Heritage University

Policy/Procedure Number: 2.1.4

Title: Purchasing Procedures

Effective: July 1, 1991; Revised December 1998; Revised February 2001

Authorized by: Cabinet

Policy:

Departments operating within their authorized budget levels may order or charge purchases (goods or services) from approved vendors on properly executed purchase orders and have those purchases billed directly to the institution under this policy, provided the procedures detailed below are followed.

Procedures:

Purchase orders are not required in advance for petty cash reimbursements aggregating less than $65.

Obtain a pre-numbered purchase order or a supply of them from the Business Office.

Complete the purchase order (PO) assuring that it contains all of the following information:

• · Vendor’s Complete mailing address
• · Date
• · Description of item being purchased, including serial number if available
• · Dept. the PO will be charged, example (1-xx-xxxxxx)
• · Line item the PO should be expensed to, example: (5200 academic travel) find these line items on your budgets
• · Authorizing signatures

* Sign and date the purchase order first by the appropriate department head, second by the appropriate budget officer, and forward it to the Business Office for budget review processing.

* The Business Office may delay approval of a purchase order for up to 10 days when cash flow is too tight to approve a purchase order within the 10-day period. The Controller will discuss further delay beyond 10 days of the purchase with the person with budget authority.

* Submit entire PO to the Business Office for approval to order. In no case is a purchase order to be given to a vendor before it has been officially signed by an authorized officer with authority to commit Heritage University to purchase goods and services, i.e. the President, the CFO, or the Controller.

* The Business Office will review the purchase order request and, once approved, will return the white and blue copies. The White copy is to be given to the supplier and the blue copy is to be retained for the departmental record. The goldenrod copy is retained in the Business Office to match against the vendor’s invoice. No vendor invoice will be paid without evidence of shipping and verified receipt of the merchandise at Heritage University. Failure to follow these procedures may result in the University denying obligation for the purchase of goods and services by an employee.