Simple, informal method of purchasing items of a lower threshold of up to $10,000 per purchase.
Purchases can be made without soliciting competitively as long as the price is considered to be reasonable.
To ensure fairness in procurement, when using a micro purchase threshold, it is encouraged to use all competitive vendors that are available and willing to provide the goods and services at a reasonable price.
Small Purchases
Simple, informal method of purchasing for items of supply or services with a cost not to exceed $150,000.
Price quotes from an adequate number of qualified sources of supply.
Issuance of a unilateral purchase order.
Sealed Bidding
Conditions of use:
A cost over $150,000
Concise and unambiguous specifications
Three or more responsive and responsible bidders available
Firm fixed price type of contract or purchase order
Selection based on price
Requirements:
Public advertising
Written solicitation with clear specifications
Solicitation of an adequate number of vendors or potential contractors
Public bid opening
Awarded to the supplier offering the lowest price and has been determined to be responsive and responsible
Competitive Negotiations (Request for Proposal, Request for Qualifications, A-E Contracts, Construction Contracts)
Conditions for use:
A cost over $150,000
Selection to be based on other than price alone
Cost reimbursement type of contract
Requirements:
Public advertising and direct solicitation
Insure an adequate number of qualified sources
Evaluation criteria stated in solicitation
Establish methods for technical evaluation
Determine which vendors are appropriate for further negotiations
Select the vendor whose proposal is most advantageous to FAHA
Noncompetitive Negotiation or Bid
Limited to single source or if no other bidders or vendors can be identified after solicitation or advertising
Conditions of use:
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 FAHA.
