Procurement Policy [Effective 1/1/2025]

The purpose of this policy is to ensure that Rhode Island School of Design (RISD) is using its resources in an equitable and consistent manner, to ensure all procurement activity meets applicable regulatory requirements and the school maintains a competitive sourcing environment.

This policy covers all purchases made with RISD funds or purchases made on behalf of RISD. The policy applies to all faculty, staff, students and others engaged in RISD business.

RISD requires that faculty, staff, students or any other individual who purchases goods or services with college funds base the purchases on sound business practice, achieving best value and accountability.

Whenever possible, purchases on behalf of RISD should be made with RISD preferred vendors and/or suppliers. This will reduce administrative burden and help achieve competitive costs.

Payments to Individuals: Disbursements made to an individual using personal funds, in any form, including but not limited to cash, check, or credit card, initiated by a RISD employee.

Request for Proposal (RFP): A formal bidding process managed by Procurement Services. All Capital and Campus Wide projects must go through the RFP process.

Sole Source: A “sole source” procurement can be defined as any contract entered into without a competitive process, based on a justification that only one known source exists or that only one single supplier can fulfill the requirements. To be considered a sole source, a Procurement Exception Request must be submitted and approved by Procurement Services.

Independent Contractor: In general, an individual worker with the freedom of control over their work independently of RISD and determines the methods and means of completing the contracted work with their own tools and materials. The person also has an established business and offers their services to the general public and has more than one client.

This policy is intended to ensure that RISD resources are used properly in purchasing activities. Consistent compliance with the policy provides the reliability and assurance that purchasing activities meet regulatory requirements and sound business practice for acquisitions, contracts and third-party arrangements.

The college expects individuals to make sound and ethical purchasing and contracting decisions that will ensure the continued efficient operation of RISD

Purchasing Methods

Purchases under $2,500 may be executed on a credit card or via invoice and submitted as a supplier invoice request (SIR) in Workday. Purchases over $2,500 must be executed utilizing one of the following purchasing methods:

RISD Purchase Orders

The vast majority of purchases should be with a Purchase Order (PO). Employees should create a Requisition for Goods/Services through the Workday system. Requisitions will be routed for approval depending upon the funding source. Once the requisition is approved, a PO is created and issued to the supplier.

Purchasing Contracts

The usefulness of a purchase contract lies in its ability to clearly define the rights and obligations of both parties, mitigate risks and provide a mechanism for resolving disputes. They offer greater protection and clarity, especially for complex or high-value transactions, ensuring that all parties are aligned and accountable throughout the procurement process.

Single-payment contracts can be processed in Workday via a supplier invoice request. Example: An independent contractor contract that only requires one (1) $1,000 payment when the contract is fulfilled.

Multiple payment contracts should be entered into a purchase order after execution. This applies to any contract that requires multiple payments. Examples include: A contract for furniture design and build that requires a 50% down payment when the contract is executed and the second 50% payment paid upon delivery. Another example would be a software license contract that authorizes payments over three years (payment in year 1, payment in year 2, payment in year 3).

See additional information below in the “Contracts” section.

RISD Credit Cards

RISD offers three credit card programs: The Procurement Card (P-Card), Travel Entertainment (T&E) Card, & Small Purchase Card. Used properly, these cards are tools that offer an efficient payment method for the purchase of eligible goods and services. The purchase limit for T&E and P-Card purchases is $2,500. Purchases larger than $2,500 can be executed on a credit card after approval is received via requisition in Workday. The P-Card is a corporate card designed to delegate limited purchasing authority and to provide cardholders the ability to quickly and conveniently acquire approved goods and services directly from suppliers that accept the VISA credit card. The P-Card can be used to purchase non-capital goods or services that cannot be placed with a purchase order in amounts up to the cardholder’s authorized spending limit. Purchases that exceed the cardholder’s authorized spending limit should be ordered with a purchase order created in Workday.

The T&E Card is the primary payment method for travel and entertainment expenses incurred by RISD employees. Cards will be issued at the discretion of each employee’s manager and the Director of Procurement.

A request form for RISD credit cards can be obtained on the Procurement website (etrieve). A request does not guarantee the issuance of a card. The designated RISD employee must abide by all RISD purchasing and credit card policies.

Bid and Quote Requirements (for RISD Funding and Sponsored Funding)

• Up to $10,000
  • One written quote
• Up to $25,000
  • Two (2) quotes/bids are required from suppliers. Quotes should be submitted to Procurement with the purchase requisition via Workday or to epro@risd.edu with applicable attachments. If the low bidder is not selected, a short explanation must also be submitted in writing to the Procurement Services department. All capital projects must go through the Request for Proposal (RFP) process.
• $25,000 and above
  • Three (3) written quotes/bids are required from suppliers. Large, institution-wide capital projects require a formal (RFP) process. An effective RFP process takes several months; therefore, Procurement should be engaged in the project planning process as early as possible. Initiate RFP process by emailing epro@risd.edu.

Sole Source Procurement

Procurement by non-competitive bidding must meet one of the following requirements and a Procurement Exception Request must be submitted and approved by Procurement Services.

1. Item is only available from a single source.
2. After solicitation of proposals, alternative competitors are deemed inadequate.
3. Compatibility with existing machinery or software is mandatory.

Micro Purchases

Purchases under $10,000 are encouraged to have multiple bids where appropriate, but not required. Workday punchout catalogue vendors should be utilized whenever possible.

Furniture Purchases

Departmental furniture purchase inquiries/requests should be directed to Purchasing. Office furniture requisitions must comply with the RISD Furniture Style Guide. Please note that the standard lead time on commercial furniture is 5-6 weeks from order date, so it is important to submit your furniture inquiry well in advance in order for effective sourcing and bidding (if applicable) to occur, and for delivery and installation to take place by the department’s need-by date. RISD has established relationships with several service-oriented, commercial furniture vendors and designers that are able to source numerous lines of high-quality, warrantied furniture. Procurement can assist departments by facilitating on-site vendor consults for needs assessment, sourcing and identification of options. The process for large, capital furniture projects is that Campus Planning/Facilities engages Procurement, as early as possible, especially for those projects that require an RFP process.

Office Supply Purchases

Standard office supply purchases should be made with WB Mason, as Procurement has negotiated contract pricing with this vendor that is based on volume spend of commonly used office supplies that are purchased by most campus departments. These purchases must be made through RISD’s E-procurement Workday system.

*NOTE: please do not access the WB Mason online catalogue through a general internet search, as those are public prices that will not reflect RISD’s discounted contract pricing. This applies to other vendors as well (B&H, Grainger, etc.).

Contracts

Procurement Services oversees the review and execution of all contracts for goods and services, including independent contractor agreements and other financial documents requiring a college official’s signature. All contracts for goods and services need to be reviewed and approved by Procurement Services prior to signature. Non-procurement-related contracts (partnerships, artwork loans, etc.) should be reviewed by the General Counsel’s office.

Contract policy applies to any agreement regardless of the dollar amount associated with the contract. RISD contract signing authority lies with the SVP or the President. The SVP or President have authorization to delegate authority to legally bind the institution. Please refer to the Contract Signature Matrix. The initiating department will be the contract holder and is responsible for management of its terms.

All contracts must be administered via the RISD contract management system, currently Icertis.

Preferred Vendors

Procurement has negotiated pricing agreements and established relationships with several vendors – either directly or through consortium membership. Placing orders through the public website or online catalogue of these vendors (outside of E-Procurement catalogues) will not reflect RISD’s pricing and may also result in sales tax charges, so please check with Procurement to assist you with sourcing and ensuring correct pricing.

Computer/IT Purchases

For computer and network printer purchases, please refer to the IT Services Department. A requisition in Workday needs to be created for all computer and tablet purchases.

Hiring Consultants or Independent Contractors

To assure compliance, RISD has implemented a process for determining whether it is appropriate to retain and pay an individual worker as an independent contractor rather than as an employee. The full process must be completed before the individual is formally retained and begins to perform services. The required forms and process are located on the Accounts Payable Website.

Unallowable Expenses

RISD will not reimburse or pay for expenses that are inherently personal in nature. The following list of personal expenses serves as a guide and is not to be considered all-inclusive:

• Transportation (air, train and rental cars) booked outside of the college’s official travel booking site or authorized travel agency
• Excessive tips over 20%
• Personal grooming service, such as barbers, hairdressers, toiletries, massages, manicures/pedicures and saunas
• Childcare costs, babysitting and house-sitting costs
• Pet care, including fees for boarding pets and other animal care
• Any personal clothing, accessories or hygiene items
• Prescriptions, over-the-counter medication and other medical expenses
• Personal reading material, such as non-scholarly magazines, books and newspapers
• Personal recreation or entertainment such as greens fees, sightseeing fares, theater tickets, entry fees, lift tickets, etc.
• Credit card delinquency fees and finance charges
• Personal costs such as life, medical, personal automobile, loss of personal effects and baggage insurance
• Business travel accident insurance beyond the college’s policies
• Loss or theft of travel advance money, airline tickets, personal funds and/or other personal property
• Lost luggage
• Excessive meal costs that are not substantiated by a complete and explanatory business purpose
• Individual meal expenses for one-day travel
• Expenses not properly documented (non-itemized)
• Membership fees for priority boarding, expedited screening or customs processing (Global Entry, PreCheck, Nexus, Sentri)
• Lost/damaged baggage or personal items
• Carbon offset credits
• Donations
• Room-upgrade fees or late check-out fees
• No-show fees
• Alcoholic beverages not aligned with RISD alcohol policy
• Alcoholic shots
• Fees for personal expenses, such as: golf, exercise room/health-cub
• Rooms or tickets paid with frequent-guest-program credit
• Expenses related to an employee’s spouse or other family members
• Gift card/certificates
• Home office furniture
• Sales tax for items purchased in/shipped to MA, RI and NY
• Amenities such as movies, in-room bars and room service
• Parking tickets, local parking fees, traffic violations, auto repairs or the cost of vehicle towing
• Gas purchases for personal vehicles
• Meal delivery services such as Uber Eats or DoorDash
• Ride-sharing services (Uber, Lyft, Zipcar) for local travel in greater Providence area (excluding airport)

Please visit the Procurement Service website for a full description of all procurement procedures, guides and resources.

Policy Sanctions

Failure to comply with this and related policies may be subject to disciplinary action.

Actions that may be taken include, but are not limited to:

• Reduction of RISD credit card limits.
• Temporary or permanent termination of RISD credit card privileges.
• Temporary or permanent termination of travel privileges.
• Pay deduction (deduction from paycheck) for charges deemed personal in nature or not in accordance with RISD policy.
• Further disciplinary action up to and including suspension without pay or termination of employment, in accordance with applicable disciplinary procedures.

This policy was created on: 8/21/2024

This policy was last reviewed/modified on: 8/21/2024

This policy was approved as of: 8/21/2024

Next scheduled review: 8/21/2026

Issuing Office

Controller's Office

Responsible Officer

Senior Vice President, Finance and Administration

Individuals/offices required for review and changes

Controller

Director of Procurement Services

Chief Information Officer or their designee