Administrative Procedures

Emergency Purchases During COVID-19

1. Purpose

To describe the process of completing a purchase during an “emergency condition” as defined in KRS 45A.095(1)(a).

2. Scope

This procedure applies to purchases or contracts exceeding $40,000 made by the KCTCS Office of Procurement to Payment Services during an “emergency condition” where HEERF monies are utilized.   

3. General

KCTCS procurement procedures are based upon KRS Chapters 45, 45A (Kentucky Model Procurement Code), 57, 164A, and Kentucky Administrative Regulation Titles 200 and 739. In accordance with KRS 45A, KCTCS requires sealed bidding or a request for proposal for purchases and contracts with an estimated cost exceeding $40,000. Pursuant to KRS 45A.095 and 200 KAR 5:309, a purchase or contract may be made without sealed bidding or a request for proposal through a process known as noncompetitive negotiation when an emergency condition exists.

An “emergency condition” refers to a situation which creates “a threat or impending threat to public health, welfare, or safety such as may arise by reason of fires, floods, tornadoes, other natural or man-caused disasters, epidemics, riots, enemy attack, sabotage, explosion, power failure, energy shortages, transportation emergencies, equipment failures, state or federal legislative mandates or similar events”. KRS 45A.095(1)(a).

A national emergency was declared on March 13, 2020, due to the COVID-19 pandemic. In response, on March 27, 2020, Congress passed legislation that included an emergency grant for postsecondary education known as the Higher Education Emergency Relief Fund (HEERF). Congress passed subsequent legislation on December 27, 2020, and March 11, 2021, each authorizing additional HEERF monies to be awarded to postsecondary institutions.

This procedure may be used to alleviate the issues created by the ongoing global supply chain crisis that has resulted from the COVID-19 pandemic. This procedure governs purchases or contracts exceeding $40,000 made during the pendency of an “emergency condition” as governed by KRS 45A.095 and using the HEERF monies awarded to KCTCS.

If KCTCS purchases goods during an “emergency condition”, but the purchase is within the agency’s small purchase authority, KCTCS shall process the purchase under the small purchase authority and not as an “emergency” purchase. There, the purchase shall be made in accordance with KCTCS Administrative Procedure 5.4.11-P.

If KCTCS purchases goods, services or construction services under an “emergency condition”, as determined by the KCTCS President, and the purchase exceeds the agency’s small purchase authority, the provisions of KRS 45A.095 shall apply to the purchase. 

4. Procedure

1. All requests to make an emergency purchase shall be documented on the “Emergency COVID-19 Purchases Justification Form.”
   
   
2. Purchasers shall request the form from the KCTCS System Office of Procurement to Payment Services.
   
   
3. The “Emergency COVID-19 Purchases Justification Form” shall only be submitted after a determination has been made by the KCTCS President that the traditional, competitive bid process is not appropriate and cannot satisfy the operational needs of the college or System Office due to an emergency condition as defined in this procedure.
   
   
4. The “Emergency COVID-19 Purchases Justification Form” shall include the following information:
   1. The grant number;
   2. The expiration date of the grant;
   3. The vendor;
   4. The quote for the commodity or service obtained;
   5. A copy of the Certificate of Insurance (if applicable);
   6. A detailed explanation of how the “emergency condition” creates an immediate and serious need for the requested services, construction, or items of tangible personal property that cannot be met through normal procurement methods and how the lack of which would seriously threaten the functioning of government, the preservation or protection of property, or the health and safety of any person, as required by KRS 45A.095(1);
   7. A detailed explanation of how the commodity or service qualifies for HEERF monies; and
   8. Statement of any known relationship the supplier may have with any KCTCS employee per KRS 45A.340 and 45A.455.
      
      
5. Prior to making any purchase under this procedure, the “Emergency COVID-19 Purchases Justification Form” shall be reviewed and approved by the Vice President of Administrative Services and KCTCS President, in accordance with KRS 164A.575(13).
   
   
6. Upon receipt of the fully executed "Emergency COVID-19 Purchases Justification Form", the Office of Procurement to Payment Services will review to ensure all required information is included as outlined in this procedure. Once compliance with the procedure is confirmed, the designated Procurement to Payment Services Analyst will conduct an expedited solicitation process.
   
   
   1. When reasonably feasible, the designated Procurement to Payment Services Analyst shall solicit at least three (3) written or oral quotations from suppliers.
      1. When possible, telephone and e-mail may be used to collect quotes from suppliers that are able to provide the commodity or service as needed and in accordance with the specification required.
         
         
   2. Any “no bids/no quotes” shall be documented and maintained by the System Office for audit purposes.
      
      
   3. The fully executed “Emergency COVID-19 Purchases Justification Form” shall be filed with the names of the suppliers submitting quotations, the date and amount of each quotation, and a written determination for selection of the successful supplier. These records shall be maintained by the Office of Procurement to Payment Services as public records.
      
      
   4. This procedure is effective December 15, 2021, through April 1, 2022, unless approved via a grant extension, or applied retroactively as long as supporting documentation is provided and approved. In no case shall the procedures be used following the expiration of the HEERF monies referenced in Section 3. No purchase shall be made, nor any process used that is contrary to public policy or law.