Policy - Procurement

Advance Purchase Order Numbers

When an urgent purchasing need exists and there is not sufficient time for the requisitioner to obtain a written copy of the purchase order before making the purchase, an advance purchase order number may be issued by the Purchasing Division. You should contact the buyer assigned to your department or the main number to the Purchasing Division 5-2551. Be prepared to give the following information:  vendor name, cost center number, estimated purchase total, brief description of items. This purchase order number should be given to the vendor, written on the invoice and sent to Accounts Payable.

The University is not legally obligated until the Purchasing Division has authorized the purchase, and any individual making a purchase without proper authority first being given is assuming a personal obligation to the vendor for which they may be held liable. All requisitions for unauthorized purchases (i.e., purchases that have already been completed prior to approval by the Purchasing Division) in excess of $1,000 will be returned to the requisitioner unapproved. Exception: Prior approval is not required for advertising placed directly with a publication, professional memberships, subscriptions, or page charges for  articles published in journals, and extra copies of such articles.  Appeals must be made in writing to the Associate Vice Chancellor for Business Affairs with an explanation of why the normal methods of purchase could not be followed.

Amendment 54

CONSTITUTIONAL ITEMS

Items listed in Amendment 54 to the Constitution of the State of Arkansas are subject to special bidding requirements. The items listed are printing, stationery, and (paper and inks used to produce stationary).  See Office Supply Section for further information. All commodities subject to Amendment 54 that are not available from Printing Services, the Departmental Supplies section of the Bookstore, or State Contract must be bid by Procurement or the Office of State Purchasing. Departments are not permitted to take their own bids on constitutional items regardless of dollar amount. For the convenience of ordering departments, the Departmental Supplies section of the Bookstore stocks many State Contract items and can special order others from the state contract holder for office supplies.

Automobile (Vehicles)

AUTOMOBILE PURCHASES

The number of vehicles allowed in the University's vehicle fleet is closely controlled by the State Legislature. A fixed number of vehicle slots have been authorized for use. The Office of Business Affairs maintains the list of available slots.  Any contemplated additions to the fleet must be reviewed and approved as to the availability of a vacant slot.

SLOT ALLOCATIONS


The University has the opportunity once each biennium to request additional vehicle slots for consideration by the Arkansas General Assembly.

Submit your request and justifications to Fleet Manager, Office of Business Affairs, Administration Building Room 321.   Requests must be received in Business Affairs prior to beginning of the new biennium (received by: April-July 2006, April-July 2008, etc.).

The request and justifications for additional slots should reflect your needs through the two-year biennial period (2005-2007, 2007-2009, etc.).  

VEHICLE PURCHASES

The State contract for vehicles is typically valid from October 1 to March 15th of each year.   You must submit your vehicle request (MV-6 forms) during this period to assure delivery by the manufacturer (GM, Ford, Dodge, etc.).  Please make your requests as early as possible.  Note*** The manufacturers frequently notify us of early production cut-off dates for certain makes and models. Contact the Fleet Manager at 5-2551 prior to submission of your MV-6 and requisition to verify the availability of the vehicle if you haven't ordered by January.

Please submit the following forms, justifications and electronic requisition to the Purchasing department to start the approval and purchasing process:

Submit your requisition on-line using requisition type “PC”.  These commodities will be pulled from the contract file.  Be sure and mark “Y” in the “supporting document” area of the requisition header (REQH).  Attach MV-6 to a requisition cover sheet with the new requisition number written on the front and send to Purchasing.  Options for the vehicles must be added to the requisition as separate line items.  Also, be sure and state an exterior and interior color.  IMPORTANT!!!! USE ONLY ONE REQUISITION PER VEHICLE.  This allows the requisition to match up with the MV-6.

Additional justification letters are required for vehicles that fall into the following categories:

Replacing a vehicle that is less than 5 years old and that has less than 75,000 miles. Very poor mechanical condition is the only justification allowed in this category.  Repairs equaling at least one-half (1/2) of the blue book value of the vehicle.

Upgrading a vehicle. Requesting a larger size vehicle, an extended cab, 4-wheel drive a V-8 engine, etc. (if available on the contract).  Approval from Little Rock Department of Finance and Administration is required for an upgrade to fleet.

Additions to fleet. You must have a vehicle slot (see Slot Allocation) prior to submitting a MV-6 form for additions to the fleet.  Justification as to why an existing vehicle cannot meet the transportation need is required, along with the MV-6. Approval from Little Rock Department of Finance and Administration is required for each addition to the vehicle fleet.

NEW VEHICLE DELIVERY

Fleet vehicle orders are sent to the contract dealers.  The contract dealers then place the orders with the automobile manufacturers.  These vehicles are not built until the manufacturers have enough orders to have a line run in their factories.  This is a lengthy process.
On the average, it will take the University of Arkansas 4 to 6 months to receive a new vehicle after the initial request is received in the Purchasing Division.

USED VEHICLE TURN-IN

Vehicles being replaced must be turned in to Marketing & Redistribution in Little Rock within thirty (30) days after delivery of new vehicle.  The ordering department is responsible for the delivery of the old vehicle to Marketing and Redistribution.  Please be sure to clean vehicle interior prior to delivery to Marketing and Redistribution.

For vehicles that are not mechanically sound to be transported to Marketing & Redistribution,  departments must request permission to conduct on-site sale.  Please contact the Surplus Warehouse manager at 52325 for information and arrangements.

Vehicles ¾ ton or less will be sold by Marketing & Redistribution and the proceeds deposited into the State Motor Vehicle Revolving Fund.  Vehicles one (1) ton or more will be sold by Marketing & Redistribution and the proceeds returned to the agency after deducting administrative fees.

Blanket Orders

BLANKET ORDERS

Blanket orders are to be issued for small purchases, rental and lease arrangements. Blanket orders are not to be used to purchase commodities or equipment, which should be procured by competitive bidding. Blanket orders for small purchases are normally limited to $10,000 per month. There are numerous items under state contracts, which are mandatory on the University and, therefore, may not be purchased from blanket orders. Items are added occasionally as the Office of State Procurement may determine a need for additional contracts. This office enters the following statement on all blanket orders to vendors where there is a possibility that contract items could be purchased: "Important! Purchase of the following items are not permitted against this order: bulk paper towels, bulk toilet tissue, light bulbs or ballasts, tires and tubes, paper, printing, office machines, telephones or accessories, furniture, video tape, or "capital equipment”. If an individual purchases a contract item against a blanket order, it will be his or her personal obligation, as the University is unable to make payment to a vendor who does not hold the contract for that item.  Purchases of food and related items must be identified with a detailed purchase order line description and commodity code number. Each food purchase must be justified by listing University function.   Receiving/Receipt information for food purchases is located in Accounts Payable Procedures.

BLANKET ORDER AUDIT PROCEDURES

At the end of every month, after accounting closes, the Financial Analyst runs a statistical sample report from the data warehouse of blanket purchases.  The selection process includes:

  • All invoices paid during a period (excluding utilities such as SWEPCO, Arkansas Western Gas, ARKLA, City of Fayetteville, Entergy)
  • Select, on average, 10% of total purchases and assign the purchase to the APO, Buyers and Financial Analyst.  The selection process always includes items over $2,500 but after that is a totally random sample (not based on dollar value or BU).
  • The selections are distributed to the various individuals with a date to be returned to the Financial Analyst.  The Purchasing staff will review each item and note those that require additional documentation or justification.
  • The Financial Analyst will maintain a spreadsheet detailing which items require additional information and will contact the department requesting such information by a certain date.

As replies are received from departments, the spreadsheet is updated accordingly.  If the response is not satisfactory, the information will be forwarded to the Business Manager for managerial review.  The Business Manager will respond on an individual incident basis for any inappropriate transaction(s).

If no reply is received from the department, a second notice will be sent within one week of the deadline.  If no response is received from this second notification, the department head will be notified (this notification will be initiated by the Financial Analyst but will bear the signature of the AVCB).  If a response is still not received, all correspondence will be submitted to the Financial Management and Analyst (FMAN) for further action.  The Business Office will take the appropriate action as directed by FMAN.

If, at any time, a suspected fraudulent purchase is discovered, all supporting documentation will be turned over to FMAN.

If, at any time, an inappropriate purchase is discovered, a request for restitution will be made from other sources and the department must provide accompanying documentation.

At the end of the fiscal year (after the Legislative Audit) is completed; all documentation is imaged against the corresponding AP ID number.

Please note that these procedures relate to all blanket purchases except for Wal-Mart and/or Sam’s Club.  The same process is followed for these vendors except that a separate query is run.

Rev. 08.10.13 mkm 

Computers, Computer Parts/Accessories, Copiers, Printers

For technical questions regarding hardware/software information and guidance, please navigate the IT Services Website, or contact the IT Help Desk at 575-2905.

COMPUTERS

COMPUTER PARTS / ACCESSORIES

COPIERS

PRINTERS

COMPUTER STORE:  The University Bookstore operates a Computer Store to serve departments, faculty, staff, and students of the University of Arkansas. This store, located at 616 N Garland Avenue, offers a variety of personal computers, peripherals, and software at discount prices. The Computer Store does not preclude any of the state procedural requirements for departmental purchases. Items that require bidding, justification, etc., must go through the normal purchasing procedures. The Computer Store is now an eligible bidder for University bids.   For your convenience and to avoid long delays in delivery of microcomputers and equipment, many items stocked at the Computer Store meet state bid requirements. Selection of brand and model available for departmental use may be regulated by state purchasing agreements.  Visit the Computer Store for additional information:  http://computers.uofastore.com/ 

 

Conflict of Interest

CONFLICT OF INTEREST
Prohibitions, Violations & Penalties

No firm shall be eligible to sell to any State Agency in any instance in which either the executive head, the State Procurement Administrator or Agency Procurement Official of such agency making the purchase shall have financial interest. It shall be unlawful for any board or commission member or office or employee of the State or any firm with which any such person is connected, to sell to the State Agency with which he is connected, any commodities except in instances in which the price of such commodities is fixed by law or any agency of government with which he is not connected, or in which the price of such commodities is fixed by a contract let by another State Agency.

The executive head or Agency Procurement Official or other officer or employee of any State Agency, or the State Procurement Administrator, who shall knowingly violate any of the provisions of this section shall forthwith be dismissed from employment; and any such officer or employee or board or commission member who shall knowingly make any sale, in contravention of this section shall be guilty of a misdemeanor and upon conviction thereof shall be fined in any sum not to exceed five thousand dollars ($5,000), or by imprisonment in the county jail for not more than nine (9) months, or by both such fine and imprisonment.

Constitutional Items

CONSTITUTIONAL ITEMS

Items listed in Amendment 54 to the Constitution of the State of Arkansas are subject to special bidding requirements. The items listed are printing, stationery, and (paper and inks used to produce stationary).  See Office Supply Section for further information. All commodities subject to Amendment 54 that are not available from Printing Services, the Departmental Supplies section of the Bookstore, or State Contract must be bid by Procurement or the Office of State Purchasing. Departments are not permitted to take their own bids on constitutional items regardless of dollar amount. For the convenience of ordering departments, the Departmental Supplies section of the Bookstore stocks many State Contract items and can special order others from the state contract holder for office supplies.

Contract Items

CONTRACT ITEMS

If information is needed prior to requisitioning any contract item, contact Marla Misamore Contract Manager at 5-5088.   See our website for statewide and University term contracts. Additional commodities may be added to this list at any time. These items must be purchased from the contract source or through a University source such as the Physical Plant and Departmental Supplies of the Bookstore in the Arkansas Union.  For further information visit the Business Affairs Procurement Division web site.

Contract Signature Authority

CONTRACT SIGNATURE AUTHORITY

Authority to bind the University of Arkansas to original purchase order obligations rests with the Executive Vice President or his designee. All contracts are to be forwarded first to the Procurement Division for review and consideration. Purchasing reviews all contracts which may contain provisions, which are not in the best interest of the University, and clauses to which the University cannot be legally bound. Individuals not specifically authorized to do so are not to sign maintenance agreements, leases, licensing agreements, or other contracts for the University.

Copiers and Multifunction Equipment

COPIERS AND MULTIFUNCTION EQUIPMENT

The procurement of all copiers, duplicators, and related equipment requires prior approval of Printing Services and the Office of Business Affairs. Requests for such equipment should be directed to Penny Bellard at 5.5970 for evaluation. In evaluating any request, consideration will be given to whether or not the departments' needs can be met by existing equipment. Departments located within the same building, and possibly adjacent buildings, are expected to SHARE such equipment if at all possible. If a request for new equipment is approved, Printing Services will submit a requisition to Purchasing and Printing Services will write the bid specifications and analyze the bids received.

Emergency Purchase

EMERGENCY PURCHASES

The acquisition of commodities or services which, if not immediately initiated, will endanger human life, health, University property, or functional capability of the University.  All emergency purchases shall be approved in advance wherever possible by the Procurement Division.

Where time or circumstances do not permit prior approval, approval must be obtained at the earliest practical date.  Request for approval shall be made in writing and shall include: 1) Requisition, 2) Quotation Abstract, and 3) Written explanation of how emergency was determined (give specific reasons why the procurement is an emergency).  A minimum of three (3) competitive bids, wherever possible, must be obtained on authorized Bid Quotation Sheet unless the emergency is critical.  If three (3) competitive bids are not obtained, the forms must show the names of at least three (3) firms contacted in attempting to obtain competition.

Ethics

ETHICS

Any attempt to realize personal gain through public employment by conduct inconsistent with the proper discharge of the employee's duties is a breach of public trust. It is a breach of ethical standards for any employee to: participate directly or indirectly in any matter pertaining to any contract, subcontract, or purchase order in which the employee or any member of his/her immediate family has a financial interest. Direct or indirect participation includes involvement through decision, approval, disapproval, recommendation, preparation of any part of a procurement request (requisition or request for bid), influencing the content of any specification, rendering of advice, investigation, auditing, or in any other advisory capacity. Immediate family is defined as spouse, children, parents, brothers, sisters, and grandparents; and accept a gratuity or offer of employment in connection with any decision, approval, recommendation, preparation of a purchase request, or other particular matter, pertaining to any contract, solicitation, or proposal. Gratuity is defined as a payment, loan, subscription, advance, deposit of money, services, or anything of more than nominal value. Any employee who obtains any benefit from any State contract with a business in which the employee has a financial interest shall report such benefit to the Director of the Department of Finance and Administration.

It is a breach of ethical standards for any former employee to engage in selling or attempting to sell commodities or services to the University or any other state agency for one year following the date employment ceased. Any employee or non-employee who shall knowingly violate any of the ethical standards described shall be guilty of a felony and upon conviction thereof shall be fined in a sum not to exceed ten thousand dollars ($10,000), or shall be imprisoned in the penitentiary not less than one (1) or more than five (5) years, or shall be punished by both.

Federal Transit Administration (FTA) Funds

If Federal Transit Administration (FTA) funds are used in any procurement by the University of Arkansas, certain contract clauses may apply based on the nature and dollar value of the procurement. The FTA clauses and applicable types of procurements and thresholds may be found at the following links:

 

Federally Required and Other Model Clauses

Federally Required and Other Model Clauses Matrix

Forms

Gifts, Gift Cards & Gift Certificates Policy & Procedures

GIFTS, GIFT CARDS & GIFT CERTIFICATES POLICY & PROCEDURES

Expenditures of this type fall under Board Policy 260.1 for “Official Functions” designations and associated expenditures.
The Procurement policy is to allow such expenditures under the above Board of Trustee policy with the following procedures:

  1. Requesting department must enter requisition on BASIS, process through appropriate target desks for final approval in the Procurement Department.
  2. The departmental buyer, within the Procurement Department, will review the requisition for appropriateness of the request in support of the University's mission.  The buyer will review these types of requests on a case-by-case basis and shall contact departments for further information if necessary, prior to approval.
  3. Blanket orders for these types of purchases are NOT allowed.
  4. Documentation of award/prize recipients or participation in official university programs must include recipients name, date and title of event and must be retained at the departmental level and provided to the departmental buyer.
  5. Gift cards, shopping cards and gift certificates are all considered the same as cash and the recipient MUST complete a Gift/Prize Award Receipt Form regardless of dollar amount and if it was for payment of services, gift or prize.  Form must be submitted to your buyer.

However, expenditures for official functions (gift cards and certificates) are not the same as gifts.  Gifts to individuals are not allowed by the Procurement Department, with the exception of  “Promotional Items” as stated in State Procurement memorandum of April 9, 2002, and gifts in lieu of payment for speaking engagements.  Gifts for employees are not allowed.

As per the State Procurement memorandum, the following are items that are not prohibited from procurement with appropriated funds:
 

  1. Plaques for student achievements.
  2. Plaques for board or commission members upon termination of service on a board or commission.
  3. Promotional items specifically authorized by language in a state or federal grant.
  4. Items purchased, the cost of which is reimbursed by students.

Internal Orders

INTERNAL ORDERS

Examples of interdepartmental services are: Departmental Supplies section of the Bookstore, Gas Cylinders, Mailing Services, Printing Services, Physical Plant, and Telephone Services. Most interdepartmental transactions are processed by a transfer of funds between departments and no purchase order is required. Departments must maintain budgetary control measures to relate these purchases to total available funds. Purchase Orders will still be required when purchasing equipment (non-consumable items with unit costs $500 and greater).

Licenses/Certification for Employees

LICENSES/CERTIFICATION FOR EMPLOYEES

The University is under no obligation to pay for licenses and certifications required to hold a position of employment.  However, the University may elect to pay certain licensing and/or certification fees when there is a justified need that provides a benefit to the University.  An example of such a need that benefits the University is in the case of the need to fill a position for which no qualified applicants are available who already possess the required licenser, or when labor market conditions are such that it is difficult to recruit and retain employees with the required certification.  Human Resources may be asked to assist in verifying the necessity of such payments for specific positions based on past experiences in recruiting and/or turnover rates.

To initiate payment of licenses or certifications that meet the test of:

  1.  being required to perform the duties needed by the University, or
  2. necessary to recruit and/or retain employee(s) in a position required by the University,

The department should submit an electronic Requisition and this justification form clearly describing the need and the circumstances of the request to the Procurement office.

Life Cycle Costing

LIFE CYCLE COSTING

When bidding air conditioners, heat pumps, and refrigerator/freezers, life cycle cost formulas provided by the Office of State Purchasing must be used in evaluating bids.  Additional commodities may be added to this list at any time.

Marketing & Redistribution

SURPLUS PROPERTY: INVENTORY CONTROL, CANNIBALIZATION, AND DISPOSITION

Equipment for Inventory purposes is defined by the state as “tangible property with a unit cost of $2,500.00 or more and a normal usage life of two (2) years or more, except land or buildings.”

Regardless of dollar value, property may not be traded, sold, salvaged, destroyed, transferred to other state agencies or cannibalized until the Surplus Manager and Marketing and Redistribution have given prior approval.  A written request must be submitted to the Surplus Manager for each item to be traded, sold, salvaged, destroyed, transferred to other state agencies or cannibalized. Include the manufacturer, model, description, serial number, and University of Arkansas Tag Number (if one exists).

In instances where items have become surplus to a department: the departmental contact must enter each inventory or non-inventory item into the BASIS - AIMS via the Surplus process.  Once the surplus batch has been approved, a “Request for Disposal of Surplus Property” report and surplus-inventory bar code labels will be sent via campus mail to the departmental contact.  The surplus-inventory bar code labels should be affixed to the front of the appropriate item.  The Surplus Manager, in coordination with the departmental contact, will schedule a time for pick up of the items.  When items are picked up, the departmental contact must sign a copy of the report verifying what items were picked up.  The items are transported back to the surplus warehouse.  After items have been received and moved to the Surplus Warehouse, the budgetary unit for all capital items will be changed from the department's BU to the surplus warehouse's BU.  These items will no longer be the responsibility of the surplusing department.  Items received at the Surplus Warehouse are either held for recycling back on campus, sold by sealed bid, scrapped, or sold through public auctions.
 Motor Vehicleseligible to be registered for highway use, whether registered or not, may be cannibalized after obtaining authorization. These vehicles will not be removed from your inventory listing until the carcass of the vehicle has been disposed of by M&R. In no event shall more than ninety days elapse between authorization of cannibalization and processing the carcass for disposal by Marketing and Redistribution.

Memberships

PAYMENTS FOR MEMBERSHIPS

Membership Policy

Minority Purchasing

PURCHASING FROM MINORITY OWNED BUSINESS

Act 698 of 1991 establishes a procurement goal of ten (10) percent of annual business with minority businesses and defines a minority as “a black citizen or black lawful permanent resident of the State of Arkansas.”  It is the policy of the University of Arkansas to use minority businesses in contracting to the maximum extent that is feasible. All departments are encouraged to do business with minority businesses whenever possible. Minority Vendors Business Directory

Moving/Relocation

Office Supplies

OFFICE SUPPLIES

Nearly all office supplies, regardless of intended use, must be purchased from the Departmental Supplies section of the Bookstore in the Arkansas Union or purchased from our contract holder (contact Purchasing Division for current contract holder).  As a convenience to departments, most office supply items under contract are stocked by the Departmental Supplies section of the Bookstore. If the Departmental Supplies section does not have the item needed in stock, you may request them to order it for you. Departments are advised that many items under contract are not available by choice of brand and model number as contracts are awarded on goods meeting minimum specifications or on an "as equal basis.”

Official Functions

Official Functions Policy - Board Policy  260.1

Meal Reimbursement - Not on Travel Status

 

P-Card

PROCUREMENT CARDS

The University of Arkansas Procurement Card Program has been established to provide a expeditious way to make small dollar commodity purchases while reducing the costs associated with requisitioning and payment. The procurement card should reduce the need for blanket purchase orders, personal reimbursements and invoice attached requisitions, which are now being used.

University employees are entrusted and empowered with the ability to make small dollar purchases on behalf of their department. Along with this empowerment comes responsibility. Cardholders are expected to make sound business decisions in the best interest of the University and always comply with University and State polices and procedures.

The University Procurement Division is responsible for managing the program, and each Academic or Administrative department is responsible for managing its cardholder accounts. Instructions on use of the PCard can be viewed in the PCard policy.

Paper Products

PAPER PRODUCTS

All paper products not on a state contract and not considered an Amendment 54 item greater that $10,000 will be bid.  Paper products that are considered to be “Constitutional Items” are subject to even stricter bidding requirements.  The University is required by law to give preference to recycled paper whenever purchasing paper products of any kind and to report paper purchases to the Office of State Procurement on a monthly basis.

Personal Convenience Items, Gifts, Etc.

PERSONAL CONVENIENCE ITEMS, GIFTS, ETC.

University funds may not normally be used to procure items which are primarily for the personal convenience, use, benefit, or remembrance of employees.
Example of items falling in this category include, but are not limited to, the following:
 

  • Aspirin, etc. for general day-to-day use
  • Candy
  • Coffee makers and supplies
  • Coffee service
  • Cooking appliances
  • Microwaves
  • Flowers (except for official University functions)
  • Refrigerator Units
  • Supplies and food for office parties

Personal Reimbursements

PERSONAL REIMBURSEMENTS

Reimbursement for out of pocket purchase of items not incurred as part of authorized travel must be requested by submitting a Requisition, completed Reimbursement Claim Form with explanation of circumstances requiring out of pocket expenditure, and itemized paid receipts. Employees are cautioned that only emergency situations warrant use of personal funds. Exceptional circumstances should be directed to the attention of the Business Manager for consideration.  Reimbursement is limited to $5,000 in total. Payments are normally made only to University employees. However, under certain circumstances reimbursements may be made to students and official guests when in the conduct of official University business.  Due to the administrative cost of processing purchase orders, please hold receipts for small amounts until at least $25.00 has been accumulated before submitting for reimbursement.

Professional Contract Services (PCS)

PROFESSIONAL CONTRACT SERVICES (PCS)

The following are current requirements for contract review and approval:

PCS $0-$10,000.00 (excluding reimbursable expenses) may be processed on a Purchase Order via submission of a purchase requisition and registering at Vendor Registration prior to performance of the services. If more than one contract in the same Fiscal Year exceeds $5,000 with one individual or firm, details of original and all subsequent contracts must be reported to the Office of State Procurement (OSP).  Average process time is 24-48 hours.

PCS $10,000.01- $50,000.00 (excluding reimbursable expenses) complete entire PCS contract, (pages 1-7). Submit the contract, registering at Vendor Registration , and Contract and Grant Disclosure and Certification form, and a purchase requisition to the Office of Business Affairs for review and processing after securing signature of the Contractor.  Contracts in this category require approval by the Office of State Procurement.  Average process time is approximately four weeks.

PCS $50,000.01 + (total compensation, excluding reimbursable expenses) complete entire PCS contract, registering at Vendor Registration , Contract and Grant Disclosure and Certification form, and a purchase requisition to the Office of Business Affairs for review and processing after securing signature of the Contractor.
Method of contractor selection should be by one of the following:

  • Competitive bids (minimum of 3 with award to lowest or justified best)
  • Request for proposals with award based on the most effective solution for the price
  • sole source when the first two methods are not applicable (Must provide adequate justification on PCS contract seven question memorandum).

When hiring out-of-state contractors, if the contract is subject to Legislative Council or Joint Budget Committee review, written justification stating why an Arkansas resident cannot provide the services must accompany the contract.  This justification must include the following information:

  • What attempts were made to locate Arkansas residents to perform the required services?
  • If Arkansas residents were located, what competitive bidding process was followed?
  • If Arkansas residents were not selected, why couldn't they provide the required services?

Contracts in this category require further approval by the University Vice President for Finance, Office of State Procurement, and Legislative Council.
Note:

  • All reviews and approvals must occur prior to contract executive date.
  • Amendments extending contract duration beyond contract ending date requires submission of original and amendments to Legislative Council for review.
  • Legislative Council may review or exempt from review any contract or group of contracts.
  • Legislative Council may require an agency representative to be present at time of review.

This process can take from six to eight weeks depending on Legislative Council's schedule, so contact the Procurement Division early in the process.

Architectural, interior design, engineering, data processing and telecommunication service contracts require additional justification and review processes. Contact Procurement Division for additional information.

Purchase Order Cancellation

CANCELLATION OF PURCHASE ORDERS

Purchase Orders create a binding contractual obligation on the University. Cancellation is therefore often limited to cases of default by the vendor or by mutual agreement of the contracting parties.  Cancellation of a purchase order can be made only after the ordering department submits an explanation with specific reasons for the cancellation and it is approved by the Purchasing Division. Some reasons that may allow cancellation of a purchase order are:

  • Requested by ordering department and vendor concurs.
  • Requested by vendor and ordering department concurs.
  • Duplicate of a previous order.
  • Vendor unable to supply.
  • Non-delivery by vendor.
  • Vendor failure to meet specifications or conditions.
  • Order issued in error.
  • Funds unavailable - blanket orders only.
  • No longer needed - blanket orders only.
  • If a cancellation is not approved, the ordering department will be notified.

Purchases Less than $10,000.00 - Small Order Purchases

PURCHASES LESS THAN $10,000.00 - SMALL ORDER PURCHASES

The State of Arkansas considers purchases totaling $10,000 or less, including freight but excluding sales tax, to be Small Order Purchases. These purchases may be made without bidding but competition should be used to the maximum extent practicable. This limit does not apply to state and institution contract items and printing.
Departments are advised to exercise prudent judgment in specifying items and entering a source for purchase on the requisition. The Procurement Division will provide information as needed on product specifications and vendor experience for any particular class of commodity for which they have information. Caution:  Repeated small quantity purchases of similar items to circumvent the $10,000 bid limit are prohibited. Allow two (2) working days for Purchasing to process after the requisition has been approved by your department. If your requisition is under $5,000 and meets certain parameters, it will qualify for the Auto Purchase Order function in BASIS. This type of purchase will automatically issue a Purchase Order, by-passing buyer review.  Auto PO’s are reviewed during post-audit.

Purchases $10,000.01 To $50,000.00 - Competitive Quote Bids

PURCHASES $10,000.01 to $50,000.00 - COMPETITIVE QUOTE BIDS

Bid Quote Request Form (formerly Fax Quotation Sheet)

Written/Fax Competitive Quote Bids may be obtained by departments for bidding purchases which total more than $10,000 but do not exceed $50,000 including freight but excluding sales tax. A minimum of three (3) bids (with actual dollar amounts) must be received, one of which should be a minority vendor, if available for that commodity.  If you receive a "no bid" or "no response" from a minority include that on your tab sheet as well as three (3) other quote bids. Departments should use the Faxed Quotation Sheet and Telephone Quotation Tab Sheet listed above when requesting bids.
Allow Four (4) working days for purchasing to process after your department has approved the requisition in BASIS. Send copies of the vendor’s quote response and completed tab sheet to your buyer’s attention by email or fax. Attachments will be reviewed prior to issuance of a Purchase Order.
Departments are given the delegation to solicit bids in this price range but Purchasing is available to assist in processing these bids if departments do not have the time or qualified staff.

Purchases Exceeding $50,000.00 - Formal Bids

PURCHASES EXCEEDING $50,000.00 – FORMAL BIDS

Commodity purchases or services not covered by a state or institutional contracts which total more than $50,000, leases which exceed $50,000 within the duration of the contract, and leases with option to purchase when the value of said commodity is more than $50,000 require formal competitive sealed bidding by the Procurement Division. The average processing time is six (6) to eight (8) weeks as the bid must be developed, advertised, the responses evaluated and the bid awarded.  Individuals requisitioning items should allow time for the above procedures when anticipating their purchasing needs. It is never too early to work with your buyer on minimum specifications and delivery requirements.

Purchasing Authority

PURCHASING AUTHORITY

All types of purchases from University Company Cost Centers, regardless of source of funds, are subject to regulations and procedures as stipulated in Arkansas statutes. The Procurement Division is the sole purchasing authority for the University. Only purchases authorized by this authority are legal obligations of the University.

Purchasing Delegations

PURCHASING DELEGATIONS

The Procurement Division has delegated limited purchasing authority to the University Libraries for purchasing library books, periodicals, on-line subscription services and similar materials for lending and reference purposes.  For these purchases, orders may be issued directly from the Library to the vendor. All other purchases are to be processed through the Procurement Division.

Rental, Leases, Lease/Purchase

RENTALS, LEASES, LEASE/PURCHASES OF COMMODITIES AND REAL ESTATE

All rentals, leases and lease/purchase contracts or renewal of any such contract for commodities require prior approval of the Purchasing Division. Originals of the entire proposed written agreements should be submitted for execution along with a completed electronic requisition in BASIS. Faxed copies of agreements are not acceptable. In those instances where policy has not been established and reasons for rental are not obvious, a memorandum of justification should accompany the request. Meeting temporary needs is one of the prime reasons for renting without including an option to purchase.

All contracts for rental or lease of a commodity which exceed a cost of ten thousand dollars ($10,000) during the initial period of the contract, and all contracts for the lease of a commodity which do not exceed ten thousand dollars ($10,000) during the initial period of the contract but contain an option to purchase a commodity costing more than ten thousand dollars ($10,000) must be awarded on the basis of competitive sealed bids with the following exceptions: Postage meter leases.  Motor vehicle leases for thirty (30) days or less may be procured by use of competitive bid procedures. However, all motor vehicle leases must be approved by the State Purchasing Director. (This policy does not apply to car rental covered under Travel Regulations).  Agricultural equipment leases for one hundred twenty (120) days or less may be procured by use of competitive bid procedures. No lease or rental duration including renewals can extend beyond a five (5) year period. No contract greater than ninety (90) days for the rental or lease of commodities on State contract shall be approved unless the State Purchasing Director determines in writing that it is in the best interest of the State.  Contracts for lease or rental of certain commodities where

  1. the cost does not exceed one thousand dollars ($1,000) during the initial period of the contract, and
  2. no option to purchase exists, may be made without seeking competitive bids.

However, such rentals/leases may not be renewed beyond accumulated expenditures of one thousand dollars ($1,000).  Most lease/rental of real estate (land, building, warehouses, parking lots, towers, etc.) requires the coordination and approval by Arkansas State Building Services. University needs should be identified and requested through the Associate Vice Chancellor for Business Affairs. The Office of Business Affairs will submit requests for new leases to State Building Services (SBS).Such requests should be submitted ninety (90) days prior to the date the property is needed. SBS will review the request, locate or confirm appropriate property, and act as leasing agent for the University in negotiating the lease/rental of such property. Renewals on Lease/Rental Agreements are also coordinated by SBS through the Office of Business Affairs.

Software

For technical questions regarding hardware/software information and guidance, please navigate the IT Services Website, or contact the IT Help Desk at 575-2905.

Adobe Software 

Microsoft Software

Microsoft Campus Agreement

Sole Source

SOLE SOURCE PURCHASES (for purchases exceeding $10,000.00)

Sole Source purchases can be made only after the ordering department submits a requisition with a completed on line BASIS sole source justification form, and receives approval for such purchase by the Procurement Division and the Associate Vice Chancellor for Business Affairs.
Sole source purchases can be justified in one of three ways:

  1. Purchase of repairs involving hidden damage.
  2. Purchase requiring performance compatibility with existing commodities and/or services.
  3. Purchase based on performance specifications.

Contact 4-help or your buyer for additional information.

Special Handling Purchases

RECEIVING FREIGHT, AND PROCEDURE FOR HANDLING SHORTAGE AND DAMAGE CLAIMS

Only those individuals who are knowledgeable about procedures for handling shortage and damage claims should have authority to receive freight shipments. It is very important that the individual receiving freight attempt to determine if damage has occurred prior to signing for receipt of the shipment. Undetected or concealed damage may result in the department having to assume partial responsibility for replacement cost. For this reason, it is important to note any carton or crate damage on the receipt/bill. When receiving freight the following items should be verified: 1) Ship To Address, 2) Purchase Order Number, 3) Condition of Shipment

Noting and Reporting Freight Damage:  If damage is apparent, the freight receipt/bill should be so noted by the receiving party prior to signing the receipt/bill. Any dents, scratches, punctures, or damage of any nature to carton or crating should be noted on the receipt copy and consignee copies of the freight bill. Any shortages should be noted on the freight bill prior to signing for receipt. Concealed damage claims must be filed within fifteen (15) days of receipt of shipment. NOTE: DO NOT DESTROY CARTONS OR OTHER MATERIALS USED IN PACKING. As soon as damage is discovered, a Department should immediately call the delivering carrier and request inspection. When the agent of the carrier comes, he must see the packing and merchandise. The agent must complete a concealed damage report and provide a copy to the department.

State Purchasing Contract Items

CONTRACT ITEMS

If information is needed prior to requisitioning any contract item, contact Marla Misamore Contract Manager at 5.5088.   See our website for statewide and University term contracts. Additional commodities may be added to this list at any time. These items must (if mandated) be purchased from the contract source or through a University source such as the Physical Plant or Departmental Supplies at the University Bookstore.  For further information visit the Business Affairs Procurement Division web site.

Surplus Property

SURPLUS PROPERTY: INVENTORY CONTROL, CANNIBALIZATION, AND DISPOSITION

Equipment for Inventory purposes is defined by the state as “tangible property with a unit cost of $5,000.00 or more and a normal usage life of two (2) years or more, except land or buildings.”

Regardless of dollar value, property may not be traded, sold, salvaged, destroyed, transferred to other state agencies or cannibalized until the Surplus Manager and Marketing and Redistribution have given prior approval.  A written request must be submitted to the Surplus Manager for each item to be traded, sold, salvaged, destroyed, transferred to other state agencies or cannibalized. Include the manufacturer, model, description, serial number, and University of Arkansas Tag Number (if one exists).

In instances where items have become surplus to a department: the departmental contact must enter each inventory or non-inventory item into the BASIS - AIMS via the Surplus process.  Once the surplus batch has been approved, a “Request for Disposal of Surplus Property” report and surplus-inventory bar code labels will be sent via campus mail to the departmental contact.  The surplus-inventory bar code labels should be affixed to the front of the appropriate item.  The Surplus Manager, in coordination with the departmental contact, will schedule a time for pick up of the items.  When items are picked up, the departmental contact must sign a copy of the report verifying what items were picked up.  The items are transported back to the surplus warehouse.  After items have been received and moved to the Surplus Warehouse, the budgetary unit for all capital items will be changed from the department's BU to the surplus warehouse's BU.  These items will no longer be the responsibility of the surplusing department.  Items received at the Surplus Warehouse are either held for recycling back on campus, sold by sealed bid, scrapped, or sold through public auctions.
 Motor Vehicles eligible to be registered for highway use, whether registered or not, may be cannibalized after obtaining authorization. These vehicles will not be removed from your inventory listing until the carcass of the vehicle has been disposed of by M&R. In no event shall more than ninety (90) days elapse between authorization of cannibalization and processing the carcass for disposal by Marketing and Redistribution.

Sustainability

SUSTAINABILITY

The University is committed to sustainability in procurement by conducting business with integrity and a strong core value of being a good steward of the environment to ensure a better quality of life, both now and for generations to come. We will purchase equipment and supplies that are energy efficient and environmentally friendly whenever they are available and practicable.

Technology Access Clause

TECHNOLOGY ACCESS CLAUSE

The Vendor expressly acknowledges that state funds may not be expended in connection with the purchase of information technology unless that system meets certain statutory requirements, in accordance with State of Arkansas technology policy standards relating to accessibility by persons with visual impairments.

Accordingly, the Vendor represents and warrants to University of Arkansas, Fayetteville that the technology provided to University of Arkansas for purchase is capable, either by virtue of features included within the technology or because it is readily adaptable by use with other technology, of:
 

  1. providing equivalent access for effective use by both visual and non-visual means;
  2. presenting information, including prompts used for interactive communications, in formats intended for non-visual use; and
  3. being integrated into networks for obtaining, retrieving, and disseminating information used by individuals who are not blind or visually impaired.


For purpose of this paragraph, the phrase “equivalent access” means a substantially similar ability to communicate with or make use of the technology, either directly by features incorporated within the technology or by other reasonable means such as assisting devices or services which would constitute reasonable accommodations under the American with Disabilities Act or similar state or federal laws.  Examples of methods by which equivalent access may be provided include, but are not limited to, keyboard alternatives to mouse commands and other means of navigating graphical displays, and customizable display appearance.

If requested, the Vendor must provide a detailed plan for making this purchase accessible and/or a validation of concept demonstration.

Terms and Conditions for Purchase Orders

See Standard Terms & Conditions for Purchase Orders

Trade-In Procedures

TRADE-IN PROCEDURES

Items not needed or being replaced can be listed as a trade-in on the bid request or requisition submitted for purchase of new equipment.  The manufacturer, model, serial number, University of Arkansas property number, date of purchase, price paid, statement of present condition and location must be provided for the trade-in unit.  Since all equipment trade-ins must be approved by Marketing and Redistribution (M&R) in Little Rock, bids will be issued with the stipulation that the trade-in offered may or may not be accepted.  Departments should contact the Purchasing Division for special training and assistance when needed.

FEDERAL SURPLUS PROPERTY

Departments may procure needed commodities available at the State Agency for Federal Surplus Property located at 8700 Remount Road, North Little Rock, Arkansas. Authority to procure items at the agency is now administered through identification cards issued to the University. Departments sending individuals to shop at the surplus property agency must obtain temporary use of an identification card at the Office of Business Affairs. The card is to be returned immediately upon return to campus. If any items are obtained, a "Confirmation "Requisition should be entered from the receipt copy furnished at the time of pick up. The receipt copy of the invoice should be retained as a file copy. The invoice copy mailed to the University should be processed by the regular invoice procedure. Do not use the receipt copy as the invoice.  

Trademark Licenses

Types of Purchases

TYPES OF PURCHASES

PURCHASES LESS THAN $10,000.00 - SMALL ORDER PURCHASES

The State of Arkansas considers purchases totaling $10,000 or less, including freight but excluding sales tax, to be Small Order Purchases. These purchases may be made without bidding but competition should be used to the maximum extent practicable. This limit does not apply to state and institution contract items and printing.
Departments are advised to exercise prudent judgment in specifying items and entering a source for purchase on the requisition. The Procurement Division will provide information as needed on product specifications and vendor experience for any particular class of commodity for which they have information. Caution:  Repeated small quantity purchases of similar items to circumvent the $10,000 bid limit are prohibited. Allow two (2) working days for Purchasing to process after the requisition has been approved by your department. If your requisition is under $5,000 and meets certain parameters, it will qualify for the Auto Purchase Order function in BASIS. This type of purchase will automatically issue a Purchase Order, by-passing buyer review.  Auto PO’s are reviewed during post-audit.
 

PURCHASES $10,000.01 to $50,000.00 - COMPETITIVE QUOTE BIDS

Bid Quote Request Form (formerly Fax Quotation Sheet) 
Telephone Quotation Tab Sheet

Written/Fax Competitive Quote Bids may be obtained by departments for bidding purchases which total more than $10,000 but do not exceed $50,000 including freight but excluding sales tax. A minimum of three (3) bids (with actual dollar amounts) must be received, one of which should be a minority vendor, if available for that commodity.  If you receive a "no bid" or "no response" from a minority include that on your tab sheet as well as three (3) other quote bids. Departments should use the Faxed Quotation Sheet and Telephone Quotation Tab Sheet listed above when requesting bids.
Allow four (4) working days for purchasing to process after your department has approved the requisition in BASIS. Send copies of the vendor’s quote response and completed tab sheet to your buyer’s attention by email or fax. Attachments will be reviewed prior to issuance of a Purchase Order.
Departments are given the delegation to solicit bids in this price range but Purchasing is available to assist in processing these bids if departments do not have the time or qualified staff.

PURCHASES EXCEEDING $50,000.00 – FORMAL BIDS

Commodity purchases or services not covered by a state or institutional contracts which total more than $50,000, leases which exceed $50,000 within the duration of the contract, and leases with option to purchase when the value of said commodity is more than $50,000 require formal competitive sealed bidding by the Procurement Division. The average processing time is six (6) to eight (8) weeks as the bid must be developed, advertised, the responses evaluated and the bid awarded.  Individuals requisitioning items should allow time for the above procedures when anticipating their purchasing needs. It is never too early to work with your buyer on minimum specifications and delivery requirements.

Uniform Federal Guidance

The following Federally Required and Other Model Clauses are listed for your information as they may relate to Projects or Purchases using Federal Funds or other funding sources. Unless determined otherwise, You, as the Authorized Representative of the submitting company or firm, must select all Required and Model Clauses relevant to the project under discussion and required of your Applicant (or it) and support and complete the requirements before funding for the Project may proceed.

Federally Required and Other Model Clauses

Federally Required and Other Model Clauses Matrix

Terms and Conditions

Used Equipment

USED EQUIPMENT PURCHASES

State procurement law does not exempt purchases of used equipment from bidding requirements. Used equipment must normally be bid in the same manner as new. Contact the Procurement Division regarding instructions for used equipment transactions.

Wireless Remote Data Access

REMOTE HIGH SPEED and/or WIRELESS DATA ACCESS
The University may pay installation, initial data network equipment, and monthly service costs for remote data access off-campus for employees under the following conditions:
 

  • The employee requires remote data access to meet work related responsibilities at the University as determined by the employee's supervisor.
  • The employee is responsible for all installation and maintenance of any permanent network infrastructure (e.g., cabling, hubs, switches) installed in the home that is not considered to be part of the ISPs normal installation.
  • The employee certifies that the services will not be used for either “for profit” business activities or for “political” purposes.
  • Eligibility for such payment is approved by the cognizant department head, Dean, Vice Chancellor/Provost, or the Chancellor.
  • Payment is approved by the budget unit head to be charged.  Such approval is signified by approval of the requisition authorizing payment.
  • The ISP providing the service is a reasonable cost provider of comparable remote data service in the service area at the time that service is initiated.
  • The University of Arkansas assumes no support responsibility for the commercial remote access services.  Support should be obtained through the normal channels provided by the ISP.
  • The employee certifies that any personal use of the access service is either incidental in nature or the non-university use is monitored, logged, and paid for by the individual.  Such shared-payment scenarios should be disclosed and justified as part of the eligibility approval process, or at the time any such shared use is begun.
  • Eligibility ceases with separation from the University and is approved annually.
  • To initiate payment for off-campus data access under this policy a department should submit an electronic Requisition in BASIS along with a justification that clearly describes the need and circumstances of the request to the Procurement Office.  A justification form for this purpose is available on-line at www.uark.edu/purchasing, click on forms.