(A) Use of purchase orders.
(1) All purchases shall be made using a purchase order issued by the Town.
(2) The issuance of purchase orders shall be the responsibility of each department head, and no employee may make any purchase without the approval and prior issuance of a purchase order from their respective department head. Each department head will keep a log of all unissued and issued purchase orders.
(3) Each department head shall confirm that the purchase is within their appropriate budget appropriation prior to approving the purchase.
(4) Purchase orders shall be filled out completely, including the following information:
(a) Name and address of vendor;
(b) Terms of payment;
(c) Issue date of purchase order;
(d) Complete description of items purchased and the quantities and per item costs;
(e) Date of delivery of items if not delivered at time of purchase;
(f) The name of the department and employee responsible for the purchase;
(g) Budget appropriation account number.
(5) For those accounts or services for which there may be multiple purchases, or which may be on a time or time and material basis, a purchase order shall be issued by the appropriate department head on either a monthly basis, or a service-by-service basis, with either:
(a) An estimated amount set as the purchase amount;
(b) A not to exceed amount;
(c) A per item price (if quantity is unknown); or
(d) Periodic or hourly rates which have been established and set forth in the purchase order.
(6) Purchase orders are to be issued prior to the purchase, and not created upon receipt of the invoice or other bill for the payment of the purchase.
(7) Any exception to this section must be approved by the Town Manager and/or Clerk- Treasurer, in advance of the purchase, with written notation kept documenting the basis for the deviation from the policy and the date the approval was given.
(B) Enforcement.
(1) In the event a purchase is made without the issuance of a purchase order, or the exception approval under division (A)(7) above, the Town employee making said purchase will be subject to disciplinary action as stipulated in the employee handbook.
(2) In addition, or as part of any disciplinary action, the purchasing authority of any employee who fails to follow these procedures may be temporarily or permanently suspended.
(C) Individuals covered under the policy. This policy covers all employees employed by the Town in all departments, either full-time or part-time.
(Ord. 2005-14, passed 8-11-05)