• Procurement Procedures

    Federal Expenditures

    Overview

    To provide our District staff with an understanding of what requirements govern the process of making procurement decisions in regards to expenditures that are funded by Federal monies. Procedures are in place to comply with District Board Policy, Education Code, 2 CFR 200 Federal regulations, and Civil/Public Code.

    Code of Ethics

    In corroboration with Board Policy 4295.1 Code of Ethics, individuals involved in procurement responsibilities must do so free from conflict of interest. Uniform Guidance 2 CFR 200.318(c) (1) states that no employee, officer, or agent of the District shall participate in, nor attempt to influence the selection, award, or administration of a contract if any real or apparent conflict of interest exists. Please refer to Board Policy 4295.1 Code of Ethics for application of ethical behavior, identification of conflict of interest, and procedures for reporting unethical behavior.

    Procedures

    In corroboration with Board Policy 3090.1, purchases that utilize federal grant funds (excluding construction and public works projects) require special attention. See list below to help identify if the purchase is funded by a federal program. As a rule of thumb, any Resource code between 3000 and 5999 identify federal programs, see table below. The Purchasing Department shall comply with the following standards (2 CFR 200.317-200.326 & Appendix II of Part 200) in the procurement of federally funded goods and services.  Federal guidelines require that we follow the most restrictive purchasing policy, that could be Federal, State, Local or Board Policy.

    In the new Uniform Guidance, there are five general standards:

    • Micro-purchases: Less than $10,000 ($2,000 for purchases subject to the Davis-Bacon Act)
      1. No competitive quotes required, if the price is reasonable.
      2. Distribute purchases equally among qualified suppliers, to the extent practicable
    • Small-purchases: Up to $114,500
      1. Rate quotes must be obtained from an "adequate" number of qualified sources, g. three sources
      2. No cost or price analysis is required for purchases under the simplified acquisition limit.
    • Sealed bids: More than $114,500, preferred for construction projects
    1.  
      1. Used when bidder selection can be made principally on the basis of the lowest price.
      2. Primarily used in construction projects, such as a firm fixed price contract.
      3. Price is a major factor and a formal process for bidding and is generally required.
    • Competitive proposals: More than $114,500
      1. Use contracts such as fixed price or cost reimbursement.
      2. Formal Request for Proposal (REP) with pre-determined evaluation methods for an adequate number of qualified sources.
      3. Must have a written method for conducting technical evaluations of the proposals and selecting the proposal that is most advantageous to the program, with price and other factors considered.

    The technique of competitive proposals is normally conducted with more than one source submitting an offer, and either a fixed price or cost-reimbursement type contract is awarded. It is generally used when conditions are not appropriate for the use of sealed bids. If this method is used, the following requirements apply:

    1. Requests for proposals must be publicized and identify all evaluation factors and their relative importance. Any response to publicized requests for proposals must be considered to the maximum extent practical;
    2. Proposals must be solicited from an adequate number of qualified sources; and
    3. Contracts must be awarded to the responsible firm whose proposal is most advantageous to the program, with price and other factors considered.

    The District may use competitive proposal procedures for qualifications-based procurement of architectural/engineering (A/E) professional services whereby competitors' qualifications are evaluated and the most qualified competitor is selected, subject to negotiation of fair and reasonable compensation. The method, where price is not used as a selection factor, can only be used in procurement of A/E professional services. It cannot be used to purchase other types of services though A/E firms are a potential source to perform the proposed effort.

    • Sole Source: Any amount, must meet one of the following four requirements
      1. Good/Service is only available from a single source.
      2. Only one source can provide the good/service in the time frame required.
      3. Written pre-approval from the Federal awarding agency.
      4. Competition is deemed inadequate, after solicitation attempts through one of the other methods.
    • Any purchase of $25,000.00 or more requires verification through the System for Award Management () that the supplier is not excluded or disqualified by the federal government.
    • Special Note: Whenever a discrepancy exists between these procedures and government codes, the code shall prevail.