105 - Authority
Procurement Services 105: Procurement Authority
Purpose
To provide guidelines to university employees regarding their authority to make purchases or sign contracts.
Reference
Definitions
Delegated Authority: The permission given to individuals to make commitments on behalf
of the university that has been authorized in writing or by policy.
Procurement Officer: The individual acting within their formal delegated authority
Policy
Authority and Delegation The President of the University and the Chief Procurement Officer (CPO) are the individuals
directly authorized to make purchases, contracts, and related commitments of University
funds. The President and the CPO delegate their authority, except as prohibited by
law, to the campus procurement officers. Campus procurement officer may re-delegate
authority unless otherwise prohibited.
No person may make purchases or commitments unless they have been delegated specific
procurement authority in writing or by policy. No personnel may make purchases outside
of or in excess of their specific delegated authority. No purchase or contract shall
be entered into unless the procuring official ensures that all requirements of law,
executive orders, regulations, and all other applicable procedures, including approvals,
have been met.
Under the policies contained in this section, Procurement Services is the final authority at UAA for the selection of vendors and the sole authority
for the commitment of UAA funds with respect to the procurement of goods and services.
The Director of Procurement Services is responsible for the interpretation and administration of purchasing policies.
Authority Delegated by Policy On campus departments have a delegated expenditure authority to make small value
purchases by the following methods:
- Petty Cash for purchases that do not exceed $100 (Finance 301: Petty Cash Funds)
- Direct Payment for selected categories of purchases that do not exceed $2,500 (Finance 302: Direct Payments)
- Employee Reimbursements for selected categories of purchases that do not exceed $2,500 (Finance 303: Employee Reimbursements)
- Procurement Card for purchases that do not exceed $2,500 (Procurement Card Forms and Information)
Departments must observe the requirements, restrictions and thresholds associated
with any of these methods. Individuals exercising small value purchasing authority
are expected to read and follow the related policies.
The authority threshold is for the total purchase, not for individual items. Splitting
purchases to avoid exceeding the departmental delegation of authority or to avoid
processing the purchase through Procurement Services is not permitted (e.g. with a
procurement card, you cannot purchase ten $2,500 items for a total of $25,000). For
procurements over this threshold and by other purchasing methods, only Procurement
Services has the delegated authority to make these purchases.
Effective: 10/25/2005