ASG’s Chief Procurement Officer (CPO), Ti’alemasunu Dr. Mikaele Etuale, has explained that the new emergency rule increasing the small purchase threshold from $10,000 to $25,000 was first put out for notice on April 18th, this year.
Upon expiration of the initial Emergency Rule, said the CPO, “we felt it necessary to implement the Emergency Rule #2022-0002 to keep the small purchase threshold at $25,000 especially since we are still processing payments for COVID-related purchases.”
He added that the small purchase threshold has not changed since Procurement Rules were first promulgated in 1984.
“Taking this into account, along with the increase in prices across the board with all commodities and services, and after monitoring the Emergency Rule for the past few months, we have filed Notice to make this permanent Rule Change, which is now open for comment.”
Under the emergency rule, “Any procurement with a dollar value of $10,000.01 to $25,000 shall be competed by soliciting three (3) quotes which may be done by the requesting department, the Office of Procurement, or joint effort between the two. “
This means the procurement of goods and or services with a value between the stated amounts doesn’t have to follow the normal bidding process.
One quote only is required for any procurement for $10,000 or less, but departments have to rotate vendors.
