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Purchasing

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Title: Purchasing

1
Purchasing

Purchases from external vendors using university
funds can be made with three different purchasing
processes remittance voucher, procurement card
or purchase order.
When preparing to make a purchase, first
determine which process is appropriate.
1. Should I use a remittance voucher?
2. If not, can I use a procurement card?
3. If neither a remittance voucher nor the
procurement card can be used, then a purchase
order must be processed before making the
purchase.

3
Remittance Vouchers

Stipends
Honorariums to non-Employees
Non-Employee Speaker Fees (being paid less than
1,000 for the calendar year)
Postage and Freight
Refunds and Reimbursements to non-Employees
(including Travel expenses)
Employee Recruitment expenses
Please contact Accounts Payable or visit the
Accounts Payable website for more information on
remittance vouchers.

4
Procurement Card

Office supplies on the mandatory state contract
purchased from the state contract vendor
Subscriptions to scholarly journals and
publications
Memberships in professional organizations that
promote advancement of the University's mission
(personal memberships not allowable)
Instructional Supplies (i.e. books, music,
classroom materials)
Laboratory and classroom supplies
Software (excluding software licenses)
Purchases of food for official university
business (no receptions or parties) with prior
email approval and Food Purchase Form

5
Procurement Card

The procurement card CANNOT be used for the
following
Purchases totaling more than 1,000 (NO splitting
to avoid the transaction limit)
Equipment or inventory items
Services
Fuel
Travel related expenses, including conference
registration fees only exemption is vehicle
rental through the state contracted agency. See
Travel website
Back ordered items (purchases must be readily
available at the time of order)
Radioactive materials

6
Procurement Card

Original, itemized receipts should be obtained
for each purchase.
Every month, the cardholder will receive a
statement for the purchases made in the previous
month.
This statement must be submitted to Purchasing
along with a credit card voucher and the
corresponding receipts by the 15th of the month.

7
Procurement Card

Each purchase listed on the monthly statement
should
be listed separately on the credit card voucher
with the chartfield string that should be charged
for the purchase and
have a corresponding itemized receipt attached to
the credit card voucher

8
Procurement Card

Credit card vouchers and attachments will be
reviewed for the following
the expenses are allowable
verify no sales tax was charged
the memo statement is attached
original receipt for each purchase is attached
Violations will be documented and repeated
violations may result in suspension or
cancellation of the procurement card.

9
Purchase Order

The purchase order process begins with the
requisition.
A requisition is simply an authorized request for
the purchase of goods or services. This request
is submitted to Procurement Services to be
processed into a purchase order.
A purchase order is the official university
document that represents an obligation to the
vendor for the purchase of the specific goods or
services detailed in the purchase order.
A purchase order must be obtained before the
purchase is made.

10
Purchase Order

To enter requisitions, university faculty and
staff must attend a training session to gain
access to Workflow in SOARFIN. These training
sessions are offered once a month and you can
register through SOAR.
Requisition entry instructions can be found at
http//www.usm.edu/lec/soardocs/soarfindocs.php.

11
Purchase Order

Common causes for delay in PO processing
Budget authority delays approving req in Workflow
Not enough info is included in the item
description
Required attachments are incomplete or not
received in a timely manner
Two written quotes must be submitted for
purchases between 5,000 and 25,000
Personal Services Agreements must be signed by
the vendor, the budget authority, the Tax
Compliance Officer and SPA (if on a grant) BEFORE
sending to Purchasing
Quote is referenced on requisition, but not sent
to Purchasing
Confirmation of Services Rendered or Goods
Received require VP approval and an invoice
before a PO and payment can be issued

12
Purchase Order

Requisition line descriptions should contain all
the information necessary for someone completely
unrelated to your department or project to
understand what you want to purchase.
Example 1
Bad Copy Paper
Good 8 ½ X 11, 20 White, Copy Paper Item
12345

13
Purchase Order

Example 2
Bad Graduated Cylinders
Good Class B Cylinders with Double Metric
Scales
200 ml capacity 5ml subdivisions Item S1094B
Example 3
Bad Equipment Repair
Good Materials and labor for pump replacement
in circulator (USM 123456) located in JST 915

14
Standing Orders

Standing orders are used when there are multiple
identical purchases to the same vendor made over
the fiscal year. These should be reserved for
purchases that would be paid at least 10 times
over the fiscal year.
Fuelman services
Nordan Smith for scientific gases
Any purchase that is a repeated monthly charge
(i.e. cable, Shred-it services, off-site storage
rental)

15
Computer Purchases

iTech is standardizing all computer purchases.
You do not have to enter a requisition in order
to buy a new computer.
A standard computer can be purchased directly
from iTech through SOAR, which works like an
Interdepartmental Invoice.
If you require a computer different from the
standard configuration, you can submit a quote
and an explanation for the variation from the
standard configuration to Ronnie.Taylor_at_usm.edu.
If approved, iTech will order the computer for
you then bill your department.
Please visit the iTech website for more
information.

16
New Vendor Setup

If you cannot find your selected vendor, first
contact Procurement Services the vendor name
may be abbreviated or the name may be listed
differently than the name searched.
If the vendor is not listed in the database, they
will need to be setup before the requisition is
entered. Have the vendor complete the vendor
registration form and a W-9. Send these
completed forms to Procurement Services at Box
5003 or fax number 601.266.5182.
The vendor registration form and W-9 can be found
on the procurement website at http//www.usm.edu/p
rocurement/forms.html.

17
Changing or Canceling a PO

Once a requisition has been processed into a
purchase order, changes and cancellations have to
be made in Purchasing.
Requests to change or cancel a purchase order can
by e-mailed to Shante Keith at shante.keith_at_usm.ed
u.

18
Purchasing Contacts