1. Award Management Services
Procurement Outreach Training
Level II – Orders Up To $50,000
Module B - Special Purchasing Methods
Welcome to Award Management Services’ training module outlining special purchasing methods. We hope to guide you through the different types of procurements possible, and how to get them done with the least amount of pitfalls. When you are done with each slide, forward the training with a click of your mouse.

2. Special Purchasing Options
In addition to an open market procurement, Award Management Services has a few other options available. We have access to previously established contracts, preferred sources, and unique situations where an open market purchase is not feasible. This slide shows details on some of these options. As always, if you don’t find the answer to your question or concern, please give us a call at (518)

3. Special Purchasing Methods
Preferred Sources
MWBE Procurements
NYS OGS Contracts
Single/Sole Source Procurements
Confirming Purchases
This slide shows some of the different methods for procuring goods and services that fall outside of an open market purchase.

4. Preferred Sources
It is the policy of the University that utilization of preferred sources occur whenever possible. Preferred sources should be considered for all purchases.
A Preferred Source is a designated vendor who, in an effort to advance certain social and economic goals, has received special provider status under New York State statute. NYS Correctional Services (CORCRAFT), Industries for the Blind, Industries for the Disabled and the NYS Office of Mental Health are the lead Preferred Source vendors.
By state legislation, our first stop for buying is from a preferred source. These are not simply vendors that we happen to “prefer” but rather those that have been identified as meeting special provider status, with socio-economic benefits to the state. Corcraft is operated out of our state prison system, and give inmates an opportunity to earn money, learn a trade and keep occupied, with rehabilitation in mind. Traditionally, Corcraft has provided case goods furniture, storage cabinets, desks, etc. However, some institutions also offer phone bank services, linen production and tourism help lines. There is no dollar limit as to the amount of goods or services that you procure; just that the item and price meet your form function and utility.
Industries for the Blind employ vision impaired individuals in new your state and provide packaging, assembly and phone services. We now have an online ordering site for office supplies, lab supplies and safety equipment with Industries for the Blind…be sure to register at our web site.
Industries for the Disabled also offers many services at a reasonable price, employing New Yorkers with disabilities in contracts such as window washing, courier services and mailing centers. If you can plan ahead, partnering with these organizations can be beneficial to both!

5. Minority and Women-Owned Business Enterprises (MWBE)
An minority business enterprise is defined as a business owned at least by fifty-one minority group members. In the case of publicly-owned businesses, if fifty-one percent or more of the stock is owned by minorities, then that business also qualifies as a minority-owned business. Minorities include African Americans, Puerto Ricans, Spanish-Speaking Americans, Asian Americans, Native Americans, American Eskimos, and American Aleuts.
A women business enterprise is a business that is at least fifty-one percent owned by women who are United States citizens and who also control and operate the business.
The White House’s Office of Management and Budget Circular A-110 calls for positive efforts to utilize small businesses, minority-owned firms and women business enterprises.
NYS Certified MWBEs can be found by searching the NYS Department of Economic Development located at:
One of the most visible initiatives by Governor Patterson was the emphasis on spending state dollars on minority and women owned businesses. The office of economic development hosts a web site of the vendors and the items that they offer. To make this initiative even more compelling is the procurement threshold without competition; one hundred twenty-five thousand dollars. We still have to advertise in the contract reporter, but the time spent to go out to bid is greatly reduced with this flexibility. Join us at one of our annual MWBE vendor fairs and see what they have to offer, up close and personal. Get your questions answered or plan a project with one of these fine vendors.

6. State OGS Contract
The Office of General Services enters into State Wide contracts for a variety of goods and services.
Award Management Services can utilize OGS State Wide contracts for Research Funded purchases.
The Office of General Services for the state of New York has negotiated many, many contracts with vendors at the best possible prices. Both state and research funded procurements can take advantage of this pricing, and the range of commodities, services and technology is impressive. If you haven’t gone to the website to view the list of contracts, try the link from our purchasing web site or ask an associate to guide you through the process.

7. Single and Sole Source Procurements
Single Source procurement is defined as one where two or more vendors supply the product or service, however, based on reasons such as expertise, availability or warranty issues, one vendor is chosen over the others. The rationale of the selection process must be documented and becomes part of the procurement record.
Sole Source procurement occurs when only one vendor is capable of supplying the product or service required. The rationale of the selection process must also be documented and becomes part of the procurement record.
Sole and single sources are special processes that require pre-approval of the Assistant Vice President/Deputy Operations Manager for Sponsored Programs Administration.
This slide defines a single and sole source procurement; there is a distinct difference and is worth taking the time to understand. An example of a sole source would be if a vendor holds the exclusive right to maintain a piece of equipment die to warranty issues. No other vendor can provide that service. A single source simply means that while there are other vendors available, you can document with surety that one of those vendors is most appropriate for your procurement, based on experience, availability or other factors that you can qualify in writing. These justifications are reviewed in our office and signed by the Assistant Vice President/Deputy Operations Manager for Sponsored Programs Administration.

8. Confirming Purchases
Except under certain instances, confirming purchases are illegal. At the very least, they are considered poor business practice and require additional scrutiny by the Assistant Vice President/Deputy Operations Manager for Sponsored Programs Administration.
A confirming purchase is a purchase commitment made without following the required guidelines and only after the order is placed is a requisition submitted to simply confirm that the order has been placed.
Commitments made directly to vendors without following the purchasing process may violate a Federal or sponsor regulation or requirement. Purchases made outside of the purchasing process may become the liability of the person making the commitment.
Under certain events, most notably that of an emergency repair, there may be instances where a confirming purchase is needed. For example, a technician has been called to the site to fix a failed boiler after hours and discovers that a new part is needed. Rather than following the normal purchasing process the vendor replaces the item and submits a bill for it.
There is no suspension of rules in an emergency. An official emergency must be formally declared by the Campus designee. A procurement process must follow with a justification of the emergency purchase. Before committing personal resources, please contact Award Management Services.
This slide addresses confirming purchases, or those that are made without the benefit of a purchase order produced by Award Management Services. Regardless of the funding source, confirming purchases are a poor business practice and the University discourages this practice. In the case of state funding, the practice is in violation of NY State finance law. This law and other Ethics issues are address in the next level module. In the case of research funding, the end user risks committing funds that are not available, violating sponsor guidelines and is, in fact, creating a personal liability for the value of the transaction.

9. In closing….
There are many levels of procurement, with unique requirements and regulations. Thank you for taking time to review this information.