2007                                                  5410

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                                                                                                      Non-Instructional/Business

                                                                                                      Operations

 

                                                           G/EB

 

 

Subject:  PURCHASING AND PROCUREMENT

 

It is the goal of the Board of Education to purchase competitively, without prejudice or favoritism, and to seek the maximum educational value for every dollar expended.  The Superintendent shall have overall administrative responsibility for all purchasing of equipment, materials, supplies, and services.  Purchasing will be centralized in the Business Office under the general supervision of the purchasing agent designated by the Board of Education.

 

The purchasing agent is authorized to issue purchase orders without prior approval of the Board of Education where formal bidding procedures are not required by law, and when budget appropriations are adequate to cover such obligations.  When appropriations are not adequate, the Business Manager may be authorized by the Superintendent to make budgetary transfers in accordance with the regulations of the Commissioner of Education up to the limit approved by the Board of Education at the annual Organizational Meeting.

 

Objectives

The District's purchasing activity will strive to meet each of the following objectives:

1.         Effectively supply all administrative units in the school system with needed materials, supplies, and contracted services.

2.         Obtain materials, supplies and contracted services at the lowest possible prices consistent with the quality and standards needed as determined by the purchasing agent in cooperation with the requisitioning authority.  The educational welfare of the students is the foremost consideration in making any purchase.

3.         Ensure that all purchases fall within the framework of budgetary limitations and that they are consistent with the educational goals and programs of the District;

4.         Maintain an appropriate and comprehensive accounting and reporting system to record and document all purchasing transactions.

5.         Ensure, through the use of proper internal controls, that loss and/or diversion of district property is prevented.

 

Opportunities shall be provided to all responsible suppliers to do business with the School District. Suppliers whose place of business is situated within the District may be given preferential consideration only when bids or quotations on an item or service are substantially equal as to prices and quality, while considering other factors such as time, convenience, and avoidance of shipping and handling costs.

 

(Continued)

2007                                                  5410

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                                                                                                      Non-Instructional/Business

                                                                                                      Operations

 

                                                           G/EB

 

 

 

Cooperative Bids, State Contracts, Other State Agencies

Purchases will be made through available cooperative BOCES bids, State Contracts of the Office of General Services or county contracts whenever such purchases are in the best interests of the District.  In addition, the District will make purchases from correctional institutions and charitable, nonprofit‑making institutions for disabled persons, as provided by law.  (Corrections Law, Sections 184, 186; State Finance Law, Section 175‑b)

 

Statutory Exceptions

The purchasing agent will not be required to secure alternative proposals or quotations for:

1        emergencies where time is a crucial factor;

2        procurements for which there is no possibility of competition (sole source items);

3        procurement of professional services, which, because of the confidential nature of the services, do not lend themselves to procurement through solicitation; or

4        small procurements when solicitations of competition would not be cost effective.

 

Ethics and Conflicts of Interest

No board member, officer or employee of the School District shall have an interest in any contract entered into by the Board or the District, as provided in Article 18 of General Municipal law.

 

Professional Judgement

The determination as to whether a purchase contract is subject to the competitive bidding requirement will be made by the purchasing agent in accordance with applicable statutes.  The purchasing agent shall document supporting evidence and maintain all records used in making this determination.

 

Procurements That Require Competitive Bidding

When BOCES cooperative bids or State Contract pricing are not available, all purchases (not considered statutory exclusions) for materials, equipment or supplies (purchase contracts) involving a total estimated annual expenditure of over $10,000 and all public works contracts involving a total estimated annual expenditure of over $20,000 shall be awarded on the basis of public advertising and competitive bidding in accordance with the requirements of Article 5‑a of the General Municipal Law.  Similar procurements to be made in a fiscal year will be grouped together for the purpose of determining whether a particular item must be bid.

 

(Continued)

 

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                                                                                                      Non-Instructional/Business

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                                                           G/EB

 

A bid bond may be required if considered advisable.

 

The purchasing agent is authorized to open and record bids.  Contracts will be awarded to the lowest responsible bidder (as recommended by the purchasing agent), who has furnished the required security after responding to an advertisement for sealed bids.

 

Procurements That Do Not Require a Competitive Bidding

Purchases of goods and services that fall below the statutory limits of $10,000 or $20,000 and do not require competitive bidding under Article 5‑a of the General Municipal Law may still be procured through the use of a cooperative BOCES bid, State Contract, or a competitive bid at the school district level when it is in the best interest of the District to do so.  For purchases of materials, equipment and supplies between $5,000 and $10,000, and for public works contracts between $5,000 and $20,000,  the Superintendent is authorized to make the determination whether the District shall use the competitive bidding process or shall seek quotations as described below.

 

Quotations or prices for materials, equipment or supplies involving a total annual expenditure of less than $10,000 and for public works contracts involving a total annual expenditure of less than $20,000 shall generally be obtained by the purchasing agent as follows:

 

Purchase Contracts for supplies, budgeted equipment & contracts (except food service & transportation - see below):

                                                                                                                                               

Annual

Purchase Amount               Requirement                                                 Response

$1 - $500                           Must be in approved budget                         Claim Form Approved by                                                             Supv. or  Purch. Agent                                

 

$1 ‑ $5,000                        Best prices through comparison                    Approved Requisition

                                          of catalogs and/or quotations                        & Purchase Order      

 

$5,001‑$7,000                   No less than 2 quotations                             Approved Requisition

                                          Recorded on requisition if verbal                   & Purchase Order

 

$7,001‑$10,000                 No less than 3 quotations                             Approved Requisition

                                          Written                                                        & Purchase Order

 

(Continued)


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                                                                                                      Non-Instructional/Business

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Contract for Public Works

                                         

Annual

Contract Amount                Requirement                                                 Response

$500‑$2,000                      Superintendent’s or                                      Approved Requisition

                                          Business Mgr.’s approval *                          & Purchase Order

 

$2,001‑$5,000                   At least 2 quotes or proposals                      Approved Requisition

                                          and Superintendent's approval *                   & Purchase Order

 

$5,001‑$20,000                 At least 3 quotes or proposals                      Approved Requisition

                                          and BOE approval* & Purchase Order

 

* Approval obtained through budget planning and adoption process.

 

The District will provide justification and documentation of any contract awarded to other than the lowest responsible dollar offer or, setting forth the reasons why such award is in the best interests of the District and otherwise furthers the purposes of section 104‑b of the General Municipal Law.

 

Periodic, On-going Purchases from Local Vendors

It is recognized that small, monthly purchases from local vendors may be in the best interest of the District in terms of time, convenience, and avoidance of shipping and handling costs.  The purchasing agent is authorized to issue blanket purchase orders to local vendors to encumber to total estimated cost of on-going purchases.  Monthly payments will be made by comparing signed invoice copies to monthly statements received from the vendors. 

 

Food Service Purchases - Food, Supplies & Contractual Expenditures

The shared School Food Service Specialist will coordinate district requirements and  participate in Cooperative Bids available through the various BOCES and will seek quotes for local produce. Milk and produce will be ordered by the Cook/Managers as needed from the approved vendors.  All other foods and supplies will be ordered by the Food Service Specialist from the approved bids. Purchase orders will not be used to order cafeteria food and supplies, but any equipment purchases do require the Business Manager's approval and a school purchase order.

 

(Continued)


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                                                                                                      Non-Instructional/Business

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Transportation Department Purchases - Materials, Repairs & Supplies

The Transportation Supervisor will authorize purchases required for the maintenance of the bus fleet and other district vehicles, subject to the same requirements as for other district purchases.  Diesel fuel will be purchased only through state contract, and state contract pricing or cooperative bids will be used for other supplies whenever possible.  Purchase orders are not required, but the supervisor shall maintain all documentation for purchases and submit verified, signed packing slips and invoices to the business office at least monthly where invoices will be matched to monthly statements from the vendors.

 

Review and Updating of Procurement Policy and Procedures

This policy and its accompanying procedures shall be reviewed at least once annually before August 31 by members of the Board of Education and by other officers of the District involved in the procurement process.  The purpose of this review is to ensure that the policy and procedures stay current and appropriate to meet the changing needs of the District.

 

Unintentional Failure to Comply

The unintentional failure to fully comply with the provisions of Section 104‑b and this policy and its accompanying procedures shall not be grounds to void action taken or give rise to a cause of action against the Groton School District or any officer or employee thereof.  (Sections 104‑b, Subdivision 5)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Date Approved: January 14, 2008