Section 4.2020  Small Purchases

a)         When making a small purchase, the university shall ensure maximum reasonable competition and promote small businesses, diversity, transparency and other statutory policies. For all small purchases of $20,000 or more, quotes must be sought from at least three vendors whenever practical, be in writing, and be maintained in the procurement file.

b)         Small Purchase Threshold

1)         Individual procurements of $100,000 or less for supplies or services, other than professional and artistic, may be made without the notice or level of competition otherwise required of competitive sealed solicitations.

2)         Procurements for construction and construction-related services of $100,000 or less may be made without the notice or level of competition otherwise required of competitive sealed solicitations.

3)         Procurements of $100,000 or less for professional and artistic services and that have a nonrenewable term of one year or less may be made without the prior notice or level of competition otherwise required of competitive sealed solicitations. Notice of award of these small professional and artistic service contracts must be published in the Bulletin within 14 days after contract execution, and shall include the name of the SPO, reason for the exception, description of the procurement, name of the university decision maker, contract reference number and contract price.

c)         Determination and Application of CPI

1)         Each April the CPO-HE will determine the CPI adjustment to the small purchase thresholds applicable to the next fiscal year.

2)         If the CPI is greater than zero, the thresholds identified in Section 20-20(a) of the Code will be reduced in an amount that, with the CPI increase, would result in the small purchase thresholds remaining as stated in subsection (b).

3)         By July 1, 2019 and every five years thereafter, the CPO-HE will review the small purchase thresholds to determine if a modification to the thresholds is needed. If a modification is needed, the CPO-HE shall consult with the Procurement Policy Board.

d)         Determination of Small Purchase Status

1)         In determining whether a contract is under the small purchase limit, the stated value of the supplies or services, plus any optional supplies and services, and the value of any renewals, determined in good faith, shall be utilized.  Trade-in value is not to be considered in determining whether a contract is under the small purchase limit.  When the value is calculated month-to-month or in a similar fashion, the amount shall be calculated for a 12 month period.

2)         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)).

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

e)         Purchases shall not be artificially divided so as to avoid a competitive procurement.

f)         Repetitive Need

If there is a repetitive need for small procurements of the same type (which may be evidenced by a pattern of small purchases, as determined by the university or the SPO), the university shall consult with the SPO to consider whether issuing a competitive sealed bid or proposal for procurement of those needs is in the best interests of the State.

(Source:  Amended at 44 Ill. Reg. 3884, effective March 13, 2020)