Single Requirement (1-time), Small Dollar Product Purchases
Single requirement product needs that are under $2,500 in total value, inclusive of tax, delivery and any add-on costs (such as installation and maintenance) may be directly purchased by City departments through the use of a City procurement card.
All single requirement (1-time) purchases over $2,500 in value are to be made by the Purchasing Division, as well as lesser cost purchases, as may be requisitioned by City departments. Single requirement (1-time) purchases between $10,000 and $90,000 may be obtained by seeking at least 3 documented quote responses and purchases over $90,000 require formal, competitive bid/proposal solicitations.
Repetitive Purchase Items
Products and/or services, which are repetitively purchased by City departments, are solicited and awarded as annual or multi-year term contracts.
Term contracts will result in a Blanket Term Contract or Issue based supplier/provider agreements.
Under Blanket Term Contract-based agreements, a specific contract number is issued at the start of the contract period and allows City departments to directly draw materials or receive provider services. The contracted supplier will stock the contract awarded City products at their outlet facility for "as needed" delivery and/or pick-up by authorized personnel within City departments. In some instances, a City bid/proposal solicitation may also identify that the resulting contract(s) may be cooperatively used by other public entities. The City on a monthly basis normally pays purchases made by the City of Durham for term contract items.
Under issue-based term contracts, the City Purchasing Division issues a separate purchase order for each purchase made under the contract. Issue-based term contracts are used for products and/or services, which require oversight review and approval of each purchase to ensure compatibility or standardization or for high priced items.