Methods of Procurement

Methods of Procurement

Generally, RHA procurement activities follow these guidelines:

Micro Purchases - Purchases of goods and services up to $2,000 require one reasonable quotation.

Small Purchases - Informal solicitations for most purchases estimated to be between $2,000 and $50,000 for construction and between $2,000 and $25,000 for goods and services, the Purchasing Staff will issue a request for quotations to qualified sources. Quotations will be received until the specified day and time indicated on the request. Contract award will be made to the best value offer.

Contracts estimated over $10,000 will be advertised and available upon request through this website and in the RHA Procurement Office.

RHA will only solicit sources for contracts estimated to be under $10,000. The best way to be solicited for a contracting opportunity under $10,000 is to be listed in the RHA Contractor Database.

Sealed Bids - Formal solicitation of an "Invitation for Bids" (IFB) is used for purchases of goods and services estimated at $25,000 or more and construction projects estimated at $50,000 or more. All formal competitive solicitations are publicly advertised in a local newspaper, on this website, and in the RHA Procurement Office. In addition, IFBs are usually mailed directly to potential offerors from the RHA Contractor Database. Contracts will be awarded to the lowest reasonable and responsible bid. Public bid openings are held in RHA's Procurement Office at the specific time and date stated in the IFB. During the bid opening, only the name of the vendor and total amount is read aloud. Vendors are welcome to attend the bid openings.

Request For Proposals - Formal solicitation for a Request for Proposals (RFP) is used for purchases of goods and services estimated at $25,000 or more. An RFP is used when it is necessary to base award on factors other than just cost, such as with most professional services. The RFP shall clearly define factors used to determine the successful provider. Award will be based on the "best value" not on the lowest price. The "best value" is usually the most qualified source that is willing to provide services at a reasonable cost.

Sealed bids and proposals must be received and time stamped by the Procurement Department prior to the submittal deadline. All late bids/proposals are returned to the offeror without being opened.