micro purchase & small purchase procurement · 2018-02-07 · regulations. 200. 320(a) 200.67 ....

Micro Purchase & Small Purchase Procurement

Informal Procurement MethodsMicro Purchases Small Purchase

Procedures Regulations 200. 320(a)

200.67 200.320(b)200.88

Procedures in a nutshell

Micro-purchase: acquisition of supplies or services not exceeding $3500; must distribute equitably among qualified suppliers; may be awarded without soliciting competitive quotations if price is reasonable.

Purchases <=$150,000for Charter Schools; $30,000 for others in Louisiana (or local threshold if less);minimum of two price quotes.

StateAgency Oversight

Assurance of reasonable and necessary costs; distribute equitably; Buy American.

Assurance of competition; Buy American.

Benefits of Micro Purchase

Districts can react quickly to changing markets and urgent needs

Helpful for small SFAs

Purchasing local

Local Procurement

Benefits:Support local communityLower school meal program costsIncreased participation

Resourceswww.fns.usda.gov/farmtoschoolProcuring Local Foods for Child

Nutrition Programs guide

Things to Consider

Splitting procurements (NO--to circumvent)

Reasons to issue separate bid solicitations

Procurement for a specific item

MICRO PURCHASE

Micro PurchasesWill each transaction with this vendor be

below $3,500?Unless limited by local requirements

Micro Purchases

Reasonable purchase prices

Micro Purchases

SFA MUST spread purchases equitably among all qualified sources?

Micro Purchases

Review of invoices/receipts shows SFA compliant with the micro purchase method

Micro Purchase: Non-Compliance

Activity Time!

Compliant?

SFA purchased $280 in food & supplies from Walmart in August

In September, $320 in food & supplies from Dollar General

In October purchased $15 from Walmart and $35 from DG

Compliant?

One purchase for printing applications for $2,354.78

No other printing services during the year

Compliant?

Only 3 stores in the small townStore A 20 purchases $14,098Store B 12 purchases $13,456Store C 6 purchases $14,657

Breathe in-Breathe out!

Small Purchase Procurement

Small Purchase Procurement

Federal (and charter schools in LA) $150,000

State of Louisiana $30,000SFA—local requirements

Small Purchase Procurement

Small Purchases must have solicitationBuy American (ag products), specs

EvaluationDocumentation of specs and criteria

Quotes

Contract ManagementDelivery tickets

Small Purchase: Solicitations

Were quotes obtained from 2 or more sources (USDA)?Louisiana Revised Statute 38:2212. A.(1)(b)

requires 3 quotes (b) However, purchases of ten thousand dollars or more, but less than thirty thousand dollars, shall be made by obtaining not less than three telephone or facsimile quotations. A written confirmation of the accepted offer shall be obtained and made a part of the purchase file. If quotations lower than the accepted quotation are received, the reasons for their rejection shall be recorded in the purchase file.

Small Purchase: Solicitations

Did the SFA restrict competition?

Were specifications (crystal) clear?

Did the solicitations include Buy American Provision?

Small Purchase: Evaluation & Award

Did the SFA maintain records sufficient to detail the significant history of the procurement?

Small Purchase: Evaluation & Award

Was the correct vendor selected based on the products/services requested and the vendor responses provided?

Small Purchase: Contract Management

Does a review of the 3 invoices/receipts show that the SFA purchased the products that were solicited from the vendor?

Small Purchase: Non-Compliance

Document non-compliance issue

Provide technical assistanceRequire corrective action

Activity Time!

Compliant?

Quotes from Internet

Quotes from 2 companies, do not match

One quote from Internet, printed or pdf

One quote from local company

Buy American for food products

Cost analysis $9,000

Compliant?

One quote from Internet, printed or pdf

One quote from local company

Buy American for food products

Cost analysis $39,000

One quote from Internet, printed or pdf

One quote from local company

Buy American for food products

Cost analysis $19,000

Questions???