BPS Procurement Directive Implementation Guidebook

10.3.2.3. Competitive Procurement ThresholdsDirective Mandatory Requirement #3: Competitive Procurement ThresholdsOrganizations must conduct an open competitive procurement process where the estimated value ofprocurement of goods or services is $100,000 or more. The exemptions must be in accordance with theapplicable trade agreements.Organizations must competitively procure consulting services irrespective of value. The exemptions must bein accordance with the applicable trade agreements.Organizations must not reduce the overall value of procurement (e.g., dividing a single procurement intomultiple procurements) in order to circumvent competitive procurement thresholds.Organizations are strongly encouraged to utilize competitive methods for procurement of goods and nonconsultingservices with an estimated value of less than $100,000.The Directive requires Organizations to establish and document rules of procurement of goods and nonconsultingservices with an estimated value of less than $100,000. The table below provides an example ofsuch rules; in the table, mandatory total procurement value limits and means of procurement are specified as“Required.”Goods and Non-Consulting Services and ConstructionTotal Procurement Value Means of Procurement Recommended/Required$0 up to but not including $100 Petty cash Recommended$100 up to but not including $3,000 Procurement card (P-Card) Recommended$3,000 up to but not including $10,000 Purchase order Recommended$10,000 up to but not including $100,000 Invitational competitive Recommended$100,000 or more Open competitive RequiredConsulting ServicesTotal Procurement Value Means of Procurement Recommended/Required$0 up to but not including $100,000 Invitational/open competitive Required$100,000 or more Open competitive RequiredPage 12