Procurement Policy Definitions


For purposes of this policy summary, any agreement that contains an exchange of promises, or undertakings between the university and another person or entity, relative to the university’s procurement of goods and services or the university’s disposal of university property, that binds or purports to bind the university and the other party to reasonably specific terms and conditions to be binding upon the university. All such contracts are subject to prior review and approval by university Counsel and to execution by the Chief Financial Officer and Treasurer or his/her designee.

Authorized Signatory

Approval authority required to execute financial transaction forms (i.e. purchase requisition, financial impact form, etc.) prior to submission for processing. Refer to Policy 5.20.14 and Policy 5.20.15 and Policy 04.50.01 for further detail.

Capital Expenditure Request (CER) Order

Orders which commit university capital funds.

Disadvantaged Business Enterprise (DBE)

Small businesses that are owned or controlled by a majority of persons, not limited to members of minority groups, who have been deprived of the opportunity to develop and maintain a competitive position in the economy because of social disadvantages.

Minority or Woman Business Enterprise (MBE/WBE)

A business that is sole proprietorship owned by a woman or minority, or a partnership, joint venture or corporation where at least 51% of the business interest is held by a woman or minority.

Responsive, Responsible Bidder

A firm that has adequately responded to a request and has demonstrated the ability to meet all aspects of the specifications for bid.

Sole Source

Sole Source procurement refers to non-competitive purchases where there is only one single source that provides a unique product or service.  This should be the exception rather than the rule. Justifications for sole source include:

  • Unique expertise or technology leadership
  • Patent protection or copyrighted materials which are only available from patent or copyright holder
  • Supplier is named by funding source where identical equipment is required for continuity of research
  • Replacement parts or services which are required from the Original Equipment Manufacturer (OEM) to insure compatibility and consistency of equipment
  • Market studies/surveys result in no suitable competitor to exercise the competitive bidding process

Preference or prior history for one vendor does not constitute a sole source.