1|Page
lOMoAR cPSD| 60399657
Introduction to Procurement Handout
Principles of business ethics, internal controls and
corporate governance (University of Nairobi)
1|Page
,
, lOMoAR cPSD| 60399657
Introduction to Procurement
Course Objectives
In this module you will learn about the state procurement program and how to make micro purchases.
You’ll also learn about some goods and services that require special procedures.
Level 1 Purchases
Level 1 purchases are needed goods and services valued at less than $10,000. We call these “micro
purchases.”
What is Procurement?
Procurement is the process of acquiring goods and services by purchasing, renting, or leasing. The
procurement process includes preparing specifications and solicitations. The procurement process also
includes evaluating bids and proposals, awarding contracts, and contract administration. A solicitation is
a document that describes what you need and gives vendors instructions for responding.
The State spends a significant amount of money through the procurement process. So, it is important for
employees who purchase for state agencies and institutions to know and comply with the procurement
laws, rules, policies and procedures.
Overview of the State Procurement Program
N.D.C.C. Chapter 54-44. 4, N.D.A.C. Article 4-12
N.D.C.C. section 15-10-17 State Board of Higher Education (SBHE)
The Office of Management and Budget or “OMB” is the state agency that administers procurement for
the executive branch of government, excluding institutions under the jurisdiction of the State Board of
Higher Education. The State OMB promulgates rules related to state procurement practices. The State
Procurement Office (SPO) is the section within OMB responsible for state procurement.
Higher Ed
The State Board of Higher Education has the authority to determine purchasing policies for the North
Dakota University System in coordination with OMB. The State Board of Higher Education establishes
procurement policies, and the North Dakota University System establishes purchasing procedures. Each
Higher Education institution develops internal procedures.
Throughout this training we will refer Office of Management and Budget as “OMB” and the State Board
of Higher Education as “Higher Ed.”
Procurement Manuals
The State Procurement Office has published guidelines related to State Procurement. As a procurement
officer, you need to be familiar with these guidelines. This training is based on the State Procurement
level 1 manual. You can find these guidelines on the OMB website: http://www.nd.gov/omb. Keep this
manual handy and up to date.
, lOMoAR cPSD| 60399657
State Procurement Office
The State Procurement Office provides a wide array of purchasing services and focuses on purchases that
represent a significant dollar value. State Procurement establishes state contracts for commonly used
goods and services. You will learn more about these state contracts during this Level 1 training.
The State Procurement Office also:
• Purchases for agencies and institutions
• Develops purchasing forms and templates
• Conducts procurement training
• Maintains online procurement resources, and
• Provides assistance to agencies and institutions
Agency Assignments
A State Procurement Officer has been assigned to help your agency or institution. Visit the OMB website
for a of the State Procurement Office agency assignments. Don’t hesitate to contact the State
Procurement Office when you need assistance.
Lead Procurement Officers
Each state agency and Higher Ed institution is required to designate one or more persons to be
responsible for procurement. This person is called the lead procurement officer. You should know who
is responsible for oversight of procurement at your agency or institution. If you have any questions
about purchasing, this is the first person you should contact.
OMB asks each agency head to complete a Procurement Liaison Designation form, to designate the
agency’s lead procurement officer and liaison to OMB State Procurement. This form can be obtained
from our website. The agency head completes the form and submits it to the State Procurement Office.
Procurement Online Work Request System
State Procurement will purchase on behalf of agencies and institutions. Certain types of purchases must
be requested through the State Procurement Office.
The Online Procurement Office Work Request System allows state employees to submit a purchase
request or ask for assistance. This system allows users to submit 8 different types of requests. The most
common requests are print purchasing, alternate procurements, and solicitation reviews.
NDGOV Credentials and Work Request System
You must have a NDGOV user name and password to access the Online Work Request System (Figure 1.)
If you do not have a NDGOV login, submit requests to the State Procurement Office information email
account.
2|Page
lOMoAR cPSD| 60399657
Introduction to Procurement Handout
Principles of business ethics, internal controls and
corporate governance (University of Nairobi)
1|Page
,
, lOMoAR cPSD| 60399657
Introduction to Procurement
Course Objectives
In this module you will learn about the state procurement program and how to make micro purchases.
You’ll also learn about some goods and services that require special procedures.
Level 1 Purchases
Level 1 purchases are needed goods and services valued at less than $10,000. We call these “micro
purchases.”
What is Procurement?
Procurement is the process of acquiring goods and services by purchasing, renting, or leasing. The
procurement process includes preparing specifications and solicitations. The procurement process also
includes evaluating bids and proposals, awarding contracts, and contract administration. A solicitation is
a document that describes what you need and gives vendors instructions for responding.
The State spends a significant amount of money through the procurement process. So, it is important for
employees who purchase for state agencies and institutions to know and comply with the procurement
laws, rules, policies and procedures.
Overview of the State Procurement Program
N.D.C.C. Chapter 54-44. 4, N.D.A.C. Article 4-12
N.D.C.C. section 15-10-17 State Board of Higher Education (SBHE)
The Office of Management and Budget or “OMB” is the state agency that administers procurement for
the executive branch of government, excluding institutions under the jurisdiction of the State Board of
Higher Education. The State OMB promulgates rules related to state procurement practices. The State
Procurement Office (SPO) is the section within OMB responsible for state procurement.
Higher Ed
The State Board of Higher Education has the authority to determine purchasing policies for the North
Dakota University System in coordination with OMB. The State Board of Higher Education establishes
procurement policies, and the North Dakota University System establishes purchasing procedures. Each
Higher Education institution develops internal procedures.
Throughout this training we will refer Office of Management and Budget as “OMB” and the State Board
of Higher Education as “Higher Ed.”
Procurement Manuals
The State Procurement Office has published guidelines related to State Procurement. As a procurement
officer, you need to be familiar with these guidelines. This training is based on the State Procurement
level 1 manual. You can find these guidelines on the OMB website: http://www.nd.gov/omb. Keep this
manual handy and up to date.
, lOMoAR cPSD| 60399657
State Procurement Office
The State Procurement Office provides a wide array of purchasing services and focuses on purchases that
represent a significant dollar value. State Procurement establishes state contracts for commonly used
goods and services. You will learn more about these state contracts during this Level 1 training.
The State Procurement Office also:
• Purchases for agencies and institutions
• Develops purchasing forms and templates
• Conducts procurement training
• Maintains online procurement resources, and
• Provides assistance to agencies and institutions
Agency Assignments
A State Procurement Officer has been assigned to help your agency or institution. Visit the OMB website
for a of the State Procurement Office agency assignments. Don’t hesitate to contact the State
Procurement Office when you need assistance.
Lead Procurement Officers
Each state agency and Higher Ed institution is required to designate one or more persons to be
responsible for procurement. This person is called the lead procurement officer. You should know who
is responsible for oversight of procurement at your agency or institution. If you have any questions
about purchasing, this is the first person you should contact.
OMB asks each agency head to complete a Procurement Liaison Designation form, to designate the
agency’s lead procurement officer and liaison to OMB State Procurement. This form can be obtained
from our website. The agency head completes the form and submits it to the State Procurement Office.
Procurement Online Work Request System
State Procurement will purchase on behalf of agencies and institutions. Certain types of purchases must
be requested through the State Procurement Office.
The Online Procurement Office Work Request System allows state employees to submit a purchase
request or ask for assistance. This system allows users to submit 8 different types of requests. The most
common requests are print purchasing, alternate procurements, and solicitation reviews.
NDGOV Credentials and Work Request System
You must have a NDGOV user name and password to access the Online Work Request System (Figure 1.)
If you do not have a NDGOV login, submit requests to the State Procurement Office information email
account.
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