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Federally Funded Purchases

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(Updated Aug. 1, 2023)

Uniform Guidance (UG) and Federal Acquisition Regulations (FAR) are provisions in the Code of Federal Regulations for procuring goods and services with federal funding. UG focuses on grants, while FAR applies to contracts. +

 

  • These policies aim to streamline compliance, reduce administrative burden, eliminate waste and fraud, and encourage competition and transparency in procurement. Compliance is crucial for the University's prestige and access to federal financing access.
  • The competition requirements for procuring goods and services significantly impact the procurement process for federal grants and contracts.

Utilizing pre-existing competitive contracts is recommended for Departments and Principal Investigators to expedite the procurement of necessary goods and services. If such contracts are unavailable, the following specific dollar thresholds for competition apply:

 

▼ Micro-Purchase (<$10,000)

 

Definition:

  • Total dollar amount does not exceed $10,000 (or $2,000 for construction procurements subject to Davis-Bacon regulations)

Competition Guidelines:

  • Utilize existing strategic contracts (if applicable)
    • If strategic contracts do not exist, equitably distribute micro-purchases among qualified suppliers
  • Multiple quotes/bids not required
  • Competitive quotes not required if the price is reasonable.
▼ Small Purchase ($10,000 - $99,999)

 

Definition:

  • Total dollar amount is between $10,000 and $99,999

Competitive Guidelines:

  • A minimum of three (3) qualified sources must provide rate quotes to fulfill the requirement.
▼ Competitive Proposals (>$100,000)

 

Definition:

  • Total dollar amount is greater than $100,000

Competitive Guidelines:

  • Utilize existing competitively bid strategic contracts (if applicable)
    • If strategic contracts do not exist, formal solicitation (RFx/Bid) is required, managed by Procurement Services.
▼ Non-Competitive Proposals

 

Definition:

  • Sole-source procurement is appropriate when specific criteria are met, including:
    • When an item is exclusive to a single source.
    • When a public emergency does not allow for the time required in a competitive proposal process.
    • When the Federal awarding agency explicitly authorizes sole-source procurement.
    • When multiple attempts in a competitive process have been exhausted.

Competitive Guidelines:

  • Utilize existing competitively bid strategic contracts (if applicable)
    • If strategic contracts do not exist, formal solicitation (RFx/Bid) is required, managed by Procurement Services.
  • When the total dollar amount is $10,000 or greater AND multiple quotes/formal RFx is not possible due to excruciating circumstances:
    • Complete the Source Selection (SSPR) & Price Reasonableness Justification Form and attach to purchase request
  • When the total dollar amount is greater than $250,000:
    • Must also include a Cost and Profit Analysis that requires specific information from the potential vendor and an analysis by the University
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