Policy Title:Cancellation or Modification of Orders

Policy Number: 5.1

Requests for cancellation or modification of Purchase Orders should be submitted to the Procurement and Contracting Services Department on a purchase requisition (dPR) by an officially designated individual, stating the reason for the change, the Purchase Order number, and Vendor's name and address. For on-line requisitioning instructions, see FRS Departmental Manual, Section 10.14. Requests for cancellation or modification by telephone or fax will not be accepted.

Since a Purchase Order is a legal document, it can only be cancelled by mutual agreement between the Vendor and the University Procurement and Contracting Services Department. There may be restocking or cancellation charges if the Vendor has expended money to fulfill the order.

A request to cancel an encumbrance, because the item has previously been paid for, shall include the Purchase Order number and amount; the document invoice numbers and dates paid, as shown on your FRS report. To cancel remaining encumbrances on Purchase Orders that have been paid in full and no further invoicing will occur, make a copy of FRS screen 21, or a copy of the FBM090 report; state the reason for cancellation, the name and phone number of the person requesting the cancellation, and fax it to 621-5179.

 

Policy Title: Inspection of Items Received by Departments

Policy Number: 5.2

Effective: February, 1996

Revised: October 2007

Material or services received directly in a department against most types of Purchase Orders MUST be reported to Central Receiving or AHSC Receiving to facilitate payment of the invoice(s). Exceptions are Blanket Orders (BO) and Prepaid Purchase Orders (PPO). All items should be inspected for content and damages promptly after receiving. Send an email to the Central Receiving listserv at:

UA_CENTRAL_RECEIVING@LISTSERV.ARIZONA.EDU

Please provide the following information:

• Purchase Order Number
• Is the Order Complete or Partial

o If Partial, list the line item and quantity received

• Vendor Name
• Who Received the Order
• Date Received

If Accounts Payable receives an invoice and the receiving information is not recorded in FRS then Accounts Payable will generate an email notice to the department for receiving information. The department will be able to view the invoice through ISW and respond with the receiving information. A notice will continue to be sent to the department until the information is obtained.

Review FRS Manual Section 10.30 for additional information.

Any individual who is going to be away from the University for a significant amount of time should arrange for another individual to receive, unpack, and inspect merchandise as received.

 

Policy Title: Mistakes in Shipping by Vendor

Policy Number: 5.3

Mistakes in shipping should be reported promptly on an Exception Report to Central Receiving or AHSC Receiving. Refer to the Purchase Order number and vendor involved. Departments should give sufficient detail concerning the mistake so proper negotiations and correction of the mistake can be handled with the vendor. Refer to FRS Department Manual, Section 10.30.
 

Policy Title: Damages and/or Shortages/Overages

Policy Number: 5.4

In case of shortage/overage of shipment, an Exception Report should be submitted immediately to Central Receiving or AHSC Receiving and must include the following information: Purchase Order number, date, vendor, extent of damage/shortage. Refer to FRS Departmental Manual, Section 10.30. Government regulations require the University to file claims within seven (7) days. Failure to comply with these regulations could result in a denial of the claim.

In case of damage to a shipment, it is absolutely necessary that this be recorded on the freight bill when received. Save all packing material and promptly notify Central Receiving or AHSC Receiving by completing the Exception Report. Do this as soon as possible so that Receiving staff can schedule freight inspections and submit claims for damages.

  You can fax your Exception Report to Central Receiving at 621-3196.

The department is responsible for preparing the item(s) for return. This includes packing, sealing, labeling, return authorization number, etc. Central Receiving or AHSC Receiving can arrange for packaging at an additional cost to the department if desired.
 

  For further information, contact

      Central Receiving at 621-3890 or

      AHSC Receiving at 626-4051.

Policy Title: Returns for Credit or Mistakes in Ordering

Policy Number: 5.5

When a vendor has shipped items as specified on a Purchase Order, they have legally complied with their part of the contract and are under no obligation to accept for credit any items delivered as specified. Agreement by a vendor to accept the return of an item for credit is by no means automatic, and a restocking charge may be incurred. This charge will be assessed to the requisitioning department.

Requests for supplies or equipment to be returned to the vendor for adjustment or credit must be arranged with the vendor, from whom a Return Authorization number must be obtained. After obtaining the Return Authorization number, prepare an Exception Report to document the disposition of the merchandise. Refer to FRS Department Manual, Section 10.30.

Material ordered in error and having a net value of $50.00 or less must be retained by the requesting department.

TABLE OF CONTENTS

PURCHASING