone who is doing something similar and has already been through the

research process or is currently using a product. Get recommendations from them. · Find other companies that make a similar product. Similar products will accomplish tasks

using different methods. Which one best fits your way of doing business?

· Check the trade magazines to see if there are any product reviews where testing has been done to point out the pros and cons of each of the software candidates.

· Find out what the licensing terms are. Can multiple people use the software concurrently? Can it only be installed on one computer at a time? How many copies are needed?

·

Find out what the computer hardware requirements are for the software, and any network requirements. Are there any known incompatibilities with other software or hardware? These should also be cleared through the Information Technology department

.

REQUISITION ORDERS (procedures)

Requisition Orders will be used to acquire needed items when use of the petty cash or the more formal

arrangements (purchase orders, contracts, MOU’s) set forth in SACOGS Purchasing and Procurement Policy is inappropriate. Requisition amounts should be less than $5,000.

The requisition form is available through an electronic form. Procedures are:

Select Start | SACOG Applications | Requisition Request Click the New Requisition button

Enter the Request Date Enter who it is Requested By Select a vendor from the list

If the vendor is not in the list, click on Edit Vendors From the Vendors dialog box, click New Vendor

Enter the information for the new vendor and click Close Click OK

Enter items for this requisition

Enter the Quantity, Description, and Cost (cost is per item)

When all items are entered, click Print Requisition to preview the Requisition Request Select File | Print to send it to the printer:

The requisition must be signed by the employee making the request and the Department Manager. Accounting must receive the signed requisition form and approved invoice in order to make payment.

Reminder: All equipment purchases (regardless of amount) must be approved by Director of Finance.

Computer hardware/software purchases must be routed through the Senior Information Technology Analyst for recommendation before being approved by Director of Finance.

Purchases not made in accordance with this procedure will not be paid for by SACOG. The cost will be paid by the employee making the purchase.

PURCHASE ORDERS (procedures)

Purchase Orders will be used to acquire needed items when use of the petty cash or the more formal procedures set forth in SACOGS Purchasing and Procurement Policy is inappropriate.

The following procedures will be used:

1. Obtain a Purchase Order (P.O.) from the Accounting Department.

2. Po’s must be completely filled out with proper account number, cost descriptions and quantities.

3. Po’s must be signed by the employee making the request and the Department Manager. If the order is for computer equipment, Dave Hodgson must sign it also.

4. Make the purchase and return a receipt/invoice to the Accounting Section.

Purchases not made in accordance with this procedure will not be paid for by SACOG. The cost will be paid by the employee making the purchase.

PURCHASE ORDER AMENDMENTS Price Changes

When the actual price change is not more than $100 over the approved Purchase Order or the price difference is due to shipping costs, the project manager need not amend the purchasing documents or process. Accounting will reconcile the difference.

When the actual price change is more than $100 over the properly Purchase Order, the project manager will amend the original purchase order. If the total combined amount requires a higher level of review and/or approval, the project manager must follow that requirement.

Scope of Work Changes

When the project manager decides to change the quantity or cost of the original Purchase Order, s/he must re-submit an amended purchase order. If the total combined amount requires a more complex competitive procurement process and or higher level of review and approval, the project manager must follow that requirement. The project manager cannot request additional work or goods without prior approval of the proposed amendment(s

REQUEST FOR PROPOSAL(RFP) (procedures)

A. PURPOSE

To establish an open, fair, and competitive process for selection of qualified professional consultants to perform work for SACOG.

B. RESPONSIBILITIES

Departmental Managers will be responsible for selection of qualified consultants within the guidelines and direction set forth below.

C. PROCESS FOR CONSULTANT SELECTION

Selection of professional Consultants will be accomplished through an open competitive process with the following elements,

1. Maintain file on consultants offering services/notification of work 2. Solicitation of statements of qualifications

3. Evaluation of qualifications 4. Requests for proposals 5. Evaluation of proposals

6. Interviews and reference checks 7. Contract negotiations

8. Documentation of actions taken E. EVALUATION OF QUALIFICATIONS

A technical panel consisting of three or more persons technically competent to judge the qualifications of consultants will review statements of qualifications. To the extent possible, three or more individuals or firms will be recommended for further consideration. The criteria employed by the panel to arrive at a recommendation will be documented. Where less than three consultants or firms are recommended, the panel’s rationale will be documented.

F. USE OF REQUESTS FOR PROPOSALS (RFP)

In cases where the work is particularly complex or when the project is of sufficient size, a request for proposals will be circulated to consultants or firms deemed qualified. In general, this will be done for any project expected to cost more than $10,000 unless the Executive Director finds that it would not be cost effective or practical to do so. In such instances, the reasons for not using an RFP will be clearly

documented. For projects with funding from other agencies, review of selection by the funding agency(s) may be required prior to entering into contract negotiations.

G. FORM CONTENT OF RFP

1. Introduction. This section should set forth and describe the agency requesting the services, the amount and source of funds that are available for the project (note, however, that in some instances it may be desirable not to state the amount of funds available) , the general parameters of the work product, the deliverable products or services, and the time for completion of the project.

2. Background. In this portion of the RFP, the sub grantees should discuss the events that have taken place that have made the project desirable.

3. Problem Statement. The problem that must be solved or issue to be addressed should be specifically defined for the proposed contractors; without this definition it would be difficult for those

4. Objectives of the Project. The objectives should be clearly set forth and, where appropriate, should be stated in quantifiable terms to facilitate evaluation of the contractual effort.

Statement of Work. This is the most crucial section of the RFP. The proposal, which is selected, will provide the foundation for the contract. The proposal will set forth specifically that which is to be accomplished. The statement of work is crucial to the RFP because it provides the respondents with the important starting point for preparing their proposal.

In general terms, the RFP should describe the tasks, schedules and intermediate products that are expected. The description of work should be as ambiguous as possible so that comparison of proposals based upon it is possible. The focus will usually be on types of activities and results expected so as to allow some creativity in design of an approach.

6. Deliverable Products. This will be the expected end result of the work effort. Examples are: a manual, a seminar, management analysis, specific report or findings etc.

7. Proposal Evaluation Criteria. If the criteria to be used are known, contractors should be informed of them. This information could be shared with consultants during a pro-proposal conference.

8. Conference. Time and place of pre-proposal conference. 9. Form of Proposal.

a. Determined by bidderIntroduction. b. Technical Approach.

(1) Problem. Statement of the problem as bidder understands it.

(2) Project Objectives. Outline objectives the bidder feels will, when fully achieved, constitute an effective and reliable solution to the problem.

(3) Key Factors. Describe any factors or issues whose resolution the bidder feels will be essential to solving the problems or would otherwise influence the course of the project.

(4) Approach. The managerial and technical approach bidder will follow if selected. Describe the various phases or steps bidder would take during the project, points where key decisions will be required must be identified, time of interactions —between consultant and state personnel, techniques bidder would employ in deriving solutions to the problems presented.

c. Work Plan. Outline and describe in detail all project tasks bidder expects to undertake; include estimated person-days or other type of resource required to complete each task and identify each key point where a management decision is required. The end result must be identified.

Project Schedule and Costs

(1) Schedules. Outline for each task the time frame by month or other appropriate interval in which said task will be completed.

(2) Costs. Identify costs for each phase, task, or other appropriate breakdown for the entire project. Costs should be

broken down by time and materials.

(3) Method of Payment. Specify the method of payment to which bidder would agree in a resultant contract. (“Cost plus

contracts are specifically not acceptable.) e. Personnel

(1) Staff assignments. Specify by name and position the individuals bidder will assign to the project, the manner in which each will participate in the effort, and he contribution each would make to the results of the bidder’s effort.

(2) Staff organization. Specify the relationship of the consult-ant’s staff to one another.

(3) Staff resumes. Include for each individual a resume containing at least the following information:

(a) General background. Include the length, breadth and depth of experience; include education and other related

achievements.

(b) Related experience. Include dates and descriptions of all experiences specifically related to the type of effort

described in this RFP.

(4) If a subcontractor is included in the proposal, personnel must be identified as in (1). (2) and (3) above.

f. Corporate Information

(1) Capabilities. Describe the company’s general background in research projects and systems evaluation and design, the primary areas of expertise in which it markets its services, the staff and advisory facilities it can exploit if needed, and other information to consider in establishing its specific abilities for this

undertaking.

(2) Qualifications. Include information that clearly demonstrates the company’s actual experience in conducting projects comparable to the one described in the RFP. Place particular emphasis on similar projects performed for other state governments and local jurisdictions, and evidence of any understanding of the law enforcement community interaction.

g. Other Information. If bidder wishes to provide other information that does not appropriately fall into one of the above sections, include this information in this section.

H. EVALUATION OF PROPOSALS

A panel of persons technically competent to evaluate consultant proposals will be formed. Members of the panel will evaluate each proposal independently for its responsiveness to the RFP and the evaluation criteria established for consultant selection. After independent review, the panel will meet to form a recommendation of firms to be interviewed. The evaluation panel’s

analysis of proposals will be documented.

I. INTERVIEWS REFERENCE CHECKS

Based upon the recommendation of the proposal evaluation panel, finalists will be notified of an interview time selected by a random process. Prior to interview, the prospective consultants’ references will be checked. An interview panel of three or more persons, including SACOG Directors or Policy Committee members, and professional experts will be formed. The interview panel will be given the proposal evaluation report and the criteria to be used in the selection process. The interview panel will certify one or more consultants and when feasible, state their priority of choice.

J. CONTRACT NEGOTIATIONS

Based upon advice from he technical panel, the interview panel, and the reference checks, the Executive Director shall select one consultant for contract negotiations. If negotiations are successful, the Executive Director shall recommend a specific contract to the SACOG Board for approval. If negotiations are unsuccessful, the consultant initially selected for contract

negotiations shall be so advised and a second consultant selected for contract negotiations. K. DOCUMENTATION FILES

After the SACOC- Board has approved a specific contract, the Director of Administration shall complete and maintain such files as are necessary to document the selection. Statements of qualifications and responses to RFP’s will be kept on file as required by funding agencies or until the contract has been successfully completed, whichever is longer.

Summary of PP Policy

Goods (except for certain situations where competive shop does not apply)

Under $5,000

Anything purchased for under $5,000 would require requisition form(or contract if applicable) signed by the employee and his supervisor. The signed requisition form with the signed/approved invoice would be sent to Accounts Payable for payment. A procurement compliance form is not necessary

0 –$ 150 verbal approval from Supervisor $150 - $5,000 requisition form

$5,000 - $25,000

Anything purchased for over $5,000 – $25,000 purchase order(or contract if applicable) signed by the employee and his supervisor. The signed purchase order with the signed/approved invoice would be sent to Accounts Payable for payment. In addition, the requestor would be required to document (via the Procurement Compliance form – obtain three quotes) that he/she has competitively shopped for the goods.

Exception - Sole Source, compelling business reason, compelling urgency <<<need a memo if this is the case Over $25,000

Requires RFP procedures

Services (except for certain situations where competive shop does not apply)

Under $5,000

Anything contracted for under $5,000 would require requisition form (or contract if applicable) signed by the employee and his supervisor. The signed requisition form (or contract) with the signed/approved invoice would be sent to Accounts Payable for payment. A procurement compliance form is not necessary

$5,000 - $25,000

Anything services contracted between $5,000 – $25,000 require a purchase order(or contract if applicable) signed by the employee and his supervisor. The signed purchase order (or signed/approved contract) with the signed/approved invoice would be sent to Accounts Payable for payment. In addition, the requestor would be required to document (via the Procurement Compliance form – obtain three quotes) that he/she has

competitively shopped for the goods.

Exception - Sole Source, compelling business reason, compelling urgency <<<need a memo if this is the case Over $25,000

Requires RFP procedures