OKALOOSA COUNTY SCHOOL DISTRICT PURCHASING PROCEDURES

Transcription

1 REVISED 5/27/14 OKALOOSA COUNTY SCHOOL DISTRICT PURCHASING PROCEDURES SCHOOL DISTRICT OF OKALOOSA COUNTY ADMINISTRATION COMPLEX PURCHASING DEPARTMENT, RM #1 120 LOWERY PLACE, S.E. FT WALTON BEACH, FL 32548

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8 (E) PURCHASING PROCEDURES FOR INTERNAL FUNDS (School Board Policies ) (1) Purchasing requirements as established by School Board policy shall apply to internal account funds with the following exemptions: (a) (b) (c) (d) (e) (f) (g) (h) (i) Funds handled in trust for individuals or school organizations. Faculty funds for any purpose. Concession activities for food, beverages, and supplies for concessions at school sponsored activities and vending machine contracts. Special ventures for food and specialty items for resale under special projects sponsored by school organizations. Purchase of food items used in cooking for parties and banquets for student organizations or school organizations or student activities. Purchase of meals from restaurants and hotels for parties, banquets and proms for student organizations, school organizations or student activities. Admissions to any place of amusement, sport or recreation, or for the privilege of entering or staying in any place providing these services. Funds held in trust that were donated by an organization for a specified brand/trade name purchase. Uniforms for which students raise funds or pay for themselves. (2) All equipment purchased with Internal Account funds will become the property of the School Board and will be recorded on inventory records as prescribed by the Superintendent s staff.

9 PURCHASING PROCEDURES (from Finance and Accounting Procedures Manual - Chapter 1, Pages 3-19) REQUISITION/PURCHASE ORDER CYCLE The effectiveness of speed and coordination of the cycle flow for a requisition is based on the proper submission to the responsible department. The following cycle schedule is for your benefit to prevent delays when requisitioning items. Any improper routing of a requisition can result in a delay of as much as two weeks prior to distribution to a vendor. From Requisition To Purchase Order - When a request for some needed article is likely to have its origin with a school, department or other qualified person then a request is initiated by the person responsible for entering requisitions in the AS/400 System (see instructions for Screen A18 and Screen A19 in Chapter 4 of this manual). All requisitions must be posted by 2:00 pm each day. Once a requisition has been entered and posted, the funds are committed to prevent the possibility of over expending available resources. The requisition is then suspended until the Purchasing Department approves the purchase, usually overnight. The Purchasing Department takes such action as to determine a source of supply, if the item should be placed on bid, and if the requisition is completed in accordance to standards established by the School Board., then the requisition subsequently develops into a purchase order and a Purchase Order Number is assigned and funds are encumbered. The Purchase Order is printed at the Purchasing Department on the six (6) part form and the copies are distributed as follows: 1. WHITE COPY - MAILED TO VENDOR 2. PINK COPY - PURCHASING DEPARTMENT (FILE COPY) 3. YELLOW COPY - ACCOUNTS PAYABLE 4. GREEN COPY - ORIGINATOR (SCHOOL/DEPT) RECEIVING COPY 5. BLUE COPY - MISCELLANEOUS 6. ORIGINATOR S COPY - SENT BACK TO SCH/DEPT NOTE: The receiving copy of the purchase order will be discussed further in the section titled "Receiving Reports".

10 Request to Change or Trace Purchase Order - When the recipient of a purchase order needs to delete, add, cancel, or trace items on the purchase order, a "Request to Change or Trace Purchase Order" Form MIS 2006 should be Initiated. This form should be prepared in duplicate with the originator keeping one copy in the file for future reference. The original copy is forwarded to the Purchasing Department for the required action requested. It should be noted that it takes a minimum of ten (10) days for the Purchasing Department to contact the vendor in question and receive a reply to the request to trace. Do not take any further action on the purchase order until the Purchasing Department answers your request to change or trace the purchase order involved. NOTE: If there are any discrepancies with any type of requisition regarding the coding, the requisition will not be approved until action is taken to clear the discrepancy. To prevent any needless delays, verify the coding before entering a requisition. If a budget amendment is required to have sufficient funds for the requisition, be sure the budget amendment is submitted to the Finance Department before a requisition is initiated. PROCEDURE FOR PURCHASE ORDER CANCELLATION When it has been determined that a purchase order needs to be canceled, a cancellation request should be forwarded to the Purchasing Department, using the "Request to Change or Trace Purchase Order" form. Upon notification from Purchasing that a Purchase Order has been canceled, the school or department should immediately mark the Receiving Report "canceled" and forward it to the Accounts Payable Office. In the case where a purchase order is stamped "No Back Orders" and complete shipment is not made, the receiving report should be so noted and forwarded to Accounts Payable. No cancellation request on the outstanding items will be necessary. Any remaining balance on the purchase order will be automatically canceled.

11 REQUEST FOR POSTAGE SUPPLIES When a school desires to purchase postage supplies, they have two (2) alternatives; the purchases can be made through a Petty Cash Fund, or with a Purchase Order/Requisition Form. A. Schools with Petty Cash Funds: Purchase of postage supplies from the U.S. Post Office can be made through the school's Internal Account - Petty Cash Funds. The request for reimbursement to the Petty Cash Funds for purchase of postage supplies will be in accordance to outlined procedures for petty cash replenishment. B. Schools using the On-Line Requisition System: An On-Line Requisition is entered into the AS/400 System (See instructions for Screens A18 & A19 in chapter 4). The vendor should be the U.S. Post Office (nearest your location) or Postmaster. Make sure that your center number is listed in the SHIP (ship to) blank on Screen A18 Requisition Items. C. The Purchase Order for Petty Cash and On-Line Requisitions should be prepared a minimum of two weeks prior to the anticipated time funds for the postage supplies are needed.

12 OUTSTANDING PURCHASE ORDERS The policy of the Accounts Payable Section is to review outstanding Purchase Orders on a ninety-day cycle to determine if payment for the items ordered are delayed due to the lack of invoices or the need of a receiving copy from the school or department. Any purchase orders requiring action for payment that are older than ninety days will be pulled and a notice will be sent to the school, department or vendor, whichever is applicable. This process is used to speed up payment and prevent old accounts from becoming long overdue. Upon receipt of these messages they should be reviewed and every effort taken to make a prompt response. This will enable the Accounts Payable Section to clear up any problem areas prior to their becoming major areas of concern. At the end of each month Data Processing Center prints out for each school and department a list of purchase orders indicating if they were paid, partially paid, canceled, or still outstanding. These outstanding purchase order lists should be reviewed immediately upon receipt and any discrepancies or differences reported to Accounts Payable.

13 PROCEDURES FOR PETTY CASH FUNDS FOR SCHOOLS 1. This policy is adopted pursuant to State Board of Education Regulations No. 6A Petty Cash may be replenished as often as necessary to maintain an adequate Petty Cash Balance. However, each individual request for replenishment of Petty Cash cannot exceed the approved amount of that Petty Cash Fund. 3. The principal of each school will be responsible for the Petty Cash Funds. 4. Purchases from Petty Cash funds are limited to the following types of items: supplies, postage, and minor repairs. Purchases from Petty Cash Funds may be made for an item or items that are less than $ The Purchasing Department has the authority to reject any purchase that does not comply with this policy. 5. The following procedures shall be used in the operation of all Petty Cash Funds: a. A Requisition/Purchase Order form (manual or online) shall be used when establishing or replenishing Petty Cash Funds. b. The Finance Office is responsible for determining if funds are available for each school before issuing a School Board Warrant for Petty Cash Funds. c. The School Board Warrant shall be deposited into the school's Internal Account and this fund will be accounted for separately from all other Internal Account Funds. d. Petty Cash Funds may be replenished by submitting to the Purchasing Officer a requisition (manual or online), a Petty Cash Invoice Transmittal Form (MIS 2122), and supporting invoices for the total amount expended. Note: Do not request reimbursement for taxes paid. This is an unauthorized expenditure.

14 FLORIDA STATE BOARD OF EDUCATION ADMINISTRATIVE RULE 6A PETTY CASH FUNDS (1) Petty Cash Funds may be authorized by the school board pursuant to adopted policy for the purpose of making small expenditures for operation of schools. Each fund must be authorized by the school board as to the amount and the specific person responsible for the fund. The amount of a petty cash fund shall be commensurate with the volume and the purpose of transactions, but in no case shall exceed one thousand (1,000) dollars. (2) Petty cash funds shall be accounted for separately from all other funds maintained at the individual school center or other locations authorized by the school board. (3) The school board may reimburse each authorized petty cash fund as often as necessary upon the presentation of receipts equal to the amount of the requested reimbursement. At no time shall these funds be used as a loan or advancement to any organization or person, including cashing of personal checks. (4) Each petty cash fund must be replenished prior to the closing of records for the fiscal year in order that all expenditures shall be recorded for that year; provided, however, that where school centers are completely closed for the eleventh or twelfth month, each petty cash fund may be deposited into the school's internal funds bank account if authorized by the district school board in a rule or returned to the school board on or before the close of the school year and may be reestablished at the beginning of the subsequent school year upon authorization of the school board. Specific Authority (1), (1)(c) F. Law Implemented F. S. History - New , Amended , , Repromulgated , Formerly 6A-1.57, Amended ,

15 RECEIVING REPORTS (green copy of purchase order) After a purchase order is processed in purchasing the green copy and the white originator s copy of the purchase order is returned to the originator. There will be a purchase order number in the right hand corner of the purchase order that has been assigned by the purchasing department. This is the receiving report for the order that was placed. I. General Information A. A receiving report and an invoice must be in accounts payable before payment can be made. If the original invoice is received at the school or department, forward it to the accounts payable department. B. See the section A of the purchasing/accounts payable section of this manual for procedures for purchase order cancellation. II. Completing the receiving report A. Complete the receiving report immediately upon receipt of the merchandise and forward to the Accounts Payable Department. B. If the delivery completes a purchase order, the green receiving report should be completed in accordance with the instructions outlined below and forwarded to the Accounts Payable Office, with any attachments (registrations, work orders, etc.), immediately. a. Each item listed on the purchase order should be clearly marked in some way to indicate if the item was or was not received or if the item is to be canceled. b. The receiving report should be dated as of the date the merchandise was received. c. The complete signature of the principal, department head, or the designated representative should appear in the proper space provided on the receiving report.

16 III. Partial Receiving Reports A partial receiving report is used when some of the items on a purchase order have been received and there will be a delay in receiving the balance of the items. In this case put a check ( /) mark beside the item received in the quantity column. Items that are not received and are to be canceled put a (c) beside the item in the quantity column to indicate canceled. It is desired other notations or marks can be used on the receiving copy; however, the two standard marks ( /,C) will be used to indicate whether or not items have been received or canceled. Miscellaneous Information: ACCOUNTS PAYABLE Accounts Payable is continuously processing invoices for payment. Checks are cut each Wednesday morning and mailed that afternoon; therefore, if some-thing is to be paid on Wednesday, it needs to be in Accounts Payable on Tuesday. Prepayments: Often there is a need to pay a purchase order before the service is rendered or the merchandise is received (example: when a registration has to be paid before an employee attends a conference). This is accomplished through a pre-payment process established in accounts payable. Before a pre-payment can be made on a purchase order a supporting document in the form of an order blank, application order or invoice indicating the amount to be paid must be sent to accounts payable attached to the receiving report (green copy). The receiving report (green copy) must be signed and dated before payment can be processed.