Purchasing Policy

University Purchase:
The term "purchase" includes the contracting for the acquisition of all goods and/or services, whether by outright purchase, rental agreements, or lease, for the University of San Francisco. Exceptions to this definition are Services of Independent Contractors, and book acquisitions by Libraries. In addition, other contracts as specified by the Vice President, Business and Finance, will be excluded.

The University accepts no financial responsibility for purchase of goods or services made without an official University Purchase Order. Such purchases are deemed the financial responsibility solely and personally of the individual making such unauthorized purchases. Verbal orders will not be honored by the University.

Vendor Relations:
The relationship between the vendor and the University is very important. Listed below are the dynamics of this relationship.

1. Interviewing Sales Representatives: University personnel wishing to contact sales representatives may ask Purchasing Services for assistance. Unsolicited contacts from sales representatives should be referred to the Purchasing Services Office.
2. Supply Sources: Purchasing Services and Accounts Payable maintain a list of all vendors that do business with the University. Requisitioning departments are encouraged to suggest vendors for special orders or unusual items. Purchasing Services has the final authority to select a particular vendor, but will consider suggestions made by the requisitioning department.
3. Selection of Vendors : Vendors are selected for their ability to serve the needs of the University by providing quality products in the most economical and efficient manner possible. Past performance is an important factor. Vendors that are selected must agree with the terms and conditions of the University as set forth in Purchase Orders.
4. Vendor Qualification: Vendors doing business with the University are carefully and continuously evaluated by the Purchasing Services Office to ensure they meet USF's standards and expectations.
5. Vendor Credit Applications: Some vendors require that USF complete and submit a credit application before they begin accepting USF Purchase Orders. Such credit applications should be submitted to the Purchasing Services Office for completion. back to top

Conflict of Interest:
The University does not generally enter into purchasing contract with students, faculty, staff or members of their immediate families. Procuring from a business in which an employee has an interest is prohibited unless full disclosure of the background facts are presented in writing to Purchasing Services and is approved by the Vice President of Business and Finance. back to top

Sole Source:
A sole source purchase occurs when an item that is needed can only be purchased from a single source. This situation makes it impossible to obtain competitive bids.

When a sole source specification is submitted, Purchasing Services may require support documentation from the requisitioning department as to why it is essential that it should be purchased in preference to another item. back to top

Requests for Information/Proposals or Quotations (RFI/P,RFQ)
Competitive quotations/bid proposals are solicited by the Purchasing Services Office in accordance with the guidelines listed below. If the requisitioning department has obtained quotations, this information should accompany the requisition. Purchasing Services will evaluate the quotation and determine the purchasing action.

Competitive quotations will be secured in accordance with the following guidelines:

• $1. - $500: Quotations may or may not be solicited.
• $501. - $5000: Purchasing Services will attempt to obtain at least three quotations, either in writing or by telephone, depending on the competitive nature of the items requested. The lead time necessary for Purchasing Services to obtain quotes (verbal and/or written) is approximately 1-2 weeks.
• $5001. & up: Purchasing Services will attempt to solicit at least three competitive written quotations. The lead time necessary for Purchasing Services to obtain written quotes depends upon the items that are purchased. Please notify us as soon as possible, and we can then determine how much lead time will be necessary to obtain quotations.

The requisitioning department may not use multiple requisitions to circumvent the bidding process. back to top

Sales Tax:
The University is not exempt from sales or use taxes.When items are purchased for resale, sales tax is collected upon sale. For purchases made out-of-state, the State of California will assess a use tax. back to top

Small Orders:
There is a fixed cost associated with processing a purchase requisition, issuing a PO and processing the invoice. Therefore, Purchasing Services Office encourages departments, wherever possible, group like items of small orders together. This will help reduce the costs of negotiating and placing orders, and the associated overhead cost. back to top

Sales Agreements:
University departments should refrain from signing vendors sales agreements. The terms and conditions which the University wishes to govern a purchase are printed on the reverse side of the Purchase Order. In some instances, such as use of grants or Federal funds, the appropriate sales agreement language will be attached to the PO. If a vendor requires that a sales agreement be signed, a Purchasing Services representative will sign on behalf of the University. back to top

Delivery Lead Times :
Purchasing will patronize local vendors, all other factors being equal. In general, local vendors offer quicker deliveries, savings on freight, and greater accessibility. To be sure that your order will be delivered on time, consider these conservative lead times when estimating your "needed by" date:

• Local: Please submit requisition to Purchasing Services at least fifteen working days in advance.
• Out of State: Please submit requisition to Purchasing services at least twenty working days in advance.
• Special Orders: Please submit requisition to Purchasing Services at least six to eight weeks in advance when ordering equipment, furniture, and special orders. back to top

Expenditure of Funds:

Fund Sources
All funds deposited with the University, regardless of source, are considered to be University funds, and must be handled in accordance with University policies and procedures. Although departments are allocated funds in their budgets for a given period, this allocation is only an authority to requisition, not to purchase.

Cost Centers
Each department is assigned an account number or numbers(6 digits) by the Controller's Office. All requisitions require the complete account number(s) to be charged. back to top

Requisition to Purchase:

• Only individuals officially designated as "Responsible Person" on the University's Chart of Accounts, as established by the Controller's Office, are authorized to approve requisitions for submission to Purchasing Services. The "Responsible Person" may delegate this authority, for specific account numbers, object codes, or dollar amounts, by submitting a Signature Authority Memo, to Purchasing Services. This memo, as with all requisitions, must be signed and dated by the "Responsible Person" (no stamped signatures), signed also by the designee, and must indicate the duration of authority.
• It is recommended that the requisitioning function (including issuing requisitions and approving invoices) reside with one person within a department. Alternates should be assigned to expedite processing when the primary person is unavailable.
• All outside requests for purchases are processed through Purchasing Services on a requisition form or on a requisition processed electronically through the automated Purchasing System. Regardless of type, each requisition is pre-numbered to eliminate duplication.

Requisition should include the following information:

• Each requisition should be prepared in duplicate. The original copy is to be forwarded to Purchasing Services, after all necessary approvals have been given. (In the electronic system, user should print copy of requisition). The duplicate copy should be retained in the departmental file.
• When possible, the department should furnish suggested sources of supply, giving the complete name and address of vendor.
• A complete description of the material or service desired, including catalog numbers and samples if applicable and if attachments are to be mailed with the Purchase Order.

Note: Please be sure and retain one copy for your files. Each requisition should list only items that can be furnished by one supplier, (e.g. do not request typography and furniture on the same requisition). back to top

Requsition Approval
Each college/department has been assigned capital limitations by their divisional Vice President/ Provost. Please check with your Dean/ Director to find out your limitations. For grant accounts, the USF Grant Administrator's signature is required. back to top

Invoice Approval:
Should you receive an invoice for items received and/or services rendered, please approve payment by signing, dating, and indicating the Purchase Order number on the invoice and promptly send to the Accounts Payable Office. Failure to submit invoices to Accounts Payable for payment(s), in a timely manner would result in delays in making payment to vendors. This may prevent USF from meeting its "net 30" practice which is in violation of sales agreement (i.e., PO) and jeopardizes vendor relations. back to top

If a department wishes to withhold payment to a vendor, please inform Purchasing Services. Send your instructions (reference the Purchase Order number and give the reasons for withholding payment), via hard copy or electronic mail to Purchasing back to top