(A) A purchase order system be established and set in place upon passage of this section.
(B) The purchase order system described below will be utilized for all departmental expenditures.
(C) A numbering system for purchase order numbers be created by the Town Manager and Town Clerk-Treasurer that will be informative and easy to understand.
(D) Monthly reporting of all purchase order numbers, outstanding and closed, be prepared for all department heads and council members.
(E) Department heads seeking approval of expenditures must abide by the following authorization procedure each time funds are requested.
(1) Contact shall be made with the Town Manager to discuss the potential expenditure.
(2) Information needed for the discussion will include:
(a) The description of the expenditure;
(b) The amount of the expenditure; and
(c) The account(s) where the department head would like the expenditure to be credited.
(3) The Town Manager will investigate the availability of the funds for the expenditure. The Town Manager will review the available both the department budget and the town budget.
(4) If funds are not available and the request is still pending, a formal request to the Town Council will be made by the Town Manager at the next Town Council meeting. The formal request will be in the form of a motion with the aforementioned information included in the memo. The memo will also include possible funding options available. If the request for funds is granted, the Town Manager will issue a purchase order number to the department head for the expenditure.
(5) If funds are available and there is no need to obtain approval from the Town Council, the Town Manager will issue a purchase order number to the department head for the expenditure.
(6) Once a P.O. Number is granted, the prescribed State Board of Accounts form (General Form No. 98) will be completed and submitted to the Town Clerk-Treasurer, who is responsible for payment of such purchase orders.
(7) In accordance with the State Board of Accounts, the original purchase order number will be given to the department head and it will be handed to the vendor at the time of purchase.
(8) The purchase order number must appear on all invoices and claims or original order prepared by the vendor.
(9) An itemized bill must accompany the voucher to the Town Manager once delivery of said products and/or services is made. The Town Manager will review all paperwork and prepare the claim for the Clerk-Treasurer for payment.
(10) It is to the advantage of all parties (department heads, Council members, Town Manager and Town Clerk-Treasurer) to know at all times what purchases have been entered into and how the appropriations stand, for purposes of anticipating the year’s needs.
(Ord. 2009-2, passed 1-12-2009)