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Policies and Procedures

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Policies and Procedures

Policies and procedures related to University Procurement can be viewed below. These are periodically reviewed and updated. Additionally, new policies will be added as they are created.

This document is a condensed version of the entire Board of Regents policy. This document contains the sections related to Procurement.


Link to Regents Policy

The Board of Regents requires all contracts for purchasing Goods and Services and other specific contracts to be processed through University Procurement unless, because of the contract’s peculiar nature or value, the contract is specifically exempt. Processing includes routing the requisitions to receive the appropriate approvals, ensuring reasonableness and fairness of price, legal review, negotiations, and other procurement-related activities.

Timing. Depending on complexity (cost, type, availability, negotiations, etc.), departments should expect processing to take up to 30 days or more. Departments should consider this timeframe when planning projects, needs, and making other purchasing decisions.

This document contains information about the Board of Regents of the University of Oklahoma Credit, Loans, and other Financial Requirements.


Link to Financial Requirements

Acquisition Hierarchy for Goods and Services. The purchase of Goods or Services must follow the University’s acquisition hierarchy. This means that each of the following procurement vehicles shall be used in this order unless the Supplier does not have the needed Good or Service or cannot meet certain other requirements. Departments and employees may not use PCards, travel cards, or other funding sources to circumvent this hierarchy. In most instances, Goods and Services provided by mandatory University-wide contracts, consortium agreements, and statewide contracts are available in the OU Marketplace under the same terms and conditions.

·       Auxiliary Enterprises and Service Units

·       OU Marketplace

·       Mandatory University-wide contracts

·       Consortium or cooperative agreements entered by the University

·       Statewide contracts entered by Oklahoma’s Office of Management and Enterprise Services (“OMES”) through a competitive bid for which the University qualifies

·       Open market acquisitions

Acquisition Hierarchy Flowchart

University Auxiliary Enterprises and Service Units (“Auxiliary Enterprises”) provide Goods and Services to University departments and third parties. The Board of Regents prohibits University departments from acquiring Goods and Services provided by Auxiliary Enterprises from third parties without obtaining the Auxiliary Enterprises’ permission.

1.      Auxiliary Enterprises and Service Units Defined. An auxiliary enterprise is an entity that furnishes goods or services to students, faculty, or staff, and that charges a fee directly related to, although not necessarily equal, the cost of the goods or services.  

2.     University Auxiliary Enterprises. The University considers the departments set forth in Table 1 as Auxiliary Enterprises.  This list, however, is not exhaustive.

Table 1 – Auxiliary Enterprises

Facilities Management

Architectural & Engineering Services

Printing Services

Property Control (furniture and disposal)

Food Services (<$5,000)

Campus Safety

Space Management


Parking and Transportation

Campus Mail

OUHSC Core Lab Services

OUHSC Core Lab Services

3.     Auxiliary Enterprises Policies. This policy does not alter, amend, or change any policy implemented by an Auxiliary Enterprise relating to providing goods and services to departments, including pricing, scheduling, justification requirements, and exceptions. Accordingly, Auxiliary Enterprises, at their discretion, may exclude certain Goods or Services from this requirement or impose additional requirements on the department. Departments should contact the Auxiliary Enterprises to determine whether any such policies, exceptions, or requirements exist.

4.     Responsibilities. Departments are responsible for obtaining permission from an Auxiliary Enterprise to acquire a Good or Service from a third party. Departments must provide documentation demonstrating the grant of permission or otherwise attest in writing that such permission was given. 

5.     Procurement Processing. Failure to provide documentation from an Auxiliary Enterprise will delay processing the department’s requisition. If a department fails to provide adequate documentation concerning the grant of permission from the Auxiliary Enterprise, University Procurement may request the department provide additional information, contact the Auxiliary Enterprise, or deny the requisition. 

A fair and reasonable price means the cost or price charged for a good or service is fair to the University and supplier. There are seven ways to demonstrate the cost or price of a good or service is fair and reasonable.

  • Compare proposed prices received in response to the solicitation. Adequate price competition establishes price reasonableness. This is the most commonly used method.
  • Compare previously proposed prices and previous University and commercial contract prices with current proposed prices for like items. The comparison’s validity and the reasonableness of the previous price(s) must be established. Previous University contracts cannot be older than three years.
  • Use parametric estimating methods/application of rough yardsticks to highlight significant inconsistencies that warrant additional pricing inquiry. Comparing the proposed price per square foot for a certain type of building construction against an established commercial standard is an example of this technique.
  • Compare competitive published price lists, published market prices of commodities, similar indexes, and discount or rebate arrangements. The University can seek discounts from published price lists based on volume buying.
  • Compare proposed prices with independent University cost estimates. A contractor-developed cost estimate may not be used in place of a University cost estimate.
  • Compare proposed prices with prices obtained through market research for the same or similar items. Trade journals, newspapers, and economic indexes can provide useful comparative information.
  • Analysis of pricing information provided by the offeror. This “catch-all” category includes information that does not fall into the other categories. It cannot be the sole basis for determining fair and reasonable costs.

The first two methods are preferred. However, if there is a lack of adequate price competition (first technique) or insufficient information from the previous contract to determine a price to be fair and reasonable (second technique), the employee must use one or more other techniques appropriate to the circumstance.

University employees cannot execute a contract or bind the University without appropriate authority. The Board of Regents grants the President the power to delegate signature authority to appropriate University executives, officers, directors, and employees. Only those delegated this authority may enter contracts or bind the University. Any University employee executing a contract without such authority may face disciplinary action and be individually liable for any damages, losses, or other costs associated with binding the University without proper authority.

Signature authority is limited to amounts and types of contracts and cannot be delegated to another employee. For example, an employee may only be authorized to execute contracts less than $50,000, while another employee can only execute contracts with no direct financial cost, like some academic affiliation agreements.

The Administration and Finance Office maintains an updated list of employees with signature authority. If questions arise concerning the existence or extent of an employee’s authority, please contact the Assistant to the Chief Financial Officer or the Office of Legal Counsel.

Contracts specifically requiring processing by Procurement include:

  • Any purchase above $5,000
  • Any purchases involving a contractual document of any kind, or if it is a type of product or service that reasonably involves a contractual document
  • Leases and the acquisition or disposition of real property
  • Acquiring or disposing of surplus property
  • Use licenses for software and technology or those that affect the University’s intellectual property
  • Service contracts
  • Purchases involving radioactivity, laboratory, space maintenance, and minor construction
  • Purchases involving any other special product or service that requires prior approval from a University department with special responsibility and authority over such product or service
  • Air charter services and travel
  • All other contracts requiring Board approval or signature not otherwise exempted from Procurement processing

Exceptions. Because of their unique nature or value, certain purchases or contracts do not require processing by University Procurement. Other than processing, exempt purchases remain subject to the same requirements for competition, review, approval, and pricing. Departments must provide University Procurement with a final copy of any contract exempted from the processing for storage, cataloging, and retention purposes.

This processing exemption only applies to the below contracts. Whether such a contract is exempt shall be determined by the Associate Vice President of Procurement or designee, in consultation with the Office of Legal Counsel and the executive officer of the department responsible for the contract.

  • Purchases by University departments from University Auxiliary Enterprises, Service Units, or other University units engaged in the resale of products or services in accordance with their mission
  • Purchases up to $50,000 of legal, medical, accounting, consulting, architectural, engineering, interior design, appraisal, landscape design, real estate agency, or similar professional services, only when such services are ordered by executive-level officers of the University pursuant to University-wide matters of importance, and only when such services represent discrete short-term engagements with specific terminal objectives.
  • Employment Agreements, Settlement Agreements, or other agreements necessary to maintain or protect a recognized privilege
  • If governed by a separate policy, individual travel costs (airfare, hotel, ground transportation, conference registrations, etc.) by employees attending conferences, seminars, and other similar events while on official University business
  • Architectural, engineering, construction, design consultants, and construction Management services related to major real property construction and renovation of University capital assets
  • Purchases of goods or services between University departments food services, printing services, and maintenance and repair of working spaces
  • The sale of University goods and services for compensation, not including surplus property
  • Such other purchases as may be identified by University policy or as approved by the Board

The Office of Legal Counsel must review all contracts to ensure that certain legal limitations are not waived, ignored, or otherwise abridged and to avoid obligating the University to any terms or conditions that may conflict with the State Constitution, statutes, or case law, and avoids binding the University to any duties or liabilities against its best interests. This legal review occurs during procurement processing.

As a steward of state and taxpayer resources, the University requires that goods and services be acquired through competition. An open, competitive process ensures fair and equitable treatment of potential suppliers, avoids conflicts of interests, increases the value to the University, protects against fraud, waste, or misuse, and builds trust and confidence in University processes.

There are two types of competition. The first type of competition (informal competition) is the effort by one or more suppliers to obtain business from the public, and prices are generally made publicly available and driven by markets, buyers, and sellers. The second type of competition (formal competition) is the formal process of soliciting bids, quotes, and other proposals and comparing them to each other to identify the supplier(s) offering a good or service that provides the best overall value to the University. Formal competition requires following the University’s solicitation policies, including, but not limited to public notices, submission of proposals, sealed bids, bid evaluations, and other processes ensuring contracts are awarded openly and competitively. The University considers any contracts established by cooperative associations and state and federal entities that meet the criteria for formal competition as openly and competitively bid.

The University relies on three solicitation methods: informal, formal, and non-competitive. Each method of solicitation is outlined in policy with its requirements and conditions. Regardless of the method of solicitation, all costs or prices of goods and services must be fair and reasonable.

1.    Competition Required. It is the Board’s policy to acquire goods and services through a competitive selection process that is fair, open, and objective to achieve optimum value and quality and serve the best interest of the University and the public. An open, competitive process ensures fair and equitable treatment of potential suppliers, avoids conflicts of interest, increases the value to the University, protects against fraud, waste, or misuse, and builds trust and confidence in University processes.   Competition can be conducted through a formal or informal process. This policy outlines the process for informal competition.

2.     Informal Competition. To reduce administrative burdens and acquire goods and services more efficiently, goods or services can be acquired by informal competition as set forth below. Regardless of price, if a good or service is available in the OU Marketplace or from an existing University, cooperative, or statewide contract, the department must purchase the good or service from that source.


Acquisition Limits

Federal Designations


Method of Solicitation






Fair and Reasonable



One (1) Quote

Small Purchase



Two (2) Quotes


Three (3) Quotes


Four (4) Quotes

Simplified Acquisition Threshold and Formal Procurement

Over $150,001




3.     Informal Competition Requirements. The acquisition of goods or services through informal competition must include the following:

3.1.          Description. A written description of the type of goods, services, or work the Supplier will provide, including expected deliverables, timelines, quantities, and other related information. 

3.2.         Quotes. Obtain the quotes required by the acquisition amount as set forth above. A quote can include an email from the Supplier, an official quote on the Supplier’s letterhead, website snapshots, facsimile, or telephone.

3.2.1.     Quotes Exceeding Threshold Amounts. If at least half of the quotes exceed an Acquisition Amount threshold, the requirements of the next Acquisitions Amount threshold apply. For example, if the employee reasonably believes the purchase of a good is less than $25,000 but receives a quote exceeding $25,000, the department must obtain an additional quote. Similarly, if the employee reasonably believes the acquisition of services is less than $150,000 but receives two quotes for more than $150,000, the service must be acquired through formal competition.

3.2.2.     Fair and Reasonable. All prices quoted to the University must be fair and reasonable as defined by University policy. 

3.3.         Documentation. Quotes should be documented on the Informal Competition Worksheet and provide copies of all quotes, product descriptions, correspondence, and other information obtained or provided by the Supplier.

4.      Processing. The department shall submit all quotes and other information to University Procurement via a requisition in PeopleSoft. University Procurement shall review the sufficiency of quotes, conduct additional market research, obtain additional quotes, evaluation criteria and scores, and any other necessary steps to ensure the acquisition satisfies University procurement policies. If University Procurement determines that the requirements in Section 3 or as otherwise set forth in this policy have not been met, including the fairness or reasonableness of price, availability under an existing contract, or other requirements, the department shall be advised of the deficiency, which shall be corrected or remedied before proceeding with an acquisition.  

5.     Supplier Selection. The University shall select only the Supplier(s) offering the Lowest and Best value to the University. Lowest and Best does not mean the lowest cost or price. In determining the Lowest and Best, the department shall treat each Supplier equally and fairly.   

5.1.          Lowest and Best Defined. “Lowest and Best” means the offer that is most advantageous in all material respects to the University’s requirements and is determined by multiple factors, including, but not limited to, price, skill, business practices, previous work record, experience, financial resources, quality of materials, facilities, personnel, service reputation, and ability to comply with state, federal, and local laws.

5.2.         Selections to Other than Lowest Cost. If the Supplier that is not the lowest price is selected, the bases justifying the selection shall be documented and retained for the duration of the resulting contract or as required by law. Personal or professional preference cannot serve as a justification.

5.3.         Risk. Supplier risk shall be assessed in accordance with University policy.

5.4.         Rejection of Supplier. The Associate Vice President of Procurement (or designee) reserves the right to reject a Supplier(s) if the quotes are unreasonable, do not meet the University’s needs, exceed funding, or awarding the Solicitation to the Supplier(s) violates University policy or is not in the University’s best interest. In such an instance, the decision will be documented.

6.     Approval, Authorization, Reporting. Other than the requirements outlined in this Policy, all acquisitions made through informal competition remain subject to other University policies, including, but not limited to, conflicts of interest, review, approval, reporting, and monitoring.   

The University requires formal competition for the purchase of Goods or Services over   $150,000.  Formal competition includes two methods of Solicitation - (i) Invitation to Bid and (ii) Competitive Proposals.

1.                Definitions. Capitalized terms used in this Formal Competition Policy shall have the same meaning as defined below and as set forth at Policies and Procedures (


1.1.           “Bid” means a Bidder’s response to a Solicitation.

1.2.           “Bidder” means a Supplier that has submitted a response to a Solicitation. Bidder shall also include potential Bidders. 

1.3.           “Competitive Proposal” shall have the meaning as defined in Section 4

1.4.           “Invitation to Bid” or “ITB” shall have the meaning as defined in Section 3

1.5.           “Lowest and Best Bidder” means the Bidder(s), based on the evaluation criteria, determined to be the most responsive, responsible, and advantageous Bidder whose Bid conforms in all material respects to the requirements and criteria in Solicitation including, but not limited, price, skill, business practices, previous work record, experience, financial resources, quality of materials, facilities, personnel, service reputation, and ability to comply with state, federal, and local laws. Bidders failing to provide the required information or proof of insurance shall not be considered the lowest and best.

1.6.           “Non-Responsive Bid” shall have the meaning as defined in Section 6.8.

1.7.           “Requests for Proposal” or “RFP” shall mean Competitive Proposal.

1.8.           “Responsive Bid” means a Bid that complies with Bidding instructions, accepts terms and conditions, and satisfies other non-evaluative requirements set forth in the Solicitation.

1.9.           “Solicitation” means an Invitation to Bid or a Competitive Proposal, as applicable.

1.10.        “Evaluation Team” shall have the meaning as defined in Section 2.


2.                Evaluation Team. After the need for a Good or Service is identified and a decision that procuring the Good or Service through Formal Competition is required or in the best interest of the University, an Evaluation Team shall be established.  The Evaluation Team shall consist of (i) representatives from the department seeking to obtain the Good or Service, (ii) a Contract Specialist, (iii) subject-matter experts (IT, Financial Services, Facilities, etc.), (iv) key users, and (v) other employees capable of assisting the University in preparing and evaluating the subject of the Solicitation.  See Appendix A for additional information on the Evaluation Team.


3.                Invitations for Bids.  The University uses an Invitation to Bid (“ITB”) (sometimes referred to as a Request for Quote or Request for Bid) when a department seeks to procure a specific Good or Service, including the type and amount, on the basis of a fixed or uniform rate.  The University issues ITBs to Bidders to obtain specific information about pricing, costs, delivery, and related information for the particular Good or Service. Because an ITB does not include negotiations with Bidders after the University receives and opens Bids, it must include a purchase description and all contractual terms and conditions applicable to the purchase.


4.                Competitive Proposals.  The University uses Competitive Proposals when an ITB is either not practicable or not advantageous. Competitive Proposals are used when there is a need to evaluate or compare Goods and Services based on the merits of responsive proposals, including, but not limited to, quality, function, price, and trade-offs between each, or when the primary consideration in determining the award may not include price.  Competitive Proposals allow the University and Bidders to clarify, change, or modify proposals after opening if adequate precautions are taken to treat each offeror fairly and to ensure that information gleaned from competing proposals is not disclosed to other Bidders.

4.1.           Request for Proposal. All Competitive Proposals shall be solicited through a Request for Proposal (“RFP”).

4.2.           Competitive Proposals Required for Specific Goods and Services.  The Associate Vice President may determine that specific categories of Goods and Services are not practicable or advantageous to procure through an Invitation to Bid, in which case such purchases shall be made by Competitive Proposal.

4.3.           RFP Content.  In addition to the content required for all Solicitations as set forth in Section 0, an RFP shall include a statement (a) that discussions or negotiations may be conducted with Bidders who submit proposals determined by the University to be reasonably susceptible to being selected for the award, but that proposals may be accepted without such discussions; and (b) of when and how price should be submitted.

Table 1 - General Differences Between ITBs and RFPs

Bidders may need to certify only that they meet the ITB requirements. Bidders acknowledge that they meet the ITB requirements.

Narrative proposals containing varying amounts of proposer information are usually required to be submitted.


Sealed Bids or price quotes are submitted.

Sealed cost proposals may be submitted separately from the narrative proposals.

A pass/fail determination may be made for responsiveness to ITB requirements. This can be accomplished after Bids are opened and read aloud.

Proposals are reviewed for responsiveness to RFP format requirements. Proposals may be rated or scored. Cost/price offerings of qualified proposers are opened.

Bidders’ conferences are optional but may be rarely needed.

Bidders' conferences are optional but are often held to clarify the Goods or Services being sought.

ITBs are used to secure simple Goods or Services calling for routine personal or mechanical skills. Work methods are standard, or little discretion exists in terms of how the work is performed.

RFPs secure complex Goods or Services calling for technical and/or professional skills and expertise. The proposer uses discretion in applying various approaches or methods.


Bidder capabilities are not rated or scored. Bidders either pass or fail ITB requirements.

Proposer qualifications, capability, and experience may be scored on the evaluation criteria stated in the RFP.

No additional negotiations

Additional negotiations may be recommended

The statement or scope of work is clearly stated. Bidders are generally told what, how, when, and where work and Services are to be done.

The statement or scope of work contains as much detail/depth as possible but may include an agency’s needs, goals, and objectives. Proposers are relied on to recommend methods or approaches to meet an agency’s needs.


Award is made to the Lowest and Best Bidder.

5.      Solicitation Preparation and Content. A Solicitation must include, at a minimum:

Table 2 - Solicitation Contents

Bidding Instructions

Instructions and information to Bidders concerning the Bid submission requirements, including the time and date set for receipt of Bids, the address of the office to which Bids are to be sent, the maximum time for accepting Bids, and any other unique information. Note: University Procurement is responsible for developing and publishing a form that meets the above requirements.  A department may not change, alter, or amend these requirements without the specific written authorization of the Associate Vice President for Procurement.


A description of the Goods and Services, requirements, needs, evaluation criteria, delivery or performance schedule and timelines, and other relevant information needed to assess the needed Good or Service. Note: The department is responsible for providing all appropriate descriptions, recommended evaluation factors, timelines, and other necessary information.

Evaluation Criteria

No criteria may be used to evaluate a Bid not set forth in the Solicitation. Bids are evaluated solely on the criteria set forth in the Solicitation. Criteria can include inspection, testing, quality, workmanship, delivery, and suitability for a particular purpose.

Terms and Conditions

Contract terms and conditions, including insurance, warranty, bonding, or other security requirements, as applicable. The Solicitation may incorporate documents by reference provided that the Solicitation specifies where such documents can be obtained. Note: University Procurement and the Office of Legal Counsel are responsible for developing general terms and conditions. 

Form Requirements

Acknowledgment of receipt of amendments and notice that form alterations must be initialed.

Authorized Signature

Bid submissions must be signed by an authorized person.

Firm Bid for 120 Days

A Bid shall be considered a firm Bid for one hundred twenty (120) days following the Bid closing date unless otherwise stated.

Travel Expenses

The price submitted in a solicitation shall include travel expenses to perform the contract.

Tax Exemptions

A Bid shall not include a requirement that the University pay sales tax and federal excise tax nor seek reimbursement of other taxes assessed or paid in connection with an acquisition. Such reimbursement would provide an impermissible indirect tax exemption that is not otherwise provided by Oklahoma law. Purchases made by Bidder on behalf of the University are not exempt from sales, federal, or other taxes unless otherwise authorized by law. The University is exempt from sales and excise taxes.

Payment Terms

Payment by the University is not late until forty-five (45) days after receipt of a valid and proper invoice. Stricter payment language in a Bid will not be valid. Early payment discounts may be negotiated and awarded unless prohibited by federal or state law.

Used or New Products

A Bid shall offer new items of the current design unless used, reconditioned, or remanufactured products are specified as acceptable.


Unless specified otherwise, a Bid shall include a firm, fixed price for the term of the contract.

Alternate Bids

Unless otherwise prohibited, a Bidder may submit alternate Bids no later than the Bid response due date and time or as otherwise indicated in the Solicitation. If a Bidder submits an alternate Bid, the alternate Bid shall be a complete Bid. The Bidder shall clearly identify an alternate Bid. If the Bidder submits more than one alternate Bid, the Bidder shall title each alternate Bid as “Alternate Bid 1”, “Alternate Bid 2”, etc.

All or None Bid

(1) If a contract may be awarded to more than one Bidder, a Bidder may indicate on the Bid that the terms and conditions of the Bid are all or none. (2) If a contract may be awarded to more than one Bidder by item, a Bidder may indicate that the terms and conditions of the Bid are all or none.

Delivery and Shipping

If a delivery date for Goods and/or Services is not specified, the Bid shall specify the delivery date. A Bid shall include all costs associated with the delivery of the acquisition F.O.B. destination to the University unless otherwise specified by the University.

Sample Submission

Submission of samples of the required items or products may be required when essential to the assessment of product quality during Bid evaluation. When required, samples must be received no later than the Bid response due date and time. (1) Sample identification. The Bidder shall clearly identify the sample the Bidder submits by placing the Bidder’s name and address, requisition number, and closing date/time on both the sample container and the sample shipping container. (2) Sample costs. The Bidder shall pay all costs associated with submitting the sample. (3) Sample requirements. A sample shall represent the quality of the whole. (4) Sample tests. Whenever testing is determined necessary, appropriate standard testing procedures will be used. All samples submitted may be subject to consumption or destruction as a result of tests by the University. (5) Sample test costs. If a sample fails to meet the required specification or standards, the Bidder may be required to pay testing costs the University incurs. (6) Returning the sample. If the return of samples is stipulated in a Bid, samples not destroyed by testing may be returned at the Bidder’s expense. (7) Successful Bidder samples. Samples submitted by the successful Bidder may be retained to ensure the products or items delivered meet specifications.

Proof of Insurance

A Bid shall include proof of all insurance required prior to contract award. A Bidder who contracts to do business with the state shall provide proof of workers' compensation insurance or proof of an alternative or exemption authorized by state law.

Subcontractor Notice

A Bid shall identify any proposed subcontractor and a Bidder shall provide any required information regarding such subcontractor.

Bid Readability

A Bid shall be created via a word processing tool or a specified file format.


5.1.           Other Information.  In addition to the minimum requirements, the University may include in the Solicitation other terms, conditions, language, or requirements as necessary to achieve the Solicitation’s purpose, satisfy legal obligations, or as determined to be in the University’s best interest. 


6.                Process and Requirements.  The following process and requirements apply to all Solicitations in addition to other processes or other requirements set forth in this Policy.

6.1.           Public Notice. The University shall give adequate public notice of the Solicitation to allow potential Bidders to review the Solicitation and prepare responses.  The public notice shall provide sufficient information concerning the Solicitation, including the Goods or Services desired, important dates and deadlines, and other appropriate information.

6.1.1.      Time. The University shall publish or advertise a Bid for a minimum of 30 days unless a shorter time is deemed necessary for a particular procurement as determined by the Associate Vice President for Procurement. 

6.1.2.      Publication. The University will publish all solicitations on the University of Oklahoma’s Public Sourcing Site (OU Public Sourcing Site) and, if necessary, other appropriate University media. Note: University Procurement may, at its discretion, conduct independent market research to identify potential Bidders. Departments may assist University Procurement by identifying potential Bidders. However, University Procurement may, at its discretion, reject the Bidders.  The potential Bidder’s inclusion does not indicate whether the Bidder is responsible with respect to a particular procurement or otherwise capable of successfully performing the contract.

6.1.3.      Distribution. The University shall distribute Solicitations to Suppliers registered in the OU Supplier Portal using automated notices to Suppliers who may be interested or provide the same or similar Goods and Services as required in the Solicitation.

6.2.           Solicitation Cancellations or Withdrawal. At any time and without prior notice, the University reserves the right to cancel, withdraw, or not award any Solicitation issued under this Policy without notice or liability. 

6.3.           Pre-Opening Activities.

6.3.1.      Pre-Bid Conference. The University may, at its discretion, conduct one or more pre-Bid conferences to explain requirements or respond to questions. The University will provide notice of the pre-bid conference through the electronic bidding system. Nothing stated at the pre-Bid conference shall change the Solicitation unless a change is made by written amendment. A summary of the conference shall be uploaded to the University’s electronic bidding system and made available to interested Suppliers. If a transcript is made, it shall be a public record.

6.3.2.      Pre-Bid Questions. Bidders may submit questions and requests for clarification regarding the meaning or interpretation of any part of the Solicitation before the deadline established for receiving such questions using the electronic bidding system. Pre-bid questions must be concise, identify the relevant document, and include specific section references. The University’s response and answers to the pre-bid questions shall be made available in the electronic bidding system to Bidders..

6.3.3.      Amendments.  The University may amend the Solicitation at any time before opening.   Notice of such amendments shall be posted to the electronic bidding system, which will notify potential Bidders. Such amendment may provide or extend response deadlines to allow potential Bidders to review the amendment and prepare, revise, or withdraw responses. A Bidder that submitted a Bid prior to the amendment and Bid opening shall acknowledge receipt of the amendment by the specified Bid response due date and time.

6.3.4.      No Reliance on Oral Statements. No oral responses, explanations, clarifications, answers, or other communications by the University shall alter, amend, or change a Solicitation’s terms, requirements, or contents.  Only written amendments or modifications the University makes publicly available may amend or modify a Solicitation.  Bidders are responsible for periodically checking the University’s Procurement website until the bid closes to obtain information relating to the Solicitation, including, but not limited to, amendments, modifications, answers, clarifications, etc.

6.4.           Bid Submission.  All Bids shall be submitted using the University’s electronic bidding system.  Bids submitted in the system shall be received in such a manner that the time and date of submittal, along with the Bid’s contents are securely stored until the time and date set for Bid opening.

6.4.1.      Bid Format.  Suppliers must provide responses in the form, content, structure, and format required in the University’s electronic bidding system..  A Bidder’s failure to comply with the content, structure, and format requirements may result in the Bid being non-responsive.

6.4.2.      Bid Modifications and Withdrawal. A Bidder may modify or withdraw a Bid by written notice. The University must receive the written notice at the location designated in the Solicitation before the time and date set for Bid opening.

6.4.3.      Late Bids.  The University considers any Bids, modifications, or withdrawals received after the time and date set for receiving Bids as late. The University will not consider any late Bids or modifications.  The University, in its sole discretion, may consider late withdrawals.  Bids, modifications, or withdrawals that would have been timely received but for the action or inaction of University personnel directly involved in the Bidding activity will not be considered late Bids, if properly demonstrated by a Bidder.

6.5.           Bid Opening. There shall be no publicly held Bid openings. Bids shall be opened on the date designated in the Solicitation. The amount of each Bid, and such other relevant information, together with the name of each Bidder shall be recorded. After Bid opening, no changes in Bid prices or other provisions of Bids prejudicial to the interest of the University, or fair competition are permitted.  The opened Bids shall be available for public inspection except to the extent the Bidder designates trade secrets or other proprietary data as confidential. 

6.6.           Bid Mistakes and Corrections. No mistake or correction to a Bid may be made except as set forth in this Section 6.6.

6.6.1.      Before Opening.  A Bidder may correct mistakes discovered before the Bid opening by withdrawing or correcting the Bid as set forth in Section 6.4.1. 

6.6.2.      After Opening. The University presumes that all Bids are correct.  However, if a Bidder or the University discovers a mistake in the Bid or believes a mistake exists, either may request, in writing, that the Bid be verified or corrected. 

Table 3 - Mistakes

Minor Informalities

Mistakes in form, non-substantive errors evident from the Bid documents, or insignificant mistakes that can be waived or corrected without prejudice to other Bidders (i.e., the effect on the price, quantity, quality, delivery, or contractual conditions is negligible) are permitted.

Mistake Clearly Evident

If the mistake and the intended correct Bid are clearly evident on the face of the Bid document, the Bid shall be corrected to the intended correct Bid and may not be withdrawn. These mistakes include typographical errors, errors in extending unit prices, transposition errors, and arithmetical errors.

Mistake Not Clearly Evident

A Bidder may request to correct a mistake or withdraw a low Bid if: the mistake is clearly evident on the face of the Bid document but the intended correction is not similarly evident or the Bidder submits sufficient proof that clearly and convincingly demonstrates that a mistake was made.


6.7.           Determination. When a Bid is corrected or withdrawn, or correction or withdrawal is denied, under Section 6.6.2, the Associate Vice President of Procurement (or designee) shall prepare a written determination showing that the relief was granted or denied and the bases for the determination.

6.8.           Non-Responsive Bids. After opening, University Procurement staff shall view all bids to determine whether the Bids are responsive.  A responsive Bid is a Bid meeting all the requirements, conditions, and prerequisites. University Procurement may, in its sole discretion, reject a Bid as non-responsive if it does not conform in all material respects to the Solicitation. A Bidder’s request to modify or correct a Non-Responsive Bid shall be treated as a Bid mistake and such policies shall apply.  Table 4 includes a non-exhaustive list of examples

Table 4 - Non-Responsive Bids

Terms and conditions

A Bid that does not meet the terms and conditions of the Solicitation.

Forms use

A Bid that does not contain forms or other information the Solicitation specifies.

Incomplete forms

The forms required by the Solicitation do not contain complete information.,

Form entries improper

The information provided in the Bid is not legible, typewritten or printed, or submitted in the electronic format specified in the Solicitation.

Improper alterations

Any alterations do not bear the initials of the person making the alteration.

Use of unauthorized signature

A signature on a form is not an authorized signature pursuant to state laws.

Absence of notary seal

The forms do not contain a notary seal where forms indicate or otherwise comply with the manner of notarization prescribed for the Bidding Bidder’s state of residence.

Bid does not contain a Bid bond or other surety

A Bidder fails to include a Bond or other surety specified as a requirement by a Solicitation.

Bid does not contain samples

If a Solicitation specifies that the Bid shall contain samples and the Bid does not contain samples.

Goods or Services not Suitable

A Bid does not offer items suitable for the intended use of the items.


Bid pricing does not meet the requirements of the Solicitation.

Failure to acknowledge an Amendment

A Bid fails to acknowledge an Amendment to a Solicitation.

One Bid from multiple Bidders

One Bid from multiple Bidders that do not designate a prime contractor.

Additional Bidder terms and conditions

A Bidder adds terms and conditions to an acquisition that are contrary to the laws of Oklahoma.

Unsigned Signatures on solicitation documents

An authorized signature is omitted from any Solicitation document that requires an authorized signature.


6.9.           Bid Evaluation.   Any Bidder’s offering which does not meet the acceptability requirements shall be rejected. The Evaluation Team shall document and record its evaluation.  A Bidder’s request to modify or correct a Non-Responsive Bid shall be treated as a Bid mistake, and such policies shall apply.

6.10.        Responsiveness not Evaluation Criteria.  A Bidder’s responsiveness to the Solicitation shall not be considered evaluation criteria. 

6.10.1.   Cost and Price.  Regardless of whether they are specifically listed as evaluation criteria, costs, prices, fees, and other matters impacting such (discounts, rebates, transportation costs, fuel or delivery fees, total life cycle costs, etc.) shall always be considered as evaluation criteria.

6.10.2.   Results. The decision regarding Bidder or Bidder evaluations or recommendations for the award shall not be announced in any public manner or forum, including board meetings until the contract has been awarded.


6.11.        Bid Rejection. The University shall reserve the right to reject any or all Bids if the University determines, in its sole discretion, that the Bids are unreasonable, do not meet the University’s needs, exceed funding, or awarding the Solicitation is not in the University’s best interest. The University may also reject any Bid for the reasons set forth in Table 5, which shall not act or serve as a limitation on the University’s ability to reject Bids. 

Table 5 Rejection

Bidder fails to comply with Instructions

Bidder fails to submit required information

Bidder imposes terms or conditions that would modify requirements

Bidder attempts to impose unacceptable conditions on the State or impose alternative terms not in the best interest of the State

Evidence of collusion among Bidders

The Bidder is in arrears or in default to the University or the State of Oklahoma on any contract, debt, or other obligation

The Bidder is subject to debarment

The Bidder’s failure to submit an unconditional Bid

The Bidder’s failure to provide any additional information requested by the University prior to award

The Bidder’s lack of competency, reliability, or general suitability as revealed by information relating to the Bidder’s

Pending litigation, complaints, or references

Past work or uncompleted work under any other contract

Financial, personnel, equipment, or other resources


Quality assurance programs, or a lack thereof

The Bidder poses a risk to the University


6.12.        Bid Evaluation. Responsive Bids shall be evaluated by the Evaluation Team using solely the evaluation criteria and requirements set forth in the Solicitation.  The Evaluation Team assesses and compares Bids to determine which Supplier(s) to award the Bid. Evaluation Criteria include any questions, document requests, and presentations in the Solicitation. The Evaluation Team shall document and record its evaluation in the electronic bidding system. 

6.12.1.   Responsiveness is not Evaluation Criteria.  A Bidder’s responsiveness to the Solicitation shall not be considered evaluation criteria. 

6.12.2.   Cost and Price.  Regardless of whether they are specifically listed as evaluation criteria, costs, prices, fees, and other matters impacting such (discounts, rebates, transportation costs, fuel or delivery fees, total life cycle costs, etc.) shall always be considered as evaluation criteria.

6.12.3.   Results. The decision regarding Bidder or Bidder evaluations or recommendations for the award shall not be announced in any public manner or forum, including board meetings until the contract has been awarded.


6.11          Pre-Award Negotiations. If it is in the University’s best interest, after the Bid submission deadline but before an award, the University may engage in pre-award negotiations with Bidders whom the University determines to be reasonably susceptible to being selected for award.  The purpose of the pre-award discussions or negotiations is to ensure a full understanding of, and responsiveness to, the Solicitation. 

6.11.1      Equal and Fair Treatment. All Bidders the University determines to be reasonably susceptible to being selected for the award shall be accorded fair and equal treatment concerning any opportunity for discussion and revision of proposals, and such revisions may be permitted after submissions and before award for the purpose of obtaining the best and final offers. There shall be no disclosure of any information derived from proposals submitted by competing Bidders in conducting discussions.

6.11.2     Best and Final Offers. The University may establish a common date and time for submitting the best and final offers by Bidders. Best and final offers shall be submitted only once, after which time no discussion of or changes in the best and final offers shall be allowed. Bidders shall also be informed that if they do not submit a notice of withdrawal or another best and final offer, their immediate previous offer will be construed as their best and final offer. Best and final offers will be used to determine the best value or the Lowest and Best Bidder.

7.                Award. Unless canceled, withdrawn, or rejected, contracts shall be awarded to the Lowest and Best Bidder(s). The University may award the Contract to more than one Bidder by awarding the Solicitation by item or groups of items or may award the Solicitation on an all or none basis, whichever is deemed to be in the best interest of the University.

7.1.           Notice. Notice of award shall be made available to the public by identifying the Bidders on the University Procurement’s website or through other means. A notice of award to a Bidder may be in the form of a purchase order or other payment mechanism or in the form of a mutually executed contract.

7.2.           Contract. A contract resulting from the Solicitation shall not be entered or effective until the Evaluation Team receives all required approvals, including risk assessments, Regent authorizations, etc

8.                Prohibition. No Person, company, or Bidder shall be permitted to submit a response to or be awarded a Bid involving any Solicitation in which they assisted in preparing.


Absent exceptional circumstances, all purchases of Goods and Services should be made through an open and competitive process. An open, competitive process ensures fair and equitable treatment of Suppliers, avoids conflicts of interest, increases value, protects against fraud, waste, or misuse, and builds trust and confidence in University processes.  


The University uses three methods of solicitation for all purchases. These methods include formal competition, informal competition, and non-competitive procurement. This policy sets the requirements for purchasing Goods and Services under the non-competitive procurement method of solicitation. Non-competitive purchases are restricted and should only be used to address special needs or circumstances during emergencies, as outlined in this policy. There are two non-competitive purchase categories: Sole Source Contracts and Emergency Purchases.

1.                Sole Source Contracts. A sole-source contract (sometimes called a “no-bid contract”) is a contract awarded to a single Supplier through a non-competitive process. Because no competitive process occurred, the University should only enter sole-source contracts when justified and necessary to meet the University’s needs. Accordingly, the University may enter a sole source contract for Goods and Services only when the Goods or Services are restricted to one Supplier or brand name because of the specifications needed by the department or specific restrictions imposed by a fund’s provider. A Good or Service available in the OU Marketplace, an existing University, or a Statewide contract cannot be acquired via sole source.

1.1.  Process for Requesting Sole Source Purchase. The department seeking a sole-source contract must provide appropriate justification. The justification should include all information and materials demonstrating the restrictions or requirements. Sole source justification may exist when the Good or Service is (i) only available from one source, (ii) unique, special, or involves specific professional or technical expertise; (iii) compatible with existing equipment or systems, (iv) an addition to limited or proprietary systems like increase in licenses, updates, specialized replacement parts, etc., (v) limited or available within specific geographical boundaries or sales territories. The department shall complete the Sole Source Justification Form and include all appropriate or necessary documentation supporting the sole source request. The cost must be fair and reasonable.


1.2. Considerations. When submitting a sole source justification, departments should consider the following.


·       A requirement for a particular proprietary Good or Service is insufficient justification if there is more than one potential Supplier for that Good or Service.

·       The cost of a Good or Service alone is not sufficient justification. 

·       Absent harm to the University, a timing delay by itself is not sufficient justification.   

·       Personal or professional preference cannot serve as a justification.

·       All justifications must be based on objective, verifiable criteria or information.

·       A single response to a solicitation is not sufficient justification.

1.3. Examples. A non-exhaustive list of justified sole source purchases is below:

·       Only one manufacturer makes the Goods

·       Donation, grant, award, or other agreement names a specific brand or Supplier

·       Goods must be identical to equipment already in use to ensure compatibility with existing equipment or systems and is available only from one Supplier

·       Maintenance or repair (including replacement parts) by the original equipment manufacturer

·       Patented or copyrighted materials available only from the patent or copyright holder

·       Medical or surgical decision by a medical professional, where a specific brand is required for patient care

·       Service provider is singularly qualified based on their expertise, background, or specialized talent, knowledge, or experience that is necessary for the task

·       Market Survey determined that other Suppliers cannot satisfy the University’s needs or requirements


1.4   Sole Source Acquisitions Using Federal Funds. Federally funded sole source purchases are limited to (i) Goods or Services available only from a single source (describe the steps taken to determine there are no other Suppliers, (ii) a public exigency or emergency for the requirement does not permit a delay resulting from Informal or Formal Solicitations, (iii) the Federal Awarding Agency or PTE expressly authorizes noncompetitive proposals in response to a written request from the University, or (iv) after solicitation of a number of sources, competition is determined inadequate.

1.5   Sole Source Determination. The Associate Vice President of Procurement (or designee) shall review and approve all sole source justifications.

1.6   Sole Source Limitations. To ensure the University continues to purchase Goods and Services through open and competitive processes, sole-source contracts shall be limited to one year, after which Procurement will reassess whether requirements or market conditions have changed to no longer justify a non-competitive, sole-sourced contract.


1.7   Purchasing Processing Required. Other than the requirement for competition, sole-source contracts must comply with all University processing, review, and approval requirements.


2.               Emergency Purchases. During an Emergency Condition, the Associate Vice President for Procurement may make or authorize others to make emergency procurements when a threat exists to public health, welfare, or safety.


2.1.1.       Emergency Condition Defined. As used in this Section 2.1.1, Emergency Condition means any condition creating a threat to public health, welfare, or safety where a delay in obtaining Goods or Services would seriously threaten University operations, the preservation or protection of property, or the health or safety of any person. Emergency Conditions include significant emergencies declared by the President; National Weather Service forecasted weather events, hurricanes, tsunamis, floods, ice storms, landslides or similarly cataclysmic occurrences, or other acts of God; extended power outages; epidemics, pandemics, or related outbreaks if declared by the World Health Organization or federal government; county, state, or national declaration(s) of emergency as issued by an authorized government entity; war, acts of terrorism, or acts of public enemies; sabotage, riots, or civil disturbances; or material destruction of facilities.


2.1.2.      Limitations. Emergency procurement shall be limited to those Goods, Services, or construction items necessary to meet or alleviate the Emergency Condition. The cost must be fair and reasonable.


2.1.3.      Reporting and Documentation. All material purchases made during an Emergency Condition shall be reported to the Board at the earliest opportunity but no later than the next regularly scheduled meeting. 

1.      Market Research. Procurement can provide market research to identify and determine available acquisition sources, suppliers, and alternative solutions meeting University and departmental needs or requirements.  Market research includes, but not be limited to, general pricing information, including primary cost drivers; availability of products and sources; industry revenues; economic factors; environmental considerations; new or emerging technologies; and competitive factors, such as quality, product features, and typical lead time.


2.      Requests for Information. A Request for Information (“RFI”) is a tool the University can use when performing Market Research or seeking information about goods or services.  Because an RFI seeks only to educate and inform the University, it does not create any obligation on either the University or any responding Suppliers. The RFI can help the University develop other Solicitations, modify project plans, identify different technical or financial solutions, or better understand the marketplace. Using RFI’s to assist in planning and sourcing goods and services is highly recommended.

3.      Content.  Any RFI should, at a minimum, include the following information:

3.1.           Statement of Purpose and Objectives. This section should provide an overview of the information the University seeks from potential Vendors.  It is helpful to include a description of the need or project, current practices, the potential scope of work, and other relevant information a Vendor may need to provide more accurate responses. 

3.2.           Supplier Responses.  This section asks potential Suppliers to provide general information about themselves and offers potential solutions to help the University meet objectives, including, but not limited to, potential costs (but not quotes), the availability of Goods and Services, other risks the University has not considered, and other questions directed at informing or educating the University about its underlying need or objective.  All Suppliers must be provided with the same questions.

4.      Publication and Time.  The University shall publish or advertise the RFI for a minimum of 21 days unless a shorter time is deemed necessary on the University of Oklahoma’s Public Sourcing Site (OU Public Sourcing Site) and, if necessary, other appropriate University media. Suppliers must provide responses before the posted deadline or closing.

5. Response Submission.  All Supplier responses shall be submitted using the University’s electronic bidding system.  Responses submitted in the system shall be received in such a manner that the time and date of submittal, along with the contents of the response, are securely stored until the time and date set for opening. The University is not required to review or respond to any Supplier-provided response.

5.      Meetings. The University always reserves the right to ask Suppliers to demonstrate or clarify responses, conduct interviews, and request demonstrations.

6.      Roles and Responsibilities.  Procurement is responsible for issuing all RFIs, acting as the Supplier contact, gathering responses, scheduling demonstrations, obtaining clarifications, and other procurement-related activities.  Representatives from the department and other University subject-matter experts are required to develop the Statement of Purpose and Objectives and what information and questions to seek from the Supplier.  All parties should conduct independent market research to identify potential Suppliers. 

It is unlawful to split or separate any purchase or contract into smaller purchases to evade, circumvent, or avoid any dollar limits, requirements for solicitation or competition, contract review, or other procurement policies. Employees engaging in such activity may be subject to disciplinary action and civil or criminal liability.

The acquisition of goods and services by the University must be conducted following University policies and processes. However, there may be circumstances where it is in the University's best interests to provide limited exceptions to procurement processing policies to avoid, prevent, or alleviate serious physical or financial risks, harm, injury, or loss. This policy sets forth how procurement processing exceptions can be requested and authorized. 

As stewards of state resources, the University is obligated to acquire goods and services in a competitive, fair, and transparent process. Accordingly, exceptions will only be granted in exceptional circumstances.

1.      Exception Requests. The department seeking an exception contract must complete the Request for Procurement Exception Form and submitted with the requisition or voucher. Submitting the form does not guarantee that it will be approved. 

1.1.           Justification. The department must outline the bases for the exception request, including what procurement policies or requirements (formal competition, number of quotes, purchasing hierarchy, etc.), mitigating factors, the potential for irreparable injury or loss, and steps taken to comply with University procurement policies. All justifications must be based on objective, verifiable criteria or information.

1.1.1. Absent harm to the University, a timing delay by itself is not sufficient justification. 

1.1.2. That there is only one supplier of Goods or Services may not be sufficient justification.   

1.2.           Documentation. The department should include all information and materials supporting the exception request. 

1.3.           Authorization. The form must be executed by the department head or other executive administrator with appropriate signatory authority. By executing the requesting employee and department head attest that all facts and information are, to the best of their knowledge, true and accurate, and (ii) the exception request is made in good faith and not to unlawfully circumvent any University policy. 

2.     Exception Review and Approval. University Procurement shall review each exception request to determine whether it should be granted. Only the Associate Vice President of Procurement, or designee, in their sole discretion, may approve a processing exception. The Associate Vice President of Procurement may grant conditional exception by placing specific restrictions or requirements, including, but not limited to, time limitations, costs, additional approvals, or other procurement processing requirements deemed to be in the best interests of the University.  

3.     Prohibition. The Associate Vice President of Procurement shall not be granted requests that (i) may directly or indirectly violate applicable laws or University policy, (ii) change approval and reporting requirements, (iii) increase signatory authority, or (iv) do not involve procurement processing.

Procurement Processing Exception Form

1.  Prohibition against Doing Business with the University. The University shall not enter Contracts with or do business with Suppliers that are debarred or suspended by a federal or state government entity or are otherwise excluded from or ineligible to participate in federal or state procurement or contracting activities. Additionally, Suppliers performing services on the University’s behalf shall not use the services of any debarred persons in any capacity in performing such services.

2.  Cause for Suspension. The Associate Vice President of Procurement may suspend a Supplier by serving the Supplier a notice to show cause why the Supplier should not be suspended. Cause for suspension shall be any of the following reasons:

Table 1 – Causes for Suspension

Failure to post or allows to expire a bid bond, performance bond, or surety bond required in connection with an acquisition

Misrepresenting, failing to provide, or allowing the expiration of a professional certification required in connection with a Contract

Failure to perform pursuant to the Contract

Colluding with other Suppliers to restrain competitive bidding and practices

Failure to consistently provide Goods or Services that to meet the requirements of the Contract

Providing a University employee with a kickback, bribe, or unlawful gratuity

Failure to deliver a Good or Service pursuant to the Contract

A decision by the Associate Vice President of Procurement (in their sole discretion) that a Supplier is no longer responsible or qualified to do business with the University

Failure to timely replace at the Supplier’s expense acquisitions that fail to meet the requirements of the Contract or that have latent defects

Violating any University policy, including, but not limited to procurement, ethics, conflicts, reporting, or financial policies

Providing University representatives with false, misleading, inaccurate, materially deficient, or incomplete information

Violation of applicable procurement ethics practices, rules, policies, or laws

Failure to keep a bid firm for the period specified

Suspension or debarment by a local, state, or agency, organization, or entity

a Supplier fails to resolve a dispute with the University or other state agency

Any other reason the Associate Vice President of Procurement determines appropriate

A final decision or adjudication by a regulatory authority or court of competent jurisdiction that a Supplier engaged in discriminatory practices


3. Suspension Notice. The Associate Vice President of Procurement shall send written notice of suspension to a Supplier within five (5) business days of the Associate Vice President of Procurement’s decision. The notice shall designate the suspension period, which shall begin three (3) business days from the date of the notice and shall expire no later than the end of the period specified in the notice.

4. Supplier Suspension Appeal. A Supplier may appeal a suspension in writing to the Associate Vice President of Procurement within five (5) business days of receipt of the suspension notice; however, the Supplier shall be suspended pending a determination of the appeal. The Associate Vice President of Procurement shall affirm or deny the appeal in writing to the Supplier.

4.1. If the Associate Vice President of Procurement affirms the Supplier’s appeal, the Associate Vice President of Procurement shall reinstate the Supplier.

4.2.  If the Associate Vice President of Procurement denies the Supplier’s appeal, the Supplier may appeal the denial to the Procurement Risk Management Committee as set forth in Section 10.

5.Supplier Request for Reinstatement. A suspended Supplier may request reinstatement from the Associate Vice President of Procurement before the Supplier’s suspension period ends. The Associate Vice President of Procurement may consider reinstating the Supplier upon submission by the Supplier of documents that indicate a change of conditions.

6. Supplier Reinstatement. If the Associate Vice President of Procurement reasonably believes that the Supplier can satisfy requirements for the performance of University Contracts, the Associate Vice President of Procurement shall send written notice of reinstatement to the Supplier.

7. Cause for Debarment. The Associate Vice President of Procurement may debar a Supplier resulting in the Supplier becoming ineligible to enter Contracts with the University. Upon debarment, the Associate Vice President of Procurement shall cancel all existing Contracts with the University. The Associate Vice President of Procurement may serve the Supplier a notice to show cause why the Supplier should not be debarred. The debarment shall be for no more than three (3) years. Debarment shall be for any of the following reasons:

7.1. conviction of an individual or business entity guilty of a felony involving fraud, bribery, or corruption;

7.2.  conviction of an individual or business entity of a misdemeanor involving a gift, donation, or gratuity an individual or business entity gives to an official of the Associate Vice President of Procurement, an immediate family member of an official of the Associate Vice President of Procurement, or any University employee;

7.3. conviction of an individual or business entity of a felony involving the Anti-Kickback Act of 1974; or

7.4. debarment by federal or state government entities.

8. Debarment Considerations. The Associate Vice President of Procurement shall consider factors of this subsection when considering the debarment of a Supplier.

8.1. Disassociation. The efforts, if any, of the Supplier to disassociate itself from individuals and business entities responsible for convictions.

8.2. Imputed Business Entity. Conviction of an individual may impute a business entity, affiliate, or associate of the individual.

8.3.  Imputed Individual. Conviction of a business entity may impute an individual, affiliate, or associate of the business entity.

8.4. Time Period. The period during which the acts leading to a conviction of the individual or business entity occur.

8.5.  Failure to Respond to Inquiries. Failure of the individual or business entity to respond to inquiries by the Associate Vice President of Procurement regarding factors that may lead to debarment.

8.6. Other Factors. Any other factors regarding the Supplier that the Associate Vice President of Procurement determines appropriate.

9. Associate Vice President of Procurement’s Options. Upon review and consideration of factors relevant to the proposed debarment of a Supplier, the Associate Vice President of Procurement shall take one of the following actions and provide written notice of the action to the Supplier:

9.1. Decline to Debar. Decline to debar the Supplier.

9.2. Suspension. Suspend the Supplier as Associate Vice President of Procurement determines appropriate.

9.3. Debarment. Debar the Supplier for a period that shall begin three (3) business days from the date of the final order of debarment and expire no later than the end of the period specified in the order.

10.    Reinstatement after Debarment. A debarred Supplier may submit a written request for reinstatement to the Associate Vice President of Procurement. The Associate Vice President of Procurement shall consider information provided to determine whether reinstatement is merited and shall provide written notice of the reinstatement approval or denial.

11.    Supplier appeal to Procurement Risk Management Committee. A Supplier may appeal a debarment or a denial of reinstatement by the Associate Vice President of Procurement to the University’s Procurement Risk Management Committee within ten (10) business days of receipt of the debarment notice or the denial of reinstatement notice.

12.    Notice. Upon the later of the expiration of appeal times or five (5) days after the Procurement Risk Management Committee’s decision, if the Supplier is suspended or debarred, the Associate Vice President of Procurement shall send appropriate notice to federal and state government entities as appropriate.


A University Employee who conducts business on behalf of the University must do so in a manner that is objective and ethical. The goal of all University business dealings must be to benefit the University, not the individual. To protect both the integrity and objectivity of its Employees and policies, actual and potential conflicts of interest in procurement must be disclosed. Conflicts of interest in procurement should be avoided when possible or otherwise must be managed.


This guidance document highlights the Conflicts of Interest Policies and Procedures Employees must comply with while “participating in a procurement decision.” “Participating in a procurement decision” means performing any functions in the process of acquiring, providing, or disposing of goods or services on the University’s behalf, including, without limitation, participation in (1) preparing solicitations, bid specifications, or similar documents; (2) reviewing or evaluating solicitation responses; (3) recommending supplier or successful bidders; (4) obtaining supplier quotes or contracts; or (5) in approving or denying the acquisition, provision, or disposal of goods and services. This guidance also gives the Vice President of Procurement the power to exclude certain Employees from participating in procurement decisions in certain instances. This document does not abrogate, change, or alter any other ethical obligations regarding Conflicts of Interest set forth in applicable laws and University policies.


1.      Responsibilities. An Employee participating in a procurement decision has a responsibility to:

·       Know and adhere to all applicable laws and University policies, including the Board of Regents Individual Conflicts of Interest Policy (BOR COI), Institutional Conflicts of Interest Policy, and Oklahoma State Ethics Rules

·       Complete or have completed the required annual Conflicts of Interest disclosure form for the applicable campus and update such form when required.

·       Not exert or attempt to influence any person participating in a procurement decision. This includes, but is not limited to, making implied threats, offering kickbacks, providing gratuities, or taking any other action that seeks to influence a procurement-related decision.

·       Not accept gifts, favors, entertainment, meals, travel, or things of value that might directly or indirectly influence the Employees’ business judgments or decisions or might give the appearance of impropriety.

·       Not participate in procurement decisions if they have a prohibited conflict of interest, as outlined below.


2.     Prohibited Conflicts of Interest. All actual and potential conflicts of interest, as further outlined below, must be disclosed before participating in a procurement decision. While some conflicts of interest can be managed, an Employee is prohibited from participating in a procurement decision if the Employee or their family members have a Significant Financial Interest in a supplier or potential supplier. An Employee has a Significant Financial Interest in a company, consulting service, or enterprise when:

·       Determines that the circumstances would cause a reasonable person with knowledge of the relevant facts to question the Employee’s impartiality in the matter

·       For a publicly traded company, the value of one’s interest plus the income received in the past 12 months exceeds $5,000

·       For a non-publicly traded company, one owns any share in it, or the income received in the past 12 months has exceeded or is expected to exceed $5,000

·       For a right or interest in intellectual property, one has received or is expected to receive any income from it

·       Knows that a particular procurement decision is likely to have a direct and predictable effect on the Significant Financial Interests of the Employee or their family members

·       Knows that a person with whom the Employee or family member has a business relationship, other than a routine consumer transaction, is a party to or represents a party to such matter

·       Their family members receive any gifts or other things of value from a supplier or potential supplier

·       The employee and/or family member has a past employment history or other relationship with a supplier or potential supplier that would create the appearance of a conflict of interest


2.2.   If an Employee is unsure if an actual or potential conflict of interest falls under one of these prohibited conflicts of interest, they should immediately contact the appropriate Conflicts of Interest office for guidance.


2.3.   If an Employee has a procurement conflict of interest, they are prohibited from participating in a procurement decision, must recuse themselves from the process, and report the conflict to the appropriate Conflicts of Interest office and the Associate Vice President of Procurement.


2.4.   Removal from Participation in Procurement Decisions by Associate Vice President of Procurement. The Associate Vice President of Procurement can also exclude a supplier or Employee from participating in a procurement decision if (1) the supplier or Employee has an actual or potential conflict of interest outlined in this guidance, (2) the Associate Vice President of Procurement reasonably believes that the supplier or Employee’s involvement would create an appearance of a conflict on the part of the Employee or University or (3) at any time, the Associate Vice President of Procurement reasonably believes that the Employee is acting in the Employee’s own best interests and not the best interests of the University when participating in the procurement decision in question. The Employee may request the Procurement Risk Management Committee (PRMC) review the Associate Vice President of Procurement’s decision.   Upon request, the PRMC’s decision may be reviewed by the Enterprise Risk Management and Compliance Oversight Committee. No review is guaranteed.   The PRMC is the body responsible for reviewing, managing, and assessing critical issues and risks relating to University procurement activities, business arrangements, and contractual relationships with third parties


3.     Conflicts of Interest Procedure. If, after a procurement decision is complete, an Employee or chosen supplier discloses a conflict of interest or once a conflict otherwise becomes known, the Conflicts of Interest Officer and Committee will investigate and make one of the following determinations: (1) no conflict exists; (2) potential conflict, permissible within specific limits/criteria when the disclosed information does not represent a possible source of bias or inappropriate activity; (3) conflict exists, permissible with a management plan to avoid bias or inappropriate activities or the appearance of such; or (4) unmanageable conflict, inconsistent with law or University policy.


4.     Definitions.  Terms used in this guidance shall have the same meaning as set forth in the BOR COI, unless otherwise defined herein.  As used herein, “Employee” as defined in the BOR COI shall also include an individual or their family members, whether paid or not, serving in an executive or policymaking position for the University.


5.     Additional Resources.

5.1. Employees with further questions are encouraged to contact the appropriate Conflicts of Interest office or visit Conflict of Interest ( and Conflict of Interest ( for more information.

5.2. An Employee or other persons concerned with conduct involving fraud, corruption, mismanagement, serious waste of public funds, or other like concerns can report such concerns to the University through the below channels:

·       OU Report It! Hotline – or (844) 428-6531. The OU Report It! Hotline is anonymous and available 24 hours a day.

·       University Procurement –

·       Conflicts of Interest Office – or


This Policy applies to Federal Awards by a Federal Awarding Agency or Pass-Through Entity (“PTE”) involving the University.

When procuring Goods or Services under a Federal Award, the University follows the same policies and procedures it uses for procurements using non-Federal funds unless otherwise stated herein or another policy. The University complies with 2 CFR 200 – Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (“Uniform Guidance”) and ensures that every purchase order or other Contract using awarded Federal funds includes the clauses herein. 

1.     University Procurement Procedures. The University has documented procurement procedures consistent with applicable state laws and regulations for acquiring Goods and Services. These procurement procedures conform to the procurement standards identified in the Uniform Guidance. If the University’s procurement standards and Uniform Guidance conflict, the Uniform Guidance and this policy shall control.

·  The University’s Procurement department, research services departments, and the department managing an award or Contract (“Responsible Departments”) jointly maintain oversight to ensure that Suppliers and Supplier Parties perform in accordance with the terms, conditions, and specifications of their Contracts or purchase orders. This responsibility includes ensuring all necessary and appropriate steps, procedures, decisions, actions, or requirements set forth herein or as required by the Uniform Guidance are adequately documented.

· Any changes to the program or award that may impact the procurement policies, processes, or requirements set forth in this policy must be approved by the Federal Awarding Agency. The department managing the reward is responsible for obtaining such authorization and reporting it to University Procurement.

· The University awards Contracts only to responsible Suppliers who can perform successfully under the terms and conditions of a proposed procurement. The University considers such matters as a Supplier’s contractor integrity, compliance with public policy, record of past performance, and financial and technical resources.

·  The University maintains records sufficient to detail the procurement history, including the requirements set forth under the Uniform Guidance. These records include but are not necessarily limited to, the rationale for the procurement method, selection of contract type, Supplier selection or rejection, and the basis for the Contract price. The Responsible Departments ensure that such documentation exists and is maintained.

· The University alone is responsible, in accordance with good administrative practice and sound business judgment, for settling all contractual and administrative issues arising out of procurements. These issues include, but are not limited to, source evaluation, protests, disputes, and claims. These standards do not relieve the University of any contractual responsibilities under its Contracts. The Federal Awarding Agency will not substitute its judgment for that of the University unless the matter is primarily a federal concern. Violations of law are referred to the appropriate local, state, or Federal authority having proper jurisdiction.

· The University’s procedures avoid the acquisition of unnecessary or duplicative items. Consideration is given to consolidating or breaking out procurements to obtain more economical purchases. Where appropriate, an analysis of lease versus purchase alternatives and any other appropriate analysis is made to determine the most economical approach. See the University Acquisition Hierarchy and Auxiliary Enterprises and Services Policies.

·  Where feasible or appropriate, to reduce costs, the University uses the University or federal excess and surplus property instead of purchasing new Goods or Services.

·   To foster greater economy and efficiency, and in accordance with efforts to promote cost-effective use of shared services across local, state, and federal governments, the University enters state and local intergovernmental agreements or inter-entity agreements where appropriate for procurement or use of common or shared Goods and Services. Competition requirements are met with documented procurement actions using strategic sourcing, shared services, and other similar procurement arrangements.

·  The University uses “Value Engineering” clauses in Contracts for construction projects of sufficient size to offer reasonable opportunities for cost reductions. Value Engineering means a systematic and creative analysis of each Contract item or task to ensure that its essential function is provided at an overall lower cost.

2.     Standards of Conduct and Conflicts of Interest. University Parties involved in procurement-related activities must comply with all applicable laws and University policies governing compliance and conflicts of interest. To the extent a University policy may not provide for or address compliance or conflicts of interest, University Parties shall specifically comply with the following requirements.

· No University Party shall participate in the selection, award, or administration of a Contract supported by a Federal Award if the University Party has a real or apparent conflict of interest. Such a conflict of interest arises when the University Party, including immediate family members or Persons employed or about to be employed by a Supplier, has a financial or other interest in or a tangible personal benefit from a Supplier considered for an award.

·  University Parties shall neither solicit nor accept gratuities, favors, or anything of monetary value from Suppliers or Supplier Parties. University Parties may follow University policies concerning whether and when such items may be nominal or insubstantial and, therefore, not violate this requirement.

·  To the extent the University has any subsidiaries or affiliate organizations that are not state, local government, or Indian tribe, the University prohibits organizational conflicts of interest.


3.     Competition. All procurement transactions for the acquisition of Goods or Services or real property required under a Federal Award are conducted through full and open competition consistent with applicable laws and Uniform Guidance.

· To ensure objective Supplier performance and eliminate unfair competitive advantages, Suppliers that develop or draft specifications, requirements, statements of work, or Solicitations must be excluded from competing for such procurements. Some of the situations considered to be restrictive of competition include but are not limited to (A) placing unreasonable requirements on firms for them to qualify to do business, (B) requiring unnecessary experience and excessive bonding, (C) noncompetitive pricing practices between firms or between affiliated companies, (D) noncompetitive Contracts to consultants that are on retainer Contracts, (E) organizational conflicts of interest, as defined in this policy, (F) specifying only a “brand name” product instead of allowing “an equal” product to be offered and describing the performance or other relevant requirements of the procurement, and (G) any arbitrary action in the procurement process.

·  The University conducts procurements in a manner that prohibits the use of statutorily or administratively imposed state, local, or tribal geographical preferences in the evaluation of bids or proposals, except in those cases where applicable federal statutes expressly mandate or encourage geographic preference. Nothing in this section preempts state licensing laws. When contracting for architectural and engineering (A/E) services, geographic location may be a selection criterion, provided its application leaves an appropriate number of qualified firms, given the nature and size of the project, to compete for the Contract.

· The University maintains written procedures for procurement transactions. These procedures must ensure that all solicitations:

    o   Incorporate a clear and accurate description of the technical requirements for the material, product, or service to be procured. Such description must not, in competitive procurements, contain features that unduly restrict competition. The description may include a statement of the qualitative nature of the Goods or Services to be procured and, when necessary, must set forth those minimum essential characteristics and standards to which it must conform to satisfy its intended use. Detailed product specifications should be avoided if at all possible. When it is impractical or uneconomical to make a clear and accurate description of the technical requirements, a “brand name or equivalent” description may be used as a means to define the performance or other salient requirements of procurement. The specific features of the named brand which must be met by offers must be clearly stated, and

    o   Identify all requirements the Suppliers must fulfill and all other factors in evaluating Bids or proposals.

·  The University ensures that all prequalified lists of Suppliers or Persons used in acquiring goods and services are current and include enough qualified sources to ensure maximum open and free competition. The University does not preclude potential Suppliers or Bidders from qualifying during a Solicitation period.

· Noncompetitive procurements are only awarded in accordance with applicable University policy and Uniform Guidance.


4.     Methods of Procurement. The University has and uses documented procurement procedures consistent with the Uniform Guidance setting forth the methods of procurement used to acquire Goods and Services and real property required under a Federal Award or sub-award. These policies include Informal Competition, Formal Competition, and Noncompetitive Purchases policies.

·  Informal Competition. When the value of the procurement for Goods or Services or real property under a Federal Award does not exceed the Simplified Acquisition Threshold, the University does not require formal procurement methods. The University relies on informal procurement methods to expedite the completion of its transactions and minimize the associated administrative burden and cost. The informal methods include:

    o   Micro-purchase. The acquisition of Goods and Services, the aggregate dollar amount of which does not exceed the Micro-Purchase Threshold.

    o   Small purchases. The acquisition of Goods or Services, the aggregate dollar amount of which is higher than the Micro-Purchase Threshold but does not exceed the Simplified Acquisition Threshold (SAT). Before a small purchase is acquired, price or rate quotations must be obtained from an adequate number of qualified sources as set forth in the Informal Competition Policy.

·  Formal Procurement. Except in noncompetitive procurements, when the value of the procurement for Goods or Services or real property under a federal financial assistance award exceeds the SAT, the University uses formal procurement methods documented in the Formal Competition Policy. These formal procurement methods meet the requirements of applicable law and the Uniform Guidance.

·   Noncompetitive Procurements. As set forth in the University’s Informal Competition and Noncompetitive Purchases policies, there are limited circumstances in which noncompetitive procurement is used. Noncompetitive procurements are only used if one or more of the following circumstances apply:

    o   The acquisition of Goods or Services that do not exceed the Micro-Purchase Threshold

    o   The Good or Service meets the requirements for a sole source acquisition

    o   The public exigency or emergency for the requirement will not permit a delay resulting from publicizing a competitive solicitation

    o   The Federal Awarding Agency or PTE expressly authorizes a noncompetitive procurement in response to a written request from the University, or

    o   After solicitation of several sources, competition is determined inadequate.


5.     Small and Minority Businesses, Women’s Business Enterprises, and Labor Surplus Area Firms. The University takes all necessary affirmative steps to ensure that minority businesses, women’s business enterprises, and labor surplus area firms are used when possible. Procurement shall ensure that such affirmative steps are documented. Such affirmative steps shall, at a minimum, include (A) placing qualified small and minority businesses and women’s business enterprises on solicitation lists, (B) assuring that small and minority businesses and women’s business enterprises are solicited whenever they are potential sources, (C) dividing total requirements, when economically feasible, into smaller tasks or quantities to permit maximum participation by small and minority businesses, and women’s business enterprises, (D) establishing delivery schedules, where the requirement permits, which encourage participation by small and minority businesses, and women’s business enterprises, (E) using the services and assistance, as appropriate, of such organizations as the Small Business Administration and the Minority Business Development Agency of the Department of Commerce, and (F) requiring the prime contractor, if subcontracts are to be let, to take the affirmative steps listed above.

6.     Domestic Preferences. As appropriate and to the extent consistent with law, the University, to the greatest extent practicable under a Federal Award, provides a preference for the purchase, acquisition, or use of goods, products, or materials produced in the United States (including but not limited to, iron, aluminum, steel, cement, and other Manufactured Products). The requirements of this section are included in all subawards, including all Contracts and purchase orders for Goods or Services under an award.

7.     Procurement of Recovered Materials. The University and its Suppliers, including Supplier Parties, comply with section 6002 of the Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act. The requirements of Section 6002 include procuring only items designated in the guidelines of the Environmental Protection Agency (EPA) at 40 CFR part 247 that contain the highest percentage of recovered materials practicable, consistent with maintaining a satisfactory level of competition, where the purchase price of the item exceeds $10,000 or the value of the quantity acquired during the preceding fiscal year exceeded $10,000; procuring solid waste management services in a manner that maximizes energy and resource recovery; and establishing an affirmative procurement program for procurement of recovered materials identified in the EPA guidelines.


8.    Contract Cost and Price.

(a) The University performs a cost or price analysis in connection with every procurement action in excess of the SAT, including Contract modifications. The method and degree of analysis depend on the facts surrounding the particular procurement situation, but as a starting point, the University makes independent estimates before receiving bids or proposals.

(b) The University negotiates profit as a separate element of the price for each Contract in which there is no price competition and, in all cases, where cost analysis is performed. To establish a fair and reasonable profit, the University considers the complexity of the work to be performed, the risk borne by the Supplier, the Supplier’s investment, the amount of subcontracting, the quality of its record of past performance, and industry profit rates in the surrounding geographical area for similar work.

(c) Costs or prices based on estimated costs for Contracts under a Federal Award are allowable only to the extent that costs incurred or cost estimates included in negotiated prices would be allowable for the University as appropriate under the Uniform Guidance. The University may reference its own cost principles that comply with the Federal cost principles.

(d) The University shall not use a cost plus a percentage of cost and percentage of construction cost contracting methods.

(e) Costs or prices based on estimations are allowable only as set forth below or in the Uniform Guidance:

o   Necessary and Reasonable. Elements must be necessary, reasonable, and compliantly allocable for the performance of the Federal Award.

o   Conformance to Limitations or Exclusions. Elements must conform as set forth in the Uniform Guidance or the Federal Award as to types or amount of cost items.

o   Consistency with Policy and Procedures. Treatment of elements must be uniformly consistent with that applied to other University acquisitions.

o   Consistent Treatment. A cost must not be treated as direct if any other cost for the same purpose has been allocated as indirect.

    o   Generally Accepted Accounting Principles (GAAP). Treatment of elements must comply with GAAP.

    o   No Inclusion with Other Federal Awards. Elements must not be included as costs or used to meet cost-sharing or matching requirements of other Federal Awards.


9. Real Property. If the University acquires real property under a Federal Award (using Federal funds), title vests in the University. The property must be used for the originally authorized purpose as long as it is needed for that purpose, and during that time, the University must not dispose of it or encumber its title. When the University no longer needs the property for the originally authorized purpose, it must obtain disposition instructions from the Federal Awarding Agency or PTE, which will require disposition using one of the following methods:

·  Retain Title after Compensating the Awarding Agency. The amount paid to the Federal Awarding Agency is computed by applying the Federal Awarding Agency’s percentage of participation in the cost of the original purchase and costs of improvements to the fair market value of the property. In those instances where the University acquires replacement real property under the same Federal Award, the net proceeds from the disposition may be used to offset the cost of the replacement property.

· Sell the Property and Compensate the Awarding Agency. The amount due to the Federal Awarding Agency is calculated by applying the Federal Awarding Agency’s percentage of participation in the cost of the original purchase and improvements to the proceeds of the sale after deducting any actual and reasonable selling and fixing-up costs. If the award has not been closed out, the net proceeds from the sale may be offset against the original cost of the property. If the University is directed to sell the property, the University must provide for competition to the extent practicable and result in the highest possible return.

· Transfer Title to the Awarding Agency or a Designated Third Party. The University is entitled to be paid an amount calculated by applying the University’s percentage of participation in the purchase of the property and any improvements to the current fair market value.


10.  Equipment and Other Capital Expenditures. If the University acquires equipment or other capital assets under a Federal Award (with federal funds), title vests in the University. The University must use the equipment for the authorized purposes of the project until funding for the project ceases or until the equipment is no longer needed for the project. The University must not encumber the equipment without the approval of the Federal Awarding Agency or PTE. The University must use and dispose of the equipment as follows:

· Use. The University must use the equipment for the program or project for which it was acquired as long as needed, whether or not the project or program continues to be supported by the award. The University must not encumber the equipment without prior approval of the Federal Awarding Agency. When the equipment is no longer needed for the original program or project, the University may use it first in other activities supported by the Federal Awarding Agency and second in activities supported by other federal agencies. During the time the University is using the equipment for the project or program, it must also make the equipment available for use on other projects or programs currently or previously supported by the federal government, provided that such use does not interfere with the work on the project or program for which it was originally acquired. The University must not use the equipment to provide services for a fee less than private companies charge for equivalent services. If the University acquires replacement equipment, it may use the replaced equipment as a trade-in or sell it and use the proceeds to offset the replacement cost.

·  Management. The University must maintain records that include a description of the equipment, a serial number or other identification numbers, the source of funding, who holds the title, the acquisition date and cost, the percentage of Federal participation in the project costs for the award under which the equipment was acquired, the location, use and condition, and any ultimate disposition data including the date of disposal and sale price. At least once every two years, the University must take a physical inventory of the equipment and reconcile it with the records. The University must maintain a control system to safeguard against loss, damage, or theft. The University must investigate any loss, damage, or theft. The University must develop maintenance procedures that keep the equipment in good working order. The University must develop proper procedures to ensure the highest possible return if the equipment is sold.

· Disposition. When equipment is no longer needed for the original project or program or other activities currently or previously supported by Federal Awarding Agency, the University must – unless otherwise provided in Federal governing statutes or regulations – request disposition instructions from the Federal Awarding Agency. Equipment with a current per unit fair market value of $5,000 or less may be retained, sold, or otherwise disposed of with no further obligation to the Federal Awarding Agency. For equipment with a fair market value greater than $5,000, if the Federal Awarding Agency fails to provide disposition instructions within 120 days, the University may retain or sell it. In such case, the Federal Awarding Agency is entitled to an amount calculated by multiplying the current market value or proceeds from sale by the Federal Awarding Agency’s percentage of participation in the cost of the original purchase. If the University sells the equipment, the Federal Awarding Agency may permit the University to deduct and retain from the Federal share the lower of $500 or ten percent of the proceeds for its selling and handling costs. The University may alternatively transfer title to the equipment to the Federal government or an eligible third party, provided that the University must be entitled to compensation for its attributable percentage of the current fair market value. If the University fails to take appropriate disposition actions, the Federal Awarding Agency may direct the University to do so.


11.  Bonding requirements. For construction or facility improvement Contracts or sub-Contracts exceeding the SAT , the Federal Awarding Agency or PTE may accept the bonding policy and requirements of the non-Federal entity provided that the Federal Awarding Agency or PTE has determined that the Federal interest is adequately protected. If such a determination has not been made, the minimum requirements must be as follows:

· A bid guarantee from each bidder equivalent to five (5%) percent of the bid price. The “bid guarantee” must consist of a firm commitment such as a bid bond, certified check, or other negotiable instrument accompanying a bid as assurance that the bidder will, upon acceptance of the bid, execute such contractual documents as may be required within the time specified.

·   A performance bond on the Supplier’s part for 100 percent of the Contract price. A “performance bond” is one executed in connection with a Contract to secure the fulfillment of all the Supplier’s requirements under such Contract.

·               A payment bond on the Supplier’s part for 100% of the Contract price. A “payment bond” is executed in connection with a Contract to assure payment as required by law of all Persons supplying labor and material in the execution of the work provided for in the Contract.


12.  Time and Materials. The University uses a time-and-materials type Contract only after a determination that no other Contract is suitable and if the Contract includes a ceiling price that the Supplier exceeds at its own risk. Time-and-materials type Contract means a Contract whose cost to the University is the sum of (i) the actual cost of materials and (ii) direct labor hours charged at fixed hourly rates that reflect wages, general and administrative expenses, and profit. Since this formula generates an open-ended Contract price, a time-and-materials Contract provides no positive profit incentive to the Supplier for cost control or labor efficiency. Therefore, each Contract must set a ceiling price that the Supplier exceeds at its own risk. The Responsible Departments shall assert a high degree of oversight to obtain reasonable assurance that the Supplier is using efficient methods and effective cost controls.


13.  Federal Awarding Agency or Pass-Through Entity Review.

(a) The University will make available, upon request of a Federal Awarding Agency or PTE, technical specifications on proposed procurements where the Federal Awarding Agency or PTE believes such review is needed to ensure that the Goods or Services specified is the one being proposed for acquisition. This review will generally take place before the specification is incorporated into a solicitation document. If the University desires to have the review accomplished after a solicitation has been developed, the Federal Awarding Agency or PTE may still review the specifications, with such review usually limited to the technical aspects of the proposed purchase.


(b) The University will make available, upon request, for the Federal Awarding Agency or PTE pre-procurement review procurement documents, such as requests for proposals or invitations for bids, or independent cost estimates, when:

    o   The Federal Awarding Agency or PTE believes the University’s procurement procedures or operation fails to comply with the procurement standards in Uniform Guidance

    o   The procurement is expected to exceed the SAT and is to be awarded without    competition, or only one bid or offer is received in response to a solicitation

    o   The procurement, which is expected to exceed the SAT, specifies a “brand name” product

    o   The proposed Contract is more than the SAT and is to be awarded to other than the apparent Lowest and Best Bidder through Formal Competition.

o   A proposed Contract modification changes the scope of a Contract or increases the Contract amount by more than the SAT.


(c) The University is exempt from the pre-procurement review set forth herein if the Federal Awarding Agency or PTE determines that the University’s procurement systems comply with the standards in the Uniform Guidance.

    o   The University may request that the Federal Awarding Agency or PTE review its procurement system to determine whether its system meets these standards in the Uniform Guidance for certification. The University may request this review when there is continuous high-dollar funding and Supplier Contracts are awarded on a regular basis.

    o   The University may self-certify its procurement system. Such self-certification does not limit the Federal Awarding Agency’s right to survey the University’s system. Under a self-certification procedure, the Federal Awarding Agency may rely on written assurances from the University that it complies with the standards in the Uniform Guidance. The University must cite specific policies, procedures, regulations, or standards as complying with these requirements and have its system available for review.


14.           Required Contract Provisions. The University’s Contracts contain the applicable provisions as set forth below.

·               Remedies for Violation or Breach of Contract. Contracts exceeding the Simplified Acquisition Threshold must address administrative, Contractual, or legal remedies when Suppliers violate or breach Contract terms and provide for such sanctions and penalties as appropriate.

·               Termination for Cause or Convenience. All Contracts exceeding $10,000 must address termination for cause and convenience, including how it will be affected and the basis for settlement.

·               Equal Employment Opportunity. Contracts that meet the definition of “federally assisted construction contract” (41 CFR Part 60-1.3) must include the equal opportunity clause per 41 CFR Part 60-1.4(b), in accordance with Executive Order 11246, “Equal Employment Opportunity” (30 FR 12319, 12935, 3 CFR Part, 1964-1965 Comp., p. 339) as amended by Executive Order 11375, “Amending Executive Order 11246 Relating to Equal Employment Opportunity,” and implementing regulations at 41 CFR Part 60, “Office of Federal Contract Compliance Programs, Equal Employment Opportunity, Department of Labor.”

·               Davis-Bacon Act / Prevailing Wage. When required by Federal program legislation, all prime construction contracts in excess of $2,000 awarded by the University must include a provision for compliance with the Davis-Bacon Act (40 USC 3141-3144 and 3146-3148) as supplemented by Department of Labor regulations (29 CFR Part 5, “Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction”). Suppliers must pay wages to laborers and mechanics at a rate not less than the prevailing wages specified in a wage determination made by the Secretary of Labor. Suppliers must be required to pay wages not less than once a week. The University will place a copy of the current prevailing wage determination issued by the Department of Labor in each solicitation. The decision to award a Contract or subcontract must be conditioned upon the acceptance of the wage determination. The University will report all suspected or reported violations to the Federal Awarding Agency. The Contracts must also include a provision for compliance with the Copeland “Anti-Kickback” Act (40 USC 3145), as supplemented by Department of Labor Regulations (29 CFR Part 3, “Contractors and Subcontractors on Public Building or Public Work Finance in Whole or in Part by Loans or Grants from the United States”). The act provides that each contractor or subrecipient must be prohibited from inducing, by any means, any person employed in the construction, completion, or repair of public work to give up any part of the compensation to which he or she is otherwise entitled. The University will report all suspected or reported violations to the Federal Awarding Agency.

·               Work Hours and Safety Standards. Contracts in excess of $100,000 that involve the employment of mechanics or laborers will include a provision for compliance with 40 USC 3702 and 3704, as supplemented by Department of Labor regulations (29 CFR Part 5). Each Supplier must compute the wages of every mechanic and laborer based on a standard work week of 40 hours. Work in excess of the standard work week is permissible, provided that the worker is compensated at a rate not less than one and a half times the basic rate of pay for all hours worked in excess of 40 hours in the work week. The requirements of 40 USC 3704 apply to construction work and provide that no laborer must be required to work in surroundings or under working conditions that are unsanitary, hazardous, or dangerous. These requirements do not apply to the purchases of supplies or materials, articles ordinarily available on the open market, or Contracts for transportation or transmission of intelligence.

·               Rights to Inventions. If the Federal award meets the definition of “funding agreement” under 37 CFR §401.2(a) and the recipient or subrecipient wishes to enter into a Contract with a small business firm or nonprofit organization regarding the substitution of parties, assignment or performance of experimental, development, or research work under that “funding agreement,” the recipient or subrecipient must comply with the requirements of 37 CFR Part 401, “Rights to Inventions Made by Nonprofit Organizations and Small Business Firms Under Government Grants, Contracts and Cooperative Agreements,” and any implementing regulations issued by the Federal Awarding Agency.

·               Clean Air Act / Federal Water Pollution Control Act. Contracts and subgrants of amounts in excess of $150,000 will contain a provision that requires the non-Federal award to agree to comply with all applicable standards, orders, or regulations issued under the Clean Air Act (42 USC 7401-7671q) and the Federal Water Pollution Control Act as amended (33 USC 1251-1387). Violations must be reported to the Federal Awarding Agency and the Regional Office of the EPA.

·               Energy Efficiency / Conservation. Mandatory standards and policies relating to energy efficiency contained in the state energy conservation plan issued in compliance with the Energy Policy and Conservation Act (42 USC 6201).

·               Debarment / Suspension. The University will not award Contracts to parties listed on the government-wide Excluded Parties List System in the System for Award Management (SAM), in accordance with OMB guidelines at 2 CFR 180 that implement Executive Orders 12549 (3 CFR Part 1986 Comp., p. 189) and 12689 (3 CFR Part 1989 Comp., p. 235), “Debarment and Suspension.” SAM contains the names of parties debarred, suspended, or otherwise excluded by agencies and parties declared ineligible under statutory or regulatory authority other than Executive Order 12549.

·               Anti-Lobbying. Suppliers that apply or bid for an award of $100,000 or more must file the required certification. Each tier certifies to the tier above that it will not and has not used Federal appropriated funds to pay any person or organization for influencing or attempting to influence an officer or employee of an agency, a member of Congress, an officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any Federal Contract, grant or any other award covered by 31 USC 1352. Each tier must also disclose any lobbying with non-Federal funds that takes place in connection with obtaining any Federal award. Such disclosures are forwarded from tier to tier up to the non-Federal award.

·               Procurement of Recovered Materials.


15.  Definitions. Unless specified herein, all capitalized terms shall have the same meaning as set forth in the Definitions section on the University Procurement’s Policies and Procedures website.  


·               “Federal Award” means, depending on the context, (i) The federal financial assistance that a recipient receives directly from a Federal Awarding Agency or indirectly from a PTE or the cost-reimbursement contract under the Federal Acquisition Regulations that the University receives directly from a Federal Awarding Agency or indirectly from a PTE, (ii) the instrument (grant agreement, cooperative agreement, other agreement for assistance as each is defined under federal law) setting forth terms and conditions or the cost-reimbursement contract awarded under the Federal Acquisition Regulations. Federal Award does not include other Contracts that a Federal agency uses to buy Goods or Services from a Supplier or a contract to operate Federal Government owned, contractor-operated facilities (GOCOs).

·               “Federal Awarding Agency” means the Federal agency that provides a Federal Award directly to the University.

·               “Manufactured Products” means items and construction materials composed in whole or part of non-ferrous metals such as aluminum, plastics, and polymer-based products such as polyvinyl chloride pipe, aggregates such as concrete, glass (including optical fiber), and lumber.

·               “Micro-purchase” means a purchase of Goods or Services, the aggregate amount that does not exceed the micro-purchase threshold identified in the Informal Competition Policy.

·               “Organizational Conflict of Interest” means that because of the University’s relationships with subsidiaries or affiliates, the University is unable or appears unable to be impartial in conducting a procurement action involving a related organization.

·               “Pass-Through Entity” or “PTE” means a non-Federal entity that provides a subaward to a subrecipient to carry out part of a Federal program.

·               “Person” means any natural person, firm, joint venture, limited liability company, association, trust, partnership, corporation, governmental authority, or other legal entity.

·               “Produced in the United States” means, for iron and steel products, all manufacturing processes, from the initial melting stage through the application of coatings, occurred in the United States.

·               “Simplified Acquisition Threshold” or “SAT” means the dollar amount below which the University may purchase Goods or Services using informal procurement methods. The SAT is set forth in the University’s Informal Competition Policy.

§     “Supplier Parties” means the Supplier and its current and former officers, directors, agents, employees, representatives, contractors, assignees, invitees, subcontractors, and designees thereof.

·               “University Parties means the University and its current and former regents, officers, directors, agents, employees, representatives, contractors, assignees, invitees, students, and designees thereof.

Minimum Insurance Requirements for University Contracts

Unless additional coverage or higher amounts are set forth in a Solicitation, Description of Services, or other Contract to which the University and Supplier explicitly agree in writing, all Suppliers shall maintain the minimum insurance requirements as set forth herein: 

Insurance Limits for Contracts Less than $150,000

Insurance Limits for Contracts Over $150,000


Change Order (“CO”). A Change Order requests to amend or modify an existing contract or Purchase Order. Such modifications may include changes (increases or decreases) to prices and quantities, delivery dates, renewals, or cancellations. CO’s increasing the total amount are subject to the University’s approval policies.

Contracts. Oklahoma law defines a contract as an agreement to do or not to do a certain thing. Contracts come in many forms, including purchase orders, grants, contracts, sub-contracts, licenses, leases, funding documents, applications, extensions and renewals, letters, memoranda of understanding, sales orders, assurances, work orders, emails, professional service agreements, independent contractors, and similar written and oral agreements. These contracts can involve goods and services that the University provides to other parties for compensation (revenue) and goods and services that the University acquires from other parties in exchange for payment. They may also involve agreements by which duties and responsibilities of the parties involved are formally delineated, even though monetary or other valuable consideration may not be involved.

General Ledger (“GL”). General Ledger (GL) in PeopleSoft is the repository for all financial transactions. A GL Code refers to the account code for recording transactions. 

Goods and Services. “Goods” are things consumed or used, while “services” are things performed by a person, business, supplier, or legal entity. Accordingly, as used in procurement policies, “goods and services” means any work, labor, commodities, equipment, materials, or supplies of any tangible or intangible nature provided or performed through a contract that must be processed through Procurement. “Goods” includes goods not in existence when the transaction is entered. “Services” include both personal and professional services. “Goods and services” does not include interests in real property.

Procurement. Procurement is the process of buying, purchasing, renting, leasing, or otherwise acquiring goods and services using University funds and overseeing all functions within the procurement lifecycle, including performing market analysis; identifying or selecting methods of solicitation and sourcing; preparing, evaluating, and awarding contracts; developing and negotiating contracts; contract management, monitoring, and administration; and managing supplier relationships.

Purchase Order (“PO”). A Purchase Order is used to fulfill a requisition or other acquisition and must indicate the good or service’s type or description, quantities, price, etc. The PO may form part of the contract between the University and the supplier. 

Requisition. A requisition is a formal request by a University department to acquire Goods or Services. Requisitions must include appropriate supporting documentation and information needed for processing (the type of good or service, product information, justification forms, supplier information, pricing information like quotes and contracts, etc.). If a requisition does not include sufficient supporting information, Procurement may deny the requisition. Once a requisition is processed, PeopleSoft will generate a Purchase Order.

Supplier. For University procurement policies, unless defined otherwise, a “Supplier” means a person, organization, or business entity that does or seeks to do business with the University by supplying or offering to supply Goods or Services. Unless otherwise stated in an applicable procurement policy, a Supplier does not include students enrolled at the University or University program.

Voucher. A voucher documents performance and requests payment. By submitting a voucher or requesting one to be submitted on the department’s behalf, the department is (i) confirming that goods were bought or services rendered, (ii) authorizing payment, and (iii) identifying the general ledger account where the transaction should be recorded. An invoice or other appropriate documentation should support the payment request.