Get ready for a major shift in public sector buying! On this episode, we break down the impact of the $15,000 federal micro-purchase threshold (MPT) increase, which officially went into effect on October 1, 2025. This change, implemented via a Federal Acquisition Regulation (FAR) inflation adjustment rule, raised the standard MPT from $10,000 to $15,000.
We explain how this new baseline applies automatically to the education sector—including school districts and colleges—because federal education grants follow the Uniform Grant Guidance (2 CFR 200.320).
What does this mean for education procurement?
Discover how K-12 and higher education procurement officers can now procure technology, curriculum, and supplies up to $15,000 without soliciting competitive price quotes or bids. This policy change significantly streamlines the purchasing process for relatively low-dollar needs.
Key operational benefits include:
- Faster Sales Cycles: Purchases can often be made in a matter of hours or days, rather than the weeks or months formal bidding might entail.
- Reduced Administrative Burden: Procurement staff can bypass the time-consuming small-purchase procedures that previously kicked in above $10k.
- Empowered Purchasing: School business offices can use government-wide commercial purchase cards (P-Cards) to simply place an order and pay instantly up to the $15k limit, expediting the delivery of needed classroom equipment and software.
Strategic Recommendations for Vendors
If you are an EdTech provider, curriculum developer, or school supply company, this is your guide to capitalizing on the new fast-track purchasing environment. We provide strategic recommendations for securing more micro-purchases, which offer "faster opportunities for small businesses":
- Get Procurement-Ready: Ensure your company is registered and pre-approved in school district vendor databases, as purchasers favor existing, trusted suppliers.
- Bundle Products Under $15K: Design distinct offerings—such as a classroom technology package—that are intentionally priced below the threshold to enable immediate, no-bid purchasing.
- Highlight Convenience: Market your solutions by telling clients, "This solution is within your micro-purchase authority—just one quick quote from us and you’re done".
- Leverage Diverse Status: Highlight minority-owned, woman-owned, or small business certifications, as districts often distribute micro-purchases equitably among capable suppliers to meet community support goals.
Compliance and Risk Management
Finally, we review crucial compliance considerations:
- Local Policy Adoption: Schools must update their internal policies (as states like Texas and Massachusetts have done) before taking full advantage of the $15k limit.
- Price Reasonableness: Even without formal bids, schools must maintain documentation supporting that the price paid is reasonable.
- Avoid Illegal Practices: Education institutions must remain vigilant against conflicts of interest and the prohibition on "splitting" larger requirements into multiple small orders just to evade the competitive threshold.
Tune in to understand how the $15,000 MPT is shaping procurement, allowing officials greater purchasing autonomy, and creating a green light for vendors who adapt their sales and outreach strategies.
