The attached procedures entitled "Policy on Purchases and Payment" are
to be followed by all departments within the city for committing city funds
for purchases and for subsequent payment thereof.
All authority to purchase (commit city funds) shall be by requisition.
A. The requisition shall be signed by the responsible person
in the department, normally the operating head of the department, or his designee.
B. If the amount exceeds $50, the requisition shall be also
signed by the Councilperson in charge of the department.
Completed and authorized requisitions will be forwarded to the Finance
Chairman, who will examine the requisition for completeness, authority, budgetary
limits and account(s) to be charged, and approve it.
Upon receipt of material from the vendor, the originating department
will indicate the quantity received on the original copy of the packing slip,
put the purchase order number on the packing slip and forward it to Accounts
Payable. If the material received constitutes a partial shipment against the
purchase order, this will be noted on the packing slip.
Upon receipt of the vendor's invoice, Accounts Payable will verify
the invoice with the purchase order and the receipt of material received from
the originating department.
A. If the vendor's invoice is acceptable, it will be
marked as approved for payment, and entered in the file of bills to be paid.
B. If the vendor's invoice is in error, a trouble memorandum
shall be prepared and sent to the vendor for adjustment.
When the payment has been made to the vendor, the purchase order will
be marked with the check number and the amount paid. If the purchase order
is complete (no back orders or trouble memoranda outstanding), the order may
be closed and filed in the completed purchase order file. The completed purchase
order file will contain the following, and will be maintained in purchase
order number sequence:
A. The Accounts Payable copy of the purchase order.
C. The original copy of the requisition.
D. All copies of verified packing slips.