To: Contra Costa County Housing Authority Board of Commissioners
From: Joseph Villarreal, Executive Director
Report Title: APPROVE THE EXECUTIVE DIRECTOR TO AMEND THE HOUSING AUTHORITY'S PROCUREMENT POLICY TO INCREASE THE PURCHASE THRESHOLDS FOR PETTY CASH, MICRO AND SMALL PURCHASES
?Recommendation of the County Administrator ? Recommendation of Board Committee
RECOMMENDATIONS:
APPROVE the Executive Director to amend the Housing Authority's (HACCC) procurement policy to increase the purchase threshold for petty cash, micro, and small purchases.
BACKGROUND:
The current petty cash ceiling of $50 no longer meets the needs of routine business operations and has created inefficiencies in processing low-value purchases. Increasing this threshold will allow for greater flexibility and responsiveness in small, day-to-day transactions.
The micro purchase threshold is currently set at $3,000. Increasing it would make it consistent with HUD's updated guidance. This change is specifically intended to reduce the administrative burden of requiring full approvals and competitive procedures for routine purchases up to $10,000. By increasing this threshold, HACCC staff will be able to make low-value purchases more efficiently while maintaining fiscal accountability and compliance with federal standards.
The small purchase threshold for purchases supporting day-to-day operations is currently set at $150,000. While the U.S. Department of Housing and Urban Development (HUD) has increased the federal small purchase threshold to $250,000, HACCC proposes to adopt a threshold consistent with the County's procurement standards. This alignment ensures consistency across local government procurement practices while still remaining within HUD's allowable limits. It also simplifies procurement administration, improves programmatic efficiency, and reduces unnecessary administrative burden, all while preserving necessary oversight.
HACCC intends to make the following changes to the procu...
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