Competitive Thresholds

Alaska Statutes and University Procurement Regulations require that all purchases over $10,000 be competed to ensure that the University is getting the best value as it procures goods and services to support it's mission. The process includes, written or verbal specifications submitted to potential vendors or contractors requesting them to submit pricing via an informal quote or proposal (for items $10,000 to $100,000) for goods or non-personal services; or a formal Bid or Request for Proposal for goods, non-personal or professional services over $100,000.

A University procurement officer will develop specifications and/or scope of work based on their understanding of the departments needs submitted on the requisition, backup and any subsequent discussions. A standard amount of time is given for vendors to respond to University solicitations. Sometimes changes to the original quote, bid or proposal are necessary and an amendment is prepared. This will usually allow the vendors additional time to respond to the new terms of the solicitation. Be sure to plan ahead for larger dollar purchases as they often take much longer than smaller purchases.

Following is a listing showing what type of competition will be required depending on whether you want a commodity or a service and the dollar amount.

Goods and Non-Personal Services

Amount of Purchase Order or Award

Required Procurement Action

$1 to $10,000

No required competition.
Purchase made as needed per the best judgement of the Department and Procurement Services.

$10,000 to $100,000

For goods:  Competition through a request for quotation.
For non-personal services:  Competition through a request for quotation or informal proposal.

$100,000 and up

For goods and non-personal services:  Formal solicitation through a request for proposal or invitation for bid.

Professional Services

Amount of Purchase Order or Award

Required Procurement Action

$1 to $100,000

No required competition.
Purchases made as needed per best judgement of the Department and Procurement Services

$100,000 and up

Formal solicitation through a request for proposal or invitation for bid.