Business Services Policies

BS10 Blanket or Standing Order

Policy Status: 

Active

Policy Steward: 

Associate Vice President for Auxiliary & Business Services

Contents:

  • Purpose
  • Limitations
  • Approvals And Records
  • Vendor Invoicing For Standing Orders
  • Further Information
  • PURPOSE:

    To present the regulations to be observed in issuing standing orders, and the responsibilities that must be assumed by departments that desire to establish standing orders with vendors.

    LIMITATIONS:

    Standing orders are issued to vendors for a specific period of time and a stated amount of money. Purchases made against such an order are limited to supplies of a repetitive nature, or are such that the Department of Purchasing Services has determined that it is the most efficient way to purchase such items. Purchasing may, at its discretion, elect to establish a contract for prices for items on standing orders. Equipment is not to be purchased on standing orders.

    APPROVALS AND RECORDS:

    The establishment of a standing order requires the same approval and procedure as any other Purchase Order. Purchases made against such an order are limited by the conditions stated in the standing order and thus do not require Accounting or Purchasing approval for each transaction. The Department of Purchases monitors standing orders to determine that such purchases are proper.

    Each standing order must include the following in the body of the order:

    • The person or persons authorized to initiate release orders under the standing order.
    • An indication of how such orders may be placed (letter of release, etc.), and how those orders are to be authenticated.
    • Delivery destination; for example, "All deliveries must be made to the receiving area on 5th floor Rider Building."

    Standing orders are not to be used to circumvent General Stores or standard purchasing procedures.

    VENDOR INVOICING FOR STANDING ORDERS:

    Vendors are requested to invoice on a monthly basis, sending invoices to the Department of Purchasing Services where they are entered into the eBuy+ invoice confirmation system for the department to confirm the invoice for payment.

    FURTHER INFORMATION:

    For questions, additional detail, or to request changes to this policy, please contact the Office of the Associate Vice President, Auxiliary & Business Services.

    Effective Date: March 18, 2011
    Date Approved: March 16, 2011
    Date Published: March 18, 2011 (Editorial changes- October 25, 2013)

    Most Recent Changes:

    • October 25, 2013 - Editorial changes. Addition of policy steward information, in the event that there are questions or requests for changes to the policy.

    Revision History (and effective dates):

    • March 18, 2011- Revisions made to VENDOR INVOICING FOR STANDING ORDER section to reflect the use of the eBuy+ confirmation system as the prime method for confirming invoices for payment.
    • June 14, 2006 - Revision History added.
    • March 6, 1998 - Renumbered and relocated Policy BS10 from PC05.
    • April 8, 1988 - changed "At Commonwealth Campus, Hershey Medical Center, Capitol Campus and Behrend College" to "At Locations Other Than University Park".
    • February 18, 1986 - Major Revisions.
    • March 3, 1982 - Retyped without change from February, 1978.