Section 500.330  Small Purchases

a)         Application

1)         Procurements of $25,000 or less for supplies or services, other than professional and artistic, of less than $20,000 for professional and artistic services, and of $30,000 or less for construction, may be made without notice, competition or use of any prescribed method of source selection.

2)         Any change identified by the United States Department of Labor in the Consumer Price Index, as certified by CMS, for All Urban consumers for the period ending December 31, 1998, and for each year thereafter, shall be used to calculate the small purchase maximums that shall be applicable for the fiscal year beginning July 1, 1999.  The small purchase maximums shall be likewise recalculated for each July 1 thereafter.

b)         In determining whether a contract is under the limit, the stated value of the supplies or services, plus any optional supplies and services, determined in good faith, shall be utilized.  Where the value is calculated month-to-month or in a similar fashion, the amount shall be calculated for a twelve month period.

c)         If only a unit price or hourly rate is known, the contract shall be considered small and shall have a not to exceed limit applicable to the type of procurement (see subsection (a) above).

d)         If, after signing the contract, the actual cost of completing the contract is determined to exceed the small purchase amount, and the Procurement Officer determines that a supplemental procurement is not economically feasible or practicable because of the immediacy of the agency's needs or other circumstances, the Procurement Officer must follow the procedures for sole source or emergency procurement, whichever is applicable, to complete the contract.