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R2020-21 Revisions to Purchasing Policies and ProceduresRESOLUTION 2020-21 O A RESOLUTION OF THE VILLAGE COUNCIL OF THE VILLAGE OF NORTH PALM BEACH, FLORIDA, REVISING THE VILLAGE'S PURCHASING POLICY AS SET FORTH IN THE VILLAGE'S ACCOUNTING POLICIES AND PROCEDURES MANUAL FOR INTERNAL CONTROLS; PROVIDING FOR CONFLICTS; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, Village Staff is recommending revisions to the Village's Purchasing Policy, as set forth in the Village's Policies and Procedures Manual for Internal Controls, to: increase the purchasing thresholds; remove the eighteen -month limitation for piggyback purchases; revise the signature requirement for final payment and release of retainage; raise the emergency purchase order and blanket purchase order thresholds; and delete obsolete language that conflicts with current practices; and WHEREAS, the Village's Audit Committee reviewed and approved the proposed revisions; and WHEREAS, the Village Council determines that the adoption of this Resolution is in the best interests of the residents and citizens of the Village of North Palm Beach. NOW, THEREFORE, BE IT RESOLVED BY THE VILLAGE COUNCIL OF NORTH PALM BEACH, FLORIDA as follows: Section 1. The foregoing recitals are hereby ratified and are incorporated herein. Section 2. The Village Council hereby adopts the revisions to the Village's Purchasing Policy as identified in Exhibit "A" attached hereto and incorporated herein by reference. These revised procedures shall be included in the Village's Policies and Procedures Manual for Internal Controls. Section 3. All resolutions or parts of resolutions in conflict herewith are hereby repealed to the extent of such conflict. Section 4. This Resolution shall take effect immediately upon adoption. PASSED AND ADOPTED THIS 27TH DAY OF FEBRUARY, 2020. (Village Seal) ATTEST: VILLAGE CLERK L44 -M I �! a MAYOR Purchasing Objective The primary objective of the Village’s purchasing operation is to maximize the value of the dollar spent. All Village departments are responsible for accomplishing this objective by planning for future purchase needs and completing them in an economical manner. Responsibilities of Finance Department - Maintain an up to date vendor list. - Process purchase requisitions. - Prepare and issue purchase orders. - Pay vendor invoices. - Manage Purchasing Card Program Responsibilities of Village Clerk - Receive bids and proposals - Record bids and proposals at time designated in the competitive solicitation - Maintain bid files. Responsibilities of Operating Departments - Obtain prices on comparable items. - Search for new sources of goods and services and provide these vendor names to the Finance Department - Provide complete information on items to be purchased on the purchase requisitions and reference the budget line item description. - Provide appropriate documentation with purchase requisitions as required. - Plan for purchases to minimize emergency purchases. - Prepare technical specifications and competitive solicitations as needed. - Evaluate and recommend competitive solicitation awards including facilitating evaluation committees as needed. - Determine if sufficient funds are available in the budgeted line item. - Attempt to use the Finance Department’s vendor list as a minimum for all quote requirements. - Manage contracts for your area of responsibility ensuring that vendors provide purchased goods, equipment and/or services in accordance with contract terms and prices. - Resolve vendor performance issues as needed. Responsibilities of Village Manager - Advertise for bids. Purchasing Policy Determining Purchasing Methods: a. All purchases that are budgeted to exceed $25,00050,000 on either an annual basis or span across fiscal years such as a “multi-year” contract:  1. Must be formally advertised in a newspaper of general circulation with the advertisement being no less than fourteen (14) days prior to the opening of bids. 2. Must be awarded on a sealed bid basis by vote of Village Council. 3. The vendors list will be used as a minimum notification list of available vendors for the purposes of soliciting bids. All competitive solicitations shall be loaded onto the North Palm Beach website and shall be posted on Demand Star for wide distribution to possible vendors. b. All purchases having an estimated cost between $2,5005,000 and $25,00050,000: 1. Require three (3) quotations. A written quote from each vendor is to be attached to the requisition. Where athree (3) written quotes isare not available, and on approval of the Village Manager, a memorandum from the Department Head documenting the reason there are fewer than three (3) verbal quotes is required. No hand-written quotes will be accepted. 2. All purchases in excess of $2,5005,000 and up to $10,00025,000 shall be authorized by the Department Head, Finance Director, and Village Manager. 3. All purchases in excess of $10,00025,000 and up to $25,00050,000 shall be brought to the Village Council on Consent Agenda for approval. c. Purchases having an estimated cost of up to $2,5005,000, unless otherwise described in this manual: 1. Do not require bids or three (3) quotes; however, Department Heads are encouraged to obtain the most cost- effective price. 2. Shall be authorized by Department Heads. The Department Head may authorize, in writing, a member of the department/division to purchase items under $2,500. d. Exceptions – In certain instances exceptions to the above may exist and purchases may be accomplished using alternate methods: 1. Through the use of the emergency purchase provisions as provided for in the Emergency Purchases section of this manual. 2. When annual contracts exist, i.e. gas, oil, tires, office supplies, etc. 3. When requirements imposed by federal, state, or county grants provide different regulations. 4. When the Village Manager deems it appropriate to use procedures of more formality than set out above. 5. When the Village Council waives the purchasing rules and regulations. e. The purchase of bulk motor and diesel fuel necessary to operate Village vehicles and the purchase of inventory and goods for resale or distribution to the public shall not be subject to the rules and regulations set forth herein and may be approved by the Village Manager and/or the Finance Director. f. Expenditures for utilities, advertising, subscriptions, registration fees, training, travel, seminars and lectures, performing artists and entertainers, membership dues, uniform allowances, license or maintenance renewals for existing software, and similar products or services for which competitive procurement is either not available or wholly impracticable shall not be subject to the rules and regulations set forth herein and may be approved by the Village Manager and/or the Finance Director. Initiating a Purchase Purchase Requisition A purchase requisition must be completed, and submitted to the Finance Department with the appropriate documentation attached. Where equipment is covered by maintenance contracts, requests for service may be made directly by the respective department. Copies of all approved maintenance agreements shall be submitted to the Finance Department at the beginning of each fiscal year. An annual purchase order that shall not exceed one year will be issued, if required by the vendor. Requisition Preparation Procedure to process regular requisitions: a. Print each requisition in duplicate and give the following: 1. Department account number. 2. Date of requisition. 3. Suggested vendor name and address. 4. Village delivery location. 5. Quantity. 6. A complete, detailed description of the item(s) to be purchased along with a budget line reference. 7. Estimated net cost of line items of goods and services. 8. Estimated cost of shipping and handling. 9. Signature of department head which indicates department head’s approval of purchase. b. When necessary, bid documentation, i.e. telephone bids, requests for quotations, etc. should be attached to the purchase requisition. c. Purchase requisition originals are to be sent to the Finance Department. d.c. Second copy is kept in the requesting department’s file. e.d. Upon receiving the requisition, Finance will determine the availability of funds in the department’s account. If the funds are available, preparation and processing of the purchase order will be completed and forwarded to the Village Manager for final authorization. f.e. Requisitions over $25,00050,000 will be subject to the bidding process. Once the Village Council awards the bid to a vendor, the operating department must prepare and forward to the Finance Department the purchase order requisition along with a copy of the bid documentation and the adopted resolution. g.f. The Village’s purchasing policy allows management to “piggyback” on: 1. Current federal supply schedules, U.S. General Services Administration (GSA) or any other federal agency contracts; 2. Current cooperative purchase contracts; and 3. Other state and local government contracts for labor and materials, providing those government contracts identify those specific services or materials required and the government contract is both currently in effect.active and no older than 18 months from the date of the requested purchase. If the “piggyback” provision is to be utilized, the operating department will obtain a verbal quote from a secondary qualified vendor to verify the “fair market” value of the item or services sought. If this quote is significantly lower, staff will go through the normal purchasing/bidding procedures. The verbal quote verification procedure will be indicated as part of the back-up material for the purchase. h.g. In the event the “piggy-back” provision is utilized and a “chan ge” in services, outside the scope of the government contract is required, that change will be treated as a “change order” in accordance with this policy. Purchasing Procedures, Bids, Contracts, Vendor Selection, etc. Formal Bidding Formal bids are required for purchases in excess of $25,00050,000. Writing Specifications Upon submitting a request for formal bidding, the department should also transmit desired specifications to be included as a part of the bidding process. Care should be taken to design specifications so that they are not so narrow as to limit competition unnecessarily. Department heads have the responsibility for complying with this guideline. Identifying Suppliers Operating departments are responsible for maintaining a comprehensive, updated list of suppliers of various products frequently purchased by that department. It is the Village’s policy to award to the lowest qualified bidder offering merchandise conforming to pre-defined specifications. Sealed Bid Opening All bids/proposals shall be submitted to the Village Clerk’s Office. All sealed bids are to be opened at the exact time, date and place specified in the bid package. A bid package contains: (1) notice to bidders; (2) complete bid specifications and (3) contract documents, if appropriate. All bids are to be opened publicly with tabulation being made available to all vendors participating. Formal bids are to be checked for proper submission of any required bid deposits, bonds, etc. All sealed bids will be opened by a bid board consisting of the Village Manager or his or her designee, the Department Head concerned and a representative from the Clerk’s Office. After evaluation, a recommendation will be made by the Village Manager for transmittal to the Village Council. Sole Source Items “Sole source purchases are the acquisition of goods and services that for all practical purposes can only be obtained from a single vendor, usually because of limited technology, technological compatibility with existing systems, goods or services already in use by the Village or other unique qualities of the goods or services that preclude a competitor’s price comparison.” All sole source purchases will be documented by a memo from a Department Head justifying why the purchase is sole source. Every reasonable effort must be made to locate competitive suppliers. Only the Village Manager may certify an item as sole source. Approval of sole source purchases over $10,00025,000 is to be made by the Village Council. Contracts, Retainage, Change Orders, & Payment a. The Village Manager is authorized to sign contracts on behalf of the Village that involve expenditures for goods and services that are line items within the Village budget and do not exceed tentwenty-five thousand ($10,00025,000). Prior to execution of contracts, the Village Manager shall first comply with the purchasing regulations adopted by the Village Council and have the contracts reviewed by the Village Attorney for legal sufficiency. b. Contracts for over $10,00025,000 must be approved by the Village Council. c. The annual contracts awarded by Palm Beach County, the State of Florida and the Palm Beach County Cooperative Purchasing Council, and other governmental agencies for labor and materials are accepted by the Village in accordance with their terms. d. The American Institute of Architecture, AIA Document G702-1992, Application and Certificate for Payment, is the form that is completed by the Contractor and Certified by the Architect/Engineer as part of their payment request. This form shows the Original Contract amount then the progression of payments previously paid, retainage, current request and balance of contract to complete the Project. The percentage of retainage is specified in the Agreement that is executed by the Village and the Contractor. A standard of ten percent (10%) will be used unless adjusted by the Mayor and Council. Change Orders A Change Order is a written instrument prepared by the Contractor, certified by the Architect/Engineer and approved by the Village stating their agreement to the following: a. Actual change in work required. b. The dollar amount of the adjustment and its effect on the Contract’s Total Sum. c. The extent of the adjustment and how it will affect the Contract’s timeframe. d. If a lump sum payment is necessary, the request must be properly itemized and supported by sufficient substantiating data to permit evaluation. All parties involved must mutually accept the adjustment(s) as presented. e. Unit prices stated in the Contract Documents or subsequently agreed upon must be mutually acceptable to all parties in involved. f. If costs are to be determined, all parties must agree upon a mutually acceptable fixed or percentage fee. Change Order Process a. All proposed change orders must be approved by the Village Engineer (if involved in the project), the Department Head overseeing the project, and the Village Manager. b. The Village Manager has the authority to approve change orders under $10,00025,000 that are within the original scope of the project and that do not exceed the original budget line item for the project; however, the Village Council will be notified of any such change orders for their approval and ratification at the next scheduled Council Meeting. c. All change orders in excess of $10,00025,000 must be brought to the Village Council for approval. d. If exigent circumstances exist requiring immediate action and a delay would adversely impede the project operationally, the Village Manager can with written documentation, authorize a change order in excess of the $10,00025,000. The Village Manager will be responsible for immediately reporting this Change Order at the next scheduled Council Meeting for ratification. Construction Manager at Risk Contracts Except as provided herein, the foregoing Policies and Procedures are not applicable to the procurement of Construction Manager at Risk Contracts. Construction Manager Contracts shall comply with the following rules: a. If the Village Manager determines that a Construction Manager at Risk contract is the appropriate method of procurement for any construction project, then the Village will prepare a Request for Qualifications in accordance with all applicable statutory requirements. b. The Village shall publicly announce in a uniform and consistent manner the fact that Construction Manager at Risk Services are required. The announcement shall include a general description of the project, procedures for obtaining the Request for Qualifications, and the time within which interested construction management firms may submit qualification statements. c. The Village Manager or his or her designee shall establish criteria, procedures and standards for the evaluation of construction management proposals, weighted for the particular project. Evaluation factors shall include, but not be limited to: Successful Experience of the Firm Managing Construction Projects; Qualifications/Experience of the Team; Scheduling, Cost Control and Quality Assurance; Approach to Establishing a Guaranteed Maximum Price; Approach to the Construction Program and Past Performance/References. d. An Evaluation Committee, selected by the Village Manager, shall evaluate all responsive qualification statements in accordance with the criteria established in the Request for Qualifications. e. The Village Manager and Village Attorney shall negotiate a contract for Construction Management at Risk Services for Village Council’s consideration and award. f. A Guaranteed Maximum Price shall be established by the Construction Manager utilizing procedures established in the Contract, which will be presented to Village Council for its consideration and approval as an amendment to the Contract. g. Change Orders, if required, shall be approved by the Village Manager and reported to the Village Council at the next Village Council Meeting. Change Orders that significantly alter the design provided for in the original contract documents shall require approval of Village Council prior to execution. h. In the case of a valid public emergency, the Village Manager may suspend the procedures specified herein, and authorize negotiations of a Construction Manager at Risk Contract with the best qualified firm available at that time. Design-Build Contracts Except as provided herein, the foregoing Policies and Procedures are not applicable to the procurement of design- build contracts. Design-build contracts shall comply with the following rules: a. If the Village Manager determines that a design-build contract is the appropriate method of procurement for any construction project, a design criteria package for the design and construction of the project shall be prepared and sealed by a design criteria professional either employed or retained by the Village. The design criteria professional shall meet the requirements of subsection (2) of Section 287.055(2), Florida Statutes (Consultants’ Competitive Negotiation Act). If the Village enters into a professional services contract for preparation of the design criteria package, the selection of the design criteria professional shall comply with subsections (4) and (5) of Section 287.055, Florida Statutes. b. The design criteria package shall specify performance-based criteria for the project, including but not limited to the legal description of the site; survey information concerning the site; interior space requirements; material quality standards; schematic layout and conceptual design criteria for the project; cost or budget estimates; design and construction schedules; site development requirements; provision for utilities, stormwater retention and disposal; and parking requirements. c. A design criteria professional who has been selected to prepare the design criteria package shall not be eligible to render services under a design-build contract executed pursuant to the design-build criteria package. d. The Village shall publicly announce in a uniform and consistent manner the fact that design-build services are required. The announcement shall include a general description of the project, procedures for obtaining the request for proposals, and the time within which interested design-build firms may submit proposals. e. The Village Manager or his or her designee shall establish criteria, procedures, and standards for the evaluation of design-build contract proposals, weighted for the particular project, and shall solicit competitive proposals pursuant to the prepared design criteria package from qualified design-build firms for the project under consideration. In addition to price, evaluation factors shall include, but not be limited to, ability of professional personnel; past performance; ability to meet time and budget requirements; location of firm; and recent, current and projected work loads. f. For each public construction project involving the award of a design-build contract, the Village Manager may initiate a two-step process whereby firms first submit qualification statements. The Village Manager or, at the Manager’s option a selection committee selected by the Village Manager, shall evaluate qualification statements in accordance with published criteria, including, but not limited to, past experience; availability; and the qualifications of key personnel and (provided that at least three (3) qualification statements have been submitted) select no fewer than three (3) qualified design-build firms from which competitive proposals shall be solicited based on the design criteria package. This step is not mandatory and the Village Manager may forego the pre- qualification process. g. The Village Manager or, at the Manager’s option, an evaluation committee selected by the Village Manager, shall evaluate the proposals in accordance with the criteria set forth the solicitation and recommend to the Village Council no fewer than three (3) qualified design-build firms in order of preference. The Village Council may require public presentations and shall rank the firms. The Village Manager, in consultation with the Village Attorney, shall then commence negotiations with the top-ranked firm. h. Should the Village Manager be unable to negotiate a satisfactory contract with the top-ranked firm, negotiations shall be formally terminated in writing and negotiations commenced with the second-ranked firm. Should the Village Manager be unable to negotiate a satisfactory contract with the second-ranked form, negotiations shall be formally terminated in writing and negotiations commenced with the third-ranked firm. Should the Village Manager be unable to negotiate a satisfactory contract with any of the selected firms, additional firms shall be selected in accordance with the foregoing procedures and negotiations shall continue until a contract is reached. i. The Village Manager shall consult with the design criteria professional who prepared the package concerning evaluation of the proposals, approval of detail work and drawings for the project and compliance of project construction. j. Each contract for design-build services shall contain a prohibition against contingent fees as required by law. k. In the case of a valid public emergency, the Village Manager may suspend the procedures specified herein, and authorize negotiations of a design-build contract with the best qualified design-build firm available at that time. Contract Payment Process Certificates for Payment An Architect and/or an Engineer will be engaged on all professionally bid projects which are new or structurally reengineered. In those instances: a. The Architect/Engineer will, within seven days after receipt of the Contractor’s Application for Payment, either issue to the Village a Certificate for Payment, with a copy to the Contractor, or notify the Contractor and the Village in writing of the Architect/Engineer’s reasons for withholding certification in whole or in part. b. The issuance of a Certificate for Payment will constitute a representation by the Architect/Engineer to the Owner that the work has progressed to the point indicated and that the quality of the Work is in accordance with the Contract Documents. It will further constitute a representation that the Contractor is entitled to payment in the amount certified. Final Completion & Final Payment a. Upon receipt of written notice that the work is ready for final inspection and acceptance and upon receipt of a final Application for Payment, the Architect/Engineer will promptly make such inspection and, when the Architect/Engineer finds the work acceptable under the Contract Documents and the Contract fully performed, the Architect/Engineer will promptly issue a final Certificate for Payment. b. Neither final payment nor any remaining retained percentage shall become due until the Contractor submits to the Architect/Engineer: 1. an affidavit that payrolls, bills for materials and equipment and other indebtedness connected with the work have been paid or otherwise satisfied, 2. a certificate evidencing that insurance required by the Contract Documents to remain in force after final payment is currently in effect and will not be cancelled or allowed to expire until at least 30 days prior to written notice has been given to the Village, 3. a written statement that the Contractor knows of no substantial reason that the insurance will not be renewable to cover the period required by the Contract Documents, 4. consent of surety, if any, to final payment, 5. if required by the Village, other data establishing payment or satisfaction of obligations. NOTE: Contractor’s application for payment (partial or final) for repairs or maintenance to “existing” systems and infrastructure can be authorized by the Village Department Head for which those repairs/maintenance was authorized. c. Acceptance of final payment by the Contractor, a Subcontractor or material supplier shall constitute a waiver of claims by that payee except those previously made in writing and identified by that payee as unsettled at the time of final Application for Payment. d. The Certificate of Completion and the Application for Final Payment forms must be completed. The Application for Final Payment requests the release of the retainage and requires the following signatures: Director managing the project and the Village Manager to sign off upon completion of the project. 1. For Projects $10,000 or less, the Director managing the project and the Village Manager will sign off upon completion of the project. 2. Projects from $10,001 to $100,000 – The Director managing the project along with the Director of Community Development and the Village Manager will sign-off upon completion of the project. 3. Projects exceeding $100,000 requires the same signature authority as item #2 and will be forwarded to the Mayor and Council for final closeout and release of contractual retainage. 1. Projects exceeding $500,000 will be forwarded to the Mayor and Council for final closeout and release of retainage. Purchase Orders Use of Purchase Orders A purchase order should be used for the purchase of a single item over $2,5005,000 that is not purchased on a regular basis. This would include all purchases not covered by a blanket purchase order. All purchases that are budgeted to exceed $25,00050,000 on an annual basis or span across fiscal years such as a “multi-year” contract surpass the Village’s bid threshold and will be bid prior to the beginning of the fiscal year. Exceptions are outlined in the Purchasing Policy “Determining Purchasing Methods” section, as well as in the Emergency Purchases section. Procedure for Issuing a Purchase Order a. All purchase orders will be issued by the Finance Department. b. All purchase orders will be sequentially numbered. c. The purchase order is prepared in triplicate. 1. The originalVendor copy is delivered directly to the vendor. 2. The secondPurchasing copy is retained by the Finance Department for account encumbrance and is attached to the requisition original. 3. The thirdDepartment copy is sent to the Department Head or the requisitioning department. c. d. The purchase order is printed giving the following information: 1. Purchase order number. 2. Vendor code number. 3. Vendor name. 4. Vendor address. 5. Vendor contact person. 6. Vendor telephone number. 7. Vendor fax number. 8. Department account number. 9. Requisition number. 10. Date of purchase order. 11. Required delivery date. 12. Terms 13. F.O.B. point 14. Destination shipping point. 15. Quantity ordered. 16. Vendor proprietary stock number (if any). 17. Generic description of goods or services ordered. 18. Unit price. 19. Extension 20. Net total of goods and services ordered. 21. Allowable shipping charges. 22. A box checking an original or confirming purchase order. 23. Signature of responsible Village official. How Purchase Orders are processed a. The original copy is delivered directly to the vendor. b.a. The second copy is retained by the Finance Department for account encumbrance and is attached to the requisition original. c.a. The third copy is sent to the Department Head or the requisitioning department. Cancellation of a Purchase Order All cancellations of orders must be made by forwarding to the Finance Department the receiving copy of the purchase order with the word “VOID” printed across the face of said copy. The Department Head should sign and date all voided purchase orders, as well as provide a brief reason for the void. Expediting Orders Once the Finance Department has issued a purchase order, no follow-up work is done on the order by Finance. It will be the responsibility of the operating department to expedite orders. Back Orders of Partial Payments When several items are ordered, the supplier may deliver only a portion of the quantity requested. The supplier may then advise you that the remainder of the order has been back ordered. The Department Head should retain the copy of the purchase order until all items are delivered. Should the vendor invoice the Village for the partial order delivered, the following partial payment procedures should be followed: a. When the invoice is received, the department head should forward the invoice to the Finance Department with his or her approval of the partial payment. Notations should be made on the invoice that the order is “INCOMPLETE” and the purchase order number circled, or noted if it is not mentioned on the invoice. The Finance Department will use this as authority for partial payment. Documentation must be sent to the Finance Department indicating which items have been received before the Finance Department makes the payment on such invoice. b. The department copy of the purchase order remains in the department until the entire order is filled, invoiced, or balance canceled. Blanket Purchase Orders Blanket purchase orders can be requested from the Finance Department for the purchase of materials, supplies, parts and similar items over a certain period of time not to exceed a single fiscal year. Examples include, but are not limited to, office supplies, computer supplies, uniforms, firearms and firearm accessories, badges and specialized public safety equipment, hardware store purchases, tires, tubes, and batteries. A blanket purchase order may be in any amount up to $10,00025,000 and must be approved by the Department Director, the Finance Director, and the Village Manager. No single item pursuant to a blanket purchase order shall exceed $2,5005,000. Blanket purchase orders in excess of $10,00025,000 shall be approved by the Village Council, provided, however, that blanket purchase orders in excess of $10,00025,000 and up to $25,00050,000 shall be placed on the Consent Agenda. Split Purchases (Pyramiding) Split purchases, or pyramiding, is defined as issuing more than one purchase order on the same product with the intent of circumventing these regulations and/or budget limitations within an unreasonably short time period such that the totals of the purchase orders equal an amount greater than that authorized by these regulations. Split purchases are prohibited. Emergency Purchases General Policy True emergencies do occur as a result of parts, supplies, and labor needed to repair equipment and facilities that are needed to provide services for the health, welfare and safety of the public. Anticipating needs in advance, whenever possible, will hold emergency purchases to a minimum and allow the use of standard procedures. Procedure a. Emergency purchases between $05,000 to $2,50025,000, mark invoice “EMERGENCY PURCHASE”. The invoice must be submitted to and approved by the Department Head, subject to confirmation by Village Manager. b. Emergency purchases of more than $2,50025,000 and up to $25,00050,000, mark invoice “EMERGENCY PURCHASE”, and contact the Village Manager for approval, subject to confirmation by the Village Council. c. Emergency purchases over $25,00050,000 are not to be made without the approval of the Village Council. Purchasing Cards Recognizing the advent of automated internet supply vendors and the occasional time sensitive procurements, the utilization of a Village purchasing card is both necessary and required. The Finance Department shall maintain one purchasing card per department to be utilized in select cases in accordance with the existing purchasing regulations. Any department needing to use the purchasing card shall request in writing, to the Finance Director, the intended use of the card, the amount and the account number(s) to be charged. All requests must be approved by the department head prior to sending it to the Finance Department. If the request meets all applicable purchasing regulations and the departmental funds are available, the Finance department will obligate the Village for the purchase by use of the Village’s purchasing card. The department making the purchasing request shall be responsible for providing invoices (receipts) or other acceptable documentation to the Finance Department immediately upon receipt. All invoices (receipts) shall be initialed with the account number(s) to be charged. Sales Tax Exemption Village purchases are exempt from Florida sales tax. When making purchases, the vendor will be provided with the sales tax exemption number. Contract Management and Oversight Operating Departments are responsible to manage contracts funded by their budget or in their area of responsibility. Each contract shall be assigned one person as the contract manager of that contract. Contract Management and Oversight includes: 1. Verification that vendor provides goods and/or services as ordered.  Is the item the same brand, size, and package? Were the services performed by the individual identified in the contract or was the process for substitution followed? 2. Were the operating and maintenance manuals and warranties received? Provide information to Public Works, or Other Department who may be involved in any future repairs, if appropriate.  3. Were the goods or services delivered timely?   4. Was training included and provided in accordance with contract?  5. Were goods or services invoiced accurately? Note that vendors are always allowed to invoice at a lower price than in the contract allowing them to pass through any additional discounts available but vendors are not allowed to invoice at a higher than contract price.  6. Was there a request for additional goods or services? If yes, was the change order process followed?  7. Was contract completed by the end of the fiscal year? If not, the Contract Manager is responsible to notify the Finance Department of the need to roll over the purchase order into the next fiscal year.  8. Were assets purchased as part of the Contract? If yes, the Contract Manager is responsible to ensure that the Finance Department receives the Serial Number or other identifying information to include in the Village’s assets.  Anytime there is an accident involving a vendor or a dispute with a vendor, the Contract Manager should engage the assistance of the Department Head