Effective June 19, 2009

AIP NOW PRACTICES SMALL PROCUREMENT PROCEDURES
FOR GRANTS UNDER $100,000 !!!

General

Small purchase procedures are those relatively simple and informal procurement methods for securing supplies, construction services, etc. that do not cost more than the "simplified acquisition threshold" as established in 41 U.S.C. 403 (11). This value is currently set at $100,000. Small purchase procedures provide public agencies with a more expedient method of procuring equipment and small construction projects.

Application of Small Purchase Procedures

When equipment and/or construction contracts are expected to be less than $100,000, the public agency may use small purchase procedures. Under small purchase procedures, the number of sources may be determined by the number of qualified sources available, the time frame involved, and the dollar value. 49 CFR 18.36(d)(1) states that an adequate number of qualified sources shall be obtained for small purchase procedures. Normally, this requires obtaining a minimum of two bid proposals. Additional proposals are warranted if additional qualified bidders are readily available.

Oral solicitations may be warranted for very small procurements. For other than very small purchases, a written solicitation should be initiated requesting a written proposal. All solicitations should be well documented. This includes vendors/companies that are not interested in the procurement.

On small purchase procedures involving construction work, a set of contract specifications and plans should be developed to clearly describe the technical requirements of the project. The grantee should note that Davis-Bacon provisions are required for construction work expected to exceed $2,000. The grantee should solicit a minimum of two bid quotes.

Source    http://www.faa.gov/airports/aip/procurement/small_purchase/

FAA Standards for the Procurement of Equipment

The FAA has established standards for many types of airfield-related equipment, including snow removal equipment, airport lighting equipment, and aircraft rescue and firefighting equipment (ARFF). Acquisition of such equipment must conform to established FAA standards if reimbursement under AIP is desired. Acquisition of equipment for which no FAA standards exists are to be based on industry accepted standards.

Sponsors may request modifications to FAA established standards. All such requests should be made in advance of the procurement action and are subject to approval by FAA. Acquisition of nonstandard equipment for which FAA approval is not obtained jeopardizes the eligibility of such equipment for reimbursement under AIP.

The addition of features or requirements that exceed those specified in the relevant FAA standards  requires review and approval by FAA (Click here to see approval) . If the additional feature is deemed nonessential or excessive when compared to FAA standard, the additional cost of such an addition will not be eligible for AIP reimbursement.

Source:  Procurement and Contracting Under AIP – Equipment Procurement