A Guide to Purchasing, Payables, P-Cards and Travel Policies at WIT

Transcription

1 A Guide to Purchasing, Payables, P-Cards and Travel Policies at WIT

2 Topics covered... An Overview of the Finance WIT Purchasing, Payables and P-Cards Direct Payment of Invoices Purchase Orders: Bids and Documentation P-Card Program / J.P. Morgan Travel Expense / Reimbursement Policies WIT Banner Reporting 2

3 Overview of the Finance Operations at WIT The Controller s Office Mission Statement: To account for, report on, and safeguard the financial resources of the Institution. 3

4 Overview of the Finance Operations at WIT The Controller s Office is committed to the following: Issue accurate, timely and meaningful financial information. Safeguard and maximize the return of Institute assets. Issue timely and accurate payments to employees, students and vendors. Improve the operations of the Controller s Office by using enhanced technology. Continue to enhance internal operations by the adoption and implementation of best practices, policies and procedures. 4

5 Overview of the Finance Operations at WIT The Controller s Office is primarily responsible for: Accounts Payable Payroll General Accounting Fixed Assets Enforcing and documenting financial policies Audit functions and IRS compliance 5

6 Overview of the Finance Operations at WIT The Purchasing s Office Mission: To assist the Institute s community with the timely and cost effective procurement of goods and services. 6

7 Overview of the Finance Operations at WIT The Purchasing s Office endeavors to maximize the Institute s purchasing power by: The use of competitive bidding. Negotiation. The administration of special pricing agreements and contracts. The establishment of standards of vendor performance which benefit the Institute. Membership in purchasing consortiums to maximize our buying power. 7

8 Overview of the Finance Operations at WIT The Purchasing Office performs the following duties: Consulting Negotiating Evaluating Communicating 8

9 Purchasing at WIT Four Purchasing Methods 1. Standard Wentworth Purchase Order 2. Procurement Card ( WIT Credit Card ) 3. Request for Payment Form/Direct Pay 4. Institutional Contracts 9

10 Purchasing at WIT 10

11 Purchasing at WIT Wentworth Standards All contracts need to be reviewed by the Director of Compliance and Risk Management and signed by the VP for Finance. Approved contracts must be sent to the Purchasing Department along with the requisition. Building modifications require the approval of both Physical Plant and the Planning & Construction Department. The Planning & Construction Department sets furnishing and fixture standards. Contact them for project assistance. The Director of Compliance & Risk Management handles insurance coverage for the Institute and establishes insurance requirements for vendors/contractors. The Department of Technology Services (DTS) sets standards for computer hardware, system software and audio and video equipment. Temporary Help is arranged through the Human Resources Office. 11

12 Purchasing at WIT Standard Wentworth Purchase Order A Purchase Order is the one reference point common to the Requisitioner, Purchasing, Accounts Payable and the Vendor and is essential in tracking the purchase from procurement through the payment stage. A Purchase Order must be created before a commitment is made to a vendor. In most cases a Purchase Order should be used for purchases over $1,000 and is always required for all Capital Budget purchases. 12

13 Purchasing at WIT Standard Wentworth Purchase Order To establish a Purchase Order, an individual/department must fill out a Purchase Requisition form and submit it to the Purchasing Office. Requisitions for Capital goods and services are approved by the Vice President for Business who will assign the Capital Budget organization number and account code. Requisition Forms are located on the Purchasing Department website: 13

14 Purchasing at WIT Wentworth Procurement Card A purchasing tool that offers an alternative to the Wentworth Purchase Order or the Direct Pay method. Primarily issued to department heads and budget managers. Can only be used to purchase goods or services with a value less than $1,000. (However, it can also be used for materials and services such as subscriptions, travel, membership fees, etc., even if the amount exceeds $1,000). The Procurement Card is for Wentworth business related use only, the use of the card for personal purchases is strictly prohibited. 14

15 Purchasing at WIT Wentworth Procurement Card Benefits to the Cardholder and Wentworth Goods and services can be obtained quickly and easily. The workload and volume of paper related to the purchases and payments for goods and services is significantly reduced. The card provides for primary auto rental insurance. The card provides automatic travel insurance. Benefits to the Vendor/Supplier Payment is made to the vendor in as little as 3 business days. Elimination of invoicing and collection activities. 15

16 Purchasing at WIT Wentworth Procurement Card Receipt Requirements Original itemized receipts showing what was purchased. Restaurant receipts submitted must show detail of all meals consumed (most restaurants provide two receipts only one of which shows detail). If making purchases or payments online with a credit card, follow the prompts given by some sites which state that this is your receipt and to print a copy for your records. 16

17 Payables at WIT Wentworth Sales Tax Exemption Wentworth s tax number is and is embossed on all Wentworth procurement credit cards. This number must be given to all vendors at the time of the transaction to exempt payment of state sales tax. If a vendor requires a tax exemption certificate, the cardholder is permitted to submit an exemption certificate to the vendor. Copies of these certificate (ST2, ST5, and Letter of Renewal) are available at the Forms section of the Purchasing website. If sales tax is billed incorrectly to the cardholders account, it is the cardholder s responsibility to dispute the charges as outlined in the section Disputing a Transaction 17

18 Payables at WIT Wentworth Direct Pay (AKA Request for Payment Form) Used for payment of materials and services already rendered/received when a Purchase Order was not utilized and a credit card was not accepted. Also used for reimbursement for materials or services used by Wentworth and paid out of pocket by an individual. Invoices/Receipts must be attached to the form. Payment form is located at: 18

19 Payables at WIT Wentworth Direct Pay Request for Payment form is located at: 19

20 Payables at WIT Wentworth Contractual Agreement We have established purchasing contracts for a variety of materials (office supplies, water, coffee, etc.). These contracts were established to provide Wentworth with the best prices available for the selected products and MUST be used when obtaining those products. 20

21 Payables at WIT Bids and Proposals More than one vendor should always be contacted when purchasing materials or services. Requesting multiple price quotes ensures that we are getting the best price, term and delivery. Purchases between $1,000 and $5,000 at least two vendors should be contacted and a verbal or written price quote obtained. Purchases over $5,000 A minimum of two and preferably three vendors must be contacted and a written quote obtained. All Capital requests require three written quotes. Sole Source if it is necessary to obtain materials that can only be secured from one vendor (sole source) please contact the Purchasing Department for assistance. For more detailed information of documentation required: 21

22 WIT Travel Expense / Reimbursement Policies It is the policy of Wentworth to reimburse employees for actual, reasonable and proper expenditures incurred while conducting Wentworth business. Good business practice requires that all actual expenditures be clearly and correctly recorded. Receipts are required for all expenditures. Expenditures are deemed reasonable in that they enable an employee to live comfortably, but not extravagantly while away from home. Expenditures are deemed proper in that they further the business purpose of the trip and conform to the Wentworth Travel Policy. Alcohol is not a reimbursable expense. Individuals who incur business travel expenses should neither gain nor lose personal funds as a result of travel for Wentworth. When travelling locally, employees may be required to use their personal auto for business trips. The number of miles Wentworth will reimburse will be equal to the actual miles driven less the traveler s normal commuting miles. Wentworth travelers are expected to familiarize themselves with Wentworth s Travel Policy and abide by it: 22

23 WIT Travel Expense / Reimbursement Policies Excel Travel Expense Report located at: 23

24 WIT Travel Expense / Reimbursement Policies Travel Advances The Controller s Office makes available travel advances to cover expenses which cannot be handled through normal purchasing process. A blank Travel Advance Request is located at 24

25 WIT Banner Reporting What is a FOAP? FOAP is the acronym we use in Banner Finance to capture financial transactions and facilitate retrieval of information for financial reporting. F = Fund: A five or six digit code identifying the source that the dollars are associated with. O = Organization: A five digit code identifying what departments the funds are associated with. A = Account: A four digit code identifying the type of expense/revenue. P = Program: A three digit code for the classification of financial statement reporting. A FOAP must be entered on all Direct Request for Payment Forms, Procurement card purchases, PO s etc. 25

26 WIT Banner Reporting How do I view my spending activity? If you are a budget manager or are a Endowed Professor or EPIC mini grant and/or a Sagan Fund grant recipient we can provide you with viewable access to Banner to see expenses incurred to date for the fiscal year. There are two ways to view activity: Within Banner go to screen FGIBDST (Organizational Budget Status) or Use Lconnect - Finance Budget to Actual reports are also sent out the first of every month to all budget managers. Please note we offer additional training specific to Banner and Lconnect 26