Procurement Authority and Increased Delegated Procurement Authority
1. Procurement is managed through a system of delegated procurement authority for procurement actions
leading to contracts issued by UNDP. Delegated procurement authority is governed by monetary
threshold limits.
2. The Director of the Bureau for Management Services as UNDP’s Chief Procurement Officer issues
standard delegated procurement authority (currently set at USD 200,000) to Resident Representatives
and heads of headquarters and out-posted Headquarters business units.
3. Heads of business units may further sub-delegate procurement authority to their staff in writing, while
retaining overall responsibility. Records of all staff with procurement authority should indicate the scope
and duration of their delegated responsibility, which shall be copied to the Chairperson of the Regional
Advisory Committee on Procurement or the Advisory Committee on Procurement, as applicable. All
personnel exercising procurement authority shall comply with all relevant financial regulations, rules,
procurement policies and procedures.
4. A Country Office may seek an increase from the standard delegated procurement authority. Any
increase granted is generally based on an assessment of the anticipated monetary volume of
procurement, the demonstrated capacity of an office or unit and its previous performance. An increase
is subject to the following thresholds:
Levels of Delegated Delegated procurement authority
Procurement Authority
Level 1 US $200,000
(Standard) (US $150,000 if BU is not using Quantum)
Level 2 US $300,000
Level 3 US $500,000
Level 4 US $1,000,000
5. There is a provision for increasing the micro-purchasing threshold (please refer to the Micro-purchasing
section, Procurement Method) from the standard US$5,000 to US$ 10,000 as part of any increased
delegated procurement authority granted. Country offices may request increasing the micro-purchasing
threshold as part of their request for increase in delegated procurement authority.
6. Increased delegation granted may be higher on an ad hoc basis, such as for an emergency or exceptional
situation, and be similarly decreased afterwards. All procurement authority granted in excess of US $1
million shall be subject to an annual procurement review.
7. Any increased delegation granted is for a specified period and may thereafter be extended pursuant to
additional request and justification. Increased delegation granted can be withdrawn at any time.
8. Increased delegation can be requested for an entire business unit, a specific geographic area covered by
the unit, or for specific projects or programmes. An increased delegation for the entire unit shall
generally be limited to a maximum of 12 months from the date of approval, unless otherwise stated in
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the authorization. An increased delegation for a specific project or geographical region is limited to the
duration of the project.
9. Requests for increase in delegated procurement authority from country offices should be submitted for
decision to the respective Regional Chief Procurement Officers, as they have been delegated
procurement authority up to US $2,000,000 for procurement actions submitted from country offices in
their regions. Regional Chief Procurement Officers shall consult their respective Bureau Directors for
clearance and if necessary may refer any matter to the Chief Procurement Officer prior to granting the
increased delegation. Requests for increase from headquarters and out posted headquarters business
units should be submitted to the Chief Procurement Officer.
10. Review of requests for increased delegation will be coordinated by the Procurement Oversight Unit
through the Chairpersons of the Regional Advisory Committee on Procurement and the Chairperson of
the Advisory Committee on Procurement with a recommendation granting the Increased Delegation of
Authority or otherwise provided to the Regional Chief Procurement Officer or the Chief Procurement
Officer.
11. Requests up to US $300,000 shall be reviewed through a desk assessment. For requests up to US
$500,000 and US $1 million, in addition to the desk assessment, an in-depth assessment will be
conducted, for which the RCPO in consultation with the Regional Bureau Director may request an on-site
procurement capacity assessment mission prior to any recommendation.
12. The Procurement Oversight Unit shall make an assessment of requests for Increased Delegation of
Procurement Authority in a timely manner, based on the Business Unit’s procurement capacity,
demand, previous performance and associated risk. The assessment shall be in consultation with the
Procurement Support Unit, the Regional Bureau focal point and also take into account comments and
observations of the Office of Audit and Investigations (OAI) and other relevant offices.
13. A procurement capacity framework and tools available within the Procurement Support Office help
assess a business unit in terms of planning, implementing and managing procurement. A procurement
capacity assessment may assist in determining compliance with criteria for granting an increase;
identifying strengths, weaknesses and major procurement risk areas including those inherent to a given
operating environment; analyzing the expected procurement volume vis-à-vis the corresponding
procurement capacity and shaping recommended risk mitigation measures.
14. Guiding criteria for Increased Delegation of Procurement Authority:
Level of Procurement Capacity available Procurement Scope of Capacity Assessment/Key
Procurement Volume/Demand Capacity Indicators to be Assessed
Delegation
Level 2: up to A staff member at NO-B/P-2 level, USD 10 million with Desk Review covering, but not limited
USD 300,000 certified at UNDP/CIPS Level 2 (or significant number of to, the following aspects:
equivalent) or above and proposed contracts in the
adequately supported by other procurement plan valued Procurement Planning
procurement personnel, certified at between the current Policy Compliance
UNDP/CIPS Level 2 or above delegation amount and Procurement capacity (Staffing)
USD 300,000 Demand (Portfolio
Profile/Volume)
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Level of Procurement Capacity available Procurement Scope of Capacity Assessment/Key
Procurement Volume/Demand Capacity Indicators to be Assessed
Delegation
CAP Capacity
Procurement Oversight Indicators
Other Procurement Indicators
Supply market
External Environment and Risks
Level 3: up to A staff at NO-C/P-3 level, certified USD 20 million with In-Depth Review covering, but not
USD 500,000 at UNDP/CIPS Level 3 (or substantial number of limited to, the following aspects in
equivalent) or above and proposed contracts in the addition to those above:
adequately supported by other procurement plan valued
procurement personnel certified at between the current Strategic Procurement Plan
UNDP/CIPS Level 2 or above. delegation amount and Market Positioning and Analysis
USD 500,000 Supply Chain:
Level 4: up to A staff member at NO-D/P-4 level, USD 40 million with - Procurement Process
USD 1 million certified at UNDP/CIPS Level 3 (or substantial number of - Logistics
equivalent) or above and proposed contracts in the - Contract Management
adequately supported by other procurement plan valued Preparedness Capacity
procurement personnel, certified at between current
UNDP/CIPS Level 2 or above. delegation amount and On-site mission will be conducted, if
USD 1,000,000 deemed necessary
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