There are certain instances where we do not have to follow normal purchasing procedures as prescribed by state law and the most valuable of these exemptions are contracts. Contracts are established with vendors using the collective purchasing power of many entities to achieve much lower pricing. These contracts establish a maximum price for a multiple of commodities and services. Traditionally, contracts can be divided into four categories:
- Mandatory State Contracts: The Office of State Procurement has established state contracts for those commodities and services where substantial savings can be achieved by quantity purchasing. The University of Arkansas at Little Rock is required to purchase from the awarded state contract vendor on these mandatory contracts.
- Non-Mandatory State Contracts: The Office of State Procurement has established some non-mandatory contracts that use quantity purchasing and establish a maximum price.
- Cooperative Contracts: Cooperative contracts are established when multiple public procurement units combine their purchases to obtain advantages of volume purchases.
- UALR Contracts: Contracts established by UALR through competitive bids, proposals, or negotiations. These contracts are mandatory.