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Notice – Federally Funded Procurement Changes July 1st

This is notice of changes for FEDERALLY FUNDED PROCUREMENTS only.  This will not impact regular funded procurements.*

NOTICE:

As of July 1st, OSU must adhere to the Procurement Standards contained in the Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards 2 CFR 200 “Uniform Guidance” when making purchases using federal funds or when federal funds will reimburse the purchase in the future.

Due to a delay in implementation of updates to OSU’s Procurement Standards which align with the Uniform Guidance, OSU will need to follow both the Uniform Guidance and OSU’s existing Procurement Standards by adhering to whichever is more restrictive (excepting the Micro-Purchase Threshold) to ensure we are in compliance with both.  OSU’s will move forward with a Micro-Purchase Threshold of $25K while awaiting final approval from our cognizant agency.

CHANGES TO EXISTING PROCUREMENT PRACTICES:

Adherence to this will require changes to OSU’s current procurement practices for Federally Funded Procurements only.  Those changes include the following:

  • Exemption from competition are not allowed for Federally Funded Procurements.  Uniform Guidance does not allow exemptions to the competitive procurement process.  However, a few non-competitive procurement types are allowed for in cases of sole source, emergency, inadequate competition, or when a Federal awarding agency or pass-through entity expressly authorizes noncompetitive proposals in response to a written request from OSU.  Written requests should be made to the funding agency according to their instructions.
  • Purchases above $250K have very implicit instructions for how formal solicitations are conducted.  PCMM will work with departments on those additional requirements.

As a reminder procurement thresholds are as follows:

  • Less than $25K – Direct (Micro-Purchase):  No competition required, departments may solicit contractors directly
  • $25K – $150K – Informal (Small):  Informal methods of competition required, PCMM must facilitate competitive requirements
  • Greater than $150K– Formal Procurement (Bids and Proposals):  Formal methods of competition required, PCMM must facilitate competitive requirements

*Please note that when a cost transfer is anticipated whereby OSU will procure goods or services using E&G funding and then be reimbursed later with federal funds, OSU must follow the rules for federal funding.

NEW! Procurement Standards Training

The OSU procurement standards are updated for fiscal year 2019 to comply with uniform guidance and this class will assist you in understanding the reasons for the update, recognize dollar thresholds for different procurement methods and learn how to apply a new informal (small) procurement process.  To register, see the professional development site at http://oregonstate.edu/training/course_list.php?cat_id=31  and titled: New Procurement Standards & Informal (Small) Purchases.

Congratulations Joe Elwood – New Procurement Manager!

We’re pleased to announce that Joe Elwood has accepted the Procurement Manager position in Procurement.  Joe has most recently been with Contract Services as a Contract Officer since 2015.  As the Procurement Manager Joe will guide the procurement team and manage some university wide contracts.  Please join us in welcoming Joe in his new role!

Congratulations Deanne Lahaie-Noll!!

Deanne Lahaie-Noll was recently recognized for her efforts on the National Science Foundation funded Regional Class Research Vessel (RCRV) construction project.  This is one of the largest procurements in OSU history and Deanne is the dedicated Contract Officer on this project.  At the National Association of Educational Procurement annual meeting in Orlando, Deanne was awarded the Distinguished Service Award.  This award recognizes members who have provided extraordinary service to their institutions, the higher education community, the Association or the procurement profession.  Deanne’s exemplary service working on the RCRV project was acknowledged in being selected for this award.  Great job Deanne!

Congratulations Jennifer Koehne!

PCMM hired Jennifer as its newest Procurement Contract Officer. Jennifer will use her valuable experience and knowledge gained as a Purchasing Analyst 3 over the past four years to help her transition to her new responsibilities. PCMM is excited to welcome Jennifer into this new position!

Welcome Matt Hausman to PCMM!

Please join us in welcoming Matt Hausman to the Procurement staff, filling the vacancy as our new Construction Contract Officer. Matt recently moved to the Pacific Northwest from Tucson, Arizona in January 2016.  Matt was raised and did most of his schooling in Arizona at both the University of Arizona and Arizona State University before working for 17 plus years with the City of Tucson in Procurement and Transportation with experience in design, construction and contract administration.  He has two sons (21 & 20) in Scottsdale and Denver and is currently up in the mezzanine so please introduce yourself when you have the chance.

AMAZON

Many OSU customers have requested Amazon’s inclusion in the eProcurement system however, until negotiations improve, we are delaying enablement.  Specifically, Amazon is unwilling to consider providing any benefits or incentives to OSU such as Prime Benefits, free two-day shipping, product discounts, or easier payment options even though OSU’s spend with Amazon is anticipated to increase significantly once enabled. We will continue negotiating with Amazon and are partnering with other institutions of higher education to leverage support. OSU encourages departments to support and purchase items from contracted vendors in the eProcurement system who have negotiated in good faith with OSU and provide benefits such as discounted prices, free shipping, increased warranties or additional services.