OSU PaCS 302-02: Bidding Process

Purpose

To establish responsibility for determining the amount and type of competition necessary for procurements of goods, services and equipment.

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Applicability

All employees involved in procurements at any dollar level.

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Background

This policy complies with Oregon Administrative Rules 580-040-0295 and 580-040-0225 (Record Keeping).

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Policy

Guidelines for Procurements

$0 - $4,999.99 Competition as Appropriate
For procurements with a total value of less than $5,000, departments may make these procurements on their own using their best judgment.  Whenever possible and to the extent feasible, competition should be used in the procurement.

$5,000 - $49,999 Request for Quote (RFQ)
(Note: For construction services, the limit is $25,000 and no Prevailing Wage Rates)
Departments are required to request competitive quotes from at least three vendors.  Written, oral or electronic quotes may be solicited.  Either the department or Procurement and Contract (PaCS) can request quotes from at least three vendors. 

$50,000 and above Formal Solicitation Process (Invitation to Bid [ITB] or Request for Proposal [RFP])
When an order falls into this category, PaCS must request the bids or quotes.  PaCS will create the formal solicitation document and then ask the department to approve the solicitation.  Upon receipt of approval for the solicitation, PaCS will post the solicitation on the PaCS web page under Currently Advertised/Open Procurements web link. 

Sole Source
Any sole source bid of $50,000 or more must be advertised on the PaCS web page.  PaCS will create a sole source solicitation and then ask the department for their approval of the solicitation before posting it on the PaCS web page.

Documentation of Process
When procuring goods and services through any of the solicitation processes, authorized personnel shall retain documentation, either hard copy or electronic, supporting the process and the actions taken to fulfill the guidelines of the level of procurement.  Documentation should include information regarding vendors contacted, basis for selection, prices of various vendors and other information pertinent to the solicitation.  Documentation is to be maintained by the department when the purchase is less than $5,000 and is subject to audit.

If three vendors are not reasonably available, attempts to obtain responses from three or more vendor or the justification for soliciting fewer vendors shall be documented.

Procurements Subject to Prevailing Wage Rates
Any procurement that is subject to Prevailing Wage Rates through the Bureau of Labor and Industries (BOLI) must be advertised and administered through PaCS regardless of dollar value ($0).

Compliance with Guidelines
Procurement requirements can not be divided or artificially fragmented into increments or components to avoid the applicable guidelines for procurements.

Bid Deadline
Once a date/time is established for the receipt of bids, no late bids will be accepted.

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