Lynn Pomerantz Antwork Children First Networks 531 PROCUREMENT

AGENDA SOPM= (Standard Operating Procedures Manual) Overview of Types of PO’s >Contracted E-Catalog >Non-Contracted New Non-Contracted PO Screens >No Bid >3- Bid >Sole Source Procurement Cards (P-Cards) Small Item Payment Process) SIPPS ( Small Item Payment Process) 2

 (Click on SOP Chapters.)  Click on OTPS Purchases. Rules and regulations governing OTPS expenditures designed to yield maximum value for each dollar spent. All equipment, supplies, and services purchased with NYCDOE funds must serve the DOE’s educational and/or administrative programs while complying with legal bidding and administrative contractual requirements. (continued) 3 STANDARD OPERATING PROCEDURES (SOP What is the SOP?

SOP Overview Rule No. 1: There must be sufficient funds in the spending plan in order to procure any goods and services. Rule No. 2: Schools must purchase contracted goods and services from the established DOE contracted vendor. Rule No. 3: Under no circumstances should goods be ordered or services begin prior to generating a fully approved purchase order. Rule No. 4: Schools must have an initiator (e.g. secretary or school aide) and an approver (i.e. Principal, APO or School Business Manager) to process purchase orders. An initiator cannot be an approver. Rule No. 5: Schools must maintain original documentation to support all purchases; i.e. original signed and dated purchase order, packing slip. If it is a non-contracted order you must include 3 bids or an approved sole source letter. (continued) 4

SOP Overview Rule No. 6: Certification of delivery requires a comparison of the order delivered to the packing slip and the original purchase order. A sign off signature is required on each document acknowledging that the goods or services have been fully received and certification of delivery should be entered into FAMIS immediately. Rule No. 7: All goods and services must be delivered by June 30 th. Any goods received and accepted after June 30 th will be charged against the school’s next fiscal year budget. Rule No. 8: All purchases from non-contracted vendors must be in strict compliance with open competitive bidding rules. See the SOP for bidding thresholds – new procedures effective FY2014. Rule No. 9: Collusion with vendors is subject to disciplinary action. Under no circumstances may schools ask vendors to obtain the bids or split the orders among different vendors to avoid SOP bidding requirements. (continued) 5

SOP Overview Rule No. 10: Sole Source is not a determination of the vendor. Sole Source must be researched by the School Purchasing Liaison to ascertain that there is no equivalent product that can be provided by another vendor (commodities). Sole Source (services) eliminated. Guidelines – on the internet: Note: All purchasing liaisons should download the SOP and keep in school for reference. 6

Contracted vs. Non-Contracted 7 Contracted  Free Delivery  Delivery into the school  Product is insured  Damaged items are replaced  Less paperwork Non-Contracted  Must submit bids  Pay for delivery  Delivery into schools additional charge  Goods are not insured  Additional paperwork  Delivery time not guaranteed  Late fees and penalties could be charged

Directions: FAMIS – Under Purchasing Contracted or Non Contracted Go to FAMIS- Enter Username and Password Click Purchasing Click Non Contracted Click Commodities Click Micro Purchase Enter Vendor # Click Retrieve Click Next Look up Enter principals’ name Click Select Enter information & type inside delivery 8

Directions: FAMIS – Under Purchasing Contracted or Non Contracted=continue Click Next Enter on same line=District, Quick Code, Object code, Location, Activity Code, Amount Click Recalculate Click Next Enter item #, Description, Quantity, Price Click add line Enter item #, Description, Quantity, Price Type in addition information Box (inside delivery with attention too:) Click Recalculate Click Complete purchase order Print purchase document 9

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Contracted Purchase Orders Types of Contracted PO’s > Contracted (E-catalog): to order textbooks, computers, instructional materials, general supplies, audio visual equipment, wireless devices, New York City Leadership Academy and Internal Professional Services. > Non-List: Create a purchase order with a contracted vendor for contracted items not available in the E-Catalog. Includes sheet music, imprinted tee shirts and shorts, and more. (see attachment) > Professional Services: Create a purchase order for contracted professional services (i.e. professional development, curriculum development, evaluation services, student support services, counseling services). > Listing Applications: For the designated procurements of published or copyrighted library and reference materials, testing and assessments, and artistic performance of specific artists or groups, payment of admission fees to cultural institutions and other such programs. 11

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Non-Contracted Purchase Order Types of Non-Contracted PO’s for both Commodities & Professional Services > 3 Bids: Create a 3-bids order for non-contracted items. > No Bids: Create an order (maximum value: $250.00) for a non-contracted vendor. > Sole Vendor: Create an order for items vendor is the sole provider. > Exception to Bid: Create an Exception to Bid order. > Competitive Grant : Create an order for approved vendors associated with awarded grants. 13

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Purchase Order 20

Procurement Cards (P-Cards) ADVANTAGES  No outlay of personal funds  No waiting for reimbursement  $2,500 – single transaction  May add up to $15,000 on the P-Card  NOTE: Furniture, computers and computer items are not allowable purchases with a P-Card  Bids are required for purchases over $250:  from non-contracted vendors, or  for non-contracted items  Bids should be attached to P-Card Log For additional assistance, please contact the P- Card Unit at (718)

P-Card Certification 1.Purchases need to be reviewed and certified (expense reporting) done on a monthly basis 2.previous months purchases must be reviewed and certified New ! If a card has the spending limit dropped to $1 that means the cardholder failed to certify their purchase(s) in a timely fashion and purchasing was suspended If this is the first offense the card will be reinstated within 48 hours after the cardholder notifies gives their WC number and states everything has been certified. If a second offense, the card will be suspended for 90 days after certification. On the third offense, the card will be canceled. If central identifies a purchase that does not meet regulations, card holder may be required to reimburse the amount of the unauthorized purchase. 22

23  Keep your receipts for all purchases & a procurement log.  Refer to the SOP for a sample log. (  View and certify monthly card expenses in the FAMIS Portal. (Click on Purchasing & Payments, Procurement Card, Expense Reporting)  More than one P-Card is allowed. Funding source for each must remain the same throughout the FY (Tax Levy to Tax Levy – reimbursable to reimbursable) PURCHASES & DELIVERY OF GOODS USING THE PROCUREMENT CARD MUST BE COMPLETED BY June 30th. After June 30 th, any balance remaining on the card will be lost to the school. PROCUREMENT CARD

Small Item Payment Process (SIPP’s) When to use SIPP’s?  Reimbursement to NYC DOE employees for “business related” expenses incurred within reason  Postage, Conference registration  Emergency Purchases  Reimburse approved carfare or travel expenses. (See TRAC)  Refreshments from ‘School Foods’ necessary for meetings and workshops provided the total cost does not exceed $2,500.  Pay stipends to SLT members or parents. GENERAL GUIDELINES  All schools are authorized to enter payments for up to $2,500. (These amounts are allowable for postage purposes)  Purchases exceeding $250 require adherence to SOP Guidelines that cover bidding  Payments from $501 to $2,500 require approval. Supporting documentation should be faxed to your Procurement liaison.  Sales tax is not paid or reimbursed  Original supporting documentation must be retained at the school level. 24

Principal’s SIPP  SIPP is entered by the school – Yellow Icon will appear awaiting Superintendent’s approval.  The Superintendent will receive an indicating approval is required.  Once it is approved by the Superintendent, the icon will turn green with a check mark and returns back to the principal’s approval box in FAMIS.  Principal will then click submit for items under $500.  Over $500 – Procurement Liaison will be responsible for final approval as long as supporting documentation has been submitted to them. 25

Purchase Order Classification >WR = CONTRACTED >WO = NON-CONTRACTED >WJ = PRE-ENCUMBRANCE >WD = DECREASE >WI = SIPP >WC = P-CARD >WE = INCREASE >WF =P-CARD LINE INCREASE >WH = P-CARD ADDED LINE >WG = P-CARD DECREASE 26

27 Click approval- left side Action: drop down (Approve or reject) Signature: enter your code Click Approval Box- top right

Approval Screens go into approval box click action box- select approve enter your signature code click sign the screen will appear document Status- FAMIS submission successful PRINT 28

DELIVERY, CERTIFICATION & PAYMENTS 29 All goods and services must be received by June 30th. For competitive grants: expiration date.

DEADLINES & EXPENDITURE PLAN ActionAnticipated ItemDOE Deadline NYS Funds: Textbooks, Library, Hardware, SoftwareASAP (Prior to Thanksgiving) Budget modifications deadlinemid-March FAMIS Purchasing – Furniture, Computer Equipment and Computer Security Devices late March FAMIS Purchasing – All Other Good & Services, All Fund Sources mid-April Annual Physical InventoryApril 15th Balance on P-card = 0Last day of School Delivery of Goods & ServicesJune 30th Enter SIPP (Imprest Funds)Last day of School Certify delivery on-lineUpon receipt –ongoing 30

If you have any procurement questions or concerns, please contact your: 31 CFN 531 Procurement Liaison: Lynn Antwork Central Contact: Finance Service Center