Policy 850.20P1: Purchasing Procedures Under Federal Awards

Where the district seeks to purchase goods, services or public works construction using federal funds, the district will use one of the following methods of procurement as defined in state and federal law (see also the District’s Federal Programs Manual):

1.     Micro-Purchases.  Procurement by micro-purchase is the acquisition of supplies or services, the aggregate dollar amount of which does not exceed $10,000 under Idaho law.  To the extent practicable, the district will distribute micro-purchases equitably among qualified suppliers.  Micro-purchases may be awarded without soliciting competitive quotations if the district considers the price to be reasonable based on research, experience, purchase history, or other information; and maintains documents to support its conclusion.  Purchase cards may be used as a method of payment for micro purchases.

2.   Simplified Acquisition and Small Purchase Procedures.  When purchasing goods or services with federal funds, the district will comply with all applicable requirements and procedures set forth in district policy as well as state and federal law.  Small purchase procedures are those relatively simple and informal procurement methods for securing services, supplies, or other property that do not cost more than the simplified acquisition threshold as defined by 2 CFR §200.1.  Under Idaho law, small purchase procedures may be used where the cost is between $10,001 and $99,999.  If these procedures are used, price or rate quotations must be obtained from an adequate number of qualified sources.  The district will document all verbal responses received from contractors.

3.   Sealed Bid/Formal Advertising.  Under this method of procurement, bids are publicly solicited, and a firm fixed price contract (lump sum or unit price) is awarded to the responsible bidder whose bid conforms with all the material terms and conditions of the invitation for bids and is the lowest in price.  This process is required for purchases of $250,000 and higher as set forth in Idaho law.

a.   This method of procurement is preferred if the following conditions exist:

i.    A complete, adequate, and realistic specification or purchase description is available;

ii.   Two (2) or more responsible bidders are willing and able to compete effectively for the business; and

iii.  The procurement lends itself to a firm fixed price contract and the selection of a successful bidder can be made principally on the basis of price.

b.   If sealed bids are used, the following requirements apply:

i.    The invitation for bids will be publicly advertised at least two (2) weeks before bid opening;

ii.   The invitation for bids, which will include any specifications and pertinent attachments, must define items or services in order for the bidder to properly respond;

iii.  All bids will be publicly opened at the time and place prescribed in the invitation for bids;

iv.  A firm fixed price contract award will be made in writing to the lowest responsive and responsible bidder.  Where specified in the bidding documents, factors such as discounts, transportation cost, and life cycle costs must be considered in determining which bid is lowest.  Payment discounts will only be used to determine the low bid when prior experience indicates that such discounts are usually taken advantage of; and

v.   Any or all bids may be rejected if there is a sound documented reason.

4.   Competitive Proposals/Semi-Formal Bidding.  This procurement method is normally conducted with more than one source submitting an offer, and either a fixed price or cost-reimbursement type contract is awarded.  This method will be used when conditions are not appropriate for the use of sealed bids and where the cost of the product/service to be purchased is between $100,000 and $249,999.  If this method is used, the following requirements apply:

a.   Written requests for bids describing the goods or services desired will be made available to at least three (3) vendors at least three (3) days before a written response is due (unless an emergency exists);

b.   Bidders will have one (1) day to submit written objections;

c.   The district will provide a written method for conducting technical evaluations of the proposals received and for selecting recipients;

d.   Contracts will be awarded to the responsible firm whose proposal is most advantageous to the program, with price and other factors considered; and

e.   The district may use competitive proposal procedures for qualifications-based procurement of architectural and engineering professional services whereby competitors’ qualifications are evaluated and the most qualified competitor is selected, subject to negotiation of fair and reasonable compensation.  The method, where price is not used as a selection factor, may only be used in procurement of architectural and engineering professional services.  It cannot be used to purchase other types of services though architectural and engineering firms are a potential source to perform the proposed effort.

5.   Non-Competitive/Sole Source Proposals.  This method seeks solicitation of goods or services from only one source and may be used only when one or more of the following circumstances applies:

a.   The item is available only from a single source;

b.   The public exigency or emergency for the procurement will not permit a delay resulting from competitive solicitation;

c.   The federal agency or pass-through entity for use of the federal funds expressly authorizes non-competitive proposals in response to a written request from the district; or

d.   After solicitation of a number of sources, competition is determined to be inadequate.

A cost or price analysis will be performed for noncompetitive proposals when the price exceeds $50,000.

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LEGAL REFERENCE:

Idaho Code Sections

67-2801 et seq. – Purchasing by Political Subdivisions

Federal Regulations

2 CFR §200.320 – Procurement Methods

CROSS-REFERENCE:

850 – Purchasing

850P1 – Supplemental Purchasing Procedures

850.20 – Purchases Using Federal Funds

850.30 – Purchasing Services or Personal Property

850.90 – Purchasing Public Works Construction

ADOPTED:   October 15, 2025

AMENDED: