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Purchasing
Guidelines and Procedures
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ANIMAL PURCHASING
PROCEDURES ( LIVE VERTEBRATE)
Researchers purchasing live vertebrate
animals for research purposes must first obtain a “protocol
number” from the Office of Research and Sponsored Programs
(ORSP), Administrative Services Building III, Cook campus.
This Protocol Number must be “active” and have animals available
to be used against it (based upon animal census data) when
the animals are ordered. Laboratory animal orders will be
processed through the Internet Procurement system. The University
veterinarian from Laboratory Animal Services (LAS) must
be added as a reviewer before the authorized approver from
the departmental approval hierarchy. The animal order must also specify a delivery
address that is designated as a live vertebrate animal laboratory.
If the animal order bypasses the LAS Veterinarian, LAS reserves
the right to refuse delivery of the animal order.
Lab animal orders must be completed utilizing a Quick
Order, provided the order is less than $5,000.
The Preparer will receive the Quick Order by their
local email for distribution to the supplier. If the lab
animal order is in excess of $5,000, additional processing
time must be factored in, as the Purchase Order will be
generated by Purchasing, and not automatically by the Internet
Procurement system. Orders over $5,000 will be sent to the
supplier by Purchasing. All animal orders must also include
a completed “Animal Care Request” form (that directs LAS
as to the care the incoming animals are to receive upon
arrival), which can be downloaded from the web site.
The
web site for the Laboratory Animal Services department is:
http://las.rutgers.edu.
ANTI-KICKBACK
CLAUSE
Kickback used here means any money, fee, commission, credit, gift, gratuity,
thing of value, or compensation of any kind that is provided
directly or indirectly to a University employee by a supplier
improperly obtaining or rewarding favorable treatment in
connection with the award of a contract or purchase. The Anti-Kickback
Act of 1986 (4 U.S.C. 52-58) prohibits any person from:
- Providing or attempting to provide or offering to
provide any kickback
- Soliciting, accepting or attempting to accept any
kickback
- Including directly or indirectly the amount of any
kickback in the contract price
This clause is designed to work hand-in-hand with the Buyers Code of Ethics
to ensure that Rutgers University uses sound business practices that bring the best value to the University
in all purchases.
ALTERATIONS, REPAIRS AND MAINTENANCE TO
UNIVERSITY BUILDINGS AND GROUNDS
To ensure compliance with university policies and
procedures, regulatory and safety requirements, departments
are not permitted to hire outside construction/demolition
contractors or trades people to do any type of work
on university buildings or property. As defined in
university policy numbers 6.3.2,
Alterations & Construction
of Facilities and 6.3.3,
Repairs and Maintenance , this type of work requires the oversight and approval
of the Facilities Operations and Services Departments.
If there is a need to hire a contractor or trades
person, the department must forward the requisition
to the executive director of Facilities Operations & Services
for review and approval prior to it being sent to
Purchasing. The Facilities executive director and/or
their designee must note their approval in the “notes
to buyer” section of the requisition. Requisitions
received by Purchasing without Facilities approval
will be returned with the instruction to contact
Facilities.
For additional information or clarification, contact
the executive director of Facilities Operations & Services
or the Facilities homepage at http://www.fos.rutgers.edu.
See
Facilities Equipment Checklist for information related
to this topic
APPROVED/QUALIFIED SUPPLIER LIST
Purchasing does not maintain an “approved or qualified” bidders list for all commodities and services. The submission
of a supplier information sheet by a supplier does not mean
they are added to a list and will automatically receive
future bid opportunities. Suppliers who desire to do business
with the University should be directed to the appropriate
buyer within Purchasing. A list of buyer names and their
respective commodities are provided on the Purchasing web
site at http://purchasing.rutgers.edu.
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BID
BOND
Good faith funds that are retained by the University to ensure
that if a supplier is selected to receive a contract, they
will perform.
BIDDING
PROCEDURES
Purchasing is responsible for selecting
qualified suppliers, but Requesters also may suggest suppliers.
Purchasing, however, has the final authority to designate
which suppliers will receive bids. A supplier qualification
evaluation, pre-bid conference, or mandatory site inspection
also may be conducted if it is determined that the complexity
or risks associated with the purchase warrant these extra
steps.
When a public bid opening is conducted by Purchasing, the
buying staff will make competing bid information available
to competitors upon request. The Requester and/or a departmental
representative also may attend a public bid opening, but
may not be active participants. Once opened, the buyer will
record the names of the suppliers that provided a bid, record
the price information, and review all other support documents
provided by the bidder. The bid opening is then closed.
The buyer then reviews the bids in detail. If the buyer
has formed a product/service review committee to provide
operational expertise in the supplier selection process,
the buyer will share all bids received with the team members,
coordinate the evaluation process, lead the team to a consensus
decision, and make the award to the supplier that has offered
the "lowest total evaluated cost."
If the director of Purchasing
concludes on the basis of all available evidence that a
particular bidder appears to be insufficiently responsible
to ensure adequate performance, the bid may be rejected,
even though it is the lowest bid submitted. The University
also retains the right to reject bids when costs are higher
than budgetary constraints, when bids do not meet specifications,
or when it is in the best interest of the University.
BID
PROTEST
A bid protest
is a potential bidder(s)’ remedy for correcting a “perceived” wrong in the procurement process used by the University. A vendor/supplier/bidder protest
should be communicated in writing to the appropriate buyer
for follow-up action. Individuals/departments are
strongly encouraged to work with Purchasing in minimizing
bid protests. Writing clear, concise product descriptions
and/or statement/scope of work is the best way to minimize
the possibility of a bid protest.
BIOLOGICAL
AGENTS
Due to their infectious or
highly toxic nature, the transfer of certain biological
agents (bacteria, viruses, rickettsiae, fungi, and toxins)
is regulated by the Centers for Disease Control under the
Select Agent Rule. In addition, it is very likely that future
legislation will require those in possession of these agents
to register with the CDC as well.
A current list of these select
agents may be obtained from REHS. Approval by REHS is required
prior to the attempted purchase, transfer, or receipt of
any highly toxic or infectious agent to ensure the proper
registration procedures are followed.
BLANKET
ORDER
A blanket order is a type of
purchase order that is used to make repeat purchases or
a single purchase that will cover a period time. Buyers
establish the pricing and commercial terms of the blanket
up front so that the lead-time it takes to receive goods
or services is reduced. Blanket orders can be line specific
or used for undefined purchases that will vary with each
purchase. The term “release” is sometimes used in conjunction
with a blanket order. A release is a unique purchase transaction
that is made and encumbered against an established blanket
order.
University-wide blanket orders
are referred to as “preferred suppliers.” These are blanket
orders that can be used by all departments. Multiple departments
can use these orders because the Requestor will enter their
specific account distribution and ship to location to the
release.
BUYERS
Individuals
with the Purchasing offices with the authority to issue
University purchase orders. Buyers are not permitted to
act on behalf of individuals or organizations for personal
use purchases.
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CARPET
AND WINDOW TREATMENT
Departments are
prohibited from purchasing carpet or window treatments
with a Quick Orders or through the RU Exchange. To ensure
compliance with fire codes, design continuity, durability,
and low-maintenance reliability, all purchases must be
made by Purchasing or the Interior Design department.
Carpet, drapery, and window blind purchases associated
with large interior design or new building construction
projects will follow the established competitive bid process.
The Interior Design and Facilities Departments (and the
Camden or Newark purchasing offices for those campuses)
will work with the department/project committee to ensure
that University policies are followed and that compliance
with fire codes, design continuity, durability, and low-maintenance
reliability are achieved.
CELL
PHONES
Administrative units are responsible
for determining when the utilization of a cell phone is
appropriate and enhances or increases work performance/efficiency.
The individual requesting the cellular phone is responsible
for completing a Cellular
Phone Order Form. This information becomes the phone
specification and is used by the cellular phone buyer to
place the order upon approval. If needed, the Requester
may contact the appropriate sales representative for clarification
and/or assistance in determining which plan best meets his
or her needs. Questions pertaining to these procedures should
be directed to the cellular phone buyer. The Cellular Phone
Order Form (CPOF) is “not” processed with or attached to a requisition.
CHANGE
ORDER
A Change Order is a formal notification between a buyer
and the supplier that reflects changes to an existing Purchase
Order. Preparers must initiate a Change
Order Request Form indicating what is to be changed.
CHECK REQUEST
A check request may be used to purchase the following
items:
- Registration for conferences and seminars
- Subscriptions, magazines, etc.
- Group travel arrangements
- Hotel reservations
- University arts services (e.g., dance, concerts)
- Membership dues
- Tickets for events (e.g., athletics, concerts)
When the Accounts Payable department receives an
approved check request requisition, a check is issued and
distributed as directed. Contact the accounting department
for further information on items that may be processed with
a check request (e.g., petty cash, permits, tax, and benefit
payments).
CONFIRMING ORDER
A confirming order occurs when a supplier is given
authorization to proceed with an order prior to the issuance
of a purchase order. It should be used as an exception process
to expedite shipment or the start of work when time is of
the essence or in an emergency.
COMMUNICATION
WITH BIDDERS
Individuals/departments shall not directly communicate
with bidders when Purchasing has issued a request for proposal
or quote. A challenge (bid protest) to the integrity of
the University's bid process can occur when Requesters interact
with suppliers during the competitive bidding process. If
a communication to bidders is advisable or needed during
the bid process, Purchasing will send a written statement
to all bidders.
COMPETITIVE
BIDDING
The University is committed to the competitive bidding
($5,001 and higher) process whenever possible and practical.
Purchasing is responsible for
selecting qualified suppliers, but departments also may
suggest suppliers on orders over $5,000. Purchasing, however,
has the final authority to designate which suppliers will
receive bids. Individuals/departments
are prohibited from
communicating with bidders when Purchasing has issued a
request for proposal or quote.
The most frequently used types of competitive bidding used
at the University are formal and informal. Formal competitive
bidding means that a “sealed” bidding process will be used.
Informal means that phone, email or faxed quotes may be
obtained. The sealed bid process is the proven best method
to obtain the optimum price and/or service in the open marketplace.
Along with being a cost control tool, competitive bidding
facilitates the introduction of new suppliers, ideas, concepts,
and products to the University. Regardless of the type of
bidding used, the University reserves the right to award
or not award an order.
COMPUTER STORE
The Rutgers Computer Store
is part of Rutgers University's New Brunswick Computing
Services (NBCS) department, which is a division of the Office of Information Technology (OIT). As such, special academic
pricing discounts are available from selected suppliers.
Only faculty and staff currently employed and students registered
for 6 or more credits are permitted to purchase from the
Computer Store.
Located on the College Avenue campus in Records Hall Room
151, the store sells a wide variety of computer equipment,
peripherals, and accessories. Repair services are also available.
Visit their web site at http://findtech.rutgers.edu/tmplt.php?pg=home for a complete listing of products and services. The store’s
phone number is 732/932-5800.
University departments can
make purchases through the Computer Store by utilizing a
RIAS generated “internal” requisition. Departments also
have the option of making their purchase through the Purchasing
department with a RIAS generated requisition. Price differences
can and frequently will exist depending on the purchase
method selected (Computer Store versus Purchasing). The
quantity, brand, configuration, and support services requested
are the common factors that cause price differences.
CONFIDENTIALITY
All employees of the University must be aware and sensitive to the need
for confidentiality pertaining to the disclosure of information
and data. University information and data should only be
shared on a “need-to-know” basis. Various legal considerations
and privacy issues must always be considered. This sensitivity
would also apply to sharing information obtained from internal
meetings and discussions. Employees should speak to their
supervisors whenever they are unsure about the appropriateness
of disclosing information both internally and externally.
Many
staff and faculty members handle a variety of proprietary
and private information concerning colleagues, students,
clients, alumni, donors, and others associated with the
University, as well as confidential information regarding
University business. This material includes personal data,
such as employee’s home addresses, Social Security numbers,
donor files, human subjects, contracts and agreements, performance
reviews, tenure packets and student records. It is the responsibility
of all University employees to respect the privacy of their
colleagues and other members of the University community.
During employment with the University, disclosure and discussion
of confidential information obtained from University, school,
or department records are allowed only when such disclosure
is a normal requirement of an employee’s position. After
employment with the University, such disclosure and discussion
of confidential information are not allowed.
CONFLICT
OF INTEREST
It is a prerequisite that
University employees involved in the purchase of goods or
services abstain from any transactions with suppliers that
may be considered a conflict of interest. This includes
using affiliation with the University as a means of promoting
a personal or financial interest. To purchase knowingly
from a supplier owned or partially owned by University personnel
or family of University personnel is in violation of University
procedures.
Many
University employees take part in professional, business,
and service activities outside their work at the University.
These activities include public service, participation in
professional organizations, consulting, and teaching. Such
participation is encouraged, as it often can benefit both
the employee and the University. However, it is important
for the University’s reputation, as well as for reasons
of sound business practice, that employees not make decisions
for the University if their personal economic interests
would be directly affected. A conflict of interest occurs
when an outside activity competes with or diminishes the
interest of the University or interferes with an employee’s
performance of University duties. Conflicts of interest
are defined and regulated not only by University regulations,
but also by sources outside the University, such as the
New Jersey Conflicts of Interest Law and federal regulations
addressing conflicts of interest in federal grants and contracts.
Employees
involved in the purchase of goods or services should abstain
from any transactions with suppliers that may be considered
a conflict of interest.
Faculty
and the University are increasingly encouraged to commercialize
discoveries and inventions. This usually is achieved through
licensing to an existing company. When this avenue is not
reasonably available, then consideration may be given to
the creation of start-up companies. Conflicts arise when
a faculty member holds equity in a start-up company and
that company wishes to contract with the University to license
an invention or to do further development or research on
the invention, usually involving the faculty member’s laboratory.
Such conflicts are allowable only when they are properly
disclosed and approved after a thorough conflict review.
For additional information, please see the Office of Corporate
Liaison and Technology Transfer (section 15.6).
If
you believe that a potential conflict of interest exists,
notify your department chairperson, unit head, or supervisor
as appropriate. When a first level supervisor is the initial
contact, he or she is responsible to inform the dean or
director. Although conflicts may occur, disclosure of them
increases the chances that they will be appropriately managed.
Disclosure is the critical first step in ensuring the resolution
of a potential conflict.
CONSULTANT PURCHASE ORDER
A
consultant order is a type of purchase order that includes a process to ensure
that the supplier in not an employee of the University.
It also contains additional contractual clauses that protect
the interest of the University. It is used to engage consultants
or other independent personal service providers (IPSP).
The distinction between an employee and an independent contractor
is important under state and federal tax laws because an
employer must withhold income and employment taxes from
an employee but not from an independent contractor. If an
individual is misclassified as an independent contractor,
the University may be liable for unpaid taxes, interest,
penalties, and unpaid benefits. Rutgers
defines a consultant or IPSP as an individual, a sole proprietorship,
a partnership, an association, or some other non-incorporated
entity engaged by the University to provide specialized
advice or service for a fee, but not as an employee. Corporations
engaged to provide professional or other services are not
subject to this process. See the University Regulations concerning Consulting Agreements .
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DEPARTMENTAL
PURCHASING RESPONSIBILITY
Departments are responsible to:
- Ensure that purchases are reasonable, appropriate, and necessary in order
to achieve the expected goals or outcomes of the particular
University program, project, or task;
- Ensure that the account(s) charged have sufficient funds available to
cover the requisition during the budget period or project
period;
- Ensure that procedures have been followed when using the RIAS
system to ensure requisitions, check requests, quick
orders, and RU exchange orders have been entered properly.
- Support Purchasing in limiting, to the maximum extent possible, Sole and
Preferred supplier procurements;
- Team with and involve the buyer as early as possible in the developmental
stage of the more complex, or large dollar, procurement
of goods or services;
- Provide complete detailed descriptions/specifications that clearly establish
the technical requirements and/or expectations of the
purchase.
DELEGATED
PURCHASING AUTHORITY
The director of Purchasing
has delegated purchasing authority in varying degrees
to the following:
- Newark Purchasing
Office;
- Camden
Purchasing
Office;
- Interior Design Department for furniture purchases;
- Material Services Department for specialty and industrial gases;
- Dining Services Department for food;
- Housing Department for apartment rental;
- University Libraries for books;
- University Relations and Mail and Document Services for selected printed
matter;
- Division of Intercollegiate Athletics for hotel accommodations, meals,
and car and van rentals;
- New Brunswick Facilities Construction Management for capital projects;
- Newark Physical Plant with restrictions.
These units shall conduct purchasing activities, file maintenance,
and record retention in accordance with the Purchasing
Internal Operations Manual and other appropriate University
policies and procedures.
DESCRIPTION
AND/OR STATEMENT/SCOPE OF WORK (SOW)
The
item description/statement/scope of work is the part of
the requisition that describes the item or service to be
purchased. Great care should be taken to describe the item
or service in sufficient detail to ensure that what is desired
is in fact delivered. Be as specific as possible; cite the
specific performance, service, or deliverables that are
required. Choose words carefully so that the buyer in Purchasing
and/or the supplier that eventually receives the order fully
understands what is requested. Brand names may be used to
establish a baseline comparison, but the words “or equal” must be included whenever possible and appropriate. If alternates
are determined to be unacceptable, the Requester may be
required to provide written justification for each alternate
rejected.
DOCUMENTS - OPEN PUBLIC
RECORDS ACT
See
Open Public Records Act
DUTY-FREE
ENTRY OF SCIENTIFIC INSTRUMENTS AND APPARATUS
Federal
regulations (Public Law 89-651) provide that public agencies
or private nonprofit institutions may be able to import
some scientific instruments and apparatus without payment
of duty, providing that no domestically produced apparatus
of scientific equivalence is available.
Merchandise arriving in the United States by commercial
carrier must be entered by the purchaser or by the licensed
customs broker designated by the purchaser.
Presently, the customs broker for Rutgers, The State University
of New Jersey, is:
American Cargo Express
P.O. Box 483
Elizabeth, NJ 07207-0483
Phone: 908/351-3400
Fax: 908/351-5889 |
The customs broker will determine the amount of duty, the
carrier charges, and the broker’s fees for arranging customs
clearance, and then contact Purchasing to obtain purchase
order authorization to clear the shipment through customs
for the total amount required.
Purchasing will notify the department that a requisition
must be entered into the RIAS system so that a purchase
order may be issued to the broker. (Time is important since
customs officials will place any goods not cleared in 5
days in storage and the University will be responsible for
a minimum of one month’s storage cost.)
Purchasing sends a purchase order to cover import, U.S.
Customs entry fee, custom and bond service, delivery, and
collection charges to the customs broker.
In some cases, a power of attorney will need to be provided
by the University to export scientific equipment. This type
of request should be processed through Purchasing who will
have the document executed by an officer (treasurer, assistant
treasurer, secretary of the University).
For further assistance, contact the Purchasing office on
your campus.
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EQUIPMENT
PURCHASES (MAJOR)
The campus Facilities Maintenance Services departments
(New Brunswick campuses) require the preparation
and submission of a Facilities
Equipment Checklist prior to the purchase of major equipment.
The form, completed by the department and submitted to Facilities,
defines the type of equipment
and utility connections, such as electricity, water, sewer,
or gas. Also considered in the definition is space requirements
and floor loading. Small electrical appliances, typewriters,
small copy machines, and other office equipment operating
from standard electrical duplex outlets are not considered
major equipment. The completed form must be signed by the
campus director of Facilities Maintenance Services or an
authorized representative and attached to the requisition
prior to forwarding to Purchasing.
Newark campus
users should contact the director of Physical Plant, and
Camden campus
users should contact the director of Maintenance Services
when considering purchase of large equipment. A project
manager will be assigned to the project and work with the
department to determine the specific needs of the equipment.
Additionally, the project manager will help coordinate all
new services for the department.
See
Facilities Equipment Checklist for information
related to this topic
See
Alteration, Repairs and Maintenance to University Buildings
and Grounds for information related to this topic
Departments are permitted to process and execute lease
agreements (excluding property leases) if the total of
all payments (cost plus interest) for the entire term
of the agreement is less than or equal to $5,000. It is
the department’s responsibility to review and negotiate with the supplier any lease clauses that depart from the University’s Standard Terms and Conditions. Note, many leases require the signature of a corporate officer. If any reference is made to a corporate officer on any of the lease documents, the entire lease agreement must be processed through Purchasing as a regular order.
Departments have the option and are encouraged to process lease agreements of any size through the Purchasing office when they are unsure as to the meaning of a clause(s) within the terms and conditions or financial information contained therein.
Departments are not permitted to execute lease agreements if the total of all payments for the entire term of the agreement is greater than $5,000. The lease must be processed as a regular (non-Quick) order within RIAS. The lease documents should be forwarded to Purchasing, referencing the requisition number that was assigned by RIAS. Upon receipt of the requisition and related lease documents, a buyer will contact the requesting department (if needed) and complete the process required to have the lease properly executed.
EMERGENCY ORDER
The University defines emergencies
as life safety hazards and/or the necessity of keeping
vital equipment operative and/or preventing the deterioration
of an experiment. The following procedures should be used
for all situations requiring direct placement of emergency
orders with a supplier:
- Quick orders
- Blanket orders
- Confirming orders
Individuals/departments may
also contact the director or the executive director of
Purchasing if needed to facilitate
an emergency purchase internally or with an external supplier.
If a situation such as a life
safety hazard, keeping vital equipment operative,
or preventing the deterioration of an experiment
occurs during nonworking hours, including weekends
and holidays, departments may immediately make the
necessary purchase(s) directly with the supplier
(by phone or by pickup at the store). A confirming
requisition must be processed the next business
day; the Purchasing department will forward to the supplier a confirming order.
In case of an emergency, always
contact directly the appropriate service department (facilities,
police, emergency services, housing, dining services,
REHS, or transportation) to expedite the timely resolution
of your problem.
EMPLOYEE-OWNED BUSINESSES
The University may not purchase goods
or services from companies owned by University employees.
New
Jersey law provides
that no “state entity,” including Rutgers,
may purchase goods or services from any corporation in
which any state employee holds more than 1 percent equity
in the company.
EXPENDITURE
AUTHORITY
Each account in the University’s financial
systems has been assigned a vice president or provost
who has expenditure authority for accounts under his or
her respective budget responsibilities. Expenditure authority
and budget responsibility may be delegated downward through
an organization to individual employees for particular
accounts. All University employees who administer financial
transactions should be familiar with the University’s
accounting structure and the policies that guide these
transactions. Supervisors are responsible for ensuring
that their staff members are familiar with these policies.
The use of University funds or assets, including grant
funds, for any unlawful or improper purpose is prohibited.
Employees who improperly or illegally use University funds
are subject to disciplinary action up to and including
discharge from University employment.
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FACILITIES
EQUIPMENT CHECKLIST
Prior to the purchase of major equipment, the
Requester must complete and submit with the requisition
an Equipment & Grounds
Checklist Form . It defines the type of equipment and
utility connections, such as electricity, water, sewer,
or gas. Also considered in the definition is space requirements
and floor loading. Small electrical appliances, typewriters,
small copy machines, and other office equipment operating
from standard electrical duplex outlets are not considered
major equipment. The executive director of Facilities
Operations & Services or an authorized representative
must sign the completed form. The executed checklist
should be scanned and submitted as an attachment or forwarded
under separate cover to the buyer in Purchasing.
Newark campus users should contact the director of Physical
Plant, and Camden campus users should contact the director
of Maintenance Services when considering purchase of
large equipment.
A project manager will be assigned to the project and
work with the department to determine the specific needs
of the equipment. Additionally, the project manager will
help coordinate all new services for the department.
See
Alteration, Repairs and Maintenance to University
Buildings and Grounds for information related
to this topic
See
Equipment Purchases (Major)
FIDUCIARY RESPONSIBILITY
Sound business practice calls for each
Rutgers faculty and staff member to safeguard and preserve the
University’s assets and resources. As a public institution, Rutgers
meets its goals by using assets from several sources,
including tuition, fees, and endowment and investment
income, along with state, federal, and private sources.
The University has an obligation to ensure that these
resources are applied to the purposes for which they are
intended.
Departments are not permitted to execute lease agreements if the total of all payments for the entire term of the agreement is greater than $5,000. The lease must be processed as a regular (non-Quick) order within RIAS. The lease documents should be forwarded to Purchasing, referencing the requisition number that was assigned by RIAS. Upon receipt of the requisition and related lease documents, a buyer will contact the requesting department (if needed) and complete the process required to have the lease properly executed.
FILES - OPEN PUBLIC RECORDS
ACT
See
Open Public Records Act
FORMAL INVITATION TO BID
A
formal invitation to bid is a solicitation for sealed
bids with the title, date, and hour of a public bid opening
indicated in the request for proposal/quotation.
FUNDS
All
moneys received by the University constitute
University funds regardless of their source.
These funds must be expended in accordance with
the University’s financial
policies and procedures, as well as any further
restrictions placed upon them by external sources
(i.e., restricted funds). In the administration
of restricted funds, the University must honor
all legal limitations and restrictions imposed
by the grantor of those funds. Thus, if the funds
are provided for research for a specific department,
the University may not authorize their use for
other purposes.
FURNITURE
Preferred supplier discount agreements have been established
by Purchasing for the procurement of furniture at the
university. Departments are strongly encouraged to use
these suppliers to leverage the full buying power of
the university. Furniture purchases up to $40,000 can
be made from a preferred furniture supplier without competitive
bidding. For purchases between $40,001 and $100,000,
departments have the option of obtaining at least one
additional bid from another preferred furniture supplier,
or request that the Purchasing Department do a formal
competitive bid. Purchases greater than $100,000 require
a formal competitive bid be completed through the Purchasing
office servicing your campus.
Departments have the option of utilizing the Material
Services department for:
- Receiving and redelivery
of furniture
- Furniture installation
- Furniture project coordination
These services are also available from the preferred suppliers and a fee may be charged. Clarify with the supplier any fees that may be incurred before selecting a supplier or making a purchase.
Departments have the option of utilizing the design
services (no charge) provided by the Interior Design
department. This service is available from the preferred
suppliers but a design fee may be charged. Clarify with
the supplier any fees that may be incurred before making
a request for design services or a purchase.
Departments are prohibited from purchasing any office
furniture that does not meet California fire code 117.
Furniture purchases from a non-preferred supplier are
not permitted with a Quick order and must be processed
through Purchasing to ensure compliance with fire code.
These purchases are also subject to the regular bid thresholds.
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GASOLINE
CREDIT CARDS
The Purchasing
office on each campus (Camden, Newark, New Brunswick)
is responsible for the administration of gasoline credit
cards. These procedures have been developed to manage
and coordinate gasoline credit cards in the most efficient
manner while maintaining prudent controls over the number
of cards issued.
Use of a University liability
gasoline credit card is restricted to the following departments:
dining services, facilities, housing, public safety, and
transportation. To obtain a gasoline credit card complete
this application.
GRAPHIC DESIGN SERVICES
All printing requests that require editorial work, project coordination,
extensive design assistance, and/or that involve questions
regarding the University's visual identity standards,
logos, and word marks should be processed through the
Department of University Relations. All materials going to significant external audiences that
have important public relations impact for the University
or any of its subdivisions are to be produced under the
guidance and supervision of the Department of University
Relations. This guidance normally calls for any or all
of the following, in addition to print purchasing and
supervision: concept development, writing, editing, proofreading,
graphic design, and photography. These materials typically
will be high-end, two- to six-color pieces. Examples
of such public relations materials would be most student
recruitment materials, fund-raising materials, and general
public relations publications, such as Rutgers Magazine,
Focus, and the President's Report.
For more information about printing and graphic design services
offered by the Department of University Relations, call
732/445-3710, or visit their web site at http://ur.rutgers.edu/publications.shtml.
For
more information about printing and graphic design services
offered by Mail and Document Services, call 732/445-2143,
or visit their web site at http://mds.rutgers.edu.
GRATUITIES
It shall be a breach of ethical
standards for any person, employee, or former employee
to offer, give, agree to give, solicit, demand, or agree to accept from another
person a gratuity of any kind, form, or type in connection
with:
- Any decision, approval, disapproval, recommendation, or preparation of
any part of a program requirement or a purchase order
- Influencing the content of any specification or procurement standard
- Rendering of advice, investigation, auditing or any other advisory capacity
in any controversy or other particular matter pertaining
to any program requirement or contract, or to any solicitation
or proposal thereof.
INVOICING
Invoicing instructions are provided on the purchase order. Suppliers are
required to submit invoice(s), in duplicate, with the
appropriate purchase order number indicated on the invoice(s).
The failure of a supplier to provide a valid purchase
order number and release number, when directed, on an
invoice will result in the invoice being returned unprocessed.
Invoices should be mailed to Rutgers, The
State University of New Jersey, Administrative Services Building, Accounts Payable, 65 Davidson Road, Room
302, Piscataway, NJ 08854-8095.
A pro forma invoice is an invoice submitted for payment
by a supplier before the goods or services are actually
delivered. Payment of a pro forma invoice
should be avoided whenever possible. If a deposit or advance
payment is needed, it must be processed with a requisition
through the Purchasing department.
Invoices that are over $1,000
require that “receipt certification” be documented by
RIAS.
INTERNAL
PURCHASE ORDER
An internal purchase order is used to
procure goods and services from a University supplier.
Requisitions to internal suppliers are processed through
either the RIAS system or with an internal paper requisition.
Contact directly the desired department to determine the
required type of requisition. Internal orders may also
be issued as blanket orders for repeat purchases.
Internal
purchase requisition forms may be purchased through Material
Services, Building 4128, Livingston Campus. Departments are
responsible for the security of blank requisition forms.
INTERNAL
SUPPLIERS
Internal suppliers
are University departments (e.g., Dining Services, Material
Services) that provide goods or services to the University
community. Contact the desired department to determine
if a paper or RIAS generated internal requisition should
be used. Faculty and staff are encouraged to use the internal
suppliers whenever possible.
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LEASING
Departments are permitted to process and execute lease
agreements (excluding property leases) if the total
of all payments (cost plus interest) for the entire
term of the agreement is less than or equal to $5,000.
It is the department’s responsibility to review and negotiate with the supplier any lease clauses that depart from the University’s Standard Terms and Conditions. Note, many leases require the signature of a corporate officer. If any reference is made to a corporate officer on any of the lease documents, the entire lease agreement must be processed through Purchasing as a regular order.
Departments have the option and are encouraged to process lease agreements of any size through the Purchasing office when they are unsure as to the meaning of a clause(s) within the terms and conditions or financial information contained therein.
Departments are not permitted to execute lease agreements if the total of all payments for the entire term of the agreement is greater than $5,000. The lease must be processed as a regular (non-Quick) order within RIAS. The lease documents should be forwarded to Purchasing, referencing the requisition number that was assigned by RIAS. Upon receipt of the requisition and related lease documents, a buyer will contact the requesting department (if needed) and complete the process required to have the lease properly executed.
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MOVING
SERVICES
See
Book 6 of the University Regulations & Procedures Manual
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NATIONAL
TRANSIT INSTITUTE
Policy
and procedure information can be obtained by contacting
the department at 732/932-1700.
NJ RIGHT TO KNOW ACT
See
Open Public Records Act
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OPEN
PUBLIC RECORDS ACT
All University employees must comply with New Jersey’s
Government Records Law (also known as the Open Public
Records Act or OPRA) – P.L. 2001, Chapter 404. This
law requires that all public records (except records
for which an exemption exists) must be made available
for access by the public. The statute provides for a
very short turnaround time for the production of requested
records.
Due to the complexity of the law, the various exemptions
to the law, the time frame for compliance, and the fact
that employees can be held personally liable for not
providing records, all records requests that involve
University purchasing documents should immediately be
forwarded to the Purchasing Office servicing your campus.
Purchasing will work with the university custodian of
records to determine if the records will be provided
to the requestor.
If you receive a request (all request must be in writing)
to view, inspect, or provide a copy of a purchasing
record, immediately forward the document to Purchasing
along with your name and phone number. For additional
information about the Open Public Records Act, go to
http://records.rutgers.edu.
ORACLE EXCHANGE
These
are suppliers located on the Oracle Exchange within RIAS.
There are “no” pre-negotiated price agreements with these
firms. The Requester should consider their use in the
same way as any other new supplier is considered.
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PREFERRED
SUPPLIER
A
preferred supplier is one with whom the University has
a negotiated or bid agreement that could include price
discounts, exchange of information, simplified ordering
methods, set delivery arrangements, specialized customer
service requirements, and billing and payment methods.
The University may have as few as one preferred supplier
or up to three or four preferred suppliers within each
commodity group. Preferred supplier agreements will be
developed based on Requester requirements and purchase
volumes. These will be University-wide agreements, and
the same discounted price and service levels will be available
to all University departments. The University strongly
recommends the use of preferred suppliers and will actively
publicize the availability of these agreements.
PERFORMANCE
BOND
A
financial instrument used to guarantee that funds will
be available to complete a project in the event that a
supplier is unable or unwilling to do so.
PERSONAL FUNDS PURCHASES
Departments have the discretionary authority to allow individuals within their organization to make purchases directly from retail stores up to $500. Purchases where the total expenditure does not exceed $500 will be reimbursed, “including sales tax” with the submission of an itemized receipt attached to an approved Travel And Business Expense Report (TABER). The university's purchase order will continue to be the primary procurement method and this option should only be used to facilitate small incidental purchases that may be needed or are appropriate to complete a project or task.
The following commodities cannot be purchased (same as Quick Order) with this option:
1. Alterations or repairs to buildings
2. Non-University standard interior or exterior building graphics
3. Furniture, carpeting, and window treatments
4. Consulting services
5. Equipment requiring utilities hook-up
6. Furniture
7.Controlled substances, radioactive materials,
or hazardous waste disposal
8. Importation of equipment
9. Inspection of service of fire suppression systems
10. Leases
11. Plaques to be affixed on buildings or University-owned
property and monuments
12. Graphic design services for the creation of a
new logo, word mark, nonstandard business cards
or stationery, or visual identity
PREVAILING WAGE
It is the policy of Rutgers, The State University
of New Jersey, that all projects costing $2,000 or more
be performed in accordance with the New Jersey Prevailing
Wage Act (N.J.S.A. 34:11-56.25 et seq.).
Workers employed in the performance of projects
so defined must be paid the prevailing wage for their
craft in the area in which the work is to be accomplished.
Specific rates are established and maintained current
by the Department of Labor and Industry. Contractors engaged
in the performance of these projects must provide to Rutgers University certified
payroll records in accordance with Prevailing Wage Regulations
N.J.A.C. 12:60-6-1. The general contractor is responsible
for the submission of certified payroll records of all
their hired subcontractors. The University may remove
any vendor from the bidders list for noncompliance with
the New Jersey Prevailing Wage Regulations. The wage determination
rates are available from the Department of Labor and Industry,
P.O. Box 389, Trenton, NJ, 08625-0389; 609/292-2259.
PRICE ESTIMATES FOR BUDGET PLANNING
University
departments may obtain a single, informal quotation from
a supplier for budgetary purposes. If it is determined
that the goods or services will be purchased after the
single quotation is received, the quotation will be considered
for budgetary purposes only. The Purchasing department
may solicit additional quotations. Upon request, Purchasing
department buyers will assist departments by providing
pricing for goods and services for budget planning.
PRINTING
Limited delegation of Purchasing
authority has been granted to the following units within
the University because of the printing-related services
they provide.
The Department of University Relations has delegated authority
from Purchasing to competitively purchase printing from
outside suppliers for jobs managed, designed, written,
edited, and/or produced by the Department of University
Relations.
Mail and Document Services (MDS) has delegated authority from Purchasing
to process requisitions related to the printing industry
and to competitively purchase identified needs from outside
suppliers or produce the work internally, as appropriate.
In addition, MDS also has delegated authority to provide
all University business cards, stationery, and envelopes.
These units shall conduct Purchasing activities in accordance with University
Purchasing procedures limited to the products and services
indicated. All printing must adhere to the University's
visual identity standards, which are available online
at http://ur.rutgers.edu/logos.
An internal (paper) purchase requisition is used when ordering printed
material from University Relations. Process an internal
requisition through the RIAS system for Mail and Document
Services.
Printed material orders may be placed directly with an
outside printer for single projects costing $5,000 or
less when processed on a Quick Purchase Order. Splitting
a printing/copying project exceeding $5,000 into several
components and processing more than one Quick Purchase
Order to one supplier is in violation of Purchasing
procedures.
PURCHASE
ORDER
The University’s purchase order is a legal document that contains
a description of what is being purchased and the details
of the sale e.g., quantity, limits of liability, insurance,
termination, and performance clauses. The
unique number associated with the purchase order will
serve as the common tracking number in the accounting
systems and various departmental files.
PURCHASES
UNDER STATE AND FEDERAL GRANTS AND CONTRACTS
Grants
and contracts received from federal and state agencies
contain Purchasing regulations and procedures with which
the University must comply as a condition of accepting
funds. The department and the Purchasing department
buyer have the responsibility to ensure compliance with
the spirit and intent of Federal Office of Management
and Budget Circulars A-110 and A-21.
PURCHASING
AUTHORITY (PURCHASING)
Purchasing has the authority to conduct and conclude
negotiations for the purchase or lease (excluding real
estate) of all supplies, equipment and services to fulfill
the requirements of the University. The authority for
purchasing is delegated by the Board of Governors through
the president to the senior vice president and treasurer
who, in turn, has assigned purchasing responsibility
to the director of Purchasing and to the Purchasing offices on
the Camden and Newark campuses.
To meet
local needs, the director of Purchasing has delegated the Newark and Camden purchasing
officers purchasing authority at these campus locations
with some exceptions.
- Campus officers
have the authority to approve purchases up to their
assigned limit. It is their responsibility to ascertain
that the University's purchasing procedures and practices
have been followed and that the purchase orders are
correctly completed.
- Campus
officers are required to maintain accurate and complete
files of all transactions. Their files must contain
all pertinent bid information, supplier lists, and contracts.
These records are subject to audit and public review.
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QUICK ORDER
A Quick Order is a purchase order that does not exceed
$5,000 in total. It can be placed directly with
a supplier without Purchasing involvement. Quick purchase orders have restrictions
and cannot be used for:
1. Alterations or repairs to buildings
2. Non-University standard interior or exterior building graphics
3. Furniture, carpeting, and window treatments
4. Consulting services
5. Equipment requiring utilities hook-up
6. Furniture
7.Controlled substances, radioactive materials, or hazardous waste disposal
8. Importation of equipment
9. Inspection of service of fire suppression systems
10. Leases
11. Plaques to be affixed on buildings or University-owned property and
monuments
12. Graphic design services for the creation of a new logo, word mark,
nonstandard business cards or stationery, or visual identity
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RADIOACTIVE
AND HAZARDOUS MATERIALS
Radioactive materials and radiation-producing equipment orders must be sent to:
Rutgers Environmental
Health & Safety (REHS)
27 Road 1, Building 4086, Livingston Campus
Piscataway, NJ 08854
REHS is responsible for receipt and oversight of radioactive orders.
RECORD
RETENTION
The management of records is the systematic
control of information both in electronic and paper format—from
its creation or receipt through processing and use, until
its destruction or placement into an archive. Proper records
management satisfies federal and state laws and ensures
that significant records are preserved to document University
history.
Departments have a record retention responsibility when
a Quick order is used. The Purchasing offices located
on the three campuses are responsible for the record retention
of bids/proposals and purchase orders (excluding major
construction). Record retention guidelines for purchasing
documents are located at http://www.libraries.rutgers.edu/rul/libs/scua/ru_records.
RESTRICTION
TO BID PARTICIPATION
Any
person or firm used to prepare a bid solicitation shall
not be permitted to offer a bid to that solicitation.
A disbarred supplier will not be afforded an opportunity
to bid.
RU
EXCHANGE
The
University’s e-commerce tool used to purchase goods from
Preferred Suppliers. Suppliers within the exchange have
pre-negotiated price agreements. No buyer involvement
is required, regardless of dollar amount. Faculty and
staff are strongly encouraged to use these suppliers whenever
possible as a primary strategy to leverage the University’s
full buying power.
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SCIENTIFIC
EQUIPMENT
Purchases of complex or large
dollar amount scientific equipment frequently require
extensive faculty discussions with sales or equipment
representatives. To ensure compliance with Purchasing
policies and procedures, a Purchasing buyer should be
contacted early in the evaluation process to reduce the
possibility of the order being delayed in Purchasing for
procedural issues.
SINGLE
(Preferred) SOURCE JUSTIFICATION LETTER
A
Single Source Justification Letter is required when
the total price of a purchase is greater than $5,000
and more than one firm can supply the item or service
but there is a business reason(s) to contract with a
specific supplier. The letter (Sole/Preferred
Supplier Justification Form)
should be completed and forwarded with the RIAS generated
requisition. The justification must state the technical
and/or commercial characteristics, uniqueness, operational
compatibility, or other pertinent information that make
it impractical or impossible to purchase through a competitive
bidding process. Reasons of convenience and/or expediency
alone are not sufficient reasons to bypass the competitive
bidding process.
SOLE
SOURCE JUSTIFICATION LETTER
A Sole Source Justification
Letter is required when the total price of a purchase
is greater than $5,000 and only one firm can supply the
item or service. The letter (Sole/Preferred
Supplier Justification Form) should be completed and forwarded
with the RIAS generated requisition. The justification
must why the item or service can only be obtained from
one source. Reasons of convenience and/or expediency alone
are not sufficient reasons to bypass the competitive bidding
process.
SMALL
DOLLAR INCIDENTAL PURCHASES
Departments
have the discretionary authority to allow individuals
within their organization to make purchases directly
from retail stores up to $500. Purchases where the
total expenditure does not exceed $500 will be reimbursed, “including
sales tax” with the submission of an itemized receipt
attached to an approved Travel And Business Expense
Report (TABER). The university's purchase order
will continue to be the primary procurement method
and this option should only be used to facilitate
small incidental purchases that may be needed or
are appropriate to complete a project or task.
The following commodities cannot be purchased (same
as Quick Order) with this option:
1. Alterations or repairs to buildings
2. Non-University standard interior or exterior building graphics
3. Furniture, carpeting, and window treatments
4. Consulting services
5. Equipment requiring utilities hook-up
6. Furniture
7.Controlled substances,
(defined by the DEA http://www.usdoj.gov/dea/pubs/csa/812.htm), radioactive materials, or hazardous waste disposal
8. Importation of equipment
9. Inspection of service of fire suppression systems
10. Leases
11. Plaques to be affixed on buildings or University-owned property and
monuments
SMALL
BUSINESS PLAN
Federal
agencies require the submission of a Small
Business Subcontracting Plan prior to awarding contracts
of $500,000 and higher. Submit the Small Business Subcontracting
Plan as part of a completed contract application. Failure
to do so will jeopardize the award. Departments should
allow two weeks for the Office of Research and Sponsored
Programs (ORSP) and the Supplier Diversity Coordinator
within Purchasing to review and approve the Small Business
Subcontracting Plan and proposal. Follow the procedures
below to ensure the timely submission of a Small Business
Subcontracting Plan.
Principal Investigator and/or Departmental Administrator
- Read
Federal Policy Directive 02-01 and
download the Small
Business Subcontracting Plan from the Purchasing
Forms Repository.
- Determine
what commodities or services will be used and the
budgeted dollars for goods and services.
- Review
the Supplier
Diversity Business Directory
to identify suppliers that meet the required categories.
- If
a specific type of vendor is not found in the directory
contact the Supplier
Diversity Coordinator within the purchasing office
that serves your campus. The coordinator has access
to other vendor lists
- Complete
all sections of the Small Business Subcontracting
Plan and forward an electronic copy to ORSP.
- The director of Purchasing will review, execute and return the Small Business
Subcontracting Plan to the referring ORSP grant specialist.
- ORSP
grant specialist will return the approved Small Business
Subcontracting Plan and related documents to the principal
investigator and/or department administrator.
Principal Investigator and/or Departmental
Administrator
-
The
principal investigator and/or department administrator
submits the completed application to the sponsor.
The principal investigator and/or department administrator
furnishes ORSP with copies of the full application
sent to the agency.
-
When a Small Business Subcontracting Plan has been submitted to a Federal agency, an SF-294 Subcontracting Report For Individual Contracts and SF-295 Summary Contract Report must be completed and submitted to the appropriate contract administrator. The Form 295 is an annual report that covers the activity for the past year and has been compiled from data submitted semi-annually on the Form 294 during the same period. The Supplier Diversity Coordinator is responsible to file these reports. Copies of the submitted reports will be forwarded to the principal investigator and/or departmental administrator for their records and follow-up as needed.
SUPPLIER
DIVERSITY PROGRAM
The University is committed to the inclusion of
small and disadvantaged businesses in its purchasing practices.
The Supplier
Diversity Program is an outreach effort that solicits and assist these types of
firms in providing goods and services to the University.
A diverse supplier base increases competition, facilitates
the introduction of new ideas and concepts, and contributes
to the University objective of obtaining the best “total
evaluated cost.”
SUPPLIER PERFORMANCE
With
the implementation of the RIAS system, information pertaining
to supplier performance can now be compiled. Unsatisfactory
supplier performance should be described in writing and
forwarded to the appropriate buyer for review as soon
as the unsatisfactory performance occurs. A supplier may
be disbarred from future bids or contracts with the University
due to poor performance or other problems as determined
appropriate by Purchasing. For example, failure to correct
problems related to deliveries, invoicing, response time,
or quality of work may result in the supplier being eliminated
from future opportunities to provide goods and services
to the University. A supplier will not be eliminated unless
Purchasing has a written history of unsatisfactory performance.
This should be done in a timely manner and referencing
the purchase order number involved. The final authority
pertaining to supplier disbarment resides with the
director of Purchasing.
SUPPLIER RELATIONS
The University strives to maintain excellent working relationships
with suppliers through prompt payment of invoices. To
ensure prompt payment, all departments in the procurement
process must complete their responsibilities in a timely
fashion.
All users of the procurement process are responsible
to ensure that suppliers are treated fairly and good supplier
relations are maintained. Users must also take care to
ensure that no action taken by them can be perceived as
unethical or giving an advantage to a specific supplier.
Departments are permitted meet with sales representatives
to facilitate learning about new products, ideas, and
concepts. Departments also have the option
to not receive sales representatives at their locations.
Salespeople may be referred to the appropriate buyer
within Purchasing.
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TAXES
Rutgers is an
instrumentality of the state and is therefore exempt from
the New Jersey Sales and Use Tax as well as the Federal
Excise Tax. These exemptions are stated in the University
General Terms and Conditions
issued with all University purchase orders. An
exempt organization certificate or number is not required
for a state instrumentality to make tax-exempt purchases.
Suppliers should be directed to retain their copy of the
University purchase order to prove the tax-exempt status
of their sales. Refer supplier to Purchasing if additional
information or clarification is needed.
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UNAUTHORIZED
PURCHASES
Placing a purchase order for more than $5,000 with an outside supplier
without Purchasing involvement constitutes an unauthorized
purchase. Individuals and departments
do not have the authority to enter into purchase contracts,
or in any way obligate the University, unless specifically
authorized to do so by the president, the senior vice
president and treasurer, or the director of
Purchasing. Any such negotiations
are considered as unauthorized purchases, and the obligation
with the supplier is a “personal liability” of the individual
who enters into the agreement.
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VEHICLE PROCUREMENT
GUIDELINES AND PROCEDURES
The
Purchasing Offices in Camden, Newark and New Brunswick
are responsible for the purchase or lease of vehicles
for their campuses.
Requisition/Approval
Process
-
Determine what type of vehicle is needed
-
Determine
the estimated cost and establish the vehicle specifications
If you need assistance, contact the vehicle buyer in the
purchasing office on your campus:
-
New Brunswick/Camden – Alvin Cooley at 732/932-4375 ext.2325 or 856/225-6142 or via
email at acooley@rci.rutgers.edu
-
Prepare a requisition in the University’s RIAS system
-
In the requisition item description section, list
the specific make, model, features, accessories and
the delivery date needed
-
If
your purchase involves a trade-in, include the pertinent
information relating to the vehicle trade-in, such
as make, model, year, vehicle identification number
(VIN), accessories, vehicle condition (i.e. vehicle
damage, operational, etc.) and pick up location
The Preparer should forward the completed requisition
to James Breeding, the director of Risk Management and
Insurance, by adding James Breeding as a reviewer to the
requisition.
-
-
Notate
the insurance charge the department will incur
due to the vehicle purchase in the “Note to Approver” section of the requisition
Upon James Breeding’s approval, the requisition
will be forwarded to the designated approver on
the requisition
Insurance
related questions should be directed to the Office
of Risk Management and Insurance at 732/445-7300
or via email at breeding@rci.rutgers.edu.
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