Certification for Requisitioners
Procurement Staff Directory
Administrative Services Building
108 Perimeter Road
Clemson, SC 29634
864-656-2390 phone
864-656-2394 fax
Ask Procurement
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Procurement Website
Below are popular links and other helpful information that can
be found on our revamped website.
buyWays Portal
Contract Information
Direct Payment Information
Disbursements
Leases & Capital Assets
Policies & Procedures
Sam's Card Procedures
Scope of Work Template
Travel Vouchers
Taxes and IRS Information
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Why must I be certified?
● Lean recommendation from the Procurement review
● Provide basic understanding of Procurement and
Accounting processes by providing an overview training
● Required certification and recertification process for all
employees with the Requisition Role in buyWays
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Topics
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Stewardship / Ethics
Buying for Clemson
Paying for Clemson
Compliance
SC Sales and Use Tax
Coding Reporting
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Stewardship / Ethics
The South Carolina State Ethics Act governs ethical behavior
for state employees:
● Do not use position for personal gain
● Do not make payments to public officials
● Do not disclose confidential information
● Overall code of conduct should be beyond any ethical
concern or question
http://ethics.sc.gov/RulesofConduct/Pages/index.aspx
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Stewardship / Ethics
● As an employee you may be entrusted the authority to be
an agent of Clemson University (shopper, cardholder,
accountant)
● Agents have accountability and responsibility
● All transactions must have a business purpose
● Actions outside of the policies, may be subject to
disciplinary action or your personal liability
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Purpose of Policy and Guidelines
● Provide basic guidance
● Every possible expense or circumstance surrounding
those expenses cannot be anticipated
● The basic litmus test for the purchasing and charging any
institutional account is that the primary purpose of the
transaction is to fulfill University’s responsibilities.
http://www.clemson.edu/procurement/faculty-staff/policies/
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University Disbursement Policy
● Spending University monies is a two part process
○ Buying
○ Paying
● Any disbursement of University monies requires
○ Authorized signature to commit university funds
○ Independent approval of the voucher and payment of
funds
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University Disbursement Policy
● Budget centers will maintain a list of individuals authorized to
spend University monies
● Requires an authorized signature for any disbursement
○ Department specific workflow approval (buyWays
Requisition)
○ P-card – Live Signature
○ Secondary Approval upon receipt / invoice to approve
payment or NAR.
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Delegation
● Through delegated authority from the Division /College,
department heads, or their designee, are the authorized approval
authority for committing University funds.
● Responsible for ensuring funds are available prior to commitment
of funds.
● Any designee of the department head will be documented in some
manner detailing that designee’s authority.
○ Example of a designee is each Procurement Card holder.
● The signature of an authorized individual is required for any
disbursement. The authorization can be accomplished with a preapproval form or a signature after goods are received.
○ Example: Requisition for a Purchase Order or a departmental
specific form.
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Delegation
● Specific departmental or University policies and procedures serve as
documentation for appointing these individuals as designees of the
department head.
● Departments will also designate individuals for procurement roles in
buyWays.
● Each invoice must also be entered in buyWays unless invoice is sent
electronically by supplier, imported by Ricoh, or supplier Portal flip.
● Receipts must be entered for any invoice where the PO amount is ≥
2500.00.
● Receipts where the PO Amount is ≤ 2500.00 do not mandate receipts as the
NAR policy take effect once invoice is entered.
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Delegation
● Sponsored Programs/restricted funds: special approval
authorization may be granted to individuals with specific
controls (PI) or fund administrator who are authorized to spend
monies related to a specific project.
● Do not change chartfield strings or increase approved monies
when entering an invoice in buyWays where the approval has
already been obtained. (unless approved pilot area)
● The approved signature authority is requesting a personal
reimbursement for expenses (travel reimbursement), the
signature of the employee & supervisor or supervisor’s
designee is also required.
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Buying for Clemson
● Clemson University is a State Agency and
must comply with the SC Procurement Code and
departments must utilize the established State contracts.
● Many contract Items are available in buyWays via
contracts or punch-out sites and indicated with
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Some of the Major Commodities on State Contract
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Air Conditioners
Body Armor
Education - Servers
Furniture
Ice Machines
Laboratory Equipment
Lawn Mowers
Computers
Network – Cisco
Office Supplies
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Paper
Printing Photo Film & Supplies
Projectors
Radio Equipment
Scientific Supplies
Software
Temporary Services
Tractors
Vehicles
Video Conferencing Equipment
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Buying for Clemson
● Authorization
○ University delegation of authority
○ Person must be approved to spend
○ Authorization must be documented
■ Documentation of workflow approvals in buyWays and
approved requests for Visa cardholders
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Procurement Limits
The following general guidelines apply to purchases based on dollar limitations.
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Purchases less than $2500 – may be made without securing competitive bids if
the prices are considered to be fair and reasonable.
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Purchases from $2500.01 to $10,000 – require a minimum of three (3) price
references. These need not be written quotes, but can be quotes, internet
pricing, prices on the internet, email, supplier catalog, or telephones
quotes. The suppliers/references and prices must be noted on the purchase
requisition or in p-card supporting paperwork. It is not mandatory to use the low
bid supplier. By collecting (3) price references you are following policy and
showing a fair and reasonable trade transaction.
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Purchases from $10,000.01 to $50,000 – require written solicitation via written
quotes, bids, or proposals.
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Procurement Limits
● Purchases from $50,000.01 to $1,000,000 – require written solicitation of
written sealed bids.
● Purchases of $100,000 or more must be approved by the appropriate
vice president, the chief business officer or the president of the University
by action of the Board.
● Purchases over $2,000,000 – shall be sent to the State Procurement
Office in compliance with the Code, using the SCIES requisition process.
● IT Purchases over $1,000,000 – shall be sent to the State Procurement
Office in compliance with the Code, using the SCIES requisition process.
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Procurement Limits
● Items on exemption list can be purchased by a
department up to $100,000.
http://www.clemson.edu/procurement/faculty-staff/directpayments.html
● Examples: Utility bills, Registration fees, Research
animals, Purchase for resale
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3 Ways Purchase Methods
● Requisition > PO > Invoice (Preferred Method)
○ Any amount AND A legal binding contract exists with checks and
balances for Clemson and the supplier. PO before invoice.
● Payment Request Form (Invoice liability without prior PO)
○ ≤ $2,500 or one of the exemptions
● Direct Purchase Form
○ For encumbrance purposes as in a declining balance for utility
payments for the budget/fiscal year
● Procurement Card
○ ≤ $2,500 (unless a higher limit card is approved)
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Paying for Clemson
● As previously stated, a PO should have been issued prior to any
invoice arriving for payment.
○ Exceptions are P-card procurements where an item was
unavailable in Clemson’s eProcurement system, buyWays.
○ Utility payments
○ Registrations
● Must be approved by employee who has knowledge that goods and
services have been received whether that is a signature on a P-card
statement, electronic receipt in buyWays, or NAR.
● buyWays invoices where the amount is ≤ $2500.00 are eligible for
NAR Negative Assurance of Receipt Policy.
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Paying for Clemson
● How do I know what G/L account to use?
○ To determine the correct G/L account to use
when recording a transaction, you must first
determine whether the transaction represents an
expense, revenue, asset, or liability.
● In most cases – vouchers use expense codes
○ Further Details for Account Codes Later
Chart of Accounts
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Paying for Clemson
● Timely payment
● Payment to supplier is based on the supplier payment
terms if specified
● Any discounts should be considered if offered by a
supplier
● All suppliers are required to register with Clemson
prior to doing business.
○ http://www.clemson.edu/procurement/suppliers/index.html
● As a state agency, Clemson has 30 days after receipt
of goods to pay any invoice
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Paying for Clemson
● Supplier Check
● ACH (Automated Clearing House or Direct Deposit)
● Departmental Procurement Card-VISA
● PayMode-X (Electronic Funds Transfer)
● Wire Transfer (Limit to Rapid Funding to Overseas
accounts)
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Procurement Card
Examples of Allowable Charges:
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Office and lab supplies
Air travel
Registration fees
FEDEX or UPS
Subscriptions
Software
Repairs
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Printing
Postage
Phones
Rental Cars (Travel only)
Hardware
Books
Examples of Charges Unallowable:
▪ Employee travel
▪ Hotel rooms including deposits
▪ Meals
▪Shuttles
▪ Cash Advances
▪ Personal charges
▪ Gifts, gift cards/certificates
▪ Gasoline
▪ Foundation expenses
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Authorized Signatures
● Departments are not authorized to sign contracts, leases,
supplier agreements, etc. (i.e. cell phones)
● Any document or contract requiring a signature should be
forwarded to the Procurement Director for review and action.
● All departments are expected to comply with Clemson University
Fiscal Policies and Procedures regarding authorized signatures.
● Controller’s Office website
○ Fiscal Policies and Procedures
○ Signature Delegation
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Unauthorized Procurement
An act obligating Clemson University in a contract by any
person not authorized to do so in accordance with Clemson
University procurement policies and procedures.
Must write letter to Procurement Director. President must
approve the purchase.
● Examples:
○ Non-exempt purchases > $2,500 not on PO
○ Multiple planned purchases that exceed $2,500
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Conflict of Interest
Clemson can NOT purchase from the following:
● A University employee, goods and/or services.
● An employee’s business in which he/she owns more than
50% of the business.
● A family member residing in the same household as the
employee that owns more than 50% of the business.
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Conflict of Interest
● Exception to this policy may be made by the Executive
Officers of CU.
○ Unallowable Example: CU Employee and her husband own
a florist. It is a COI for Clemson to do business with them.
○ Allowable Example: CU Employee’s son has a business
providing services to the University. The son does not live
in the same household nor does the employee have
financial responsibility with the company.
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Supplier Tools
Dedicated Supplier Portal
•Supplier Registration
•Terms and Conditions
•Payment Inquiry Assist
•Supplier Bidding Instructions
•Procurement Policy
•Payment Policy/Options
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Compliance
• Sales and use tax
• R&D Tax
• State law
▪ State funds
▪ Self generated funds
o Program related
▪ Exempt funds (student activities, athletics and canteen/vending)
• Grants and contracts
• Restricted gifts
• Internal Revenue Service (IRS)
▪ Contractor vs. Employee
• General Compliance
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Clemson University
is NOT tax exempt
Some specific items/commodities are tax exempt.
View the list:
http://www.clemson.edu/procurement/faculty-staff/directpayments.html
Please ensure that your requisitions are marked
accordingly.
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Sales Tax
● Sales tax is imposed on the sale of goods and certain
services in South Carolina.
● Statewide the sales tax is 6%, however counties may
elect to impose an additional X% local sales tax.
● Generally, if tax is not on the invoice, the supplier is not
registered in SC.
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Use
Tax
● Purchases of tangible goods purchased from an out of
state supplier for use in South Carolina.
● Use tax is complementary to the sales tax.
● Serves to “even the playing field” where out of state
sellers are concerned.
● Purchaser is liable for the use tax.
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Use
Tax
● Purchaser is relieved of the use tax liability if he has
a receipt from the retailer specifying South Carolina
tax collected
● If no SC sales tax has been paid then we have to
pay the use tax
● Use Tax is accrued on the voucher and paid to the
SC Tax Commission by Accounting Services.
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Use Tax
● Credit for taxes paid AND due to another state.
● To be DUE another state, goods must be
delivered in that state.
● If substantial use of goods occurs outside SC,
then no additional use tax is due.
●http://www.sctax.org/default.htm
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Tax (Maintenance, Warranty, Software)
Purchase Item
Maintenance Contract for Equipment
or Item
Maintenance Contract for Equipment
or Item
Maintenance Contract for Software
Maintenance Contract for Software
Software
Software
Software
Warranty
Warranty
Description
Purchased with Equipment/Tangible
Property even if listed as a separate line
item
Purchased at a later date or not
purchased in conjunction with the product
Purchased with Software that was
delivered electronically
Purchased Delivered Tangible Property
(Disk, Flash Drive, etc)
Purchased or Delivered Tangible
Property (Disk, Flash Drive, etc)
Delivered Electronically
Internet websites that allow customer use
of software on that website. Companies
that provide customers access or use of
software are referred to as Application
Service Providers (ASP).
Purchased with Tangible Property even if
listed as a separate line item
Purchased at a later date or not
purchased in conjunction with the product
Taxable
Yes
No
No
Yes
Yes
No
Yes
Yes
No
Renewals of existing agreements (maintenance, warranty, or software updates and licenses) are subject to tax based
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on the original purchase.
Click here for a list of all SC tax rates by zip code.
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Tax
● 6% plus county local option tax if applicable to county in which
goods are used (so 7% in Pickens County). The same amount
of tax is due whether the item is bought in state
● Buy 2 planters from Lowes, Clemson, SC
○ Price: $275 x 2 =$550 + $38.50
○ Sales tax (7%) = $588.50 (pay to supplier)
● Buy 2 planters from internet company not registered nor having
nexus in SC to collect tax
○ Price $275 x 2 = $550 (pay to supplier)
○ Use tax $38.50 (pay to SC Dept of Revenue)
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Tax
● Most purchases are taxable unless R&D exemption applies
● Installation stated as a separate line item is non-taxable
● Labor is non-taxable when the labor is stated as a separate
line item from the parts
● Maintenance and warranty agreements are taxable
● CXML suppliers should collect sales tax
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Freight & Tax
● Freight – FOB Clemson – taxable – this is the default for all Clemson
purchase orders. When a freight amount is entered in the Freight field,
tax is added.
● Freight – FOB Shipping Point – not taxable. If freight is not taxable,
the amount should be entered as a separate non-taxable line on the
requisition.
● Freight paid directly to freight company – not taxable.
● Do not pay freight on state contract items ordered unless special
delivery is requested. Freight has been negotiated by the state in the
contract pricing.
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FAQ – Tax and Freight
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If Company A (located in California) makes a sale to Company B (located in New
Jersey) but ships the merchandise to Company C (located in South Carolina); who
is responsible for the South Carolina Tax?
○ This is a third party drop shipment scenario. Company A is considered to be making
a nontaxable sale for resale to Company B. Company C is liable for the South
Carolina use tax unless it has a receipt (invoice) showing payment of the South
Carolina tax to Company B.
Are freight charges taxable?
○ Freight charges are taxable unless the shipping is billed F.O.B. point of origin.
What if the invoice does not include tax, but should have?
○ Add use tax to the invoice.
What if the invoice only has 6% sales tax and the PO has 7%?
○ It is the responsibility of the supplier to charge the correct tax. Enter the invoice just
as it reads with the 6% tax.
Can I have sales and use tax on same purchase?
○ NO, should be either sales tax or use tax
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R&D Tax Exemption
● Equipment used 50% or more directly and exclusively
for research and development purposes may be
exempt from sales and use tax.
● Departments should maintain the approved form with
the files with the documentation associated with the
purchase.
● If you have questions, please contact Accounting
Services for further clarification.
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Source of Funds
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State
Federal
Donations
Agency
Self – Generated
79.2
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Fund Types
● The source of funds may restrict the use of funds for a
purchase
● Funds also have unique requirements for use
● Fund accounting classifies all resources into funds according
to specific limitations placed on their use by the resource
providers
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Fund Accounting
Fund 23 is the companion for CUF Fund 55. Once funds are moved to Fund 23, Procurement
Code must be followed.
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Employee Awards
● State funds may be used for “employee plaques,
certificates and other events, including, meals and similar
types of recognition”
● To reward individual employees or employee teams that
enhance the quality of work
● Awards shall be limited to $50 (non-cash) per individual
● A description of the item purchased, name of recipient and
reason for purchase should appear on the voucher
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Payments to Students
● The Financial Aid Office administers payments to
students for scholarships or other forms of aid
● Payments for awards, etc. associated with Honors and
Awards Day can be made through the CUBS system but
must be reviewed by Financial Aid prior to the
submission for payment
● Reimbursements to students should be infrequent
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Entertainment
● Not Travel
● Source of funds may be limiting factor
● Refer to Disbursement Grid for guidance
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Employee Reimbursements
● Requires Supervisors Approval
● Travel
○ State laws set rules for employee travel
○ Meal allowances
○ Meals within 10 miles of headquarters
○ Lodging within 50 miles
○ Mileage rates
○ First class air travel is unallowable
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Employee Reimbursements
● Other Expenses
● Reimbursements to employees for goods and
services purchased should be on an exception
basis as P-card or the buyWays Marketplace
should be utilized
● Non-overnight Meals – taxable income
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Internal Revenue Service
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Compensation issues should be addressed through the payroll system
Services - Independent Contractor vs Employee
Common Law Rules
Facts that provide evidence of the degree of control and independence fall
into three categories:
● Behavioral: Does the company control or have the right to control what the
worker does and how the worker does his or her job?
● Financial: Are the business aspects of the worker’s job controlled by the
payer? (these include things like how worker is paid, whether expenses are
reimbursed, who provides tools/supplies, etc.)
● Type of Relationship: Are there written contracts or employee type benefits
(i.e. pension plan, insurance, vacation pay, etc.)? Will the relationship
continue and is the work performed a key aspect of the business?
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Independent Contractor
● People such as doctors, dentists, veterinarians, lawyers,
accountants, contractors, subcontractors
● An independent trade, business, or profession in which they
offer their services to the general public
● Payer has the right to control/direct only the result of the
work and not what will be done and how it will be done
● The earnings of a person who is working as an independent
contractor are subject to Self-Employment Tax
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Employee
● Anyone who performs services for you is your employee
if you can control what will be done and how it will
be done.
● This is so even when you give the employee freedom of
action. What matters is that you have the right to control
the details of how the services are performed.
● Employee or Independent Contractor?
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Coding and Reporting
● Fund code – Type of funds
○ Unrestricted - E&G or PSA
○ Self - Generated
○ Grants and Contracts
○ Gift funds
● Chart of accounts
○ Supplies
○ Travel
○ Equipment
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Coding and Reporting
● Program code – Predominate use?
○ Instruction
○ Research
○ Public Service
○ Others
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Coding and Reporting
● Department/organization code
○ Your department
○ Sample of AAH
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Coding and Reporting
● Class or source of funds code –
Source and limitation of funds
○ State
○ Federal
○ Gift or grant source
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Coding and Reporting
● Accounts represent named
segregations of assets,
liabilities, revenues and
expenses. The following are
examples of accounts.
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Coding and Reporting
● Project code – Specific limitation on use of restricted
funds.
○ Unique identifier
○ May restrict the use of funds
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Campus Business Officers Group
● Serves the Clemson University community by
encouraging fiscal integrity and efficiency through open
communication, education, and networking.
http://www.clemson.edu/finance/teams.html
● If you ever have any questions, Ask Procurement
● To complete the Requisitioner Review process, click
HERE.
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