Page 205 - NRH FY20 Approved Budget

DEPARTMENT / DIVISION FUND
FINANCE – PURCHASING GENERAL
PROGRAM NAME
PURCHASING

DESCRIPTION / MISSION
The Purchasing Division is responsible for coordinating all procurements and disposition of assets in compliance with the
guidelines and statutes by the City of North Richland Hills and the State of Texas. The Purchasing Division assists departments in
acquiring quality goods and services at a competitive price and ensures those goods and services are delivered as expediently as
possible. Purchasing is responsible for the efficient disposition of City assets which are no longer usable because of depreciation,
obsolescence or impairment. Purchasing monitors the inventory of items used by operating departments of the City in delivering
various services to citizens, customers or City departments.

GOALS
• To provide the City of North Richland Hills user departments with needed materials and services in a timely manner at a
competitive price. (Financial Stability)
• To increase the amount of invoices paid via City Procurement Cards. (Financial Stability)
• To encourage staffs professional development through training and experience and urge them to pursue certification in the field
of Purchasing. (Financial Stability)
• To develop a Vendor Training Program. (Efficient and Effective Delivery of city Services)
• To increase the use of Shared Services. (Positive city Image)
• To train departments to use Public Purchase to solicit quotes for their department. (Positive City Image)
• To apply for the NPI Achievement of Excellence in Procurement Award. (Positive City Image)

OBJECTIVES
• Issue all purchase orders within three (3) days after receipt of departmental requisitions.
• Before issuing purchase orders ensure product or service was either competitively bid or had the appropriate number of quotes
solicited.
• Work with the Accounting Department to develop a procedure for paying invoices via City Procurement Card to take advantage
of the 2% rebate received for Procurement Card Purchases.
• Encourage staffs professional development through training and experience and urge them to pursue certification in the field of
Purchasing.
• Examine in detail what it takes to do business with the City of North Richland Hills. Take those results of that research and
create a Vendor training program. Vendors would be able to attend scheduled training events to learn about doing business
with NRH.
• Examine areas of opportunity where NRH can partner with neighboring cities to share services thus maximizing savings and
efficiencies and minimizing costs through economies of scale.
• Create step by step instruction on how a user department can use Public Purchase to solicit quotes and hold training for
departments.
• Continue to perform all procurement functions at the best practices level and document those practices with examples. Submit
these examples to NPI for the opportunity to receive the Award of Excellence in Procurement Award.
2017-18 2018-19 2019-20
PERFORMANCE MEASURES ACTUAL REVISED ESTIMATED
Goal: Financial Stability
Amount earned from purchasing card rebate program $46,347.98 $45,000.00 $45,000.00
Amount earned from on-line auction $89,071.36 $30,000.00 $30,000.00
Goal: Efficient and Effective Delivery of City Services
# Of purchasing personnel (FTEs) 3.00 3.00 3.00
# Of requisitions received 1,777 1,800 1,850
# Of purchase orders issued 721 900 900
# Of blanket purchase orders issued 510 600 600
# Of blanket and regular purchase orders 1,221 1,500 1,500
# Of purchase orders exceeding $50,000 82 80 80
# Of purchase orders from $25,000 and $50,000 80 75 75
# Of purchase orders from $3,000 and $25,000 517 550 550
# Of purchase orders less than $3,000 531 775 775
# Of Procurement Card Transactions 15,104 15,300 15,300
# Of field purchase orders issued 1,130 770 770
# Of On-line auctions conducted 3.0 4.0 4.0
# Of Formal Bids Managed by Purchasing 14 30 30
# Of Informal Bids Managed by Purchasing 12 6 5

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