Key Points
Public Assistance applicants must follow these standards when using FEMA funds to procure disaster materials, supplies, public works
projects, and services. Non-compliance with the federal procurement standards may result in the denial or de-obligation of Public Assistance funding. This
document only provides a snapshot of the federal procurement standards; it does not address all Public Assistance requirements. The information provided is
not legal advice. Public Assistance applicants should always consult with their legal counsel regarding any legal questions.
Detailed Discussion
Micro-Purchase Procedures (§ 200.320(a))
• ≤$3,500 or comparable state/local/tribal threshold, whichever is lower
• Requires only ONE quote if price is reasonable
• MUST distribute equitably among vendors
Small Purchase Procedures (§ 200.320(b))
• ≤$150,000 or comparable state/local/tribal threshold, whichever is lower
• Requires quotes from three (3) suppliers
Sealed Bidding (§ 200.320(c))
• Preferred method for construction contracts
• Firm-fixed-price contract is awarded to the lowest priced, responsive, responsible bidder
• Non-state applicants must solicit bids from an adequate number of suppliers
• Local and tribal governments must publicly advertise the invitation for bids and open bids publicly
Competitive Proposals (§ 200.320(d))
• Method generally used when conditions are not appropriate for sealed bidding
• Fixed price or cost reimbursement contract is awarded to the responsible firm whose proposal is most advantageous to the non-state applicant
• Non-state applicants must publicize requests for proposals (RFPs), and solicit proposals from an adequate number of qualified sources
• RFPs must identify all evaluation factors and their relative importance
Is it ever permissible for non-state applicants to sole source a contract?
Yes, the federal procurement standards identify four situations in which a non-state applicant may sole source a contract (§ 200.320(f)):
1. The item is available from only one source;
2. A public exigency or emergency for the requirement will not permit a delay resulting from competitive solicitation;
3. FEMA or the State authorizes a written request to sole source; or
4. After solicitation of a number of sources, competition is determined inadequate.
When sole sourcing, the non-state applicant must provide a written justification in the contract file.