1. PURPOSE & PHILOSOPHY
This policy has been adopted to enable the District to purchase, establish contracts, and
generally carryon its procurement functions; to ensure the fair and equitable treatment
of all persons who deal with the procurement system of the District; to foster broadbased
competition within the free enterprise system; and to properly account for the
expenditures of public monies.
2. AUTHORITY
The Director of Purchasing is delegated authority by the Sevier School District Board to
carry out the procurement functions of the District and to ensure such functions are in
accordance with established policies and written procedures. The Director may
delegate, in writing, purchasing authority to other District employees as necessary to
fulfill the purpose and philosophy of this policy. The Director is also given authority to
withdraw delegated authority.
3. SCOPE
3.1 This policy applies to all purchases made by the District or any of its
subdivisions; i.e. schools, departments, programs, etc. The policy applies
regardless of the source of the money to be expended, including, but not
restricted to:
3.1.1 tax money
3.1.2 state and federal grants
3.1.3 donations
3.1.4 all types of fees
3.1.5 revenue generated by programs, schools, departments, etc.
(However, where a donor is to donate the entire cost of a supply, service
or construction item, and has conditioned the donation on award to a
specific supplier, service provider, or contractor, this policy does not
apply.)
3.2 This policy shall apply to all purchases made through District approved
purchase orders, school generated purchase orders, expenditure requests
and District requisitions. This policy prohibits purchases by the District, its,
subdivisions and entities through other purchasing instruments, which
include revolving credit purchase instruments unless prior approval has been
granted.
3.3 This policy applies to all purchases of supplies, equipment, materials,
construction, real property, and services.
4. REQUISITION CREATION AND PURCHASE APPROVAL
4.1 All transactions that result in a commitment of District/School funds shall be
approved by the applicable District/school administrator prior to making any
purchasing arrangements.
4.1.1 Purchases of goods and services shall be executed by submitting a
requisition, which (after the appropriate administrative and program
approval) results in the creation of a District or school purchase order.
4.1.2 Refunds of tuition or other reimbursements to students, parents, and
employees shall be documented by receipts, registration/withdrawal
forms, sales slips, etc., which are submitted prior to the issuance of a
check.
4.1.3 Purchases of goods and services for custodial, maintenance of
buildings and grounds, and small instructional or office supplies may
be acquired through open purchase orders established at approved
vendors. Only approved positions within the District are authorized to
purchase goods or services through the open purchase order system.
Any misuse or violation of the open purchase order system shall result
in disciplinary action.
4.2 Exceptions to this policy shall apply to emergency procurements as identified
by the budget manager, provided a requisition is approved subsequent to the
purchase.
5. COMPETITIVE SOLICITATIONS
5.1 District policy defines small purchases as those purchases less than $5,000
except small purchases for construction or architect-engineer services shall be
less than $50,000. The State procurement policy further subdivides small
purchases into categories dependent upon the amount of the purchase.
Competitive pricing shall be obtained for all purchases. Purchase requirements
may not be divided into smaller units to avoid using the proper purchasing
procedure based on the dollar volume, nor are purchases to be made prior to
obtaining a purchase order number except for purchases made with a District
open purchase order according to section 4.1.3.
5.1.1 Purchases less than $999. For purchases less than $999 entities are
encouraged to seek the best possible sources of supply based on factors
such as price, prior vendor performance, and delivery; and to utilize the
warehouse and other contracts as established by the District Purchasing
Department or the State of Utah.
5.1.2 Purchases between $1,000 and $4,999. No fewer than three vendors
shall be contacted by the requesting entity for verbal, e-mail, or written
price quotes. Quotations shall include a complete description of the product
or service to be purchased, the quantity, the vendor name,
address, name of the person providing the quote, quote date, unit and
extended price, shipping charges if applicable, and delivery and payment
terms. When a vendor is selected, a brief comment should accompany
the documentation explaining the rationale for that vendor selection.
Documentation shall be retained by the purchasing entity and shall be
subject to Purchasing Department review/approval prior to any
commitment to a vendor and be subject to audit by the Districtʼs auditors.
Purchasing entities are encouraged to consult with and utilize the
services available from the District Purchasing Department.
5.1.3 Purchases between $5,000 and $9,999. The same policy applies as in
5.1.2 except that written or e-mail quotations are required. Written quotes
and award justification must be submitted to the Purchasing Department
for final approval and shall be retained by the Purchasing Department
and be subject to audit. Purchasing entities are encouraged to consult
with and utilize the services available from the District Purchasing
Department.
5.1.4 Purchases over $10,000 or for construction or architect-engineer
services over $50,000. All purchases anticipated to be in excess of
$10,000 or for construction or architect-engineer services over $50,000
should be formally bid by the Purchasing Department in accordance with
adopted bidding policies and procedures. Requesting entities shall
provide the Purchasing Department with complete descriptions,
specifications, and suggested sources for the goods/services requested.
Those purchases in excess of $20,000 or for construction over $50,000
shall be formally bid with public notice given in accordance with adopted
bidding policies and procedures. All of the solicitations and
advertisements to be bid shall be issued from the Purchasing
Department after receiving approved requisitions from the Business
Administrator. The Purchasing Department further shall coordinate the
receipt, opening, review, and awarding of all bids in accordance with the
policy.
5.1.5 Purchases are authorized after budgetary approval using a vendor and
price established by a state awarded procurement contract without going
through the competitive solicitation process.
6. USE OF COMPETITIVE SEALED PROPOSALS IN LIEU OF BIDS
6.1 When the purchasing agent determines in writing that the use of competitive
sealed bidding is either not practicable or not advantageous to the District, a
contract may be entered into by competitive sealed proposals. Competitive
sealed proposals are most appropriately used for professional service-type
contracts, consultants, or other service providers.
6.2 Proposals shall be solicited through a request for proposals. Public notice of
the request for proposals shall be given at least ten (10) days prior to the
advertised date of the opening of the proposals.
6.3 Proposals shall be opened so as to avoid disclosure of contents to competing
offerors during the process of negotiation. A register of proposals shall be
prepared and shall be open for public inspection after the contract is awarded.
6.4 The request for proposals shall state the relative importance of price and other
evaluating factors.
6.5 As provided in the request for proposals, discussions may be conducted with
responsible offerors who submit proposals for the purpose of assuring full
understanding of, and responsiveness to, solicitation requirements, if any
questions arise. Offerors shall be accorded fair and equal treatment with
respect to any opportunity for discussion and revision of proposals, and
revisions may be permitted after submissions, but prior to any disclosure of
information submitted by competing offerors in any format, and before the
contract is awarded for the purpose of obtaining best and final offers. In
conducting discussions, there shall be no disclosure of any information derived
from proposals submitted by competing offerors. It is the responsibility of the
offeror to ensure their proposal is accurate and complete.
6.6 Award shall be made to the responsible offeror whose proposal is determined
in writing to be the most advantageous to the District, taking into consideration
price and the evaluation factors set forth in the request for proposals. No
other factors or criteria shall be used in the evaluation. The contract file shall
contain the basis on which the award is made.
7. ARCHITECT-ENGINEER SERVICES
7.1 It is the policy of the District to publicly announce all requirements for architectengineer
services and to negotiate contracts for architect-engineer services on
the basis of demonstrated competence and qualification for the type of services
required, and at fair and reasonable prices. Architect-engineer services shall
be procured as provided in this part except as authorized by Sections 63G-6-
409 through 63G-6-411. This part does not affect the authority of, and does not
apply to procedures undertaken by the District to obtain the services of
architects or engineers in the capacity of employees of such unit.
7.2 In the procurement of architect-engineer services, the District Business
Administrator shall encourage firms engaged in the lawful practice of their
profession to submit periodically a statement of qualifications and performance
data. A selection committee for architect-engineer services shall be
established in accordance with rules and regulations promulgated by the policy
board. Selection committees shall evaluate current statements of qualifications
and performance data on file with the state, together with those that may be
submitted by other firms in response to the announcement of the proposed
contract. Selection committees shall consider no less than three firms and then
shall select there from, based upon criteria established and published by the
selection committees, no less than three of the firms considered to be the most
highly qualified to provide the services required. The District, upon a
recommendation from the selection committee, may award a multi-year
contract for professional services from an architect-engineer. The contract can
be for a period of three years with an option by the District to renew for an
additional two years.
8. CANCELLATION AND REJECTION OF BIDS/PROPOSALS
An invitation for bids, a request for proposals, or other solicitation may be cancelled, or
any or all bids or proposals may be rejected, in whole or in part, as may be specified in
the solicitation, when it is in the best interests of the District in accordance with rules
and regulations. The reasons shall be made part of the contract file.
9. OTHER PURCHASES
The District Business Administrator shall authorize purchases made through any means
other than those described above. Anyone violating this policy shall be subject to
disciplinary action.
10. EXCEPTIONS TO SMALL PURCHASE AND BID PROCEDURES
Sole source procurement shall be used only if the goods or services are reasonably
available from a single supplier. Any request that the procurement be restricted to one
potential contractor or vendor shall be accompanied by an explanation as to why no
other will be suitable or acceptable to meet the need. In cases of reasonable doubt,
competition shall be solicited. The Purchasing Department shall make the determination
as to whether the procurement shall be made as a sole source.
11. EMERGENCY PROCUREMENTS
Emergency procurements using other than normal bid or price quotation procedures
may be made only by the Purchasing Department. Procurement shall be made
according to policy as near as possible and still assure that the required supplies,
services, or construction items are procured in time to meet the emergency. Given this
constraint, such competition as is practicable shall be obtained.
12. SPECIFICATION DEVELOPMENT
Specifications shall be drafted by the school, department, etc. or the appropriate
supervisor and submitted with the requisition. All specifications shall seek to promote
overall economy and best use for the purposes intended and to encourage competition.
Specifications should be drafted with the objective of clearly describing the requirements
for which the goods or services will be used by the District. Procedures for specification
are determined specifically by Title 63G Chapter 56 Part 3 of the State Procurement
Code.
13. PURCHASING FILES
13.1 Prospective Bidder File. The Purchasing Department shall maintain a list of
prospective vendors for the various categories of products and services
procured by the District. This list shall incorporate those who request to
receive bids as well as those added through the Purchasing Departmentʼs
effort to solicit all available sources. All schools or departments should refer
prospective vendors to the Purchasing Department for inclusion in the bidder
file.
13.2 Solicitation File. A file shall be maintained in the Purchasing Department of
all solicitations currently pending.
13.3 Completed Solicitation File. After the opening of bids, they become public
information except that the winning proposal(s) is/are public information for a
period of ninety (90) days following notice of intent to award. A file shall be
maintained retaining the solicitations, solicitation comparison sheets, other
submittals, and rationale in awarding.
14. CREDIT CARDS
14.1 Definition
As used herein, “credit cards” mean purchasing instruments provided by a
financial institution designated by the Superintendentʼs Office for the purpose
of making purchases of predetermined amounts and to secure travel
reservations, so that personnel efficiency and financial resources are
maximized. Credit card use is limited to the type of credit instrument, which is
fully due and payable each thirty (30) days. This policy prohibits use of
revolving credit instruments, which allow unpaid balances to be carried
forward as revolving credit balances upon which interest is calculated and
becomes due and payable in addition to the original purchase amount. Credit
cards shall be used for pre-approved travel expenses limited to airfare, hotel,
car rental, gas stations, eating establishments and other approved travel
expenses. They may also be used in a limited fashion with the cardholdersʼ
approval for approved online or phone orders of goods or services.
14.2 Purposes
To maximize the use of educational funding while providing
necessary controls.
To designate the District Business Administrator as the person,
responsible to oversee the establishment and operation of the
credit card programs within the District and schools.
To designate the Principal in each school as the Credit Card
Administrator, who is responsible to oversee the establishment and
operation of the credit card programs within his or her school.
To ensure federal, state, and District financial policies are observed
in relation to use of credit cards and credit instruments.
To establish reasonable controls, limits, and procedures in regard
to credit card usage.
To establish disciplinary measures relative to the credit card
programs.
14.3 District Credit Card Administration
The credit card programs shall be administered under the direction of the
District Business Administrator, who is responsible for the following:
• To oversee the issuance, maintenance, and cancellation of credit
cards.
• To establish card spending and product limits based upon purchasing
requirements associated with the cardholderʼs employment
responsibilities.
• To create an agreement, which shall be signed by each cardholder.
The agreement shall set forth the terms and conditions under which
the cardholder will receive and maintain use of the credit card(s).
• To receive monthly reports from the card provider, which enumerate
the purchasing activity of each cardholder and to ensure each
cardholder reconciles all charges with receipts and documentation.
• To detect unauthorized card use and take appropriate corrective
action. When warranted, the Business Administrator is authorized to
seek reimbursement for unauthorized card use by wage withholding,
wage garnishment, or civil litigation.
14.4 School Credit Card Administration
The School Credit Card Administrator is responsible for the following:
• To oversee the implementation and operation of the credit card(s)
within their school, to include budget allocation and approval of
purchasing requests.
• To oversee the issuance, maintenance, and cancellation of credit
cards issued to employees within their school.
• To recommend cancelation of any travel cards of persons making
unauthorized purchases.
• To review the purchasing activity each month of all cardholder(s) at
their location.
• To allocate all purchases at their location to the appropriate financial
accounts.
14.5 Cardholders are responsible for the following:
• To submit an application to the School Credit Card Administrator and
receive notification of approval by the District Business Administrator
before cards will be requested from the card provider.
• To sign purchasing and travel cardholder agreements between
themselves and the District prior to having a card(s) issued to them.
These agreements shall set forth the terms and conditions under which
the cardholder will be issued and maintain use of their card(s).
• To be confined to the product and expenditure limits associated with
the individual credit card provided to the cardholder and the terms of
the cardholder agreement.
• To receive approval for all purchases from their School/Department
Purchasing Card Administrator or designee before executing credit
card transactions.
• To provide to their School/Department Purchasing/Credit Card
Administrator, copies of all purchase documents within five (5) working
days following the purchase. Failure to do this shall constitute
unauthorized use.
• To be personally responsible for unauthorized charges made with the
credit card. If unauthorized expenditures are excessive, flagrant or
unresolved, the District shall cancel the employeeʼs credit card(s),
withhold wages for full reimbursement of unauthorized charges and
associated costs, and administer disciplinary action up to and including
termination for cause.
• To acknowledge that using the credit cards for personal items or cash
advances is strictly prohibited.
15. OPEN PURCHASE ORDERS/CHARGE ACCOUNTS
15.1 Definition
As used herein, “open purchase orders” means blank purchase orders
delivered to approved vendors monthly for the purpose of purchasing
maintenance supplies, custodial repair supplies, and minor educational
supplies. These open purchase orders constitute a charge account with
each specific vendor where the District has an approved revolving credit
account, which must be paid monthly. Only approved employees are
allowed to procure products, goods, or services using this purchasing
instrument of the District.
15.2 Purpose
To maximize the use of educational funding while providing
necessary controls.
To designate the District Business Administrator as, responsible to
oversee the establishment and operation of the open purchase order
program within the District.
To ensure federal, state and District financial policies are observed in
relation to use of open purchase order and credit instruments.
To establish reasonable controls, limits and procedures in regard to
open purchase order usage.
To establish disciplinary measures relative to the open purchase
order program.
15.3 District Open Purchase Order Administration
The open purchase order program shall be administered under the direction
of the District Business Administrator, who is responsible for the following:
• To oversee the issuance, maintenance, and cancellation of open
purchase orders to approved vendors.
• To establish open purchase order spending and product limits for
employees based upon purchasing requirements associated with the
employeeʼs employment responsibilities.
• To receive and review monthly reports from the open purchase order
vendors, which enumerate the purchasing activity of each open
purchase order and to ensure that the accounts payable clerk
reconciles all charges validating signatures and appropriate
documentation supporting the purchases.
• To detect unauthorized open purchase order use and take appropriate
corrective action. When warranted, the Business Administrator is
authorized to seek reimbursement for unauthorized open purchase
order us by wage withholding, wage garnishment, or civil litigation.
15.4 Approved employees are responsible for the following:
• To be confined to the products and expenditure limits associated with
the individual and their employment responsibilities. No purchase of
equipment is authorized at any time, except in the case of an
emergency.
• To provide to the accounts payable clerk or designee, copies of all
purchase documents within five (5) working days following the
purchase. Failure to do this shall constitute unauthorized use.
• To be personally responsible for unauthorized charges made with the
open purchase order system. If unauthorized expenditures are
excessive, flagrant, or unresolved, the District shall cancel the
employeeʼs access to usage of open purchase orders, withhold wages
for full reimbursement of unauthorized charges and associated costs,
and administer disciplinary action up to and including termination for
cause.
• To acknowledge that using the open purchase order for personal items
is strictly prohibited.
16. DISPOSITION OF SURPLUS PROPERTY
Refer all questions regarding surplus property to the Maintenance Department. District
property will not be sold to employees except through an auction or other public sale.
17. ILLEGAL ACTIVITIES
17.1 Employees
17.1.1 Any person acting as a procurement officer for the Sevier School
District, or who in any official capacity participates in the procurement of
supplies, services, construction, real property, or insurance for any such
political unit is guilty of a felony if the person asks, receives, or offers to
receive any emolument, gratuity, contribution, loan, or reward, or any
promise thereof, either for the person's own use or the use or benefit of
any other person or organization from any person interested in the sale
of such supplies, construction, real property, or insurance.
17.1.2 Any person using their employment position or influence at the Sevier
School District for the purpose of obtaining goods or services for
personal benefit or the personal benefit of others shall be subject to
disciplinary action up to and including dismissal and possible criminal
charges. Such activities shall include, but are not limited to:
[a] Purchases at discounted rates not available to the general public; or
[b] Acceptance of goods and services at no or reduced cost; or
[c] Purchases with the intent of avoiding sales taxes.
17.1.3 It is permissible to obtain goods and services for personal use at
discounted rates where suppliers typically offer educational discounts to
all employees of the District. Such discounts are characterized by being
made available to all employees regardless of position or influence.
Employees are responsible for the payment of sales tax and purchase
arrangements and shall not be made through the use of District or
School purchase orders or purchasing/travel cards.
17.2 Vendors
A person who is interested in any way in the sale of any supplies, services,
construction, real property, or insurance to the Sevier School District is
guilty of a felony if the person gives or offers to give any emolument,
gratuity, contribution, loan, or reward, or any promise thereof to any person
acting as a procurement officer, or who in any official capacity participates
in the procurement of such supplies, services, construction, real property, or
insurance, whether it is given for his own use or for the use or benefit of any
person or organization.
REFERENCES
Utah Code Annotated Title 63G, Chapter 6 Utah Procurement Code - State law
establishes procurement policy for all agencies of Utah State government and the
Rules, Regulations promulgated by the Sevier School District Board of Education are as
directed by the statute and are complementary to the provisions therein. The complete
text of the Utah Code, Title 63, Chapter 56 is incorporated by reference into this policy.
These documents are available at the Purchasing Department.
Utah Code Ann §§53A-20-101 (1)(7), 103 and 105 -
Except as set forth in this policy, an officer or employee of a school District may not
make a purchase or incur indebtedness on behalf of the District without the approval of
the Board. A licensed architect must prepare plans for construction or alteration of any
school if the total estimated accumulated costs exceed $80,000. It shall be the policy to
publicly announce all requirements for architect/engineering services and to negotiate
contracts on the basis of demonstrated competence, qualification, and reasonable price.
Utah Administrative Code R23-1-20 - Procurement for Construction - Small purchases
$100,000.00 or less.
Utah Administrative Code R33-5-530 - Construction & Architect-Engineer Selection –
Small purchases $50,000.00 or less.
Sevier School District complies with the principle that minority and women business
enterprises must be given a fair opportunity to compete for all procurement administered
by the Sevier School District.
Approved: 08/08/12
Revised: 09/11/13