Procedures and Guidelines
Bid Process
The bid process is governed by the limits set by the University at which purchasing decisions can be made and executed within a department and when the Purchasing Department is engaged.
Purchases up to $5,000
- Departments may make purchasing decisions up to $5000 without the involvement of the Purchasing Department. No purchase order is required.
- Departments may purchase through use of the University Procurement card. See Procurement Card policy for details. For non-Procurement card purchases (e.g. vendor charges a fee to use a credit card, will not accept credit cards), invoices may be submitted directly to Accounts Payable with a completed voucher.
Purchases from $5,001 to $9,999
- Departments are to obtain, and provide the Purchasing Department, at least three supplier quotations. Purchasing Department assistance with quotes is available, if needed.
- Written, competitive bids may be obtained, if deemed necessary by the Purchasing Department.
- If the good or service is only available through one supplier, a Sole Source Justification Form must be completed and approved by the Purchasing Department. A Single Source Justification option is also available.
Purchases from $10,000 and Over
- Written, competitive bids must be obtained with the assistance of the Purchasing Department.
- If the good or service is only available through one supplier, a Sole Source Justification Form must be completed and approved by the Purchasing Department. A Single Source Justification option is also available.
- Compliance with the University鈥檚 Affirmative Action policy will be required for purchases above $50,000.
Independent Contracts
Business conducted as an independent contract, versus a vendor contract or purchase order, still must follow the bid policy as outlined above. Once purchasing policy and procedures are followed, the independent contract may be established through the Business Services office.
Bid Process Exceptions
The bid policy must be followed on all purchases with the exception of the following circumstances.
Time and Material (T&M) Contracts
T&M contracts are utilized for labor and material for various Facilities Management projects. Contracts are established following a competitive bid process for the purpose of utilizing services on an as needed basis throughout the life of the contract. T&M contracts may be used for projects less than $25,000. All T&M projects estimated to be more than 50% in material costs will be evaluated by purchasing to determine the appropriate acquisition of materials.
Consortium / Cooperative Contracts
蜜桃社区 Michigan University is a member of several purchasing cooperatives. All University departments may utilize cooperative contracts in lieu of following the University鈥檚 competitive bid process, with approval from Purchasing. Information on Cooperative Contracts can be found on the University Contracts website. To utilize a contract, follow standard procedures and submit a Purchase Requisition through Purchasing to initiate a purchase order or vendor contract.
General Exception Categories
In an effort to focus purchasing efforts on goods and services that most benefit from the procurement process, the University has approved a list of specific goods and services that receive an exception to the bid policy. These exceptions are not required to follow the University鈥檚 bid policy and are limited to items procured through a bid process by other areas of campus and those that do not benefit from following the bid policy. The Purchasing Department is not responsible for purchases made in relation to these exceptions, but may assist with the procurement process if requested.
Note: The exception policy does not apply to purchases made with Federal funding. All Federal purchases must follow University procurement procedures. For more information, see the Federal Procurement Standards.
Be aware that these purchases may require a contractual agreement or Independent Contract even though it is not required to follow the bid policy.
SOLE SOURCE AND SINGLE SOURCE REQUIREMENTS
Sole Source (only known source or a proprietary source) or single source (only one qualified supplier or acceptable product/service) must be qualified and approved by the University Purchasing Department. The requesting department is responsible for providing documentation, using the Sole Source Justification Form, that there is clearly and legitimately only one source of supply. Certain purchases, such as those federally funded, have specific requirements that must be verified.
- Sole source requests will be considered when no alternative exists for the product or services requested, such as proprietary offerings with no equivalents or alternates available.
- Single source requests will be considered when only one source meets the needs of the department, despite the existence of other sources.
Reference the Purchase Process for additional information and process for the review and approval of sole source or single source purchases.
Computer purchase policy
Computer purchases must be made through Auxiliary Services. Please review the Computer Purchase policy for more information.
Conflict of interest policy
University employees shall act in a manner consistent with their duties to the University and to the public and shall ensure that they have no conflicts between their duties to the University and their outside employment, personal duties or relationships. Visit the Policies website for the complete Conflict of Interest, Anti-nepotism, Gifts-Employee policy.
蜜桃社区 Michigan University has also established a Conflict of Interest Policy specific to research. This policy addresses conflicts of interest and commitment that can arise when the interests of a commercial venture differ from the interests and primary obligations of the University and its employees, or when the commercial enterprise consumes and undue share of employee time.
Employees of the Purchasing Department aware of a situation that places them in a potential or actual conflict will disclose it fully and according to the above mentioned policy. Purchasing employees will abide fully by the required plan for avoiding, managing, or investigating this type of conflict.
Energy star requirement
蜜桃社区 Michigan University has been an Energy Star partner since October of 2000, and instituted the Energy Star purchasing requirements starting June of 2005. This requirement applies to purchases of appliances and electronics, which must meet Energy Star requirements when at all possible, for purchases using University funds. The parties responsible for enforcing this policy are the Associate Vice President of Facilities Management, and the Director of Logistical Services.
The following is a list of common items covered by Energy Star. For a complete list, please visit .
- Clothes Washers
- Dishwashers
- Refrigerators and Freezers
- Computers and Printers
- Lighting
- Hot Water Heaters
- Air Conditioners
gift policy
Reference the gift policy in the employee handbook.
Leasing policy
No University employee or staff member may enter into leasing agreements unless reviewed and approved in writing by the Director of Business Services or Associate Vice President Business and Finance, depending on the value of the agreement. Proof must be provided that leasing is the most economical approach for the situation.
Personal purchases
The University will not purchase any supplies or equipment for the personal use of University staff. The Purchasing Department will not arrange or create any buyer-seller arrangements between staff members and University suppliers. The exception to this policy would be instances where the University staff has been specifically included in a contract with the vendor, such as computer purchases.
No personal purchases are permitted to be made via the purchase order system, a payment request, the University鈥檚 Procurement card, or other institutional purchasing methodology.
In addition, no employee may use the University鈥檚 name or present him/herself as an agent of the University when making personal purchases.