The purpose of this policy is to ensure the timely, efficient and economic procurement of goods and services within the guidelines of good business practices and the judicious use of APTA funds.
a. This policy applies APTA, NATSA, and APTF.
b. This policy applies to all procurement actions regardless of funding source and payment method.
c. As a recipient of Federal funds, APTA must adhere to the Federal Acquisition Regulations for federally funded procurements and comply with CF2-200, Uniform Administrative Requirements, Cost Principles and Audit.
a. 2 C.F.R. Part 200.320: “Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards”
b. FTA Circular 4220.1f: “Third Party Contracting Guidance”
c. APTA Out-of-Budget Policy
d. APTA Signature Authority Policy
Definition: An expense means charges made by a non-Federal entity to a project or program for which a Federal award was received.
Term: Best Value
Definition: Best value describes a competitive, negotiated procurement process in which the recipient reserves the right to select the most advantageous offer by evaluating and comparing factors in addition to cost or price such that a recipient may acquire technical superiority even if it must pay a premium price.
Definition: Contract means a mutually binding legal relationship obligating the seller to furnish the supplies or services (including construction) and the buyer to pay for them. It includes all types of commitments that obligate the recipient to expenditure and that, except as otherwise authorized, are in writing. In addition to bilateral instruments, contracts include (but are not limited to) awards and notices of awards; job orders or task letters issued under basic ordering agreements; letter contracts; orders, such as purchase orders, under which the contract becomes effective by written acceptance or performance; and bilateral contract modifications. Contracts do not include grants and cooperative agreements covered by 31 U.S.C. 6301, et seq.
Term: Full and open competition
Definition: Full and open competition means that all responsible sources are permitted to compete.
a. Program Manager/Contract Manager
- Follow procurement regulations and guidelines, approved APTA financial policies and completes appropriate procurement template
- Consult approved vendor lists prior to purchasing goods and services, appropriate.
- If contract is needed, complete contract template forms.
- Approves expenses within signature authority limits (see APTA Signature Authority Limit Policy). If contract amount is above signature authority limits, receive supervisor approval prior to submitting to finance personnel.
- Checks the System for Award Management to ensure selected contractor is qualified to bid on the contract. The SAM system is located at: https://www.sam.gov. This applies to expenses supported by federal funds only.
b. Finance Personnel
- Complete contract review template appropriate for the contract request from the Program Manager/Contract Manager.
Ensures appropriate procurement template is completed
c. Chief Counsel
- Reviews contracts to ensure legal sufficiency.
- Double checks contractor’s qualification to bid.
d. Approves transmission of contract to Chief Financial Officer
- Ensures appropriate contract and procurement template is complete and reviews content.
- Ensures contract is consistent with budgeted expense.
- Approval final executive of contracts consistent with Contract Signature Authority policy.
- Approves all sole source justifications regardless of cost.
APTA staff may receive bids to procure goods and services through telephone calls, emails or quotes. If a bid is verbal, the staff member must memorialize the information and receive concurrence regarding the terms from the contractor/bidder. All agreements for services with individuals and/or organizations must be covered by a contract.
For all office expenses, staff must utilize approved vendors. These vendors have been prequalified based on a procurement process as follows; up to $50,000, two bids were obtained, over $50,000, three bids were obtained. Such contracts must be reviewed every three years to ensure best value is maintained.
For professional services contracts, staff may approve within their contract limit authority and these services may be prequalified such as a subject matter expert and will be selected based on the most qualified firm, subject to price negotiation. To ensure open and fair competition, the following number of quotes/bids are required:
- Cost between $3,500 - $50,000: two competitive quotes/bids.
- Cost between $50,000 - $100,000: three competitive quotes/bids.
- Contracts in excess of $100,000: Request for Proposal (RFP) is sent to at least three sources and receive at least two bids.
If despite the best efforts, there is only one response to RFP, staff may accept the single bid with appropriate documentation.
APTA’s preference is to award contracts and subcontracts based on adequate price competition. A competitive environment provides the maximum opportunity for our community of suppliers and subcontractors and is the best and most transparent assurance of a fair deal for APTA. Still, we recognize that valid circumstances exist where limiting award consideration to a single company is in the best interests of APTA. In these instances, we will use the rationale you provide to evaluate the factor(s) supporting the decision to source this requirement to a single company. In addition, sole source contracting requires a price justification to determine if the fee is reasonable in the market place and the President/CEO must approve all sole source contracts.
Certification of Secretary/Treasurer
I hereby certify that the above “Procurement Policy” was adopted by the Board of Directors of APTA at a properly called meeting with an appropriate quorum present.
This 11 day of March, 2017
Printed name: Kim Green
Signature: ______Signature on file______________
Acknowledgment of APTA Chair
This 11 day of March,
Printed Name: Doran J. Barnes
Signature: _______Signature on file_____________