Revised Procurement SPG includes increased bid limit

Mar 4, 2024 | News

A revised Procurement Standard Practice Guide (SPG) will go into effect on March 12, 2024, and offers units more flexibility when purchasing goods and services to support U-M’s missions of research, education, and patient care. The revised SPGtitled General Procurement Policieswas developed based on feedback from the U-M community and a review of procurement policies at Big Ten universities.

The centerpiece of the revised SPG is a significant increase to U-M’s formal bid limit, which will be raised to $50,000 from $10,000. The new bid limit puts U-M in line with the majority of other Big Ten universities and the state of Michigan while complying with federal regulations.

The SPG also includes an updated sole source process and offers Procurement Services additional flexibility to help units determine the best method to secure fair and reasonable pricing. Beyond that, the SPG underscores U-M’s commitment to supplier diversity and sustainable purchasing practices and is considerably shorter than its predecessor, since most procedural/process details can be found on the Procurement Services website.

The revised SPG, which marks the first time in several years that U-M’s procurement policy has been modified, is part of our Procurement Optimization Program. For additional details, please read the revised policy or visit this webpage, which includes links to an FAQ and guidelines about the new bid limit.

If you have any questions about the revised Procurement SPG, please contact us.


See the article featured in The University Record here.

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