B-6 Non-Competitive Negotiations for Emergency Purchases

I. Purpose

The existence of an emergency condition where the cost to address the situation exceeds $100,000 creates an immediate and serious need for services, construction or items of tangible personal property that cannot be met through normal procurement methods as stated in Kentucky Revised Statute 45A.095. The purpose of this policy is to provide guidance for purchases made in response to emergency conditions.

 II. Policy

An emergency purchase or contract is necessitated by an unexpected event (e.g., tornado, flooding, frozen and/or broken pipes) where the delay required to adhere to the competitive bid process seriously threatens the operations of the University or its Affiliated Corporations, jeopardizes the preservation or protection of property, or creates an immediate danger to the public health or safety of any person. These purchases must be handled immediately.

III. Procedures

Purchasing and contracting requirements necessitated by an emergency condition must be explained in writing to include the name of the vendor receiving the contract along with any other price quotations and a written determination for selection of the vendor receiving the contract by the Executive Vice President for Finance and Administration or the UK Chief Procurement Officer. 

1. The Emergency Purchase Justification Form should be used to document the emergency and proposed response. The completed form must be submitted to UK Procurement Services or its authorized delegates for review and processing.

2. UK Procurement Services or its authorized delegates may negotiate directly for the purchase of contractual services, supplies, materials, or equipment in bona fide emergencies, regardless of estimated costs. However, a good-faith effort to contract for the requirements at a competitive price must be made. The existence of the emergency must be explained and justified in writing by the Executive Vice President for Finance and Administration and must be approved by the University President or their authorized designee. 

   UK Procurement Services or its authorized delegates must maintain a file including all emergency purchases completed as a result of each emergency. The file must include the emergency justification and approval of the emergency declaration by the Executive Vice President for Finance and Administration or the Chief Procurement Officer.