Overview
Guidance on purchasing goods or services through competitive bidding. A requirement for most purchases at/over $100,000.
UCSF source selection practice: competitive bidding
In general, it is the practice of the University of California (UC) to meet its need for goods and services at the lowest overall total cost or best value, while affording maximum opportunities to those who wish to become suppliers to the University.
As the dollar value of our purchase transactions increase, policy dictates a requirement to competitively bid and our processes becomes more formal on what needs to occur in procuring good and services.
Competitive bid requirement threshold
In general, UC policy requires that all purchase agreements involving an expenditure of more than $100,000 annually, be competitively bid.
The UC Office of the President also strongly encourages, when appropriate, that procurement transactions under $100,000 be competitively bid. The best method to demonstrate price reasonableness is actually to document the competition’s pricing for the product you’re purchasing. For instance, having pricing from at least one other source and then documenting that within the BearBuy requisition is a best practice.
If source selection entails a certified small business or a certified disabled veteran owned business, there are potential bidding exemptions. Under the Small Business First Program (SB1), only two bids are required for all non-construction UC contracts and procurements between $10,000 to $250,000. To learn more about this small business initiative and how purchasers can take part, visits the UCOP Procurement Services website.
Gathering bids
When starting a procurement in BearBuy, purchaser will complete a Source Selection & Price Reasonableness Justification Form. This form will establish bidding requirements.