TTC's Policies and Procedures > Procurement and Inventory Control > 10-2-3 Purchase Requisition/Order Processing
10-2-3 Purchase Requisition/Order Processing
TITLE NUMBER APPROVED DATE
PURCHASE REQUISITION, ORDER PROCESSING 10 - 2 - 3 5-18-93
 
BASED ON POLICY NUMBER AND TITLE
  2-12-0 EPA4:  FINANCIAL CONDITION   


PURPOSE: To assure efficiency and economy in purchasing supplies and equipment for all aspects of the College's operations.

 

  1. Requisition Processing.
    A need for a commodity is communicated to the Procurement Office to set the procurement procedure in motion. A requisition form on the "on-line" purchasing system is used to establish requirements.

  2. Forwarding Requisition.
    The Requesting Department shall enter a requisition on the college's "on-line" purchasing system, which shall be approved by the appropriate Budget Administrator.

    The Procurement Department will be unable to process requisitions that have not been approved or for which there are not sufficient funds in the budget pool.

  3. Preparation of Purchase Order.
    The Procurement Department will convert the requisition into a purchase order by following the competitive pricing procedure approved by the Area Commission.

    1. All purchases estimated to be $2500.00 or over require competitive bids from responsible vendors. Competitive bids are required except in emergencies, when a term contract is in place or when items have been declared a sole source.

      1. Emergencies: An emergency purchase is defined as one made necessary by a sudden, unexpected turn of events beyond the control of the College in normal conduct of its business. Included are events involving health, welfare, injury or loss to the College which can be rectified only by the immediate purchase of such equipment or service.

      2. Term Contract: A Term Contract has been established by the state's Material Management or CIO's office and is in effect.

      3. Other: Those instances where valid reasons dictate selecting a particular make or product (i.e., must be compatible with existing equipment; must meet certain standards, etc.) the budget administrator will prepare and sign a written justification that will become part of the purchase order file.

      4. Split Orders: Requestors will not split orders to circumvent the procurement procedure requiring competitive bids.

    2. All purchases under $2500.00 will be made by the purchasing office unless otherwise delegated by the Procurement office,  utilizing acceptable procurement methods to ensure the best interests of the College are served.

      Signature by the Procurement Director or designated Buyer deems that the price has been determined to be fair & reasonable.

  4. Processing Time.
    A certain amount of time is required to process each purchase requisition.  Below are general lead times.  They may vary, depending upon the particular procurement:

    1. Under $2,500.00                           1-3 days

    2. $2,500.00 - $9,000.00                  7-14 days

    3. $10,000.00 - 50,000.00                3 weeks

    4. $51,000.00 - $99,000.00              4 weeks

    5. $100,000.00 - $200,000.00           6 weeks

    6. All Procurements above $200,000 will be forwarded to either the state's Material Management or CIO's office for processing.  Allow six to eight weeks for this process depending on the delivery lead time of the item(s) after a receipt of order.

    7. If an emergency exists, the Procurement Office will take appropriate action.

      Some items can be delivered within one (1) day after the purchase order is received, other items will require as much as one hundred twenty (120) days.  This time is in addition to the processing time and should be planned for by the individual originating the requisition.  If there is a question or problem concerning delivery time of an item contact the Procurement office.

  5. Encumbering:
    Funds encumber when requisitions are entered. After purchase order is prepared and printed, it is distributed as follows:

    Original:
    Fax to vendor, or to Accounts Payable if to be prepaid. Requester may pick up the vendor copy at the Procurement office if the material is to be picked up

  6. Vendor's Response to Receipt of Purchase Order.
    Upon receipt of purchase order, the vendor ships the order to the college's Receiving area, unless otherwise directed by the Procurement office (with a packing list) and sends the invoice in duplicate to the Accounts Payable office. The Accounts Payable staff enters invoices on the "on-line" purchasing system. If receiving has been posted, the invoice will pay in the next check run.

  7. Receipt of Goods.
    Receiving department personnel, unless otherwise directed, opens and inspects the purchase order shipments. The Receiving staff will post the items as received on the "on-line" purchasing system and deliver the shipment to the Requester.

    Notify Receiving within two days if goods are not acceptable or there are any other problems with the order. Otherwise the invoice will pay and the purchase order will close.

Updated November 30, 2007


 

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