DPO and PO Procedures

Conditions & Instructions - Exclusions - DPO Instructions
DPO Forms are available through the Purchasing Office. This form is not available in a downloadable format at this time.

The Departmental Purchase Order (DPO) is the University's  small dollar purchase order and may be used to order materials or services  with a cost of $1,000.00 or less. Items on state contract can be purchased  with a DPO as long as the total is under $1,000.00. Be sure to state on the DPO that it is a "State Contract Price". Include the Price  Agreement Number when processing the DPO for payment. DO NOT USE DPOs FOR TRAVEL, REGISTRATION FEES, OR REIMBURSEMENTS TO INDIVIDUALS. PLEASE USE A CHECK/EFT REQUEST FORM. Goods and services should be purchased using a DPO (if under $1,000.00 and  not an item restricted by #9 of the Conditions and Instructions of order)  or regular purchase order (if over $1,000.00). Departments are not to issue consecutive, or nearly consecutive, DPOs for the purchase of like items  to circumvent the $1,000.00 limitation. There are no encumbrances recorded for purchases made with this form.

Authority to use the DPOs is granted to departments having the capability  to exercise control, follow-up and receipt acknowledgment procedures. The Director of Purchasing of the University is delegated the final authority  for all University purchases. In order for this authority to be delegated to the department and/or college level, a "Delegation of Purchase  Orders (DPOs) to $1,000.00" must be completed and on file in the Purchasing Office.

The issuing department must secure accurate pricing before placing the order to assure that merchandise, plus freight or shipping charges, does  not exceed the $1,000.00 limitation. Split accounts can be put on one DPO, but the dollar amount of all accounts cannot exceed $1,000.00.

Confirming requisitions issued to cover materials or services that have  been ordered on a DPO and exceed the limitation will be considered an unauthorized purchase and a personal liability.

Misuse of DPOs will result in cancellation of the department's authorization to use the forms and may result in a personal liability for the materials and/or services obtained.

The issuing department is responsible for the proper completion of the DPO.. An authorized signature is to be on the form prior to the forwarding  of the order to the vendor. Once signed, the white copy is either mailed or delivered to the vendor. The remaining copies are retained by the department. The yellow copy is used to initiate the actual payment to the vendor. Payment will not be initiated with any other copy but the yellow. If the yellow  copy is lost or mailed to the vendor in error, the DPO must be voided and reissued. The pink copy is retained in the department's files and  the goldenrod copy is available for miscellaneous use.

Materials purchased with a DPO may be picked up by the ordering department.  Materials shipped or mailed are addressed directly to the ordering department.  However, United Parcel Service and motor freight shipments generally are  delivered to the UNC Warehouse. Materials received at the Warehouse are  checked only for visible exterior damage and are then delivered to the  ordering department. If this merchandise is damaged from shipping, it should  be left in the original package and returned immediately to the Warehouse where a claim will be filed. The ordering department is responsible for  the completion of the "Receiving Information" section of the DPO once the materials are received or the services are performed. At that  point, the vendor's original invoice is attached to the completed yellow copy of the DPO and is forwarded to the Accounts Payable Office  for payment. The ordering department is responsible for the return of unsatisfactory  merchandise.

It is the University's policy to pay a vendor only after receipt of the materials or service. If advance payment is required for orders such as purchases from the US Government, the white and yellow copies of  the DPO are sent to the Accounts Payable Office for processing.

It is important that one individual within a department or college be  given control over the issuance of the DPOs within the particular area. This individual should be in the office of the dean, director or department head. The DPO forms must be picked up in the Purchasing Office, they cannot  be mailed. The Purchasing Office issues the DPOs in a sequentially numbered block to the responsible individual. The DPOs should be issued using the  lowest sequence number available. Compliance with these rules will be monitored  on a monthly basis, based on payment records.

 Conditions and Instructions of Order

1. NOT VALID OVER $1,000.00 (including freight or shipping charges).
2. No backorders permitted. Cancel unshipped items.
3. No C.O.D. orders accepted.
4. Shipments are to be directed to the department.
5. Invoice and packing list must accompany shipment.
6. Cash discount period to begin on date of receipt of order or receipt of invoice,whichever is later.
7. Purchases are tax exempt. The University's tax exempt number is 98-03693 and is printed on the DPO.
8. No unauthorized substitutions.
9. NOT VALID for the purchase of: Printing and printing services.
10. Information Technology will not provide support or maintenance for the purchase of computers or computer-related products.
11. Collect freight shipments WILL NOT be accept.

Exclusions

1. Purchases from employees.
2. Material stocked in the UNC Warehouse.

Departmental Purchase Order Instructions

1. Ordering Department Information: Fill in the date of  the order, the individual placing the order, the name of the department and the telephone number  to call in case of problems. If the individual who is handling the paperwork is different from the individual placing the order put the name beside the telephone  number.
2. Vendor: Fill in the vendor name and complete address. The vendor name and address can be only four lines and no more than 30 spaces a line. Anything beyond these limits will not be printed on the check.
3. Ship and Bill To: Fill in the department name and address.
4. Banner FOAPAL's: Enter the FOAPAL number to be charged. Up to eleven different FOAPAL numbers can be used. It is not necessary to list the same FOAPAL number more than once. Just total all charges to that FOAPAL number and list on one line.
5. Description: Fill in the quantity, unit, unit price, total  cost and each invoice number being paid. Several invoices can be paid on  the same line as long as they are being charged to the same FOAPAL. Fill  in a complete and detailed description.

   Example: 1) When paying a restaurant or when paying for refreshments include information about the occasion and those attending plus an "Official Function " form when appropriate; 2) When buying miscellaneous supplies  state their purpose.

6. Receiving Information: The receiving information and date received must be signed. If the vendor requires advance payment, type "Check Enclosed" in the description section and do not sign the receiving information for service contracts.
7. Grants and Contracts Signature: If applicable, this section  is signed by the General Accounting office after the DPO is submitted for  payment.
8. Authorized Signature: Only a person who is authorized on the FOAPAL being charged can sign. If more than one FOAPAL is being charged there must be an authorized signature for each FOAPAL.