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POLICY

It is the policy of the Facilities & Construction Services to acquire services at the most economical costs for the benefit of the University, in accordance with State and University guidelines.   

GENERAL

The Five-Year Campus Master Plan is the basis upon which the Construction Division process is built. Projects less than $2,000,000 can be constructed by the Construction Services with approval by the É«»¨Ìà Board of Regents. Projects greater than $2,000,000 must have É«»¨Ìà Board of Regents approval and the Texas Higher Education approval based on cost factors and the financial implications of the project to the state.

The Facilities’ Division is committed to ensuring that the Facilities and Construction Services Department acquires the necessary services needed to perform essential job functions. These procedures are designed to establish Divisional procurement guidelines that do not violate or contradict rules and regulations set forth by the Texas Education Code, Section 61.0582, State laws and University policy.  Therefore, the policies and procedures contained herein have been adopted and published to be consistent with those established by the É«»¨Ìà Purchasing Office.

PURPOSE

The purpose of the Facilities and Construction Services is to address prioritized major capital improvement projects, and deferred maintenance projects are derived from the Master Plan as submitted to Board of Regents and the with concurrent or subsequent submittals to the Texas Higher EducationCoordinating Board based upon supporting documentation provided; determine appropriate fund sources; ensure such encumbrance requests are within budgetary constraints; obtain necessary management approvals; process online requisitions; and notify departments of authorized purchase order(s) and related status. [ NOTE: Generally, construction/renovation related requests are coordinated by the Facilities Specialist for Construction.]

SUMMARY OF PURCHASING AUTHORITY

“The Purchasing Office, under the direction of the Chief Fiscal Office, has sole authority to obligate the University for the purchase of supplies, equipment, and services.  The University will not assume liability for payment of obligations undertaken which have not been made in accordance with University policies and procedures and approved by the designated purchasing officers for the University.” Please be advised that it is and has been the policy of the Board of Regents of É«»¨Ìà that no employee is authorized to obligate the University for the payment of goods or services without first obtaining a properly executed Purchase Order. While this policy may have been loosely applied in the past, please know that anyone attempting to obligate the University for such payments without first securing a properly executed Purchase Order shall be subject to disciplinary action. The individual(s) obtaining those goods or services will be solely and totally responsible for the payment of any debt incurred (See page 4 of the É«»¨Ìà Purchasing Handbook for Faculty and Staff). Employees who do not adhere to the established policies and procedures may be subject to progressive disciplinary action.

PROCUREMENT CYCLE 

The Procurement cycle is promulgated in Texas Government Codes 2155 and 2156. The process is a methodical approach and includes the following:

• Project analysis and needs assessment
• Procurement method selection
• Invitation for Bids
• Request for Proposals
• Request for Qualifications
• Development of project specifications and design
• Project document development
• Advertisement
• Receipt of bids and proposals
• Bid opening, tabulation, and review
• Award of contract/purchase order
•  Placing the order 

REQUISITION PREPARATION 

 When preparing a requisition, the department should begin the process accordingly.

•  If the encumbrance request for the purchase of goods amounts to $5,000.00 or less, no bid is required; for amounts of $5,000.01 to $25,000.00, three quotes or a spot purchase form should be attached; and $25,000.01 or more should be submitted for formal bids through the Purchasing Office.
• If the encumbrance request amount for purchase of services (professional or consultants) is $10,000.00 or less no bid is required; $10,000.01 to $25,000.00 three quotes or a spot purchase form should be attached; and $25,000.01 or more should be submitted for formal bids through the Purchasing Office.
• The vendor information should be submitted (i.e. vendor name, address, federal tax identification number, contact person, phone and fax number).

These obligations may require the creation of a formal contract and will be coordinated with the Facilities and Construction Services Division’s Contract Administration Office for a determination.

• Once the requisition is completed, the requestor should sign and submit to Department Head for signature approval, along with supporting documentation before forwarding to Procurement Services for further processing.

PROCEDURES FOR PROCESSING REQUISITIONS

When processing requisitions to be submitted for a Purchase Order, the following steps should be   adhered to:

1. A completed Requisition Form should be forwarded to the assigned Project Manager for signature.
2. Fund availability and budget information will be determined, verified, and added to the requisition accordingly.
3. Once the requisition is received, it will be stamped to indicate the date and time of receipt.
4. The requisition will then be logged for tracking on the Facilities and Construction Document Tracking Log (Construction) and/or the Purchase Order Tracking Log (B & AS) and assigned a number.
5. The Request will be submitted to the Executive Director of Facilities and Construction Services, NOTE: All or some combination of the various levels of Management approval indicated may have to be obtained prior to further processing of the requisitions.
6. Once requisitions have Management approval, an online requisition will be entered into the Banner Financial System.
7. A requisition number will be system generated and submitted for completion.
8. After online approval of requisitions, authorized purchase orders are issued within one to two business days. Hard copy requisitions submitted to the Purchasing Office for processing, in most cases, are issued an authorized purchase order within three to five days after receipt of the requisition. [ NOTE: It should be noted that occasionally, constraints beyond the control of the Facilities and Construction Services Division may result in purchase order issuance not being completed for a period of from 1 to 2 weeks or more.]

NOTICE: ENCUMBRANCE REQUESTS RECEIVED WITHOUT REQUIRED SUPPORTING DOCUMENTATION AND INCOMPLETE INFORMATION ARE SUBJECT TO BEING RETURN TO REQUESTER FOR REVISIONS AND/OR ADDITIONAL INFORMATION.

PROCESS OVERVIEW

Requisitions and encumbrance requests submitted to the Construction Finance area and the Office of Business and Administrative Services must be accompanied by an explanatory memorandum (or other transmittal) describing all pertinent information regarding the request [i.e. reason/justification for the request; project name and/or description of work to be performed; cost of request; type of documentation provided; special circumstances (e.g. low bid not selected; invoice prior to approved purchase order; sole source provider; etc.).

Requests will be logged and tracked via the Facilities & Construction Document Tracking Log and/or the Purchase Order Tracking Log, along with current status (including Vendor Name and ID#, Requisition Description, Funding Source, Date of Receipt, Purchase Order Approval Date, Purchase Order Number, Purchase Order Amount, Check Amount, Purchase Order Balance, Tracking Number, etc.).  

A copy of the logs will be provided weekly for all direct reports and their assistants for review. Information is updated as known changes occur and verified prior to distribution to departments. If information provided is incorrect, please contact the Construction Services to notify of any inaccuracies. Although requests have been approved within our Division, there may still be other management approvals necessary, which may elongate the completion of the encumbrance process.

If requests are of an EMERGENCY nature, boldly indicate such on the requisition and submit in a timely manner. An emergency purchase is defined by the Texas Government Code and The Texas Building & Procurement Commission as “a purchase of goods or services so badly needed that an agency will suffer financial or operational damage unless they are secured immediately”. Emergency purchases should be rare and based upon completely unforeseeable circumstances, not oversight or lack of planning. Like all other requests, please complete the requisition along with a complete emergency justification letter. The letter should: 1) state the reason for the emergency purchase, and explain what the emergency is and/or what caused the emergency situation; 2) state the financial or operational damage that will occur if needs are not satisfied immediately; and 3) state why needs were not or could not be anticipated so as to preclude following regular purchasing procedures. 

Unauthorized purchase order(s) should be accompanied by a Purchase Exception Authorization Form and may require a significantly longer time to process. As of the effective date of this procedure, all Purchase Exception Forms must be approved by the Interim President.

INFORMATION REGARDING THIS POLICY AND PROCEDURES

If you have questions or need additional information regarding this policy and related procedures, you may contact the Facilities and Construction Services. This information describes the procurement activities for the Facilities and Construction Services Division and is effective immediately.