Central Procurement Policies

CP05 Responsibilities after Initiating Purchases from Vendors Outside the University (formerly BS11)

Policy Status
Active
Subject Matter Expert
Richard D. Elmore, (814) 863-0274, rde9@psu.edu
Policy Steward
Associate Vice President for Procurement, Contracts, and Accounts Payable/Chief Procurement Officer

NOTE: In connection with the rollout of the finance shared services model, the University is reviewing all procurement policies and guidelines. Working with key stakeholders, we are updating and combining policies to better support the University community.

Some policies may not yet show recent changes due to the number under review. All updates will include effective dates for clarity.

Thank you for your patience during this process. For questions, please submit a Procurement Assistance Request.

Table of Contents

Purpose

To state the responsibilities which the requesting department shares with the Office of Central Procurement in order to make sure that delivery is made and that the requirements set forth in the Purchase Order are met.

Change Orders

The Office of Central Procurement has exclusive authority to change a Purchase Order. If such need arises, Central Procurement should be contacted immediately.

Follow-up

Follow-up on orders is not routine, but Central Procurement will expedite delivery if requested to do so by the requesting department.

Delivery Information

In accepting delivery, it is the responsibility of the requisitioning department to inspect all purchases, including opening and checking of the contents. By confirming the invoice in the PSUbuy invoice confirmation system, the receiving department verifies receipt and acceptance of the items ordered. (See following paragraph for items received in a damaged condition.) If the items received are not per specifications, such as color, model, size, etc., Central Procurement will contact the vendor after being notified by the receiving department.

Receipt of Damaged Goods

Most quotations are solicited on a delivered basis to a designated University building. This places the responsibility for damages on the carrier and the shipper. An "Inspection Report" form and a "Standard Form for Presentation of Loss and Damage Claims" must be completed and presented to the carrier in order that the University may be reimbursed for loss or damage. All public carriers have these forms.

When a shipment arrives with visible damage, all copies of the delivery receipt should be noted "Received in damaged condition." A copy should be sent to Central Procurement on the same day the material is received or services rendered. A second very necessary step, when damage is readily apparent at time of delivery, is to insist that the carrier's employee make out an "Inspection Report." The "Inspection Report" and copies of the "Standard Form for Presentation of Loss and Damage Claims" should then be forwarded to Central Procurement. Also, note in the PSUbuy invoice confirmation system that material is damaged and what resolution was made, if any.

If damages are discovered after signing the delivery receipt, the receiving department is to notify the carrier immediately, and request an inspection. After the carrier has made his inspection, the receiving department should forward the "Inspection Report," and copies of the "Standard Form for Presentation of Loss and Damage Claims" to the Department of Purchasing Services.

Returning Materials

Damaged or incorrect items shall not be returned to a vendor without prior approval and instruction from Central Procurement.

No equipment is to be returned to a vendor for repair or adjustment without the prior approval of Central Procurement.

Reimbursements

Reimbursements received from vendors after the end of the fiscal year, for purchases paid in the prior fiscal year from general funds, will not be credited to the budget of the department originating the purchase. This applies to all reimbursements, including those for duplicate payments, over payments, or returned materials.

Further Information

For questions, additional detail, or to request changes to this policy, please contact the Office of Central Procurement by submitting a Procurement Assistance Request.

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

Most Recent Changes:

  • February 24, 2026 – Editorial changes:
    • Temporary statement regarding the new finance shared services business model impacting policy revisions added
    • Financial Officer references changed to Strategic Finance Partner teams
    • Shop OnLion references changed to PSUbuy

Revision History (and effective dates):

  • October 25, 2013 - Editorial changes. Addition of policy steward information, in the event that there are questions or requests for changes to the policy.
  • March 18, 2011- Revisions made to DELIVERY INFORMATION and RECEIPT OF DAMAGED GOODS sections to reflect the use of the eBuy+ invoice confirmation system to report on materials that have been received.
  • June 19, 2006 - Revision History added.
  • March 6, 1998 - Renumbered and relocated Policy BS11 from PC06.
  • January 8, 1993 - Retyped without change from May, 1983
  • March 3, 1982 - Retyped without change from February, 1978
Date Approved
Date Published
Effective Date