the municipal secretary desktop reference manual - Southwestern ...

III.
Department/Agency determines need for goods or services.
Requisitions may be required, depending upon local environmental conditions. (See attached
copy of a requisition form.
The purchase cannot be made or authorized unless the requested commodity or service is in
the budget, and unless there is sufficient unencumbered balance in the account to cover the
proposed expenditure.
Purchasing orders are monitored on a regular basis to ensure that they are executed on a
timely basis.
IV. Purchases under $500:
By user, at selected vendors and for predetermined commodities.
Blanket purchase orders to specific vendors are used under limited circumstances for small
purchases. A >cap= has been placed on the total amounts to be purchased via blanket orders.
This amount has been encumbered.
Use of blanket purchase order system is periodically monitored by purchasing officer.
One purchasing order is to be issued for each month to cover all purchases to be made during
the month.
V. Purchases between $500 - $3,999:
User obtains informal bids or quotes.
User makes recommendation to purchasing agent.
Purchasing officer prepared purchase order, provided governing body approves.
Purchasing officer mails copies to vendors.
Prenumbered purchasing documents are mandated by the purchasing ordinance. (See
attached copy of purchase order.)
VI. Purchases between $4,000 - $10,000:
User obtains three bids or quotes as mandated by law (see attached form).
User makes recommendation, purchasing officer prepares purchase order, subject to
governing body approval.
Signed order mailed to vendor.
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