PAP.2.5.050 Preparation of a Purchase Order

(a) Purchase Orders may only be used at vendors that have an established account with Tribe or an "Open Purchase Order". Purchase Orders shall be used by authorized staff for those supplies, materials, tools or equipment that are not available through the Tribe.

(b) A Requisition Request form may initiate Purchase Orders. Requisition Requests will be typed, computer generated or neatly hand-written. Requisition Requests missing any of the information requested below will be returned to the department initiating the request and will not be filled until such time that all items have been included on the form. All Requisition Request forms must be signed by the Program Director. This document will list in detail:

(1) The items to be purchased;

(2) The quantity of items to be purchased;

(3) The location to where the items are to be delivered;

(4) The time frame in which the materials are needed;

(5) The correct project number or to which program year the material is to be charged;

(6) The name and signature of the program director authorizing the requisition request.

(c) Only designated personnel shall be authorized to purchase goods. Such designation shall be in writing, by the CPO, and the authorized staff member shall be forwarded a copy of such designation. All Purchase Orders must be signed by the CPO or his/her designee;

(d) A list of authorized personnel shall be distributed to all vendors where such purchasing shall take place. Vendors shall be notified that should they accept and process a Purchase Order from any unauthorized personnel, the purchase order shall be considered invalid;

(e) Purchases for three thousand dollars ($3,000) or less may be executed by CPO or a representative designated by the CPO;

(f) Purchases in excess of three thousand and one dollars ($3,001) but less than one hundred and fifty thousand ($150,000) dollars shall be reviewed by the Tribe's Legal Department upon the discretion of the CPO or CPO Representative.

(g) Purchases in excess of one hundred and fifty thousand ($150,000) dollars shall be approved by the TGB upon review by the Tribe's Legal Department;

(Note: The table below is the $ amounts of purchases and whom are authorized to approve the purchases.)

(h) The purchase order is used as the primary contract document for contracts, single material and supply purchases of one hundred and fifty thousand ($150,000) dollars or less. At all times the procedures for Informal Solicitations shall be followed. For all purchases in excess of one hundred and fifty thousand ($150,000) dollars, a Purchase Order shall be assigned to the contract. Note the following exceptions:

(1) Procurements that are expected to exceed five thousand dollars ($5,000) and include labor shall be prepared utilizing a Request for Contract document and shall be administered by the Chief Procurement Officer (CPO);

(2) Procurements that are expected to exceed three thousand ($3,000) dollars but not exceed one hundred and fifty thousand ($150,000) dollars and do not include labor shall be prepared utilizing the Tribes informal solicitations Invitation For Bids (IFB) or Request For Proposals (RFP) format or the Requisition Request and shall be coordinated through the CPO;

(3) For the procurement of professional services (i.e. consultant, design professional, etc.) the primary contract document shall be a professional services contract executed between the professional and the TGB or delegated TGB Representative.

(A) For all other contracts for services a Legal Department template shall be used for any term < 12 months and is valued < $3k, however prior to execution the contract for services shall be reviewed by the Tribe's Legal Department.

(i) Regardless of the dollar amount, single purchases for which an emergency or a sole source exception is made, the Purchaser shall obtain the signed approval of the CPO or designee on the Purchase Order. The Procurement Department shall prepare a memorandum, which documents the emergency or special circumstances. The memo shall be signed by the CPO and attached to the Purchase Order. If the contract is federally funded, the vendor must comply with payroll reporting requirements when labor is involved (as described below). Therefore, the Procurement Department must obtain the required documentation from the contractor before payment is made for the goods or services.

(j) The Purchase Order will be computer generated from the centralized accounting program sequentially pre-numbered and properly labeled with the Tribal billing information. Copies of the Purchase Order with supporting documentation shall be distributed as follows:

(1) Vendor File

(2) Program Director

(k) The Purchase Order shall identify the account code and/or Project Number that has been assigned by the Tribal Finance Department.

(l) The Purchase Order form shall have blocks that identify the following:

(1) Date of Purchase;

(2) Program name;

(3) Vendor name;

(4) Vendor e-address or postal mailing address;

(5) Quantity of item(s) being purchased under this Purchase Order;

(6) Description of item(s) being purchased;

(7) Unit price of item(s) being purchased;

(8) Item SKU number if in use;

(9) Appropriate coding;

(10) Any special instructions, such as delivery address, date and or time delivery is expected (if necessary);

(11) Signature and date blocks for:

(A) Authorized personnel;

(B) TGB where required;

(C) CPO (when required); and

(D) Cash Management Director (when required)

(m) Procedures:

(1) Purchase Orders: Less than $3,000

(A) Authorized Personnel. CPO or CPO designee should ensure that all procurement is in compliance with these procedures:

(i) The Purchase Order will be filled out legibly by hand, typewritten, or computer generated;

(ii) All information pertinent to the purchase shall be identified on the Purchase Order;

(iii) All purchase descriptions shall fully detail what is being purchased;

(iv) All individual prices shall be noted and all prices shall be extended and totaled;

(v) Proper coding shall be noted;

(vi) The original, shall be given to the vendor, all other copies forwarded as described above or on the Purchase Order; and

(vii) If there are any attachments to the Purchase Order, ensure copies of the attachment accompany all copies of the Purchase Order.

(B) Procedures Performed by the Finance Department. Purchase Orders, numbered sequentially, shall be stored in a safe and secure location until assigned.

(C) The Procurement Department shall maintain a Purchase Order Log identifying which numbered Purchase Orders are given to whom;

(D) The receiving or responsible Department shall verify receipt of a purchase. It will be the responsibility of each dept. to maintain a sub-log of the Purchase Orders received and to whom they are assigned or to which vendors they have been issued.

(E) If the purchase is for non-expendable, capitalized equipment with a value greater than five thousand ($5,000) dollars the Receiving Clerk shall identify the capital equipment on both the original and the copy of the receiving document. The CPO shall ensure a pre-numbered Tribal decal or barcode label is issued to the recipient of the item. It shall be the responsibility of the recipient to ensure the decal is affixed to the piece of equipment in such a manner as to prohibit removal by unauthorized personnel.

(F) Upon receipt of the Finance copy of the Purchase Order and the vendor's original receipt, the Finance office shall ensure that the items are correctly charged against the specific account or ID No. for which they were purchased. ALL purchases shall be encumbered against the proper account(s). Items purchased for re-stocking inventory shall be charged to the general ledger account for such purchases.

(2) Purchase Order: Greater than $3,000

(A) Authorized Personnel. The CPO or their designee ensures that all procurement is in compliance with procedures found later in this document.

(B) The Purchase Order will be filled out legibly by hand, typewritten, or computer generated;

(C) All information pertinent to the purchase shall be identified on the Purchase Order;

(D) All purchase descriptions fully detail what is being purchased;

(E) All individual prices are noted and all prices are extended and totaled;

(F) Proper coding has been noted;

(G) The Purchase Order shall be forwarded to the Tribe's Legal Department for review upon the discretion of the CPO or CPO Representative.

(H) Upon review of the Purchase Order by the Tribe's Legal Department, the Purchase Order must be signed by the CPO and then processed;

(I) Ensure the original Purchase Order is given to the vendor and upon receipt of the goods, all other copies forwarded to the appropriate department as described above for processing.