A5200.05 Purchasing and Bidding

Statement
Purchase Authorization
Informal Quotes
Formal Bidding
Bid Splitting Prohibition
Bidding Exemptions
Rebates
Business Enterprise for Minorities, Females, and Persons with Disabilities Program (BEP)

Statement

Shawnee Community College (SCC) values the prudent utilization of resources. Our commitment to procurement excellence is based on transparency, timeliness and accountability, as all decisions and actions are documented and accessible and user-friendly to (and for) stakeholders.

PURCHASE AUTHORIZATION

College purchasing shall be monitored by the Vice President of Administrative Services in accordance to this policy, regardless of source of funds used, and must be conducted in accordance with commonly accepted business practices and substantiated with necessary records to satisfy audit and inventory requirements. 

Purchases shall be made with the intent to procure all equipment, supplies, and services using competitive practices that ensure the College is receiving maximum value for the money expended.   Departments are encouraged to standardize supplies and equipment and, where practicable, to consolidate receiving items for single purchase.   Joint purchasing with other governmental units is encouraged.

The College will only assume obligations issued on duly authorized Purchase Orders or College Credit Cards if approved in advance by the appropriate supervisor.  Any individual making such a purchase without a Purchase Order or College credit card may be held personally liable. All Purchase Orders are distributed to the supplier/vendor by the Accounts Payable Clerk.  The issuance of the College credit card must be approved by the respective vice-president.

Due to both time and geographic constraints, College personnel may be reimbursed for limited purchases of commodities after proper submission of adequate documentation for such expenditures and after proper approval by their supervisor.

All purchase approvals must be by written signature, email authorization maintained for documentation in the purchasing system, or electronic approval with electronic approval tracking. 

Whenever a purchase exceeds departmental budgetary allocations, a Budget Transfer Request form signed by the appropriate supervisor(s) must be submitted to the Director of Business Services.

Informal Quotes

For products and services which are anticipated to cost between $10,000 – $25,000 three (3) informal quotes are required prior to purchasing. 

Informal Quote Exemptions

Sole Source Procurement

• Sole source procurement refers to purchases where there is only one supplier that provides the product or service specified.  Sole source purchase requests will be considered on a case-by-case basis by the Vice President of Finance and Operations, in compliance with all applicable statutes.

Preferred Source Procurement

• Preferred source vendors are those awarded a contract for strategic sourcing contract by Shawnee Community College through a strategic sourcing process.  These vendors are chosen because they provide the best overall value based upon price, delivery capabilities, quality, past performance, training, financial stability, ease of ordering, etc.  When using a preferred source vendor, the purchaser is not required to solicit informal quotes and terms and conditions have already been established in a master agreement.  By utilizing preferred source vendors, College staff can better focus on the core responsibilities, which are primarily teaching and administrative duties.  Use of preferred source vendors provides an exemption from informal quotes, NOT formal bidding. Vendors identified through a recognized state-wide selection process are, by default, considered preferred source vendors.

Formal Bidding

Formal bids will be required for goods and services in excess of $25,000 (unless the purchase is exempt for bidding) and $50,000 for maintenance, renovation or construction involving existing facilities.  Contractors who assist in development of draft specifications, requirements, statement of work (scope of services) or Requests for Proposals are excluded from competing for such procurements.

Upon approval by the Board of Trustees, the contract for such goods or services will be awarded to the lowest responsible bidder considering conformity with specifications, terms of delivery, quality and serviceability.   The low bid need not be the sole criterion for purchasing; reliability of the supplier and quality and availability of service will also be taken into consideration.

Except when Federal funds are utilized, in the event of a tie between an in-district vendor and an out-of-district vendor, all other factors remaining equal, the in-district vendor shall be favored with the award.   Tie bids between two in-district vendors shall be decided by the Board of Trustees.   When federal funds are utilized and a tie exists, the College will follow Federal procurement standards for determining award of contract.  The Board reserves the right to reject any and all bids.  At all times, the Board of Trustees will seek to purchase goods and services in a manner that will be in the best interest of the students attending the College and in the best interest of the taxpayers of the District.

Bid bonds will be required for construction projects estimated to be greater than $250,000 and such will be stated in bid specifications.  For construction contracts of $50,000 or greater, a performance bond shall be required and shall meet the requirements of the Public Construction Bond Act (30 ILCS 550).   Payment of invoices shall be made in compliance with the Local Government Prompt Payment Act (50 ILCS 505).

Complaints on College purchases and contract awards shall be made in writing and shall be considered during meetings of the Board of Trustees.

Bid Splitting Prohibition

Bid splitting is defined as the breaking up of a college purchase of services, equipment and/or supplies into segments, separated by time of order, with intent and motive of bypassing the requirement to bid.  Bid splitting is expressly prohibited.

Bidding Exemptions

Goods and services exempt from the formal bid process include:

1. Contracts for the services of individuals possessing a high degree of professional skill where the ability or fitness of the individual plays an important part.
2. Contracts for the printing of Finance Committee reports and departmental reports.
3. Contracts for the printing or engraving of bonds, tax warrants, and other evidences of indebtedness.
4. Contracts for materials and work which have been awarded to the lowest responsible bidder after due advertisement but, due to unforeseen revisions, not the fault of the contractor for materials and work, must be revised, causing expenditures not in excess of ten percent (10%) of the contract price.
5. Contracts for the maintenance or servicing of, or provision of repair parts for, equipment which are made with the manufacturer or authorized service agent of that equipment where the provision of parts, maintenance, or servicing can best be performed by the manufacturer or authorized service agent.
6. Purchases and contracts for the use, purchase, delivery, movement, or installation of data processing equipment, software, or services and telecommunications and interconnect equipment, software, and services.
7. Contracts for duplicating machines and supplies.
8. Contracts for the purchase of natural gas when the cost is less than that offered by a public utility.
9. Purchases of equipment previously owned by some entity other than the District itself.
10. Contracts for repair, maintenance, remodeling, renovation, or construction, or a single project involving an expenditure not to exceed $50,000 and not involving a change or increase in the size, type, or extent of an existing facility.
11. Contracts for goods or services procured from another governmental agency.
12. Contracts for goods or services which are economically procurable from only one source, such as for the purchase of magazines, books, periodicals, pamphlets and reports, and for utility services such as water, light, heat, or telecommunications.
13. Where funds are expended in an emergency and such emergency expenditure is approved by three-fourths (3/4) of the members of the Board.

Rebates

Any purchase that earns rebates or incentives must be payable to Shawnee Community College. No employee is allowed to receive incentives, rebates, or kickbacks on college purchases.

Business Enterprise for Minorities, Females, and Persons with Disabilities Program (BEP)

Pursuant to 30 ILCS 575/1 et seq Shawnee Community College will act in such a way to promote and encourage the continuing economic development of minority, female owned, and persons with disabilities operated businesses. 

The Account Payable Clerk in the Business Service Department is the contact for this program at Shawnee Community College.

See Shawnee Community College Operating Standard A5200.15.