University of Connecticut

Purchasing User's Manual

SECTION I.GENERAL PURCHASING INFORMATION

1.1 Purchasing Policies and Objectives

Purchasing Objectives
Purchasing Authority
Financial Records System (FRS)
Set-Aside, Minority and/or Women-Owned Businesses
Dealing with Vendors
Ethics and Conflict of Interest
How You Can Help

1.1.1 General Policy Statement

The University of Connecticut Purchasing Department is committed to serving the University community with the timely and cost effective procurement of goods and services. This is accomplished through product knowledge, competitive bidding, negotiation of special pricing agreements and contracts, and monitoring vendor performance. All of these serve to maximize the University's purchasing power.

1.1.2 Purchasing Objectives

The primary objective of the Purchasing Department is to buy goods and services of the right quality, in the right quantity, at the right price, from the right source, and at the right time.

The responsibilities associated with these objectives are:

To develop and maintain sources of supply for all goods and services capable of meeting the University's needs;
To maintain and promote compatible business relations with vendors and the community in general;
To foster harmonious working relations between the Purchasing Department and other University departments;
To recommend to potential users any new products and/or services, or new uses for old products and services, that may aid the users in the performance of their duties;
To apprise relevant University customers of market conditions and trends that may impact prices and/or availability of the goods and services they purchase;
To periodically review University purchases to assure user needs are being optimally met by the goods and services purchased;
To insure all purchases are made in accordance with prevailing statutes, regulations, policies and procedures.

Issued: 3/9/92

1.2 Purchasing Authority

1.2.1
The 1991 legislative session granted the University greater autonomy over its purchasing operations via passage of Public Act 91-256. As approved by the Board of Trustees, under authority of the Act, and as amended by PA 99-161, the basic purchasing policies are as follows:

Purchases of goods and services with an estimated total value of $10,000* or less will not require competitive bidding. Departments can expedite the procurement process by providing a written quotation with their purchase requisition. (Purchasing reserves the option to competitively bid when it is in the best interest of the University.)
With the exception of federally funded purchases, purchases of goods and services with an estimated total value exceeding $10,000 but less than $50,000, and are not available on preexisting State or University contracts or sole source agreements, shall be based on at least three (3) competitive bids whenever possible.

*Exception to the $10,000 threshold: Federally funded purchases require competition for purchases exceeding $3,000.

Purchases of goods and services with an estimated total value exceeding $50,000 must be publicly advertised and competitively bid. For federally funded purchases, the initial threshold is $25,000.

When the purchase of goods and services exceeds $50,000, public advertising is an additional requirement. The bids must be advertised for no less than twenty-one (21) calendar days and have been published in a minimum of two daily newspapers and on the Purchasing Department's Web site. However; the advertising period can be shortened in some special circumstances.

In general, Purchasing allows twenty-one (21) calendar days for the bid process (from the time bids are mailed to the date bids are opened). However, depending on the complexity of the acquisition, some solicitations may take longer.

1.2.2 The Board has also authorized the University to purchase supplies, materials, equipment and contractual services through negotiation (non-competitive purchases) in lieu of soliciting competitive bids when all the following criteria are met:

Such purchases are required to implement a Federal grant, contract or financial agreement between the University and the donor wherein funds or other things of value are given with an obligation for service primarily to the donor by the University, and/or,
Such supplies, materials, equipment or contractual services are specified in such grant, contract or financial agreement, and/or other
Sole source criteria has been met. (See section 2.1.2.c for details.)

Revised: 11/2001

1.2.3 Goods and services available under existing State Contracts may be purchased from the State contract vendors in accordance with the terms and conditions set forth therein. However, the University is not required to utilize State contracts.

1.2.4 The Director of Procurement & Logistical Services may establish University contracts for frequently ordered goods and services, or convenience contracts. A convenience contract is one wherein the primary consideration is convenience rather than price. Criteria to be used in approving such contracts will include travel time, administrative cost savings, product application and availability.

Revised: 11/2001

1.3 Financial Records System (FRS)

In October 1990, the Purchasing Department implemented the Purchasing Module of the Financial Records System (FRS). FRS dramatically reduces the amount of paperwork required by end users, purchasing agents and accounts payable personnel.

Some of its advantages to you, the requisitioner, are:

Instant online access to information regarding disposition of purchase requisitions, bid status, purchase order status, receiving information, and vendor payments;
Reduced administrative and clerical workloads through the automation of many functions, i.e., preparation of purchase requisitions, and completing receiving reports;
Simplification of processing requirements, which shortens the procurement cycle.

Training is available from the Purchasing Department for User/Departmental online entry of Purchase Requisition and Receiving Reports. Manuals are provided for these functions at the time of training.

1.4 Commodity Assignments

Visit our Commodities Page or Staff Page for more information

1.5 Set-Aside, Minority and/or Women-Owned Businesses

The Purchasing Department currently operates under existing State statutes and procedures promulgated by the Commission on Human Rights and Opportunities and the Department of Economic Development. Under those statutes and procedures, no cost preference is given to setÐaside, minority or woman owned business enterprises.

The Purchasing Department is committed to promoting utilization of set-aside, minority and woman owned business enterprises in the University's procurement programs. The Director of Procurement and Logistical Services or designee is authorized to: 1) change the source on any requisition in order to direct University purchases to minority and woman owned businesses, and 2) designate specific purchases for the exclusive participation by minority and woman owned businesses.

1.6 Contacting and Dealing with Vendors

Vendor representatives can be a valuable source of information for products and services. However, it is in the best interest of the University to assure that all vendors are treated in a fair and impartial manner, and to avoid favoritism and conflict of interest. To assist you in dealing with vendor representatives, the following guidelines are suggested:

Contact the appropriate Purchasing Agent or Purchasing Assistant in advance to save time with your purchase. S/he may be able to provide names, addresses and/or phone numbers of vendors, and existing contracts offering the goods or services required. S/he can also assist in developing a procurement plan.
Plan to discuss your need with more than one vendor. Information gathering may reveal alternatives or data not previously discovered.
All vendors should be given the same information so each has an equal opportunity to compete. Not providing equal information can be construed as showing favoritism or misrepresentation. Recognize that permanent business relations can be maintained only on a structure of honesty and fair dealings. Difficult economic times also promote a litigious environment. Failure to treat all vendors equitably may result in protests which can delay the procurement process.
Discuss all aspects of the need: i.e., what happens after the department owns the purchase. Consider the life cycle approach which includes: length of warranty, cost of maintenance, supplies, training, repair costs after warranty, and/or response time required for repair. The cost of the equipment or good may be insignificant compared to these "hidden" costs over the life of the product.
Guard against overreaction to a vendor created crisis: "Price goes up after the first of the month" or "This is the last one in stock".
Unsolicited telephone sales should be ignored or referred to the Purchasing Department. Such items have often been found to be overpriced and of inferior quality.
Conduct all business dealings in an impartial and ethical manner. Never accept gifts, gratuities or payments of any kind, including luncheon or dinner engagements or event tickets.
Do not commit the University by telling a salesperson he or she has the order. Only an authorized Purchasing designee may sign and approve purchases from vendors. If you enter into an agreement without the proper authority, you may be held personally liable for payment under Connecticut law.
Any equipment on loan from a vendor for testing and/or evaluation requires completion of a University Equipment Loan Agreement to avoid personal liability under Connecticut law. (See Section 2.6 for details.)

Revised: 11/2005

1.7 Ethics and Conflict of Interest

The University of Connecticut is a public trust. Therefore it is our policy to maintain high standards of honesty, integrity, impartiality, courtesy and conduct. Such policy is implemented by prescribing essential standards of ethical conduct without creating unnecessary obstacles.

To maintain these standards, the Purchasing Department subscribes to the following principles in the procurement of goods and services. It is essential that anyone conducting business with a vendor also observe the ethical standards described herein.

To give first consideration to the objectives and policies of the University of Connecticut.
To strive to obtain the maximum ultimate value for each dollar of expenditure.
To recognize that value represents the combination of quality, service and price, assuring the greatest ultimate economy to the user.
To demand honesty in sales representation, whether offered through the medium of a verbal or written statement, an advertisement or a sample of the product.
To grant all competitive bidders equal consideration; to regard each transaction on its own merits; to foster and promote fair, ethical and legal trade practices.
To discharge our duties impartially to assure fair competitive access to procurement from the University of Connecticut by responsible contractors.
To respect obligations and neither expressly nor implicitly to promise a performance that cannot reasonably be fulfilled.
To decline all personal gifts or gratuities.
To make every reasonable effort to negotiate an equitable and mutually agreeable settlement of any controversy with a supplier; and/or be willing to submit any major controversies to a third party review, insofar as the established policies of the University of Connecticut permit.

It shall be a breach of ethical standards for any employee or agent acting in behalf of the University of Connecticut:

To solicit, demand, accept or agree to accept a gratuity or any offer in connection with any decision, approval, disapproval, recommendation or preparation of a purchase request.
To unduly influence the content of any specification or procurement standard.
To agree to retain a person, solicit or secure a contract upon an agreement or understanding for a commission, percentage, brokerage or contingent fee.
To knowingly use confidential information for actual or anticipated personal gain or for the actual or anticipated personal gain of any other person.

All University employees should be aware that unethical conduct may involve a breach of state law, punishable by fine and/or incarceration.

Issued: 3/9/92

1.8 How You Can Help

As outlined in the Introduction, each employee plays an active role in the purchasing function. To assist the Purchasing Agents in expediting your requests, we offer the following suggestions:

Identify those areas where you can plan ahead for procurement, thereby allowing us to plan our workload. The more time Purchasing and the vendor have to
process an order, the better job we can do for you.
Provide all available information with your requisition (See Section 2.1 - Initiating a Purchase Requisition).
Submit an accurate description of the product as it will be shipped and invoiced. Many orders are not invoiced in the same unit of measure as ordered.
Notify Purchasing immediately if a duplicate shipment has been received and whether or not you intend to keep it. Submit the appropriate paperwork required to amend the original order or return the duplicate shipment. (See Section 2.5 - Returned Goods Procedures)
Do not add additional items to an established order without authorization from the appropriate Purchasing Agent. Doing so delays vendor payments, thereby jeopardizing supplier goodwill.
If special conies are received (e.g., bond or grant funds) from which extra procurement will be made, apprise the appropriate Purchasing Agent so s/he may be prepared to administer the increased volume.
Add recommended vendors to the Purchase Requisition including name of company, representative, address, telephone number and Federal Employer Identification number (FEIN), if known.

Revised: 11/2001