PRE-QUALIFIED AND PREFERRED SUPPLIER PROGRAM

A WORD ON POLICY Purchasing policy promotes the proper stewardship and general guidelines for the appropriate and legal uses of LUC funds. Adherence and transition to Uniform Guidance. supersedes and streamlines requirements from OMB Circulars into Title 2 of the Code of Federal Regulation. Adherence to accountable plan requirements. It is also important to note that the policies adopted by the university are meant to be the criteria which departments must minimally abide. Departments may elect to establish internal policy and procedure that is more restrictive that those established at an organizational level. At no time can internal policy be less restrictive. IRS Publications: 1779 – Independent Contractors 970 – Tax Benefits of Education 535 – Business Expenses 525 – Taxable and Non-Taxable Income 1281 – Backup Withholding 1586 – Missing or Incorrect T.I.N.s OMB Circulars: A110 – Grant Administration A21 – Cost Principles for Educational Institutions A133 – Single Audit F.A.R – Federal Acquisition Regulation: 19.000 - Small Business Utilization To deliver on the promise of a 21st-Century government that is more efficient, effective and transparent, the Office of Management and Budget (OMB) is streamlining the Federal government's guidance on Administrative Requirements, Cost Principles, and Audit Requirements for Federal awards. These modifications are a key component of a larger Federal effort to more effectively focus Federal resources on improving performance and outcomes while ensuring the financial integrity of taxpayer dollars in partnership with non-Federal stakeholders. This guidance provides a government-wide framework for grants management which will be complemented by additional efforts to strengthen program outcomes through innovative and effective use of grant-making models, performance metrics, and evaluation. This reform of OMB guidance will reduce administrative burden for non-Federal entities receiving Federal awards while reducing the risk of waste, fraud and abuse. This final guidance supersedes and streamlines requirements from OMB Circulars A-21, A-87, A-110, and A-122 (which have been placed in OMB guidances); Circulars A-89, A-102, and A-133; and the guidance in Circular A-50 on Single Audit Act follow-up. The final guidance consolidates the guidance previously contained in the aforementioned citations into a streamlined format that aims to improve both the clarity and accessibility. This final guidance is located in Title 2 of the Code of Federal Regulations.

PRE-QUALIFIED/PREFERRED SUPPLIERS What is a Prequalified Supplier? A Pre-Qualified Supplier is one that has completed a formalized and competitive selection process (RFP, RFI, RFQ, or Co-operative) and has been chosen by the University as a supplier or provider who can provide products, materials and/or services that are in the best interests of the University as related to: quality of products, materials and/or services; length of contract; advantageous pricing; payment methodologies; delivery practices/performance; supplier operational support and services; ethical business practices; and social and community support. To access the Preferred/Prequalified Vendor Listing, visit the following link: http://www.luc.edu/purchasing/pqsupplier_directory.shtml Do we want to add something or at the least mention other pricing arrangements and co-op participation?

PRE-QUALIFIED SUPPLIER PROGRAM Loyola University Chicago incorporates commodity management strategies that allow the University to negotiate best price and service agreements for specific goods and services and to formalize the relationship with certain suppliers. Ensures the best overall value to the University community and increases business potential for suppliers. Suppliers of goods and services that are part of these commodity groups participate in open competition through proposal and negotiation. Once selected for each commodity group, that company will become the primary supplier to the University. Do we want to add something or at the least mention other pricing arrangements and co-op participation?

PRE-QUALIFIED SUPPLIER PROGRAM SUPPLIER ADVANTAGES For the supplier: the main features are pre-negotiated terms and conditions for each order, price verification for speed of payment, single point of University contact, the ability to market products to the entire campus with Loyola Procurement Services assistance, fewer supplier quotations under contract conditions, and the potential for a higher volume of business. Do we want to add something or at the least mention other pricing arrangements and co-op participation?

PRE-QUALIFIED SUPPLIER PROGRAM UNIVERSITY ADVANTAGES For the University: A list of Pre-Qualified Suppliers who have already accepted negotiated commercial and/or federal government terms and conditions of sale, negotiated pricing or discount structures, and University performance standards; A reduction in administrative burden with less need for quotations and documentation required on each order; Campus access to authorized contract pricing and discounts; and, In many cases a supplier dedicated web site for campus ordering. Do we want to add something or at the least mention other pricing arrangements and co-op participation?

CONSIDERATIONS Considerations: Quality of Service Pre-established minimum order quantities and amounts. Delivery requirements. Warranty. Value-added Services. Economic Considerations Pre-established pricing structure. Price increase limitations. Allow for competition. Mode of Operation Signed agreement/contract. Standardization of Terms and Conditions. Customization of transaction interface (e-Commerce portal). Statistical ad-hoc account reconciliation.

PURCHASING - LAKESIDE LOCATIONS and CONTACTS 820 North Michigan Avenue, Lewis Tower Suite 700

PURCHASING – HEALTH SCIENCES LOCATIONS and CONTACTS 2160 South First Avenue, SSOM Building 120, 4th Floor