ALCOAST 353/18 - OCT 2018 INCREASED THRESHOLDS FOR PROCUREMENTS SUPPORTING THE HURRICANE MICHAEL RESPONSE AND RECOVERY

united states coast guard

R 111201 OCT 18
FM COMDT COGARD WASHINGTON DC//CG-91//
TO ALCOAST
UNCLAS//N07500//
ALCOAST 353/18
COMDTNOTE 7500
SUBJ:  INCREASED THRESHOLDS FOR PROCUREMENTS SUPPORTING THE HURRICANE MICHAEL RESPONSE AND RECOVERY
A. CPO-CFO Memo Increase in Micro-Purchase Threshold and the Use of DHS Purchase and Fleet Card
Transactions Supporting Hurricane Michael Response and Recovery, dated 10 October 2018
B. Head of Contracting Activity (HCA) Governance Memorandum 91.13-0 (HCA-GM 91.13-0) Increased
Thresholds for Procurements Supporting the Hurricane Michael Response, dated 10 October 2018
1. Background – An emergency was declared by the President on 9 October 2018 for parts of
Florida as a result of the approaching Hurricane Michael. To facilitate response to this
emergency, and in accordance with Federal Acquisition Regulation Subpart (FAR) 13.201(g),
the Chief Procurement Officer (CPO) in a memorandum dated 10 October 2018 approved an increase
to the micro-purchase threshold (MPT) only for procurements supporting the Hurricane Michael
response and recovery in the declaration area. The CPO and Acting Chief Financial Officer (CFO)
jointly issued REF (A), which authorized HCAs to increase the single purchase limit up to the
new MPT, for cardholders who are supporting the emergency response and recovery.
2. In REF (B), the HCA authorized the use of special emergency procurement authorities
(as implemented by DHS FAR Deviation 17-02) to increase certain thresholds effective
10 October 2018 for Department of Homeland Security (DHS)/Coast Guard procurements in support
of the Hurricane Michael emergency response and recovery. In conjunction with the increases
outlined by the CPO, the HCA has increased the MPT to $20,000 in the case of any contract to
be awarded and performed, or purchase to be made, inside the United States; and (b) to $30,000
in the case of any contract to be awarded and performed, or purchase to be made, outside of the
United States. “United States” is defined as the 50 states and the District of Columbia.
3. For procurements made in support of Hurricane Michael response, the DHS purchase card is
the preferred method to purchase and pay for goods and services below the increased MPT.
4. This authority applies only to procurements supporting Hurricane Michael response and
recovery in the declaration area. All purchases using the increased single purchase limit must
have a clear and direct relationship to Hurricane Michael response or recovery. Cardholders
who make purchases using the increased single purchase limit must maintain documentation to
support that the purchase has a clear and direct relationship to Hurricane Michael response
and recovery, in addition to any other documentation requirements described in the DHS
Purchase Card Manual.
5. The increased MPT will remain in effect until 12 January 2019, unless otherwise rescinded
or modified.
6. Please direct questions regarding this ALCOAST to Ms. Helen Dawson, COMDT (CG-9131),
(202) 475-3271, Helen.F.Dawson@uscg.mil.
7. Released by Mr. Michael W. Derrios, Head of Contracting Activity.
8. Internet release is authorized.