TX CLASS: AM580
Purchasing Rules and Regulations
www.utsa.edu/purchasing
PURCHASING AND DISTRIBUTION SERVICES
DEPARTMENT
Interim Director
Lane Brinson
 Purchasing Buyers






Paul Duke, ext. 4064
Julie Gohlke, ext. 5076
Patty Burrier, ext. 4062
Sandra Calderon, ext. 8680
Mariano Alaniz, ext. 5077
Brian Bird, ext. 4068
 eProcurement Specialist
Elizabeth Raymond, ext. 4598
 Purchasing Business Analyst
Yvette Medina, ext. 4974
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ORGANIZATIONAL CHART
Purchasing and Distribution
Services
Purchasing
Office
Mail Services
(1604)
HUB
Office
Central
Receiving
Mail Services
(DT & ITC)
3
COURSE OBJECTIVES
• Discuss and evaluate Purchasing Rules
• Examine compliance in relation to Purchasing
• Outline HUB requirements from the state and university
• Evaluate Ethics in regards to self and working with vendors
• Review Spending Thresholds for procurement
• Breakdown and demonstrate various Procurement Methods
• Differentiate and discuss Small vs. High dollar procurement
• Demonstrate the uses of the UTSA Supplier Mall and Purchasing website
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Questions
before we
get
started?
PURCHASING TERMS
 Requisition – A request to purchase goods
or services
 Quotation – Obtaining a price for a good or
 Receiving Report – A report
informing appropriate parties of goods
received by the University
service
 Purchase Order – A formal agreement to
purchase based on an offer to sell
 Informal Bid – Low value, low risk
procurement conducted through informal
methods
 Formal Bid – High value, high risk
procurement conducted utilizing formal
purchasing methods
 Invoice – A request for payment for
goods or services which were delivered
 Category Code - A
code describing
a commodity or a group of commodities
pertaining to goods classification.
 UNSPSC 8 digit codes
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PURCHASING RULES
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COMPLIANCE
(STATE AND UTSA PURCHASING)
•
•
Section 51.9335, Education Code definition of
“Best Value“
The Board of Regents' Rules and Regulations
UTSA's HUB (Historically Underutilized
Businesses) policies
Senate Bill 20
To Standards of Ethical Conduct
•
All Applicable Laws, Rules, and Regulations
•
•
•
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HISTORICALLY UNDERUTILIZED BUSINESS
(HUB) PROGRAM
• What is the purpose of the HUB Program?
• What classifies a HUB?
• Why are HUB’s Important to UTSA?
• HUB Program Events
• Quarterly Newsletter
• HUB Awards Ceremony (November)
• Vendor Fair (March/April)
• How to search for a HUB Vendor?
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HISTORICALLY UNDERUTILIZED BUSINESS
(HUB)
UTSA HUB Program Contact:
Bruce Williams
Phone: 458-6491
Website: www.utsa.edu/hub
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PROCUREMENT ETHICS
• Ethics of self and university
• Tax Payer
• Impropriety
• Ethics with vendors
• No Special Consideration
• Equal Opportunity
• Further information of U.T. System Ethics Policies
and Guidelines is available on UT systems web
site.
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PROCUREMENT SPENDING THRESHOLDS
Dollar Range
Procedure
Authorization limit for department buyers. Bids are not required.
 Small dollar requisitions are created by Department Buyers
 Use HUBs (Historically Underutilized Businesses) when available
$0.01 to
$15,000.00
(Small Dollar)

$15,000.01 to
$50,000.00
(Informal Bid)

$50,000.00 and
over
(Formal Bid)

Purchasing must compete the purchase order by competitive
bidding (soliciting to a minimum of two certified HUB vendors)
 Purchase Orders are completed by Purchasing
Purchasing must compete the purchase order by a formal proposal
(soliciting to a minimum of two certified HUB vendors) with posting
requirements
 Purchase Orders are completed by Purchasing
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Questions?
PROCUREMENT METHODS
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PROCUREMENT METHODS
• Best Value
• Competitive Bid
• Group Purchases
• Sole Source
• Request for Proposal (RFP)
• Emergency Purchase
• Exempt Purchases
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BEST VALUE PROCUREMENT
• Best value - optimum combination of economy and
quality through specifications of its end user and the
University.
• House Bill 1545
• Senate Bill 20
• The university uses an evaluation criteria other than
price alone to determine Best Value.
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COMPETITIVE BIDDING
 What is competitive bidding?
 Why compete goods and services?
 Restrictions to Competitive Bidding:
 Set Specifications
 Limited Ability to Negotiate
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GROUP PURCHASES
• What is a group purchase?
• Types of Group Purchases
• Group Cooperatives
• State Contracts
• Link to Group Purchasing Organizations
• www.utsa.edu/purchasing/suppmall/index.cfm
• Govern Abbott Directives – Competitive
Process on GPO’s
• Vice Chancellor Scott Kelly – Limitation to
GPO’s
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SOLE SOURCE
• A Sole Source is defined as having
availability from ONLY one source.
• Sole Source can only be used
when:
•
•
Sole Manufacturer – NO distributors or
retailers
Sole Brand – to avoid warranty issues
• Exclusive Acquisition Justification
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REQUEST FOR PROPOSAL (RFP)
• What is a RFP?
• When do I need a RFP?
• What is the process of a RFP
procurement?
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EMERGENCY PURCHASES
• Purchase of good(s) or service(s) so badly needed that UTSA will suffer financial
or operational damage unless secured immediately
• Require written justification approved by Purchasing with Signature Authority
• The reason for the emergency
• The financial or operational damage/risk possible to the University
• Why standard procedures could not be used to obtain the products/services
• The reason and process used for selecting the vendor
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EXEMPT PURCHASES
• Exemption is given to specific commodities and services
• Exempt purchases do not require a competitive procurement
process
• Exempt purchases do not need a sole source justification
• For a full listing of Exempt commodities and services, visit the
Purchasing website.
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Questions?
PURCHASE REQUISITION
PeopleSoft Requisition
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SMALL DOLLAR REQUISITION
• “Small Dollar” or Low Risk / Low Value
• Department authorized and approved
• Informal purchasing process
• Requires quote(s) from vendor(s)
• HUB participation is strongly encouraged
• Utilization of Sustainability Vendors and Products
• Orders under or equal to $15,000 may be processed by the
department and should not be sent to purchasing.
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SMALL DOLLAR – EXCEPTIONS
• Orders containing the following commodities should be submitted
to purchasing for processing:

Radio Active Material

Anything requiring a signature

Leases (space)
• Processing small dollar exceptions using UTShare PeopleSoft
• Follow the instructions listed on Purchasing with UTShare
PeopleSoft (www.utsa.edu/purchasing/PS_Purch_Forms.cfm).
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HIGH/LARGE DOLLAR REQUISITION
• Initiates the Purchasing
Process
• Representative of High Risk or
High Value Purchases
• Can range in cost from $0.01
to $???
• Routes to Purchasing
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HIGH DOLLAR REQUISITION PROCESS
Orders $15,000 - $50,000
Orders over $50,000
• Purchasing involvement
required
• Purchasing involvement required
• Requires solicitation of HUB
vendors
• Requires solicitation of HUB
vendors
• Pricing obtained by informal
procurement
• Pricing obtained by formal
procurement
• Public Posting
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Questions?
PURCHASING WEBSITE
and Additional Purchasing Information
UTSA SUPPLIER MALL
• Purchasing Resource
• Contracts with volume discounted
pricing
• Efficient ordering method
• Emphases on HUB presence
• Purchases can be made by
Purchase Order or Procard (as
applicable).
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WHAT'S IN THE UTSA SUPPLIER MALL??
•
Find contract information for Preferred Suppliers
in the following commodities:
 Office Supplies
 Printer Purchases (HP, Dell, Lexmark)
 Cylinder Gas
 Moving/Relocation Services
 Scientific Supplies
 Technology Supplies
 And more!!
•
Visit: www.utsa.edu/suppliermall for further
information or contact your departmental buyer.
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UTSHARE PEOPLESOFT PURCHASING
RESOURCES
• Procurement Procedures
• Purchase Order Corrections
• Radio Active Orders
• Return to Vendor Process
• PeopleSoft Training Information
• Instructional Guides
• User Productivity Kits (UPK’s)
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ADDITIONAL PURCHASING INFORMATION
Contract
•
NEVER sign contracts or agreements
•
Only the President can delegate authority to sign contracts
•
OGC (Office of General Counsel) provides sample contracts
•
Departments should submit all purchasing contracts to the Purchasing Department
Construction, Renovations & Facilities
•
Any proposed construction and/or renovations are to be routed through UTSA Facility Services
via a work order
•
Facility Services will determine the best way to procure the renovations
Information Technology
•
Any request for hardware or software should be coordinated through Information Technology.
Visit the OIT website for Computer Standards.
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THANK YOU