Purchase Orders of $25,000 and Above
All products and services purchased having a total cost of $25,000 or more MUST be cost justified through price competition. A minimum of (2) quotations preferably (3), is required to meet competition. Purchasing and Payment Services will solicit price quotations, bids or proposals on behalf of the University initiator. No individual or department other than Purchasing and Payment Services is authorized to solicit price competition for purchases at this level. Departments requesting purchases at this dollar value are to submit a PURCHASE REQUEST (Form 100) to Purchasing and Payment Services for the goods and services needed. Include an attachment of the specifications required, recommended vendors to be solicited, if known, and any special instructions or limiting factors of material evaluation to be considered with this purchase. Also submit any market research material obtained by the department from prospective vendors. Identified by a "U" designation, followed by a six digit number. These orders ENCUMBER funds. They are not paid until both invoice and receiving information match the order information. Any commitment made by a department prior to authorization by Purchasing and Payment Services may not be acknowledged and purchases made may be non-binding upon the University.
Purchases of $25,000 and above are subject to critical audits during reviews of the University's procurement practices. Regardless of the source of funding for any given transaction, the University must follow stringent procedures at this dollar level to avoid penalties and possible funding loss or restriction. Therefore, if the amount of your purchase is likely to be $25,000 or more, YOU MUST CONTACT YOUR LBC FSR before beginning product or price research. He or she will contact Purchasing and Payment Services to ensure that the transaction proceeds with appropriate process review, documentation, and award evaluation.
The LBC will assist you in preparation of the University Request (Form 100). It should include an attachment of the specifications required, recommended vendors to be solicited, and any special instructions or limiting factors of material evaluation to be considered with this purchase. Also submit any market research material obtained by the initiator from prospective vendors. Purchasing and Payment Services will issue the order and instructions to the vendor after conducting required price competition, contracting arrangements and initiator acceptance of the purchase arrangements.
If you proceed without Purchasing and Payment Services involvement, you may be asked to provide additional information or your order may be held up while proper documentation is assembled. Please inform us immediately of your intentions to purchase so that we can avoid this occurrence and expedite your order.