Richland One officials outline procurement code, new $10,000 small-dollar threshold and vendor oversight

Richland One procurement officials on March 17 presented an overview of the district's procurement code, explained sourcing methodologies and announced that the district's small-dollar purchase threshold will be $10,000 effective July 1, 2026.

"We are here today to give you a presentation with an overview of the procurement process," Carolyn Lee Hodes, the district's director of procurement, told the Board of School Commissioners at Stevenson Administration Building. Hodes said the district adopted the school district model procurement code on July 1, 2022 and that the code is "the foundation for all procurement decisions." She said the threshold changes align district practice with the modeled state code.

The small-dollar purchase limit and competition rules: Hodes said purchases under $10,000 will not require a solicited public competition but must include a vendor quote attached in the district's MUNS ERP system. Purchases from $10,000.01 to $25,000 will follow a three-quotes methodology requiring three qualified vendor quotes; purchases above $25,000 require a contract secured either through a district solicitation, an approved state-term contract, or an approved cooperative contract. "The small dollar purchase limit will be $10,000," Hodes said.

Exemptions and board review: Hodes told commissioners that the code contains about 29 exemptions (for items including copyrighted materials, certain staff and student services, emergency repairs, fresh food and travel), but said exemptions still require documentation and price-reasonableness. She warned that contracts exceeding $250,000 that would otherwise be exempt must come to the board for a vote.

Sourcing methods and evaluation panels: The presentation described common solicitation tools and when the district uses them: invitation to bid (price-only ITB), best-value solicitations (price weighted at 60% with nonprice criteria at 40%), fixed-price pools, requests for qualifications to assemble qualified provider lists (QPLs), and requests for proposals where technical quality drives award decisions. Hodes emphasized that evaluation panels composed of district staff score complex solicitations rather than procurement staff making unilateral awards.

Vendor oversight and removal process: Board members asked how the district handles vendors that show performance or legal issues after award. Hodes and Superintendent Todd Walker said the district must document performance problems, provide a cure period (about seven to 10 days), and follow termination provisions in solicitation terms if problems persist. "We can terminate you from the contract," Hodes said, but "we can't disbar people just because we may have had issues with them in the past" without documented performance or legal grounds, she added.

Audits and implementation timeline: Hodes said the code requires procurement audits every three years but the district has been conducting audits annually as a best practice and is catching up after COVID-related disruptions. She said the new thresholds will be effective July 1, 2026.

Minority participation and policy review: A board member reminded staff of a historical district goal of about 15% minority participation. Hodes said the district's SWMBBE board policy is under review and that leadership, including Superintendent Walker, will return with recommendations and reporting on participation.

What comes next: Staff said they will provide procurement audit drafts and recommended changes to board policy where applicable; no formal vote was taken during this presentation. The meeting adjourned after the Q&A period.