Sample Procurement Procedures

Type of Procurement Action / Requirement
Goods and Contract Services
Purchase of goods or services $0 - $2,499 / 1. Approval from grantee’s executive director or fiscal officer indicates price reasonableness.
Purchase of goods or services $2,500 - $14,999 / 1. A competitive process is required. A minimum of three verbal quotations must be requested and documented.
2. In the event that the lowest bid is not selected, or if only one quote is received, grantees are required to document price reasonableness.
3. Grantees may use agency forms, or may use the following forms developed by the project for record keeping: Record of Verbal Quotation, Determination of Price Reasonableness.
Purchase of goods or services $15,000 and above / 1. A competitive process is required. A minimum of three written quotations must be requested and documented.
2. In the event that the lowest bid is not selected, or if only one quote is received, grantees are required to document price reasonableness.
3. Grantees may use agency forms, or may use the following forms developed by the project for record keeping: Request for Written Quotation, Determination of Price Reasonableness.
Sole source purchase of goods or services $2,500 and above / 1. When a competitive bidding process is impractical because only one product/service will meet the need and that one product/service is only offered by one vendor, justification for a sole source purchase must be documented.
2. Price reasonableness must also be demonstrated and documented.
3. Grantees may use agency forms, or may use the following forms developed by the project for record keeping: Sole Source Justification, Determination of Price Reasonableness.
Equipment ($5,000 and above)
Competitive purchase of equipment $5,000 - $14,999 / 1. The purchase of equipment requires prior approval from the Federal Grants Officer. Therefore, the Equipment Purchase Request form must be completed and submitted to the Compassion Capital – Hawaii Moving Forward Project Coordinator. To expedite the approval process, forms should be faxed to XXX-XXX-XXXX.
2. A competitive process is required. A minimum of three verbal quotations must be requested and documented.
3. In the event that the lowest bid is not selected, or if only one quote is received, grantees are required to document price reasonableness.
4. Grantees may use agency forms for Steps 2 and 3, or may use the following forms developed by the project for record keeping: Record of Verbal Quotation, Determination of Price Reasonableness.
Competitive purchase of equipment $15,000 and above / 1. The purchase of equipment requires prior approval from the Federal Grants Officer. Therefore, the Equipment Purchase Request form must be completed and submitted to the Compassion Capital – Hawaii Moving Forward Project Coordinator. To expedite the approval process, forms should be faxed to XXX-XXX-XXXX.
2. A competitive process is required. A minimum of three written quotations must be requested and documented.
3. In the event that the lowest bid is not selected, or if only one quote is received, grantees are required to document price reasonableness.
4. Grantees may use agency forms for Steps 2 and 3, or may use the following forms developed by the project for record keeping: Request for Written Quotation, Determination of Price Reasonableness.

Used with permission by the Hawaii Moving Forward program.