PRO-504 Grants and Other Non-Procurement Transactions

Section​ ​Title



    The scope of this policy is to define authority and procedure for transactions that may not allow for use of competitive processes i.e., grants, payments made pursuant to statute, utility payments and agreements between certain governmental bodies.


    The following payments and agreements are considered non-procurement transactions, subject to limited approval and oversight from the State Bureau of Procurement (Bureau). State agencies are responsible for establishing appropriate internal procedures for handling non-procurement transactions.

    Grants and Payments Made Pursuant to Statute

    The transfer of things of value to a recipient to carry out a public purpose of support or stimulation authorized by law (i.e., grant) or payments made pursuant to statute are not purchases and therefore are not subject to procurement rules and procedures. Agencies must obtain approval from the Bureau to exempt such payments as prescribed herein.


    When utility services are determined to be available only from a sole source as a result of a regulated or natural monopoly, these services may be obtained without bidding and such payments do not require the approval of the Bureau. Agencies are advised that most telecommunications, network or internet services can be competitively bid or are covered by existing mandatory statewide contracts and are not considered utilities.

    Interagency Payments

    Interagency agreements or acquisitions of property or services between Wisconsin state agencies are not purchases and do not require approval from the Bureau. This does not include a purchase from another agency’s contract with a third party. See PRO-502, Collaborative Contracting: Piggybacking and the Use of Contracts with Other Authorities.

    Intergovernmental Transactions

    State agencies may purchase supplies, materials, equipment, or contractual services other than printing and stationery, directly from the federal government. These arrangements are considered intergovernmental, non-procurement transactions and do not require approval from the Bureau.

    Exclusions and Other Considerations

    These options do not waive the need to meet certain procedures related to the purchase of contractual services, where applicable. See PRO-204, Contractual Services Procurement.

    Agencies will ensure vendors are not on ineligibility listings. See PRO-401, Basic Contract Eligibility.

    Agreements will include state standard terms and conditions as applicable. See PRO-404, Standard Terms and Conditions.

    These options do not apply to the purchase of vehicles, legal services, general waivers, non-competitive negotiation, or emergency procurements. See PRO-210, Request for Purchasing Authority (RPA) Policy and Procedure.

    These transactions do not require a public or legal notice unless the requesting agency is leading a competitive grant solicitation. See PRO-601, Legal/Public Notice.

    Certain other goods and services are eligible for direct charging and do not require a purchase order under certain circumstances. See PRO-408, Purchase Requisitions, Orders and Methods of Payment.


Click below for full policy document:

PRO-504 Grants and Other Non-Procurement Transactions​​

Additional Reference Materials:

Grants and Non-Procurement Transactions Visual Guide