New Purchasing Procedures

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The document provides guidance on tighter purchasing controls being implemented, including new requirements for an explanation memo to be attached to all requisition forms. The memo must justify that purchases are for client needs and not personal preferences. It also describes the multi-step approval process involving the COO and fiscal departments. Follow-up paperwork like delivery slips are still needed to help process payments to vendors. Overall, the message is that budget cuts require mindfulness of spending and clear justification of all purchase needs.

Government & Nonprofit

? Budget cuts are taking their toll.
? We need to be mindful of EVERY penny.
? Going forward, tighter controls will be in place.

? New feature is the explanation memo.
? Focus on the necessities first.
? When possible, get Ms. Gibbs’ approval,
whether by signature or via e-mail. Especially
on residential needs.

? Think that you’re shopping with your own money.
? Be as specific as possible.
? Give client name, apartment number, etc. The more
information, the better.
? Be flexible AND reasonable.
? If you get by for a while on less, do it!
? The $600.00 chair is nice, but the $150.00 chair will serve the
same purpose.

? This must be attached to EVERY requisition
going forward.
? Serves two purposes:
? Audit back up. Validates the purchases to the
auditors.
? The Sales Pitch. Demonstrate the items are needed
and why they are needed.

? The reason for the purchase should revolve
around client needs. No other reason.
? The following should not be in your memo:
? “The furniture doesn’t match”.
? “I don’t like the current color”.
? “The other facility has one, why can’t I”?

? Reasons that are acceptable for your memo:
? “It will make the servicing of clients more efficient”.
? “It will improve the quality of client care”.
? “It will improve the overall environment, which will
benefit the client’s well being”.
? To reiterate, “Be thorough in your
explanation”. It will only benefit your cause.

? If a requisition is submitted without an
explanation memo, I will contact the person to
confirm it was not lost.
? Without the memo, the requisition will be
rejected and the process will have to begin
again.

? Once I have received the complete requisition
package, I will begin soliciting bids. This may
take a couple of days depending on the amount
of items requested.
? After the bid process is complete, the
requisition moves onto the next step.

? All requisitions are turned over to Patricia
Bacchus, C.O.O. for the first approval.
? She will review and decide if the items are
warranted or if changes need to be made.
? Worse case, it is rejected at this point.
? Once Ms. Bacchus has approved, the
requisition goes to Fiscal for final approval.

? In Fiscal, Leidy Montes will look over the
amount to be spent and compare it to the
available budget.
? Once everything checks out, the approved
requisition package will be sent back to me for
the ordering process.

? Once I have the requisition package back, I will
begin sending the purchase orders out to the
vendors who have won the bids.
? After the vendors have received the purchase
orders, they will process the order and ship it
to the requesting facility.

? Once the order is received, validated, and signed
for, send the delivery/packing slip down to me.
? Keep a copy of any order documents oh hand at
your facility for future reference
? The faster the documents get to me, the faster we
can pay our bills, the more likely we are to
receive preferred pricing in the future.

? There will need to be an extra effort taken by
all sides going forward with this process.
? The memo is now as important as the
requisition itself.
? We all need to watch the amount we spend and
what items we spend it on.

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New Purchasing Procedures

1. What You Need To Know

2. ? Budget cuts are taking their toll. ? We need to be mindful of EVERY penny. ? Going forward, tighter controls will be in place.

3. ? New feature is the explanation memo. ? Focus on the necessities first. ? When possible, get Ms. Gibbs’ approval, whether by signature or via e-mail. Especially on residential needs.

4. ? Think that you’re shopping with your own money. ? Be as specific as possible. ? Give client name, apartment number, etc. The more information, the better. ? Be flexible AND reasonable. ? If you get by for a while on less, do it! ? The $600.00 chair is nice, but the $150.00 chair will serve the same purpose.

5. ? This must be attached to EVERY requisition going forward. ? Serves two purposes: ? Audit back up. Validates the purchases to the auditors. ? The Sales Pitch. Demonstrate the items are needed and why they are needed.

6. ? The reason for the purchase should revolve around client needs. No other reason. ? The following should not be in your memo: ? “The furniture doesn’t match”. ? “I don’t like the current color”. ? “The other facility has one, why can’t I”?

7. ? Reasons that are acceptable for your memo: ? “It will make the servicing of clients more efficient”. ? “It will improve the quality of client care”. ? “It will improve the overall environment, which will benefit the client’s well being”. ? To reiterate, “Be thorough in your explanation”. It will only benefit your cause.

8. ? If a requisition is submitted without an explanation memo, I will contact the person to confirm it was not lost. ? Without the memo, the requisition will be rejected and the process will have to begin again.

9. ? Once I have received the complete requisition package, I will begin soliciting bids. This may take a couple of days depending on the amount of items requested. ? After the bid process is complete, the requisition moves onto the next step.

10. ? All requisitions are turned over to Patricia Bacchus, C.O.O. for the first approval. ? She will review and decide if the items are warranted or if changes need to be made. ? Worse case, it is rejected at this point. ? Once Ms. Bacchus has approved, the requisition goes to Fiscal for final approval.

11. ? In Fiscal, Leidy Montes will look over the amount to be spent and compare it to the available budget. ? Once everything checks out, the approved requisition package will be sent back to me for the ordering process.

12. ? Once I have the requisition package back, I will begin sending the purchase orders out to the vendors who have won the bids. ? After the vendors have received the purchase orders, they will process the order and ship it to the requesting facility.

13. ? Once the order is received, validated, and signed for, send the delivery/packing slip down to me. ? Keep a copy of any order documents oh hand at your facility for future reference ? The faster the documents get to me, the faster we can pay our bills, the more likely we are to receive preferred pricing in the future.

14. ? There will need to be an extra effort taken by all sides going forward with this process. ? The memo is now as important as the requisition itself. ? We all need to watch the amount we spend and what items we spend it on.

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