Efficient Purchasing Processes and Guidelines for Danville Public Schools 2023

1. Danville Public Schools 2023 School Finance For Educators Contracts, Procurement and Accounts Payable Igniting

2. PURCHASING PROCESS  All expenditures, other than travel reimbursement, must have a Purchase Order. Please plan in advance for the time needed for this step.  The appropriate order for purchases:  Get quote from vendor  Enter requisition (and prepare contract if for services) and await a purchase order  Once purchase order is received, proceed with purchase.  We do not pay for things in advance. You must place the order by creating a PO, receive the materials, and an invoice issued before payment is made.

3. PURCHASING PROCESS The requestor checks the available budget to see if there are enough funds in the account. If not, follow the Budget Transfer process. Before the requisition is entered you must also make sure the purchasing guidelines have been followed: Three quotes must be obtained if the purchase is from $5,000 - $49,999. If the purchase is over $50,000 an RFP must be prepared and submitted to receive proposals from vendors. If the vendor is part of one the purchasing cooperatives that we are members of, an RFP may not be necessary (see next slide). If a vendor is the only vendor that has the item/service being purchased, a sole source letter must be obtained explaining why the vendor is considered sole source, and to show that due diligence has been performed to ensure no other vendor offers the same product/service. The sole source letter should be forwarded to Finance. TAX: We are tax exempt (except for hotels and prepared meals) and purchase orders allow us not to be charged tax. Please refrain from making purchases without a PO. Contact Finance to get a vendor setup in eFinance. A W-9 is required from the vendor. This applicable for both eFinance and EPES. Please forward the email address for the Vendor’s purchasing department or contact to Accounts Payable.

4. PURCHASING PROCESS Purchasing Cooperatives that DPS can utilize: EVA – State contract website https://eva.virginia.gov/ OMNIA Partners https://www.omniapartners.com/industries/k-12-education TIPS-USA https://www.tips-usa.com/vlist.cfm Sourcewell https://www.sourcewell-mn.gov/lookup Charlotte Cooperative Purchasing Alliance http://www.charlottealliance.org/contracts/       Vendor must have current contract that includes items that you want to purchase.  Contact Dawn or Andrea to confirm the use of these memberships.

5. PURCHASING PROCESS  A requisition is entered into eFinance, selecting the appropriate approval group and entering a detailed description of what is being ordered.  For Title I – the approver group contains a TI after the school name.  For Maintenance expenditures related to Federal Grants you will need to use approver group MAINT FG-Mgr. of Oper. and Maint. – Fed Grants.  Once the requisition has been entered, please inform the next person in the approval group that the requisition is ready for approval.  Please remember to add shipping cost to the purchase order. If you are unsure if the vendor will charge shipping, contact them to find out the shipping cost before entering the requisition. You can also estimate the shipping cost if needed (ex. 10% or 15% of order)

6. PURCHASING PROCESS  Finance checks requisitions daily to ensure the correctness of the account numbers and to ensure that the purchasing guidelines have been followed. If any information is needed, Finance will follow up with the requestor.  Local Requisitions will be converted to Purchase Orders within 48 hours of final approval.  Federal requisitions are converted to Purchase Orders each Friday, which are then sent to the VDOE for approval. The VDOE reviews the information and sends back approval/denial the following Wednesday at 5 p.m.  Once a Purchase Order has received VDOE approval, the purchase orders are approved by the Finance department. A copy is then emailed/mailed to the vendor, and a copy is also sent to the requesting department.

7. FEDERAL REQUISITIONS/PURCHASE ORDERS To Make the Reporting Process Easier…  You MUST have all requisitions entered & approved by the end of each Thursday.  Remember: Anything $5,000 and above must have 3 comparable quotes or a sole source letter. Be sure to put this in the notes when you enter the requisition.  If you are entering a requisition that is using grant funds, be as specific as you can. Enter a detailed description – and be sure to enter quantity/price per item in the description.  Make sure you enter the correct Approval Group when entering a requisition so that it is routed to through the correct approval process.

8. ACCOUNTS PAYABLE  When the order is received, the P.O. copy that has been sent to your site must be initialed and dated and sent to the Accounts Payable office for payment. The initials and date verify when the order was received and acknowledges the invoice can be paid; it is acceptable for the School Bookkeeper to do this. Please make sure you are writing the date that you received the items and your initials on the purchase order. The Auditors look for this information as part of the annual audits.  PO’s/invoices should be submitted to Finance in a timely manner for processing. Accounts Payable information is due to Finance by 5:00pm on Friday. Please refer to the Accounts Payable Calendar for AP payment dates that are based on School Board Meeting dates.  If you receive an invoice at your school, please send it to Accounts Payable. If you have the invoice, then we do not have it in Finance.

9. ACCOUNTS PAYABLE In lieu of mailing documentation to accounts payable you can upload instead. Once the goods have been received, a signed copy of the packing slip or purchase order must be scanned and uploaded to eFinance, and an email needs to be sent to Accounts Payable indicating that this has been completed. The scanned document can be uploaded by clicking on the note with a paperclip icon in the requisition record.

10. ACCOUNTS PAYABLE DANVILLE PUBLIC SCHOOLS 2023-2024 ACCOUNTS PAYABLE CALENDAR - Accounts Payable Information Due in Finance by 5:00PM - Accounts Payable Check Run Date - Checks Released after 2:00pm - Checks Released and A/P information Due by 5PM on same day - No Accounts Payable processed during FY change over and Winter break - Central Office Holiday (adjusts reg. schedule) Please refer to the 2023-2024 Accounts Payable Calendar for due dates and check dates. It will be posted on the internal website finance page. JULY 2023 AUGUST 2023 SEPTEMBER 2023 S M T W T F S 1 8 S M T 1 8 15 16 22 23 29 30 W 2 9 T 3 F 4 11 12 18 19 25 26 S 5 S M T W T F 1 8 15 22 29 S 2 9 16 23 30 2 9 3 4 11 12 18 19 25 26 5 6 7 14 15 21 22 28 29 6 7 14 21 28 10 17 24 31 3 4 5 12 13 19 20 26 27 6 7 10 17 24 31 13 20 27 13 20 27 10 17 24 11 18 25 14 21 28 16 23 30 OCTOBER 2023 NOVEMBER 2023 DECEMBER 2023 S M T W T F S S M T W 1 8 T 2 9 F 3 10 11 17 18 24 25 S 4 S M T W T F 1 8 15 22 S 2 9 16 23 30 1 8 2 9 3 10 11 17 18 24 25 31 4 5 6 13 14 20 21 27 28 7 5 6 7 14 15 21 22 28 3 4 5 12 13 19 26 6 7 12 19 26 12 19 26 13 20 27 16 23 30 10 17 24 31 11 18 25 14 15 22 29 16 23 30 20 21 27 29 28 29 JANUARY 2024 FEBRUARY 2024 MARCH 2024 S M T W T F S S M T W T 1 8 F 2 9 16 17 23 24 S 3 S M T W T F 1 8 15 22 S 2 9 16 23 30 1 8 2 9 16 17 23 24 30 31 3 4 5 12 13 19 20 26 27 6 4 5 6 13 14 20 21 27 7 10 3 4 5 12 13 19 20 26 6 7 7 10 11 18 25 11 18 25 12 19 26 15 22 29 10 17 24 31 11 18 25 14 21 28 29 14 21 28 15 22 29 28 27 APRIL 2024 MAY 2024 JUNE 2024 S M T W T F S S M T W 1 8 T 2 9 F 3 10 11 17 18 24 25 31 S 4 S M T W T F S 1 8 15 22 29 1 8 2 9 16 17 23 24 30 3 4 5 12 13 19 20 26 27 6 5 6 7 14 15 21 22 28 29 2 9 3 4 11 12 18 19 25 5 6 7 14 21 28 7 10 11 18 25 12 19 26 13 20 27 16 23 30 10 17 24 13 20 27 14 21 28 15 22 29 16 23 30 26

11. CONTRACTS WHAT IS A CONTRACT?  A contract is a legally enforceable agreement that creates, defines, and governs mutual rights and obligations among its parties.  A contract typically involves the transfer of goods, services, money or a promise to transfer any of those at a future date.

12. WHAT IS THE PURPOSE OF A CONTRACT?  Ensures that DPS has properly protected from litigation (indemnification)  Protects the Confidential Information of DPS and its students  Specifically describes what is to be exchanged  Memorializes the responsibilities of the parties  Keeps DPS accountable to the community it serves.

13. WHAT ARE THE TYPES OF AGREEMENTS?  Memorandum of Understanding (MOU)  Community partnerships and other “handshake” agreements that do not involve the exchange of money.  Contract  Services or goods being exchanged for a fair market value.

14. DPS NEW CONTRACT PROCESS Beginning September 1, there will be a new contract process in place.  A written contract will be required for most service provided to DPS by external vendors. A contract may also be required for certain goods purchased as well.  There will be a routing process. All contracts must be signed of the Fund Manager/Director, Chief (HR, CIA, or Operations), Superintendent and the CFO.  Once a vendor agrees the terms of the contract and signs off, a requisition should be created in eFinance to encumber the funds for the contract amount.  Contracts must be fully executed, meaning signed by all parties and the corresponding purchase order approved, before the start of the contract.

15. DPS NEW CONTRACT PROCESS  There will be a new standard DPS Contract document that will be used for almost all contracts. There may be instances where the vendors created contract document can be used.  Software and lease agreements are exempt from the DPS standard contract document requirement.  The contract should be signed by the vendor before it is signed by DPS staff. Once it is signed by the vendor and the originating party, i.e. the Director or Fund Manager, it should be routed to the appropriate Chief, then the Superintendent for approval.  Once the corresponding requisition has been approved and all parties have signed off, the CFO will sign off and the PO will be issued along with a fully signed copy of the contract.

16. DPS STANDARD CONTRACT

17. DPS STANDARD CONTRACT ROUTING

18. Internal Reviews/Timeline Vendor It could take over 15 business days (3 weeks) for a correctly prepared contract to complete the process, so plan ahead! Issuance of Purchase Order &Signed Contract Dept./ School Finance (CFO has to sign) Federal Programs Chief i.e. Executive Cabinet Dr. Hairston

19. CONTRACT DO’S AND DON’TS Do’s  Plan in advance for annual contracts, i.e., prom contracts, graduation venues.  Plan in advance for other contracts to allow for adequate processing and signatures.  Vendor/Contractor is in the system and received a DPS vendor number in eFinance. Don’ts  Start performance before contract is signed (executed)  Do not send a copy of partially signed contract to the vendor. Only send it once it is fully executed.  Do not sign any lease or contract that obligates DPS for recurring expenses without first having it reviewed and approved by your Chief and the CFO.  Do not enter into contracts on behalf of PTA/PTO/PTSA. These organizations are separate entities from Danville Public Schools.

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