What is Procurement?
Procurement is the process by which a government
purchases goods and services.
Three phases of procurement
1) Planning and scheduling
2) Source selection (buying)
3) Contract administration
Fundamental principles of procurement
- legality
- competition
- transparency/trust
Public Purchasing vs. Private Purchasing
SEE TABLE
What does control procurement?
- state purchasing code (statutes)
- local government purchasing policies
- administrative procedures and processes
Types of purchasing function
Procurement is commonly located in:
1) in the Finance Department-70% of local governments/75% cities and 50%
counties
,2) As a separate entity to report CEO
Purchase authority shall be exercised independently. It is an important piece in
the overall system of internal controls.
Responsibilities of Purchasing Analyst
The development and promulgation of such administrative policies, forms and,
files as may be reasonably necessary for the internal management and operation
of government purchasing policies and procedures including, but not limited to
the following:
• To purchase or contract, in coordination with government Purchasing Agents
within departments, for supplies, equipment, services and construction projects.
• To negotiate and recommend execution of contracts in coordination with legal.
• To ensure appropriate levels of competition for all purchases.
• Compliance with administrative, State and federal purchasing regulations,
policies and procedures.
What is the purpose of procurement?
-compliance with applicable law
- provide operating departments with goods and services they need
- reduce risks facing the organization
- promote fairness and provide opportunity to compete for vendors
- maintain public trust that funds are spent prudently and without corruption
- help promote overall goals of the organization
Procurement involves balancing several competing goals
сутprit مo Laws and policies adhered to
o Competition / Price
o Efficiency
, o Performance
o Risk
o Access
o Transparency
o Community
Trust Partner.Rule Enforcer
What is procurement authority?
The authority to award or approve the award of legally binding procurement
agreements, such as Contracts and Purchase Orders, on behalf of the
government or to enter into purchasing transactions using a government-issued
procurement card (P-Card).
Competition requirements
o Purchasing policies identify thresholds that define requirements for
competition
Dollar value
Type of purchase
Types of Competitive Public Procurement
o Quotes
o Invitation to Bid (ITVB)
o Request for Qualifications
o Request for Proposal
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