Policies & Procedures

Policies & Procedures

POLICY OF BOARD OF TRUSTEES PEARL RIVER COMMUNITY COLLEGE

Purchasing

Adopted December 7, 1993

Revision Date December 15, 2004

Reference: Financial Resources

Policy: Purchasing regulations will be followed by all college employees.

Procedure: 1. All purchases of materials, supplies and equipment with a cost of $5,000 or less will originate with the faculty or staff member desiring to make the purchase. 2. A purchase requisition form will be completed by the originator and must contain the quantity, description and cost of the item(s) to be purchased. The general ledger account number to be charged should be noted. 3. The signed requisition form will be submitted to the immediate supervisor for review and approval. 4. If approved, the administrator will also sign the requisition and forward it to the Business Office. 5. The Senior Accountant will code and enter the requisition into the computer system for the purpose of confirming available funds, and for the creation of the purchase order. If funds are not available, the computer will reject the requisition as NSF, and the requisition will be returned to the originator for assistance. If funds are available, the general ledger account will be encumbered for the amount of the requisition. 6. The Administrative Assistant in the Business Office has the primary responsibility of then producing the purchase orders as needed. 7. Upon producing the purchase order, an electronic copy of the purchase order is e-mailed by the computer to the originator. Once the merchandise is received, the originator will return the e-mail to the Business Office confirming receipt of the merchandise. This confirmation will serve as authorization for the Business Office to also process and pay the related invoice for the merchandise. 8. The original purchase order is created and printed within the Business Office on a single part form containing all required information as well as a system generated signature of approval by the institution’s purchasing agent. The form is sealed and mailed to the vendor by the Business Office. 9. A purchase order report is generated by the computer system and made available to the Central Receiving Clerk. 10. A file copy of the purchase orders is generated and provided to the Senior Accountant, who will later match the copies to incoming invoices for processing. 11. The Senior Accountant supervises the entry of the approved invoices into the computer system. The previous encumbrance is then removed and the general ledger account is charged with the actual cost of the purchase. 12. Accounts Payable checks are generated weekly to pay approved invoices. 13. Purchases that do not involve an expenditure of more than $5,000, exclusive of freight or shipping charges, may be made without advertising or otherwise requesting competitive bids. See Mississippi Code 31-7013 for further details. 14. Purchases that involve an expenditure of more than $5,000 but not more than $50,000, exclusive of freight and shipping charges, may be made from the lowest and best bidder without publishing or posting advertisements for bids provided that at least two competitive written bids have been obtained. See Mississippi Code 31-7-13 for further details. 15. Purchases that involve an expenditure of more than $50,000, exclusive of freight and shipping charges, may be made from the lowest and best bidder after advertising for competitive sealed bids once each week for two consecutive weeks in a regular newspaper published in the county. See Mississippi Code 31-7-13 for further details. The Dean of Business Services will present the bids to the Board of Trustees for final approval. Any bid accepted other than the lowest bid will have justification written into the minutes of the Board meeting. 16. Purchases made as “Confirmation Only,” (i.e. purchase order is obtained after placing and/or receiving materials) may be used only in an emergency situation. Such emergency purchases will be presented to the Board of Trustees for their information only. Written justification must be attached to the requisition. Abuse of this procedure may result in the suspension of purchasing privileges. 17. The purchase of computer hardware and/or software is to be coordinated with the Chief Technology Officer. 18. Due to the nature of their work, the Maintenance Department and the Transportation Department are allowed to make emergency purchases less than $150 per day, per vendor, with the use of the departmental short form requisition.

No such file or directory