Purchase Orders are used for Goods

What is a Good?

• Goods are tangible, physical items.
• Goods are standalone purchases – once it is purchased, the relationship ends.
• In some cases, services can function as commodities and can be purchased using the requirements for Goods. See the list of Specific Transaction Instructions at the bottom of this page.

See the Procurement Thresholds page ( http://www.uh.edu/office-of-finance/purchasing/Purchasing%20Training/procurement-thresholds/ ) for current Procurement thresholds

Goods with a cost of $1M and up require reporting to the Board of Regents as well as obtaining additional documentation from the vendor regarding related parties.

Contracts are used for Services  

What is a Service?

• Services are works or duties provided to the University, and are provided by business organizations or individuals (even if they work for a larger entity such as a partnership, corporation, or other form of business organization)
• Services may be standalone (one time) or repetitive or ongoing
• Services require contracts

Even if a contract is used, Procurement requirements must be met. 

See the Procurement Thresholds page ( http://www.uh.edu/office-of-finance/purchasing/Purchasing%20Training/procurement-thresholds/ ) for current Procurement thresholds

Services with a cost of $1M and up require reporting to the Board of Regents as well as obtaining additional documentation from the vendor regarding related parties. 

Real Property

• Real Property is fixed property, principally land and buildings
• The leasing, purchase and sale of Real Property are neither Goods nor Services, but are interests in Real Property and must go on a contract. Contracts for purchase and sale of Real Property must be presented to the Board of Regents for approval, regardless of price.
• All contracts for the leasing, purchase or sale of Real Property must be submitted to and processed by the Office of Real Estate Services.

Institutional Contracts  

How can Institutional Contracts be used by departments to simplify procurement?

• Institutional contracts can be utilized by all campus departments, but procurement thresholds and requirements vary with the individual agreements.
• Review individual agreements for procurement processing.

What Institutional Contracts are available for departmental use?

• Tejas Office Supplies
  • The link to the Tejas website is at: http://www.uh.edu/office-of-finance/purchasing/faculty-staff-resources/Purchasing%20Online/
  • Tejas must be used for all office supplies
  • Tejas offers a discount for other items such as office furniture
  • Tejas purchases are subject to standard procurement thresholds

• Adroit Partners
  • The link to the Adroit Partners instructions is http://www.uh.edu/human-resources/talent-acquisition/temps/
  • Adroit Partners provides staffing solutions

Specific Transaction Instructions  

Some transactions include elements of both a good and a service, are services that are essentially commodities, or otherwise require additional information.  

Below is a list of items that are frequently asked about along with processing instructions.  However, please note that any time the vendor requires that a contract be used, the transaction must be processed as a contract.