Formal Competitive Solicitation Threshold Increase Approved
A Message from Yaremis Fullana, Managing Director, Procurement
In an effort to create a clear and efficient process that aligns with industry best practices and facilitates the needs of our customers, Procurement conducted a review of existing procurement practices. With that said, we are excited to announce that effective Wednesday, February 27, 2019, the District Board of Trustees approved changes to Policy 6Hx28:5-10: Procurement Requirements for Commodities and Services (formally Bidding Requirements). The board’s approval authorized the increase of the formal competitive solicitation threshold from $35,000 to $65,000.
What Does This Mean for You?
Instead of a formal bid process, procurement purchases between $35,000 to $64,999 will now only require three quotes. This change was recommended after careful review of existing purchases and consideration of best practices. We are confident the change will:
- Increase efficiency;
- Shorten the sourcing cycle;
- Encourage consolidation to maximize savings;
- Increase efficiency for federal grants; and
- Leverage competition among suppliers by increasing our ability to negotiate.
Although these changes provide our customers with more flexibility when procuring high-dollar items, we encourage you to work with Procurement to leverage our access to GovSpend, a price benchmarking tool. GovSpend provides access to thousands of purchase orders made across the country by public entities. The information provided helps us identify potential vendors and validate that the quoted price is competitive.
Furthermore, as part of the policy update, we also introduced a new procedure, Procurement Procedure for Commodities and Services. While the procedure serves to delineate our existing procurement process, we also made additional enhancements that create additional efficiencies. All employees who serve in a capacity to procure and/or approve purchases on behalf of the College, are encouraged to review the procedure.
If you have any questions, please email email@example.com.