Unauthorized Commitments

Slides:



Advertisements
Similar presentations
INTERNAL CONTROLS.
Advertisements

Specifications Method or manner of performance University furnished property or services Acceleration of schedule.
Prepared by Andrée M. Cohen, Purchasing Administrator CITY OF NEW ORLEANS 2012 PROCUREMENT & PURCHASING PROCESS TRAINING CITY OF NEW ORLEANS 2012 PROCUREMENT.
Field Orders on Construction Contracts Guidance Document CLC-8 May 13, 2013.
Contract CloseOut.
Fixed price contract: A contract that provides a price for each procurement item obtained under the contract.
CONTRACT ADMINISTRATION
Type of Travel: International Domestic Error Message: You must select Domestic or International Travel.
Office Of Purchasing and Contracts Procurement Outreach Training Level II - Module C Specialized Agreements.
Massachusetts Department of Elementary & Secondary Education
Process & Department Set-up How Marketplace works Roles Business Units Approvals)
Utah Procurement Code Training
I n t e g r i t y - S e r v i c e - E x c e l l e n c e Silver Flag Exercise Site 1 Deployed Contracting Support Pat Procurement Contracting Team Lead.
Guidelines for Requesting a Waiver from Competitive Bidding Procure to Pay Services Updated 2/1/2012 Table of Contents.
Office Of Purchasing and Contracts Procurement Outreach Training Level II - Module C Specialized Agreements.
17 th Contracting Squadron I n t e g r i t y - S e r v i c e - E x c e l l e n c e LETTER CONTRACTS 2k7 01 Dec 05 Train and deploy the world’s foremost.
Marcy Mealy Procurement Specialist CDBG Program
Purchasing 101 A guide for department administrators presented by: Heidi Williams January, 2012.
For West Virginia Department of Education DISCLAIMER This PowerPoint presentation serves only as a snapshot of purchasing regulations. Please visit the.
Purchasing for Extension Policies and Procedures Patty Gropp, C.P.M. Washington State University Purchasing Services Pullman, Washington October 28, 2004.
OGC LEGAL AFFAIRS EDUCATION PROGRAM CONTRACTING AND PURCHASING AT DEPAUL, FROM START TO FINISH A JOINT PRESENTATION BY ANASTASIA KATINAS, OFFICE OF THE.
Sole Source Training.
Statutory Violations Identification Procedure Avoidance CCIT Presentation – July 20, 2011 (rev 3/17/14)
Collaborating with Others? If so, why and how? OSP AWARENESS MARCH 5, 2015 OSP.SYR.EDU
Student Affairs Buying 101 Procurement Methods Students First Topic
Every student. every classroom. every day. Professional Services Contracts Overview and Current Processes.
Encouraging Diversity Growth & Equity 123: Demonstration of Good Faith Todd McGonigle EDGE Program Manager Phone (614) FAX (614)
Educating Customers Simplified Acquisition Process Russellyn Rogers.
Agency AUTHORITY OF AGENTS (1) Where an agent acts in the name of a principal, the rules on direct representation apply. (2) Where an intermediary acts.
A T H E N A 1 E UROPEAN U NION ATHENA ATHENA E UROPEAN U NION ATHENA ATHENA Council decision 2007/384/CFSP of 14 May 2007 ( OJ 13/06/2007.
COMPETITION REQUIREMENTS
Accountability and Grants Management: Connecting the Dots U.S. Department of Labor, ETA, Region 4 Discretionary Grantee Training Conference March 1-2,
WELCOME TO UNB. MARK McGEEHAN Assistant Manager, Procurement Services 3 plus years with UNB 28 years in Healthcare Procurement Current member of APPA.
UMR Campus Procurement Services G5C Campus Support Facility Extension 4266 Fax 4048
UMR Campus Procurement Services G5C Campus Support Facility Extension 4266 Fax 4048
Brette Kaplan, Esq. Erin Auerbach, Esq. Brustein & Manasevit, PLLC Spring Forum 2013
U.S. DEPARTMENT OF LABOR EMPLOYMENT AND TRAINING ADMINISTRATION ARRA GREEN JOB AND HEALTH CARE / EMERGING INDUSTRIES NEW GRANTEE POST AWARD FORUM JUNE.
Public Buildings Service sustaining world-class facilities and services the office of facilities management and services programs “Reimbursable Work Authorizations”
Service Quality Innovation Trust Safety The Samet Way “Managing the Company Cash Position” Accounts Payable (AP) should always be less than Accounts Receivable.
MyFloridaMarketPlace Design Overview February 19, 2004.
Guidelines for Simplified Acquisitions Keisha Eldridge March 7, 2007 Level I PIP Presentation.
Office of Procurement Services.  Vendor Application Website: 
Award Management Services Procurement Outreach Training Level II - Module C Specialized Agreements.
Sponsored Project Administration Fall 2012 CERTIFICATION PROGRAM Sponsored Project Lifecycle Introduction Overview Creating a Project Budget Compliance.
Introduction to Procurement for Public Housing Authorities NonCompetitive Awards Unit 7.
Change Orders on Federal-aid Highway Construction Projects Bren George-Nwabugwu (FHWA) ; (317)
Award Management Services Procurement Outreach Training Level II - Module C Specialized Agreements.
Procurement Training and Audit Review March 19, 2015 Presented by: Hao Xie Bruce Hurt Leanne Mead Ramona Divinagracia.
Contract Compliance Training. Department Personnel Office of the General Counsel (OGC) Mario K. Castillo General Counsel John Guest Deputy General Counsel.
Avoiding Unauthorized Purchases An unauthorized purchase is a purchase committing agency funds without prior approval. Training provided by Texas Juvenile.
Shariq Husain, PE INDOT Roadway Review Engineer Highway Design and Technical Support Proprietary Materials – Approval Process.
CONTRACTING UPDATES AND BEST PRACTICES Purchasing & Contracting August 2016.
(AFTER-THE-FACT ORDERS) Confirming Orders. Purchasing Policies Use of confirming Requisitions and Purchase Orders without an approved University payment.
UW Whitewater Procurement Card Program. Overview The purpose of UW-Whitewater Procurement Card Program is to establish a more efficient, cost- effective.
CHORI Purchasing Flow Chart
Contract Compliance Training
UW Whitewater Procurement Card Program
Personal Services/ Memorandum of Agreements
Policies and Procedures
CONTRACT ADMINISTRATION
City of Norfolk Office of the Purchasing Agent
Texas Woman’s University
Contract Compliance Training
Contracting Officer Podcast Slides
BYU-IDAHO Contracts, Negotiations & Signing Authority
Explosives Requirements Contracting Division
APUR 101 Introduction to USCA Purchasing
Dallas Area Rapid Transit Business Opportunity Forum
A JOINT PRESENTATION BY
APUR 101 INTRODUCTION TO USC AIKEN PURCHASING.
Presentation transcript:

Unauthorized Commitments

Unauthorized Commitment - Definition A written or oral contractual commitment or agreement made by an individual who lacks or does not have sufficient authority to make the commitment or enter into an agreement on behalf of the Laboratory

Delegation of Authority to Commit Expenditure of Funds UC President Laboratory Director Procurement and Property Manager Designated individuals assigned to the Procurement Department

Field Order Authority Delegated from the Procurement and Property Manager to named individuals in Facilities Division. Limited to $25,000 or 10% of subcontract value, whichever is less. Authorizes the individual to direct extra/changed work in the field if necessary to keep the project on track. Direction to the subcontractor must be in writing and must include a ceiling price. Does not authorize the individual to agree to a final price for the work. Subcontractor cannot get paid for the change until the subcontract is formally modified in writing.

LBNL Policy on Unauthorized Commitments Regulations and Procedures Manual Chapter 11. Procurement Standard Practice 1.3

Regulations and Procedures Manual – Chapter 11 Authority to make contractual commitments is specifically delegated to individuals assigned to Procurement. Commitments made by individuals without authority are unauthorized and must be ratified in order to be paid. Ratification is based on determination that the action would otherwise have been proper and in the best interest of the Laboratory.

Indicators of an Unauthorized Procurement Requisition or memo requesting an item or service already received or started. Invoice without a purchase order number. Invoice from a construction or A/E subcontractor greater than the price of the subcontract. Commitment made after expiration of a blanket or other subcontract.

Examples of Unauthorized Commitments Committing funds in excess of one’s delegated authority. Commitment of funds by an unauthorized individual. Requesting or accepting materials or services when a contract has not been awarded. Authorizing a vendor to perform work or deliver materials without written delegated authority. Authorizing work that exceeds the value of the subcontract or that extends beyond the term of the subcontract. Authorizing additional/changed work from an A/E subcontractor that results in additional cost. Authorizing a change to the work that exceeds $25,000 or 10% of the value of the subcontract. Ordering materials or services outside the scope of the subcontract. Authorizing a release under a blanket if not designated in the subcontract. Directing another individual to do the above, whether intentionally or not.

Exception for Emergencies Emergency is a circumstance that requires a procurement in order to avoid, eliminate or reduce hazardous or destructive situations involving persons or property. Does not occur during normal working hours. Contact Procurement instead. If necessary requires appropriate requisitions, approvals and emergency justification on first business day following the occurrence.

Ways to Avoid Emergency Commitments Maintain reasonable inventory of replacement/repair items. Identify one or more procurement specialists and provide names and after hours contact information to people who work after hours. Establish blanket subcontracts for items/services that may be needed in an emergency.

Ratification of Unauthorized Commitments Procurement specialist will: Advise the vendor to stop work if possible and that work is being performed at risk. Advise the unauthorized individual not to use delivered material until the action has been ratified. Instruct the unauthorized individual on proper procedures. Establish a Ratification Log number, complete Section I of the Unauthorized Commitment form and send the form to the Division for completion.

Memorandum Required in Section II of the Form Circumstances that led to the unauthorized procurement. Description of the material service and why it is needed. An explanation as to why the selected vendor was chosen and a list of other vendors considered. Requires a Sole Source Justification form if >$100K. Estimated cost or agreed upon price. Reason why ratification is in the best interest of the Laboratory. Statement as whether performance has started and how much work has been completed. Explanation of actions that will be taken to assure that unauthorized commitments will not occur in the future. Explanation of the disciplinary action initiated with the individual who made the commitment.

Approvals Division Director must sign the form indicating that ratification is appropriate and disciplinary action is appropriate to the circumstances. Procurement Specialist signs to indicate that the procurement would otherwise have been proper Sole source justified Price is reasonable If foreign, purchase is justified under Buy American Act Cost is allowable Vendor is not debarred

Approvals Vendor cannot be paid until the action is ratified. Procurement Specialist Recommends ratification to Group Manager Group Manager recommends ratification to Procurement and Property Manager <$50,000 – Procurement and Property Manager can make final determination >$50,000 – OCFO must make final determination. Vendor cannot be paid until the action is ratified.