Laws and Regulations Impacting UNM Purchasing

This chapter will cover competitive procurement requirements, or “bid limits.”

A. State Funds, University Funds & Non-Federal Sponsored Projects

1. Single Quote/Small Purchase - Competition Encouraged, Not Required

   • Up to $20,000
     (Purchase Orders/PCard)
     Goods, Services & Construction Services

   • PCard may also be used to purchase goods, materials, supplies and approved services not exceeding $20K. (PCard holder single purchase limit may be set at a lower dollar amount). To increase single purchase limit, please submit a PCard Modification Form.

     $20,000 threshold allows for streamlined process for projects and faster procurement review.

2. Three Written Quotes by Procurement or Requestor – Competition Required

   • $20,000.01 - $60,000
     • Informal Bid
     • Must Obtain 3 Quotes
   • One quote is acceptable if:
     1. Existing contract
     2. Or Urgency – Procurement Services Dept discretion
     3. Or Fair Value per Procurement Services Dept experience
     4. Or Exempt from Procurement Code
     5. Informal Sole Source

3. Formal Bid or RFP Process – Competition Required

   • Over $60,000
     State Limit
   • Formal competition required unless:
     1. Sole Source posted in Sunshine Portal for 30 days
     2. Or Price Agreement
     3. Or Exempt from Procurement Code
     4. Or Emergency Procurement
   • COI Required for Bids/Proposals & Sole Sources ON

B. Federal Grants

1. Single Quote/Small Purchase - Competition Encouraged, Not Required

   • Up to $20,000
     (Purchase Orders/PCard)
     Goods, Services & Construction Services

   • PCard may also be used to purchase goods, materials, supplies and approved services not exceeding $20K. (PCard holder single purchase limit may be set at a lower dollar amount). To increase single purchase limit, please submit a Pcard Modification Form

     $20,000 threshold allows for streamlined process for projects and faster procurement review.

2. Three Written Quotes by Procurement or Requestor – Competition Required

   • $20,000.01 - $249,999
     • Informal Bid
     • Must Obtain 3 Quotes
   • One quote is acceptable if:
     1. The item is available only from a single source (this must be verifiable)
     2. Or the public exigency or emergency for the requirement will not permit a delay resulting from competitive solicitation
     3. Or the Federal awarding agency or pass-through entity expressly authorizes noncompetitive proposals in response to a written request from the non-Federal entity
     4. Or after solicitation of several sources, competition is determined inadequate

3. Formal Bid or RFP Process – Competition Required

   • $250,000 and above
     (Federal Bid Limit)
   • Formal competition required unless:
     1. The item is available from a single source (this must be verifiable)
     2. Or the public exigency or emergency for the requirement will not permit a delay resulting from competitive solicitation
     3. Or the Federal awarding agency or pass- through entity expressly authorizes noncompetitive proposals in response to a written request from the non- Federal entity
     4. Or after solicitation of several sources, competition is determined inadequate

C. Request for Proposal/Invitation for Bid: Information and forms for these processes can be found at this link:

Department Information :: UNM Purchasing | The University of New Mexico

D. GSA, SPD, and Price Agreements

The Procurement Code allows the contracting for goods and services under existing contracts that have already been formally competed subject to the following conditions:

• GSA CONTRACTS (General Services Administration)

  The University may utilize established GSA Contracts if the vendor is willing to extend such pricing to the University. Such willingness must be indicated in writing as well as a copy of the contract. If a vendor is able to provide pricing “at” or “below “ a GSA contract, that vendor may be awarded upon proof of such pricing.

• SPD Agreement (State Purchasing Division)

  The State of New Mexico routinely solicits competitive pricing and establishes agreements with vendors who provide commonly used goods and services. The University may utilize established SPD agreements, provided all Terms and Conditions of the Agreement are followed to include quantity.

• UNM PRICE AGREEMENTS

  The University routinely competes and establishes Agreements with vendors who provide commonly used goods and services for the University. Examples of such Agreements are Bottled Water, Car Rental, Hotel, Computer Equipment, IT Services, Laundry Services, Security Services and Shipping.

Information and forms can be found at the following link: Department Information :: UNM Purchasing | The University of New Mexico

E. Sole Brand/Sole Source

A contract may be awarded without competitive sealed bids or competitive sealed proposals regardless of the estimated cost when the purchasing agent or a central purchasing office makes a determination, after conducting a good-faith review of available sources and consulting with the using agency, that there is ONLY one source for the required service, construction, or item of tangible personal property. The price must be proven reasonable, or justified; price alone does not justify a sole source.

Sole Source for Services and Sole Source/Brand Forms can be found at the following link: Department Information :: UNM Purchasing | The University of New Mexico