Pellissippi State Hardin Valley Campus
Exterior of Goins Building
Pellissippi State aerial view

Purchase Processing Procedures

  1. General Requirements
    1. All merchandise or services being purchased or reviewed for purchase from outside of the institution must be processed and ordered by the Purchasing Department. The President, Vice President of Business and Finance, and the Director of Purchasing are the only personnel that are authorized to commit college funds for purchase.
    2. The only exceptions to the above requirement are the following:
      1. Library subscriptions, interlibrary loan charges, on-line data base charges
      2. Payments to students (i.e. refunds and Foundation support)
      3. Fees for official/government inspections, such as of elevators
      4. Postage, freight and shipping charges
      5. Student club expenditures (i.e., agency accounts)
      6. Classified advertisements
      7. Awards, grants, and professional development funding provided by Pellissippi State Foundation
      8. Facility fees for special courses (bowling, swimming, golf, etc.)
      9. Payments to TBR, campus food services, and the campus bookstore
      10. Payroll (insurance, taxes, direct deposit, etc.)
      11. Petty cash reimbursement to the custodian of the petty cash fund
      12. Fee waiver payments to UT and TBR schools
      13. Airfare for travel on college business
      14. Other exceptions as approved by the Vice President of Business and Finance
  2. Purchase Requisitions

    A requisition will be created by the staff member requesting the purchase in the PelliBiz eProcurement site via the Requisition Form button or one of the catalogs provided and submitted to their supervisor and financial manager for approval.

    1. If the purchase request includes computer hardware or software, a Request for Computer Hardware or Software (CRAC) must be completed and attached to the requisition.  The form is also available electronically in the PelliBiz site.  NOTE: Additional comments or information should be added in the Internal Notes & Attachments section of the requisition.  These will not be sent to the vendor with the purchase order.
    2. After completing all approval steps, the Purchase Requisition is sent to the Purchasing Office where a Purchase Order will be issued to the vendor.  NOTE:  Pellissippi State is not responsible for payment for any merchandise or service ordered without the submission and processing of a requisition and creation of a Purchase Order prior to the placing of an order, except in the case of a Petty Cash Purchase.

      For more information:   Click here for Creating a Requisition      OR      Click here for creating a Catalog Requisition

    3. Requisitions that total less than $10,000 (with shipping) will be processed within five (5) days of receipt by the Purchasing Office.  If the items ordered have not been received within 60 days of the date on the purchase order, the purchaser should call the Purchasing Office.
    4. Requisitions that total $10,000 or more must be processed by bid.  A bid request is submitted to at least three (3) vendors, or to the number on the bid list.  Requisitions that total $50,000 or more must be processed by written bid.  If possible, fifteen vendors will be sent bids.  Bidders will have 14 working days to respond.  After 14 working days, all bids that have been received will be opened, logged, and returned to the requesting staff for review.  When the bid package is returned to the Purchasing Office with a recommendation, the bid will be reviewed by the Vice President of Business and Finance and, if appropriate, a purchase order will be issued. NOTE: Purchasers may include a list of potential bidders via the Internal Notes section of the requisition in PelliBiz.

    5. For information about completing a Bid Request 

  3. Petty Cash Purchases

    Petty cash purchases must comply with the following guidelines before the employee will be reimbursed:

    1. Petty cash may be used for required purchases not to exceed $250 per day, (increased amount with prior approval) per Index number.
    2. Sales tax is not reimbursed for college purchases
    3. Gift Cards of any kind cannot be purchased through Petty Cash
    4. Employees locate and pay for needed items. NOTE: Services and Memberships CANNOT be reimbursed using petty cash. A purchase order must be issued for service and/or memberships for any type.
    5. Employees must complete a Petty Cash form in the PelliBiz site, scan and attach the receipt(s), and submit to the financial manager and their supervisor for approval. Original receipts must show details of items purchased and type of payment.
    6. Original receipts must be retained by the payee for a period of 3 years or through a state audit cycle. Failure to produce original receipts will require the payee to reimburse the college for payments received.
    7. After review and audit by Business Services staff, reimbursement to the employee will be made by direct deposit. the employee will be notified by email when the reimbursement is completed. At this time the department is charged.
    8. For information about completing a Petty Cash Request
  4. Receipt of and Payment for Merchandise
    1. All merchandise ordered must be received by the Shipping/Receiving Department located in the Physical Plant Building. Exceptions are the following:
      1. Purchase Order indicating "Hand Carry"
        1. The requestor will need to print a copy of the Purchase Order and present it to the vendor as the staff member receives the merchandise ordered.
        2. Once the requestor is certain that the merchandise is correct and working, the staff member should alert their financial manager to complete the receiving in PelliBiz.
      2. Purchase Order for Services- When all services are completed in a satisfactory manner, the financial manager must complete the receiving in PelliBiz.
      3. Purchase Order for Subscriptions- When it has been verified that the subscription has begun, the financial manager must complete the receiving in PelliBiz.
    2. After a delivery has been received at the Physical Plant Building, the Shipping/Receiving staff will record the order and prepare a key-rec form.
      1. The purchase order will be compared to the shipment to verify the completeness of the order.
      2. The key-rec form will be marked "shipment complete" or "partial shipment received." The financial manager will need to enter the receiving in PelliBiz each time a delivery is made, until the order is complete.
    3. Shipments that have been received will be delivered to the department(s) within two (2) working days of receipt.
      1. The staff accepting the merchandise must sign the key-rec form. The yellow copy of the form will be given to the staff member for their files.
      2. After a review of the shipment determines that it is complete, the responsible financial manager or designee must enter the receiving in PelliBiz.
    4. No invoice will be paid in part or in full until the Accounts Payable Office has verified that the merchandise/services have been received in PelliBiz.
      1. By entering the receiving for the purchase order, the financial manager or designee indicates that the order has been received and is correct.
      2. For partial deliveries, Accounts Payable will compare the invoice to the partial receiving report of key-rec form. If the invoice matches the order received, a partial payment will be processed.

      For more information about Completing Receiving

  5. Returned Merchandise
    1. If the merchandise that has been received is incorrect or not in proper working order, the merchandise must be returned to the vendor by the Shipping/Receiving department. At no time should the merchandise be returned to a vendor without notifying the Purchasing Department.
      1. Contact the Purchasing Department to obtain a Return Authorization form, or download it from the Web at Purchasing will contact the vendor and provide the following information to the employee:
        1. Pellissippi State's Returned Goods Authorization (RTG) number
        2. Vendor's Return Merchandise Authorization (RMA) number
      2. Complete a Return Authorization form listing all requested information. Retain a copy for department records.
      3. Package the merchandise for return to the vendor. Include in the package a copy of the Return Authorization form and a photocopy of the invoice, if available.
      4. Contact Shipping/Receiving to arrange for the merchandise to be returned. At the time of the return, the Return Authorization form will be signed and dated by the department employee who is returning the package as well as by the Shipping/Receiving employee who is receiving the package.
    2. The departmental account will be credited upon verification of the returned shipment.