All purchases made by the UAMS pharmacy service will be handled using one of the following four procedures.

1. Open Purchase Order

This is used to purchase items which are not on a purchasing contract. The method required to process the order depends on the estimated dollar amount of the purchase order.

a. Less that $1,000

The order is processed directly to the vendor.

b. From $1,000 up to $10,000

A written or verbal quotation is needed from three different vendors

unless the item or items are available only from one vendor, in which

case it is termed, "Only Source of Supply."

c. More than $10,000

A written invitation to bid must be advertised.

2. Delivery Order

A delivery order is a type of purchase order based on a bid-contract process administered by the UAMS purchasing office. Funds are obligated to cover the estimated usage of all items for the contract period and an order number is assigned to the vendor. All orders Are forwarded directly to the contractor vendor by the pharmacy supply section.

3. Blanket Order

Blanket orders are used to obtain drug supplies from an alternate vendor when there is a problem obtaining the product from the vendor. Funds are encumbered for the fiscal year for local wholesalers using a delivery order format.

4. Prime Vendor

One wholesaler is contracted to provide all drug items at the contract price plus a percent mark-up and to provide non-contract items at cost plus the same percent mark-up. This contract is negotiated through the University Hospital Consortium. Orders are transmitted electronically on a daily basis. Funds are obligated to cover the estimated dollar amount to be expended for the contract period.