III. e-VOUCHER PURCHASING and PAYMENT PROCESSES

A. e-Voucher - Transactions under $3000

The e-Voucher system will be used for non-purchase order vouchers only. This application is also used to make all payments to research subjects, including payments previously processed through payroll. When you initiate a voucher, you will load information into a new form in the e-Voucher system. The “initiator” is the person who enters the information into the e-Voucher system.

After you complete your voucher, you will send the form into the campus Workflow System for electronic approvals, then on to AP for auditing and payment. You will be able to determine at any time where your form is in the Workflow process.
The e-Voucher provides departments the flexibility to order goods and services under $3000 (including shipping and handling) directly from the vendor. Accounts Payable audits and reviews the e-Voucher before payment is made to ensure all charges are appropriate. The department assumes the responsibility for maintaining sufficient order records, answering vendor questions and handling credits.

Advantages of e-Voucher:

• Eliminate paper vouchers
• Eliminate duplication of data entry
• Immediate MFK validation
• Status tracking for vouchers
• Approve forms through Workflow
• Attach scanned back up information electronically
• Search Center
• Favorites for MFK’s & Vendors

If the department does not wish to use this option, or when vendors require a PO, Purchasing will issue Purchase Orders for low-dollar transactions. The University of Iowa Purchasing Card is another option.

1. Department Procedures

• Contact the vendor to place an order. Provide the "ship-to" address and request that the invoice be mailed directly to your department. Accounts Payable routes all invoices less than $3000 to the department if no Purchase Order number is associated with the invoice. If Accounts Payable is unable to determine which department placed the order, the invoice will be returned to the vendor.
• See vendor database for more information.
• Department receives the ordered goods and an invoice from the vendor.
• Complete an e-voucher on-line form and submit through workflow (requires 2 separate approvals).
  • Scan and attach the invoice or price verification to the on-line form. If supporting documentation needs to accompany the check, please provide a copy. If a scanner is not available, send original invoice via campus mail to 202 PCO noting the voucher number on invoice.
• The University does not pay sales tax (unless it is part of a reimbursement or consumed out of state). See the Code of Iowa and Tax Exempt form
• Maintain original records/documentation in department for a minimum of 18 months to satisfy auditing requirements
• Resolve problems with back orders and damaged products.
• Process Credit Memos using one of the following options:
  • If the credit amount equals the unpaid invoice amount, retain the invoice and Credit Memo. In this case, no documentation is routed to Accounts Payable.

If the credit amount does not equal the invoice amount or if payment has been made, please contact one of the credit statement staff listed at Accounts Payable staff website

When a department wishes to track expenses, Purchase Orders may be issued to cover off-premises utilities or other recurring expenses, such as telephones or rent.

If you have questions please call 335-0379 or see Accounts Payable staff website for phone number and emails.

2. Restrictions

The following items may not be purchased using low-dollar procedures:

* These items require your Vice President’s signature. See The University of Iowa Operations Manual, Part 5, Chapter 11, Section 11, or view at www.uiowa.edu/~our/opmanual/v/11.htm#1122

** Alcoholic Beverages are restricted to certain funds.  See The University of Iowa Operations Manual, Part 5, Chapter 11, Section 11, or view at www.uiowa.edu/%7Eour/opmanual/v/11.htm#1125

B. Miscellaneous e-Voucher Transactions

A number of transaction types may be processed without issuing Purchase Orders, even if they exceed $3000, because no value is added by Purchasing Agent review. To generate payment, complete an on-line e-Voucher form, submitting through workflow with 2 separate approvals, and attach scanned supporting documentation and price verification. If you have questions call 335-0379 or see Accounts Payable staff for a listing of Accounts Payable staff.

Price Verification

Price verification must be written (non-verbal). It can take the form of an email, price list, or catalog page that includes the vendor name and address. Also include shipping and handling costs or discounts.

Following is a listing of these transaction types:

Note: In order to track expenses, Purchase Orders may be issued to cover off-premises utilities or other recurring expenses, such as telephone or rent. Contact John Klopp at 5-0382.

C. Additional e-Voucher Payment Types

The following is types of transactions require special handling or information.

1. Reimbursements
a) Original itemized receipts are needed if asking for 100% reimbursement. A scanned receipt needs to be attached to e-voucher showing the vendor name, amount, and if payment was by cash, check or credit card. If paid by credit card the receipt needs to show what type of card was used. If Visa was used, we need the receipt to show the first four digits (to verify that is isn’t the University Procurement Card). If another type was used, no additional information is needed. If the receipt does not show how the purchase was made, then Accounts Payable will need the front and back copy of the canceled check, copy of the bank statement or credit card statement. If the department does not have a receipt, they can send a letter from their department head with the above information.
b) Food Purchases: When purchasing food or beverage for the personal benefit of faculty, staff of their families, the following information is required:
c) Business purpose of Expense
d) An explanation of why food or beverage was required at the meeting
e) Requests for payment or reimbursement require two approvals via workflow. The person coordinating the event should approve. In addition, one of the following must approve reimbursement: the DEO, business officer of the college or division, dean or vice president of the employing division.

2. Food

Food and beverage expense, excluding alcohol (see V-11.22a.), may be approved for reimbursement if the following conditions have been met:

a) There is a clear University purpose for incurring the expense that is documented in writing. Examples of University purposes include, but are not limited to, the following:

(1) business meetings
(2) conferences
(3) recognition events
(4) recruitment
(5) training
(6) new employee orientation
(7) lectures, symposia, presentations
(8) student orientation and support events

b) Reimbursement requests for meals must include a description of the University purpose served, as well as an explanation of why food or beverage was required at the meeting.
c) Requests for payment or reimbursement require two approvals via workflow. The person coordinating the event should approve. In addition, one of the following must approve reimbursement: the DEO, business officer of the college or division, dean or vice president of the employing division.
d) Original itemized scanned receipt.
e) Institutional account number should be 6135 or 6137. See below.

(1) 6135: Food for consumption only, such as food charges associated with University sponsored activities (dormitories, conferences, workshops, Riverfest, etc.) on or off campus involving external participants. For food purchased for resale inventory use institutional accounts 6600 or 6605. Examples: Food Preparation (if not included in cost of food), Prepared Meals (Residence Services, Athletic Training Tables, Campus Cafeterias, UIHC, Conferences, summer camps)
(2) 6137: Meals and refreshments provided during formal business meetings and other campus wide events that have a direct business purpose. Examples: Recruitment, Business Meetings, Student/Employee Appreciation Events, other Campus Wide Events.

3. Flowers, Gifts and Other Incidental Expenses

Flowers, gifts, and other incidental expenses may be approved for reimbursement if the following conditions have been met:

a) There is a clear University purpose for incurring the expense that is documented in writing.
b) Requests for payment or reimbursement require two approvals via workflow. The person coordinating the event should approve. In addition, one of the following must approve reimbursement: the DEO, business officer of the college or division, dean or vice president of the employing division.
This policy applies to all University funding sources, which include funds transferred to the University from affiliated organizations

4. Subscriptions

a) Before subscribing, check the list of journals that are available for free electronically through the UI libraries

5. Prepayments

In some situations, the vendor requires payment before any merchandise will be shipped or offers a discount if the order is paid in advance.

Prepayments less than $3000

Prepaid purchases totaling less than $3000 do not require a PReq. Submit the following directly to Accounts Payable, 202 PCO.

e-Voucher on-line form - Include the complete department delivery address in the “Ship-to" box, as this is the only delivery information the vendor will receive. They will not receive an accompanying Purchase Order.

Price Verification from the vendor (see below).

Prepayments greater than $3000

For purchases totaling more than $3000 submit the following via workflow:

• PReq with “Prepayment” noted in Internal Comments.
• Price Verification from the Vendor in written form (non-verbal).
• Exception: No purchase order required when an agreement has been signed by Drew Ives, Business Manager. In this case prepare an on-line e-voucher.
  

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