Procurement - Goods

Things You Need to Know

Goods are physical products manufactured or produced for sale, such as supplies, office equipment, furniture, machinery.

• UMB must comply with international export controls and foreign taxes when purchasing and/or shipping goods outside the US.

• There are no US tax applications on goods.

• The cost of freight and insurance should be considered while budgeting for goods shipped outside the US.

• Requesting Units must arrange for importation services for goods coming into the US, or request MGIC to procure such services separately.

• Typical procurement occurs with a Purchase Order (PO).

• The International Operations division may be able to execute POs for goods outside the US when procurement customs of the country or requirements of the vendor do not align with State of Maryland processes and when payment for the goods must be made to a foreign bank account. In these cases, IO may use the MGIC US - Procurement Mechanism Flow Chart.  

• International Operations must screen selected vendors against foreign sanctions watch lists and will not issue a PO to a vendor with a positive match.

• All purchases of goods above US $5,000 through MGIC require a competitive procurement process or sole-source justification.

• All purchases of goods above US $25,000 through MGIC require an Request for Proposals and Competitive Bid Committee or sole-source justification.

If you have any questions, contact International Operations.

Requesting Unit’s Responsibilities with MGIC Procurement Process

1. Contact the Global Hub to request procurement services. Provide as much information as possible, including the goods needed, location, and estimated date, estimated cost, and existing specifications if available.

2. Complete the Purchase Requisition Form.

3. Develop technical specifications, delivery terms, and other inputs for a Purchase Order or RFQ in consultation with IO.

4. Assist in identifying viable vendors through industry/academic/research networks.

5. Participate in a Bid Committee if applicable.

6. Contribute inputs toSole-Source Justification Form, if applicable.

7. Confirm receipt of goods, product quality, and vendor’s compliance with terms of PO before requesting MGIC to make payment.

Required Documents

Required Documents 

1. Purchase Requisition Form

2. Scope of work

3. Supporting Documents

4. Sole-Source Justification Form (if applicable)