Non-Competitive Purchases

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Policy Number:
UW-3058
Old Policy Number:
PPP 19
Responsible Office:
Purchasing Services, Division of Business Services

University Policy

Rationale/​Purpose:

The purpose of this policy is to establish requirements when awarding a non-competitive contract to a supplier for goods or services.

 

Definitions:
Procurement lead
Procurement professional assigned within Purchasing Services to facilitate request.
Sole source
The only source that can provide the product or services required.
Policy:

Non-competitive procurement may be used to purchase a product or service that can be obtained only from one source. The requester must demonstrate, and UW–Madison Purchasing Services’ assigned Procurement Lead must concur that only one source exists, that the price is reasonable, and that noncompetitive negotiation is in the best interests of the institution. UW–Madison employees have the responsibility to promote maximum competition in selecting sources and awarding procurement contracts.

The requester must complete the appropriate Non-Competitive Purchasing Request Form, as required by UW–Madison Purchasing Services. Purchasing Services will determine the applicable source of procurement authority from the following:

The source of procurement authority will determine dollar thresholds associated with the review and approval process as follows:

State of Wisconsin:

  • For purchases of $5,000 or below see UW-3042 - Best Judgement Purchases
  • For purchases between $5000 and $25,000, UW–Madison Purchasing Services has delegated authority to approve non-competitive purchases with the appropriate justification as specified in the State of Wisconsin Procurement Manual section PRO-501.
  • For purchases at $25,000 and above, State of Wisconsin purchasing statutes require approval and signature by the Governor as specified in the State of Wisconsin Procurement Manual section PRO-210.The request to waive bidding is submitted to the State Bureau of Procurement and facilitated through UW–Madison Purchasing Services.

Board of Regents of the University of Wisconsin System:

The University must follow UW System Administrative Policy 540 unless an exclusion is provided by UW System Administrative Policy 522. The following dollar thresholds apply to the review and approval process which must precede the contract’s execution by the parties:

  • Non-competitive contracts valued up to $149,999 shall be approved and signed by the UW–Madison Purchasing Director.
  • Non-competitive contracts valued at $150,000-$499,999 shall be approved by the UW–Madison Vice Chancellor for Finance and Administration and signed by the Purchasing Director. The Vice Chancellor for Finance and Administration at UW–Madison may delegate this approval authority to their Associate/Assistant Vice Chancellor for Finance and Administration.
  • Non-competitive contracts valued over $500,000 shall be approved by the UW–Madison Vice Chancellor for Finance and Administration and reviewed by the UW–Madison Office of Legal Affairs prior to contract signature.

Non-competitive contracts valued over $1,000,000 must be reviewed by the Office of Legal Affairs and approved by the following:

  • Director of Purchasing Services or their delegated approver, and
  • Vice Chancellor for Finance and Administration or their delegated approver.
    Regent Policy Document 13-1 and Regent Policy Document 25-4 further define if additional approval by the Chancellor, System President, or Board of Regents is necessary.

Contact UW–Madison Purchasing Services to discuss the request and/or the required materials for completion.

Related UW-Madison Policies:
Related UW–Madison Documents, Web Pages, or Other Resources:

Non-Competitive Purchasing Request Form 

External References:

Policy Administration

Approval Authority:
Assistant Vice Chancellor of Business Services and Controller
Policy Manager:
Director of Purchasing Services
Contact:
Purchasing Services -- Purchasing Services, purch@bussvc.wisc.edu, (608) 262-1526
Effective Date:
08-13-2007
Revised Dates:

11-23-2021, 04-14-2023, 03-18-2025

Retrieved:
04-24-2025 22:14:23