Texas Department of Housing & Community Affairs - Building Homes and Strengthening Communities

Community Affairs Procurement

The Department offers the following procurement training and technical assistance resources for procurements for Community Affairs programs. Note that the sample documents are provided as examples only. It is the responsibility of the program administrators to ensure that all local, state and federal procurement requirements are followed. Note: The information on this webpage is updated as rules are is revised or as guidance is updated. Therefore, Subrecipients are advised to review the guidance frequently, especially prior to any procurement.

Determine the Procurement Type


Micro-Purchase method may only be used by Private Nonprofits who administer the DOE-WAP on those services, supplies, or equipment costing $3000 in the aggregate or $2,000 or less in the case of acquisitions for construction subject to the Davis-Bacon Act.

  • Micro-purchases may be awarded without soliciting competitive quotations if the Subrecipient considers the price reasonable.
  • To the extent practical, the Subrecipient must distribute micro-purchases equitably among qualified suppliers.

Small Purchase

For goods and services when:

  • Price is less than $150,000 in the aggregate:
    • For single purchases or individual recurring purchases made without contract: aggregate costs means the cost of the individual purchase
    • For contracts: aggregate costs means the total potential cost of the contract, including any option years and amendments, or the time between full procurements for that same goods/services/etc
    • Provide a clear and accurate description of the technical requirements for the material, product, or service to be procured.
  • Determining factor: Most reasonable and responsive lowest written price
  • Example: Office supplies; miscellaneous repairs/equipment, vehicle purchase, equipment repair services

NOTE: Per §TAC 1.404 (f) All vehicles considered for purchase with state or federal funds must be pre-approved by the Department via written correspondence from the Department.

Sealed Bid (requires formal advertisement)

For goods and services with a fixed price

  • Determining factor:  Most reasonable, responsible, responsive bid
  • Example:  fleet vehicles; contractors for the installation of HVAC, WX work
  • Negotiation of bid results is not allowed.

NOTE: Per §TAC 1.404 (f) All vehicles considered for purchase with state or federal funds must be pre-approved by the Department via written correspondence from the Department.

Competitive Proposal (requires formal publication)

For Professional or Consulting Services, the Competitive Proposal method is most advantageous to the Administrator

  • Determining factor:  Provider price, qualifications, experience, knowledge
  • Examples:  Attorneys, Computer Maintenance, Audit Services, Weatherization Contractors or Wx work
  • Negotiation of bid results is allowed

Non-Competitive or Lack of Competition

After the completion of an acceptable procurement process (i.e. small purchase, sealed bids, and/or competitive proposal), competition is determined inadequate. A non-competitive proposal may be accepted only if:

  • The service, supply, or equipment is available only from a single source and documentation of why service/product is only available from one vendor is maintained; or
  • After solicitation of a number of sources, competition is determined inadequate and documentation of effort to solicit multiple sources is maintained;
  • A public emergency exists preventing the time required for competitive solicitation (AC's, blankets, propane, etc.).