Policy 214: Purchasing and Procurement

214.1 Policy

Efficient and cost-effective procurement of goods, services and public works construction is an important aspect of local government operations. CEI will purchase goods, services and public works construction by way of a publicly-accountable process that respects the shared goals of economy and quality. All purchases will be made within the terms of the approved institutional budget. Administrators and professional support staff who administer budgets within their department or program are responsible for and will be accountable to the Vice-President of Finance at CEI to ensure that purchases are made within the means of their budget. This policy and its procedures define the roles and responsibilities of the departments as they apply to the procurement of goods and services by CEI. Staff shall prepare procedures consistent with these policies for all purchases, including but not limited to Requests for Proposal (RFP), Requests for Quotation (RFQ), Invitations to Bid and the competitive bidding process, sole source purchases, allowable and disallowed purchases, and any other procedures, which are appropriate for clarification of these policies and of the purchasing process. All procedures shall also be consistent with Idaho Code, Sections 67-2801 et seq. To the extent that any provision is inconsistent with Idaho Code, Idaho Code shall govern.

Conflict of Interest

All purchases must be based on the best interests of CEI. College personnel are expected and required to take the initiative to report promptly, with sufficient detail, all activities or situations that may involve, or appear to involve, a conflict of interest. All employees involved in purchasing activities must adhere to Idaho Code § 74-401 (Ethics in Government).

Purchases that Require Board Approval

The following purchases shall always require board approval prior to completing the purchase:

• All real property (exempt from bid requirements under Idaho Code § 67-2803(5)
• Any expenditures, which will cause the College to exceed the Board-approved annual budget.

Authority is hereby delegated to the Vice President of Finance and other appropriate members of staff, pursuant to Idaho Code §§ 67-2805 and 2806 to approve bids for procurement of public works construction, services, or personal property where the total amount does not exceed the Board approved annual budget or where the project is paid for exclusively by gift or grant money for a defined purpose or contracts executed and paid for with agencies, businesses or other entities external to CEI.

214.2 Procedures

Purchasing Overview

Preliminary Cost Analysis

Prior to making a purchase the requestor shall work with the department head to research the good or service to determine the cost range of the procurement. Purchases are divided into dollar amount thresholds. For CEI, the following are the dollar threshold requirements:

• Below $2,000, a P-Card or Purchase Order is required
• $2,000 and above, a Purchase Order is required
• $75,000 to $150,000, three Quotes and a Purchase Order are required. Procedures set forth in Idaho Code § 67-2806(1) will be followed.
• $150,000 and above, a Formal Sealed Bid and a Purchase Order are required. In the case of professional services, Request for Proposals/Qualifications for Professional Services shall be used. Procedures set forth in Idaho Code § 67-2806(2) will be followed. Regardless of dollar amount, Purchase Orders are the preferred method of purchasing whenever possible and when working with federal funds.

The Board Finance Committee will evaluate and make recommendations to the Board on all real property purchases and also any capital expenditures that cause general fund expenditures to exceed the approved annual budget; except for 1) gifts dedicated for specific projects which have been approved by the Board, or 2) capital expenditures paid for by grants, or contracts executed with agencies, businesses or other entities external to CEI.

Emergency Purchases

The policies governing purchasing procedures for the college system and its institutions shall be waived upon declaration of an emergency by the Board of Trustees, pursuant to Idaho Code § 67-2808. The nature of the emergency and determination that the circumstances justified waiver of purchasing procedures shall be documented in writing.

Formerly Approved: November 11, 2020