Procurement

Arkansas State University - Mountain Home

Bid Opportunities

PURCHASING AUTHORITY
All purchases, rentals, leases, and lease/purchases to which the University is a party are subject to regulations and procedures as stipulated in Arkansas Statutes. All types of purchases from University accounts are subject to these regulations and procedures and require prior approval by the Procurement Official. The Procurement Official is the sole purchasing authority of the University. Purchases not authorized by this authority are not legal obligations of the University. The university shall not assume any responsibility for any purchase made directly by any staff or faculty member other than authorized Purchasing personnel.  Any individual making a purchase without proper authority first being given is assuming a personal obligation to the vendor for whom he/she may be held personally liable.

PURCHASE REQUEST PRIOR TO ANY COMMITMENT
Documentation must be approved by the Purchasing Department PRIOR to any commitment that would result in the expenditure of funds.  If a REQUISITION is submitted after the purchase has been made and sufficient justification is not presented, the request may not be approved for payment. Caution should be used by individuals when researching or otherwise inquiring about services or products with any vendor. A simple conversation can sometimes be interpreted as an obligation by a vendor/contractor.

Following are Arkansas State University – Mountain Home’s internal procedures for procurement in accordance with Arkansas Code 19-11-201 et seq. and regulations from the Office of State Procurement.

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1. PROCUREMENT-GENERAL POLICIES AND PROCEDURES
   
   
   1. All materials, supplies, equipment, or services which are acquired by purchase, lease, or rental shall be requisitioned from the purchasing department.
   2. Purchasing is responsible for all inquiries and investigations regarding the purchase.
   3. All correspondence with suppliers must be conducted by purchasing except when purchasing deems it advisable to delegate this authority to others.
   1. In such cases, copies of all correspondence shall be sent to purchasing.
   2. All preliminary correspondence must accompany the purchase request and shall become part of the records of purchasing.
   4. Staff members shall not give any information which might commit the University or sign any contract, lease, or purchase agreement on behalf of the University.
   5. The University shall not assume any responsibility for any purchase made directly by any staff or faculty member other than authorized purchasing personnel.
   6. Purchasing obtains competitive bids and places orders with the lowest and best bidder in accordance with state laws and regulations. (See “Bid Requirements” for more information.)
   7. Under no circumstances will purchasing make any purchase for the personal or private use of any person.
   8. Purchase orders shall not be issued to the business interest of any university employee for the procurement of any materials, supplies, services, or equipment.
   9. Purchasing shall conduct all necessary adjustment negotiations.
   10. Quantity requirements for a reasonable period should be anticipated to avoid unnecessary repetition of requests and orders.
   11. All rush or emergency purchases must be coordinated through the assistant purchasing agent and the Vice Chancellor for Administration.
   12. All requests for computer hardware, software and related supplies require a review by computer services.

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2. REQUISITIONS



1. Requests for the purchase or lease of any materials, supplies, equipment, or services are submitted on a requisition.
2. All requisitions should be submitted far enough in advance of the need to permit correspondence, investigations of sources of supply, and securing of competitive prices.
3. Separate requests should be submitted for different types of commodities not normally available from the same suppliers.
4. A requisition for all purchases, except purchases for resale, library books, and periodicals, will originate in the using department and will contain the following information.
1. Name of department
2. Date
3. Name of person originating requisition
4. Suggested vendor, address, phone and fax numbers, and contact person
5. Quantity
6. Unit
7. Description of commodities or services
8. Unit price
9. Total price
10.  Account number to be charged
11. Signature of department head
12. Signature of Chancellor
13. Signature of Vice Chancellor for Administration
5. ROUTING OF REQUISITION:  After the requisition is completed by the using department, the department will forward to the Office of the Chancellor for approval. The Chancellor’s Office will send the requisition to the Office of the Vice Chancellor for Administration to be forwarded to the purchasing department.
6. ACTION BY THE PURCHASING OFFICE:  When the requisition is received in the purchasing department, a determination will be made as to the method of procurement as follows:
1. State Contract items
2. Printing items
3. Purchasing from exempt funds
4. Purchases for resale
5. Exempt items
6. Open market purchase for $5000.00 or less
7. Quotation bids
8. Competitive sealed bids
9. Emergency purchases
10. Sole Source purchases
11. Lease agreements
12. Lease purchase agreements
13. Multi-year contract

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3. PURCHASE ORDERS:



1. A four (4) part purchase order will be issued as follows:
1. White copy to the vendor
2. Green copy to requisitioning department; return to purchasing when items are received
3. Blue copy to accounts payable department
4. Pink copy to remain in the purchasing office
2. When commodities or services are received by the requisitioning department, the department will complete the receiving report on the receiving copy of the purchase order and forward it to the purchasing department. The purchasing department personnel will compare the receiving report with the purchase order and record items received on the purchase order before releasing to disbursement for payment.
3. All invoices are to be sent to the purchasing department where they will be audited for accuracy. Each item and freight on board point will be compared with the purchase order. If items are received and the invoice is correct, the invoice with purchase order will be released to disbursing for payment. If the invoice is not correct, the vendor will be written for a corrected invoice.

 

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4. CREDIT CARDS:



1. When requesting a purchase using one of the university credit cards, a requisition must be completed and all required signatures affixed. The requisition will name the responsible party designated by the department.  The requisitioning department will be contacted by the Accounts Payable Office personnel to make arrangements for pick-up of the credit card.  The credit card must be signed out.  Once the purchase is made the card and a signed receipt must be returned to the Accounts Payable office no later than 4:30 pm the same day.  Then the requisition will be processed for payment.

 

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5. PETTY CASH:



1. It is impossible to compile a list of acceptable petty cash expenditures. Check with Accounts Payable department if you have any questions prior to any transaction that would require expenditure from the petty cash fund. Under no circumstances may petty cash be used for:
1. Circumventing purchasing regulations
2. Reimbursement for the purchase of any mandatory state contract item or printing services
3. Travel and travel related reimbursements (i.e. parking, etc.)
4. Any reimbursement over $50
2. All petty cash expenditures require prior approval of the purchasing official.  Petty cash purchases must be supported by an original sales slip, invoice, or other sales record showing the vendor’s name and address.  Petty cash reimbursement is made by requisition which is accompanied by a sales slip, invoice, or other sales record.
3. Any questions regarding the use of petty cash funds should be directed to the accounts payable office.

 

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6. STATE PURCHASING CONTRACTED ITEMS



1. The following are examples of items which are under statewide "term contracts."  Commodities may be added to or deleted from this list at any time.  These items must be purchased only from the contract source.
1. Air Conditioners/Heat Pumps
2. Ammunition
3. Computers
4. Copier Leases (Analog & Digital)
5. Forms, Continuous & Snap Out
6. Diploma Inserts and Covers
7. Fax Machines
8. Furniture
9. Grainger Catalog Contract
10. Index Tab Dividers, Custom
11. Letterhead & Envelopes (Plain & Printed)
12. Lamps (Light Bulbs)
13. Office Supplies
14. Paper, Printer & Copier
15. Paper Towels and Toilet Tissue
16. Printers
17. Software, Microsoft
18. Tires
19. Toner Cartridge (Recharging)
20. Vehicles
21. Video Tapes

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7. PRINTING



1. The Purchasing Office may solicit bids for jobs not to exceed $3,000 for printing not done at the ASU print shop or the Arkansas Department of Corrections. Departments may NOT solicit their own quotes on ANY print job.
2. Detailed specifications and price estimates are a must on all requisitions for printing jobs. Printing jobs over the $3,000 delegation should be submitted to the purchasing department.  State regulations absolutely prohibit the University from approving payments for printing that was not procured by authorized purchasing procedures.
3. Print jobs sent to ASU- Jonesboro Printing Services must be accompanied by a Requisition/Purchase Order for processing.  The Jonesboro Print Shop will not process the print job without a signed requisition/purchase order.  It is impossible to process or track the charges or apply payments through the accounting office without the purchase order and it starts with the graphics work and proceeds through the printing. 

 

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8. LIBRARY PURCHASES:



1. The library staff is authorized to make direct purchases from the library book fund for the acquisition of books, periodicals, and documents in accordance with the provisions of this policy All other purchases shall be made by the purchasing department in accordance with standard university purchasing procedures.
2. All direct purchases made by the library from the library book fund shall be made on a special library purchase order.
3. Library purchases that cannot be made on a special library purchase order are made by requisition to purchasing.
4. All contracts required by the vendor must be approved by purchasing prior to issuance of any purchase order.

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9. PROFESSIONAL AND CONSULTANT SERVICES



1. Professional services consist of personal services, which are professional in nature, of an individual or individuals who are not employees of the State of Arkansas. 
2. The purchase of professional and consultant services up to $5,000 can be accomplished by use of a Purchase Order and W-9. 
3. Services exceeding $5,000 in fees require a Professional/Consultant Services Contract and Professional/Consultant Services justification form in addition to a purchase order and W-9.  These contracts require review and advice by the Department of Finance and Administration and the Legislative Council.  Departments are advised to contact the Vice Chancellor for Administrative Affairs Office for the current procedures and form requirements at least twenty (20) working days in advance of the need for such services involving expense from $5,000 to $9,999 and sixty (60) days in advance for those services involving expense of $10,000 or more. Note: If the group or individual has transacted business with ASU-Mountain Home within the previous eighteen (18) months a W-9 will not be required. 
4. Examples of a Professional Services contract include the hiring of Lawyers, Accountants, and Architects.
5. A Consultant Services contract is a contract between a state agency and an individual or organization in which the service to be rendered to the state agency or to a third party beneficiary under the contract is primarily the giving of advice by the contractor on a particular problem or problems facing the agency or the third party beneficiary.

 

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10. SMALL PURCHASES



1. Purchases for most commodities and services totaling $5,000 or less (small orders), including freight but excluding sales tax, may be made by Purchasing without bidding; however, competition will be used to the maximum extent practicable. 
2. Allow a minimum of eight (8) working hours for the processing of all small purchase requests through the Purchasing Department.
3. Repeated small quantity procurement of like items to circumvent the $5,000 limit is prohibited. Departments are advised to exercise prudent judgment in specifying items and entering a suggested source for purchase on the requisition.
4. Purchasing may determine that the item(s) requested are available at better pricing from a source other than the suggested vendor entered by the requestor. However, before making a change of vendor on a requisition, Purchasing will advise the department of the intended change.

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11. INITIAL EQUIPMENT PURCHASES



1. Equipment as defined for inventory purposes is “all tangible property with a total unit cost of $2,500 or more, and having an expected useful life of two years or more. When an equipment item is purchased, a 600 object code account must be used on the requisition. 
2. The dollar value designation of equipment is for formal inventory purposes but does not in any way relieve the departments of accountability for all state property under their control regardless of the dollar value.  Therefore, it is recommended that pilferage type items such as hand tools, clothing, cameras, etc. continue to be maintained on the department inventory in order to prevent losses and to maintain proper accountability.

 

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12. EMERGENCY PROCUREMENT



1. Emergency procurement will be the acquisition of commodities or services which if not immediately initiated will endanger human life, health, or functional capabilities of ASU-Mountain Home.  Emergency procurement shall be approved by the University Procurement Official.
2. Three competitive bids shall be received if available unless the emergency is critical and shall be recorded on the form authorized by the State Procurement Director.  Reports reflecting all emergency procurement for the previous month shall be submitted to the State Procurement Department by the 10th of the month following the reporting period.
3. Poor planning DOES NOT constitute an emergency!

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13. BID PROCEDURES



1. With a few exceptions, all purchases exceeding $5,000 in total cost, not including sales tax, are subject to bid procedures that are to be performed by the Purchasing Department.
1. Purchases from $5,000 to $25,000 (Competitive Bids) require bids in the form of fax, email, or mail, from at least three vendors, with the total price including a firm freight cost, if applicable. 
2. In addition to price quotes, any purchase over $10,000 requires a "Contract and Grant Disclosure and Certification Form" to be completed by the vendor who is awarded the bid. 
2. Competitive Sealed Bids:
1. All contracts for the purchase, lease, or lease with option of purchase of commodities or services totaling more than $25,000 shall be awarded on the basis of competitive sealed bid procedures.  This procedure requires a newspaper advertisement and takes a minimum of thirty (30) days, for bid opening/award, normally longer. Individuals requisitioning should allow time for the above procedures when anticipating their departmental needs. 
2. The requestor is responsible for furnishing a detailed description for each item to be purchased and the names and addresses of any specific vendor(s) to whom they would like the bids submitted.  Purchasing will add to the list the names of vendors who have requested the opportunity to bid on that type of item or service.
3. A bidder list to be used for competitive sealed bids shall be maintained in the purchasing department in accordance with state procurement regulations.
4. A file will be established for each competitive sealed bid and will contain the following:
1. A purchasing requisition
2. A list of bidders who were invited to bid
3. Bid from each bidder who responded
4. Abstract of bids which will be completed at the time of opening with one person reading and another person recording
5. Legal notice which will run in a newspaper with state-wide circulation for at least five days and not more than thirty days prior to bid opening
6. Copy of purchase order
7. Written procurement determinations
5. Competitive sealed bids will be awarded to the responsive and responsible bidder who submits the lowest bid that meets the requirements and criteria set forth in the invitation for bids.
6. There are three types of specifications: 1) Design 2) Performance 3) Combination.  These specifications can be found in a number of places: manufacturer, vendor, catalogs, internet, etc.  Basically a good specification should do four things:
1. Identify minimum requirements.
2. Allow for a competitive bid.
3. List reproducible test methods to be used in testing for compliance with specifications.
4. Provide for an equitable award at the lowest possible cost.
7. Good, clear concise specifications will allow the purchasing department to purchase the item in the most cost efficient manner and ensure that the requisitioning department receives the item with the design and performance features they require.
3. Exceptions to Bid Requirements:  There are a few circumstances and items for which the laws provide exceptions to all or part of the bid requirements. Please note that failing to anticipate needs due to poor planning is not an exception. Certain purchases which may be authorized by the Procurement Official without bid procedures are as follows:
1. Exempt Commodities and Services means:
1. Advertising in newspapers, periodicals, and related publications, television, radio, and billboards, and electronic media.
2. Animals procured for medical research;
3. Commodities and services for use in research, education and treatment for the diagnosis, cure and prevention of disease may be procured, with administrative approval, though a group purchasing entity serving other public health institutions when substantial savings are available.
4. Commodities procured for resale in cafeterias, commissaries, bookstores, gift shops, canteens and other similar establishments. However, such commodities procured shall not be sold or transferred to any agency with the intent of circumventing applicable procurement procedures;
5. Commodities procured from nonprofit workshops in accordance with ACA 19-11-501 et seq.;
6. Contracts awarded by agencies for the construction of buildings and facilities and for major repairs. These contract exemptions shall not extend to the procurement of any commodities not otherwise exempt, which are to be furnished by the agency under any such contract;
7. Contracts awarded by the Arkansas State Highway Transportation Department.
8. Contracts by institutions of higher learning for disposal of personal and consulting services and contracts with students;
9. Farm products procured or sold by a state agency having an agency purchasing official. The current trade customs with respect to the procurement or sale of cotton, cotton seed, rice and other farm products shall be followed when it is necessary to do so in order to obtain the best price for the commodities procured or sold;
10. Fees including medical fees and physician fees;
11. Foster care maintenance services
12. Freight and storage charges and demurrage;
13. Licenses required prior to performance of services;
14. Livestock procured by an agency having an official experienced in selection and procurement of livestock. Such procurement will be reported to the State Purchasing Director giving details of the purchase;
15. Livestock procured for breeding, research, experiment purposes.
16. Maintenance of office machines and technical equipment.
17. Medical items specifically requested by a physician for treatment or diagnosis of patients in his care including prosthetic devices, surgical instruments, heart valve, pacemakers, radioisotope and catheters.
18. Membership in professional, trade, and other similar associations;
19. Perishable foodstuffs for immediate use or processing.
20. Postage;
21. Published books, manuals, maps, periodicals, films, technical pamphlets and copyrighted educational aids for us in libraries and for other informational or instructional purposes, in instances in which other applicable laws do not provide a restrictive means for acquisition of same;
22. Service of some visiting speakers, lecturers, and performing artists;
23. Taxes;
24. Travel expense such as room and board and transportation charges;
25. Utilities services or equipment which is defined, recognized, and regulated by the Arkansas Public Service Commission as a monopoly offering;
26. Works of art for museum and public display.
2. Exempt Commodities and Services do not exclude the approval of a requisition prior to the acquisition of such commodities or services.

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14. SOLE SOURCE PURCHASES



1. In a few cases, an item must be purchased from a sole-source or sole-proprietor.  In these instances, a memo with the following information must accompany the requisition:  (1) What the item/unit is to be used for, (2) Why no other item/unit can be used  (3) Why no other vendor or source can provide the product or a like product.  Final determinations on "Sole Sources" will be made by the University Procurement Official and recommendations for approval by the Chancellor.

 

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15. MULTI-YEAR CONTRACT



1. In the event the State of Arkansas fails to appropriate funds or make monies available for any biennial period covered by the term of a contract for service to be provided by the contractor, the contract shall be terminated on the last day of the last biennial period for which funds were appropriated or monies were made available for such purposes.  This provision shall not be construed to abridge any other right of termination the University may have.

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16. . DISCLOSURE OF BENEFITS RECEIVED FROM CONTRACT



1. All personnel are to be informed that Arkansas Act 483 of 1979, as amended, requires any individual drawing a salary from a State Agency who has or obtains any benefit from any state or ASU contract with a business in which the employee or a member of his immediate family has a financial interest, will report such benefit to the Department of Finance and Administration. This Act covers, in great detail, ethics in public contracting and the penalty for violation of any of the provisions. Persons having questions pertaining to this subject, no matter how minor, should contact the Purchasing Department for specific details. When suggesting a vendor, do not list any known business in which ASU-Mountain Home employees have a known financial interest.
2. In compliance with the requirements of Governor's Executive Order 98-04 and the regulations resulting from such, any Contract executed by Arkansas State University, which exceeds $25,000, shall require the Contractor/Individual to complete a Contract and Grant Disclosure and Certification Form and disclose all information as required. This requirement is for each individual transaction exceeding $25,000.

 

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17. DISPOSITION OF COMMODITIES
    
    
1. Disposition of commodities will be coordinated through the Office of State Procurement, Marketing and Redistribution in accordance with state procurement regulations.  No commodities will be traded-in unless it is determined in writing by the Office of State Procurement, Marketing and Redistribution that the determination of price is acceptable.

 

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18. END OF FISCAL YEAR



1. The end of a Fiscal Year (FY) is on June 30th of each year, thus the expenditure of funds for each FY must be made before this date.  A schedule for processing requisitions will be sent to each department in early March establishing a schedule of deadlines to assist you in planning your expenditures and to avoid confusion over which fiscal year purchase orders will be charged against.  Please note and observe the deadlines to assure that your requisitions will be processed against the correct FY.