10.4 Purchasing Procedures and Quote Process

All of the services and goods purchased by DVR shall be essential to assess an individual’s eligibility and severity of disability, to establish the individual’s vocational rehabilitation needs, to overcome or circumvent vocational impediments, or to attain the individual’s chosen employment outcome. When purchasing any good or service, the DVR counseling team will first check for any applicable state price agreements to determine if there is a vendor under a state price agreement that meets the needs of the individual. However, the state price agreement is not required to be used if the goods or services can be purchased with another vendor at least possible cost or if the use of the state price agreement would delay services. State price agreements can be searched at: https://www.bidscolorado.com/co/portal.nsf/xpPriceAgreementsByCategory.xsp

Purchase of goods or services that cost $5,000 and above shall require comparing quotes with the exception of:

• Customized, prescriptive equipment requiring a fitting.

• The purchase of goods or services at a cost that does not exceed the rate established in DVR’s Fee Schedule.

Customized, prescriptive equipment requiring a fitting may include vehicle modifications, prosthetics, specialized wheelchairs, and similar equipment requiring an individualized fitting to ensure safety/effectiveness. Equipment requiring only adjustments among standard settings (e.g., crutches or walkers) will typically not be considered to be customized.

Additionally, the purchase of out-of-state and/or private school tuition exceeds the rate established in the Fee Schedule and informal bid procedures must be documented to demonstrate least possible cost.

1. $4,999 and less

DVR counselors are authorized to purchase goods and services that cost $4,999.99 or less without any formal procurement requirements beyond DVR’s policy of procuring necessary and appropriate goods and services at the least possible cost. (DVR Intake Technicians, PreETS Technicians, and Counselor Interns may authorize up to $3,999.99.) When purchasing goods or services without an established rate in the Fee Schedule, the service record shall include documentation of research completed to ensure the least possible cost.

2. $5,000 - $7,999.99

Purchases of $5,000 to $7,999.99 require the counseling team’s documentation of at least three written quotes to ensure least possible cost for the necessary and appropriate good or service.

3. $8,000 - $9,999.99

Purchases of $8,000 - $9,999.99 require written approval by the District Supervisor. The supervisor will review and document their approval in the service record prior to issuing the authorization.

4. $10,000 - $49,999.99

Purchases of $10,000 - $49,999.99 require written approval by a Regional Manager. The District Supervisor shall first review and approve the request as outlined in the prior approval level. The Regional Manager shall then review all information and document their approval in the service record, if appropriate, prior to issuing the authorization.

5. $50,000 and above

Purchases of $50,000 and above shall additionally require approval by the Assistant Director of Field Services. The Assistant Director shall review all information as provided in the prior approval levels and document their approval in the service record, if appropriate, prior to issuing the authorization.

Three written quotes shall be obtained, when available, prior to authorizing goods and/or services costing $5,000 and above. If the individual chooses a provider who appears on a state bid award, two additional bids are not needed. However, purchase of a good or service through the state price agreement is not required if the good or service can be purchased with another vendor at the least possible cost. Quotes shall be in writing, provide specifications when applicable, and shall be for the same or comparable items.

The DVR counseling team shall document the quotes in the service record, provide justification if the chosen provider is not the lowest cost, and give an explanation of why three quotes are not available, if applicable.

Quotes are not required for the purchase of customized, prescriptive equipment requiring a fitting or the purchase of goods or services at a cost that does not exceed the rate established in DVR’s Fee Schedule. Purchases of $5,000 or more for these items shall follow the supervisory approval process without the requirement to document multiple quotes. In these situations, the DVR Counselor may obtain quotes when necessary to determine least possible cost.

Authorizations shall not be issued until the appropriate approvals have been obtained. Payment shall be made only after receipt of an invoice for goods or services provided in accordance with the authorization and other supporting documentation required by DVR’s bill payment procedure. All authorizations, supervisory approvals, associated amendments to the authorization, and invoices shall be maintained in the service record, along with documentation that the good or service was received.

For goods, any of the following is sufficient:

• The agency-approved form for receipt of state equipment signed by the individual.

• A receipt from the retailer signed by the individual.

• The invoice signed by the individual.

• An email from the individual indicating goods were received.

• Documentation in the service record that the agency bill-payer received verbal verification from the individual.

For services:

• A progress report from the provider.

If there is only one good or service that can reasonably meet a vocational rehabilitation need and only one vendor who can reasonably provide that good or service, rationale for a sole source procurement shall be explained and documented as part of the least possible cost analysis.