Procurement Policy

For computer lease or purchase procedures, click here.

For Office Depot procedures, click here.

For Purchase Order form, click here

This policy applies to purchase of materials, equipment, supplies and services paid from Foundation administered funding sources. This policy blends efficient business practices and governing policies which satisfy the requirements of federal, state and independent auditors. Travel, retention of artists, entertainers, catering and speakers are not subject to the provision of this policy.

Policy

All purchase orders must be approved by the Foundation prior to commitment; accordingly, a purchase order must be submitted to the Foundation prior to making purchases within the guidelines of this policy and procedure.

1. Purchases shall be made in a manner that supports and facilitates the competitive bidding process and at the lowest cost consistent with quality, specifications, service and product availability.

2. Projects which receive external funds for support may be subject to additional agency restrictions and/or Federal Office of Management and Budget Circular No. A-110.

3. Fitness and quality being equal, recycled products shall be considered for procurement in place of non-recycled products, whenever such products are available at not more than the cost of their non-recycle counterparts.

4. Volume or pool purchase, annual purchase agreements and State Purchasing contracts shall be utilized when deemed to be advantageous to the Foundation.

Purchase Order Request Process

1. Purchasing materials, equipment and supplies from one vendor with a total cost (excluding shipping, handling, tax and freight) that exceeds $200 should be processed using the Foundation Purchase Order Request form.

2. Once the goods have been identified, the purchase should be evaluated to determine if competitive bids are required.*

Guidelines for Purchase of Materials, Equipment & Supplies:

Materials, Equipment and Supplies under $10,000

The authorized signer is required to submit a purchase order and a price quotation from the vendor.

*Materials, Equipment and Supplies over $10,000

The authorized signer is required to submit a purchase order with a minimum of three price quotations attached from vendors.

*Materials, Equipment and Supplies over $50,000

The authorized signer is required to submit a purchase order with three formal bids from providers based on written specifications, which recognize competitive pricing, responsiveness to specifications, and reputation of vendors.

Guidelines for Purchase of Services:

*Services over $50,000

The authorized signer is required to submit a purchase order and/or contract with a minimum of three bids from providers based on written specifications, which recognize competitive pricing, responsiveness to specifications, and reputation of vendors.

 

*Excluded from the Competitive Bid Process are:

Sole source purchases on a non-competitive basis will require written justification and approval. The sole source written justification should include:

1. Unique performance factors of the products/services specified,

2. Why the factors are required,

3. What other products have been evaluated and rejected and why

Food service and seasonal commodities. These purchases shall be made upon the basis of quotations from several reliable and convenient sources of supply. Awards shall be made on terms most advantageous to the Foundation based on quality, price, service and delivery.

Bookstore supplies and textbooks. The purchase of textbooks, certain technical materials and resale merchandise shall be made upon the basis of several reliable and convenient sources of supply. Awards shall be on terms most advantageous to the Foundation based on quality, price, reliability and delivery.

Grant/contract purchases governed by the terms and conditions of the executed agreement.

Retention of service contractors on an hourly time and material basis. Authorized signer's approval must be obtained prior to the retention of service contractors.

Conflict of Interest

No Foundation Board member, employee, or CSU employee shall personally derive any benefit or gain or receive preferential treatment related to the purchase of equipment, supplies or services for the Foundation.

MBE/WBE

Some funding agencies may require the use of a process that affirmatively seeks bids from women, minority, veteran or disabled-owned businesses. The Foundation Project Director is required to seek such bids if specified in the award.

Restrictions

The purchase of materials, equipment, supplies and services are subject to the following restrictions:

• The purchase must be a reasonable, allocable and allowable charge.

• If the charge for a funded project is not in the approved project budget, prior approval from the funding agency may be necessary.

• Equipment purchases are generally secured using a purchase order to ensure proper handling, warranty (where appropriate), and recording for inventory purposes. If equipment is purchased and then submitted on a check request for reimbursement, the Foundation has the discretion not to approve the purchase if proper information is not received or proper bidding procedures were not followed.

• Hazardous materials must be secured using a purchase order to ensure proper handling of the substances and University notification and approval.

Issue Date: 6/18/92

Ref. No. B04 (formerly P-001)

Effective Date: 5/9/94

Revision Date: 10/23/03