About

5200: Purchasing

Revision Date: 10/21/2019

Last Review: 10/21/2019

Original Effective Date: 10/21/2019

Responsible Office: Purchasing Office

References: LRS 39:1551-1755; LRS 38:2181-2320; Title 34 and Executive Orders


Policy:

The primary function of the Louisiana Tech University Purchasing Department is to procure needed supplies, equipment, and services with maximum value obtained for each dollar expended. All procurement must be in compliance with the appropriate state regulations and provide support for the education, research and public service goals of the University.

The Purchasing Department of Louisiana Tech University operates in full compliance with the laws and regulations of the State of Louisiana. Purchasing Regulations are contained in Louisiana Revised Statutes 39:1551-1755, Louisiana Revised Statutes 38:2181 – 2320, Executive Orders of the Governor, and the Rules and Regulations promulgated by the Commissioner of Administration in Title 34, part I of the Louisiana Administrative Code.

The University’s purchasing regulations apply uniformly to every expenditure of public funds, irrespective of its source, including all forms of federal assistance, as well as all self-generated funds, private gifts, and contracts. The University’s procurement process fully complies with federal laws and authorized regulations, which are mandatory.

To enable efficient procurement and ensure compliance with state and federal regulations for various situations procedures have been developed to assist the University community.  Procedures identity the approval process and responsible parties.

Only the Director of Purchasing or University President or specific designee may execute contracts on behalf of the University committing expenditure of university funds or other resources.

Definitions:

Annual, semi-annual or quarterly bid – Bids for specific quantity of goods, for a specific time period. Goods received only on request.

Blanket bid -Bids are for pricing only and to be firm for a specific period of time.

Change order – These forms are used to make corrections or cancellations on Purchase Orders. A written request from the Department to Purchasing is needed for a Change Order to be issued.

Check to accompany order – A request for payment when there is not an invoice. A request when prepayment is required.

Codes – Numbers assigned to differentiate funds, departments and expenses. Questions pertaining to coding should be directed to the Comptroller’s Office.

Direct charge – The request of payment of an invoice when items were not ordered on a Louisiana Tech Purchase Order.

Intracampus requisition form – These forms are obtained from the Comptroller’s Office. Items or services purchased from other departments on the campus are paid by submitting completed Intracampus Requisition forms DIRECTLY TO THE COMPTROLLER.

Inventory – Any equipment purchased or acquired with a value of $1000.00 or more must be placed on the University’s inventory. Please consult the Louisiana Tech Property Control Manual or the University Property Manager for instructions.

Invoices – An itemized list of purchased goods with unit price extended and totaled issued by the Vendor. Most invoices are numbered.

Manual or immediate check – A check that is issued immediately. The Comptroller must first give a written approval.

Overload – Payment to faculty or staff for services other than assigned duties. Questions pertaining to any compensation for services of Louisiana Tech faculty or staff should be directed to Personnel.

Petty cash – Cash reimbursements to individuals.

Reimbursements -A refund for purchases paid for by an individual.

Cash – Check Petty Cash instructions

Check – Proper original receipt marked paid attached to the requisition clearly marked REIMBURSEMENTS. This will be forwarded directly to the Comptroller for payment.

Rushed Check – A check that is needed before the regular processing time of 10 days.
Procedure:

  • Attach note to requisition notifying purchasing.
  • Explanation of why the emergency exists.
  • Checks are normally written every Tuesday and Thursday. The requisition must be in the Purchasing Office in time for a purchase order to be typed and given to the Comptroller by 12:00 PM on either of these days.

Travel authorization forms -These forms are obtained from the Comptroller’s Office.

University research approval -Expenditures of designated grants must have prior approval from University Research before the requisition can be processed. Any questions concerning these grants should be directed

Procedures:

Ethics Statement

All public purchasers are required to adhere to the ethical standards for public servants. Care must be exercised to avoid impropriety or the appearance of impropriety. The Code of Governmental Ethics can be found by searching La. R.S. 42:1101-1170.

The Code of Governmental Ethics specifically prohibits:

Receipt of a thing of economic value for assisting someone with a transaction with the agency of the public servant.

Receipt of a thing of economic value by a public servant for services rendered to or for the following: persons who have or are seeking to obtain a contractual or other business or financial relationship with the public servant’s agency.

Participation by a public servant in a transaction involving the governmental entity in which any of the following persons have a substantial economic interest:

  • the public servant;
  • any member of his immediate family;
  • any person in which he has an ownership interest that is greater than the interest of a general class;
  • any person of which he is an officer, director, trustee, partner, or employee;
  • any person with whom he is negotiating or has an arrangement concerning prospective employment;
  • any person who is indebted to him or is a party to an existing contract with him and by reason thereof is in a position to affect directly his economic interests.

Purchasing items to remember:

  1. Comply with all procurement laws (LA R.S. 39: 1551-1755; LRS 38: 2181-2320; Title 34), rules, regulations, executive orders, policies and procedures concerning the purchase of goods and services.
  2. When completing a requisition, tell a complete story, someone unfamiliar with your purchase should be able to read the requisition and fully understand what is happening and why.
  3. Purchase office supplies through the Staples Advantage, the State Contract vendor.
  4. The Office of State Procurement State Contract website references multiple contracts for paper, furniture (Dell, HP, Grainger, MSC Industrial, Fisher Scientific, VWR Scientific) and other Approved Catalog Contracts. Use of these state contracts save bidding time and money.  https://www.doa.la.gov/Pages/osp/contracts_index.aspx   
  5. Refer to the “Purchasing Procedures” for guidelines on purchases up to $5,000, Purchases over $5,000 but less than $15,000, Purchases over $15,000 but less than $25,000, and purchases over $25,000. The splitting of purchases in order to circumvent the bid law and to stay within the bidding thresholds is not permitted.
  6. Follow guidelines and secure special approvals for purchases of food through Aramark; purchasing and serving of beverages which are Pepsi products ONLY.
  7. Louisiana Tech has guidelines established for the use and reproduction of logos and trademarks that require the advance approval of the Office of University Communications. The approval form can be found at https://www.latech.edu/documents/2018/05/policy1309_logo-brand_usage_approval_form_fillable.pdf/ 
  8. Only the President and Director of Purchasing are authorized to sign contracts or agreements for the purchase of goods or services that obligate the University.
  9. Software Agreements – Sometimes vendors will require that an agreement be signed, or will state that the University agrees to the company’s Terms and Conditions/ EULA (End User License Agreement). In this case, the original agreement, not signed by the University, must be forwarded to Purchasing for review with compliance with Louisiana law and for Purchasing’s signature.  Only the President and Director of Purchasing are authorized to sign these agreements binding the University.
  10. Obtain all required approvals before sending requisitions to Purchasing. Grant purchases require an additional approval from Sponsored Projects.  Student Technology accounts require the signature of Provost and President.
  11. Attach all forms required in addition to the requisition (i.e. travel authorization, meal form, etc).
  12. Remember that all subscriptions, membership dues, software licenses, etc. are allowed for a period of ONE year. Two year subscriptions, memberships, etc. are not allowed.

Procurement thresholds established by executive order of the governor of Louisiana – JBE 2016-39

Purchases up to $5,000

No competitive bidding or purchase order is required. Even though competitive bidding is not required, each department is responsible for obtaining a purchase price that is competitive and reasonable. This purchasing authority is delegated to each budget unit approved by Purchasing. Purchases under $5,000 must be kept to a minimum and reserved for those unforeseen needs. Advanced planning to consolidate quantities and secure bids will eliminate the overuse of this privilege.

Purchases of $5,000 or less made on the State of Louisiana LaCarte Purchasing Card are also exempt from the competitive bidding requirements.

The splitting of purchases in order to circumvent the bid law and to stay within the bidding thresholds is not permitted.

All delegated authority is subject to revocation by the purchasing department for over-use or abuse.

Purchases over $5,000, but less than $15,000

Price quotations shall be solicited from three (3) or more bona fide, qualified vendors for purchases exceeding five thousand dollars ($5,000), but not exceeding fifteen thousand dollars ($15,000).

Quotations may be made by telephone, facsimile, or other means and shall be awarded on the basis of the lowest responsive quotation. Whenever possible, at least one (1) of the bona fide, qualified vendors shall be a certified small and emerging business, a small entrepreneurship, or a veteran or service-connected disabled veteran-owned small entrepreneurship. A minimum of three (3) working days shall be allowed for receipt of quotations.  Agency files shall document and list all solicited vendors and each vendor’s contact person, summarize quotations received, indicate the successful vendor and state the reason why any lower quotation was rejected. Agency files should also contain written confirmation of the quotation from the successful vendor.  Quotation results must be summarized in summary format specified by the Purchasing Department.

When the price is determined to be reasonable, the requirement to solicit three (3) quotations may be waived when making purchases from a small and emerging business, a small entrepreneurship, or a veteran or service­ connected disabled veteran-owned small entrepreneurship that is currently certified by the Department of Economic Development. Reasonable is a best value determination based on price, delivery, service, and/or any other related factors. This determination is to be maintained in the file.

Soliciting three (3) quotations may be waived when purchasing from a business registered with the Secretary of State as domiciled in Louisiana. A business analysis must determine that in-state prices are equal or better than two other current price comparisons. Comparisons may include, but are not limited to, state contract prices, General Services Administration (GSA) prices, or similar resources. Comparison documents are to be maintained in the file.

Departments are not permitted to split or artificially divide purchases to circumvent these bid requirements.

Purchases over $15,000, but less than $25,000

These solicitations must be on the Purchasing Department’s bid forms containing complete, competitive specifications, the quantity required, terms and conditions, delivery point and other information sufficient for a supplier to make an acceptable bid.

The Purchasing Department (after receiving award recommendations from issuing department) will review the quotations and place the order with the lowest responsive bidder.

Price quotations shall be solicited from five (5) or more bona fide, qualified vendors for purchases exceeding fifteen thousand ($15,000) but not exceeding twenty-five thousand dollars ($25,000).

Quotations may be made by facsimile or written means and shall be awarded on the basis of the lowest responsive price quotation received. Whenever possible, at least two (2) of the bona fide, qualified vendors shall be certified small and emerging businesses, small entrepreneurships, or a veteran or service-connected disabled veteran-owned small entrepreneurship. Agency files shall document and list all solicited vendors and each vendor’s response, summarize quotations received, indicate the awarded quotation, and state the reason why any lower quotation was rejected.

The requirement to solicit certified small and emerging businesses, small entrepreneurships, or veteran or service­ connected disabled veteran-owned small entrepreneurships is waived for those agencies that post on LaPAC, Louisiana’s internet based system for posting vendor opportunities and award information.

A minimum of five (5) working days shall be allowed for receipt of quotations.

All written or facsimile solicitations shall include the closing date, time, and all pertinent competitive specifications, including quantities, units of measure, packaging, delivery requirements, ship-to location, terms and conditions, and other information sufficient for a supplier to make an acceptable quotation. Precautionary measures shall be taken to safeguard the confidentiality of vendor responses prior to the closing time for receipt of quotations. No quotation shall be evaluated using criteria not disclosed in the solicitation.

Purchases over $25,000

Where the estimated cost of materials, supplies and/or equipment is above $25,000, an Invitation to Bid (ITB) will be mailed to at least five (5) bona fide prospective bidders.

Sealed bids will be received in the Purchasing Office, and opened publicly at the designated time and place. Generally, a minimum of twenty-one (21) days will be allowed for bids to be received, unless extenuating circumstances exist which allow for a ten (10) day bidding period.

The requesting department will be notified of the assigned bid number and opening date, after which the bids can be picked up for evaluation.

Departments are not permitted to split or artificially divide purchases to circumvent these bid requirements.

Purchases estimated to cost over $25,000 are to be made by sealed bid after publicly advertising in the official journal of the state (The Advocate in Baton Rouge) and in a newspaper in the locality of the budget unit to be served.  In addition to advertisement all purchases requiring advertisement must be posted on the State of Louisiana State Procurement public website LaPAC.  Vendors registered with the State of Louisiana State Procurement Office will receive email notification of bids by the classification of procurement.

Five (5) bona fide, qualified bidders are to be solicited.

Departments are not permitted to split or artificially divide purchases to circumvent these bid requirements.

Exceptions to competitive bidding – as outlined in JBE 2016-39; Section 5

The following items are considered small purchases and may be procured in the following manner:

No competitive process is required for the following items:

  • Repair parts for equipment obtained from an authorized dealer. A Louisiana authorized dealer shall be used if available. This provision does not apply to the stocking of parts;
  • Equipment repairs obtained from an authorized dealer. A Louisiana authorized dealer shall be used if available;
  • Vehicle repairs not covered by a competitive state contract or the state fleet maintenance repair contract, obtained from an authorized dealer. A Louisiana authorized dealer shall be used if available;
  • Vehicle body repairs covered by insurance recovery and in accordance with insurance requirements;
  • Livestock procured at public auction or from an individual which has purebred certification approved by the Department of Agriculture and Forestry;
  • Purchasing or selling transactions between state budget units and other governmental agencies;
  • Publications and/or copyrighted materials purchased directly from the publisher or copyright holder not exceeding ten thousand dollars ($10,000);
  • Publications and/or copyrighted materials purchased by libraries or text rental stores from either subscription services or wholesale dealers which distribute for publishers and/or copyright holders not exceeding fifteen thousand dollars ($15,000);
  • Public utilities and services provided by local governments;
  • Prosthetic devices, implantable devices, and devices for physical restoration which are not covered by a competitive state contract;
  • Educational training, including instructor fees, and related resources (except equipment) used to enhance the performance of state employees and good standing of state agencies, including memberships in and accreditations by professional societies and organizations, not exceeding ten thousand dollars ($10,000), except for customized training which is covered under La. R.S. 39:1551 et seq.;
  • Procurements for clients of blind and vocational rehabilitation programs not covered by competitive state contract which are federally funded at a rate of at least 78.7%, regulated by Title 34, Parts 361, 365, 370, and 395 of the Code of Federal Regulations, and in accordance with OMB Circular A-102;
  • Materials, supplies, exhibitor fees, and exhibit booths for conferences, seminars, and workshops, or similar events (business, educational, promotional, cultural, etc.) for participation in promotional activities which enhance economic development or further the department’s mission, duties and/or functions, not exceeding ten thousand dollars ($10,000) with the approval of the department secretary, or agency equivalent, if not covered by competitive state contract;
  • Wire, related equipment, time and material charges to accomplish repairs, adds, moves, and/or changes to telecommunications systems not exceeding two thousand five hundred dollars ($2,500);
  • Working-class animals trained to perform special tasks, including but not limited to, narcotics detection, bomb detection, arson investigation, and rescue techniques;
  • Food, materials, and supplies for teaching and training not exceeding ten thousand dollars ($10,000), where the purchasing, preparing, and serving of food are part of the regularly prescribed course;
  • Shipping charges and associated overseas screening and broker fees between international and domestic origins and destinations not exceeding ten thousand dollars ($10,000) per transaction;
  • Renewal of termite service contracts;
  • Purchase of supplies, operating services, or equipment for Louisiana Rehabilitation Services, Traumatic Head and Spinal Cord Injury Trust Fund Program. Although competitive bidding is not required under this paragraph, whenever practicable, three (3) quotations from bona fide, qualified vendors should be obtained. Whenever possible, at least one (1) of the bona fide, qualified vendors shall be a certified small and emerging business, a small entrepreneurship; or a veteran or service-connected disabled veteran-owned small entrepreneurship;
  • Purchasing of clothing at retail necessary to individualize clients at state developmental centers in compliance with Federal Regulations for ICFIMR facilities;
  • Health insurance for the managers of Randolph-Sheppard programs, as defined by 20 U.S.C. §107 et seq., and paid from income generated by unmanned vending locations;
  • Purchases made to resell as part of a merchandising program with the written approval on file from the secretary of the department, or agency equivalent, when it is not practical or feasible to obtain competitive price quotations;
  • Commercial Internet Service not exceeding one thousand five hundred dollars ($1,500) per subscription per year;
  • Advertising, where permitted by law, and the head of an agency or designee certifies that specific media is required to reach targeted audiences;
  • Scientific and laboratory supplies and equipment when procured by colleges and universities for laboratory or scientific research not to exceed twenty-five thousand dollars ($25,000) per transaction;
  • Publication of articles, manuscripts, etc. in professional scientific, research, or educational journals/media and/or the purchase of reprints not exceeding ten thousand dollars ($10,000);
  • Livestock sperm and ova;
  • Royalties and license fees for use rights to intellectual property, such as but not limited to: patents, trademarks, service marks, copyrights, music, artistic works, trade secrets, industrial designs, domain names, etc.;
  • Equipment moves by the original equipment manufacturer or authorized dealer to ensure equipment operation to original equipment manufacturer specifications, calibration, warranty, etcetera, not to exceed twenty-five thousand dollars ($25,000) per transaction;
  • Mailing list rentals or purchases not exceeding ten thousand dollars ($10,000); and
  • Art Exhibition rentals and/or loan agreements and associated costs of curatorial fees, transportation, and installation.

For the following items, telephone or facsimile price quotations shall be solicited, where feasible, from at least three (3) bona fide, qualified vendors. Whenever possible, at least one (1) of the bona fide, qualified vendors shall be a certified small and emerging business, a small entrepreneurship, or a veteran or service­ connected disabled veteran-owned small entrepreneurship.

  • Farm products including, but not limited to, fresh vegetables, milk, eggs, fish, or other perishable foods, when it is determined that market conditions are unstable and the competitive sealed bidding process is not conducive for obtaining the lowest prices;
  • Food, materials, and supplies needed for:
  1. Operation of boats and/or facilities in isolated localities where only limited outlets of such supplies are available and the cost of the food, materials, and supplies do not exceed twenty-five thousand dollars ($25,000); and/or
  2. Juvenile detention homes and rehabilitation facilities/homes where the number of inmates, students, or clients is unstable and unpredictable;
  • Convention and meeting facilities not exceeding twenty­ five thousand dollars ($25,000), provided that any associated food or lodging must be in accordance with Policy & Procedure Memorandum No. 49- General Travel Regulations;
  • Gasoline and fuel purchases not exceeding ten thousand dollars ($10,000);
  • Equipment for blind operated facilities not covered by competitive state contract;
  • Livestock feed commodities, including but not limited to soybean meal, cottonseed meal, and oats not exceeding ten thousand dollars ($10,000);
  • Seed commodities, including but not limited to rye grass, soybean seed, com seed, cotton seed, etc. as well as related fertilizers, herbicides, insecticides, and fungicides when not covered by competitive state contract;
  • FAA PMA approved aircraft parts and/or repairs, inspections, and modifications performed by an FAA­ certified mechanic and/or at an FAA certified repair station in accordance with FAA requirements with approval by the head of the agency or head of Office of Aircraft Services, Division of Administration; and
  • Air and bus charters in accordance with PPM 49, including group travel that does not qualify for commercial rates available to individual travelers.

Memorandum OSP 17-04 – Executive Order JBE 16-39 Exemption

Executive Order JBE 16-39 prescribes small purchases procedures in accordance with La. R.S. 39:1596 of the Louisiana Procurement Code (La. R.S. 39:1551 et seq.). In Sections 5(A)(7) and (8), the Executive Order allows for the procurement of publications and/or copyrighted materials purchased directly from the publisher or copyrighted holder without competition up to $10,000, and of publications and/or copyrighted materials purchased by libraries or text rental stores from either subscription services or wholesale dealers which distribute for publishers and/or copyrighted holders without competition up to $15,000.

Public Institutions of Higher Education, the State Library and local public school boards are exempt from the monetary caps set forth in Sections 5(A)(7) and (8) of E.O. JBE 16-39 with respect to the procurement of publications and/or copyrighted materials purchased directly from the publisher or copyright holder, and publications and/or copyrighted materials purchased by libraries or text rental stores from either subscription services or wholesale dealers which distribute for publishers and/or copyright holders.

Purchases specified in the Louisiana procurement code RS 39:1551-1738

State Contract – If a competitive statewide contract exists, items can be purchased without bidding.

Software – Competitive bids are not required for software purchase but must be accompanied by price documentation. Note: Software and/or Hardware purchases exceeding $100,000 require processing through the Office of State Purchasing Procurement Support Team.

Sole Source – Sole source procurement is a rare exception and is reviewed and approved on a case by case basis.

Sole Source Procurement is permissible only if a requirement is available from a single supplier. If there is more than one potential bidder, it is not a sole source. These purchases are reported annually to the Louisiana State Legislature.

Before a department commits funds or places an order using sole source as a factor, Purchasing must determine and approve. In case of reasonable doubt, competition should be solicited. Any request by a using department that a procurement be restricted to one potential vendor shall be accompanied by an explanation as to why no other will be suitable or acceptable to meet the need as follows:

Requirements for Sole Source:

  • Letter or statement from manufacturer stating that they are the sole supplier, &
  • Statement or explanation from Requesting Department as to why no other product will be suitable or acceptable to meet the need. The need must be identified, &
  • Bid or other documentation of price with order information.

Examples of circumstances which could necessitate sole source procurement are:

  • Where the compatibility of equipment, accessories or replacement parts is the paramount consideration.
  • Where a sole supplier item is needed for trial use or testing.
  • Procurement of items for resale.
  • Procurement of public utility services.
  • Procurement of registered breeding stock.
  • Livestock may be purchased on a selective basis.

Emergency Purchasing

An emergency condition is a situation that creates a threat to public health, welfare, or safety. The existence of such condition creates an immediate and serious need for supplies, services, or major repairs that cannot be met through normal procurement methods, and the lack of which would seriously threaten:

  • The function of Louisiana Government;
  • The preservation or protection of property; or
  • The health or safety of any person.

Emergency purchases are reported annually to Louisiana State Legislature.

The emergency quotation tabulation form is used whenever an emergency exists that is justified in accordance with RS 39:1598. A written determination must be made on why an emergency purchase was required and justification if the award was to other than the low bidder.

All vendors contacted must be listed along with the information of unit price, delivery time, terms, and F.O.B. Point. The name and phone number of the person quoting must also be given. Attach the completed form to the requisition and send to Purchasing for the issuance of a purchase order. If additional forms are needed, please duplicate the sample form. Prior approval from the Purchasing Office is required before telephone quotes will be accepted. Prior approval from the Purchasing Office is required before telephone quotes will be accepted.

Antiques, Used or Demonstrator Equipment

The purchase of used equipment is discouraged, but if it should be necessary, certain requirements must be met:

Revised Statute 39:1645 reads as follows and the documents/certifications required should be forwarded to the purchasing department for approval:

Procurement of Used Equipment

Any agency covered by this Chapter may procure any equipment which is used or which has been previously purchased by an individual or corporation where the agency proposing to make such procurement can present satisfactory information to the procurement officer to illustrate that the procurement of said equipment is cost-effective to the state.

  1. The used equipment shall be purchased by the head of the agency, college, or university, within the price range set by the director of state purchasing, or the directors of purchasing at colleges and universities, in a statement of written approval for the purchase which must be obtained by the head of the agency, college, or university, prior to the purchase.
  2. The head of the agency, college, or university, shall certify in writing to the director of state purchasing, or the directors of purchasing at colleges and universities, all of the following:
    • The price for which the used equipment may be obtained.
    • The plan for maintenance and repair of the equipment and the cost thereof.
    • The savings that will accrue to the state because of the purchase of the used equipment.
    • The fact that following the procedures set out in the Louisiana Procurement Code will result in the loss of the opportunity to purchase the equipment.”

Types of competitive bids

  • Regular Bid – Bids are for a particular item or items with specific a quantity. A purchase order is to be issued as soon as bid is awarded. The bid prices are normally firm for 30 days.
  • Annual Bid, Semi-annual or Quarterly Bid – The bid specifications request prices to be firm for a specific period of time, and states the expected quantity of each item to be ordered. Funds are encumbered and usage is processed by partial receiving report. Items are only delivered on request. This method requires less paper work and allows the Department to “pick up the phone” and order any of the items on the Purchase Order. The invoice will be paid by the Comptroller’s Office without additional paper work.
  • Blanket Bid – Bids are for pricing only for a specified period of time. The specifications will state that all items may not be ordered. Funds will not be encumbered and goods will not be ordered. A second requisition must be submitted for the items to be ordered. A Purchase Order will then be issued for the requested items. This is used for situations when funds are not available until collected, such as student assessment fee accounts.

Bid evaluation process

The departments usually evaluate their own bids and make recommendations as to the bid award, but the final decision will be by the Purchasing Office.

Beginning with the lowest bid, a determination must be made if the criteria outlined in the ITB was met and the bid is acceptable. If the low bid meets specifications and is acceptable, an indication is made on the summary sheet and the bid can then be awarded.

If the low bid is not acceptable, reasons must be documented and the process is repeated for the next low bid. Red is used to note reasons for rejecting a bid on the summary sheet. A separate memo may also be attached.

No criteria may be used in bid evaluation that are not set forth in the ITB.

Purchases are not to be artificially divided

Any procurement not exceeding the amount established by executive order of the Governor may be made in accordance with small purchase procedures prescribed by such executive order, except that procurement requirements shall not be artificially divided so as to constitute a small purchase under this section.

In other words, a department cannot submit two or more requisitions to the same vendor or similar vendors in order to avoid the formal solicitation of competitive sealed bids.

Artificial division of purchases can be outlined as follows:

  • Department submitting two or more requisitions to the same vendor, similar vendors, or for like or similar commodities in order to avoid bid requirements or to avoid the formal solicitation of sealed bid.
  • Multiple requisitions received in the Purchasing Department on the same day, or within the same week or month to the same vendor, similar vendors or for like or similar commodities.
  • Multiple requisitions staggered to arrive in the Purchasing Department with the same requisition date and/or sequential requisition numbers to the same vendor, similar vendors or for like or similar commodities.
  • Recurring pattern of requisitioning over the course of a fiscal year for like commodities from the same vendor or similar vendors.

Individuals and individual departments will be held accountable to the Legislative Auditors for violations of these regulations.

The Purchasing Department will attempt to enforce these regulations by combining requisitions it interprets in possible violation of Executive Order. If requisitions are combined by the Purchasing Department, the necessary bids will be solicited unquestioned, unless the requisition is accompanied by a suitable explanation for dividing a purchase.

In a few cases, there are daily or weekly recurrences of small noncompetitive purchases necessary to perform unanticipated remedial maintenance.

Specifications

To provide a common basis for bidding, specifications should set out the essential characteristics of the items being purchased, so that all bidders know exactly what is wanted and can accurately compute their bids. If some essential requirement is left out, the award may be made without determining whether the successful bid meets the needs. The unsuitability of the product purchased may not become apparent until much later. Requiring unnecessary features can also result in restrictive specifications, which is illegal. It can also be defeating. Select wording carefully. Use “shall” when specifications express a requirement binding on either the contractor or the purchaser. Use “should” and/or “may” to express non-mandatory provision.

Types of specifications:

  • Material Specification – (also referred to as design or descriptive specifications). It specifies what the product must be. (i.e., all of the physical characteristics of the product; height, weight, surface texture, voltage, etc.)
  • Performance Specification – (also referred to as a functional specification) It specifies what the product must do. (i.e., all of the performance characteristics of the product without regard to how it is constructed, what size it is, etc.)
  • Combination of Material and Performance Specifications In many cases, a bid specification falls somewhere in between the performance related and design oriented.

All Specifications Must:

  • Identify the minimum requirements.
  • Allow for competitive bidding.
  • Provide for a just and fair award at the lowest possible cost.

Purchase requisitions

Requisition items for purchase – make the requisition tell a complete story

Bidding

Any item or combination of items whose total value exceeds $5,000 and is not exempt from bidding must be sent to the required number of vendors for quotations or bids. Requisition must contain a numerical list of desired items with complete specifications. A vendor list should be attached with an estimated total price indicated. It is not necessary to list individual prices.

Exempt items may be purchased without a competitive bid. If there is not a current documentation of price and order information, a quotation will be requested from the specified vendor.

State contract

Items that are on State Contract can be purchased by listing the item, contract number and vendor on the requisition. Contact Purchasing for help in determining this information. The website for Louisiana Office of State Purchasing is: http://www.doa.la.gov/Pages/osp/Index.aspx

Check to accompany order (CTAO)

When a check is required, current documentation of price and order information must be attached to the requisitions. A check can be returned to the department for mailing if requested.

A “mail to” address should be included when items are to be sent directly to the department.

Memberships, conference fees, registration fees, deposits, airline tickets, etc., must include the information of who, what, where, and when.

Payment of invoices – Direct charge

Invoices are paid on a requisition when a purchase order was not issued prior to the receipt of the goods. These requisitions are referred to as a Direct Charge and must have the invoice number, invoice date, and the items listed on the invoice. ONLY ORIGINAL INVOICES made to LOUISIANA TECH UNIVERSITY will be processed. Packing slips, acknowledgments, copies, or statements will not be accepted.

These requisitions will be processed as a DIRECT CHARGE and sent directly to the Comptroller’s Office for payment. A Purchase order will not be typed, therefore, the department will not receive the “pink copy” for these charges.

Payment for services

Check to Accompany Order (CTAO) is also used when an invoice does not exist, in cases such as honorariums and professional services. The Professional Services form or contract is used for documentation of price. Stipends are sent directly to the Comptroller’s Office and are not processed through Purchasing.

Rejection of forms

The Purchasing Office normally will reject requisitions and petty cash tickets when:

  • The items are not relevant to the effective operation of the University and do not benefit the State of Louisiana.
  • The requisition is not typed in at least a 10 pitch.
  • Statement, packing slip, or acknowledgment is attached rather than an invoice.
  • The invoice is not an original.
  • The attached invoice is made out to an individual. Invoices must read Louisiana Tech University or Department of ______. Receipts for reimbursement on petty cash can, however, be made out to an individual.
  • The reimbursements are for prospective employees. (Check with the Comptroller for correct procedures.)
  • The forms have insufficient information, such as:
    • Required signatures
    • Required attachments (meal forms, professional services, travel authorizations, specifications)
    • Incomplete specifications.
  • Insufficient funds, incorrect or incomplete code.

Special Instructions

For travel, honorariums, lodging, prospect’s expense, workshops, stipends, and professional services, the following information must be included on the requisition.

When: Dates
Where: Places
What: Project or purpose
Who: List of people involved
Social security number or federal ID number

A W9 Form for the payee must also be on file in the Comptroller’s Office.

Requisitions must have the following forms attached when applicable:

  • Authorization Form – Professional Services – Consultant – Honorarium Requisitions for professional services (5070 code) must have the completed form attached as well as the individual’s social security number or federal identification number and the complete address.
  • Contract – When the payment is for a professional service a copy of the completed formal contract is required.
  • Supplemental information for food – An approved form must be attached to any requisition for food or meals.
  • Travel Authorization Form

A copy of the APPROVED travel authorization form must be attached to any requisition for travel related expenses, including but not limited to, registration fees, lodging costs, deposits and reservations.

Preparation of requisitions – Make the requisition tell a complete story

Requisitions must be submitted with print size at least equivalent to Times Roman 10 pt or Type 10 pitch. Submit the original and a copy to Purchasing and retain another copy for your department files.

  • Date: –  Enter date the requisition is typed.
  • Department charge code- Enter complete ten (10) digit expenditure code. (plus grant code if applicable)
  • Department – Enter originating department.
  • Contact person – Enter name of person with knowledge of the requisition information
  • Phone – Phone number of contact person.
  • Vendor or payee – Name and address of the vendor or payee that is to receive the check.
  • Item number – Number items in sequence. DOUBLE SPACE BETWEEN EACH, using second sheet if necessary.
  • Invoice date – invoice number – itemized as invoiced
  • List this information on all Direct Charges. Requisitions must contain each item of the invoice that is to be paid.
  • Complete specifications – Check to Accompany Order; List sufficient information so vendor will be able to identify items, such as a catalog number, part number, model, etc.

Request for Bids or Quotes; Name the item first, then give detailed specifications. If a brand name is used, the statement “Brand Name” or equal must be added. Details are important, but state only what is necessary to insure the purchase of the quality of merchandise that is desired. The vendor must know what is expected and wanted.

  • Quantity – State quantity to be ordered or that has been ordered. The unit of the item must also be specified such as 1 each, 1 pkg., 1 case, etc.
  • Unit price and amount – Complete these columns on Direct Charges and Check to Accompany Orders. Please leave this blank on Request for Bids or Quotation.
  • Approved by and requested by – Signatures are required according to each department’s regulations. Some accounts require additional approval, such as Office of Sponsored Projects. All requisitions must be approved before submitting to Purchasing. Stamped signatures are not acceptable.

Bidder list – submit a bidder list with each requisition that requires bidding. The bidder list should provide the following information:

  • Estimated total amount- This is important in determining bid category.
  • Vendor name and address – List known vendors for items requested, giving complete names, addresses, phone numbers, contact names and fax numbers, email address. Purchasing will delete or add vendors as necessary.

Payment methods

Purchase order – Purchase Orders will only be issued after funds have been approved by the Comptroller’s Office. Purchase Order numbers are never assigned in advance.

The Purchase Order is a seven (7) part form; the Vendor copy, Purchasing’s file copy, the Comptroller’s encumbrance copy, the Department copy and Receiving’s three (3) copies. Of Receiving’s three (3) copies, one is to be returned to Purchasing when goods are received, one is to be sent to the Comptroller’s Office when payment is to be made, and the third is their file copy.

Departments must call receiving for these copies to be released. Payment cannot be made otherwise.

Petty cash reimbursement

Petty Cash Reimbursement forms are available from the Comptroller’s office.

Reimbursement to an individual for cash payment of purchases on behalf of Louisiana Tech, providing all purchasing requirements were met.

Items purchased under $15 in the Ruston area are to be paid when purchased.

Instructions for Completion

  • Date: Date that the form is presented for payment.
  • Amount: Amount to be reimbursed.
  • There is not a monetary limit that can be reimbursed, but all purchasing rules and regulations apply.
  • Charge code: Department code to be charged.
  • For: Items purchased.
  • Approved: Signatures are required according to the regulations of each department and the University.

Special meal forms, travel authorization forms, and professional service forms must be attached, if applicable.

Procedure in Submitting Form For Payment

Attach the original itemized receipt that states vendor name and address, identifies items purchased, gives date purchased and indicated payment was made.

Completed form is to be approved by Purchasing and then presented to Cashier’s window in the Comptroller’s Office for reimbursement.

Reimbursements

  • Under normal circumstances, cash reimbursements on the Petty Cash form will be limited to a maximum of $50; reimbursements over $50 will be made by check. Proof of payment from faculty/staff should be attached to a Purchase Requisition with an individual listed as payee. Following the normal procedure, a check will be issued and sent to the individual.
  • The reimbursement form and accompanying paid receipts and/or proof of payment must be presented to Purchasing/Cashier for reimbursement within 60 days of the oldest date on the receipts.
  • Reimbursement requires original receipts; copies will normally be rejected. If proof of payment is to be a check, a copy of the canceled check is acceptable.
  • The receipts accompanying reimbursement must clearly identify what was purchased. The receipt MUST also indicate name and address of the vendor. Charge card statements do not identify the item purchased, therefore are not acceptable without other documentation.
  • Prior to review by the Purchasing Office, all authorized signatures including University Research must be on the form. Departments must also verify that the receipts total the amount of the reimbursement and that the correct account number with the budget object code is used.
  • An appropriate explanation should accompany each reimbursement request and any unusual items should be explained.
  • The Purchasing Office cannot sign petty cash slips as they are hand delivered. Petty cash will be signed in our log book and will be approved within 2 days of receipt of the form.  It is the department’s responsibility to pick up their petty cash after the 2-day period.  Petty cash cannot cross fiscal years.
  • Petty cash vouchers for the refund of student deposits will be processed directly with the cashier and do not require approval by the Purchasing Office.
  • Duplicate copies of lost petty cash vouchers will not be accepted. Losing a petty cash voucher will be the same as loss of currency.
  • Use of campus mail for sending petty cash vouchers to the cashier is discouraged.
  • Business calls placed on home phones are discouraged. If it is necessary, the following will be required:
    • Bill must be the original with calls highlighted.
    • The name of the person called and the purpose must be listed, legibly.
    • An explanation of why it was necessary to use the home phone rather than take advantage of the reduced rates available at the office.

Purchase of Desktops, Laptops, Netbooks, and Other Smart Devices

To ensure procurement of Desktops, Laptops, Netbooks and other Smart Devices conform to State of Louisiana and Louisiana Tech purchasing regulations and also meet the University’s technical standards for access to University Systems and networks, the following policies and technical requirements are being instituted.

  • Departments must purchase “Business/Commercial grade” devices and the University will no longer be permitted to purchase the “home/retail” versions of these devices to connect to University systems and networks.
  • In order to conform to the State tagging/Property guidelines for computer purchases, the purchasing card is no longer permitted for computer purchases. Normal requisition guidelines must be followed.
  • All desktops, laptops, netbooks or other devices (where applicable) will be required to authenticate via network login and will be required to have McAfee antivirus, Zen patch management, and any other licensed software installed by your designated IT Personnel.
  • All computer devices in excess of $1,000.00 must have a state issued tag and all computer devices less than $1,000.00 must have a University issued tag.
  • For portable devices to be taken off-campus, the assigned user of the device must complete the State Property Form (Request for Off-Campus Use) and file the form with the Property office.

The Louisiana Tech Purchasing Office will obtain and make available contracts/bids for approved devices to ensure compliance with State procurement guidelines. The University Computing Center has provided the following technical standards for these devices to safely access our campus systems and networks:

Minimum Criteria for Computer Purchases

For the list of approved computer equipment including Apple computers, please visit the Louisiana Tech website: htps://www.latech.edu/administration/administration-facilities/purchasing/ and click on the “Computer Contracts” link. Should you wish to have equipment added to the approved list, please send a request and device information to the Director of Purchasing via Campus mail or email.

Related links and resources

Forms