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PURCHASING POLICIES AND PROCEDURES
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Background
Georgia
Code 50-5-51 gives procurement authority to the Department of Administrative
Services (DOAS). Included is the
authority to contract for the rental, lease, purchase or other acquisition of
all supplies, materials, services (other than professional and personal
employment services) and equipment required by the state government or any of
its institutions, to contract for telephone services, have general
supervision over all storerooms and to contract for state printing.
The
Board of Regents policy manual states “The University System shall
utilize the sources of the central purchasing agency for the State of Georgia
rather than establish a separate control purchasing office.” The Board further “directs that
each of its operating units comply with the various statutes, rules and
regulations governing purchases with state appropriated funds. In addition, the same regulation shall
apply to purchases from funds to which the University System has
title.”
DOAS
State Purchasing Office (SPO) has delegated general purchase authority not to
exceed $100,000 (for E&G funds) to the Procurement and Contract Services
Department at Georgia
Southern. Additionally, special
delegated authority for specific commodities and non E&G funds are given
in unlimited dollar values.
The Purchasing Section is established
to manage the procurement of supplies, materials, equipment and contractual
services for the University. It
has the responsibility for preparing, negotiating, executing, awarding and administering
all contracts other than some personal service and all Public Works
contracts. Further, it serves to
coordinate the University’s procurement activity with appropriate State
agencies. In addition to state
statutes, the University adheres to policies established by the Board of
Regents of the University System of Georgia, the University and
recommendations furnished by the state and internal auditors.
Specific
service goals of the department are to define economies, assist in the
planning of purchases, develop standard specifications and reduce
administrative costs and inventories.
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Authority
for Approval of Purchases
The
University budget establishes funds to be used for certain purposes under the
authority of the designated budget head that has the primary responsibility
for approval of all purchases charged against their accounts. The budget head may delegate this
authority to other persons by memorandum to the Purchasing Section of
Procurement and Contract Services.
The
requisition form is the primary vehicle used to initiate a purchase for a
department. Specifications must be provided by the department and must be
specific enough in order to indicate to vendors what it is that the
department is looking for.
Departments are discouraged from simply attaching a catalog page from
a particular vendor. Using
another products specification as minimum specifications may be considered as
“lock-out” specifications and therefore considered unlawful. It is possible to reference another
product as “meeting desired minimum technical and quality
levels”.
Timeliness
of Purchase and Lead Times
The
Purchasing section is committed to completing departmental purchases in a
timely manner. Many factors determine the time to complete a purchase
including, but not limited to: state procurement regulations, buyer workload,
commodity purchased, availability of funds, vendors, time of year and other
contract considerations. The following lead times (from receipt of
requisition to issuance of purchase order) are considered to be necessary to
ensure that procurements can be completed correctly and within established
regulations:
a. Bids ($5,000
and greater and not otherwise exempted) 30 working days
b. Sole
Source/Sole Brand
10
working days
c. Open
Market purchases ($4,999.99 and less) 7 working days
d.
Contract Releases (purchased against state or agency contracts) 10 working days
Authority
to Commit University Funds
The
authority to commit University funds for supplies, materials, equipment and
certain contractual services has been delegated to the Procurement and
Contract Services Department within limits established by the Department of
Administrative Services, State Purchasing Office. This policy of purchasing
centralization provides for economies and efficiencies.
University
departments are currently delegated authority up to $5,000 per transaction.
Purchases must comply with other regulations as indicated elsewhere within
this document. Departments may
not “split” purchases to avoid this transaction limit. Purchases by departments which do not
conform to regulations and policy may be determined to be “unauthorized
purchases”. When such a
purchase is detected, the appropriate Department Head shall be notified in
writing and an explanation requested as to the circumstances surrounding the
violation. A final determination
shall be made by the Director of Procurement and Contract Services.
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Relationships
between Procurement and Contract Services and other departments
The
Department of Procurement and Contract Services is a service unit, and in
order to be of the most benefit to the University, is largely dependent upon
the cooperation and assistance of all University units, offices and
departments. In order to define
the relationship between the Department of Procurement and Contract Services
and other University units, offices and departments as definitely as
possible, the following governing practices are set forth:
·
Only Procurement and Contract Services
should formally solicit quotations from vendors. Departments are encouraged to contact
vendors for informal quotations or budget pricing. All vendor pricing obtained should be
submitted to Procurement and Contract Services when submitting a requisition.
·
The Procurement and Contract Services
Department should conduct all correspondence with the State Purchasing Office
(SPO).
·
All formal correspondence with vendors
should be either handled through or pre-approved by the Procurement and
Contract Services Department.
Formal communications is defined as those which obligate either the
vendor or the University to specific contractual actions. This is particularly true once a solicitation
to bid is in process. Again,
departments are encouraged to seek technical advice and product availability
information directly from vendors.
·
The degree of success that Procurement
and Contract Services Department has is dependent upon receiving timely
information from departments concerning upcoming events and
requirements. This allows us to
be proactive versus reactive. We
encourage departments to:
¨ E-mail
or telephone us advising of upcoming projects or needs
¨ Seek our
participation in meeting with vendors
·
The University seeks to deal fairly,
consistently and openly with all vendors in the spirit of cooperation. There are situations, however, where
the bargaining position of the University could be compromised when vendors
receive information regarding orders, prices or future plans. Departments should refrain from
revealing information not absolutely necessary.
·
Contact the Purchasing Section when
solicited by a vendor offering a suspicious “good deal”. This office is in contact with other
Purchasing offices throughout the country and often has knowledge of scams in
progress.
·
Departments contemplating accepting
equipment on a “trial” basis should contact Procurement and
Contract Services first. Vendors,
and sometimes departments, may need to be made aware of certain risks or
obligations especially with regards to risk management and liability issues.
·
Relationships with vendors should be kept
on a business like basis. Refrain
from accepting any gifts and especially those of greater than nominal value.
·
Keep the Purchasing Section notified of
pertinent information relayed by vendors such as potential or actual price
increases, new products etc. This
is especially true if the vendor indicates a price change during the term of
a contract.
·
Departments are cautioned against signing
any agreement or contract.
Agreements or contracts signed by personnel without the requisite
contracting authority are illegal contracts and the person signing may assume
personal liability.
·
In order to administer a contract, it
requires a joint effort between Purchasing and the user department(s). Close coordination and communication
is the key.
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Evaluation Criteria
Under
competitive bidding, the award should be made to the vendor offering the
lowest price for materials or services meeting the required
specifications. Quality and
service standards in specifications must, therefore, be adequately defined.
Purchasing Methods/Limits
Three
primary methods are used to obtain goods and services:
a.
purchase orders
b.
*petty cash (administered by Accounts
Payable)
c.
*Purchasing card
*
denotes purchasing methods delegated to departments at established levels.
The
general dollar value limits listed below are either delegated by DOAS or
established by University policy:
$1,000
or less Limit
for use of Petty Cash (minimum reimbursement of $50)
$4,999.99
or less Level
for taggable equipment (plus all computers and weapons)
$4,999.99
or less Limit
for departmental purchases and P-Card limits
$5,000
and greater Capitalized
assets (depreciable assets)
$5,000
and greater Level
requiring competitive solicitation
$100,000 Sealed
Bid limit
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Mandatory
Sources of Supply
The
State of Georgia
and DOAS have established a number of mandatory sources of supply. These include: DOAS Statewide Contracts, Georgia
Correctional Industries, and other Sheltered Workshops. The Procurement and Contract Services
web page offers links to the Georgia Statewide Contracts and Georgia
Correctional Industries. These
commodities are subject to change.
For further information, call the Purchasing Section.
The
University also maintains Agency contracts which are unique to Georgia
Southern University. Examples
include janitorial supplies, security services, bus charter and food
supplies.
The
precedence for using these mandatory sources are: Statewide Contracts, Agency Contracts
and then Georgia Correctional Industries. Off-contract purchases should only be
made where the desired good or service is not carried under a contract
indicated above. These
mandatory sources of supply apply to departmental purchases (Procurement
Card) as well as those submitted through Procurement and Contract Services.
Purchasing
Contracts
The
Procurement and Contract Services Department is responsible for administering
the many Statewide contracts issued by DOAS and used by the University. Many of these contracts are mandatory
sources of supply (Statewide Contracts, Georgia Correctional Industries) and
must be used before soliciting other vendors. Additionally, depending upon need, the
Procurement and Contract Services Department will enter into contracts with
vendors for repetitive items and/or services in support of the campus department’s
mission (Agency Contracts). The
use of supply contracts and blanket orders usually improve the
University’s position with regards to price and delivery and are
encouraged whenever feasible.
Departments having repetitive needs for certain commodities are
encouraged to contact Purchasing regarding the possibility of establishing an
annual contract.
Taxes
Georgia
Southern University, as a unit of the State of Georgia, is exempt from payment
of Georgia Sales and Use Tax and most Federal Excise taxes. Student and Athletic funds are also
exempt. Generally, the only State
taxes paid by the University are the Georgia Motor Fuel Tax and the scrap
tire tax. Generally, the
University is not liable to pay state sales taxes of other states if the
transaction is consummated in the State of Georgia. A tax exempt form may be obtained from
the Purchasing Office and is also available on our website.
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Purchases
for the personal use of employees
It is
unlawful (Georgia Code 50-5-80) for the University to make purchases for the
personal use of its employees. The Board of Regents manual further states
that
“employees
of the University System shall not purchase goods or services through
channels used in the purchase of goods and services for the operation of the
University System."
Some
items, the nature of which indicates that their end-use is more personal than
official are prohibited from purchase without prior approval of the
Procurement and Contract Services Department. These items include but are not
necessarily limited to: holiday decorations, cut flowers, coffee makers,
entertainment and/or refreshments, portable table radios, watches, ground-breaking
shovels and other items to be granted as a donation or gratuity in favor of a
person, corporation or association, employment agency placement fees,
greeting cards, trophies and other awards and shoes.
If
a department routinely buys items listed above (for example: Catering buying flowers for official
functions), then it should submit an exemption request via memo to the
Purchasing Office. We will
respond in writing keeping a copy of your request on file for audit purposes.
Purchases using Contracts, Grants or Gifts
Purchases
using funds derived from contracts, grants or gifts are subject to State of Georgia
regulations, Board of Regents and University policies and will be expended in
the same manner as University funds.
All requisitions citing these funds must be approved by the Office of
Research Services and Sponsored Programs (ORSSP) and Financial Accounting
Office prior to receipt by the Purchasing Section.
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Emergency
Purchases
Emergency
situations include the following:
- Academic,
research or technical personnel can not perform any significant activity
in their field due to the lack of needed materials or services.
- A
system or piece of equipment ceases to functions or malfunctions to the
extent that it ceases normal activity and leaves personnel idle.
- Circumstances
resulting in an extremely detrimental effect on the operation of the
University.
- Any
situation in which inaction may seriously endanger the safety of any
person and where direct action will alleviate the situation.
Should
an emergency arise during normal working hours, contact the Purchasing
Section by phone as soon as possible.
A member of the staff will review the situation with you and make a
decision on the appropriate course of action. The Purchasing Section is required to
report to DOAS all emergency purchases so it is imperative that this office
be notified immediately.
Should
an emergency take place after hours, weekends and/or holidays, the department
should make the purchase or acquire the services. If necessary, the department can
furnish the vendor with their VISA card number or advise the vendor that
Purchasing will contact them the next work day with either a purchase order
number or a VISA card number.
Departments must contact the Purchasing Section on the next working
day. Proper follow up action will
be discussed and taken at that time.
Sole Source/Sole Brand Procurements
Two
of the more closely audited items during a purchasing audit are the use of
sole source and sole brand procurements.
Both of these are heavily regulated by the state and require certain
minimum justifications as indicated below.
Sole
source simply means justifying that only one company can provide the good or
service that is being requested.
Justifications must address the following:
- Information
to establish the context of the sole source (i.e. the item’s
function, how it is to be used, operational environment and/or previous
experience or history)
- Identify
efforts to locate other possible sources. This includes department searches
as well as purchasing attempting to find other sources.
- Provide
proposed suppliers unique/exclusive capabilities making them the only
company/person who can complete the task. Some examples include:
o
Exclusive source can furnish services
because of its previous experience with the University and hiring another
source would result in excessive cost to the University. The excessive cost must be
quantified. Simply stating
that a vendor “did a good job before” is not justification for
sole source.
o
Exclusive source has unique technical
competence or expertise. Explain.
o
Exclusive source possesses patents or
other exclusive rights to the item being furnished. Provide documentation.
Sole source may not be used as an attempt to contract
with a favored service provider or a favored product (see Sole Brand). This is perhaps the largest abuse of
sole source in purchasing and carefully scrutinized by the audit staff.
While
sole source refers to only one vendor being able to furnish the goods or
services, sole brand does not necessarily limit competition. A common justification for sole brand
involves “standardization” meaning the item must match existing
items. For example: uniforms or scientific lab equipment
where training, spare parts and maintenance are issues involving which brand
to buy and reduced costs to the University.
Departments
desiring to purchase an item or services under sole source and/or sole brand
justifications must complete the sole source and/or sole brand form found in
the forms gallery on our web page.
A member of the purchasing staff will review it to ensure all the
above minimum requirements are met.
If not, it will be returned to the department. If additional sources or brands
meeting specifications are found, purchasing will issue the solicitation as a
competitive bid.
Effective
2005 all Sole Source and Sole Brand procurements must be posted on the
Georgia Bid Registry for a minimum of three business days before an award may
be made. If a legitimate
challenge is made to the Sole Source or Sole Brand then a competitive bid
must be prepared and the competitive process followed.
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Unique/Prohibited/Restricted/Controlled
Procurements
The
following commodities require special procedures and/or approvals. Departments having need of the
following should contact the Purchasing Section for further details.
- Ethyl
Alcohol
- Purchases
of Government Surplus Materials
- Electrical
equipment – compatibility
- Printing
Services
- Vehicle
Purchases/Donations
- Purchases
involving trade-ins.
- Purchases
requiring a written agreement/contract
- Professional
Services
- Computer
and other technology associated purchases
- Communications
equipment/services.
- Food
purchases using E&G funds.
- Equipment
repair
- Real
Estate rentals.
- Hazardous
materials, chemicals and biological agents
- Consulting
Agreements
- Used
Equipment/Antiques
- Ethyl
Alcohol: The University
official appointed to sign or issue all applications and other required
documents pertaining to the purchase, storage and use of ethyl alcohol
is Dr. Oscar Pung in the Biology Department. A permit has been granted to the
University under the following conditions of use: “For purely scientific
research, instructional and medical use as a solvent, reagent, cleaner,
chemical extractant, fuel and pharmaceutical in the classes,
laboratories, hospitals, infirmaries and departments.”
- Purchases
of government surplus materials:
All purchases of State and Federal government surplus should be
done through Procurement and Contract Services. The department acquiring such
equipment is responsible for complying with utilization and disposal
restrictions which may apply.
A one day pass obtainable through Property Control is necessary
to screen and obtain equipment from the state distribution centers.
- Electrical
Equipment: When writing
specifications for electrical equipment, care should be taken to consult
with Physical Plant if the equipment exceeds 115V, single phase, 60 Hz. This is to ensure that there is
adequate power available within the building. Indicating on the
requisition that Physical Plant has been contacted will greatly speed up
the procurement process.
- Printing
Services: All requests
for printing should be processed through the Purchasing Section, except
as provided below. For this
purpose, a requisition should be completed and forwarded through the
usual route.
Exceptions: Print
jobs not exceeding the $4,999.99 departmental spending authority may be
ordered directly from one of the three authorized statewide contract
vendors by use of the Procurement Card. Statewide vendor information
maybe obtained at http://ssl.doas.state.ga.us/PRSapp/statewide/SWC30742%20(PS%208.8)_053008_092850.pdf. Darby Printing is not available
for use by universities due to a conflict of interest between the vendor
and the Board of Regents. For requests $5,000 and greater printing
specifications should be submitted along with the requisition for these
requests. Procurement &
Contract Services will submit specifications to the statewide contract
vendors for pricing.
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Printing Services: The printing service functions usually
begin at the point that edited copy and finalized artwork are ready for
submission, either as camera-ready copy or digital files. These services may include:
·
Various design services
·
Preparation of impressions by specified
press type, offset, web, photocopy machine etc.
·
Cutting, collating, folding, binding,
packaging and other after-impression services
·
Shipping or direct mail services.
Printing Specifications: Complete and accurate specifications
are required for all printing requests, whether or not the Purchasing Section
processes the request. Given the
present situation of changing technology, there is no substitute for
consultation in the preparation of printing specifications. The Purchasing Section and the Design
Section of Marketing and Communications are available for assistance. At times, printing suppliers may also
be called upon for advice. The
outline below is provided as a guide for the preparation of your
specifications.
Recycled Fiber Content: The University is required by law to
purchase a percentage of their printing paper from recycled stock and report
these percentages to DOAS. To
assist in meeting this goal, customer departments are requested to indicate
what percentage of recycled stock is acceptable. If not indicated, the Purchasing
Section will assume 50% recycled fiber content is acceptable.
Standards Review: All printed material for which
specifications were prepared solely within the originating department and is
intended for off-campus distribution should be forwarded to Marketing and
Communications /Design Services prior to submission to the Purchasing
Section, for review of content and style to ensure that it meets the
established University standards.
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Printing
Specifications Outline
Date
Project
Name
Quantity
Size
Stock
Ink
Halftones/Color
Separations
Composition
Bindery
Proof
Delivery
Date
Remarks/Special
Instructions
Contact
Person
- Vehicle
Purchases/Donations:
Purchases of all roadworthy vehicles are covered by a continuing
statewide moratorium. All
requests for vehicle purchases must indicate if the purchase is for a
new or replacement vehicle.
All purchases must be justified. With few exceptions, only
vehicles having 150,000 miles or greater or being beyond economical
repair may be replaced.
Exemption requests must be forwarded by Purchasing to the Board
of Regents for further forwarding to Fleet Management and Office of
Planning and Budget. Most
vehicle types are covered by mandatory statewide contracts which
normally run from Nov 15th to April 15th. Every effort should be made to
purchase vehicles during these times due to the significant savings and
a better chance to approval for an exemption to the moratorium. Request for vehicle quotations
between April and September are difficult due to production line
changes. Vehicle donations
must also be approved in much the same manner as purchases. Further, the Vice President for
Business and Finance must approve all vehicle donations prior to
approval being requested from OPB.
- Purchases
involving trade-ins:
Purchases using University equipment as trade-in must be dealt
with on a case by case basis.
Departments contemplating such purchases should contact the
Purchasing Office for assistance.
Information required on a requisition must include a description
and decal number, if applicable, of the item being considered as a
trade-in. Permission must be
obtained by Property Control from State Surplus Property before an item
may be made available as a trade in.
- Purchases
requiring a written agreement/contract: Purchases requiring a written
agreement or contract irrespective of cost should be sent to the
Purchasing Office to procure.
Many written agreements or contracts contain objectionable
clauses which, under some circumstances, could void the contract leaving
the individual signing the agreement personally liable to the vendor.
- Professional
Services: Requests for
professional services are often subject to special approvals including
the Board of Regents. A
professional service contract is defined as any contract or commitment
that engages a business firm to perform professional services for a
fee. Such professional
services must involve a highly skilled judgment or training, artistic
taste or other similar attribute which is dependent for its quality upon
the characteristics and knowledge of an individual and cannot therefore
be standardized and competitively bid. Examples include:
- Accounting
services by a CPA firm
- Architects
services
- Chiropractic
- Engineering
- Land
Surveying
- Legal
Services
- Medical
Services (Doctors, Dentists, Veterinarians)
- Optometry
- Psychology
Professional Services do not
include the following:
·
Advertising and advertisements
·
Chemical Analysis
·
Consulting
·
Drafting
·
Insurance
·
Interior Decorating
·
Licenses
- Computer
and other technology purchases:
Effective March 2003 the University adopted an Information
Technology purchase procedure which involves the procurement of hardware
and software by University departments. Most technology procurements are
now routed via Information Technology Services to Purchasing. These procedures are covered in
detail in another section of this website.
- Communications
equipment/services: All
requests for communications services and/or devices such as telephones
and cellular phones should be ordered through the Telecommunications
Department.
- Food
purchases using E&G funds:
With very few exceptions those Educational and General funds
(those speedcharts beginning with 10XXX may not be used to purchase
food, drinks and other refreshments for human consumption. Exceptions are where the items are
supplies consumed as part of a course or for non-human consumption.
- Equipment
Repair: Equipment repair
requests above the departmental limit of $4999.99 and greater should be
forwarded to the Purchasing Office.
Arrangement will be made to ship the equipment out via Central
Receiving. This affords
continuity in the chain of custody especially when dealing with tagged
assets.
- Real
Estate Rentals: All rentals
of real estate which, under some circumstances, can include leasing
storage space must be approved and signed by the Board of Regents.
- Hazardous
materials, chemical and biological agents: There are a number of chemicals
and biological agents which the University is not allowed to
procure. Others require
special environmental reporting.
These items must be purchased through the Purchasing office via a
requisition. Departments may
not procure these items on their Procurement cards. A listing of these chemicals and
biological agents are contained elsewhere on our web page.
o.
Consulting Agreements: Consulting agreements are now handled
in Procurement and Contract Services.
These agreements are not considered by the State to be a professional
service and are therefore subject to the Georgia Procurement Code meaning
that agreements of $5,000 or greater must be either competitively bid or
declared a Sole Source purchase.
Departments wishing to procure the services of a consultant need to
follow the procedures and guidelines indicated below:
Consulting
agreements will fall under one of three categories:
·
Consulting agreements up to $4,999.99:
o
Do not require a written agreement. If the vendor, however, requires their
own written agreement to be signed, the agreement/contract must be forwarded
to Procurement and Contract Services or Legal Affairs for review. The terms and conditions of this
agreement may be objectionable or in conflict
with those contained on the Per Diem and Expense Form.
o
May be done within departmental
purchasing authority and do not need to come through Procurement and Contract
Services
o
Do not require encumbrance of funds on a
purchase order
o
May be paid on a per diem and expense
form sent directly to Accounts Payable.
·
Consulting agreements $5,000 and
greater
o
Require a written agreement.
o
Require an encumbrance of funds on a
purchase order
o
Require either competition (a bid) or a
sole source justification from the department as to why this consultant is
the only one qualified to do the work.
o
Departments should send a requisition
citing funds as well as a “scope of work” and sole source form,
if applicable, to Procurement and Contract Services.
o
Procurement and Contract Services will
draft and release a bid and/or written contract and a purchase order to the
vendor.
o
(*) Services are to be paid against the
encumbrance on the Purchase Order therefore a Per Diem and Expense Form will
not be used to pay for the services.
(*) Note: Language contained in the terms and
conditions on the Per Diem and Expense Form may not agree with terms and
conditions contained in the written agreement prepared by Procurement and
Contract Services. It is
imperative that these two documents not be used together.
p. Used Equipment. The Georgia Procurement Manual does
allow for the purchase of used equipment/goods. As antiques are not separately
covered, they are covered as used goods.
In order to purchase used goods, the goods must be examined by
“qualified personnel who will furnish a written certification as to the
condition and value to the agency.
This certification should include good working condition for intended
use and price comparisons to comparable used equipment.”
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Procurement
Card Program
Georgia
Southern University participates in the statewide procurement card
program. This card is essentially
a commercial VISA card issued through the Bank of America. The University has strict guidelines
regarding the use of this card and the procedures associated with its
use. Cardholders become
authorized purchasing agents up to certain limitations and are required to
follow specific rules regarding the expenditure of public funds. Card limits are normally $4999.99 per
transaction and monthly limits are set based upon department head
recommendations. There are
specific requirements regarding monthly submittals of charge slips, the
ongoing maintenance of records and the safeguarding of the use of the
card. Procurement and Contract
Services requires cardholders participate in a training session prior to
receipt of their cards.
Individuals desiring a card must complete an application and have their
department head approve it and forward to Procurement and Contract
Services. Use and procedures for
the Purchasing Card are covered in a separate area on our website.
Maintenance
and Service Agreements
Solicitation
for and issuance of contracts for the maintenance and servicing of University
equipment shall be the responsibility of the Purchasing Section. Maintenance contracts will be
negotiated on new equipment as it is acquired and will be renewed annually on
existing equipment as requested and/or approved by the Department Head. Renewals are NOT an automatic
procedure. Annually, the
Purchasing section will issue a contract renewal notification to all departments
currently having annual contracts.
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Change
Orders and Cancellations
Occasionally
it is necessary to amend the original purchase order because of change in
quantity, specifications, price, substitute products or any number of other
corrections brought about by changing plans or requirements. Because amended purchase orders alter
an existing contract between the University and the vendor, they can only be
issued with the agreement and consent of the vendor. Sometimes it becomes necessary to
compel a cancellation upon a vendor when in the best interests of the
University. These actions should
not be taken lightly and they are often harmful to good vendor relations.
Purchase
order changes and cancellations will be issued from the Purchasing Section
after consultation with the user department. The following are circumstances that
may justify a change order or cancellation:
a.
Overshipments: When more material is received than
ordered, Purchasing will first contact the department to determine if they
wish to keep the additional quantities.
Should they decide to do so, the departments will be charged for the
additional quantities.
b.
When price changes occur .
c.
Department requests for additional
quantities or items from same vendor prior to shipment and receipt of
original order. Department should
contact the buyer indicated on the original purchase order.
Expediting
and Follow Up
The
Purchasing Section will routinely follow-up on outstanding orders. Unless specifically requested by a
department or the need becoming apparent otherwise, the Purchasing Section
will not routinely expedite (change to provide for an earlier delivery date)
orders.
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Receiving
and Inspection of Received Materials
Procurement
and Contract Services operates a Central Receiving function that is
responsible for the receipt, inspection and delivery of materials on
campus. It is the policy of the
University to consign most goods to Central Receiving for further delivery to
the departments. Further details
can be obtained on the Procurement and Contract Services web page.
Departmental
Records-keeping
Department
Heads are responsible for ensuring their departments maintain their own files
relating to purchases. These
files must include a copy of the requisition, a copy of the resulting
purchase order or contract and any pertinent or significant
correspondence. Upon receipt of
an issued purchase order from the Purchasing Section, departments should
compare this to their requisition to ensure that the purchase order matches
what they intended to order.
Discrepancies should be brought the attention of the Purchasing
section immediately.
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Wright
Express Fuel Card
In
March of 2004 the University started issuing Wright Express fuel cards. These cards are unique to a particular
University vehicle and NOT an individual. These cards may be used at
participating stations to purchase fuel, automotive supplies and minor
maintenance. The use of the
Wright Express card instead of other credit cards (personal credit cards,
corporate American Express) is that the Wright Express card automatically
deducts taxes for which the University is exempt. In order to use the Wright Express
card, the individual operator must have a Personal Identification Number (PIN)
number assigned. The Fuel
Authorization Form on our web page may be used to request a PIN. Persons or departments desiring
additional information on the Wright Express card may contact the Purchasing
Section for details. Currently
the Wright Express card is to be used only secondary to the on campus fueling
station. Its primary use is for
out of town travel or during periods when the campus fueling station is
inoperable.
Petty Cash
Departments
may make direct purchases from vendors for immediate needs of not more than
$1,000.00 per purchase per vendor per day. It is the University’s policy
that such direct purchases may only be made when payment in full is made at
the time and initial point of delivery.
Departments may not make direct purchases and request that an invoice
be sent.
Restriction
on purchases are essentially the same as for other methods of purchase. (See page 5 for items resembling
personal purchases).
Payment
to the vendor may be made in cash from personal funds or in cash from funds
temporarily withdrawn from a departmental petty case fund. If required by the vendor, University
personnel must provide a tax exemption certificate at the time of purchase. These forms are available from our
Purchasing Section or from our web site. Under “Forms”.
Cash
purchases may be reimbursed to an authorized employee or departmental agent
with the submission of a Petty Cash Sales Slip Transmittal Form with the
receipts attached. With one
exception (cash register receipts), all receipts submitted for reimbursement
to the employee (any by departmental petty cash funds custodians for
reimbursement to the fund) should have the following characteristics:
- Receipt
should be an original and hot a carbon copy or photocopy.
- It
should be a “formal” receipt and not simply a slip of paper
with annotations.
- Receipt
should be marked “Paid” and carry the signature of the
vendor’s representative and the name of the vendor.
- Receipt
must show the date of the purchase and the quantity, description, unit
price and extended price of each item purchases. Cash discounts, if any, should be
taken.
Reimbursement
for cash purchases (and replenishment of departmental petty cash funds) is
made in the form of a University check.
Reimbursement can take approximately two (2) weeks. Due to processing costs, Petty Cash
Sales Slip Transmittals will only be processed if they total $50.00 or
more. Accounts Payable may make
an exception to this policy if a receipt would have to be held by University
personnel over thirty days before additional purchases would be made to total
$50.00. A written statement
explaining the circumstances should be submitted explaining the
circumstances.
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