Be on the lookout for new inflation-adjusted acquisition thresholds will take effect on October 1, 2025. Federal contracts require compliance with Federal Acquisition Regulation (FAR) rules issued by the Federal Acquisition Regulatory (FAR) Council—including the subcontracting plan threshold. See the prime contractor subcontracting plan (FAR 19.702) threshold increase below. Please see the full updates and descriptions in the Federal Register.For requestors/buyers/staff/faculty assisting Principal Investigators on these federal program plans that may need further assistance, please contact Marliz Copado. Prime Contractor Subcontracting Plan (FAR 19.702) Threshold IncreaseThe prime contractor subcontracting plan (FAR 19.702) threshold is increasing from $750,000 to $900,000, and the associated threshold for construction is increasing from $1.5 million to $2 million.
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UCSF Supply Chain Management (SCM) is advising all departments to plan ahead for potential delays in procurement processing, particularly for requests involving non-contracted suppliers and IT software purchases. The Risk Management team is currently operating with reduced staff, which will temporarily slow down reviews for indemnity, insurance, and other-related requirements on non-contracted supplier requisitions. Requisitions with contracted suppliers are not affected by these delays. Additionally, IT Security Assessments are experiencing setbacks, which may extend processing timelines for software procurements. These assessments are a critical part of ensuring the security of UCSF’s networks and IT assets, and all software purchases must undergo review. For more information on this process, visit the IT Security Risk Assessment website. We kindly ask departments to plan for additional time when submitting software requests or working with non-contracted suppliers. If you have questions or need guidance, please submit a ticket to the SCM Response Team.
Service procurement breakdown brought to you by Tina Stugart, SCM Procurement Supervisor and Laura Morsony, SCM Response Team Analyst. This is part five in our series.
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On July 12, 2025, UCSF staff, allies, and faculty showed up for the inaugural San Francisco Service Day. The citywide day of service was presented by the Leadership San Francisco Class of 2025. The mission of the event was to make civic engagement fun and inspire first-time volunteers to get involved with community service. The organizing team partnered with 25 local nonprofits in need of extra hands, mobilizing more than 250 volunteers and contributing more than 500 hours of service across San Francisco. A local SF-based legacy business was utilized for the t-shirts made from 100-percent recycled fabric. If you would like to source from a local small business on your next project, please contact Marliz Copado. Learn more about the event at the San Francisco Service Day website. Michelle Nakphong’s experience volunteering:“We seized the SF Service Day opportunity to support our local public elementary school, Rosa Parks Elementary School, in the Western Addition [neighborhood]. Rosa Parks is one of the most diverse schools in the district and is delighted to welcome new transitional kindergarten (TK) classrooms this upcoming school year. With the partnership of the school’s leadership and PTA board, 28 volunteers came to refresh our 100+ year-old school and transform the TK hall into a welcoming place for the new students. Volunteers did it all: scraped and painted, assembled furniture, weeded, put up new bulletin boards, sealed outdoor murals, cleaned, and organized! We’re ready for the school year to begin and to welcome students into the fresh space.”Marliz Copado volunteered at Mission Graduates to build school care packages at the Mission Graduates College Connect office.
Within UCSF’s Supply Chain Management (SCM) Strategic Procurement department, the initial contract review is one of the most time-consuming tasks our buyers face. This task requires meticulous attention to detail and focus, as each article of the University of California (UC) terms and conditions - 26 in total - must be accounted for. Supplier contract templates can vary significantly, with unusual terms, formats, or even digital versions on their websites. As a result, this initial review can take anywhere from one to four hours and can be challenging.Introducing LegalSifter: AI-Powered Contract SupportStrategic Procurement made a significant stride in reducing the time spent on the first read-through of contracts by implementing LegalSifter, a machine learning and AI-powered contract support tool, this June. LegalSifter checks for each of the UC’s terms in near-real time. The software provides buyers with a clear understanding of which terms are included and excluded in the contract, offering valuable insights into contract risk and the potential complexity of negotiations.Early Results Show Time SavingsEarly feedback has been positive, with buyers reporting a decrease in the time required for the initial review—especially with complicated contracts. Requisitions with contracted suppliers processed by Central Procurement in July took an average of 1.85 days—significantly faster than the 4.27 days required for non-contracted supplier requisitions.Next Steps: Building a Smarter Contract LibraryStrategic Procurement plans to use LegalSifter to extract information from our contracts (nearly 500) to better understand the risk profile of our current portfolio. We intend to store this data in BearBuy—along with AI-generated summaries, clear contract names, and descriptive keywords—to make it easier for everyone to locate specific contracts.Commitment to InnovationAI will continue to play an important role in our processes. By leveraging AI to streamline one of the most time-consuming tasks, Strategic Procurement is leading innovation and continuing our tradition of excellence, continuous improvement, and strong fiscal and administrative stewardship.
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