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Procurement Guidelines

  • Micro Purchases:
    • Purchases less than $10,000
    • Price quotes from an adequate number of qualified sources of supply
    • Issuance of purchase order
  • Small Purchases:
    • More than $10,000 but less than $50,000
    • Reasonable number of quotes, preferably three (3)
    • Quotes may be obtained orally (either in person or by phone), by fax, in writing, e-mail or E-Procurement
    • Reasonableness of price

Sealed Bidding:

  • Conditions
    • Purchases greater than $50,000 and that are not competitive proposals
    • Non-competitive proposals
    • Two or more responsive and responsible bidders available
    • Firm fixed price contract
    • Selection based on price
  • Requirements
    • Public advertising
    • Written solicitation with clear scope of work
    • Solicitation of an adequate number of vendors or potential contractors
    • Public bid opening
    • Award to the supplier offering the lowest price and has been determined to be responsive and responsible

Competitive Proposals:

  • Conditions
    • Procuring professional services that will exceed the small purchase threshold of $50,000
    • Selection to be based on other than price alone
    • Request for Proposal (RFP)
  • Requirements
    • Public advertising and direct solicitation
    • Ensure an adequate number of qualified sources
    • Evaluation criteria stated in solicitation
    • Establish methods of technical evaluation
    • Determine which vendors are appropriate for further negotiations
    • Select the vendor whose proposal is best for VHA
    • Noncompetitive Negotiation or Bid

Non-Competitive Proposal:

  • Limited to single source or if no other bidders or vendors can be identified after solicitation or advertising
  • The vendor or bidder provides a unique or singular service or supply item
  • Emergency condition whereby life or property is in immediate danger - This method may only be used to alleviate the specific emergency. Subsequent actions to correct the situation or condition require that competitive procurement methods be used
  • Unavailable data or information about item or service needed
  • HUD authorizes the use of noncompetitive proposal
  • The vendor or bidder is the only source for equipment or materials presently used by VHA