Federal Procurement Policy: 2 CFR Part 200

CDBG-DR Procurement

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Procurement of materials and services often presents challenges for CDBG-DR grantees, who tend to be unfamiliar with the federal procurement policies they must follow to meet HUD‘s compliance standards. Grantees cannot simply begin purchasing materials and services using their existing procurement policies, but must update them to be compliant with federal regulations as outlined in 2 CFR Part 200.

This policy includes requirements such as procuring on a competitive basis, meeting requirements for contracting with minority- and women-owned business enterprises (MWBEs), and using contractors approved to work on federal projects.


The following chapters of 2 CFR Part 200 are relevant to CDBG-DR contractor procurement:

200.317 – Procurements by states

200.318 – General Procurement standards

200.319 – Competition

200.320 – Methods of procurement to be followed

200.321 – Contracting with small and minority business, women’s business enterprises, and labor surplus area firms

200.322 – Procurement of recovered materials

200.323 – Contract cost and price

200.324 – Federal awarding agency or pass-through entity review

200.325 – Bonding Requirements

200.326 – Contract Provisions

200.338 – Remedies for noncompliance


See CDBG-DR Procurement Basics for an introduction to federal procurement rules from IBTS experts.

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