POLICY: All expenditures of College funds must be pre-authorized. Goods and services supplied to the College by outside vendors must be procured by a college purchase order. Unauthorized expenditures are not reimbursed and are strictly the responsibility of the individual. Spoon River College uses the purchasing module in the College’s administrative system for acquiring goods and services.
This policy applies to all Spoon River College employees.
Expenditure Authorization: Employees must contact their supervisor or the Business Office for the appropriate procedure for obtaining expenditure authorization.
Tax Exempt Status: Spoon River College is a tax-exempt institution; therefore the College generally does not pay taxes on any purchase. If a vendor requires a copy of the College’s tax-exempt certificate, please contact the Business Office.
Employee Responsibilities: All expenditures of funds for goods and services must be documented by a purchase order processed prior to securing the goods and services. Goods and services received but not approved through the purchase order process are the liability of the person(s) making the original commitment and not the responsibility of the College.An employee assumes personal liability for making a purchase without following the proper procedures.
Recycled Products: In accordance with 2 C.F.R §200.322, Spoon River College does not discriminate against the procurement of products with post-consumer recycled-content. Products with the highest amount of post-consumer recycled-content are procured whenever cost, specifications, standards, and availability are comparable to products without post-consumer recycled-content.
Small and Minority Businesses: Spoon River College takes all steps to assure that minority businesses, women’s business enterprises, and labor surplus area firms are used when possible.
Purchase Orders: The purchase order makes possible the proper encumbering and charging of goods and services against the correct budget accounts. Additionally, there is better control over solicitation, acquisition, returns and vendor reimbursement by strict use of this system.A purchase order is issued to the vendor by the SRC Business Office only after receipt of a properly authorized purchase requisition. All purchase requisitions must be approved by the appropriate administrator and the Vice President. Instructions for completing a purchase requisition are available from the Business Office. College employees must use prudence in acquiring goods and services and in recommending vendors. A primary goal of the College is to obtain maximum value for goods and services for each dollar expended.The recommended purchase of technology will be reviewed by the Chief Information Officer and office furniture requests will be reviewed by the Vice President to insure compliance with established college standards. The purchase of printed matter and printing services must be approved by the Director of Marketing to insure compliance with college and regulatory agency guidelines.
Standing Purchase Orders: Standing purchase orders may be issued for the purchase of similar items from the same vendor. The purpose of the standing purchase order is to eliminate the necessity for the issuance of separate purchase orders for frequent or recurring purchases from a vendor.Generally, standing purchase orders should be issued each July 1 to be used for the entire fiscal year. The standing purchase order will list a general description of the item to be purchased and the total maximum dollar amount that can be used throughout the fiscal year.As purchases are made against the standing purchase order, the requester will forward the purchasing invoice to the Business Office with the standing purchase order number listed on the invoice. The invoice should be signed and dated to verify to the Business Office the receipt of the goods purchased and that payment can now be made on the invoice.
The requester must maintain a record of the purchases made against the standing purchase order to ensure they do not exceed the amount approved for purchases. If at any time during the fiscal year the encumbrance for the standing purchase order has been used in full, then a new standing purchase order must be processed for the remainder of the fiscal year if additional purchases must be made from the vendor.
All standing purchase orders are closed as of May 31 thus releasing any remaining encumbrances.
Purchases Using Federal Funds:
Less Than $3,000: In accordance with 2 C.F.R §200.320, micro-purchases under $3,000 will require the requester to recommend a vendor or provider of services. Care should be exercised to avoid perceived conflicts of interest and in all situations the determination of vendor or supplier should be based on the benefit to the College.
Exceed $3,000 and Are Less Than $150,000: In accordance with 2 C.F.R §200.320, small purchases between $3,000 and $150,000 require the requester to secure comparative quotes, preferably from a minimum of three vendors. The request for quotes is used to obtain supplier commitments for specific items. This process is most often used when specific desired items are known. The purchaser selects the items and a reasonable number of suppliers and requests a quote for not only price, but also such requirements as quantity, quality, delivery, and service. All such quotes should be requested in writing.
Equaling or Exceeding $150,000: In accordance with 2 C.F.R §200.323, Spoon River College will perform a cost or price analysis in connection with all purchases over $150,000. Independent estimates will be made before receiving bids or proposals.In accordance with 2 C.F.R §200.320, purchases equaling or exceeding $150,000 should be obtained using either of the following two methods.
Sealed bids that are publicly solicited. A firm fixed price contract is then awarded to the bidder who bid, conforming with all material terms and conditions of the invitation to bid, lowest in price.
Procurement by competitive proposals. The technique of competitive proposals is normally conducted with more than one source submitting an offer, and either a fixed price or cost-reimbursement type contract is awarded. It is generally used when the conditions are not appropriate for sealed bids.
All Other Purchases:
Less Than $25,000: For purchases under $25,000, the requester will be recommending a vendor or provider of services. Care should be exercised to avoid perceived conflicts of interest and in all situations the determination of vendor or supplier should be based on the benefit to the College.
Equaling or Exceeding $25,000: Purchases over $25,000 require the requester to secure comparative quotes, preferably from a minimum of three vendors. The request for quotes is used to obtain supplier commitments for specific items. This process is most often used when specific desired items are known. The purchaser selects the items and a reasonable number of suppliers and requests a quote for not only price, but also such requirements as quantity, quality, delivery, and service. All such quotes should be requested in writing.
Board Approval for Purchases: All purchases for goods of services equal to or exceeding $25,000 require Board of Trustees approval prior to issuing a purchase order. Requesters should anticipate the time requirement to secure Board approval. If an expenditure exceeding $25,000 must be made because of an emergency as defined in the Illinois Community College Act, the President will endeavor to communicate with the trustees as soon as possible. Such emergency expenditures require ratification by the Board.Exceptions to the bidding law are contracts or services of individuals requiring a high degree of professional skill such as auditors, insurance consultants, architects, and telecommunication and computer equipment.Requesters anticipating purchases of $25,000 or more should contact the Business Office well in advance of the purchase to identify any exceptions to the bid requirement and to schedule a bid process.
Requests for purchases must be submitted electronically in the College’s administrative system.
Requisitions will be approved electronically.
Step-by-step instructions for submitting requisitions are available from the Business Office.