Dollar Limitations
Dollar Limitations for Purchasing of Commodities (EE, FF, KK, LL and UU)
Simply stated, the rules pertaining to dollar limits are as follows:
1. Orders under $1,000 Departments are required to use the Procard.
It costs the University approximately $100 to process a requisition. Therefore, it is recommended that all departments use the Procard for any purchases under $999.99. Unless the selected Vendor does not accept credit cards, then a purchase request is necessary.
The Procard, or the Purchasing Credit Card, is a University tool that streamlines the purchasing process. The Procard benefits both the University and the department by reducing paperwork and processing costs. Check the Procard section for more information.
Definition of Equipment:
Inventory (Fixed Assets): Dollars referenced herein are based on the Unit Net Cost, after any discount that may be offered has been taken. Any equipment item with a Unit Net Cost of $1,000 or greater will be tagged for inventory purposes. Departments are responsible for maintaining their own internal inventories of equipment with a Unit Net Cost of at least $100, but less than $1,000. Faculty/staff shall not remove any item of equipment from the campus without proper written authorization. Contact the Property Department at 75442 or 75067 for forms and guidance.
Questions concerning the use of account codes for equipment should be directed to Tom Marchitelli at 75067.
CAPITAL AND NON-CAPITAL EQUIPMENT
DEFINITIONS:
Capital Equipment – Any tangible piece of Property with a unit cost of $1000 or more with a depreciable life of two years or more.
Non-Capital Equipment – Any tangible piece of Property with a useful life of two years or more. Dollar value greater than $100 less than $999.99.
Please note that supplies or accessories must be charged to the appropriate account code.
RESPONSIBILITIES:
INVENTORY – All Capital Equipment received through the Central Dock is tagged for Inventory purposes. Departments are responsible for notifying the Receiving Department in writing of any equipment picked up by them or shipped directly to them by the vendor.
Faculty and Staff shall not remove any equipment from the campus without an approved Property Pass (temporary) or Surplus Form DPGS 25 (permanent).
Contact the Property Department at 75080 or 75067 for forms and guidance.
2. Over $1,000 up to $5,000: Departments are required to check pricing from various vendors, before making up the requisition. Pricing of any product can fluctuate; therefore, it is best to check a few places before making your mind up.
3. Over $5,000: Trustee regulations under fiscal autonomy require that material totaling more than $5,000 be submitted on requisitions, and that formal bids, in writing, be obtained. The only exception to this is material covered by State, University, or MHEC Contracts.
The above figures represent "total dollars" (the total value of the requisition), not the value of each respective item. Orders should not be split to avoid the bidding process.
Download the Justification for Sole Source and Sole Acceptable source/Brand form (.pdf) (.doc)
Download property pass form (.pdf) (.doc)