CHAPTER 4PURCHASINGSupplies and services that are not stocked orsupplied must be procured by an activity to fulfillits assigned mission.The material presented in this chapter is notintended to be comprehensive. It does not con-tain everything an AK involved in purchasingneeds to know; therefore, if your duties involvepurchasing in any capacity, you should refer tothe applicable sections of the NAVSUP manualsalong with pertinent instructions and regulations.In addition, you should study NAVSUP P-560carefully.PURCHASING REGULATIONSDetailed instructions and guidelines concern-ing the purchase or procurement of material orservices from commercial suppliers are contain-ed in the Navy Supply Acquisition RegulationSupplement (SUPARS), NAVSUP P-560. Fleetfast pay procedures are contained in applicablefleet accounting and disbursing center (FAADC)instructions.The NAVSUP P-560, together with the NavyAcquisition Regulation Supplement (NARSUP),the Department of Defense Federal AcquisitionRegulation Supplement (DFARS), and the FederalAcquisition Regulation (FAR), is used by all Navyactivities for basic purchasing and contractingguidance.TRAININGAll personnel involved in the purchasingfunction such as contracting officers,storekeepers, and buyers must attend a NAVSUP-authorized small purchase course. In addition,the management of all activities performing apurchasing function must make sure personnel areadequately trained to maintain and improve thequality of the purchasing function.STANDARDS OF CONDUCTAll personnel engaged in purchasing andrelated functions occupy positions of public trust.Such personnel must, therefore, conductthemselves with absolute fidelity to the govern-ment. Accordingly, a person must not allowhimself or herself to be placed in a position inwhich a conflict of interests may arise or in whichhe or she may justifiably be suspected.Accepting gratuities or favors or engaging inany other action that would result in financialprofit or influence strict impartiality mustabsolutely be avoided.Information concerning proposed purchasingactions may not be made available to particularsuppliers unless such information is madeavailable to all competing suppliers.There are certain statutes that make it a crimefor an agent of the government to engage inpractices or activities that are at variance with thehigh standard of personal conduct that a personowes to the United States as such an agent. Adigest of applicable provisions of these statutesis set forth in SECNAVINST 5370.2. Any personengaged in purchasing should make it a particularpoint to acquaint themselves with the provisionsof the applicable statutes.METHODS OF PURCHASEThe acquisition of supplies or nonpersonalservices from commercial sources in the amountof ,000 or less is referred to as small purchase.Open market requirements in excess of ,000must be procured through formal contractingprocedures.Small purchase and other simplified purchaseprocedures of open market purchases can be madeonly when requirements cannot be obtained from4-1
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