Business Manual - Material & Disbursement Services Section

With the exception of purchases under the Small Order Policy (MSD Policy 9), through open orders with local merchants (MSD Policy 13), or as noted in APY Policy 1, all State- or Federally funded requirements for materials, supplies, and services from commercial vendors are requested either manually (Purchase Requisition) or electronically through the FRS system. To complete a Purchase Requistion, see MSD Appendix 1, Purchase Requisition (instructions only).

Purchasing Services

If the Purchase Requisition is used to request a purchase, the request is completed and approved within the department. The requesting department removes and retains the yellow copy of the requisition and sends the remaining copies, with carbons intact, to Purchasing Services, CB #1100. It will take approximately 5 days for an approved requisition to reach a purchasing agent. You may hand-carry the requisition to Purchasing; walk-throughs are accepted between 1 p.m. and 3 p.m. each business day.

A time-saving alternative to this manual process is entering requisitions electronically into the Purchasing system (see MSD Procedure 5, Purchases from Commercial Vendors Using Electronic Requisitioning). Once submitted and approved on-line, the requisition is immediately available to the purchasing agent.

Bids and Approvals

When a purchasing agent receives an approved Purchase Requisition, s/he reviews the request to determine the appropriate bid process that will be required. The higher the dollar value of the request, the more formalized the bidding process becomes. For purchases in excess of $500,000, State Purchase and Contract (P&C) is the purchase authority. Purchases at this dollar level are forwarded by Purchasing to be competitively bid by P&C. The requesting department has an opportunity to review all bids received and to make a recommendation for an award.

Processing

The result of a departmental Purchase Requistion is the award of a Purchase Order. After award, a copy of the Purchase Order is sent to the department.

Departments with FRS access may check the status of the requisition online through award and final payment.

Receiving Report

One of the most important documents processed by the department is the Receiving Report. This document signifies that the supplies were received in full and in good order or that services were satisfactorily performed, and authorizes Disbursement Services to issue a check to the vendor. If there is a problem with the vendor's performance, contact the purchasing agent to adjust the Purchase Order before you complete the Receiving Report. Departmental delay in processing the Receiving Report causes delay in the payment to the vendor. The University can be held liable for damages caused to the vendor due to late payments.

Policies and Procedures

All purchases from commercial vendors must be made in accordance with the policies and procedures detailed in this Manual.

Additional Information

MSD Policy 9, Small Order Policy

MSD Policy 13, Open Order Purchases from Local Merchants

MSD Policy 23, Receiving Purchased Items

MSD Policy 25, Return of Merchandise to Vendors

MSD Policy 35, Delayed Receiving/Payment for Special Acceptance Considerations

MSD Policy 41, Complaints to Vendors

MSD Procedure 5, Purchases from Commercial Vendors Using Electronic Requisitioning

MSD Procedure 6, Purchases from Commercial Vendors Using Purchase Requisition

MSD Appendix 1, Purchase Requisition (instructions only)