Ordinance 3781-20 - Laserfiche WebLink

STANDARD PROCUREMENT POLICY & FEDERAL EMERGENCY CONTRACTING SECTION 7 - PROCUREMENT THRESHOLDS Cost thresholds are not limited to each individual item purchased. Staff should use the aggregate spend versus the unit cost to determine which threshold applies. For instance, the City may purchase 500 laptops over 70 transactions during the year. Each laptop or transaction may be less than the lowest competitive threshold, but the aggregate purchase of the laptops should be the dollar value used to determine which threshold applies. If the 500 laptops cost$275,000, then staff should complete formal bidding procedures 7.1 MULTI-DEPARTMENT REQUIREMENTS To the extent practical, the requirements of separate departments and divisions for the same commodities will be considered together when determining which threshold applies. 7.2 MICRO-PURCHASES Consistent with Office of Management and Budget OMB Memo M-18-18,the City has adopted the federal micro-purchase limit of$10,000. OMB Memo M-18-18 allows non-federal entities to purchase commodities up to $10,000, not including sales tax, without soliciting competitive quotations if the price is considered reasonable. Departments must distribute micro-purchases among qualified suppliers when practical. Employees are strongly encouraged to seek the services of local, small, and disadvantaged businesses. Departments may not split their purchases into smaller purchases to avoid the informal solicitation limit. Annual spend of greater than $10,000 with a single supplier must be documented by the Procurement Division to determine if the commodities should be solicited informally. 7.3 INFORMAL SOLICITATIONS Procurement will be responsible for conducting the solicitation process for purchases greater than $10,000, not including sales tax,that have not been exempted or excluded in Section 9. Use of the City's standard forms is required unless the Procurement Manager decides otherwise. Procurements with a cost estimate of$10,000 to $249,999, including shipping but not including sales tax, will be conducted through an informal process, which includes the Request for Quotation or informal Request for Proposal solicitation method. Informal Solicitations: • May be accepted electronically. • Do not require advertising. 7.4 FORMAL SOLICITATIONS Purchases with an estimated cost equal to or greater than $250,000, including shipping but not including sales tax, will be conducted through a formal process, which includes the Invitation for Bid or Request for Proposal solicitation method. Page 34 of 57