Colorado
School of Mines
Information regarding
Changes to Procurement
Rules and Processes

Procurement Changes
Procurement Rule changes effective
October 1, 2016.
 Purchases <$5,000
 Bid Thresholds/Quotes
 Exclusions/Exemptions
Procurement process changes effective
October 1, 2016.
 Shipping
 Change Orders

Purchases Using Sponsored Funds
A good indicator of using sponsored funds is
a Program Code of 1200 or an Index starting
with a 4.

Purchases <$5,000 (including
FPOs)
Previously: Use Pcard or PO. Create a Purchase Req, submit to
Procurement, PO created, submit invoice to Accounts
Payable, payment sent to vendor.
Now: Use Pcard or direct pay process. Submit a voucher
request to Accounts Payable, payment sent to vendor.

Bid Thresholds
Previously: Goods >$10,000, Services >$25,000.
Now: Goods and Services >$50,000.
Reduces the number of bids that will be required.
Purchases >$50,000 will not need to be posted for public
competition for 3 days.
May still request a solicitation process if desired.

Quotes
(Purchases between $3,500 and $50,000)
Previously: Quotes have not been required. No previous
requirement by regulations.
Now: Require at least 3 quotes for purchases >$3,500.
Required by Uniform Guidance.
Provides compliance with federal regulation and
competitive pricing.
Indication of sponsored funding is: Program Code 1200 or
Index starting with a 4.

Purchases Using Funds Other Than
Sponsored Funds
Every purchase not related to sponsored
funds.

Purchases <$5,000 (including
FPOs)
Previously: Use Pcard or PO. Create a Purchase Req, submit to
Procurement, PO created, submit invoice to Accounts
Payable, payment sent to vendor.
Now: Use Pcard or direct pay process. Submit a voucher
request to Accounts Payable, payment sent to vendor.

Bid Thresholds
Previously: Goods >$10,000, Services >$25,000.
Now: Goods and Services >$50,000.
Reduces the number of bids that will be required.
Purchases >$50,000 will not need to be posted for public
competition for 3 days.
May still request a solicitation process if desired.

Quotes
(Purchases between $10,000 and $50,000)
Previously: Quotes have not been required. No previous
requirement by regulations.
Now: Require at least 3 quotes for purchases >$10,000.
Savings identified when 3 or more prices were provided for
procurements <$50,000.
Provides competitive pricing.
Indication of sponsored funding is: Program Code 1200 or
Index starting with a 4.

Exclusions/Exemptions
Previously: Nine types of purchases were exempted from the
competitive solicitation process.
Now: 13 new exclusion were added as exemptions from the
competitive solicitation process. Exemptions do not apply to
purchases using sponsored funds.
Brief description of new exclusions on handout.
See Procurement Rules for additional information and
requirements.

Procurement Process Changes

Procurement Procedure
Changes
Shipping: Shipping/Freight should now be included on
purchase requisitions as a separate line item with the
appropriate account code (5527). Will appear on PO as a
separate line item.
Change Orders: Change Orders will now be treated similar to
any Purchase Order request. In order to ensure compliance
with internal controls and adequately documentation to
support the transaction.

Steps to Process a Change
Order
Review Consideration Information
Get quote or estimate from vendor for amount/ information for
change request
Complete Change Order Requisition
Obtain your Financial Manager approval on form or electronically
Send to Purchasing via the Procurement@mines.edu Inbox
Purchasing will complete Change Order in Banner
Purchasing will send Change Order to requestor and vendor

Resources
Procurement Services:
Website: http://inside.mines.edu/Procurement_Services
Email: Procurement@mines.edu